⚠️ Not investment advice. This is a quantitative research tool; every decision is the user's own responsibility. Past performance does not guarantee future results.⚠️ Not investment advice. Past performance does not guarantee future results.
⚠️ Not investment advice. Past performance does not guarantee future results.
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Great-West Lifeco GWO.TO

Canada Financial Services
6.1/10
AI Analyst score
93.34 CAD
Last price at analysis date · analyst target 94.00 (+0.7%)
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🟡 HOLD — Hold or buy on dips, given solid earnings growth and a favorable rate environment, although valuation does not offer a wide margin of safety.

Great-West Lifeco is a Canadian life insurance and asset management company offering insurance, retirement, and investment products in Canada, the United States, and Europe. Great-West Lifeco shows solid financial health (ROE 14.13%) and earnings growth of 19.80%, supported by a rising interest rate environment that favors insurers. Its valuation (P/E 19.29) is not demanding, and the dividend (yield 2.87%) is well covered.

Financial health
5.3
Quality / Moat
6.2
Valuation
3.0
Growth
6.8
Dividend
7.2
Momentum
9.4
Risk & Context
7.7

Detailed metrics

Market and fundamental data as of the analysis date.

💵 Valuation
P/E19.29
Fwd P/E14.69
EV/EBITDA-10.56
P/B2.96
P/S2.29
PEG1.77
Market cap83.56 B CAD
Enterprise value-102.50 B CAD
🏰 Quality and moat
ROIC (approx.)16.0%
Gross margin47.93%
FCF conversion-100%
Operating margin16.35%
📈 Profitability and margins
ROE14.13%
ROA0.65%
Net margin12.72%
FCF-9.76 B CAD
FCF yield-11.68%
🏦 Solvency and liquidity
Total debt8.97 B CAD
Net debt-192.46 B CAD
Cash201.43 B CAD
EBITDA9.71 B CAD
Net debt / EBITDA-19.82
D/E25.91
Current ratio29.19
Quick ratio26.07
🚀 Growth
Revenue growth5.40%
Earnings growth19.80%
EPS (TTM)4.84 CAD
EPS (Fwd)6.35 CAD
💰 Dividend and risk
Dividend yield2.87%
Payout52.9%
Beta0.67
Analyst consensusBuy (12)
Target price94.00 CAD
52-week range55.13 CAD – 95.96 CAD
⚠️ Main risk: The main risk is a correction in equity or credit markets that impacts its investment portfolio and earnings, given its profile as an insurer with exposure to these assets.
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Full AI report

Generated automatically from the metrics, the macro context and the company's news.

Great-West Lifeco is a Canadian life insurance and asset management company offering insurance, retirement, and investment products in Canada, the United States, and Europe. Great-West Lifeco shows solid financial health (ROE 14.13%) and earnings growth of 19.80%, supported by a rising interest rate environment that favors insurers. Its valuation (P/E 19.29) is not demanding, and the dividend (yield 2.87%) is well covered.

Score by category

CategoryScore
Financial health5.3
Quality / Moat6.2
Valuation3.0
Growth6.8
Dividend7.2
Momentum9.4
Risk & Context7.7

OVERALL SCORE: 6.1/10

Context and risks

The rising interest rate environment in the US (10-year at 5.17%) and the ECB hiking rates are a tailwind for insurers' net interest margins, but the fall in gold and geopolitical tension do not directly affect its business. The main risk is exposure to equity and credit markets, which could be affected by an economic slowdown.

News considered in the analysis

  • Is Great West Lifeco (TSX:GWO) Fully Priced After Higher Earnings And A Bigger Buyback? — Artículo de análisis que reconoce mayores beneficios y un programa de recompra ampliado, lo que refuerza la confianza en la gestión del capital.
  • Power Co. of Canada Q2 Earnings Call Highlights — Titular sobre un competidor (Power Corp), sin información directa sobre Great-West Lifeco.
  • Great-West Lifeco Q2 Earnings Call Highlights — Resumen de la llamada de resultados del segundo trimestre, destacando un sólido crecimiento del BPA.
  • Great-West Lifeco Inc (GWLIF) (Q2 2026) Earnings Call Highlights: Strong EPS Growth and Record ... — Resultados del segundo trimestre con fuerte crecimiento del BPA y resultados récord, lo que confirma la solidez operativa y respalda la nota de crecimiento.
  • 3 TSX Dividend Stocks Yielding Up To 6.9% — Listículo genérico sobre dividendos sin información específica y material para la empresa.

Verdict: Hold or buy on dips, given solid earnings growth and a favorable rate environment, although valuation does not offer a wide margin of safety.

Main risk: The main risk is a correction in equity or credit markets that impacts its investment portfolio and earnings, given its profile as an insurer with exposure to these assets.

Other Financial Services companies

Neighbours in the sector ranking, to compare without going back to the index.

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Automatically generated analysis from fundamental, market and news data. Not personalised financial advice — a research tool, not an individual recommendation. Past performance does not guarantee future results. Last update of this analysis: 2026-09-28. Legal notice, privacy & cookies.