Q: Hi 5i, the last question on Definity, back in Feb, asked about the possibility of DFY being acquired. Since then Swiss Re has taken an almost 10% position. What are your views on this stock going forward. Thx.
5i Research Answer:
DFY continues to execute well, and estimates have been rising. The last quarter was good with a 20% 'beat'. At 15X earnings it is pricier than peers but growing faster. The dividend was raised in February. While the share accumulation is encouraging, we would see DFY as more of a target for a Canadian firm due to its regulated nature. But either way the stock continues to be attractive for income and growth.