Q: Just wanted to get your current views on SLF in light of last week's earnings. I note RBC's recent comments...
“SLF’s underlying EPS was higher than our estimate and consensus, but the U.S. segment had higher than expected experience losses related to Dental and stop-loss,” he said. “We do not expect material unfavourable stop-loss experience to persist into 2026, but we expect the Dental business to remain challenged throughout our forecast period; we lower our U.S. estimates.”"
I have noticed challenges with the US segment in recent quarters, so wondering if you would ADD or HOLD at current levels.
Thank you for the great service.
“SLF’s underlying EPS was higher than our estimate and consensus, but the U.S. segment had higher than expected experience losses related to Dental and stop-loss,” he said. “We do not expect material unfavourable stop-loss experience to persist into 2026, but we expect the Dental business to remain challenged throughout our forecast period; we lower our U.S. estimates.”"
I have noticed challenges with the US segment in recent quarters, so wondering if you would ADD or HOLD at current levels.
Thank you for the great service.
5i Research Answer:
SLF has treaded water a bit over the last year but the insurers in general have had a tougher...