|Bid||24.88 x 0|
|Ask||24.89 x 0|
|Day's Range||24.86 - 25.29|
|52 Week Range||12.48 - 25.45|
|Beta (3Y Monthly)||1.74|
|PE Ratio (TTM)||13.64|
|Earnings Date||Nov 5, 2019 - Nov 11, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||26.50|
Equitable Group Inc. (TSX:EQB) is one of the two top real-estate stocks that will continue to benefit from Canada;s housing boom.
TORONTO — Home Capital Group Inc. beat expectations as its earnings surged in the second quarter.The alternative mortgage lender says it earned $31.9 million or 53 cents per diluted share for the period ended June 30, up from $29.6 million or 37 cents per share a year earlier.Excluding one-time items, adjusted earnings grew 56.8 per cent to 58 cents per share, from 37 cents per share in the prior year.Net interest income rose 3.7 per cent year over year to $97.5 million from $84.1 million.Home Capital saw mortgage originations rise by $50 million or four per cent to $1.28 billion while loans under administration climbed 1.7 per cent to $22.9 billion.The Toronto-based lender was expected to post 51 cents per share in adjusted earnings on $94 million in net interest income.The company says conditions in the Canadian real estate market should continue to support stable, profitable growth for the rest of 2019."We have made substantial progress in our operations in the first half of 2019," stated CEO Yousry Bissada. Companies in this story: (TSX:HCG)The Canadian Press
Home Capital Group Inc. today reported financial results for the three and six months ended June 30, 2019. This press release should be read in conjunction with the Company’s 2019 Second Quarter Report including Financial Statements and Management’s Discussion and Analysis , which are available on Home Capital’s website at www.homecapital.com and on SEDAR at www.sedar.com.
Equitable Group Inc's (TSX:EQB) stock offers value, income and growth. No Canadian Dividend Aristocrat has matched its pace of dividend growth.
(Bloomberg) -- Equitable Group Inc. and Home Capital Group Inc. are reaping a windfall from Canada’s tighter mortgage regulations.Shares of the alternative lenders are surging as homebuyers seek financing outside the big banks in the wake of new mortgage rules imposed last year and as home prices in big cities such as Toronto remain lofty.Equitable was up 16% to a record C$93.69 at 1:08 p.m. in Toronto after reporting earnings Tuesday that blew past analysts expectations. Home Capital, which was bailed out by Warren Buffett’s Berkshire Hathaway Inc. in 2017, climbed 7.5% to its highest in more than two years.The rules are making it difficult for some homebuyers to qualify at the big banks but they’re still good credits, said Equitable Chief Executive Officer Andrew Moor. The company controls about 35% of the alternative mortgage market in Canada and should see more business amid forecasts for lower interest rates and high levels of immigration, he said.“We certainly have seen our client portfolio quality improve over the last couple of years,” Moor said in an interview. “The general risk of a house-price correction gets reduced as these rules now get embedded in the system. It’s a structural permanent shift and we will continue to see higher credit quality than we’ve ever had.”Earnings SurpriseEquitable reported record earnings and a surge in principal retail loans outstanding of C$16.9 billion ($12.8 billion), up 23% from a year ago. Commercial loans outstanding rose 19% to C$7.9 billion. The company said it will increase its dividend at a rate of 20% to 25% per year over the next five years, up from a previous target of 10% per year.Home Capital is due to report on Aug. 7, with profit seen up about 7%, according to analysts surveyed by Bloomberg.Equitable also operates Equitable Bank, which offers high-interest savings accounts and guaranteed investment certificates at higher rates than the big banks.“People understand that Equitable challenges banks and we have really embraced the digital future as a bank online platform,” Moor said.While all the analysts covering the company have increased their price targets, the stock trades at only 7.6 times estimated forward earnings per share, versus 10 times for comparable companies, according to data compiled by Bloomberg.“We certainly see people interested in buying” the company, Moor said. “Our thinking is that we can keep growing, we are the ninth-largest bank in Canada, we’re growing faster than any of the other ones.”To contact the reporter on this story: Paula Sambo in Toronto at email@example.comTo contact the editors responsible for this story: Nikolaj Gammeltoft at firstname.lastname@example.org, Jacqueline Thorpe, David ScanlanFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Find out why shares in Toronto-based alternative lender Home Capital Group Inc (TSX:HCG) are up over 55% in 2019 thanks to recent changes in how Canada regulates new mortgage applications.
The housing market looks much healthier this summer, and that has pushed stocks like Home Capital Group Inc. (TSX:HCG) to 52-week highs.