Canadian stock alert
CLOSING UPDATE: Fairfax Financial Class U up 3.0% in 2 days 26 July 2017 18:22 EDT
NEWS BITES - NORTH AMERICA
This is an end of day Alert, produced after today's Canadian market close. It concludes the BSS News Bites intra-day Alert series (summaries below).
Fairfax Financial Class U, Canada's 2nd largest insurance - property & casualty company by market capitalisation, extended its gains on Wednesday, rising an additional $US4.0 (or 0.9%) to trade at $US470.0. Trading volume was 1.2 times average at the end of the day. The shares have risen $US13.56 (or 3.0%) over the past two trading days vs. the S&P/TSX 60 Index which has risen 0.04% in the same period.
Technical indicators complementing today's significant uptrend:
+ In the Canadian market, the stock's relative price strength percentile is improving at 52 for 6 months, 71 for 3 months and 79 for 1 month.
+ The price lifted 3.0% in the last week and jumped 6.6% in the last month.
Other Bullish Signals include:
+ Tobin's Q Ratio is 0.3. Compared with the rest of the market the stock is undervalued and ranks in the top quartile of stock by value of Q Ratio.
Fairfax Financial Class U today is at a discount of 19.8% to the 12-month high of $US585.98 on 06 Sep, 2016. It is at a premium of 12.7% to the 12-month low of $US417.0 on 21 Jun, 2017.
In the last three months the stock has hit a new 52-week low four times, pointing to a downtrend.
Net profit margin has averaged 3.4% in the last 3 years. This suggests the company is less profitable with a low margin of safety.
Fundamental measures by comparison with the sector average [in brackets] indicate:
Price/Sales of 1.3 [0.4]
Price to Book of 3.5 [0.7]
Dividend yield of 2.1% [2.9%]
Afternoon Alert: Fairfax Financial Class U in 2nd consecutive rise, nears six-month high
26 July 2017 12:20 EDT
Fairfax Financial Holdings Limited (TSX:FFH.U) extended its gains Wednesday, rising an additional $US4.0 (or 0.9%) to trade at $US470.0. The stock lifted 2.09% on Tuesday bringing its 2-day rise to 3.0%. It is now testing its 126-day high of $US470.0.
Fairfax Financial Holdings Limited (T:FFH.U; TSE:FFH.U; N:FFH.U; CN:FFH.U)
CIK: Fairfax Financial Holdings Limited