Topic: How To Invest

Dividend Advisor Hotline – Friday, February 19, 2021

Article Excerpt

INTACT FINANCIAL CORP., $144.33, Toronto symbol IFC, is a buy. The company is Canada’s largest provider of property and casualty insurance. Intact insures more than five million individuals and businesses. Its major brands are Intact Insurance, Canada BrokerLink and belairdirect. Intact last raised its quarterly dividend by 9.2% in March 2020, to $0.83 a share from $0.76. The annual rate of $3.32 yields 2.3%. Due to uncertainty over COVID-19, Intact has delayed the regular 2021 dividend increase to later in the year. In a bid to add value for investors, the company acquired OneBeacon Insurance Group for $1.7 billion U.S. in September 2017. The Minnesota-based insurance holding company focuses on property-casualty insurance. Through its businesses, the firm provides a range of specialty insurance products. OneBeacon represented Intact’s entry into the U.S. market to drive future growth. Still expanding beyond its home market, plus an acquisition of this size, adds risk. The firm is nonetheless turning out to be a great fit for Intact, which…

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