-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
IAG reported quarterly core diluted EPS of CAD3.25 (+12% Y/Y), with core earnings of CAD298M up 9% Y/Y. Wealth Management drove strong performance, with core earnings of CAD131M up 24%, while Insurance - Canada declined to CAD96M from CAD100M due to CAD3M in morbidity experience losses. The company achieved its 2026 ROE target early, reaching 17.5%, and enhanced shareholder returns by increasing NCIB capacity to 8% of public float and raising the quarterly dividend 11% to CAD1.10. Assets under management and administration reached CAD346.1B (+31%), supported by robust segregated fund sales of CAD2.4B. The solvency ratio of 134% reflects solid organic capital generation of CAD155M, beating prior year by CAD30M. We believe IAG's significant exposure to equity markets and robust distribution networks position it well for continued growth, with segregated and mutual fund sales growth of 23% and 30%, respectively, demonstrating the underlying strength of its product offerings and extensive market reach.