Sun Life shares: price, dividends and performance

James Rodriguez James Rodriguez  updated on 2022-06-15

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Sun Life stock has shown its performance over time offering investors a relatively low but stable return.

How much can you make with Sun Life stock?

Get up-to-date and precise information on Sun Life stock with its current price, dividend yield, analysis and our opinion.

This page is for information purposes only and does not constitute investment advice. Remember that investing can be risky.

Want to buy shares in Sun Life: Our key take-aways

Stock Exchange: TSX

  • Stock Index: S&P/TSX 60
  • Dividend 2021: $1,849
  • Dividend forecast 2022: N/A
  • 1 year performance: +14.78%.

Should I buy Sun Life stock?

Sun Life Financial is an attractive stock because it is solid and relatively stable over time.

The group has been offering a regular dividend for over 21 years and has just increased its dividend in 2021. Although the yield on this stock is relatively low, it offers the advantage of being maintained over time.
Moreover, the group's share has already recorded remarkable performances in the past, with an increase of more than 230% over the last ten years.

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How can I buy shares in Sun Life ?  

To buy Sun Life on the stock market:

  1. Find an online broker offering stock investments.
  2. Open your trading account by filling out a simple form.
  3. Deposit funds into your account.
  4. Search for the stock
  5. Place a buy order to add Sun Life to your stock portfolio.

To invest in Sun Life, you can go through a traditional investment firm, an online brokerage or speak with a financial advisor.

How much are Sun Life shares?

See price chart below to follow Sun Life stock price in real time.

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Why Sun Life shares could go up:

There are currently a number of factors that support a bullish move in Sun Life's share price:

  • A strong global company: Sun Life Financial Group is a Fortune 500 and Forbes Global 2000 company.
  • Strong investment management presence: Sun Life also has a strong presence in the investment management segment with solid assets under management in many countries.
  • Diversified expertise: The group has extensive expertise in life insurance, asset management and pensions, which are highly profitable and rewarding segments.
  • A solid and growing capital base: the group benefits from a solid and growing capital base which has enabled it to resist market changes with a very strong balance sheet.
  • International presence: Sun Life also protects itself from the risks associated with certain economic zones by having an international presence. It currently operates in some 15 countries and is expected to further expand its presence in the coming years. In particular, it could increase its presence in Asia in the Chinese and Indian markets.
  • Resilience to market movements: Sun Life has finally focused its strategy on its core business and can thus protect itself from market fluctuations and movements to which it is relatively insensitive.
  • Increased dividend: finally, after suspending its dividend payment due to the Covid-19 pandemic, the group has decided to pay it again and even increase it in order to compensate shareholders for the shortfall. Its payout policy is currently 40 to 50% of profits.

Why Sun Life shares could go down:

The group also has a few weak points that are signals of a probable decline in the price of this stock, including

  • A strong dependence on the American market: even today, the American market represents the most important source of Sun Life's profits. This presents a significant risk in the event of a major economic crisis in that country.
  • Lower cost structure: Sun Life has a lower cost structure than its competitors, which can affect profitability.
  • Complex regulations: In the U.S. market in particular, but also in some other international markets, the Group may face increased rigor in regulatory compliance, which may result in higher costs.
  • Increasing competition: the company will likely face increasing competition from new entrants in the coming years, which could reduce its market share.

Can I buy Sun Life stock online?

Yes! You can buy Sun Life shares online. For many buys this is the best way to do it. Here's why:

  • The commissions are lower
  • You can choose your own investments
  • You benefit from analysis and decision support tools
  • You can invest in stocks directly or through derivatives like ETFs.

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How can I sell my Sun Life shares? 

In order to sell Sun Life shares, it is necessary to hold them in a traditional stock market portfolio and investment vehicle. These vehicles do not allow for short selling outside of the margin account, which presents additional risks.

However, it is also possible to bet on the decline in the price of this stock in the shorter term without actually owning or selling it, by using derivative products such as CFDs and options.

What investment vehicles in Canada can hold Sun Life stock? 

Sun Life shares can be placed in several different savings vehicles including" 

  • RRSPs: these registered retirement savings plans offer funds that are accessible at the time of retirement and offer an income tax deferral.
  • TFSAs: tax-free savings accounts is an incredibly popular short-and long-term tax-free investment vehicle.
  • Margin accounts: This account offers leverage and allows you to borrow against the value of the securities you hold to make other investments. It allows you to sell short.
  • Cash accounts: This account allows you to trade stocks on North American markets only. 

You may choose to purchase Sun Life shares directly and for cash in the market with your traditional investment products. In this case, these shares are purchased individually with the desired number of units.

But another way to invest in this stock is through an equity ETF or ETF that are baskets of various stocks or sectors if they contain Sun Life stock.

Sun Life share price history over 10 years:

Time periodGrowthHighLow
1 week-2.60%72.7170.23
1 month1.44%72.7170.23
3 months0.20%72.7168.48
6 months9.57%72.7167.28
1 year14.78%72.7162.72
3 years44.95%72.7158.72
5 years36.08%72.7135.43
10 years231.92%72.7119.69
Sun Life 10-year performance

Sun Life dividends and payment dates

In 2021, Sun Life's cumulative annual dividend to its shareholders reached $1.85 per share.

This dividend is paid in four installments, quarterly, in February, May, August and November.

Thus and in 2021, shareholders received $0.437 per share in February, $0.457 in May, $0.435 in August and $0.520 in November. The annualized return on this stock is therefore 3.25%.

The group has not yet communicated the amount of the dividend that will be paid in 2022.

Dividend: payout 2021Payout 1Payout 2Payout 3Payout 4
Ex-dividend date01/03/202125/05/202125/08/202124/11/2021
Date:31/03/202130/06/202129/09/202131/12/2021
Dividend per stock$0.4344 per stock$0.4556 per stock$0.55 per stock$0.4429 per stock
Sun Life 2021 Dividends: dates and amounts

What is the dividend yield for Sun Life over the last 10 years?

20121.438-1.3%1.35
20131.034-28.09%1.21
20140.975-5.71%0.99
20151.19422.46%1.18
20161.2222.35%1.09
20171.021-16.45%0.99
20181.46543.49%1.19
20191.5817.92%1.17
20201.247-21.13%0.98
20211.84948.28%1.06
Sun Life divident history

The yield on Sun Life shares is obtained by dividing the annual dividend by the annual average price.

A stock's yield provides key information about a company's dividend policy and its evolution over time and performance.

Annual gross shareholder return = Total dividend for the year ÷ average share price for the same year

The 10-year average return = Sum of annual returns ÷ 10

What analysts are saying about Sun Life stock:

A critical analysis of Sun Life stock:

The fundamental analysis of Sun Life stock is not particularly positive for a long-term investment, but it does offer some strengths:

  • Attractive earnings multiples: the company's 2021 P/E is 10.77 and its 2022 P/E is 11.53, making it one of the cheapest stocks on the market.
  • Upwardly revised performance expectations: Earnings per share or EPS revisions have been increasing positively in recent months and analysts are anticipating higher profitability today.
  • Weak Growth Outlook: Sun Life's revenue growth outlook is relatively weak in the coming years according to leading analyst estimates. Most of the analysts who cover this issue have recently revised their revenue forecasts downward and are anticipating a further decline in business.
  • A deterioration of the consensus: Finally, the consensus of analysts who cover the file has deteriorated significantly over the last four months.

A technical analysis of Sun Life stock:

Technical analysis of Sun Life Financial's share price is returning neutral signals currently and in the context of a medium to long-term strategy with the following indicators:

  • The RSI is currently at 67.37, which does not give a specific signal.
  • The MACD is currently at 4.23, which is an interesting buy signal.
  • This is also the case for the simple moving averages and the exponential moving averages over all periods, which return a bullish signal and therefore a buy signal.
  • Finally, the stochastics give a relatively strong sell signal.
  • The next support levels for this stock are at 60.31 and 50.21 and the next resistance levels are at 76.12 and 81.83.

Who is Sun Life?

The Sun Life Financial group of companies is a Canadian company operating in the financial sector. Specifically, it is a financial services company with a diverse range of insurance, wealth management and asset management solutions.

The Sun Life Group's operations are divided into different segments including:

  • Canada: The Canada segment provides protection, health and wealth solutions and generates 62.7% of revenue.
  • United States: the US segment offers group benefits with group insurance products and services in the US market. It generates 36.5% of revenue.
  • Asset Management: Asset Management includes MFS and SLC Management. MFS is an asset management company offering a selection of financial products and services and SLC Management is an institutional investment management firm offering liability-driven, fixed income, alternative, infrastructure and real estate investment solutions. It generates 14.3% of revenue.
  • Asia: the Asian segment is composed of two business units with Local Markets offering life insurance, health insurance, wealth and asset management solutions and International Gubs offering insurance and wealth products. It generates 22.24% of turnover.

The Sun Life Financial group currently employs 28,316 people.

Who are Sun Life’s competitors?

Sun Life Financial is one of the most important players in North America today, but it still has to face some competition from other players that we propose to discover here in more detail:

  • Met Life: MetLife or Metropolitan Life Insurance Company is an insurance company in the United States which markets in particular loan insurances and guarantees of providence for the individuals, the professionals and the intermediaries or brokers. It is one of the world's largest insurance providers, operating in some 60 countries.
  • RBC: Royal Bank of Canada or RBC operates, along with its various subsidiaries, under the master brand name RBC Financial Group. It is currently one of Canada's largest banks in terms of market capitalization and assets and one of the largest diversified financial services companies in North America.
  • The Hartford: The Hartford Group is a U.S. insurance company that is also among the largest in North America and therefore also competes with Sun Life.
  • AXA: AXA is a French international group that specializes in insurance. It owns and operates a subsidiary in the United States, AXA US, which competes directly with Sun Life Financial's activities.
  • Manulife: Manulife Financial is a Canadian insurance company that competes with the Sun Life Group in this territory. It is based in Toronto, Ontario, but also has a head office in Montreal, Quebec. Manulife also operates in the U.S. market through its subsidiary John Hancock Insurance and in 19 other countries around the world. The company currently employs 47,000 employees and agents. It is the largest insurance company in the Canadian market and the second largest in North America by market capitalization.

Who are Sun Life’s partners?

Now we're taking a look at who Sun Life Financial's major partners are with their recent strategic alliances:

  • National Bank: Sun Life and National Bank have, among other things, established a strategic partnership to provide Sun Life advisors with access to National Bank's suite of debt products for its clients.
  • Dialogue Technologies: Sun Life also recently acquired an additional 6 million common shares in Dialogue Technologies for a total of $48.3 million.
  • Tien Phing Bank: Sun Life's subsidiary in Vietnam has established a strategic partnership with Tien Phing Bank in the field of bank assurance for a period of 15 years. The insurer wants to take advantage of the bank's distribution network in order to get closer to its 2.5 million customers.
  • CGI: The financial company has also selected CGI Group as its IT services provider for the management of its UK infrastructure.
  • Amazon Web Services: Finally, the group has also partnered with Amazon Web Services to serve as its long-term cloud technology strategy provider. Sun Life will use AWS' portfolio of cloud technologies including analytics, machine learning, storage, security and databases. The company explained that this will allow it to become the first company in Canada to introduce an immersed cloud skills training program for its employees.