FFH:TSXFairfax Financial Holdings Limited Analysis
Data as of 2026-03-10 - not real-time
CA$2,242.19
Latest Price
4/10Risk
Risk Level: Medium
Executive Summary
Fairfax Financial presents a compelling blend of value and stability, anchored by a trailing P/E that sits well below the industry average and a dividend yield that, while modest, is supported by a very low payout ratio. Strong operating margins and robust free cash flow underscore the company’s ability to generate earnings even in a volatile environment. The stock trades at a price-to-book multiple that reflects a modest premium to its book value, suggesting the market still places confidence in its asset base. Recent material announcements around strategic agreements hint at continued diversification and potential upside. Technical indicators show a neutral trend with a bearish MACD divergence and an RSI that is edging toward oversold territory, indicating short‑term caution. Overall, the combination of solid fundamentals and a low‑beta profile makes Fairfax a candidate for patient investors seeking steady returns.
Market Outlook
Short Term
< 1 yearNeutral
Model confidence: 6/10
Key Factors
- Bearish MACD histogram suggests limited upside in the near term
- RSI approaching oversold levels may limit downside risk
- Upcoming dividend payment provides short‑term yield
Medium Term
1–3 yearsPositive
Model confidence: 7/10
Key Factors
- Low valuation multiples relative to peers
- Strong return on equity and cash generation
- Sustainable dividend with ample coverage
Long Term
> 3 yearsPositive
Model confidence: 8/10
Key Factors
- Diversified underwriting engine and investment float
- Low beta indicating reduced market volatility exposure
- Strategic growth initiatives and global diversification
Key Metrics & Analysis
Financial Health
Revenue Growth9.60%
Profit Margin12.14%
P/E Ratio7.7
ROE17.84%
ROA4.44%
Debt/Equity48.05
P/B Ratio1.3
Op. Cash FlowCA$2.4B
Free Cash FlowCA$2.3B
Industry P/E17.4
Technical Analysis
TrendNeutral
RSI36.9
SupportCA$2,151.07
ResistanceCA$2,388.00
MA 20CA$2,323.79
MA 50CA$2,393.18
MA 200CA$2,389.59
MACDBearish
VolumeIncreasing
Fear & Greed Index75.71
Valuation
Fair ValueCA$1,872.99
Target PriceCA$2,643.68
Upside/Downside17.91%
GradeFair
TypeBlend
Dividend Yield0.93%
Risk Assessment
Beta0.45
Volatility21.65%
Sector RiskMedium
Reg. RiskMedium
Geo RiskMedium
Currency RiskLow
Liquidity RiskLow
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This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.