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Fairfax Financial Holdings (FFH) Fair Value & Analysis

Financial Services · CA · Market cap C$47.9B

FF Fairfax Financial Holdings FFH · TO
PriceC$2,378
Fair ValueC$3,252
Upside+36.8%
Quality59/100
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Mixed Growth
Solidly profitable · 11.7% net margin
Low debt · generates free cash flow
0.63% dividend yield
Ranks above peers (10/15)
Moderate moat 59/100
Evidence: Medium Range C$2,439 – C$4,065 Share as image

Fair value as of: Jul 16, 2026

From 26 valuation models · updated 22 days ago

Share price −1.4% over the past month.

A solid business, screening 37% undervalued on our models.

What matters now

  • The price is below even our cautious bear case (C$2,439). The market is more pessimistic than our downside scenario.
  • Solid quality (59/100) at a price below fair value, the discount is the argument here, not the business quality.
  • For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
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Price vs Fair Value (5 years)

C$2,603 C$462.74 Fair Value C$3,252 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 16, 2026.

How to read this chart

60‑month range C$462.74 – C$2,603 · fair‑value band C$2,439 – C$4,065 · the C$2,378 price screens below the C$3,252 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 16, 2026.

Full chart & analysis →

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Analysis

Fairfax Financial Holdings (FFH) currently trades at C$2,378, while our model-based Fair Value estimate is C$3,252, implying the stock looks roughly 36.8% undervalued today. We read business quality at 59/100 (solid quality), in the Financial Services sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: medium), always confirm before acting.

Over the trailing twelve months, Fairfax Financial Holdings generated revenue of C$38.6B at a net margin of 11.7%. Revenue declined 7.8% year over year. It earns a return on equity of 17.2%. Net debt stands at C$3.2B. Fundamentals as of Jul 16, 2026

Our scenario range runs from C$2,439 (bear case) to C$4,065 (bull case); at C$2,378, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 11% below its 52-week high and 15% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at 4% fair-value upside, at 37%, FFH screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF C$1,613 C$2,760 C$4,677 80
Residual Income C$1,672 C$2,317 C$10,245 76
Rev-Margin DCF C$2,397 C$4,338 C$6,804 74
All 26 models by family
DCF Models
FCF DCF C$1,620 C$2,853 C$4,962 38
Owner Earnings C$3,323 C$5,875 C$10,239 31
5Y Revenue Exit C$2,397 C$4,409 C$7,160 39
5Y EBITDA Exit C$2,834 C$5,297 C$8,393 41
5Y P/E Exit C$2,871 C$5,374 C$8,230 38
10Y Revenue Exit C$2,025 C$3,845 C$6,658 36
10Y EBITDA Exit C$2,407 C$4,491 C$7,678 37
10Y P/E Exit C$2,432 C$4,547 C$7,543 35
Earnings-Based
Graham-Dodd C$1,701 C$7,544 C$10,331 54
Lynch FV C$1,956 C$2,794 C$3,633 50
PEG = 1.0 C$1,956 C$2,794 C$3,633 46
EPV C$2,665 C$3,105 C$3,490 59
Dividend Discount
Gordon GGM C$177.18 C$368.39 C$584.41 70
DDM Multi-Stage C$177.18 C$310.63 C$386.63 61
Multiples
P/E Multiple C$3,753 C$5,004 C$6,254 63
P/S Multiple C$2,989 C$3,985 C$4,981 58
P/B Multiple C$3,122 C$4,162 C$5,203 55
EV/EBIT C$4,585 C$6,104 C$7,624 53
EV/EBITDA C$3,720 C$4,950 C$6,181 54
EV/Revenue C$2,817 C$4,012 C$5,207 43
Asset-Based
NCAV (Graham) C$693.70 C$929.56 C$1,387 50
Growth DCF
Growth DCF C$1,613 C$2,760 C$4,677 80
Rev-Margin DCF C$2,397 C$4,338 C$6,804 74
Economic Profit
Residual Income C$1,672 C$2,317 C$10,245 76
ROIC Compounder C$3,009 C$4,023 C$5,334 72
Growth Earnings
Growth-Adj P/E C$3,122 C$4,461 C$5,799 68

Widest divergence: DCF Models (C$4,491) versus Dividend Discount (C$310.63). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) C$38.6B
Revenue growth (YoY) -7.8%
Net margin 11.7%
Return on equity 17.2%
Free cash flow C$2.4B FY2025
P/E ratio 7.9
More key figures
Operating margin 14.4%
EPS (TTM) C$280.92
Dividend yield 0.7%
EPS growth (YoY) -27.1%
Net debt C$3.2B FY2025

Figures from reported company fundamentals · as of Jul 16, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 59/100

Of which business quality 55 · Market factors (momentum, volatility) 58

Profitability 39
Margins and returns on capital today
Quality Growth 55
Are margins and returns improving?
Cashflow 42
Earnings quality: real cash, not paper profit
Fin. Strength 51
Balance sheet, leverage, solvency risk
Investment 63
Disciplined investing over empire-building
Low Volatility 91
Calm price path (market factor)
Momentum 46
Price trend over the last 3–12 months (market factor)
52W Momentum 42
Distance to the 52-week high (market factor)
Net Issuance 100
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Fairfax Financial Holdings Limited, through its subsidiaries, provides property and casualty insurance and reinsurance, and investment management services in Canada, the United States, the Middle East and Asia, and internationally.

Full company description

Fairfax Financial Holdings Limited, through its subsidiaries, provides property and casualty insurance and reinsurance, and investment management services in Canada, the United States, the Middle East and Asia, and internationally. It operates through Property and Casualty Insurance and Reinsurance; Life insurance and Run-off; and Non-Insurance Companies segments. The company offers property insurance, which insures against losses to property from fire, explosion, and terrorism, as well as natural perils, such as earthquake, windstorm, and flood; and engineering problems, including boiler explosion, machinery breakdown, and construction defects. It also provides casualty insurance, which insures against accidents, and workers' compensation and automobile; employers' liability, accident and health, medical malpractice, cyber, and professional liability and umbrella coverage; specialty insurance comprising marine, aerospace and surety risk, and other various risks and liabilities; and reinsurance products. In addition, the company engages in the franchising, owning, and operating of restaurants; specialty sleep retailing; sports lifestyle retailing; owns and operates holiday resorts; originates, processes, and distributes value-added pulses and staple food; develops, invests, and manages hospitality real estate; and designs, manufactures, and distributes performance sports related equipment, and related apparel and accessories. Further, it offers travel and travel-related financial services; infrastructure support services; advanced digital tools for agriculture; and value-added milk, fats, fresh confectionery, and plant-based bulk ingredients. The company was formerly known as Markel Financial Holdings Limited and changed its name to Fairfax Financial Holdings Limited in 1987. Fairfax Financial Holdings Limited was incorporated in 1951 and is headquartered in Toronto, Canada.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Fairfax Financial Holdings reported revenue of C$30.4B in FY2025 versus C$25.8B in FY2021, a compound +4.2%/yr. Reported net income was C$4.8B in FY2025, compounding +8.8%/yr from FY2021.

Growth Quality 74/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
C$30.4B
Latest YoY
+6.9%
Avg. growth/yr (3Y)
+15.8%
Avg. growth/yr (5Y)
+8.9%
Avg. growth/yr (32Y)
+16.0%
Revenue +4.2%/yr
FY21 C$25.8B
FY22 C$19.6B
FY23 C$25.8B
FY24 C$28.4B
FY25 C$30.4B
Net income +8.8%/yr
FY21 C$3.4B
FY22 C$3.4B
FY23 C$4.4B
FY24 C$3.9B
FY25 C$4.8B

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Cite: Fair Value Calculator (2026). "Fairfax Financial Holdings Fair Value". https://www.fairvalue-calculator.com/stock/FFH

Recent news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Insurance - Property & Casualty · 120 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 60 · Below median
Fair Value upside +37% · Above median
Return on equity (TTM) 17% · Above median
Return on assets 4% · Above median
Net margin (TTM) 12% · Above median
Operating margin (TTM) 14% · Above median
Revenue growth -8% · Bottom 25%
Dividend yield (TTM) 0.6% · Bottom 25%
Debt / equity 0.42× · Higher than 75% of peers

Valuation Multiples vs Insurance - Property & Casualty median · lower = cheaper

P/E (TTM) 8.1× · Cheaper than median
P/B 1.30× · Cheaper than median
P/S (TTM) 0.89× · Cheaper than median
P/FCF 14.3× · Pricier than 75% of peers
EV/EBITDA 4.5× · Cheaper than 75% of peers
PEG 0.28× · Cheaper than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 82 · sector 41
FUTURE 0 · sector 31
PAST 69 · sector 56
HEALTH 79 · sector 92
DIVIDEND 13 · sector 48

Insider activity: 45/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Insurance - Property & Casualty stocks, each showing price versus our Fair Value estimate (as of Jul 16, 2026).

Stock Price Fair Value vs Fair Value
The Progressive Corporation PGR $234.48 $252.50 +8%
Chubb Limited CB $337.44 $345.56 +2%
The Travelers Companies, Inc TRV $368.98 $384.42 +4%
The Allstate Corporation ALL $251.61 $503.22 +100%
The People's Insurance Company 601319 ¥7.06 ¥13.71 +94%
Intact Financial Corporation IFC C$294.02 C$247.44 -16%
QBE Insurance Group QBE A$25.47 A$19.42 -24%
Samsung Fire & Marine Insurance Co 000810 648,000 KRW 658,771 KRW +2%
Powszechny Zaklad Ubezpieczen SA PZU 69.80 PLN 100.85 PLN +44%
Gjensidige Forsikring ASA GJF kr 277.00 kr 170.47 -38%

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Frequently asked questions

Is Fairfax Financial Holdings (FFH) overvalued or undervalued?
As of Jul 16, 2026, our model estimates a fair value of C$3,252 versus a price of C$2,378, about +37% (undervalued).
What is the fair value of FFH?
Our model-based fair value for Fairfax Financial Holdings is C$3,252 (as of Jul 16, 2026), built from audited fundamentals. The current price is C$2,378.
What is the quality score of FFH?
Fairfax Financial Holdings has a Quality Score of 59/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of Fairfax Financial Holdings (FFH)?
Fairfax Financial Holdings reported trailing-twelve-month revenue of about C$38.6B (latest available figure, as of Jul 16, 2026).
What is the net profit margin of FFH?
The net profit margin of Fairfax Financial Holdings is about 11.7%, meaning it keeps roughly 11.7% of revenue as net income. Based on the latest reported figures.
Does Fairfax Financial Holdings pay a dividend?
Fairfax Financial Holdings currently shows a dividend yield of about 0.68% relative to its recent price (as of Jul 16, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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