BUZZ-Canada's iA Financial rises after Q4 profit beats expectations

Shares of Canadian insurer iA Financial IAG.TO rise as much as 6.8%; last up 4.5% at C$138.87

IAG on Tuesday reported Q4 core earnings of C$287 million ($202.03 million), or C$3.04/shr, beating analysts' expectations of C$2.80/shr, according to estimates compiled by LSEG

Q4 premiums and deposits jumped 39% to C$5.7 billion, driven by strong sales momentum in both Canada and the U.S.

Core earnings from IAG's domestic insurance business soared 49%, while the wealth management arm saw a 23% jump

Scotiabank analyst Meny Grauman says IAG's earnings beat was "lower quality" as it was largely driven by better-than-expected insurance results and lower-than-expected tax rate

Still, IAG stock continues to show strong momentum heading into the upcoming investor day as sales trends remain impressive, Grauman says

IAG stock jumped 47.6% in 2024

($1 = 1.4206 Canadian dollars)