RBC Capital Markets raised its price target on Manulife Financial Corp. (MFC.TO, MFC) to $51 from $49.

Analyst Darko Mihelic maintained an Outperform rating on shares of the Canadian multinational insurance and financial services company.

"MFC's core EPS was stronger than we expected," Mihelic said in a note to clients. "Corporate was the segment with the largest positive difference relative to our estimates in part due to higher than expected earnings on surplus and some of this might be sustainable."

"The lifeco continues to impress with solid earnings in all segments, with this quarter highlighting GWAM," the analyst said. "In addition, MFC announced a solid dividend increase and more buybacks."

"We raise our estimates conservatively as we believe some recent positive experience likely normalizes lower."

(MT Newswires covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www.mtnewswires.com/contact-us)