MAGELLAN AEROSPACE CORP (MAL.CA) Stock Fundamental Analysis
Canada - TSX:MAL - CA5589122004 - Common Stock
16.45 CAD
-0.5 (-2.95%)
We assign a fundamental rating of 6 out of 10 to MAL. MAL was compared to 12 industry peers in the Aerospace & Defense industry. MAL has a great financial health rating, but its profitability evaluates not so good. MAL has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year MAL was profitable.
MAL had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: MAL reported negative net income in multiple years.
MAL had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of MAL (3.26%) is comparable to the rest of the industry.
The Return On Equity of MAL (4.71%) is better than 83.33% of its industry peers.
MAL has a Return On Invested Capital (3.97%) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.26% | ||
| ROE | 4.71% | ||
| ROIC | 3.97% |
ROA(3y)0.62%
ROA(5y)0.41%
ROE(3y)0.91%
ROE(5y)0.6%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 3.89%, MAL is in line with its industry, outperforming 41.67% of the companies in the same industry.
MAL's Profit Margin has declined in the last couple of years.
MAL has a Operating Margin (6.45%) which is comparable to the rest of the industry.
MAL's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 12.77%, MAL is not doing good in the industry: 83.33% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of MAL has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.45% | ||
| PM (TTM) | 3.89% | ||
| GM | 12.77% |
OM growth 3YN/A
OM growth 5Y-10.81%
PM growth 3YN/A
PM growth 5Y-10.7%
GM growth 3Y24.13%
GM growth 5Y-5.82%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MAL is destroying value.
MAL has about the same amout of shares outstanding than it did 1 year ago.
MAL has less shares outstanding than it did 5 years ago.
The debt/assets ratio for MAL has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.61 indicates that MAL is not in any danger for bankruptcy at the moment.
MAL has a better Altman-Z score (3.61) than 100.00% of its industry peers.
The Debt to FCF ratio of MAL is 1.28, which is an excellent value as it means it would take MAL, only 1.28 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 1.28, MAL belongs to the best of the industry, outperforming 91.67% of the companies in the same industry.
A Debt/Equity ratio of 0.10 indicates that MAL is not too dependend on debt financing.
The Debt to Equity ratio of MAL (0.10) is better than 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 1.28 | ||
| Altman-Z | 3.61 |
ROIC/WACC0.45
WACC8.76%
2.3 Liquidity
MAL has a Current Ratio of 2.61. This indicates that MAL is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 2.61, MAL belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
MAL has a Quick Ratio of 1.49. This is a normal value and indicates that MAL is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of MAL (1.49) is better than 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.61 | ||
| Quick Ratio | 1.49 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 120.00% over the past year.
Measured over the past years, MAL shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -11.62% on average per year.
Looking at the last year, MAL shows a small growth in Revenue. The Revenue has grown by 6.58% in the last year.
The Revenue has been decreasing by -1.50% on average over the past years.
EPS 1Y (TTM)120%
EPS 3YN/A
EPS 5Y-11.62%
EPS Q2Q%-30.77%
Revenue 1Y (TTM)6.58%
Revenue growth 3Y11.04%
Revenue growth 5Y-1.5%
Sales Q2Q%2.83%
3.2 Future
MAL is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 42.60% yearly.
Based on estimates for the next years, MAL will show a small growth in Revenue. The Revenue will grow by 5.99% on average per year.
EPS Next Y45.8%
EPS Next 2Y46.92%
EPS Next 3Y42.6%
EPS Next 5YN/A
Revenue Next Year10.59%
Revenue Next 2Y7.01%
Revenue Next 3Y5.99%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 24.92, the valuation of MAL can be described as rather expensive.
The rest of the industry has a similar Price/Earnings ratio as MAL.
MAL's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.20.
A Price/Forward Earnings ratio of 12.29 indicates a correct valuation of MAL.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MAL indicates a somewhat cheap valuation: MAL is cheaper than 75.00% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.70. MAL is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.92 | ||
| Fwd PE | 12.29 |
4.2 Price Multiples
75.00% of the companies in the same industry are more expensive than MAL, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, MAL is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.06 | ||
| EV/EBITDA | 8.44 |
4.3 Compensation for Growth
MAL's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as MAL's earnings are expected to grow with 42.60% in the coming years.
PEG (NY)0.54
PEG (5Y)N/A
EPS Next 2Y46.92%
EPS Next 3Y42.6%
5. Dividend
5.1 Amount
MAL has a Yearly Dividend Yield of 1.15%.
MAL's Dividend Yield is a higher than the industry average which is at 7.13.
Compared to an average S&P500 Dividend Yield of 2.38, MAL's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.15% |
5.2 History
The dividend of MAL decreases each year by -24.44%.
MAL has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of MAL decreased recently.
Dividend Growth(5Y)-24.44%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
18.83% of the earnings are spent on dividend by MAL. This is a low number and sustainable payout ratio.
DP18.83%
EPS Next 2Y46.92%
EPS Next 3Y42.6%
TSX:MAL (9/16/2025, 7:00:00 PM)
16.45
-0.5 (-2.95%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners2.72%
Inst Owner ChangeN/A
Ins Owners79.31%
Ins Owner ChangeN/A
Market Cap939.95M
Analysts76.67
Price Target19.02 (15.62%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.15% |
Yearly Dividend0.1
Dividend Growth(5Y)-24.44%
DP18.83%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-33.6%
Min EPS beat(2)-61.26%
Max EPS beat(2)-5.94%
EPS beat(4)1
Avg EPS beat(4)-3.53%
Min EPS beat(4)-61.26%
Max EPS beat(4)91.19%
EPS beat(8)1
Avg EPS beat(8)-23.97%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)0.76%
Min Revenue beat(2)-6.78%
Max Revenue beat(2)8.31%
Revenue beat(4)2
Avg Revenue beat(4)-0.29%
Min Revenue beat(4)-8.37%
Max Revenue beat(4)8.31%
Revenue beat(8)3
Avg Revenue beat(8)-0.99%
Revenue beat(12)5
Avg Revenue beat(12)-0.38%
Revenue beat(16)5
Avg Revenue beat(16)-1.16%
PT rev (1m)0%
PT rev (3m)2.75%
EPS NQ rev (1m)-9.09%
EPS NQ rev (3m)N/A
EPS NY rev (1m)-1.65%
EPS NY rev (3m)-1.65%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-1.88%
Revenue NY rev (3m)2.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.92 | ||
| Fwd PE | 12.29 | ||
| P/S | 0.96 | ||
| P/FCF | 13.06 | ||
| P/OCF | 8.38 | ||
| P/B | 1.17 | ||
| P/tB | 1.26 | ||
| EV/EBITDA | 8.44 |
EPS(TTM)0.66
EY4.01%
EPS(NY)1.34
Fwd EY8.14%
FCF(TTM)1.26
FCFY7.65%
OCF(TTM)1.96
OCFY11.94%
SpS17.06
BVpS14.1
TBVpS13.06
PEG (NY)0.54
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.26% | ||
| ROE | 4.71% | ||
| ROCE | 6.92% | ||
| ROIC | 3.97% | ||
| ROICexc | 4.35% | ||
| ROICexgc | 4.67% | ||
| OM | 6.45% | ||
| PM (TTM) | 3.89% | ||
| GM | 12.77% | ||
| FCFM | 7.38% |
ROA(3y)0.62%
ROA(5y)0.41%
ROE(3y)0.91%
ROE(5y)0.6%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-12.16%
ROICexc growth 3YN/A
ROICexc growth 5Y-11.38%
OM growth 3YN/A
OM growth 5Y-10.81%
PM growth 3YN/A
PM growth 5Y-10.7%
GM growth 3Y24.13%
GM growth 5Y-5.82%
F-Score9
Asset Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 1.28 | ||
| Debt/EBITDA | 0.75 | ||
| Cap/Depr | 87.02% | ||
| Cap/Sales | 4.13% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 102.82% | ||
| Profit Quality | 189.74% | ||
| Current Ratio | 2.61 | ||
| Quick Ratio | 1.49 | ||
| Altman-Z | 3.61 |
F-Score9
WACC8.76%
ROIC/WACC0.45
Cap/Depr(3y)57.13%
Cap/Depr(5y)49.71%
Cap/Sales(3y)3.03%
Cap/Sales(5y)2.99%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)120%
EPS 3YN/A
EPS 5Y-11.62%
EPS Q2Q%-30.77%
EPS Next Y45.8%
EPS Next 2Y46.92%
EPS Next 3Y42.6%
EPS Next 5YN/A
Revenue 1Y (TTM)6.58%
Revenue growth 3Y11.04%
Revenue growth 5Y-1.5%
Sales Q2Q%2.83%
Revenue Next Year10.59%
Revenue Next 2Y7.01%
Revenue Next 3Y5.99%
Revenue Next 5YN/A
EBIT growth 1Y72.79%
EBIT growth 3YN/A
EBIT growth 5Y-12.15%
EBIT Next Year189.52%
EBIT Next 3Y62.09%
EBIT Next 5YN/A
FCF growth 1Y1657.38%
FCF growth 3YN/A
FCF growth 5Y3.82%
OCF growth 1Y603.22%
OCF growth 3Y99.39%
OCF growth 5Y-0.96%