MATSON INC (MATX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:MATX - US57686G1058 - Common Stock
158.94 USD
-1.36 (-0.85%)
158.94 USD
0 (0%)
Taking everything into account, MATX scores 6 out of 10 in our fundamental rating. MATX was compared to 35 industry peers in the Marine Transportation industry. MATX has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. MATX has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- MATX had positive earnings in the past year.
- MATX had a positive operating cash flow in the past year.
- MATX had positive earnings in each of the past 5 years.
- Each year in the past 5 years MATX had a positive operating cash flow.
1.2 Ratios
- With an excellent Return On Assets value of 9.34%, MATX belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
- MATX's Return On Equity of 15.98% is amongst the best of the industry. MATX outperforms 82.86% of its industry peers.
- MATX's Return On Invested Capital of 9.60% is amongst the best of the industry. MATX outperforms 82.86% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for MATX is significantly above the industry average of 7.59%.
- The last Return On Invested Capital (9.60%) for MATX is well below the 3 year average (15.04%), which needs to be investigated, but indicates that MATX had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.34% | ||
| ROE | 15.98% | ||
| ROIC | 9.6% |
ROA(3y)13.95%
ROA(5y)14.72%
ROE(3y)25.55%
ROE(5y)30.47%
ROIC(3y)15.04%
ROIC(5y)16.56%
1.3 Margins
- MATX has a better Profit Margin (12.70%) than 68.57% of its industry peers.
- MATX's Profit Margin has improved in the last couple of years.
- MATX has a Operating Margin (14.48%) which is comparable to the rest of the industry.
- In the last couple of years the Operating Margin of MATX has grown nicely.
- The Gross Margin of MATX (23.29%) is worse than 71.43% of its industry peers.
- MATX's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.48% | ||
| PM (TTM) | 12.7% | ||
| GM | 23.29% |
OM growth 3Y-17.57%
OM growth 5Y26.84%
PM growth 3Y-16.16%
PM growth 5Y29.97%
GM growth 3Y-10.46%
GM growth 5Y11.13%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), MATX is creating value.
- Compared to 1 year ago, MATX has less shares outstanding
- The number of shares outstanding for MATX has been reduced compared to 5 years ago.
- MATX has a better debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 3.34 indicates that MATX is not in any danger for bankruptcy at the moment.
- With an excellent Altman-Z score value of 3.34, MATX belongs to the best of the industry, outperforming 82.86% of the companies in the same industry.
- The Debt to FCF ratio of MATX is 2.25, which is a good value as it means it would take MATX, 2.25 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of MATX (2.25) is better than 85.71% of its industry peers.
- A Debt/Equity ratio of 0.12 indicates that MATX is not too dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.12, MATX is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 2.25 | ||
| Altman-Z | 3.34 |
ROIC/WACC1.16
WACC8.29%
2.3 Liquidity
- A Current Ratio of 0.83 indicates that MATX may have some problems paying its short term obligations.
- The Current ratio of MATX (0.83) is worse than 80.00% of its industry peers.
- A Quick Ratio of 0.83 indicates that MATX may have some problems paying its short term obligations.
- MATX's Quick ratio of 0.83 is on the low side compared to the rest of the industry. MATX is outperformed by 80.00% of its industry peers.
- MATX does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.83 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 9.32% over the past year.
- Measured over the past years, MATX shows a very strong growth in Earnings Per Share. The EPS has been growing by 48.87% on average per year.
- The Revenue has been growing slightly by 1.88% in the past year.
- MATX shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.21% yearly.
EPS 1Y (TTM)9.32%
EPS 3Y-13.4%
EPS 5Y48.87%
EPS Q2Q%-28.01%
Revenue 1Y (TTM)1.88%
Revenue growth 3Y-4.47%
Revenue growth 5Y9.21%
Sales Q2Q%-8.51%
3.2 Future
- Based on estimates for the next years, MATX will show a decrease in Earnings Per Share. The EPS will decrease by -3.77% on average per year.
- Based on estimates for the next years, MATX will show a small growth in Revenue. The Revenue will grow by 1.86% on average per year.
EPS Next Y-12.06%
EPS Next 2Y-10.81%
EPS Next 3Y-3.77%
EPS Next 5YN/A
Revenue Next Year-1.25%
Revenue Next 2Y0.72%
Revenue Next 3Y1.86%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- MATX is valuated correctly with a Price/Earnings ratio of 12.10.
- Based on the Price/Earnings ratio, MATX is valued a bit cheaper than 65.71% of the companies in the same industry.
- MATX is valuated cheaply when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 14.23, the valuation of MATX can be described as correct.
- MATX's Price/Forward Earnings ratio is in line with the industry average.
- MATX is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 25.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.1 | ||
| Fwd PE | 14.23 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as MATX.
- MATX's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.82 | ||
| EV/EBITDA | 9.5 |
4.3 Compensation for Growth
- The excellent profitability rating of MATX may justify a higher PE ratio.
- A cheap valuation may be justified as MATX's earnings are expected to decrease with -3.77% in the coming years.
PEG (NY)N/A
PEG (5Y)0.25
EPS Next 2Y-10.81%
EPS Next 3Y-3.77%
5. Dividend
5.1 Amount
- MATX has a yearly dividend return of 0.90%, which is pretty low.
- MATX's Dividend Yield is comparable with the industry average which is at 5.57.
- Compared to an average S&P500 Dividend Yield of 1.81, MATX's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.9% |
5.2 History
- On average, the dividend of MATX grows each year by 8.87%, which is quite nice.
- MATX has paid a dividend for at least 10 years, which is a reliable track record.
- MATX has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)8.87%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
- 10.47% of the earnings are spent on dividend by MATX. This is a low number and sustainable payout ratio.
DP10.47%
EPS Next 2Y-10.81%
EPS Next 3Y-3.77%
MATSON INC / MATX FAQ
What is the ChartMill fundamental rating of MATSON INC (MATX) stock?
ChartMill assigns a fundamental rating of 6 / 10 to MATX.
What is the valuation status for MATX stock?
ChartMill assigns a valuation rating of 4 / 10 to MATSON INC (MATX). This can be considered as Fairly Valued.
How profitable is MATSON INC (MATX) stock?
MATSON INC (MATX) has a profitability rating of 8 / 10.
Can you provide the financial health for MATX stock?
The financial health rating of MATSON INC (MATX) is 7 / 10.
How sustainable is the dividend of MATSON INC (MATX) stock?
The dividend rating of MATSON INC (MATX) is 5 / 10 and the dividend payout ratio is 10.47%.