MARCUS CORPORATION (MCS)
US5663301068 - Common Stock
Taking everything into account, MCS scores 4 out of 10 in our fundamental rating. MCS was compared to 76 industry peers in the Entertainment industry. There are concerns on the financial health of MCS while its profitability can be described as average. MCS is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year MCS was profitable.
In the past year MCS had a positive cash flow from operations.
In multiple years MCS reported negative net income over the last 5 years.
Of the past 5 years MCS 4 years had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 1.39%, MCS is doing good in the industry, outperforming 69.74% of the companies in the same industry.
With a decent Return On Equity value of 3.13%, MCS is doing good in the industry, outperforming 76.32% of the companies in the same industry.
MCS has a Return On Invested Capital of 2.65%. This is in the better half of the industry: MCS outperforms 68.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.39% | ||
| ROE | 3.13% | ||
| ROIC | 2.65% |
ROA(3y)-1.13%
ROA(5y)-2.05%
ROE(3y)-3.01%
ROE(5y)-5.46%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
MCS's Profit Margin of 2.02% is fine compared to the rest of the industry. MCS outperforms 72.37% of its industry peers.
In the last couple of years the Profit Margin of MCS has declined.
With a decent Operating Margin value of 4.79%, MCS is doing good in the industry, outperforming 69.74% of the companies in the same industry.
In the last couple of years the Operating Margin of MCS has declined.
MCS's Gross Margin of 39.26% is in line compared to the rest of the industry. MCS outperforms 48.68% of its industry peers.
MCS's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.79% | ||
| PM (TTM) | 2.02% | ||
| GM | 39.26% |
OM growth 3YN/A
OM growth 5Y-16.73%
PM growth 3YN/A
PM growth 5Y-23.12%
GM growth 3Y22.25%
GM growth 5Y-2.02%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MCS is destroying value.
The number of shares outstanding for MCS has been increased compared to 1 year ago.
The number of shares outstanding for MCS has been increased compared to 5 years ago.
MCS has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.46, we must say that MCS is in the distress zone and has some risk of bankruptcy.
With a decent Altman-Z score value of 1.46, MCS is doing good in the industry, outperforming 61.84% of the companies in the same industry.
MCS has a debt to FCF ratio of 2.90. This is a good value and a sign of high solvency as MCS would need 2.90 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 2.90, MCS belongs to the best of the industry, outperforming 84.21% of the companies in the same industry.
MCS has a Debt/Equity ratio of 0.37. This is a healthy value indicating a solid balance between debt and equity.
MCS's Debt to Equity ratio of 0.37 is in line compared to the rest of the industry. MCS outperforms 53.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 2.9 | ||
| Altman-Z | 1.46 |
ROIC/WACC0.37
WACC7.17%
2.3 Liquidity
A Current Ratio of 0.62 indicates that MCS may have some problems paying its short term obligations.
The Current ratio of MCS (0.62) is worse than 69.74% of its industry peers.
A Quick Ratio of 0.62 indicates that MCS may have some problems paying its short term obligations.
MCS's Quick ratio of 0.62 is on the low side compared to the rest of the industry. MCS is outperformed by 69.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.62 |
3. Growth
3.1 Past
MCS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 168.18%, which is quite impressive.
MCS shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -31.37% yearly.
MCS shows a small growth in Revenue. In the last year, the Revenue has grown by 7.71%.
MCS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.63% yearly.
EPS 1Y (TTM)168.18%
EPS 3YN/A
EPS 5Y-31.37%
EPS growth Q2Q83.33%
Revenue 1Y (TTM)7.71%
Revenue growth 3Y45.33%
Revenue growth 5Y0.63%
Revenue growth Q2Q-0.84%
3.2 Future
The Earnings Per Share is expected to grow by 20.52% on average over the next years. This is a very strong growth
Based on estimates for the next years, MCS will show a small growth in Revenue. The Revenue will grow by 3.15% on average per year.
EPS Next Y-76.43%
EPS Next 2Y27.78%
EPS Next 3Y20.52%
EPS Next 5YN/A
Revenue Next Year-4.13%
Revenue Next 2Y2.75%
Revenue Next 3Y3.15%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 37.57, which means the current valuation is very expensive for MCS.
73.68% of the companies in the same industry are more expensive than MCS, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 28.11. MCS is valued slightly more expensive when compared to this.
A Price/Forward Earnings ratio of 159.41 indicates a quite expensive valuation of MCS.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MCS indicates a somewhat cheap valuation: MCS is cheaper than 63.16% of the companies listed in the same industry.
MCS's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 20.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.57 | ||
| Fwd PE | 159.41 |
4.2 Price Multiples
84.21% of the companies in the same industry are more expensive than MCS, based on the Enterprise Value to EBITDA ratio.
MCS's Price/Free Cash Flow ratio is rather cheap when compared to the industry. MCS is cheaper than 98.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.67 | ||
| EV/EBITDA | 4.8 |
4.3 Compensation for Growth
A more expensive valuation may be justified as MCS's earnings are expected to grow with 20.52% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y27.78%
EPS Next 3Y20.52%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.48%, MCS has a reasonable but not impressive dividend return.
In the last 3 months the price of MCS has falen by -21.18%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
MCS's Dividend Yield is rather good when compared to the industry average which is at 6.03. MCS pays more dividend than 92.11% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, MCS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.48% |
5.2 History
The dividend of MCS decreases each year by -13.47%.
MCS has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of MCS decreased recently.
Dividend Growth(5Y)-13.47%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
MCS pays out 50.47% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP50.47%
EPS Next 2Y27.78%
EPS Next 3Y20.52%
MARCUS CORPORATION
NYSE:MCS (5/8/2024, 2:18:09 PM)
11.27
+0.03 (+0.27%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap362.33M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.48% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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EPS beat(16)
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Revenue beat(2)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.57 | ||
| Fwd PE | 159.41 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.39% | ||
| ROE | 3.13% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 4.79% | ||
| PM (TTM) | 2.02% | ||
| GM | 39.26% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.69
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.62 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)168.18%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y-76.43%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)7.71%
Revenue growth 3Y45.33%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y