MAJOR DRILLING GROUP INTL (MDI.CA) Stock Fundamental Analysis
TSX:MDI - Toronto Stock Exchange - CA5609091031 - Common Stock - Currency: CAD
MDI gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 808 industry peers in the Metals & Mining industry. MDI gets an excellent profitability rating and is at the same time showing great financial health properties. MDI may be a bit undervalued, certainly considering the very reasonable score on growth These ratings could make MDI a good candidate for value and quality investing.
1. Profitability
1.1 Basic Checks
MDI had positive earnings in the past year.
In the past year MDI had a positive cash flow from operations.
Each year in the past 5 years MDI has been profitable.
In the past 5 years MDI always reported a positive cash flow from operatings.
1.2 Ratios
MDI's Return On Assets of 4.85% is amongst the best of the industry. MDI outperforms 89.48% of its industry peers.
Looking at the Return On Equity, with a value of 6.51%, MDI belongs to the top of the industry, outperforming 89.48% of the companies in the same industry.
With an excellent Return On Invested Capital value of 5.73%, MDI belongs to the best of the industry, outperforming 91.58% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.85% | ||
| ROE | 6.51% | ||
| ROIC | 5.73% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
MDI has a Profit Margin of 4.94%. This is amongst the best in the industry. MDI outperforms 90.72% of its industry peers.
MDI's Profit Margin has declined in the last couple of years.
With an excellent Operating Margin value of 6.93%, MDI belongs to the best of the industry, outperforming 89.11% of the companies in the same industry.
MDI's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 19.10%, MDI belongs to the top of the industry, outperforming 87.38% of the companies in the same industry.
MDI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.93% | ||
| PM (TTM) | 4.94% | ||
| GM | 19.1% |
OM growth 3Y-21.08%
OM growth 5Y17.49%
PM growth 3Y-24.29%
PM growth 5YN/A
GM growth 3Y-5.84%
GM growth 5Y3.91%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MDI is destroying value.
MDI has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 4.36 indicates that MDI is not in any danger for bankruptcy at the moment.
MDI has a better Altman-Z score (4.36) than 64.98% of its industry peers.
The Debt to FCF ratio of MDI is 1.25, which is an excellent value as it means it would take MDI, only 1.25 years of fcf income to pay off all of its debts.
MDI's Debt to FCF ratio of 1.25 is amongst the best of the industry. MDI outperforms 94.06% of its industry peers.
A Debt/Equity ratio of 0.07 indicates that MDI is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.07, MDI is not doing good in the industry: 60.64% of the companies in the same industry are doing better.
Even though the debt/equity ratio score it not favorable for MDI, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 1.25 | ||
| Altman-Z | 4.36 |
ROIC/WACC0.73
WACC7.85%
2.3 Liquidity
MDI has a Current Ratio of 3.02. This indicates that MDI is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of MDI (3.02) is better than 64.23% of its industry peers.
A Quick Ratio of 1.87 indicates that MDI should not have too much problems paying its short term obligations.
MDI has a Quick ratio of 1.87. This is comparable to the rest of the industry: MDI outperforms 56.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.02 | ||
| Quick Ratio | 1.87 |
3. Growth
3.1 Past
MDI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -50.95%.
MDI shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -21.17% yearly.
The Revenue has been growing slightly by 2.96% in the past year.
Measured over the past years, MDI shows a quite strong growth in Revenue. The Revenue has been growing by 12.20% on average per year.
EPS 1Y (TTM)-50.95%
EPS 3Y-21.17%
EPS 5YN/A
EPS Q2Q%-89.67%
Revenue 1Y (TTM)2.96%
Revenue growth 3Y3.81%
Revenue growth 5Y12.2%
Sales Q2Q%11.61%
3.2 Future
Based on estimates for the next years, MDI will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.59% on average per year.
MDI is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.01% yearly.
EPS Next Y82.02%
EPS Next 2YN/A
EPS Next 3Y24.02%
EPS Next 5Y14.59%
Revenue Next Year13.86%
Revenue Next 2YN/A
Revenue Next 3Y19.66%
Revenue Next 5Y12.01%
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 29.06, which means the current valuation is very expensive for MDI.
MDI's Price/Earnings ratio is rather cheap when compared to the industry. MDI is cheaper than 88.49% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.45. MDI is around the same levels.
With a Price/Forward Earnings ratio of 11.01, the valuation of MDI can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MDI indicates a rather cheap valuation: MDI is cheaper than 90.84% of the companies listed in the same industry.
MDI is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 21.90, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.06 | ||
| Fwd PE | 11.01 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MDI indicates a rather cheap valuation: MDI is cheaper than 94.43% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, MDI is valued cheaper than 92.95% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.32 | ||
| EV/EBITDA | 6.72 |
4.3 Compensation for Growth
MDI's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
MDI has an outstanding profitability rating, which may justify a higher PE ratio.
MDI's earnings are expected to grow with 24.02% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.35
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3Y24.02%
5. Dividend
5.1 Amount
MDI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:MDI (7/3/2025, 7:00:00 PM)
9.01
-0.19 (-2.07%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners43.72%
Inst Owner ChangeN/A
Ins Owners0.34%
Ins Owner ChangeN/A
Market Cap737.47M
Analysts82.22
Price Target13.87 (53.94%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-95.08%
Min EPS beat(2)-211.17%
Max EPS beat(2)21.01%
EPS beat(4)1
Avg EPS beat(4)-61.31%
Min EPS beat(4)-211.17%
Max EPS beat(4)21.01%
EPS beat(8)2
Avg EPS beat(8)-61.75%
EPS beat(12)5
Avg EPS beat(12)-36.26%
EPS beat(16)8
Avg EPS beat(16)-0.19%
Revenue beat(2)2
Avg Revenue beat(2)2.12%
Min Revenue beat(2)0.31%
Max Revenue beat(2)3.93%
Revenue beat(4)2
Avg Revenue beat(4)-0.8%
Min Revenue beat(4)-5.7%
Max Revenue beat(4)3.93%
Revenue beat(8)3
Avg Revenue beat(8)-2.3%
Revenue beat(12)6
Avg Revenue beat(12)-0.28%
Revenue beat(16)10
Avg Revenue beat(16)1.35%
PT rev (1m)-1.09%
PT rev (3m)-1.09%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-10.81%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.51%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.06 | ||
| Fwd PE | 11.01 | ||
| P/S | 1.04 | ||
| P/FCF | 23.32 | ||
| P/OCF | 7.05 | ||
| P/B | 1.37 | ||
| P/tB | 1.65 | ||
| EV/EBITDA | 6.72 |
EPS(TTM)0.31
EY3.44%
EPS(NY)0.82
Fwd EY9.08%
FCF(TTM)0.39
FCFY4.29%
OCF(TTM)1.28
OCFY14.18%
SpS8.65
BVpS6.57
TBVpS5.45
PEG (NY)0.35
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.85% | ||
| ROE | 6.51% | ||
| ROCE | 7.95% | ||
| ROIC | 5.73% | ||
| ROICexc | 6.38% | ||
| ROICexgc | 7.65% | ||
| OM | 6.93% | ||
| PM (TTM) | 4.94% | ||
| GM | 19.1% | ||
| FCFM | 4.47% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
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 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-21.08%
OM growth 5Y17.49%
PM growth 3Y-24.29%
PM growth 5YN/A
GM growth 3Y-5.84%
GM growth 5Y3.91%
F-Score3
Asset Turnover0.98
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 1.25 | ||
| Debt/EBITDA | 0.34 | ||
| Cap/Depr | 122.59% | ||
| Cap/Sales | 10.3% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 96.29% | ||
| Profit Quality | 90.38% | ||
| Current Ratio | 3.02 | ||
| Quick Ratio | 1.87 | ||
| Altman-Z | 4.36 |
F-Score3
WACC7.85%
ROIC/WACC0.73
Cap/Depr(3y)126.66%
Cap/Depr(5y)114.67%
Cap/Sales(3y)9.45%
Cap/Sales(5y)8.65%
Profit Quality(3y)84.89%
Profit Quality(5y)73.94%
High Growth Momentum
Growth
EPS 1Y (TTM)-50.95%
EPS 3Y-21.17%
EPS 5YN/A
EPS Q2Q%-89.67%
EPS Next Y82.02%
EPS Next 2YN/A
EPS Next 3Y24.02%
EPS Next 5Y14.59%
Revenue 1Y (TTM)2.96%
Revenue growth 3Y3.81%
Revenue growth 5Y12.2%
Sales Q2Q%11.61%
Revenue Next Year13.86%
Revenue Next 2YN/A
Revenue Next 3Y19.66%
Revenue Next 5Y12.01%
EBIT growth 1Y-43.99%
EBIT growth 3Y-18.07%
EBIT growth 5Y31.83%
EBIT Next Year142.46%
EBIT Next 3Y45.55%
EBIT Next 5Y26%
FCF growth 1Y-3.97%
FCF growth 3Y-14.19%
FCF growth 5Y22.97%
OCF growth 1Y0%
OCF growth 3Y2.08%
OCF growth 5Y19.11%