MDU RESOURCES GROUP INC (MDU) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:MDU - US5526901096 - Common Stock
19.26 USD
-0.2 (-1.03%)
19.26 USD
0 (0%)
MDU gets a fundamental rating of 2 out of 10. The analysis compared the fundamentals against 14 industry peers in the Gas Utilities industry. MDU may be in some trouble as it scores bad on both profitability and health. MDU does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
MDU had positive earnings in the past year.
In the past year MDU had a positive cash flow from operations.
In the past 5 years MDU has always been profitable.
Each year in the past 5 years MDU had a positive operating cash flow.
1.2 Ratios
MDU has a Return On Assets of 2.36%. This is in the lower half of the industry: MDU underperforms 71.43% of its industry peers.
Looking at the Return On Equity, with a value of 6.22%, MDU is doing worse than 85.71% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 3.36%, MDU is doing worse than 92.86% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for MDU is below the industry average of 6.25%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.36% | ||
| ROE | 6.22% | ||
| ROIC | 3.36% |
ROA(3y)4.37%
ROA(5y)4.44%
ROE(3y)11.66%
ROE(5y)11.76%
ROIC(3y)3.8%
ROIC(5y)4.57%
1.3 Margins
With a Profit Margin value of 9.02%, MDU is not doing good in the industry: 64.29% of the companies in the same industry are doing better.
MDU's Profit Margin has improved in the last couple of years.
MDU has a Operating Margin of 14.79%. This is in the lower half of the industry: MDU underperforms 71.43% of its industry peers.
MDU's Operating Margin has improved in the last couple of years.
MDU has a Gross Margin (62.94%) which is comparable to the rest of the industry.
MDU's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.79% | ||
| PM (TTM) | 9.02% | ||
| GM | 62.94% |
OM growth 3Y17.13%
OM growth 5Y10.88%
PM growth 3Y33.93%
PM growth 5Y20.53%
GM growth 3Y-10.74%
GM growth 5Y-6.65%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so MDU is destroying value.
Compared to 1 year ago, MDU has about the same amount of shares outstanding.
Compared to 5 years ago, MDU has more shares outstanding
MDU has a worse debt/assets ratio than last year.
2.2 Solvency
MDU has an Altman-Z score of 1.10. This is a bad value and indicates that MDU is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.10, MDU perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
MDU has a Debt/Equity ratio of 0.80. This is a neutral value indicating MDU is somewhat dependend on debt financing.
MDU's Debt to Equity ratio of 0.80 is amongst the best of the industry. MDU outperforms 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.8 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.1 |
ROIC/WACC0.48
WACC6.94%
2.3 Liquidity
MDU has a Current Ratio of 0.75. This is a bad value and indicates that MDU is not financially healthy enough and could expect problems in meeting its short term obligations.
MDU has a better Current ratio (0.75) than 71.43% of its industry peers.
MDU has a Quick Ratio of 0.75. This is a bad value and indicates that MDU is not financially healthy enough and could expect problems in meeting its short term obligations.
MDU has a better Quick ratio (0.69) than 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.69 |
3. Growth
3.1 Past
MDU shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -51.74%.
Measured over the past years, MDU shows a decrease in Earnings Per Share. The EPS has been decreasing by -3.17% on average per year.
The Revenue for MDU has decreased by -57.80% in the past year. This is quite bad
The Revenue for MDU have been decreasing by -19.92% on average. This is quite bad
EPS 1Y (TTM)-51.74%
EPS 3Y-8.39%
EPS 5Y-3.17%
EPS Q2Q%-71.87%
Revenue 1Y (TTM)-57.8%
Revenue growth 3Y-32.36%
Revenue growth 5Y-19.92%
Sales Q2Q%-70%
3.2 Future
Based on estimates for the next years, MDU will show a decrease in Earnings Per Share. The EPS will decrease by -2.31% on average per year.
The Revenue is expected to decrease by -10.80% on average over the next years. This is quite bad
EPS Next Y-33.44%
EPS Next 2Y-15.01%
EPS Next 3Y-7.72%
EPS Next 5Y-2.31%
Revenue Next Year-53.7%
Revenue Next 2Y-30.92%
Revenue Next 3Y-20.91%
Revenue Next 5Y-10.8%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 23.20, MDU is valued on the expensive side.
Based on the Price/Earnings ratio, MDU is valued more expensive than 85.71% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.49. MDU is around the same levels.
Based on the Price/Forward Earnings ratio of 18.65, the valuation of MDU can be described as rather expensive.
The rest of the industry has a similar Price/Forward Earnings ratio as MDU.
MDU is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.69, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.2 | ||
| Fwd PE | 18.65 |
4.2 Price Multiples
MDU's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. MDU is more expensive than 78.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 13.36 |
4.3 Compensation for Growth
MDU's earnings are expected to decrease with -7.72% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-15.01%
EPS Next 3Y-7.72%
5. Dividend
5.1 Amount
MDU has a Yearly Dividend Yield of 2.88%.
MDU's Dividend Yield is slightly below the industry average, which is at 3.83.
Compared to an average S&P500 Dividend Yield of 2.31, MDU pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.88% |
5.2 History
The dividend of MDU decreases each year by -8.99%.
MDU has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-8.99%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
62.43% of the earnings are spent on dividend by MDU. This is not a sustainable payout ratio.
The Dividend Rate of MDU has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP62.43%
EPS Next 2Y-15.01%
EPS Next 3Y-7.72%
19.26
-0.2 (-1.03%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryGas Utilities
Earnings (Last)
Earnings (Next)
Inst Owners84.66%
Inst Owner Change0.81%
Ins Owners0.46%
Ins Owner Change1.55%
Market Cap3.94B
Revenue(TTM)1.88B
Net Income(TTM)169.26M
Analysts84
Price Target21.01 (9.09%)
Short Float %5.63%
Short Ratio4.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.88% |
Yearly Dividend0.51
Dividend Growth(5Y)-8.99%
DP62.43%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-30.52%
Min EPS beat(2)-43.04%
Max EPS beat(2)-18%
EPS beat(4)1
Avg EPS beat(4)-18.22%
Min EPS beat(4)-43.04%
Max EPS beat(4)8.7%
EPS beat(8)5
Avg EPS beat(8)2.79%
EPS beat(12)9
Avg EPS beat(12)14.52%
EPS beat(16)9
Avg EPS beat(16)5.47%
Revenue beat(2)2
Avg Revenue beat(2)8.53%
Min Revenue beat(2)2.29%
Max Revenue beat(2)14.77%
Revenue beat(4)3
Avg Revenue beat(4)-3.39%
Min Revenue beat(4)-32.93%
Max Revenue beat(4)14.77%
Revenue beat(8)4
Avg Revenue beat(8)-3.76%
Revenue beat(12)6
Avg Revenue beat(12)-1.09%
Revenue beat(16)7
Avg Revenue beat(16)-3.29%
PT rev (1m)0%
PT rev (3m)5.64%
EPS NQ rev (1m)-4.25%
EPS NQ rev (3m)-1.26%
EPS NY rev (1m)0%
EPS NY rev (3m)-2.29%
Revenue NQ rev (1m)0.26%
Revenue NQ rev (3m)-13.13%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.2 | ||
| Fwd PE | 18.65 | ||
| P/S | 2.1 | ||
| P/FCF | N/A | ||
| P/OCF | 8.68 | ||
| P/B | 1.45 | ||
| P/tB | 1.66 | ||
| EV/EBITDA | 13.36 |
EPS(TTM)0.83
EY4.31%
EPS(NY)1.03
Fwd EY5.36%
FCF(TTM)-0.11
FCFYN/A
OCF(TTM)2.22
OCFY11.52%
SpS9.18
BVpS13.32
TBVpS11.63
PEG (NY)N/A
PEG (5Y)N/A
Graham Number15.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.36% | ||
| ROE | 6.22% | ||
| ROCE | 4.26% | ||
| ROIC | 3.36% | ||
| ROICexc | 3.4% | ||
| ROICexgc | 3.6% | ||
| OM | 14.79% | ||
| PM (TTM) | 9.02% | ||
| GM | 62.94% | ||
| FCFM | N/A |
ROA(3y)4.37%
ROA(5y)4.44%
ROE(3y)11.66%
ROE(5y)11.76%
ROIC(3y)3.8%
ROIC(5y)4.57%
ROICexc(3y)3.84%
ROICexc(5y)4.61%
ROICexgc(3y)4.07%
ROICexgc(5y)5.01%
ROCE(3y)4.84%
ROCE(5y)5.81%
ROICexgc growth 3Y-16.45%
ROICexgc growth 5Y-10.89%
ROICexc growth 3Y-15.03%
ROICexc growth 5Y-9.95%
OM growth 3Y17.13%
OM growth 5Y10.88%
PM growth 3Y33.93%
PM growth 5Y20.53%
GM growth 3Y-10.74%
GM growth 5Y-6.65%
F-Score3
Asset Turnover0.26
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.8 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.71 | ||
| Cap/Depr | 253.75% | ||
| Cap/Sales | 25.35% | ||
| Interest Coverage | 2.72 | ||
| Cash Conversion | 97.49% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.69 | ||
| Altman-Z | 1.1 |
F-Score3
WACC6.94%
ROIC/WACC0.48
Cap/Depr(3y)234.98%
Cap/Depr(5y)224.21%
Cap/Sales(3y)22.66%
Cap/Sales(5y)17.93%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-51.74%
EPS 3Y-8.39%
EPS 5Y-3.17%
EPS Q2Q%-71.87%
EPS Next Y-33.44%
EPS Next 2Y-15.01%
EPS Next 3Y-7.72%
EPS Next 5Y-2.31%
Revenue 1Y (TTM)-57.8%
Revenue growth 3Y-32.36%
Revenue growth 5Y-19.92%
Sales Q2Q%-70%
Revenue Next Year-53.7%
Revenue Next 2Y-30.92%
Revenue Next 3Y-20.91%
Revenue Next 5Y-10.8%
EBIT growth 1Y-39.31%
EBIT growth 3Y-20.77%
EBIT growth 5Y-11.2%
EBIT Next Year30.38%
EBIT Next 3Y12.93%
EBIT Next 5Y10.38%
FCF growth 1Y86.4%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y13.3%
OCF growth 3Y0.44%
OCF growth 5Y-1.52%
MDU RESOURCES GROUP INC / MDU FAQ
What is the ChartMill fundamental rating of MDU RESOURCES GROUP INC (MDU) stock?
ChartMill assigns a fundamental rating of 2 / 10 to MDU.
What is the valuation status of MDU RESOURCES GROUP INC (MDU) stock?
ChartMill assigns a valuation rating of 1 / 10 to MDU RESOURCES GROUP INC (MDU). This can be considered as Overvalued.
Can you provide the profitability details for MDU RESOURCES GROUP INC?
MDU RESOURCES GROUP INC (MDU) has a profitability rating of 3 / 10.
How financially healthy is MDU RESOURCES GROUP INC?
The financial health rating of MDU RESOURCES GROUP INC (MDU) is 3 / 10.
Is the dividend of MDU RESOURCES GROUP INC sustainable?
The dividend rating of MDU RESOURCES GROUP INC (MDU) is 3 / 10 and the dividend payout ratio is 62.43%.