MAYVILLE ENGINEERING CO INC (MEC) Stock Fundamental Analysis
NYSE:MEC - New York Stock Exchange, Inc. - US5786051079 - Common Stock - Currency: USD
Taking everything into account, MEC scores 4 out of 10 in our fundamental rating. MEC was compared to 127 industry peers in the Machinery industry. MEC scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. MEC is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
MEC had negative earnings in the past year.
In the past year MEC had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: MEC reported negative net income in multiple years.
Each year in the past 5 years MEC had a positive operating cash flow.
1.2 Ratios
The Return On Assets of MEC (4.12%) is comparable to the rest of the industry.
MEC has a Return On Equity (7.24%) which is comparable to the rest of the industry.
MEC has a Return On Invested Capital of 1.12%. This is in the lower half of the industry: MEC underperforms 71.65% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MEC is significantly below the industry average of 10.56%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.12% | ||
| ROE | 7.24% | ||
| ROIC | 1.12% |
ROA(3y)3.88%
ROA(5y)1.52%
ROE(3y)7.44%
ROE(5y)3%
ROIC(3y)4.37%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of MEC (3.41%) is comparable to the rest of the industry.
MEC has a worse Operating Margin (0.94%) than 71.65% of its industry peers.
MEC's Operating Margin has improved in the last couple of years.
MEC has a Gross Margin of 10.83%. This is amonst the worse of the industry: MEC underperforms 86.61% of its industry peers.
In the last couple of years the Gross Margin of MEC has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.94% | ||
| PM (TTM) | 3.41% | ||
| GM | 10.83% |
OM growth 3Y13.84%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.8%
GM growth 5Y1.59%
2. Health
2.1 Basic Checks
MEC has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
MEC has more shares outstanding than it did 1 year ago.
MEC has more shares outstanding than it did 5 years ago.
MEC has a better debt/assets ratio than last year.
2.2 Solvency
MEC has an Altman-Z score of 2.51. This is not the best score and indicates that MEC is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.51, MEC is in line with its industry, outperforming 44.88% of the companies in the same industry.
The Debt to FCF ratio of MEC is 1.01, which is an excellent value as it means it would take MEC, only 1.01 years of fcf income to pay off all of its debts.
MEC's Debt to FCF ratio of 1.01 is amongst the best of the industry. MEC outperforms 86.61% of its industry peers.
A Debt/Equity ratio of 0.28 indicates that MEC is not too dependend on debt financing.
The Debt to Equity ratio of MEC (0.28) is better than 64.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 1.01 | ||
| Altman-Z | 2.51 |
ROIC/WACC0.11
WACC10.49%
2.3 Liquidity
MEC has a Current Ratio of 1.63. This is a normal value and indicates that MEC is financially healthy and should not expect problems in meeting its short term obligations.
MEC's Current ratio of 1.63 is on the low side compared to the rest of the industry. MEC is outperformed by 69.29% of its industry peers.
MEC has a Quick Ratio of 1.63. This is a bad value and indicates that MEC is not financially healthy enough and could expect problems in meeting its short term obligations.
MEC has a worse Quick ratio (0.80) than 74.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.63 | ||
| Quick Ratio | 0.8 |
3. Growth
3.1 Past
MEC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -112.55%.
The Earnings Per Share has been decreasing by -7.93% on average over the past years.
The Revenue for MEC has decreased by -16.95% in the past year. This is quite bad
MEC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.28% yearly.
EPS 1Y (TTM)-112.55%
EPS 3Y-7.93%
EPS 5YN/A
EPS Q2Q%-127.78%
Revenue 1Y (TTM)-16.95%
Revenue growth 3Y8.54%
Revenue growth 5Y2.28%
Sales Q2Q%-19.13%
3.2 Future
The Earnings Per Share is expected to grow by 45.70% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 3.18% on average over the next years.
EPS Next Y70.44%
EPS Next 2Y85.48%
EPS Next 3Y45.7%
EPS Next 5YN/A
Revenue Next Year1.79%
Revenue Next 2Y7.41%
Revenue Next 3Y5.88%
Revenue Next 5Y3.18%
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
MEC reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
With a Price/Forward Earnings ratio of 13.11, MEC is valued correctly.
82.68% of the companies in the same industry are more expensive than MEC, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of MEC to the average of the S&P500 Index (35.31), we can say MEC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 13.11 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MEC is valued cheaply inside the industry as 84.25% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MEC indicates a rather cheap valuation: MEC is cheaper than 98.43% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.3 | ||
| EV/EBITDA | 8.5 |
4.3 Compensation for Growth
MEC'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 MEC's earnings are expected to grow with 45.70% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y85.48%
EPS Next 3Y45.7%
5. Dividend
5.1 Amount
No dividends for MEC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:MEC (8/15/2025, 1:14:54 PM)
14.43
-0.04 (-0.28%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners63.66%
Inst Owner Change1.17%
Ins Owners3.95%
Ins Owner Change11.41%
Market Cap295.24M
Analysts82.5
Price Target21.76 (50.8%)
Short Float %3.33%
Short Ratio4.07
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-146.56%
Min EPS beat(2)-199.51%
Max EPS beat(2)-93.61%
EPS beat(4)0
Avg EPS beat(4)-87.01%
Min EPS beat(4)-199.51%
Max EPS beat(4)-21.55%
EPS beat(8)0
Avg EPS beat(8)-54.67%
EPS beat(12)1
Avg EPS beat(12)-40.6%
EPS beat(16)3
Avg EPS beat(16)54.73%
Revenue beat(2)0
Avg Revenue beat(2)-2.63%
Min Revenue beat(2)-5.05%
Max Revenue beat(2)-0.21%
Revenue beat(4)0
Avg Revenue beat(4)-5.86%
Min Revenue beat(4)-14.94%
Max Revenue beat(4)-0.21%
Revenue beat(8)2
Avg Revenue beat(8)-3.36%
Revenue beat(12)5
Avg Revenue beat(12)-1.95%
Revenue beat(16)7
Avg Revenue beat(16)-1.4%
PT rev (1m)6.67%
PT rev (3m)18.52%
EPS NQ rev (1m)-21.03%
EPS NQ rev (3m)-41.47%
EPS NY rev (1m)0%
EPS NY rev (3m)11.42%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.36%
Revenue NY rev (1m)1.28%
Revenue NY rev (3m)4.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 13.11 | ||
| P/S | 0.56 | ||
| P/FCF | 4.3 | ||
| P/OCF | 3.73 | ||
| P/B | 1.2 | ||
| P/tB | 2.79 | ||
| EV/EBITDA | 8.5 |
EPS(TTM)-0.07
EYN/A
EPS(NY)1.1
Fwd EY7.63%
FCF(TTM)3.35
FCFY23.23%
OCF(TTM)3.87
OCFY26.83%
SpS25.64
BVpS12.06
TBVpS5.18
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.12% | ||
| ROE | 7.24% | ||
| ROCE | 1.35% | ||
| ROIC | 1.12% | ||
| ROICexc | 1.12% | ||
| ROICexgc | 1.83% | ||
| OM | 0.94% | ||
| PM (TTM) | 3.41% | ||
| GM | 10.83% | ||
| FCFM | 13.07% |
ROA(3y)3.88%
ROA(5y)1.52%
ROE(3y)7.44%
ROE(5y)3%
ROIC(3y)4.37%
ROIC(5y)N/A
ROICexc(3y)4.37%
ROICexc(5y)N/A
ROICexgc(3y)6.82%
ROICexgc(5y)N/A
ROCE(3y)5.27%
ROCE(5y)N/A
ROICexcg growth 3Y12.77%
ROICexcg growth 5YN/A
ROICexc growth 3Y14.37%
ROICexc growth 5YN/A
OM growth 3Y13.84%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.8%
GM growth 5Y1.59%
F-Score6
Asset Turnover1.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 1.01 | ||
| Debt/EBITDA | 1.61 | ||
| Cap/Depr | 27.96% | ||
| Cap/Sales | 2.03% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 184.41% | ||
| Profit Quality | 383.83% | ||
| Current Ratio | 1.63 | ||
| Quick Ratio | 0.8 | ||
| Altman-Z | 2.51 |
F-Score6
WACC10.49%
ROIC/WACC0.11
Cap/Depr(3y)93.16%
Cap/Depr(5y)85.48%
Cap/Sales(3y)5.26%
Cap/Sales(5y)5.32%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-112.55%
EPS 3Y-7.93%
EPS 5YN/A
EPS Q2Q%-127.78%
EPS Next Y70.44%
EPS Next 2Y85.48%
EPS Next 3Y45.7%
EPS Next 5YN/A
Revenue 1Y (TTM)-16.95%
Revenue growth 3Y8.54%
Revenue growth 5Y2.28%
Sales Q2Q%-19.13%
Revenue Next Year1.79%
Revenue Next 2Y7.41%
Revenue Next 3Y5.88%
Revenue Next 5Y3.18%
EBIT growth 1Y-82.11%
EBIT growth 3Y23.56%
EBIT growth 5YN/A
EBIT Next Year232.75%
EBIT Next 3Y63.21%
EBIT Next 5Y29.05%
FCF growth 1Y990.68%
FCF growth 3YN/A
FCF growth 5Y59.2%
OCF growth 1Y156.52%
OCF growth 3Y83.81%
OCF growth 5Y21.87%