MONTROSE ENVIRONMENTAL GROUP (MEG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:MEG - US6151111019 - Common Stock
25.1 USD
-0.77 (-2.98%)
MEG gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 80 industry peers in the Commercial Services & Supplies industry. Both the profitability and financial health of MEG have multiple concerns. MEG has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
MEG had negative earnings in the past year.
MEG had a positive operating cash flow in the past year.
MEG had negative earnings in each of the past 5 years.
Each year in the past 5 years MEG had a positive operating cash flow.
1.2 Ratios
MEG has a worse Return On Assets (-2.82%) than 62.50% of its industry peers.
MEG's Return On Equity of -6.05% is on the low side compared to the rest of the industry. MEG is outperformed by 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.82% | ||
| ROE | -6.05% | ||
| ROIC | N/A |
ROA(3y)-6.43%
ROA(5y)-8.4%
ROE(3y)-11.31%
ROE(5y)-15.93%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Gross Margin, with a value of 40.77%, MEG is in the better half of the industry, outperforming 68.75% of the companies in the same industry.
MEG's Gross Margin has improved in the last couple of years.
The Profit Margin and Operating Margin are not available for MEG so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 40.77% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y7.16%
GM growth 5Y5.98%
2. Health
2.1 Basic Checks
MEG does not have a ROIC to compare to the WACC, probably because it is not profitable.
MEG has more shares outstanding than it did 1 year ago.
MEG has more shares outstanding than it did 5 years ago.
The debt/assets ratio for MEG is higher compared to a year ago.
2.2 Solvency
MEG has an Altman-Z score of 1.61. This is a bad value and indicates that MEG is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of MEG (1.61) is worse than 62.50% of its industry peers.
MEG has a debt to FCF ratio of 4.64. This is a neutral value as MEG would need 4.64 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.64, MEG is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
A Debt/Equity ratio of 0.69 indicates that MEG is somewhat dependend on debt financing.
MEG has a Debt to Equity ratio (0.69) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 4.64 | ||
| Altman-Z | 1.61 |
ROIC/WACCN/A
WACC8.22%
2.3 Liquidity
A Current Ratio of 1.66 indicates that MEG should not have too much problems paying its short term obligations.
With a Current ratio value of 1.66, MEG perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
A Quick Ratio of 1.64 indicates that MEG should not have too much problems paying its short term obligations.
MEG's Quick ratio of 1.64 is fine compared to the rest of the industry. MEG outperforms 65.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.66 | ||
| Quick Ratio | 1.64 |
3. Growth
3.1 Past
MEG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 38.93%, which is quite impressive.
Looking at the last year, MEG shows a very strong growth in Revenue. The Revenue has grown by 22.77%.
Measured over the past years, MEG shows a very strong growth in Revenue. The Revenue has been growing by 24.38% on average per year.
EPS 1Y (TTM)38.93%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%153.85%
Revenue 1Y (TTM)22.77%
Revenue growth 3Y8.42%
Revenue growth 5Y24.38%
Sales Q2Q%25.86%
3.2 Future
Based on estimates for the next years, MEG will show a very strong growth in Earnings Per Share. The EPS will grow by 36.59% on average per year.
Based on estimates for the next years, MEG will show a quite strong growth in Revenue. The Revenue will grow by 13.01% on average per year.
EPS Next Y91.62%
EPS Next 2Y49.53%
EPS Next 3Y36.59%
EPS Next 5YN/A
Revenue Next Year17.94%
Revenue Next 2Y10.12%
Revenue Next 3Y8.53%
Revenue Next 5Y13.01%
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
MEG reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
The Price/Forward Earnings ratio is 48.16, which means the current valuation is very expensive for MEG.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MEG is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 23.79. MEG is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 48.16 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as MEG.
85.00% of the companies in the same industry are more expensive than MEG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.39 | ||
| EV/EBITDA | 24.54 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
MEG's earnings are expected to grow with 36.59% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y49.53%
EPS Next 3Y36.59%
5. Dividend
5.1 Amount
No dividends for MEG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
NYSE:MEG (1/7/2026, 3:42:52 PM)
25.1
-0.77 (-2.98%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners97.03%
Inst Owner Change0%
Ins Owners6.76%
Ins Owner Change-8.42%
Market Cap887.03M
Revenue(TTM)826.32M
Net Income(TTM)-27.77M
Analysts78.33
Price Target34.83 (38.76%)
Short Float %6.39%
Short Ratio5.62
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly Dividend0.34
Dividend Growth(5Y)N/A
DP-24.63%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)265.37%
Min EPS beat(2)211.87%
Max EPS beat(2)318.86%
EPS beat(4)2
Avg EPS beat(4)107.18%
Min EPS beat(4)-71.36%
Max EPS beat(4)318.86%
EPS beat(8)3
Avg EPS beat(8)9.25%
EPS beat(12)3
Avg EPS beat(12)-17.52%
EPS beat(16)4
Avg EPS beat(16)-36.55%
Revenue beat(2)2
Avg Revenue beat(2)17.2%
Min Revenue beat(2)11.06%
Max Revenue beat(2)23.35%
Revenue beat(4)3
Avg Revenue beat(4)9.74%
Min Revenue beat(4)-0.2%
Max Revenue beat(4)23.35%
Revenue beat(8)5
Avg Revenue beat(8)4.54%
Revenue beat(12)6
Avg Revenue beat(12)3.18%
Revenue beat(16)9
Avg Revenue beat(16)2.88%
PT rev (1m)-0.42%
PT rev (3m)2.94%
EPS NQ rev (1m)0%
EPS NQ rev (3m)299.17%
EPS NY rev (1m)0%
EPS NY rev (3m)26.67%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.54%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 48.16 | ||
| P/S | 1.07 | ||
| P/FCF | 12.39 | ||
| P/OCF | 10.16 | ||
| P/B | 1.93 | ||
| P/tB | N/A | ||
| EV/EBITDA | 24.54 |
EPS(TTM)-0.91
EYN/A
EPS(NY)0.52
Fwd EY2.08%
FCF(TTM)2.03
FCFY8.07%
OCF(TTM)2.47
OCFY9.84%
SpS23.38
BVpS12.98
TBVpS-4.05
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.82% | ||
| ROE | -6.05% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 40.77% | ||
| FCFM | 8.66% |
ROA(3y)-6.43%
ROA(5y)-8.4%
ROE(3y)-11.31%
ROE(5y)-15.93%
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
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y7.16%
GM growth 5Y5.98%
F-Score6
Asset Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 4.64 | ||
| Debt/EBITDA | 6.23 | ||
| Cap/Depr | 28.52% | ||
| Cap/Sales | 1.9% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 172.77% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.66 | ||
| Quick Ratio | 1.64 | ||
| Altman-Z | 1.61 |
F-Score6
WACC8.22%
ROIC/WACCN/A
Cap/Depr(3y)46.06%
Cap/Depr(5y)35.19%
Cap/Sales(3y)3.51%
Cap/Sales(5y)2.86%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)38.93%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%153.85%
EPS Next Y91.62%
EPS Next 2Y49.53%
EPS Next 3Y36.59%
EPS Next 5YN/A
Revenue 1Y (TTM)22.77%
Revenue growth 3Y8.42%
Revenue growth 5Y24.38%
Sales Q2Q%25.86%
Revenue Next Year17.94%
Revenue Next 2Y10.12%
Revenue Next 3Y8.53%
Revenue Next 5Y13.01%
EBIT growth 1Y70.31%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year929.58%
EBIT Next 3Y127.1%
EBIT Next 5Y76.48%
FCF growth 1Y224.9%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y61.76%
OCF growth 3Y-16.05%
OCF growth 5Y5.47%
MONTROSE ENVIRONMENTAL GROUP / MEG FAQ
What is the fundamental rating for MEG stock?
ChartMill assigns a fundamental rating of 3 / 10 to MEG.
Can you provide the valuation status for MONTROSE ENVIRONMENTAL GROUP?
ChartMill assigns a valuation rating of 4 / 10 to MONTROSE ENVIRONMENTAL GROUP (MEG). This can be considered as Fairly Valued.
What is the profitability of MEG stock?
MONTROSE ENVIRONMENTAL GROUP (MEG) has a profitability rating of 2 / 10.
What is the financial health of MONTROSE ENVIRONMENTAL GROUP (MEG) stock?
The financial health rating of MONTROSE ENVIRONMENTAL GROUP (MEG) is 3 / 10.
What is the expected EPS growth for MONTROSE ENVIRONMENTAL GROUP (MEG) stock?
The Earnings per Share (EPS) of MONTROSE ENVIRONMENTAL GROUP (MEG) is expected to grow by 91.62% in the next year.