METHODE ELECTRONICS INC (MEI) Fundamental Analysis & Valuation
NYSE:MEI • US5915202007
Current stock price
5.74 USD
-0.41 (-6.67%)
At close:
5.74 USD
0 (0%)
After Hours:
This MEI fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. MEI Profitability Analysis
1.1 Basic Checks
- MEI had negative earnings in the past year.
- In the past year MEI had a positive cash flow from operations.
- The reported net income has been mixed in the past 5 years: MEI reported negative net income in multiple years.
- Each year in the past 5 years MEI had a positive operating cash flow.
1.2 Ratios
- MEI's Return On Assets of -4.93% is on the low side compared to the rest of the industry. MEI is outperformed by 61.29% of its industry peers.
- With a Return On Equity value of -9.54%, MEI is not doing good in the industry: 60.48% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.93% | ||
| ROE | -9.54% | ||
| ROIC | N/A |
ROA(3y)-2.9%
ROA(5y)1.4%
ROE(3y)-5.65%
ROE(5y)1.51%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- MEI has a worse Gross Margin (15.38%) than 72.58% of its industry peers.
- In the last couple of years the Gross Margin of MEI has declined.
- The Profit Margin and Operating Margin are not available for MEI so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 15.38% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-11.8%
GM growth 5Y-10.69%
2. MEI Health Analysis
2.1 Basic Checks
- MEI does not have a ROIC to compare to the WACC, probably because it is not profitable.
- Compared to 1 year ago, MEI has more shares outstanding
- The number of shares outstanding for MEI has been reduced compared to 5 years ago.
- Compared to 1 year ago, MEI has a worse debt to assets ratio.
2.2 Solvency
- MEI has an Altman-Z score of 1.72. This is a bad value and indicates that MEI is not financially healthy and even has some risk of bankruptcy.
- MEI has a Altman-Z score of 1.72. This is in the lower half of the industry: MEI underperforms 67.74% of its industry peers.
- MEI has a debt to FCF ratio of 7.96. This is a slightly negative value and a sign of low solvency as MEI would need 7.96 years to pay back of all of its debts.
- With a Debt to FCF ratio value of 7.96, MEI perfoms like the industry average, outperforming 55.65% of the companies in the same industry.
- MEI has a Debt/Equity ratio of 0.50. This is a neutral value indicating MEI is somewhat dependend on debt financing.
- MEI has a Debt to Equity ratio of 0.50. This is in the lower half of the industry: MEI underperforms 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 7.96 | ||
| Altman-Z | 1.72 |
ROIC/WACCN/A
WACC9.64%
2.3 Liquidity
- A Current Ratio of 2.41 indicates that MEI has no problem at all paying its short term obligations.
- MEI has a Current ratio (2.41) which is in line with its industry peers.
- MEI has a Quick Ratio of 1.55. This is a normal value and indicates that MEI is financially healthy and should not expect problems in meeting its short term obligations.
- MEI has a Quick ratio (1.55) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.41 | ||
| Quick Ratio | 1.55 |
3. MEI Growth Analysis
3.1 Past
- MEI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -154.10%.
- Looking at the last year, MEI shows a decrease in Revenue. The Revenue has decreased by -8.43% in the last year.
- MEI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.47% yearly.
EPS 1Y (TTM)-154.1%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-76.19%
Revenue 1Y (TTM)-8.43%
Revenue growth 3Y-3.42%
Revenue growth 5Y0.47%
Sales Q2Q%-2.58%
3.2 Future
- MEI is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 55.90% yearly.
- Based on estimates for the next years, MEI will show a small growth in Revenue. The Revenue will grow by 0.55% on average per year.
EPS Next Y48.18%
EPS Next 2Y55.9%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-6.17%
Revenue Next 2Y-3.38%
Revenue Next 3Y0.55%
Revenue Next 5YN/A
3.3 Evolution
- 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. MEI Valuation Analysis
4.1 Price/Earnings Ratio
- MEI reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
- A Price/Forward Earnings ratio of 11.60 indicates a reasonable valuation of MEI.
- Based on the Price/Forward Earnings ratio, MEI is valued cheaper than 84.68% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 22.51, MEI is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 11.6 |
4.2 Price Multiples
- 82.26% of the companies in the same industry are more expensive than MEI, based on the Enterprise Value to EBITDA ratio.
- MEI's Price/Free Cash Flow ratio is rather cheap when compared to the industry. MEI is cheaper than 96.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.75 | ||
| EV/EBITDA | 10.58 |
4.3 Compensation for Growth
- MEI's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- MEI's earnings are expected to grow with 55.90% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y55.9%
EPS Next 3YN/A
5. MEI Dividend Analysis
5.1 Amount
- MEI has a Yearly Dividend Yield of 3.77%.
- MEI's Dividend Yield is rather good when compared to the industry average which is at 0.46. MEI pays more dividend than 98.39% of the companies in the same industry.
- MEI's Dividend Yield is rather good when compared to the S&P500 average which is at 1.90.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.77% |
5.2 History
- The dividend of MEI has a limited annual growth rate of 5.46%.
- MEI has paid a dividend for at least 10 years, which is a reliable track record.
- MEI has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)5.46%
Div Incr Years0
Div Non Decr Years11
5.3 Sustainability
- The earnings of MEI are negative and hence is the payout ratio. MEI will probably not be able to sustain this dividend level.
- The dividend of MEI is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-18.01%
EPS Next 2Y55.9%
EPS Next 3YN/A
MEI Fundamentals: All Metrics, Ratios and Statistics
5.74
-0.41 (-6.67%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)03-05 2026-03-05/amc
Earnings (Next)07-07 2026-07-07/bmo
Inst Owners91%
Inst Owner Change-3.57%
Ins Owners3.31%
Ins Owner Change-0.44%
Market Cap203.37M
Revenue(TTM)978.20M
Net Income(TTM)-64.40M
Analysts77.14
Price Target9.44 (64.46%)
Short Float %2.26%
Short Ratio1.83
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.77% |
Yearly Dividend0.57
Dividend Growth(5Y)5.46%
DP-18.01%
Div Incr Years0
Div Non Decr Years11
Ex-Date01-16 2026-01-16 (0.05)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-39.82%
Min EPS beat(2)-83.17%
Max EPS beat(2)3.53%
EPS beat(4)2
Avg EPS beat(4)-586.25%
Min EPS beat(4)-2278.22%
Max EPS beat(4)12.87%
EPS beat(8)3
Avg EPS beat(8)-293.78%
EPS beat(12)3
Avg EPS beat(12)-251.43%
EPS beat(16)5
Avg EPS beat(16)-187.17%
Revenue beat(2)2
Avg Revenue beat(2)4.29%
Min Revenue beat(2)3.98%
Max Revenue beat(2)4.61%
Revenue beat(4)4
Avg Revenue beat(4)5.81%
Min Revenue beat(4)3.98%
Max Revenue beat(4)9.31%
Revenue beat(8)6
Avg Revenue beat(8)2.72%
Revenue beat(12)7
Avg Revenue beat(12)0.7%
Revenue beat(16)8
Avg Revenue beat(16)0.45%
PT rev (1m)0%
PT rev (3m)-11.9%
EPS NQ rev (1m)-161.19%
EPS NQ rev (3m)-783.33%
EPS NY rev (1m)0%
EPS NY rev (3m)-42.17%
Revenue NQ rev (1m)-2.83%
Revenue NQ rev (3m)-3.34%
Revenue NY rev (1m)0.58%
Revenue NY rev (3m)1.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 11.6 | ||
| P/S | 0.21 | ||
| P/FCF | 4.75 | ||
| P/OCF | 2.97 | ||
| P/B | 0.3 | ||
| P/tB | 0.74 | ||
| EV/EBITDA | 10.58 |
EPS(TTM)-1.55
EYN/A
EPS(NY)0.49
Fwd EY8.62%
FCF(TTM)1.21
FCFY21.05%
OCF(TTM)1.93
OCFY33.68%
SpS27.61
BVpS19.05
TBVpS7.73
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.93% | ||
| ROE | -9.54% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 15.38% | ||
| FCFM | 4.38% |
ROA(3y)-2.9%
ROA(5y)1.4%
ROE(3y)-5.65%
ROE(5y)1.51%
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 3Y-11.8%
GM growth 5Y-10.69%
F-Score3
Asset Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 7.96 | ||
| Debt/EBITDA | 8.78 | ||
| Cap/Depr | 42.48% | ||
| Cap/Sales | 2.63% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 176.55% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.41 | ||
| Quick Ratio | 1.55 | ||
| Altman-Z | 1.72 |
F-Score3
WACC9.64%
ROIC/WACCN/A
Cap/Depr(3y)80.89%
Cap/Depr(5y)72.65%
Cap/Sales(3y)4.01%
Cap/Sales(5y)3.52%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-154.1%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-76.19%
EPS Next Y48.18%
EPS Next 2Y55.9%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-8.43%
Revenue growth 3Y-3.42%
Revenue growth 5Y0.47%
Sales Q2Q%-2.58%
Revenue Next Year-6.17%
Revenue Next 2Y-3.38%
Revenue Next 3Y0.55%
Revenue Next 5YN/A
EBIT growth 1Y-130.85%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year306.07%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y121.76%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-4.33%
OCF growth 3Y-35.59%
OCF growth 5Y-28.43%
METHODE ELECTRONICS INC / MEI Fundamental Analysis FAQ
Can you provide the ChartMill fundamental rating for METHODE ELECTRONICS INC?
ChartMill assigns a fundamental rating of 3 / 10 to MEI.
What is the valuation status for MEI stock?
ChartMill assigns a valuation rating of 6 / 10 to METHODE ELECTRONICS INC (MEI). This can be considered as Fairly Valued.
Can you provide the profitability details for METHODE ELECTRONICS INC?
METHODE ELECTRONICS INC (MEI) has a profitability rating of 1 / 10.
How sustainable is the dividend of METHODE ELECTRONICS INC (MEI) stock?
The dividend rating of METHODE ELECTRONICS INC (MEI) is 7 / 10 and the dividend payout ratio is -18.01%.