METHANEX CORP (MEOH) Stock Fundamental Analysis
USA - NASDAQ:MEOH - CA59151K1084 - Common Stock
35.21 USD
+1.18 (+3.47%)
Overall MEOH gets a fundamental rating of 5 out of 10. We evaluated MEOH against 82 industry peers in the Chemicals industry. While MEOH belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. MEOH is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
MEOH had positive earnings in the past year.
In the past year MEOH had a positive cash flow from operations.
MEOH had positive earnings in 4 of the past 5 years.
Each year in the past 5 years MEOH had a positive operating cash flow.
1.2 Ratios
MEOH has a Return On Assets of 2.84%. This is in the better half of the industry: MEOH outperforms 62.20% of its industry peers.
MEOH has a better Return On Equity (8.31%) than 73.17% of its industry peers.
With a decent Return On Invested Capital value of 5.99%, MEOH is doing good in the industry, outperforming 65.85% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for MEOH is in line with the industry average of 6.13%.
The last Return On Invested Capital (5.99%) for MEOH is above the 3 year average (5.09%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.84% | ||
| ROE | 8.31% | ||
| ROIC | 5.99% |
ROA(3y)3.51%
ROA(5y)3.14%
ROE(3y)11.2%
ROE(5y)9.72%
ROIC(3y)5.09%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of MEOH (5.99%) is better than 71.95% of its industry peers.
MEOH's Profit Margin has improved in the last couple of years.
MEOH has a Operating Margin of 14.45%. This is in the better half of the industry: MEOH outperforms 74.39% of its industry peers.
MEOH's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 25.93%, MEOH perfoms like the industry average, outperforming 48.78% of the companies in the same industry.
In the last couple of years the Gross Margin of MEOH has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.45% | ||
| PM (TTM) | 5.99% | ||
| GM | 25.93% |
OM growth 3Y-18.5%
OM growth 5Y15.49%
PM growth 3Y-26.11%
PM growth 5Y10.52%
GM growth 3Y0.81%
GM growth 5Y5.2%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MEOH is destroying value.
Compared to 1 year ago, MEOH has about the same amount of shares outstanding.
The number of shares outstanding for MEOH has been reduced compared to 5 years ago.
MEOH has a worse debt/assets ratio than last year.
2.2 Solvency
MEOH has an Altman-Z score of 1.47. This is a bad value and indicates that MEOH is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of MEOH (1.47) is worse than 68.29% of its industry peers.
The Debt to FCF ratio of MEOH is 3.90, which is a good value as it means it would take MEOH, 3.90 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.90, MEOH belongs to the top of the industry, outperforming 86.59% of the companies in the same industry.
A Debt/Equity ratio of 1.34 is on the high side and indicates that MEOH has dependencies on debt financing.
With a Debt to Equity ratio value of 1.34, MEOH is not doing good in the industry: 71.95% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.34 | ||
| Debt/FCF | 3.9 | ||
| Altman-Z | 1.47 |
ROIC/WACC0.78
WACC7.67%
2.3 Liquidity
MEOH has a Current Ratio of 2.09. This indicates that MEOH is financially healthy and has no problem in meeting its short term obligations.
MEOH has a Current ratio (2.09) which is in line with its industry peers.
MEOH has a Quick Ratio of 1.33. This is a normal value and indicates that MEOH is financially healthy and should not expect problems in meeting its short term obligations.
MEOH has a Quick ratio (1.33) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.09 | ||
| Quick Ratio | 1.33 |
3. Growth
3.1 Past
MEOH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 19.00%, which is quite good.
MEOH shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 31.95% yearly.
Looking at the last year, MEOH shows a decrease in Revenue. The Revenue has decreased by -3.36% in the last year.
The Revenue has been growing slightly by 2.53% on average over the past years.
EPS 1Y (TTM)19%
EPS 3Y-14.87%
EPS 5Y31.95%
EPS Q2Q%-95.04%
Revenue 1Y (TTM)-3.36%
Revenue growth 3Y-5.55%
Revenue growth 5Y2.53%
Sales Q2Q%-0.79%
3.2 Future
The Earnings Per Share is expected to decrease by -8.42% on average over the next years.
Based on estimates for the next years, MEOH will show a small growth in Revenue. The Revenue will grow by 3.81% on average per year.
EPS Next Y-9.92%
EPS Next 2Y-1.96%
EPS Next 3Y-0.22%
EPS Next 5Y-8.42%
Revenue Next Year-2.64%
Revenue Next 2Y4.75%
Revenue Next 3Y3.81%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
A Price/Earnings ratio of 9.86 indicates a reasonable valuation of MEOH.
Based on the Price/Earnings ratio, MEOH is valued cheaper than 84.15% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.07, MEOH is valued rather cheaply.
The Price/Forward Earnings ratio is 9.85, which indicates a very decent valuation of MEOH.
MEOH's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. MEOH is cheaper than 78.05% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.08. MEOH is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.86 | ||
| Fwd PE | 9.85 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MEOH indicates a rather cheap valuation: MEOH is cheaper than 84.15% of the companies listed in the same industry.
MEOH's Price/Free Cash Flow ratio is rather cheap when compared to the industry. MEOH is cheaper than 97.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.94 | ||
| EV/EBITDA | 6.3 |
4.3 Compensation for Growth
The decent profitability rating of MEOH may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.31
EPS Next 2Y-1.96%
EPS Next 3Y-0.22%
5. Dividend
5.1 Amount
MEOH has a Yearly Dividend Yield of 2.01%. Purely for dividend investing, there may be better candidates out there.
MEOH's Dividend Yield is comparable with the industry average which is at 4.00.
Compared to an average S&P500 Dividend Yield of 2.44, MEOH has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.01% |
5.2 History
The dividend of MEOH decreases each year by -12.05%.
MEOH has been paying a dividend for at least 10 years, so it has a reliable track record.
MEOH has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-12.05%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
24.20% of the earnings are spent on dividend by MEOH. This is a low number and sustainable payout ratio.
MEOH's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP24.2%
EPS Next 2Y-1.96%
EPS Next 3Y-0.22%
NASDAQ:MEOH (11/21/2025, 2:09:03 PM)
35.21
+1.18 (+3.47%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners67.17%
Inst Owner Change-6.98%
Ins Owners0.61%
Ins Owner ChangeN/A
Market Cap2.72B
Revenue(TTM)3.57B
Net Income(TTM)213.70M
Analysts84.62
Price Target37.38 (6.16%)
Short Float %1.69%
Short Ratio2.21
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.01% |
Yearly Dividend0.74
Dividend Growth(5Y)-12.05%
DP24.2%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)50.49%
Min EPS beat(2)-85.85%
Max EPS beat(2)186.83%
EPS beat(4)2
Avg EPS beat(4)27.34%
Min EPS beat(4)-85.85%
Max EPS beat(4)186.83%
EPS beat(8)6
Avg EPS beat(8)45.19%
EPS beat(12)10
Avg EPS beat(12)44.37%
EPS beat(16)12
Avg EPS beat(16)31.74%
Revenue beat(2)0
Avg Revenue beat(2)-8.02%
Min Revenue beat(2)-8.23%
Max Revenue beat(2)-7.81%
Revenue beat(4)0
Avg Revenue beat(4)-9.78%
Min Revenue beat(4)-14.78%
Max Revenue beat(4)-7.81%
Revenue beat(8)3
Avg Revenue beat(8)-4.04%
Revenue beat(12)5
Avg Revenue beat(12)-2%
Revenue beat(16)6
Avg Revenue beat(16)-1.78%
PT rev (1m)-0.65%
PT rev (3m)1.56%
EPS NQ rev (1m)0.67%
EPS NQ rev (3m)0%
EPS NY rev (1m)-8.27%
EPS NY rev (3m)-11.29%
Revenue NQ rev (1m)-3.91%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-5.19%
Revenue NY rev (3m)-7.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.86 | ||
| Fwd PE | 9.85 | ||
| P/S | 0.76 | ||
| P/FCF | 2.94 | ||
| P/OCF | 2.58 | ||
| P/B | 1.06 | ||
| P/tB | 1.06 | ||
| EV/EBITDA | 6.3 |
EPS(TTM)3.57
EY10.14%
EPS(NY)3.58
Fwd EY10.16%
FCF(TTM)12
FCFY34.07%
OCF(TTM)13.67
OCFY38.82%
SpS46.15
BVpS33.23
TBVpS33.23
PEG (NY)N/A
PEG (5Y)0.31
Graham Number51.67
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.84% | ||
| ROE | 8.31% | ||
| ROCE | 7.58% | ||
| ROIC | 5.99% | ||
| ROICexc | 6.37% | ||
| ROICexgc | 6.37% | ||
| OM | 14.45% | ||
| PM (TTM) | 5.99% | ||
| GM | 25.93% | ||
| FCFM | 25.99% |
ROA(3y)3.51%
ROA(5y)3.14%
ROE(3y)11.2%
ROE(5y)9.72%
ROIC(3y)5.09%
ROIC(5y)N/A
ROICexc(3y)5.89%
ROICexc(5y)N/A
ROICexgc(3y)5.89%
ROICexgc(5y)N/A
ROCE(3y)6.45%
ROCE(5y)N/A
ROICexgc growth 3Y-27.29%
ROICexgc growth 5Y14.09%
ROICexc growth 3Y-27.29%
ROICexc growth 5Y14.09%
OM growth 3Y-18.5%
OM growth 5Y15.49%
PM growth 3Y-26.11%
PM growth 5Y10.52%
GM growth 3Y0.81%
GM growth 5Y5.2%
F-Score6
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.34 | ||
| Debt/FCF | 3.9 | ||
| Debt/EBITDA | 3.73 | ||
| Cap/Depr | 31.59% | ||
| Cap/Sales | 3.63% | ||
| Interest Coverage | 2.62 | ||
| Cash Conversion | 114.22% | ||
| Profit Quality | 434.11% | ||
| Current Ratio | 2.09 | ||
| Quick Ratio | 1.33 | ||
| Altman-Z | 1.47 |
F-Score6
WACC7.67%
ROIC/WACC0.78
Cap/Depr(3y)104.87%
Cap/Depr(5y)95.59%
Cap/Sales(3y)10.04%
Cap/Sales(5y)9.71%
Profit Quality(3y)193.63%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)19%
EPS 3Y-14.87%
EPS 5Y31.95%
EPS Q2Q%-95.04%
EPS Next Y-9.92%
EPS Next 2Y-1.96%
EPS Next 3Y-0.22%
EPS Next 5Y-8.42%
Revenue 1Y (TTM)-3.36%
Revenue growth 3Y-5.55%
Revenue growth 5Y2.53%
Sales Q2Q%-0.79%
Revenue Next Year-2.64%
Revenue Next 2Y4.75%
Revenue Next 3Y3.81%
Revenue Next 5YN/A
EBIT growth 1Y105.99%
EBIT growth 3Y-23.02%
EBIT growth 5Y18.41%
EBIT Next Year172.44%
EBIT Next 3Y50.66%
EBIT Next 5Y29.76%
FCF growth 1Y478.85%
FCF growth 3Y-9.07%
FCF growth 5Y24.08%
OCF growth 1Y51.94%
OCF growth 3Y-9.49%
OCF growth 5Y7.42%
METHANEX CORP / MEOH FAQ
What is the ChartMill fundamental rating of METHANEX CORP (MEOH) stock?
ChartMill assigns a fundamental rating of 5 / 10 to MEOH.
What is the valuation status of METHANEX CORP (MEOH) stock?
ChartMill assigns a valuation rating of 7 / 10 to METHANEX CORP (MEOH). This can be considered as Undervalued.
What is the profitability of MEOH stock?
METHANEX CORP (MEOH) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for MEOH stock?
The Price/Earnings (PE) ratio for METHANEX CORP (MEOH) is 9.86 and the Price/Book (PB) ratio is 1.06.
Is the dividend of METHANEX CORP sustainable?
The dividend rating of METHANEX CORP (MEOH) is 4 / 10 and the dividend payout ratio is 24.2%.