META PLATFORMS INC-CLASS A (META)
US30303M1027 - Common Stock
Overall META gets a fundamental rating of 7 out of 10. We evaluated META against 68 industry peers in the Interactive Media & Services industry. META gets an excellent profitability rating and is at the same time showing great financial health properties. META is growing strongly while it is still valued neutral. This is a good combination! With these ratings, META could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
In the past year META was profitable.
In the past year META had a positive cash flow from operations.
In the past 5 years META has always been profitable.
META had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 17.03%, META belongs to the top of the industry, outperforming 92.54% of the companies in the same industry.
META has a Return On Equity of 25.53%. This is amongst the best in the industry. META outperforms 92.54% of its industry peers.
With an excellent Return On Invested Capital value of 21.19%, META belongs to the best of the industry, outperforming 95.52% of the companies in the same industry.
META had an Average Return On Invested Capital over the past 3 years of 22.24%. This is significantly above the industry average of 9.61%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.03% | ||
| ROE | 25.53% | ||
| ROIC | 21.19% |
ROA(3y)17.75%
ROA(5y)17.08%
ROE(3y)25.17%
ROE(5y)23.3%
ROIC(3y)22.24%
ROIC(5y)21.38%
1.3 Margins
The Profit Margin of META (28.98%) is better than 95.52% of its industry peers.
In the last couple of years the Profit Margin of META has declined.
META has a Operating Margin of 36.41%. This is amongst the best in the industry. META outperforms 100.00% of its industry peers.
META's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 80.75%, META is in the better half of the industry, outperforming 73.13% of the companies in the same industry.
META's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 36.41% | ||
| PM (TTM) | 28.98% | ||
| GM | 80.75% |
OM growth 3Y-1.49%
OM growth 5Y-4.03%
PM growth 3Y-5.09%
PM growth 5Y-6.05%
GM growth 3Y0.06%
GM growth 5Y-0.61%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so META is creating value.
META has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, META has less shares outstanding
META has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 11.96 indicates that META is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 11.96, META belongs to the best of the industry, outperforming 89.55% of the companies in the same industry.
META has a debt to FCF ratio of 0.44. This is a very positive value and a sign of high solvency as it would only need 0.44 years to pay back of all of its debts.
META has a Debt to FCF ratio of 0.44. This is amongst the best in the industry. META outperforms 80.60% of its industry peers.
A Debt/Equity ratio of 0.12 indicates that META is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.12, META is in line with its industry, outperforming 40.30% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.44 | ||
| Altman-Z | 11.96 |
ROIC/WACC2.24
WACC9.48%
2.3 Liquidity
META has a Current Ratio of 2.67. This indicates that META is financially healthy and has no problem in meeting its short term obligations.
With a Current ratio value of 2.67, META perfoms like the industry average, outperforming 53.73% of the companies in the same industry.
A Quick Ratio of 2.67 indicates that META has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 2.67, META is in line with its industry, outperforming 53.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.67 | ||
| Quick Ratio | 2.67 |
3. Growth
3.1 Past
META shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 73.66%, which is quite impressive.
Measured over the past years, META shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.50% on average per year.
Looking at the last year, META shows a quite strong growth in Revenue. The Revenue has grown by 15.69% in the last year.
META shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 19.29% yearly.
EPS 1Y (TTM)73.66%
EPS 3Y15.03%
EPS 5Y14.5%
EPS growth Q2Q202.84%
Revenue 1Y (TTM)15.69%
Revenue growth 3Y16.21%
Revenue growth 5Y19.29%
Revenue growth Q2Q24.7%
3.2 Future
Based on estimates for the next years, META will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.82% on average per year.
Based on estimates for the next years, META will show a quite strong growth in Revenue. The Revenue will grow by 10.57% on average per year.
EPS Next Y37.06%
EPS Next 2Y25.9%
EPS Next 3Y21.93%
EPS Next 5Y14.82%
Revenue Next Year18.31%
Revenue Next 2Y15.46%
Revenue Next 3Y14.12%
Revenue Next 5Y10.57%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
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
With a Price/Earnings ratio of 34.18, META can be considered very expensive at the moment.
Based on the Price/Earnings ratio, META is valued a bit cheaper than 62.69% of the companies in the same industry.
When comparing the Price/Earnings ratio of META to the average of the S&P500 Index (24.83), we can say META is valued slightly more expensively.
The Price/Forward Earnings ratio is 24.93, which indicates a rather expensive current valuation of META.
Based on the Price/Forward Earnings ratio, META is valued a bit cheaper than the industry average as 64.18% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 21.32. META is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.18 | ||
| Fwd PE | 24.93 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of META indicates a somewhat cheap valuation: META is cheaper than 67.16% of the companies listed in the same industry.
META's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. META is cheaper than 64.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.61 | ||
| EV/EBITDA | 19.74 |
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.
META has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as META's earnings are expected to grow with 21.93% in the coming years.
PEG (NY)0.92
PEG (5Y)2.36
EPS Next 2Y25.9%
EPS Next 3Y21.93%
5. Dividend
5.1 Amount
With a yearly dividend of 0.38%, META is not a good candidate for dividend investing.
META's Dividend Yield is rather good when compared to the industry average which is at 16.33. META pays more dividend than 91.04% of the companies in the same industry.
With a Dividend Yield of 0.38, META pays less dividend than the S&P500 average, which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.38% |
5.2 History
META is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y25.9%
EPS Next 3Y21.93%
META PLATFORMS INC-CLASS A
NASDAQ:META (4/18/2024, 9:50:10 AM)
509.223
+15.05 (+3.05%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1298.22B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.38% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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EPS beat(16)
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EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.18 | ||
| Fwd PE | 24.93 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.92
PEG (5Y)2.36
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.03% | ||
| ROE | 25.53% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 36.41% | ||
| PM (TTM) | 28.98% | ||
| GM | 80.75% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.67 | ||
| Quick Ratio | 2.67 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)73.66%
EPS 3Y15.03%
EPS 5Y
EPS growth Q2Q
EPS Next Y37.06%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)15.69%
Revenue growth 3Y16.21%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y