MISTRAS GROUP INC (MG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:MG - US60649T1079 - Common Stock
12.89 USD
+0.36 (+2.87%)
13.14 USD
+0.25 (+1.94%)
MG gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 87 industry peers in the Professional Services industry. There are concerns on the financial health of MG while its profitability can be described as average. MG is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
MG had positive earnings in the past year.
MG had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: MG reported negative net income in multiple years.
MG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
MG's Return On Assets of 3.04% is in line compared to the rest of the industry. MG outperforms 52.87% of its industry peers.
MG's Return On Equity of 7.97% is in line compared to the rest of the industry. MG outperforms 54.02% of its industry peers.
MG's Return On Invested Capital of 8.06% is in line compared to the rest of the industry. MG outperforms 57.47% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MG is significantly below the industry average of 11.98%.
The 3 year average ROIC (5.62%) for MG is below the current ROIC(8.06%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.04% | ||
| ROE | 7.97% | ||
| ROIC | 8.06% |
ROA(3y)0.53%
ROA(5y)-2.96%
ROE(3y)1.22%
ROE(5y)-8.99%
ROIC(3y)5.62%
ROIC(5y)4.42%
1.3 Margins
With a Profit Margin value of 2.53%, MG perfoms like the industry average, outperforming 49.43% of the companies in the same industry.
MG's Profit Margin has improved in the last couple of years.
The Operating Margin of MG (6.78%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of MG has grown nicely.
Looking at the Gross Margin, with a value of 28.57%, MG is doing worse than 60.92% of the companies in the same industry.
MG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.78% | ||
| PM (TTM) | 2.53% | ||
| GM | 28.57% |
OM growth 3Y23.74%
OM growth 5Y12.48%
PM growth 3Y65.8%
PM growth 5Y26.1%
GM growth 3Y0.11%
GM growth 5Y0.12%
2. Health
2.1 Basic Checks
MG has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for MG has been increased compared to 1 year ago.
Compared to 5 years ago, MG has more shares outstanding
MG has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.36 indicates that MG is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.36, MG is in line with its industry, outperforming 43.68% of the companies in the same industry.
MG has a Debt/Equity ratio of 0.90. This is a neutral value indicating MG is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.90, MG is not doing good in the industry: 65.52% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.9 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.36 |
ROIC/WACC0.97
WACC8.28%
2.3 Liquidity
A Current Ratio of 1.89 indicates that MG should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.89, MG is doing good in the industry, outperforming 67.82% of the companies in the same industry.
A Quick Ratio of 1.77 indicates that MG should not have too much problems paying its short term obligations.
The Quick ratio of MG (1.77) is better than 64.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.89 | ||
| Quick Ratio | 1.77 |
3. Growth
3.1 Past
MG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 51.72%, which is quite impressive.
Measured over the past years, MG shows a very strong growth in Earnings Per Share. The EPS has been growing by 20.79% on average per year.
The Revenue has decreased by -3.20% in the past year.
The Revenue has been decreasing by -0.51% on average over the past years.
EPS 1Y (TTM)51.72%
EPS 3Y44.23%
EPS 5Y20.79%
EPS Q2Q%130%
Revenue 1Y (TTM)-3.2%
Revenue growth 3Y2.52%
Revenue growth 5Y-0.51%
Sales Q2Q%7.04%
3.2 Future
Based on estimates for the next years, MG will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.37% on average per year.
Based on estimates for the next years, MG will show a small growth in Revenue. The Revenue will grow by 1.04% on average per year.
EPS Next Y14.92%
EPS Next 2Y16.37%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-1.45%
Revenue Next 2Y1.04%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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 14.65 indicates a correct valuation of MG.
Compared to the rest of the industry, the Price/Earnings ratio of MG indicates a somewhat cheap valuation: MG is cheaper than 74.71% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.43. MG is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 13.22, MG is valued correctly.
74.71% of the companies in the same industry are more expensive than MG, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of MG to the average of the S&P500 Index (23.66), we can say MG is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.65 | ||
| Fwd PE | 13.22 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MG indicates a rather cheap valuation: MG is cheaper than 83.91% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.53 |
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.
MG's earnings are expected to grow with 16.37% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.98
PEG (5Y)0.7
EPS Next 2Y16.37%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for MG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
12.89
+0.36 (+2.87%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners50.15%
Inst Owner Change1.5%
Ins Owners35.17%
Ins Owner Change0.18%
Market Cap406.68M
Revenue(TTM)715.30M
Net Income(TTM)18.13M
Analysts85.45
Price Target17.09 (32.58%)
Short Float %5.64%
Short Ratio4.97
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)1
Avg EPS beat(2)25.1%
Min EPS beat(2)-1.18%
Max EPS beat(2)51.39%
EPS beat(4)2
Avg EPS beat(4)4.42%
Min EPS beat(4)-107.28%
Max EPS beat(4)74.76%
EPS beat(8)4
Avg EPS beat(8)-1.55%
EPS beat(12)6
Avg EPS beat(12)-11.39%
EPS beat(16)6
Avg EPS beat(16)-21.62%
Revenue beat(2)0
Avg Revenue beat(2)-1.57%
Min Revenue beat(2)-3.09%
Max Revenue beat(2)-0.05%
Revenue beat(4)0
Avg Revenue beat(4)-6.74%
Min Revenue beat(4)-21.09%
Max Revenue beat(4)-0.05%
Revenue beat(8)2
Avg Revenue beat(8)-3.58%
Revenue beat(12)2
Avg Revenue beat(12)-4.27%
Revenue beat(16)3
Avg Revenue beat(16)-3.94%
PT rev (1m)27.21%
PT rev (3m)27.21%
EPS NQ rev (1m)-9.72%
EPS NQ rev (3m)-9.72%
EPS NY rev (1m)13.95%
EPS NY rev (3m)13.95%
Revenue NQ rev (1m)-0.35%
Revenue NQ rev (3m)-2.26%
Revenue NY rev (1m)0.23%
Revenue NY rev (3m)0.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.65 | ||
| Fwd PE | 13.22 | ||
| P/S | 0.57 | ||
| P/FCF | N/A | ||
| P/OCF | 15.35 | ||
| P/B | 1.79 | ||
| P/tB | 77.77 | ||
| EV/EBITDA | 7.53 |
EPS(TTM)0.88
EY6.83%
EPS(NY)0.98
Fwd EY7.56%
FCF(TTM)0
FCFYN/A
OCF(TTM)0.84
OCFY6.52%
SpS22.67
BVpS7.21
TBVpS0.17
PEG (NY)0.98
PEG (5Y)0.7
Graham Number11.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.04% | ||
| ROE | 7.97% | ||
| ROCE | 10.3% | ||
| ROIC | 8.06% | ||
| ROICexc | 8.57% | ||
| ROICexgc | 17.2% | ||
| OM | 6.78% | ||
| PM (TTM) | 2.53% | ||
| GM | 28.57% | ||
| FCFM | N/A |
ROA(3y)0.53%
ROA(5y)-2.96%
ROE(3y)1.22%
ROE(5y)-8.99%
ROIC(3y)5.62%
ROIC(5y)4.42%
ROICexc(3y)5.88%
ROICexc(5y)4.64%
ROICexgc(3y)13.96%
ROICexgc(5y)11.37%
ROCE(3y)7.18%
ROCE(5y)5.65%
ROICexgc growth 3Y22.5%
ROICexgc growth 5Y16.22%
ROICexc growth 3Y29.71%
ROICexc growth 5Y21.81%
OM growth 3Y23.74%
OM growth 5Y12.48%
PM growth 3Y65.8%
PM growth 5Y26.1%
GM growth 3Y0.11%
GM growth 5Y0.12%
F-Score6
Asset Turnover1.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.9 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.55 | ||
| Cap/Depr | 84.4% | ||
| Cap/Sales | 3.71% | ||
| Interest Coverage | 3.72 | ||
| Cash Conversion | 33.16% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.89 | ||
| Quick Ratio | 1.77 | ||
| Altman-Z | 2.36 |
F-Score6
WACC8.28%
ROIC/WACC0.97
Cap/Depr(3y)59.76%
Cap/Depr(5y)55.73%
Cap/Sales(3y)2.82%
Cap/Sales(5y)2.79%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)51.72%
EPS 3Y44.23%
EPS 5Y20.79%
EPS Q2Q%130%
EPS Next Y14.92%
EPS Next 2Y16.37%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-3.2%
Revenue growth 3Y2.52%
Revenue growth 5Y-0.51%
Sales Q2Q%7.04%
Revenue Next Year-1.45%
Revenue Next 2Y1.04%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y15.52%
EBIT growth 3Y26.86%
EBIT growth 5Y11.9%
EBIT Next Year101.15%
EBIT Next 3Y33.95%
EBIT Next 5YN/A
FCF growth 1Y-100.58%
FCF growth 3Y5.7%
FCF growth 5Y-5.59%
OCF growth 1Y-0.22%
OCF growth 3Y5.86%
OCF growth 5Y-3.24%
MISTRAS GROUP INC / MG FAQ
What is the fundamental rating for MG stock?
ChartMill assigns a fundamental rating of 4 / 10 to MG.
What is the valuation status of MISTRAS GROUP INC (MG) stock?
ChartMill assigns a valuation rating of 5 / 10 to MISTRAS GROUP INC (MG). This can be considered as Fairly Valued.
Can you provide the profitability details for MISTRAS GROUP INC?
MISTRAS GROUP INC (MG) has a profitability rating of 5 / 10.
What is the earnings growth outlook for MISTRAS GROUP INC?
The Earnings per Share (EPS) of MISTRAS GROUP INC (MG) is expected to grow by 14.92% in the next year.