MISTRAS GROUP INC (MG) Stock Fundamental Analysis
USA - NYSE:MG - US60649T1079 - Common Stock
10.03 USD
+0.11 (+1.11%)
10.03 USD
0 (0%)
MG gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 86 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 has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
MG had positive earnings in the past year.
In the past year MG had a positive cash flow from operations.
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
With a Return On Assets value of 2.00%, MG perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
MG has a Return On Equity (5.29%) which is in line with its industry peers.
MG has a Return On Invested Capital (6.94%) which is comparable to the rest of the industry.
MG had an Average Return On Invested Capital over the past 3 years of 5.62%. This is significantly below the industry average of 13.28%.
The last Return On Invested Capital (6.94%) for MG is above the 3 year average (5.62%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2% | ||
| ROE | 5.29% | ||
| ROIC | 6.94% |
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
MG has a Profit Margin (1.63%) which is in line with its industry peers.
In the last couple of years the Profit Margin of MG has grown nicely.
The Operating Margin of MG (5.59%) is comparable to the rest of the industry.
MG's Operating Margin has improved in the last couple of years.
MG's Gross Margin of 28.58% is in line compared to the rest of the industry. MG outperforms 41.86% of its industry peers.
In the last couple of years the Gross Margin of MG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.59% | ||
| PM (TTM) | 1.63% | ||
| GM | 28.58% |
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so MG is destroying value.
Compared to 1 year ago, MG has more shares outstanding
The number of shares outstanding for MG has been increased compared to 5 years ago.
The debt/assets ratio for MG has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.14 indicates that MG is not a great score, but indicates only limited risk for bankruptcy at the moment.
MG has a Altman-Z score (2.14) which is comparable to the rest of the industry.
The Debt to FCF ratio of MG is 11.64, which is on the high side as it means it would take MG, 11.64 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 11.64, MG perfoms like the industry average, outperforming 41.86% of the companies in the same industry.
MG has a Debt/Equity ratio of 0.89. This is a neutral value indicating MG is somewhat dependend on debt financing.
MG has a worse Debt to Equity ratio (0.89) than 65.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | 11.65 | ||
| Altman-Z | 2.14 |
ROIC/WACC0.88
WACC7.88%
2.3 Liquidity
A Current Ratio of 1.66 indicates that MG should not have too much problems paying its short term obligations.
The Current ratio of MG (1.66) is better than 65.12% of its industry peers.
A Quick Ratio of 1.54 indicates that MG should not have too much problems paying its short term obligations.
MG has a Quick ratio (1.54) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.66 | ||
| Quick Ratio | 1.54 |
3. Growth
3.1 Past
MG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.71%, which is quite good.
MG shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 20.79% yearly.
MG shows a decrease in Revenue. In the last year, the revenue decreased by -4.51%.
Measured over the past years, MG shows a decrease in Revenue. The Revenue has been decreasing by -0.51% on average per year.
EPS 1Y (TTM)10.71%
EPS 3Y44.23%
EPS 5Y20.79%
EPS Q2Q%-9.52%
Revenue 1Y (TTM)-4.51%
Revenue growth 3Y2.52%
Revenue growth 5Y-0.51%
Sales Q2Q%-2.3%
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 11.24% on average per year.
Based on estimates for the next years, MG will show a small growth in Revenue. The Revenue will grow by 0.54% on average per year.
EPS Next Y0.85%
EPS Next 2Y11.24%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-1.68%
Revenue Next 2Y0.54%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 16.18, MG is valued correctly.
72.09% of the companies in the same industry are more expensive than MG, based on the Price/Earnings ratio.
MG is valuated rather cheaply when we compare the Price/Earnings ratio to 26.89, which is the current average of the S&P500 Index.
MG is valuated reasonably with a Price/Forward Earnings ratio of 11.26.
80.23% 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 (22.99), we can say MG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.18 | ||
| Fwd PE | 11.26 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MG is valued cheaper than 87.21% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, MG is valued a bit cheaper than 66.28% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.46 | ||
| EV/EBITDA | 7.13 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)18.94
PEG (5Y)0.78
EPS Next 2Y11.24%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for MG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
10.03
+0.11 (+1.11%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners49.08%
Inst Owner Change-0.44%
Ins Owners42.17%
Ins Owner Change0.85%
Market Cap316.35M
Revenue(TTM)702.45M
Net Income(TTM)11.43M
Analysts86
Price Target13.43 (33.9%)
Short Float %5.99%
Short Ratio6.84
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)0
Avg EPS beat(2)-54.23%
Min EPS beat(2)-107.28%
Max EPS beat(2)-1.18%
EPS beat(4)1
Avg EPS beat(4)-15.22%
Min EPS beat(4)-107.28%
Max EPS beat(4)74.76%
EPS beat(8)4
Avg EPS beat(8)-6.82%
EPS beat(12)5
Avg EPS beat(12)-18.26%
EPS beat(16)5
Avg EPS beat(16)-26.88%
Revenue beat(2)0
Avg Revenue beat(2)-12.09%
Min Revenue beat(2)-21.09%
Max Revenue beat(2)-3.09%
Revenue beat(4)0
Avg Revenue beat(4)-7.88%
Min Revenue beat(4)-21.09%
Max Revenue beat(4)-2.74%
Revenue beat(8)2
Avg Revenue beat(8)-4.16%
Revenue beat(12)2
Avg Revenue beat(12)-4.9%
Revenue beat(16)3
Avg Revenue beat(16)-3.96%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.72%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.17%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.86%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.18 | ||
| Fwd PE | 11.26 | ||
| P/S | 0.45 | ||
| P/FCF | 17.46 | ||
| P/OCF | 7.64 | ||
| P/B | 1.47 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.13 |
EPS(TTM)0.62
EY6.18%
EPS(NY)0.89
Fwd EY8.88%
FCF(TTM)0.57
FCFY5.73%
OCF(TTM)1.31
OCFY13.09%
SpS22.27
BVpS6.84
TBVpS-0.28
PEG (NY)18.94
PEG (5Y)0.78
Graham Number9.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2% | ||
| ROE | 5.29% | ||
| ROCE | 8.87% | ||
| ROIC | 6.94% | ||
| ROICexc | 7.28% | ||
| ROICexgc | 15.57% | ||
| OM | 5.59% | ||
| PM (TTM) | 1.63% | ||
| GM | 28.58% | ||
| FCFM | 2.58% |
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-Score5
Asset Turnover1.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | 11.65 | ||
| Debt/EBITDA | 2.7 | ||
| Cap/Depr | 73.18% | ||
| Cap/Sales | 3.31% | ||
| Interest Coverage | 2.78 | ||
| Cash Conversion | 58.24% | ||
| Profit Quality | 158.58% | ||
| Current Ratio | 1.66 | ||
| Quick Ratio | 1.54 | ||
| Altman-Z | 2.14 |
F-Score5
WACC7.88%
ROIC/WACC0.88
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)10.71%
EPS 3Y44.23%
EPS 5Y20.79%
EPS Q2Q%-9.52%
EPS Next Y0.85%
EPS Next 2Y11.24%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-4.51%
Revenue growth 3Y2.52%
Revenue growth 5Y-0.51%
Sales Q2Q%-2.3%
Revenue Next Year-1.68%
Revenue Next 2Y0.54%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-3.41%
EBIT growth 3Y26.86%
EBIT growth 5Y11.9%
EBIT Next Year82.35%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-9.27%
FCF growth 3Y5.7%
FCF growth 5Y-5.59%
OCF growth 1Y12.13%
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 0.85% in the next year.