MAGNITE INC (MGNI) Stock Fundamental Analysis
NASDAQ:MGNI - US55955D1000 - Common Stock
24.39 USD
-1.11 (-4.35%)
24.39 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to MGNI. MGNI was compared to 99 industry peers in the Media industry. MGNI has a medium profitability rating, but doesn't score so well on its financial health evaluation. MGNI is growing strongly while it is still valued neutral. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year MGNI was profitable.
MGNI had a positive operating cash flow in the past year.
In multiple years MGNI reported negative net income over the last 5 years.
Of the past 5 years MGNI 4 years had a positive operating cash flow.
1.2 Ratios
MGNI has a Return On Assets of 1.47%. This is in the better half of the industry: MGNI outperforms 66.67% of its industry peers.
With a decent Return On Equity value of 5.61%, MGNI is doing good in the industry, outperforming 69.70% of the companies in the same industry.
MGNI has a better Return On Invested Capital (5.62%) than 65.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.47% | ||
| ROE | 5.61% | ||
| ROIC | 5.62% |
ROA(3y)-3.31%
ROA(5y)-3.12%
ROE(3y)-12.06%
ROE(5y)-10.03%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of MGNI (6.30%) is better than 72.73% of its industry peers.
MGNI's Profit Margin has improved in the last couple of years.
MGNI has a better Operating Margin (11.08%) than 63.64% of its industry peers.
MGNI has a Gross Margin of 62.33%. This is in the better half of the industry: MGNI outperforms 72.73% of its industry peers.
MGNI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.08% | ||
| PM (TTM) | 6.3% | ||
| GM | 62.33% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y442.58%
PM growth 5YN/A
GM growth 3Y2.46%
GM growth 5Y-0.65%
2. Health
2.1 Basic Checks
MGNI has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, MGNI has more shares outstanding
The number of shares outstanding for MGNI has been increased compared to 5 years ago.
The debt/assets ratio for MGNI has been reduced compared to a year ago.
2.2 Solvency
MGNI has an Altman-Z score of 1.01. This is a bad value and indicates that MGNI is not financially healthy and even has some risk of bankruptcy.
MGNI has a Altman-Z score (1.01) which is comparable to the rest of the industry.
MGNI has a debt to FCF ratio of 3.29. This is a good value and a sign of high solvency as MGNI would need 3.29 years to pay back of all of its debts.
MGNI has a better Debt to FCF ratio (3.29) than 79.80% of its industry peers.
A Debt/Equity ratio of 0.45 indicates that MGNI is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.45, MGNI perfoms like the industry average, outperforming 57.58% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 3.29 | ||
| Altman-Z | 1.01 |
ROIC/WACC0.68
WACC8.3%
2.3 Liquidity
A Current Ratio of 1.00 indicates that MGNI may have some problems paying its short term obligations.
With a Current ratio value of 1.00, MGNI is not doing good in the industry: 60.61% of the companies in the same industry are doing better.
A Quick Ratio of 1.00 indicates that MGNI may have some problems paying its short term obligations.
MGNI's Quick ratio of 1.00 is in line compared to the rest of the industry. MGNI outperforms 40.40% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 38.33% over the past year.
Measured over the past years, MGNI shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.04% on average per year.
MGNI shows a small growth in Revenue. In the last year, the Revenue has grown by 5.52%.
The Revenue has been growing by 33.70% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)38.33%
EPS 3Y9.04%
EPS 5YN/A
EPS Q2Q%42.86%
Revenue 1Y (TTM)5.52%
Revenue growth 3Y12.57%
Revenue growth 5Y33.7%
Sales Q2Q%10.35%
3.2 Future
MGNI is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 27.18% yearly.
MGNI is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.98% yearly.
EPS Next Y33.33%
EPS Next 2Y27.18%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year10.11%
Revenue Next 2Y11.16%
Revenue Next 3Y10.19%
Revenue Next 5Y10.98%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 29.39, which means the current valuation is very expensive for MGNI.
63.64% of the companies in the same industry are more expensive than MGNI, based on the Price/Earnings ratio.
MGNI's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.07.
MGNI is valuated rather expensively with a Price/Forward Earnings ratio of 21.54.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MGNI is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 22.59. MGNI is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.39 | ||
| Fwd PE | 21.54 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MGNI is on the same level as its industry peers.
MGNI's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.51 | ||
| EV/EBITDA | 27.98 |
4.3 Compensation for Growth
MGNI's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
MGNI's earnings are expected to grow with 27.18% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.88
PEG (5Y)N/A
EPS Next 2Y27.18%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for MGNI!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
24.39
-1.11 (-4.35%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners95.99%
Inst Owner Change8.52%
Ins Owners1.57%
Ins Owner Change-22.67%
Market Cap3.47B
Analysts82.86
Price Target28.38 (16.36%)
Short Float %10.66%
Short Ratio4.71
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)2
Avg EPS beat(2)47.76%
Min EPS beat(2)17.94%
Max EPS beat(2)77.58%
EPS beat(4)3
Avg EPS beat(4)22.64%
Min EPS beat(4)-8.02%
Max EPS beat(4)77.58%
EPS beat(8)6
Avg EPS beat(8)1428.47%
EPS beat(12)9
Avg EPS beat(12)982.4%
EPS beat(16)11
Avg EPS beat(16)734.38%
Revenue beat(2)2
Avg Revenue beat(2)0.71%
Min Revenue beat(2)0.47%
Max Revenue beat(2)0.94%
Revenue beat(4)2
Avg Revenue beat(4)-0.94%
Min Revenue beat(4)-4.12%
Max Revenue beat(4)0.94%
Revenue beat(8)5
Avg Revenue beat(8)0.09%
Revenue beat(12)8
Avg Revenue beat(12)2.38%
Revenue beat(16)12
Avg Revenue beat(16)4.29%
PT rev (1m)12.92%
PT rev (3m)44.8%
EPS NQ rev (1m)1.3%
EPS NQ rev (3m)-10.14%
EPS NY rev (1m)5.17%
EPS NY rev (3m)6.24%
Revenue NQ rev (1m)3.11%
Revenue NQ rev (3m)-0.01%
Revenue NY rev (1m)2.27%
Revenue NY rev (3m)2.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.39 | ||
| Fwd PE | 21.54 | ||
| P/S | 5.07 | ||
| P/FCF | 20.51 | ||
| P/OCF | 15.29 | ||
| P/B | 4.52 | ||
| P/tB | N/A | ||
| EV/EBITDA | 27.98 |
EPS(TTM)0.83
EY3.4%
EPS(NY)1.13
Fwd EY4.64%
FCF(TTM)1.19
FCFY4.88%
OCF(TTM)1.6
OCFY6.54%
SpS4.81
BVpS5.4
TBVpS-1.74
PEG (NY)0.88
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.47% | ||
| ROE | 5.61% | ||
| ROCE | 6.53% | ||
| ROIC | 5.62% | ||
| ROICexc | 8.87% | ||
| ROICexgc | N/A | ||
| OM | 11.08% | ||
| PM (TTM) | 6.3% | ||
| GM | 62.33% | ||
| FCFM | 24.72% |
ROA(3y)-3.31%
ROA(5y)-3.12%
ROE(3y)-12.06%
ROE(5y)-10.03%
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
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y442.58%
PM growth 5YN/A
GM growth 3Y2.46%
GM growth 5Y-0.65%
F-Score7
Asset Turnover0.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 3.29 | ||
| Debt/EBITDA | 2.59 | ||
| Cap/Depr | 98.72% | ||
| Cap/Sales | 8.43% | ||
| Interest Coverage | 2.27 | ||
| Cash Conversion | 168.93% | ||
| Profit Quality | 392.72% | ||
| Current Ratio | 1 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 1.01 |
F-Score7
WACC8.3%
ROIC/WACC0.68
Cap/Depr(3y)38.84%
Cap/Depr(5y)36.21%
Cap/Sales(3y)6.92%
Cap/Sales(5y)7.38%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)38.33%
EPS 3Y9.04%
EPS 5YN/A
EPS Q2Q%42.86%
EPS Next Y33.33%
EPS Next 2Y27.18%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)5.52%
Revenue growth 3Y12.57%
Revenue growth 5Y33.7%
Sales Q2Q%10.35%
Revenue Next Year10.11%
Revenue Next 2Y11.16%
Revenue Next 3Y10.19%
Revenue Next 5Y10.98%
EBIT growth 1Y485.47%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year321.22%
EBIT Next 3Y81.8%
EBIT Next 5Y49.09%
FCF growth 1Y35.6%
FCF growth 3Y24.5%
FCF growth 5Y73.12%
OCF growth 1Y32.21%
OCF growth 3Y22.93%
OCF growth 5Y49.02%