22.81 USD
-0.07 (-0.31%)
22.9 USD
+0.09 (+0.39%)
MGPI gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 33 industry peers in the Beverages industry. Both the profitability and the financial health of MGPI get a neutral evaluation. Nothing too spectacular is happening here. MGPI is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
MGPI had positive earnings in the past year.
MGPI had a positive operating cash flow in the past year.
MGPI had positive earnings in each of the past 5 years.
MGPI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
MGPI has a worse Return On Assets (-1.09%) than 66.67% of its industry peers.
MGPI has a worse Return On Equity (-1.75%) than 66.67% of its industry peers.
The Return On Invested Capital of MGPI (4.43%) is worse than 69.70% of its industry peers.
MGPI had an Average Return On Invested Capital over the past 3 years of 8.14%. This is below the industry average of 11.60%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.09% | ||
| ROE | -1.75% | ||
| ROIC | 4.43% |
ROA(3y)6.49%
ROA(5y)7.82%
ROE(3y)10.39%
ROE(5y)12.1%
ROIC(3y)8.14%
ROIC(5y)8.63%
1.3 Margins
In the last couple of years the Profit Margin of MGPI has declined.
MGPI has a Operating Margin of 14.50%. This is in the better half of the industry: MGPI outperforms 60.61% of its industry peers.
MGPI's Operating Margin has improved in the last couple of years.
MGPI has a Gross Margin of 38.98%. This is in the lower half of the industry: MGPI underperforms 69.70% of its industry peers.
MGPI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.5% | ||
| PM (TTM) | N/A | ||
| GM | 38.98% |
OM growth 3Y3.57%
OM growth 5Y10.14%
PM growth 3Y-30.4%
PM growth 5Y-14.42%
GM growth 3Y8.62%
GM growth 5Y14.05%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), MGPI is creating some value.
The number of shares outstanding for MGPI has been reduced compared to 1 year ago.
MGPI has more shares outstanding than it did 5 years ago.
The debt/assets ratio for MGPI is higher compared to a year ago.
2.2 Solvency
MGPI has an Altman-Z score of 2.06. This is not the best score and indicates that MGPI is in the grey zone with still only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.06, MGPI perfoms like the industry average, outperforming 48.48% of the companies in the same industry.
MGPI has a debt to FCF ratio of 4.32. This is a neutral value as MGPI would need 4.32 years to pay back of all of its debts.
MGPI's Debt to FCF ratio of 4.32 is fine compared to the rest of the industry. MGPI outperforms 78.79% of its industry peers.
A Debt/Equity ratio of 0.31 indicates that MGPI is not too dependend on debt financing.
The Debt to Equity ratio of MGPI (0.31) is better than 63.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 4.32 | ||
| Altman-Z | 2.06 |
ROIC/WACC0.72
WACC6.16%
2.3 Liquidity
MGPI has a Current Ratio of 2.78. This indicates that MGPI is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of MGPI (2.78) is better than 78.79% of its industry peers.
MGPI has a Quick Ratio of 2.78. This is a bad value and indicates that MGPI is not financially healthy enough and could expect problems in meeting its short term obligations.
MGPI has a Quick ratio of 0.69. This is comparable to the rest of the industry: MGPI outperforms 42.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.78 | ||
| Quick Ratio | 0.69 |
3. Growth
3.1 Past
MGPI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -32.55%.
MGPI shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 19.96% yearly.
The Revenue for MGPI has decreased by -21.53% in the past year. This is quite bad
MGPI shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.17% yearly.
EPS 1Y (TTM)-32.55%
EPS 3Y9.98%
EPS 5Y19.96%
EPS Q2Q%-34.11%
Revenue 1Y (TTM)-21.53%
Revenue growth 3Y3.93%
Revenue growth 5Y14.17%
Sales Q2Q%-18.92%
3.2 Future
Based on estimates for the next years, MGPI will show a very negative growth in Earnings Per Share. The EPS will decrease by -17.72% on average per year.
MGPI is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -6.99% yearly.
EPS Next Y-52.48%
EPS Next 2Y-29.6%
EPS Next 3Y-17.72%
EPS Next 5YN/A
Revenue Next Year-23.91%
Revenue Next 2Y-14.01%
Revenue Next 3Y-6.99%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
MGPI is valuated cheaply with a Price/Earnings ratio of 6.08.
Based on the Price/Earnings ratio, MGPI is valued cheaply inside the industry as 93.94% of the companies are valued more expensively.
MGPI is valuated cheaply when we compare the Price/Earnings ratio to 26.31, which is the current average of the S&P500 Index.
MGPI is valuated reasonably with a Price/Forward Earnings ratio of 8.16.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MGPI indicates a rather cheap valuation: MGPI is cheaper than 87.88% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.59, MGPI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.08 | ||
| Fwd PE | 8.16 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MGPI is valued cheaply inside the industry as 87.88% of the companies are valued more expensively.
MGPI's Price/Free Cash Flow ratio is rather cheap when compared to the industry. MGPI is cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.81 | ||
| EV/EBITDA | 6.9 |
4.3 Compensation for Growth
A cheap valuation may be justified as MGPI's earnings are expected to decrease with -17.72% in the coming years.
PEG (NY)N/A
PEG (5Y)0.3
EPS Next 2Y-29.6%
EPS Next 3Y-17.72%
5. Dividend
5.1 Amount
MGPI has a Yearly Dividend Yield of 2.10%.
In the last 3 months the price of MGPI has falen by -22.86%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
MGPI's Dividend Yield is comparable with the industry average which is at 3.07.
Compared to an average S&P500 Dividend Yield of 2.34, MGPI has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.1% |
5.2 History
The dividend of MGPI has a limited annual growth rate of 3.98%.
MGPI has paid a dividend for at least 10 years, which is a reliable track record.
MGPI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)3.98%
Div Incr Years0
Div Non Decr Years14
5.3 Sustainability
MGPI has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-69.03%
EPS Next 2Y-29.6%
EPS Next 3Y-17.72%
22.81
-0.07 (-0.31%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners64.12%
Inst Owner Change-9.51%
Ins Owners26.72%
Ins Owner Change0.66%
Market Cap485.62M
Revenue(TTM)578.86M
Net Income(TTM)-15.00M
Analysts80
Price Target38.42 (68.43%)
Short Float %10.36%
Short Ratio6.14
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.1% |
Yearly Dividend0.49
Dividend Growth(5Y)3.98%
DP-69.03%
Div Incr Years0
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)41.42%
Min EPS beat(2)38.27%
Max EPS beat(2)44.56%
EPS beat(4)3
Avg EPS beat(4)20.58%
Min EPS beat(4)-2.9%
Max EPS beat(4)44.56%
EPS beat(8)7
Avg EPS beat(8)13.29%
EPS beat(12)10
Avg EPS beat(12)8.59%
EPS beat(16)14
Avg EPS beat(16)15.05%
Revenue beat(2)2
Avg Revenue beat(2)1.31%
Min Revenue beat(2)0.27%
Max Revenue beat(2)2.35%
Revenue beat(4)3
Avg Revenue beat(4)0.7%
Min Revenue beat(4)-0.01%
Max Revenue beat(4)2.35%
Revenue beat(8)4
Avg Revenue beat(8)0.06%
Revenue beat(12)6
Avg Revenue beat(12)0.26%
Revenue beat(16)10
Avg Revenue beat(16)2.14%
PT rev (1m)-1.31%
PT rev (3m)-3.42%
EPS NQ rev (1m)-14.55%
EPS NQ rev (3m)-14.55%
EPS NY rev (1m)1.78%
EPS NY rev (3m)1.78%
Revenue NQ rev (1m)-3.36%
Revenue NQ rev (3m)-3.36%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)-0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.08 | ||
| Fwd PE | 8.16 | ||
| P/S | 0.84 | ||
| P/FCF | 7.81 | ||
| P/OCF | 4.01 | ||
| P/B | 0.57 | ||
| P/tB | 1.42 | ||
| EV/EBITDA | 6.9 |
EPS(TTM)3.75
EY16.44%
EPS(NY)2.79
Fwd EY12.25%
FCF(TTM)2.92
FCFY12.81%
OCF(TTM)5.69
OCFY24.96%
SpS27.19
BVpS40.17
TBVpS16.04
PEG (NY)N/A
PEG (5Y)0.3
Graham Number58.22
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.09% | ||
| ROE | -1.75% | ||
| ROCE | 7.03% | ||
| ROIC | 4.43% | ||
| ROICexc | 4.48% | ||
| ROICexgc | 7.94% | ||
| OM | 14.5% | ||
| PM (TTM) | N/A | ||
| GM | 38.98% | ||
| FCFM | 10.75% |
ROA(3y)6.49%
ROA(5y)7.82%
ROE(3y)10.39%
ROE(5y)12.1%
ROIC(3y)8.14%
ROIC(5y)8.63%
ROICexc(3y)8.36%
ROICexc(5y)8.97%
ROICexgc(3y)14.96%
ROICexgc(5y)14.4%
ROCE(3y)12.92%
ROCE(5y)13.71%
ROICexgc growth 3Y-7.74%
ROICexgc growth 5Y2.67%
ROICexc growth 3Y-3.39%
ROICexc growth 5Y-7.33%
OM growth 3Y3.57%
OM growth 5Y10.14%
PM growth 3Y-30.4%
PM growth 5Y-14.42%
GM growth 3Y8.62%
GM growth 5Y14.05%
F-Score4
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 4.32 | ||
| Debt/EBITDA | 2.44 | ||
| Cap/Depr | 250.93% | ||
| Cap/Sales | 10.19% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 112.83% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.78 | ||
| Quick Ratio | 0.69 | ||
| Altman-Z | 2.06 |
F-Score4
WACC6.16%
ROIC/WACC0.72
Cap/Depr(3y)261.61%
Cap/Depr(5y)237.02%
Cap/Sales(3y)7.51%
Cap/Sales(5y)7.01%
Profit Quality(3y)52.55%
Profit Quality(5y)57.29%
High Growth Momentum
Growth
EPS 1Y (TTM)-32.55%
EPS 3Y9.98%
EPS 5Y19.96%
EPS Q2Q%-34.11%
EPS Next Y-52.48%
EPS Next 2Y-29.6%
EPS Next 3Y-17.72%
EPS Next 5YN/A
Revenue 1Y (TTM)-21.53%
Revenue growth 3Y3.93%
Revenue growth 5Y14.17%
Sales Q2Q%-18.92%
Revenue Next Year-23.91%
Revenue Next 2Y-14.01%
Revenue Next 3Y-6.99%
Revenue Next 5YN/A
EBIT growth 1Y-43.86%
EBIT growth 3Y7.65%
EBIT growth 5Y25.75%
EBIT Next Year-33.47%
EBIT Next 3Y-7.02%
EBIT Next 5YN/A
FCF growth 1Y771.29%
FCF growth 3Y-8.71%
FCF growth 5Y59.74%
OCF growth 1Y85.63%
OCF growth 3Y5.04%
OCF growth 5Y38.99%
MGP INGREDIENTS INC / MGPI FAQ
What is the fundamental rating for MGPI stock?
ChartMill assigns a fundamental rating of 4 / 10 to MGPI.
What is the valuation status for MGPI stock?
ChartMill assigns a valuation rating of 7 / 10 to MGP INGREDIENTS INC (MGPI). This can be considered as Undervalued.
Can you provide the profitability details for MGP INGREDIENTS INC?
MGP INGREDIENTS INC (MGPI) has a profitability rating of 4 / 10.
What is the earnings growth outlook for MGP INGREDIENTS INC?
The Earnings per Share (EPS) of MGP INGREDIENTS INC (MGPI) is expected to decline by -52.48% in the next year.
How sustainable is the dividend of MGP INGREDIENTS INC (MGPI) stock?
The dividend rating of MGP INGREDIENTS INC (MGPI) is 4 / 10 and the dividend payout ratio is -69.03%.