108.2 USD
+0.14 (+0.13%)
MGRC gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 50 industry peers in the Trading Companies & Distributors industry. While MGRC belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. MGRC has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
MGRC had positive earnings in the past year.
MGRC had a positive operating cash flow in the past year.
In the past 5 years MGRC has always been profitable.
Each year in the past 5 years MGRC had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.19%, MGRC is in the better half of the industry, outperforming 68.00% of the companies in the same industry.
MGRC has a Return On Equity (12.16%) which is in line with its industry peers.
MGRC has a Return On Invested Capital of 7.93%. This is comparable to the rest of the industry: MGRC outperforms 58.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for MGRC is in line with the industry average of 9.63%.
The 3 year average ROIC (7.67%) for MGRC is below the current ROIC(7.93%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.19% | ||
| ROE | 12.16% | ||
| ROIC | 7.93% |
ROA(3y)8.26%
ROA(5y)7.68%
ROE(3y)17.88%
ROE(5y)16.17%
ROIC(3y)7.67%
ROIC(5y)7.89%
1.3 Margins
Looking at the Profit Margin, with a value of 15.62%, MGRC belongs to the top of the industry, outperforming 84.00% of the companies in the same industry.
In the last couple of years the Profit Margin of MGRC has grown nicely.
With an excellent Operating Margin value of 24.97%, MGRC belongs to the best of the industry, outperforming 84.00% of the companies in the same industry.
In the last couple of years the Operating Margin of MGRC has remained more or less at the same level.
MGRC's Gross Margin of 47.37% is amongst the best of the industry. MGRC outperforms 90.00% of its industry peers.
In the last couple of years the Gross Margin of MGRC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.97% | ||
| PM (TTM) | 15.62% | ||
| GM | 47.37% |
OM growth 3Y5.79%
OM growth 5Y0.79%
PM growth 3Y20.49%
PM growth 5Y8.42%
GM growth 3Y1.61%
GM growth 5Y0.47%
2. Health
2.1 Basic Checks
MGRC has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
MGRC has more shares outstanding than it did 1 year ago.
MGRC has more shares outstanding than it did 5 years ago.
MGRC has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.79 indicates that MGRC is not a great score, but indicates only limited risk for bankruptcy at the moment.
MGRC has a Altman-Z score of 2.79. This is comparable to the rest of the industry: MGRC outperforms 46.00% of its industry peers.
The Debt to FCF ratio of MGRC is 9.40, which is on the high side as it means it would take MGRC, 9.40 years of fcf income to pay off all of its debts.
MGRC has a Debt to FCF ratio (9.40) which is in line with its industry peers.
A Debt/Equity ratio of 0.46 indicates that MGRC is not too dependend on debt financing.
MGRC has a Debt to Equity ratio (0.46) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 9.4 | ||
| Altman-Z | 2.79 |
ROIC/WACC0.82
WACC9.71%
2.3 Liquidity
A Current Ratio of 1.55 indicates that MGRC should not have too much problems paying its short term obligations.
MGRC has a Current ratio (1.55) which is comparable to the rest of the industry.
MGRC has a Quick Ratio of 1.47. This is a normal value and indicates that MGRC is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.47, MGRC perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.55 | ||
| Quick Ratio | 1.47 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 29.89% over the past year.
Measured over the past 5 years, MGRC shows a small growth in Earnings Per Share. The EPS has been growing by 4.21% on average per year.
Looking at the last year, MGRC shows a small growth in Revenue. The Revenue has grown by 4.77% in the last year.
MGRC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.82% yearly.
EPS 1Y (TTM)29.89%
EPS 3Y8.9%
EPS 5Y4.21%
EPS Q2Q%-8.02%
Revenue 1Y (TTM)4.77%
Revenue growth 3Y13.88%
Revenue growth 5Y9.82%
Sales Q2Q%-3.87%
3.2 Future
The Earnings Per Share is expected to grow by 15.65% on average over the next years. This is quite good.
MGRC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.10% yearly.
EPS Next Y28.13%
EPS Next 2Y18.06%
EPS Next 3Y15.65%
EPS Next 5YN/A
Revenue Next Year3.03%
Revenue Next 2Y3.66%
Revenue Next 3Y4.1%
Revenue Next 5YN/A
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 accelerating.
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
A Price/Earnings ratio of 18.31 indicates a rather expensive valuation of MGRC.
70.00% of the companies in the same industry are more expensive than MGRC, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.39. MGRC is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 16.07, MGRC is valued correctly.
Based on the Price/Forward Earnings ratio, MGRC is valued a bit cheaper than the industry average as 76.00% of the companies are valued more expensively.
MGRC is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.84, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.31 | ||
| Fwd PE | 16.07 |
4.2 Price Multiples
74.00% of the companies in the same industry are more expensive than MGRC, based on the Enterprise Value to EBITDA ratio.
MGRC's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 45.38 | ||
| EV/EBITDA | 9.45 |
4.3 Compensation for Growth
MGRC's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
MGRC has a very decent profitability rating, which may justify a higher PE ratio.
MGRC's earnings are expected to grow with 15.65% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.65
PEG (5Y)4.35
EPS Next 2Y18.06%
EPS Next 3Y15.65%
5. Dividend
5.1 Amount
MGRC has a Yearly Dividend Yield of 1.80%.
MGRC's Dividend Yield is rather good when compared to the industry average which is at 0.98. MGRC pays more dividend than 84.00% of the companies in the same industry.
MGRC's Dividend Yield is comparable with the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
5.2 History
The dividend of MGRC has a limited annual growth rate of 5.43%.
MGRC has paid a dividend for at least 10 years, which is a reliable track record.
MGRC has decreased its dividend recently.
Dividend Growth(5Y)5.43%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
MGRC pays out 32.75% of its income as dividend. This is a sustainable payout ratio.
MGRC's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP32.75%
EPS Next 2Y18.06%
EPS Next 3Y15.65%
NASDAQ:MGRC (12/22/2025, 3:52:05 PM)
108.2
+0.14 (+0.13%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners92.27%
Inst Owner Change0.07%
Ins Owners1.27%
Ins Owner Change-3.39%
Market Cap2.66B
Revenue(TTM)931.22M
Net Income(TTM)145.43M
Analysts85
Price Target149.94 (38.58%)
Short Float %1.29%
Short Ratio2.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
Yearly Dividend1.91
Dividend Growth(5Y)5.43%
DP32.75%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.78%
Min EPS beat(2)-8.97%
Max EPS beat(2)18.54%
EPS beat(4)3
Avg EPS beat(4)7.9%
Min EPS beat(4)-8.97%
Max EPS beat(4)18.54%
EPS beat(8)3
Avg EPS beat(8)-11.09%
EPS beat(12)6
Avg EPS beat(12)-7.39%
EPS beat(16)9
Avg EPS beat(16)-3.91%
Revenue beat(2)1
Avg Revenue beat(2)-0.52%
Min Revenue beat(2)-5.7%
Max Revenue beat(2)4.66%
Revenue beat(4)2
Avg Revenue beat(4)-0.79%
Min Revenue beat(4)-5.7%
Max Revenue beat(4)4.66%
Revenue beat(8)5
Avg Revenue beat(8)2.39%
Revenue beat(12)9
Avg Revenue beat(12)3.06%
Revenue beat(16)9
Avg Revenue beat(16)0.01%
PT rev (1m)0.17%
PT rev (3m)2.08%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.94%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.55%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.31 | ||
| Fwd PE | 16.07 | ||
| P/S | 2.86 | ||
| P/FCF | 45.38 | ||
| P/OCF | 12.59 | ||
| P/B | 2.23 | ||
| P/tB | 3.27 | ||
| EV/EBITDA | 9.45 |
EPS(TTM)5.91
EY5.46%
EPS(NY)6.73
Fwd EY6.22%
FCF(TTM)2.38
FCFY2.2%
OCF(TTM)8.6
OCFY7.94%
SpS37.84
BVpS48.61
TBVpS33.1
PEG (NY)0.65
PEG (5Y)4.35
Graham Number80.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.19% | ||
| ROE | 12.16% | ||
| ROCE | 10.66% | ||
| ROIC | 7.93% | ||
| ROICexc | 7.95% | ||
| ROICexgc | 9.64% | ||
| OM | 24.97% | ||
| PM (TTM) | 15.62% | ||
| GM | 47.37% | ||
| FCFM | 6.3% |
ROA(3y)8.26%
ROA(5y)7.68%
ROE(3y)17.88%
ROE(5y)16.17%
ROIC(3y)7.67%
ROIC(5y)7.89%
ROICexc(3y)7.68%
ROICexc(5y)7.89%
ROICexgc(3y)9.14%
ROICexgc(5y)9.05%
ROCE(3y)10.32%
ROCE(5y)10.61%
ROICexgc growth 3Y7.29%
ROICexgc growth 5Y2.3%
ROICexc growth 3Y5.15%
ROICexc growth 5Y-1.08%
OM growth 3Y5.79%
OM growth 5Y0.79%
PM growth 3Y20.49%
PM growth 5Y8.42%
GM growth 3Y1.61%
GM growth 5Y0.47%
F-Score5
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 9.4 | ||
| Debt/EBITDA | 1.63 | ||
| Cap/Depr | 143.75% | ||
| Cap/Sales | 16.42% | ||
| Interest Coverage | 7.08 | ||
| Cash Conversion | 62.42% | ||
| Profit Quality | 40.35% | ||
| Current Ratio | 1.55 | ||
| Quick Ratio | 1.47 | ||
| Altman-Z | 2.79 |
F-Score5
WACC9.71%
ROIC/WACC0.82
Cap/Depr(3y)216.69%
Cap/Depr(5y)173.54%
Cap/Sales(3y)28.76%
Cap/Sales(5y)24.62%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)29.89%
EPS 3Y8.9%
EPS 5Y4.21%
EPS Q2Q%-8.02%
EPS Next Y28.13%
EPS Next 2Y18.06%
EPS Next 3Y15.65%
EPS Next 5YN/A
Revenue 1Y (TTM)4.77%
Revenue growth 3Y13.88%
Revenue growth 5Y9.82%
Sales Q2Q%-3.87%
Revenue Next Year3.03%
Revenue Next 2Y3.66%
Revenue Next 3Y4.1%
Revenue Next 5YN/A
EBIT growth 1Y13%
EBIT growth 3Y20.47%
EBIT growth 5Y10.69%
EBIT Next Year56.11%
EBIT Next 3Y20.75%
EBIT Next 5YN/A
FCF growth 1Y181.38%
FCF growth 3Y23.21%
FCF growth 5Y77.11%
OCF growth 1Y17.52%
OCF growth 3Y24.14%
OCF growth 5Y14.77%
MCGRATH RENTCORP / MGRC FAQ
What is the ChartMill fundamental rating of MCGRATH RENTCORP (MGRC) stock?
ChartMill assigns a fundamental rating of 5 / 10 to MGRC.
What is the valuation status of MCGRATH RENTCORP (MGRC) stock?
ChartMill assigns a valuation rating of 5 / 10 to MCGRATH RENTCORP (MGRC). This can be considered as Fairly Valued.
What is the profitability of MGRC stock?
MCGRATH RENTCORP (MGRC) has a profitability rating of 7 / 10.
What is the valuation of MCGRATH RENTCORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for MCGRATH RENTCORP (MGRC) is 18.31 and the Price/Book (PB) ratio is 2.23.
What is the earnings growth outlook for MCGRATH RENTCORP?
The Earnings per Share (EPS) of MCGRATH RENTCORP (MGRC) is expected to grow by 28.13% in the next year.