MAGNOLIA OIL & GAS CORP - A (MGY) Stock Fundamental Analysis
NYSE:MGY - US5596631094 - Common Stock
24.6 USD
+0.55 (+2.29%)
24.6 USD
0 (0%)
MGY gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 209 industry peers in the Oil, Gas & Consumable Fuels industry. MGY has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. MGY has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year MGY was profitable.
MGY had a positive operating cash flow in the past year.
Of the past 5 years MGY 4 years were profitable.
In the past 5 years MGY always reported a positive cash flow from operatings.
1.2 Ratios
MGY has a Return On Assets of 12.64%. This is amongst the best in the industry. MGY outperforms 92.82% of its industry peers.
With a decent Return On Equity value of 18.63%, MGY is doing good in the industry, outperforming 79.90% of the companies in the same industry.
The Return On Invested Capital of MGY (15.55%) is better than 92.82% of its industry peers.
The Average Return On Invested Capital over the past 3 years for MGY is above the industry average of 21.91%.
The last Return On Invested Capital (15.55%) for MGY is well below the 3 year average (24.48%), which needs to be investigated, but indicates that MGY had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.64% | ||
| ROE | 18.63% | ||
| ROIC | 15.55% |
ROA(3y)20.55%
ROA(5y)0.48%
ROE(3y)32.85%
ROE(5y)-14.16%
ROIC(3y)24.48%
ROIC(5y)N/A
1.3 Margins
MGY's Profit Margin of 27.21% is amongst the best of the industry. MGY outperforms 82.78% of its industry peers.
In the last couple of years the Profit Margin of MGY has grown nicely.
MGY's Operating Margin of 37.37% is amongst the best of the industry. MGY outperforms 83.73% of its industry peers.
In the last couple of years the Operating Margin of MGY has grown nicely.
MGY has a Gross Margin of 82.29%. This is amongst the best in the industry. MGY outperforms 91.39% of its industry peers.
MGY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 37.37% | ||
| PM (TTM) | 27.21% | ||
| GM | 82.29% |
OM growth 3Y-11.68%
OM growth 5Y23.44%
PM growth 3Y-10.79%
PM growth 5Y40.43%
GM growth 3Y-1.52%
GM growth 5Y-0.58%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so MGY is creating value.
Compared to 1 year ago, MGY has less shares outstanding
Compared to 5 years ago, MGY has less shares outstanding
The debt/assets ratio for MGY has been reduced compared to a year ago.
2.2 Solvency
MGY has an Altman-Z score of 4.59. This indicates that MGY is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.59, MGY belongs to the top of the industry, outperforming 89.00% of the companies in the same industry.
The Debt to FCF ratio of MGY is 1.00, which is an excellent value as it means it would take MGY, only 1.00 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.00, MGY belongs to the top of the industry, outperforming 89.47% of the companies in the same industry.
MGY has a Debt/Equity ratio of 0.20. This is a healthy value indicating a solid balance between debt and equity.
MGY's Debt to Equity ratio of 0.20 is fine compared to the rest of the industry. MGY outperforms 68.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 1 | ||
| Altman-Z | 4.59 |
ROIC/WACC1.71
WACC9.09%
2.3 Liquidity
A Current Ratio of 1.44 indicates that MGY should not have too much problems paying its short term obligations.
MGY's Current ratio of 1.44 is fine compared to the rest of the industry. MGY outperforms 66.03% of its industry peers.
A Quick Ratio of 1.44 indicates that MGY should not have too much problems paying its short term obligations.
MGY's Quick ratio of 1.44 is fine compared to the rest of the industry. MGY outperforms 70.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.44 |
3. Growth
3.1 Past
MGY shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -5.02%.
Measured over the past years, MGY shows a very strong growth in Earnings Per Share. The EPS has been growing by 47.30% on average per year.
Looking at the last year, MGY shows a very negative growth in Revenue. The Revenue has decreased by -17.65% in the last year.
Measured over the past years, MGY shows a small growth in Revenue. The Revenue has been growing by 6.91% on average per year.
EPS 1Y (TTM)-5.02%
EPS 3Y-5.05%
EPS 5Y47.3%
EPS Q2Q%-22.5%
Revenue 1Y (TTM)-17.65%
Revenue growth 3Y6.86%
Revenue growth 5Y6.91%
Sales Q2Q%-5.27%
3.2 Future
The Earnings Per Share is expected to decrease by -1.48% on average over the next years.
The Revenue is expected to grow by 3.93% on average over the next years.
EPS Next Y-10.97%
EPS Next 2Y-2.54%
EPS Next 3Y2.73%
EPS Next 5Y-1.48%
Revenue Next Year0.08%
Revenue Next 2Y1.75%
Revenue Next 3Y3.93%
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 decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 12.30, the valuation of MGY can be described as correct.
66.03% of the companies in the same industry are more expensive than MGY, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.03, MGY is valued rather cheaply.
The Price/Forward Earnings ratio is 12.45, which indicates a correct valuation of MGY.
MGY's Price/Forward Earnings ratio is in line with the industry average.
MGY is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.63, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.3 | ||
| Fwd PE | 12.45 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MGY is valued a bit cheaper than the industry average as 74.16% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, MGY is valued a bit cheaper than 67.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.96 | ||
| EV/EBITDA | 5.24 |
4.3 Compensation for Growth
The excellent profitability rating of MGY may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.26
EPS Next 2Y-2.54%
EPS Next 3Y2.73%
5. Dividend
5.1 Amount
MGY has a Yearly Dividend Yield of 2.42%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.06, MGY has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.32, MGY has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.42% |
5.2 History
MGY has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
29.60% of the earnings are spent on dividend by MGY. This is a low number and sustainable payout ratio.
DP29.6%
EPS Next 2Y-2.54%
EPS Next 3Y2.73%
24.6
+0.55 (+2.29%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners117.37%
Inst Owner Change-0.67%
Ins Owners1.01%
Ins Owner Change-0.45%
Market Cap4.69B
Analysts70
Price Target26.96 (9.59%)
Short Float %13.87%
Short Ratio9.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.42% |
Yearly Dividend0.49
Dividend Growth(5Y)N/A
DP29.6%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.82%
Min EPS beat(2)-0.2%
Max EPS beat(2)9.83%
EPS beat(4)3
Avg EPS beat(4)6.91%
Min EPS beat(4)-0.2%
Max EPS beat(4)9.83%
EPS beat(8)5
Avg EPS beat(8)4.43%
EPS beat(12)9
Avg EPS beat(12)10.3%
EPS beat(16)13
Avg EPS beat(16)9.15%
Revenue beat(2)2
Avg Revenue beat(2)0.97%
Min Revenue beat(2)0.8%
Max Revenue beat(2)1.14%
Revenue beat(4)3
Avg Revenue beat(4)0.5%
Min Revenue beat(4)-0.57%
Max Revenue beat(4)1.14%
Revenue beat(8)4
Avg Revenue beat(8)0.06%
Revenue beat(12)5
Avg Revenue beat(12)-0.54%
Revenue beat(16)9
Avg Revenue beat(16)0.73%
PT rev (1m)-0.26%
PT rev (3m)0.11%
EPS NQ rev (1m)0.47%
EPS NQ rev (3m)-22.5%
EPS NY rev (1m)-0.29%
EPS NY rev (3m)0.42%
Revenue NQ rev (1m)1.19%
Revenue NQ rev (3m)-6.42%
Revenue NY rev (1m)0.76%
Revenue NY rev (3m)-0.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.3 | ||
| Fwd PE | 12.45 | ||
| P/S | 3.53 | ||
| P/FCF | 11.96 | ||
| P/OCF | 5.43 | ||
| P/B | 2.42 | ||
| P/tB | 2.42 | ||
| EV/EBITDA | 5.24 |
EPS(TTM)2
EY8.13%
EPS(NY)1.98
Fwd EY8.03%
FCF(TTM)2.06
FCFY8.36%
OCF(TTM)4.53
OCFY18.4%
SpS6.97
BVpS10.18
TBVpS10.18
PEG (NY)N/A
PEG (5Y)0.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.64% | ||
| ROE | 18.63% | ||
| ROCE | 19.31% | ||
| ROIC | 15.55% | ||
| ROICexc | 17.24% | ||
| ROICexgc | 17.24% | ||
| OM | 37.37% | ||
| PM (TTM) | 27.21% | ||
| GM | 82.29% | ||
| FCFM | 29.54% |
ROA(3y)20.55%
ROA(5y)0.48%
ROE(3y)32.85%
ROE(5y)-14.16%
ROIC(3y)24.48%
ROIC(5y)N/A
ROICexc(3y)31.92%
ROICexc(5y)N/A
ROICexgc(3y)31.92%
ROICexgc(5y)N/A
ROCE(3y)30.4%
ROCE(5y)N/A
ROICexcg growth 3Y-24.52%
ROICexcg growth 5Y40.31%
ROICexc growth 3Y-24.52%
ROICexc growth 5Y40.53%
OM growth 3Y-11.68%
OM growth 5Y23.44%
PM growth 3Y-10.79%
PM growth 5Y40.43%
GM growth 3Y-1.52%
GM growth 5Y-0.58%
F-Score6
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 1 | ||
| Debt/EBITDA | 0.43 | ||
| Cap/Depr | 110.7% | ||
| Cap/Sales | 35.45% | ||
| Interest Coverage | 14.05 | ||
| Cash Conversion | 93.65% | ||
| Profit Quality | 108.56% | ||
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.44 | ||
| Altman-Z | 4.59 |
F-Score6
WACC9.09%
ROIC/WACC1.71
Cap/Depr(3y)146.5%
Cap/Depr(5y)125.19%
Cap/Sales(3y)33.02%
Cap/Sales(5y)31.51%
Profit Quality(3y)108.03%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-5.02%
EPS 3Y-5.05%
EPS 5Y47.3%
EPS Q2Q%-22.5%
EPS Next Y-10.97%
EPS Next 2Y-2.54%
EPS Next 3Y2.73%
EPS Next 5Y-1.48%
Revenue 1Y (TTM)-17.65%
Revenue growth 3Y6.86%
Revenue growth 5Y6.91%
Sales Q2Q%-5.27%
Revenue Next Year0.08%
Revenue Next 2Y1.75%
Revenue Next 3Y3.93%
Revenue Next 5YN/A
EBIT growth 1Y-26.06%
EBIT growth 3Y-5.62%
EBIT growth 5Y31.97%
EBIT Next Year81.83%
EBIT Next 3Y27.19%
EBIT Next 5Y19.54%
FCF growth 1Y-36.4%
FCF growth 3Y-7.7%
FCF growth 5Y15.35%
OCF growth 1Y-21.5%
OCF growth 3Y5.31%
OCF growth 5Y7.29%