MAGNOLIA OIL & GAS CORP - A (MGY) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:MGY - US5596631094 - Common Stock
22.93 USD
-0.04 (-0.17%)
22.93 USD
0 (0%)
Taking everything into account, MGY scores 7 out of 10 in our fundamental rating. MGY was compared to 210 industry peers in the Oil, Gas & Consumable Fuels industry. MGY scores excellent points on both the profitability and health parts. This is a solid base for a good stock. MGY has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
MGY had positive earnings in the past year.
In the past year MGY had a positive cash flow from operations.
MGY had positive earnings in 4 of the past 5 years.
MGY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of MGY (11.55%) is better than 92.38% of its industry peers.
MGY has a Return On Equity of 17.33%. This is amongst the best in the industry. MGY outperforms 81.43% of its industry peers.
MGY has a Return On Invested Capital of 14.51%. This is amongst the best in the industry. MGY outperforms 93.33% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MGY is above the industry average of 21.41%.
The 3 year average ROIC (24.48%) for MGY is well above the current ROIC(14.51%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.55% | ||
| ROE | 17.33% | ||
| ROIC | 14.51% |
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
The Profit Margin of MGY (25.56%) is better than 82.86% of its industry peers.
In the last couple of years the Profit Margin of MGY has grown nicely.
The Operating Margin of MGY (35.52%) is better than 81.43% of its industry peers.
MGY's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 81.34%, MGY belongs to the top of the industry, outperforming 91.90% of the companies in the same industry.
MGY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 35.52% | ||
| PM (TTM) | 25.56% | ||
| GM | 81.34% |
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
MGY has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
MGY has less shares outstanding than it did 1 year ago.
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 4.18. This indicates that MGY is financially healthy and has little risk of bankruptcy at the moment.
MGY's Altman-Z score of 4.18 is amongst the best of the industry. MGY outperforms 89.05% of its industry peers.
MGY has a debt to FCF ratio of 0.96. This is a very positive value and a sign of high solvency as it would only need 0.96 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.96, MGY belongs to the top of the industry, outperforming 88.57% 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 70.48% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 0.96 | ||
| Altman-Z | 4.18 |
ROIC/WACC1.7
WACC8.52%
2.3 Liquidity
MGY has a Current Ratio of 1.47. This is a normal value and indicates that MGY is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Current ratio value of 1.47, MGY is doing good in the industry, outperforming 66.19% of the companies in the same industry.
MGY has a Quick Ratio of 1.47. This is a normal value and indicates that MGY is financially healthy and should not expect problems in meeting its short term obligations.
MGY's Quick ratio of 1.47 is fine compared to the rest of the industry. MGY outperforms 70.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.47 | ||
| Quick Ratio | 1.47 |
3. Growth
3.1 Past
MGY shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -9.81%.
MGY shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 47.30% yearly.
MGY shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -19.03%.
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)-9.81%
EPS 3Y-5.05%
EPS 5Y47.3%
EPS Q2Q%-20.75%
Revenue 1Y (TTM)-19.03%
Revenue growth 3Y6.86%
Revenue growth 5Y6.91%
Sales Q2Q%-2.46%
3.2 Future
Based on estimates for the next years, MGY will show a small growth in Earnings Per Share. The EPS will grow by 6.03% on average per year.
MGY is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.01% yearly.
EPS Next Y-12.37%
EPS Next 2Y-4.98%
EPS Next 3Y1.22%
EPS Next 5Y6.03%
Revenue Next Year0.08%
Revenue Next 2Y1.49%
Revenue Next 3Y3.56%
Revenue Next 5Y6.01%
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 stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 12.13, which indicates a correct valuation of MGY.
Compared to the rest of the industry, the Price/Earnings ratio of MGY indicates a somewhat cheap valuation: MGY is cheaper than 66.67% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.15, MGY is valued rather cheaply.
The Price/Forward Earnings ratio is 12.21, which indicates a correct valuation of MGY.
60.95% of the companies in the same industry are more expensive than MGY, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of MGY to the average of the S&P500 Index (36.12), we can say MGY is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.13 | ||
| Fwd PE | 12.21 |
4.2 Price Multiples
75.24% of the companies in the same industry are more expensive than MGY, based on the Enterprise Value to EBITDA ratio.
75.24% of the companies in the same industry are more expensive than MGY, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.73 | ||
| EV/EBITDA | 5 |
4.3 Compensation for Growth
MGY has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.26
EPS Next 2Y-4.98%
EPS Next 3Y1.22%
5. Dividend
5.1 Amount
MGY has a Yearly Dividend Yield of 2.68%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 5.90, MGY has a dividend in line with its industry peers.
MGY's Dividend Yield is comparable with the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.68% |
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
MGY pays out 32.72% of its income as dividend. This is a sustainable payout ratio.
DP32.72%
EPS Next 2Y-4.98%
EPS Next 3Y1.22%
22.93
-0.04 (-0.17%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners116.85%
Inst Owner Change-5.58%
Ins Owners1.01%
Ins Owner Change0.04%
Market Cap4.38B
Revenue(TTM)1.32B
Net Income(TTM)337.56M
Analysts72.5
Price Target27.24 (18.8%)
Short Float %11.66%
Short Ratio9.01
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.68% |
Yearly Dividend0.49
Dividend Growth(5Y)N/A
DP32.72%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.02%
Min EPS beat(2)0.2%
Max EPS beat(2)9.83%
EPS beat(4)3
Avg EPS beat(4)4.69%
Min EPS beat(4)-0.2%
Max EPS beat(4)9.83%
EPS beat(8)6
Avg EPS beat(8)4.46%
EPS beat(12)9
Avg EPS beat(12)9.25%
EPS beat(16)13
Avg EPS beat(16)8.59%
Revenue beat(2)2
Avg Revenue beat(2)0.56%
Min Revenue beat(2)0.32%
Max Revenue beat(2)0.8%
Revenue beat(4)3
Avg Revenue beat(4)0.42%
Min Revenue beat(4)-0.57%
Max Revenue beat(4)1.14%
Revenue beat(8)5
Avg Revenue beat(8)0.29%
Revenue beat(12)5
Avg Revenue beat(12)-1.23%
Revenue beat(16)9
Avg Revenue beat(16)0.66%
PT rev (1m)0.44%
PT rev (3m)1.05%
EPS NQ rev (1m)-1.45%
EPS NQ rev (3m)-6.5%
EPS NY rev (1m)-0.42%
EPS NY rev (3m)-1.57%
Revenue NQ rev (1m)0.3%
Revenue NQ rev (3m)-1.13%
Revenue NY rev (1m)0.3%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.13 | ||
| Fwd PE | 12.21 | ||
| P/S | 3.31 | ||
| P/FCF | 10.73 | ||
| P/OCF | 4.9 | ||
| P/B | 2.25 | ||
| P/tB | 2.25 | ||
| EV/EBITDA | 5 |
EPS(TTM)1.89
EY8.24%
EPS(NY)1.88
Fwd EY8.19%
FCF(TTM)2.14
FCFY9.32%
OCF(TTM)4.68
OCFY20.41%
SpS6.92
BVpS10.21
TBVpS10.21
PEG (NY)N/A
PEG (5Y)0.26
Graham Number20.84
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.55% | ||
| ROE | 17.33% | ||
| ROCE | 18.01% | ||
| ROIC | 14.51% | ||
| ROICexc | 16.26% | ||
| ROICexgc | 16.26% | ||
| OM | 35.52% | ||
| PM (TTM) | 25.56% | ||
| GM | 81.34% | ||
| FCFM | 30.86% |
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
ROICexgc growth 3Y-24.52%
ROICexgc 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-Score5
Asset Turnover0.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 0.96 | ||
| Debt/EBITDA | 0.44 | ||
| Cap/Depr | 113.15% | ||
| Cap/Sales | 36.74% | ||
| Interest Coverage | 19.85 | ||
| Cash Conversion | 99.42% | ||
| Profit Quality | 120.74% | ||
| Current Ratio | 1.47 | ||
| Quick Ratio | 1.47 | ||
| Altman-Z | 4.18 |
F-Score5
WACC8.52%
ROIC/WACC1.7
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)-9.81%
EPS 3Y-5.05%
EPS 5Y47.3%
EPS Q2Q%-20.75%
EPS Next Y-12.37%
EPS Next 2Y-4.98%
EPS Next 3Y1.22%
EPS Next 5Y6.03%
Revenue 1Y (TTM)-19.03%
Revenue growth 3Y6.86%
Revenue growth 5Y6.91%
Sales Q2Q%-2.46%
Revenue Next Year0.08%
Revenue Next 2Y1.49%
Revenue Next 3Y3.56%
Revenue Next 5Y6.01%
EBIT growth 1Y-28.12%
EBIT growth 3Y-5.62%
EBIT growth 5Y31.97%
EBIT Next Year82.86%
EBIT Next 3Y27.71%
EBIT Next 5Y20.46%
FCF growth 1Y7.06%
FCF growth 3Y-7.7%
FCF growth 5Y15.35%
OCF growth 1Y1.82%
OCF growth 3Y5.31%
OCF growth 5Y7.29%
MAGNOLIA OIL & GAS CORP - A / MGY FAQ
Can you provide the ChartMill fundamental rating for MAGNOLIA OIL & GAS CORP - A?
ChartMill assigns a fundamental rating of 6 / 10 to MGY.
What is the valuation status of MAGNOLIA OIL & GAS CORP - A (MGY) stock?
ChartMill assigns a valuation rating of 5 / 10 to MAGNOLIA OIL & GAS CORP - A (MGY). This can be considered as Fairly Valued.
How profitable is MAGNOLIA OIL & GAS CORP - A (MGY) stock?
MAGNOLIA OIL & GAS CORP - A (MGY) has a profitability rating of 9 / 10.
Can you provide the PE and PB ratios for MGY stock?
The Price/Earnings (PE) ratio for MAGNOLIA OIL & GAS CORP - A (MGY) is 12.13 and the Price/Book (PB) ratio is 2.25.
What is the earnings growth outlook for MAGNOLIA OIL & GAS CORP - A?
The Earnings per Share (EPS) of MAGNOLIA OIL & GAS CORP - A (MGY) is expected to decline by -12.37% in the next year.