FLAGSHIP COMMUNITIES REIT UT (MHC-UN.CA) Stock Fundamental Analysis
Canada - TSX:MHC-UN - CA33843T1084 - REIT
25.91 CAD
+0.36 (+1.41%)
Overall MHC-UN gets a fundamental rating of 5 out of 10. We evaluated MHC-UN against 16 industry peers in the Residential REITs industry. While MHC-UN is still in line with the averages on profitability rating, there are concerns on its financial health. MHC-UN has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year MHC-UN was profitable.
MHC-UN had a positive operating cash flow in the past year.
Each year in the past 5 years MHC-UN has been profitable.
MHC-UN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.06%, MHC-UN belongs to the top of the industry, outperforming 87.50% of the companies in the same industry.
The Return On Equity of MHC-UN (15.12%) is better than 87.50% of its industry peers.
MHC-UN has a worse Return On Invested Capital (1.88%) than 68.75% of its industry peers.
MHC-UN had an Average Return On Invested Capital over the past 3 years of 3.82%. This is in line with the industry average of 2.99%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.06% | ||
| ROE | 15.12% | ||
| ROIC | 1.88% |
ROA(3y)7.29%
ROA(5y)8.23%
ROE(3y)14.85%
ROE(5y)19.09%
ROIC(3y)3.82%
ROIC(5y)N/A
1.3 Margins
MHC-UN has a better Profit Margin (97.59%) than 87.50% of its industry peers.
In the last couple of years the Profit Margin of MHC-UN has declined.
Looking at the Operating Margin, with a value of 28.37%, MHC-UN is doing worse than 68.75% of the companies in the same industry.
MHC-UN has a better Gross Margin (66.23%) than 62.50% of its industry peers.
In the last couple of years the Gross Margin of MHC-UN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.37% | ||
| PM (TTM) | 97.59% | ||
| GM | 66.23% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-5.53%
PM growth 5YN/A
GM growth 3Y-0.11%
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MHC-UN is destroying value.
MHC-UN has more shares outstanding than it did 1 year ago.
MHC-UN has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.83, we must say that MHC-UN is in the distress zone and has some risk of bankruptcy.
MHC-UN's Altman-Z score of 0.83 is fine compared to the rest of the industry. MHC-UN outperforms 62.50% of its industry peers.
MHC-UN has a debt to FCF ratio of 7.61. This is a slightly negative value and a sign of low solvency as MHC-UN would need 7.61 years to pay back of all of its debts.
MHC-UN has a Debt to FCF ratio of 7.61. This is amongst the best in the industry. MHC-UN outperforms 87.50% of its industry peers.
A Debt/Equity ratio of 0.68 indicates that MHC-UN is somewhat dependend on debt financing.
MHC-UN has a Debt to Equity ratio of 0.68. This is in the better half of the industry: MHC-UN outperforms 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | 7.61 | ||
| Altman-Z | 0.83 |
ROIC/WACC0.3
WACC6.25%
2.3 Liquidity
MHC-UN has a Current Ratio of 0.14. This is a bad value and indicates that MHC-UN is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.14, MHC-UN is doing worse than 75.00% of the companies in the same industry.
A Quick Ratio of 0.14 indicates that MHC-UN may have some problems paying its short term obligations.
MHC-UN's Quick ratio of 0.14 is on the low side compared to the rest of the industry. MHC-UN is outperformed by 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.14 | ||
| Quick Ratio | 0.14 |
3. Growth
3.1 Past
MHC-UN shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.27%.
MHC-UN shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.54% yearly.
MHC-UN shows a strong growth in Revenue. In the last year, the Revenue has grown by 24.04%.
Measured over the past years, MHC-UN shows a very strong growth in Revenue. The Revenue has been growing by 26.95% on average per year.
EPS 1Y (TTM)4.27%
EPS 3Y3.54%
EPS 5YN/A
EPS Q2Q%-22.78%
Revenue 1Y (TTM)24.04%
Revenue growth 3Y26.95%
Revenue growth 5YN/A
Sales Q2Q%18.06%
3.2 Future
MHC-UN is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -25.77% yearly.
The Revenue is expected to grow by 4.18% on average over the next years.
EPS Next Y-31.93%
EPS Next 2Y-38.73%
EPS Next 3Y-25.77%
EPS Next 5YN/A
Revenue Next Year15.05%
Revenue Next 2Y10.2%
Revenue Next 3Y4.18%
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
With a Price/Earnings ratio of 4.92, the valuation of MHC-UN can be described as very cheap.
87.50% of the companies in the same industry are more expensive than MHC-UN, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 25.89. MHC-UN is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 13.40, which indicates a correct valuation of MHC-UN.
MHC-UN's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of MHC-UN to the average of the S&P500 Index (34.59), we can say MHC-UN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.92 | ||
| Fwd PE | 13.4 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MHC-UN indicates a somewhat cheap valuation: MHC-UN is cheaper than 62.50% of the companies listed in the same industry.
MHC-UN's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.38 | ||
| EV/EBITDA | 27.48 |
4.3 Compensation for Growth
The decent profitability rating of MHC-UN may justify a higher PE ratio.
MHC-UN's earnings are expected to decrease with -25.77% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-38.73%
EPS Next 3Y-25.77%
5. Dividend
5.1 Amount
MHC-UN has a Yearly Dividend Yield of 3.13%. Purely for dividend investing, there may be better candidates out there.
MHC-UN's Dividend Yield is comparable with the industry average which is at 4.38.
Compared to an average S&P500 Dividend Yield of 2.36, MHC-UN pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.13% |
5.2 History
MHC-UN has been paying a dividend for over 5 years, so it has already some track record.
MHC-UN has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
16.14% of the earnings are spent on dividend by MHC-UN. This is a low number and sustainable payout ratio.
DP16.14%
EPS Next 2Y-38.73%
EPS Next 3Y-25.77%
TSX:MHC-UN (11/14/2025, 7:00:00 PM)
25.91
+0.36 (+1.41%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryResidential REITs
Earnings (Last)
Earnings (Next)
Inst Owners43.04%
Inst Owner ChangeN/A
Ins Owners0.53%
Ins Owner ChangeN/A
Market Cap502.65M
Revenue(TTM)96.83M
Net Income(TTM)94.49M
Analysts83.53
Price Target32.18 (24.2%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.13% |
Yearly Dividend1.14
Dividend Growth(5Y)N/A
DP16.14%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)2.93%
PT rev (3m)5.9%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)97.56%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.92 | ||
| Fwd PE | 13.4 | ||
| P/S | 3.71 | ||
| P/FCF | 6.38 | ||
| P/OCF | 6.27 | ||
| P/B | 0.57 | ||
| P/tB | 0.57 | ||
| EV/EBITDA | 27.48 |
EPS(TTM)5.27
EY20.34%
EPS(NY)1.93
Fwd EY7.46%
FCF(TTM)4.06
FCFY15.68%
OCF(TTM)4.13
OCFY15.94%
SpS6.99
BVpS45.1
TBVpS45.1
PEG (NY)N/A
PEG (5Y)N/A
Graham Number73.13
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.06% | ||
| ROE | 15.12% | ||
| ROCE | 2.62% | ||
| ROIC | 1.88% | ||
| ROICexc | 1.89% | ||
| ROICexgc | 1.89% | ||
| OM | 28.37% | ||
| PM (TTM) | 97.59% | ||
| GM | 66.23% | ||
| FCFM | 58.13% |
ROA(3y)7.29%
ROA(5y)8.23%
ROE(3y)14.85%
ROE(5y)19.09%
ROIC(3y)3.82%
ROIC(5y)N/A
ROICexc(3y)3.88%
ROICexc(5y)N/A
ROICexgc(3y)3.88%
ROICexgc(5y)N/A
ROCE(3y)5.36%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-5.53%
PM growth 5YN/A
GM growth 3Y-0.11%
GM growth 5YN/A
F-Score6
Asset Turnover0.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | 7.61 | ||
| Debt/EBITDA | 15.3 | ||
| Cap/Depr | 180.39% | ||
| Cap/Sales | 0.95% | ||
| Interest Coverage | 1.39 | ||
| Cash Conversion | 204.46% | ||
| Profit Quality | 59.57% | ||
| Current Ratio | 0.14 | ||
| Quick Ratio | 0.14 | ||
| Altman-Z | 0.83 |
F-Score6
WACC6.25%
ROIC/WACC0.3
Cap/Depr(3y)345.48%
Cap/Depr(5y)313.17%
Cap/Sales(3y)1.81%
Cap/Sales(5y)1.51%
Profit Quality(3y)59.32%
Profit Quality(5y)45.19%
High Growth Momentum
Growth
EPS 1Y (TTM)4.27%
EPS 3Y3.54%
EPS 5YN/A
EPS Q2Q%-22.78%
EPS Next Y-31.93%
EPS Next 2Y-38.73%
EPS Next 3Y-25.77%
EPS Next 5YN/A
Revenue 1Y (TTM)24.04%
Revenue growth 3Y26.95%
Revenue growth 5YN/A
Sales Q2Q%18.06%
Revenue Next Year15.05%
Revenue Next 2Y10.2%
Revenue Next 3Y4.18%
Revenue Next 5YN/A
EBIT growth 1Y-49.17%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year11.15%
EBIT Next 3Y7.15%
EBIT Next 5YN/A
FCF growth 1Y65.39%
FCF growth 3Y29.2%
FCF growth 5YN/A
OCF growth 1Y62.69%
OCF growth 3Y28.5%
OCF growth 5YN/A
FLAGSHIP COMMUNITIES REIT UT / MHC-UN.CA FAQ
What is the ChartMill fundamental rating of FLAGSHIP COMMUNITIES REIT UT (MHC-UN.CA) stock?
ChartMill assigns a fundamental rating of 5 / 10 to MHC-UN.CA.
What is the valuation status of FLAGSHIP COMMUNITIES REIT UT (MHC-UN.CA) stock?
ChartMill assigns a valuation rating of 5 / 10 to FLAGSHIP COMMUNITIES REIT UT (MHC-UN.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for FLAGSHIP COMMUNITIES REIT UT?
FLAGSHIP COMMUNITIES REIT UT (MHC-UN.CA) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for MHC-UN stock?
The Price/Earnings (PE) ratio for FLAGSHIP COMMUNITIES REIT UT (MHC-UN.CA) is 4.92 and the Price/Book (PB) ratio is 0.57.
Can you provide the dividend sustainability for MHC-UN stock?
The dividend rating of FLAGSHIP COMMUNITIES REIT UT (MHC-UN.CA) is 4 / 10 and the dividend payout ratio is 16.14%.