MASTECH DIGITAL INC (MHH) Fundamental Analysis & Valuation

NYSEARCA:MHHUS57633B1008

Current stock price

6.31 USD
-0.02 (-0.32%)
Last:

This MHH fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

2

1. MHH Profitability Analysis

1.1 Basic Checks

  • MHH had positive earnings in the past year.
  • In the past year MHH had a positive cash flow from operations.
  • MHH had positive earnings in 4 of the past 5 years.
  • MHH had a positive operating cash flow in 4 of the past 5 years.
MHH Yearly Net Income VS EBIT VS OCF VS FCFMHH Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5M -5M 10M 15M 20M

1.2 Ratios

  • With a Return On Assets value of -0.06%, MHH perfoms like the industry average, outperforming 44.83% of the companies in the same industry.
  • With a Return On Equity value of -0.07%, MHH perfoms like the industry average, outperforming 44.83% of the companies in the same industry.
Industry RankSector Rank
ROA -0.06%
ROE -0.07%
ROIC N/A
ROA(3y)-1.06%
ROA(5y)3.11%
ROE(3y)-1.4%
ROE(5y)4.47%
ROIC(3y)N/A
ROIC(5y)N/A
MHH Yearly ROA, ROE, ROICMHH Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 20

1.3 Margins

  • MHH's Profit Margin has declined in the last couple of years.
  • In the last couple of years the Operating Margin of MHH has declined.
  • MHH's Gross Margin of 27.91% is on the low side compared to the rest of the industry. MHH is outperformed by 63.22% of its industry peers.
  • MHH's Gross Margin has been stable in the last couple of years.
  • MHH does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 27.91%
OM growth 3Y-95.3%
OM growth 5Y-85.15%
PM growth 3Y-55.44%
PM growth 5Y-42.54%
GM growth 3Y2.05%
GM growth 5Y0.87%
MHH Yearly Profit, Operating, Gross MarginsMHH Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 20

9

2. MHH Health Analysis

2.1 Basic Checks

  • MHH does not have a ROIC to compare to the WACC, probably because it is not profitable.
  • MHH has less shares outstanding than it did 1 year ago.
  • The number of shares outstanding for MHH has been increased compared to 5 years ago.
  • MHH has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
MHH Yearly Shares OutstandingMHH Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2M 4M 6M 8M 10M
MHH Yearly Total Debt VS Total AssetsMHH Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M 80M 100M

2.2 Solvency

  • An Altman-Z score of 4.72 indicates that MHH is not in any danger for bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 4.72, MHH belongs to the top of the industry, outperforming 83.91% of the companies in the same industry.
  • There is no outstanding debt for MHH. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Altman-Z 4.72
ROIC/WACCN/A
WACC9.03%
MHH Yearly LT Debt VS Equity VS FCFMHH Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20M 40M 60M 80M

2.3 Liquidity

  • A Current Ratio of 3.07 indicates that MHH has no problem at all paying its short term obligations.
  • MHH has a better Current ratio (3.07) than 87.36% of its industry peers.
  • A Quick Ratio of 3.07 indicates that MHH has no problem at all paying its short term obligations.
  • MHH's Quick ratio of 3.07 is amongst the best of the industry. MHH outperforms 88.51% of its industry peers.
Industry RankSector Rank
Current Ratio 3.07
Quick Ratio 3.07
MHH Yearly Current Assets VS Current LiabilitesMHH Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M

3

3. MHH Growth Analysis

3.1 Past

  • The earnings per share for MHH have decreased by 0.00% in the last year.
  • Measured over the past years, MHH shows a decrease in Earnings Per Share. The EPS has been decreasing by -9.51% on average per year.
  • Looking at the last year, MHH shows a decrease in Revenue. The Revenue has decreased by -3.81% in the last year.
  • MHH shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.28% yearly.
EPS 1Y (TTM)0%
EPS 3Y-14.6%
EPS 5Y-9.51%
EPS Q2Q%-8.7%
Revenue 1Y (TTM)-3.81%
Revenue growth 3Y-7.56%
Revenue growth 5Y-0.28%
Sales Q2Q%-10.42%

3.2 Future

  • The Earnings Per Share is expected to grow by 29.29% on average over the next years. This is a very strong growth
  • The Revenue is expected to grow by 4.96% on average over the next years.
EPS Next Y28.03%
EPS Next 2Y29.29%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year1.14%
Revenue Next 2Y4.96%
Revenue Next 3YN/A
Revenue Next 5YN/A

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
MHH Yearly Revenue VS EstimatesMHH Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 50M 100M 150M 200M
MHH Yearly EPS VS EstimatesMHH Yearly EPS VS EstimatesYearly EPS VS Estimates 2019 2020 2021 2022 2023 2024 2025 2026 2027 0.2 0.4 0.6 0.8 1

8

4. MHH Valuation Analysis

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 8.89 indicates a reasonable valuation of MHH.
  • Compared to the rest of the industry, the Price/Earnings ratio of MHH indicates a rather cheap valuation: MHH is cheaper than 86.21% of the companies listed in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 25.54, MHH is valued rather cheaply.
  • Based on the Price/Forward Earnings ratio of 6.94, the valuation of MHH can be described as very cheap.
  • Based on the Price/Forward Earnings ratio, MHH is valued cheaply inside the industry as 94.25% of the companies are valued more expensively.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 22.70, MHH is valued rather cheaply.
Industry RankSector Rank
PE 8.89
Fwd PE 6.94
MHH Price Earnings VS Forward Price EarningsMHH Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • The rest of the industry has a similar Enterprise Value to EBITDA ratio as MHH.
  • Based on the Price/Free Cash Flow ratio, MHH is valued cheaper than 88.51% of the companies in the same industry.
Industry RankSector Rank
P/FCF 7.13
EV/EBITDA 15.84
MHH Per share dataMHH EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15

4.3 Compensation for Growth

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • A more expensive valuation may be justified as MHH's earnings are expected to grow with 29.29% in the coming years.
PEG (NY)0.32
PEG (5Y)N/A
EPS Next 2Y29.29%
EPS Next 3YN/A

0

5. MHH Dividend Analysis

5.1 Amount

  • No dividends for MHH!.
Industry RankSector Rank
Dividend Yield 0%

MHH Fundamentals: All Metrics, Ratios and Statistics

MASTECH DIGITAL INC

NYSEARCA:MHH (3/24/2026, 5:05:00 PM)

6.31

-0.02 (-0.32%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)02-19
Earnings (Next)05-14
Inst Owners18.41%
Inst Owner Change4.62%
Ins Owners68.74%
Ins Owner Change0%
Market Cap73.83M
Revenue(TTM)191.37M
Net Income(TTM)-66.00K
Analysts0
Price Target12.75 (102.06%)
Short Float %0.28%
Short Ratio0.62
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)48.89%
Min EPS beat(2)23.76%
Max EPS beat(2)74.02%
EPS beat(4)3
Avg EPS beat(4)20.92%
Min EPS beat(4)-40.59%
Max EPS beat(4)74.02%
EPS beat(8)6
Avg EPS beat(8)36.79%
EPS beat(12)6
Avg EPS beat(12)14.46%
EPS beat(16)6
Avg EPS beat(16)7.1%
Revenue beat(2)1
Avg Revenue beat(2)-1%
Min Revenue beat(2)-3.42%
Max Revenue beat(2)1.43%
Revenue beat(4)2
Avg Revenue beat(4)-1.27%
Min Revenue beat(4)-3.42%
Max Revenue beat(4)1.43%
Revenue beat(8)4
Avg Revenue beat(8)-0.14%
Revenue beat(12)4
Avg Revenue beat(12)-1.82%
Revenue beat(16)5
Avg Revenue beat(16)-1.76%
PT rev (1m)-5.3%
PT rev (3m)-5.3%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)-12.2%
EPS NY rev (3m)-12.2%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-3.22%
Revenue NY rev (3m)-3.22%
Valuation
Industry RankSector Rank
PE 8.89
Fwd PE 6.94
P/S 0.38
P/FCF 7.13
P/OCF 6.83
P/B 0.84
P/tB 1.41
EV/EBITDA 15.84
EPS(TTM)0.71
EY11.25%
EPS(NY)0.91
Fwd EY14.41%
FCF(TTM)0.88
FCFY14.02%
OCF(TTM)0.92
OCFY14.65%
SpS16.81
BVpS7.52
TBVpS4.48
PEG (NY)0.32
PEG (5Y)N/A
Graham Number10.96
Profitability
Industry RankSector Rank
ROA -0.06%
ROE -0.07%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM 27.91%
FCFM 5.26%
ROA(3y)-1.06%
ROA(5y)3.11%
ROE(3y)-1.4%
ROE(5y)4.47%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-95.3%
OM growth 5Y-85.15%
PM growth 3Y-55.44%
PM growth 5Y-42.54%
GM growth 3Y2.05%
GM growth 5Y0.87%
F-Score7
Asset Turnover1.75
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Debt/EBITDA 0
Cap/Depr 13.91%
Cap/Sales 0.24%
Interest Coverage N/A
Cash Conversion 414.53%
Profit Quality N/A
Current Ratio 3.07
Quick Ratio 3.07
Altman-Z 4.72
F-Score7
WACC9.03%
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0%
EPS 3Y-14.6%
EPS 5Y-9.51%
EPS Q2Q%-8.7%
EPS Next Y28.03%
EPS Next 2Y29.29%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-3.81%
Revenue growth 3Y-7.56%
Revenue growth 5Y-0.28%
Sales Q2Q%-10.42%
Revenue Next Year1.14%
Revenue Next 2Y4.96%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-135.35%
EBIT growth 3Y-95.66%
EBIT growth 5Y-85.19%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y35.48%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y25.95%
OCF growth 3YN/A
OCF growth 5YN/A

MASTECH DIGITAL INC / MHH Fundamental Analysis FAQ

What is the fundamental rating for MHH stock?

ChartMill assigns a fundamental rating of 5 / 10 to MHH.


Can you provide the valuation status for MASTECH DIGITAL INC?

ChartMill assigns a valuation rating of 8 / 10 to MASTECH DIGITAL INC (MHH). This can be considered as Undervalued.


Can you provide the profitability details for MASTECH DIGITAL INC?

MASTECH DIGITAL INC (MHH) has a profitability rating of 2 / 10.


What is the financial health of MASTECH DIGITAL INC (MHH) stock?

The financial health rating of MASTECH DIGITAL INC (MHH) is 9 / 10.


What is the earnings growth outlook for MASTECH DIGITAL INC?

The Earnings per Share (EPS) of MASTECH DIGITAL INC (MHH) is expected to grow by 28.03% in the next year.