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MASTECH DIGITAL INC (MHH) Stock Fundamental Analysis

USA - NYSE Arca - NYSEARCA:MHH - US57633B1008 - Common Stock

7.14 USD
-0.09 (-1.24%)
Last: 1/14/2026, 8:04:00 PM
Fundamental Rating

5

Overall MHH gets a fundamental rating of 5 out of 10. We evaluated MHH against 87 industry peers in the Professional Services industry. While MHH has a great health rating, there are worries on its profitability. A decent growth rate in combination with a cheap valuation! Better keep an eye on MHH.


Dividend Valuation Growth Profitability Health

3

1. Profitability

1.1 Basic Checks

  • In the past year MHH was profitable.
  • MHH had a positive operating cash flow in the past year.
  • Of the past 5 years MHH 4 years were profitable.
  • MHH had a positive operating cash flow in each 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 0 5M -5M 10M 15M 20M

1.2 Ratios

  • MHH has a Return On Assets (0.79%) which is in line with its industry peers.
  • MHH has a Return On Equity (0.99%) which is in line with its industry peers.
  • MHH's Return On Invested Capital of 0.74% is on the low side compared to the rest of the industry. MHH is outperformed by 63.22% of its industry peers.
Industry RankSector Rank
ROA 0.79%
ROE 0.99%
ROIC 0.74%
ROA(3y)1.42%
ROA(5y)4.93%
ROE(3y)1.75%
ROE(5y)7.65%
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 0 10 20

1.3 Margins

  • MHH has a Profit Margin (0.43%) which is comparable to the rest of the industry.
  • MHH's Profit Margin has declined in the last couple of years.
  • MHH has a worse Operating Margin (0.44%) than 63.22% of its industry peers.
  • MHH's Operating Margin has declined in the last couple of years.
  • MHH has a Gross Margin of 28.10%. This is comparable to the rest of the industry: MHH outperforms 40.23% of its industry peers.
  • In the last couple of years the Gross Margin of MHH has grown nicely.
Industry RankSector Rank
OM 0.44%
PM (TTM) 0.43%
GM 28.1%
OM growth 3Y-34.02%
OM growth 5Y-22.17%
PM growth 3Y-32.27%
PM growth 5Y-21.56%
GM growth 3Y1.44%
GM growth 5Y2.43%
MHH Yearly Profit, Operating, Gross MarginsMHH Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 20

8

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so MHH is destroying value.
  • Compared to 1 year ago, MHH has more shares outstanding
  • MHH has more shares outstanding than it did 5 years ago.
  • 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.
MHH Yearly Shares OutstandingMHH Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 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 20M 40M 60M 80M 100M

2.2 Solvency

  • MHH has an Altman-Z score of 5.25. This indicates that MHH is financially healthy and has little risk of bankruptcy at the moment.
  • MHH has a Altman-Z score of 5.25. This is amongst the best in the industry. MHH outperforms 86.21% of its industry peers.
  • MHH has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Altman-Z 5.25
ROIC/WACC0.08
WACC8.82%
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 0 20M 40M 60M 80M

2.3 Liquidity

  • MHH has a Current Ratio of 3.33. This indicates that MHH is financially healthy and has no problem in meeting its short term obligations.
  • MHH's Current ratio of 3.33 is amongst the best of the industry. MHH outperforms 88.51% of its industry peers.
  • A Quick Ratio of 3.33 indicates that MHH has no problem at all paying its short term obligations.
  • The Quick ratio of MHH (3.33) is better than 89.66% of its industry peers.
Industry RankSector Rank
Current Ratio 3.33
Quick Ratio 3.33
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 20M 40M 60M

5

3. Growth

3.1 Past

  • MHH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 23.73%, which is quite impressive.
  • Measured over the past years, MHH shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -22.18% on average per year.
  • The Revenue has decreased by -1.07% in the past year.
  • MHH shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.55% yearly.
EPS 1Y (TTM)23.73%
EPS 3Y-16.05%
EPS 5Y-22.18%
EPS Q2Q%26.09%
Revenue 1Y (TTM)-1.07%
Revenue growth 3Y-3.59%
Revenue growth 5Y0.55%
Sales Q2Q%-6.45%

3.2 Future

  • Based on estimates for the next years, MHH will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.84% on average per year.
  • MHH is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.00% yearly.
EPS Next Y1.71%
EPS Next 2Y20.75%
EPS Next 3Y12.84%
EPS Next 5YN/A
Revenue Next Year-3.67%
Revenue Next 2Y0.34%
Revenue Next 3Y2%
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.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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

7

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 9.78, which indicates a very decent valuation of MHH.
  • Based on the Price/Earnings ratio, MHH is valued cheaply inside the industry as 88.51% of the companies are valued more expensively.
  • MHH is valuated cheaply when we compare the Price/Earnings ratio to 27.33, which is the current average of the S&P500 Index.
  • A Price/Forward Earnings ratio of 6.90 indicates a rather cheap valuation of MHH.
  • 90.80% of the companies in the same industry are more expensive than MHH, based on the Price/Forward Earnings ratio.
  • MHH is valuated cheaply when we compare the Price/Forward Earnings ratio to 24.12, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 9.78
Fwd PE 6.9
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

  • Based on the Enterprise Value to EBITDA ratio, MHH is valued a bit cheaper than 66.67% of the companies in the same industry.
  • MHH's Price/Free Cash Flow ratio is rather cheap when compared to the industry. MHH is cheaper than 87.36% of the companies in the same industry.
Industry RankSector Rank
P/FCF 11.48
EV/EBITDA 13.1
MHH Per share dataMHH EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • MHH's earnings are expected to grow with 12.84% in the coming years. This may justify a more expensive valuation.
PEG (NY)5.72
PEG (5Y)N/A
EPS Next 2Y20.75%
EPS Next 3Y12.84%

0

5. Dividend

5.1 Amount

  • MHH does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

MASTECH DIGITAL INC

NYSEARCA:MHH (1/14/2026, 8:04:00 PM)

7.14

-0.09 (-1.24%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)11-12
Earnings (Next)02-17
Inst Owners17.62%
Inst Owner Change0%
Ins Owners68.74%
Ins Owner Change0%
Market Cap83.54M
Revenue(TTM)198.94M
Net Income(TTM)868.00K
Analysts0
Price Target13.46 (88.52%)
Short Float %0.29%
Short Ratio0.39
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)1
Avg EPS beat(2)-8.42%
Min EPS beat(2)-40.59%
Max EPS beat(2)23.76%
EPS beat(4)3
Avg EPS beat(4)22.96%
Min EPS beat(4)-40.59%
Max EPS beat(4)82.18%
EPS beat(8)5
Avg EPS beat(8)25.51%
EPS beat(12)5
Avg EPS beat(12)7.13%
EPS beat(16)6
Avg EPS beat(16)2.94%
Revenue beat(2)2
Avg Revenue beat(2)0.83%
Min Revenue beat(2)0.23%
Max Revenue beat(2)1.43%
Revenue beat(4)3
Avg Revenue beat(4)0.57%
Min Revenue beat(4)-3.3%
Max Revenue beat(4)3.93%
Revenue beat(8)4
Avg Revenue beat(8)-0.26%
Revenue beat(12)4
Avg Revenue beat(12)-1.74%
Revenue beat(16)6
Avg Revenue beat(16)-1.41%
PT rev (1m)0%
PT rev (3m)1.54%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)10.85%
EPS NY rev (3m)27.68%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)-1.7%
Valuation
Industry RankSector Rank
PE 9.78
Fwd PE 6.9
P/S 0.42
P/FCF 11.48
P/OCF 10.94
P/B 0.95
P/tB 1.62
EV/EBITDA 13.1
EPS(TTM)0.73
EY10.22%
EPS(NY)1.04
Fwd EY14.5%
FCF(TTM)0.62
FCFY8.71%
OCF(TTM)0.65
OCFY9.14%
SpS17.09
BVpS7.51
TBVpS4.41
PEG (NY)5.72
PEG (5Y)N/A
Graham Number11.1
Profitability
Industry RankSector Rank
ROA 0.79%
ROE 0.99%
ROCE 0.97%
ROIC 0.74%
ROICexc 1.08%
ROICexgc 2.55%
OM 0.44%
PM (TTM) 0.43%
GM 28.1%
FCFM 3.64%
ROA(3y)1.42%
ROA(5y)4.93%
ROE(3y)1.75%
ROE(5y)7.65%
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 3Y-33.48%
ROICexgc growth 5Y-23.87%
ROICexc growth 3Y-31%
ROICexc growth 5Y-20.46%
OM growth 3Y-34.02%
OM growth 5Y-22.17%
PM growth 3Y-32.27%
PM growth 5Y-21.56%
GM growth 3Y1.44%
GM growth 5Y2.43%
F-Score8
Asset Turnover1.81
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Debt/EBITDA 0
Cap/Depr 10.63%
Cap/Sales 0.18%
Interest Coverage 250
Cash Conversion 179.93%
Profit Quality 838.71%
Current Ratio 3.33
Quick Ratio 3.33
Altman-Z 5.25
F-Score8
WACC8.82%
ROIC/WACC0.08
Cap/Depr(3y)18.5%
Cap/Depr(5y)22.28%
Cap/Sales(3y)0.33%
Cap/Sales(5y)0.4%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)23.73%
EPS 3Y-16.05%
EPS 5Y-22.18%
EPS Q2Q%26.09%
EPS Next Y1.71%
EPS Next 2Y20.75%
EPS Next 3Y12.84%
EPS Next 5YN/A
Revenue 1Y (TTM)-1.07%
Revenue growth 3Y-3.59%
Revenue growth 5Y0.55%
Sales Q2Q%-6.45%
Revenue Next Year-3.67%
Revenue Next 2Y0.34%
Revenue Next 3Y2%
Revenue Next 5YN/A
EBIT growth 1Y323.98%
EBIT growth 3Y-36.39%
EBIT growth 5Y-21.75%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-69.2%
FCF growth 3Y23.47%
FCF growth 5Y-16.14%
OCF growth 1Y-67.89%
OCF growth 3Y11.3%
OCF growth 5Y-14.87%

MASTECH DIGITAL INC / MHH 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 7 / 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 3 / 10.


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

The financial health rating of MASTECH DIGITAL INC (MHH) is 8 / 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 1.71% in the next year.