MELCO RESORTS & ENTERT-ADR (MLCO) Stock Fundamental Analysis
USA - NASDAQ:MLCO - US5854641009 - ADR
8.32 USD
-0.01 (-0.12%)
8.32 USD
0 (0%)
Overall MLCO gets a fundamental rating of 3 out of 10. We evaluated MLCO against 134 industry peers in the Hotels, Restaurants & Leisure industry. Both the profitability and financial health of MLCO have multiple concerns. MLCO is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year MLCO was profitable.
In the past 5 years MLCO reported 4 times negative net income.
In multiple years MLCO reported negative operating cash flow during the last 5 years.
1.2 Ratios
MLCO has a worse Return On Assets (0.73%) than 61.94% of its industry peers.
The Return On Invested Capital of MLCO (6.04%) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.73% | ||
| ROE | N/A | ||
| ROIC | 6.04% |
ROA(3y)-4.46%
ROA(5y)-7.3%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
MLCO's Profit Margin of 1.16% is on the low side compared to the rest of the industry. MLCO is outperformed by 61.19% of its industry peers.
MLCO's Profit Margin has declined in the last couple of years.
MLCO's Operating Margin of 10.26% is in line compared to the rest of the industry. MLCO outperforms 56.72% of its industry peers.
MLCO's Operating Margin has declined in the last couple of years.
MLCO's Gross Margin of 36.85% is on the low side compared to the rest of the industry. MLCO is outperformed by 68.66% of its industry peers.
In the last couple of years the Gross Margin of MLCO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.26% | ||
| PM (TTM) | 1.16% | ||
| GM | 36.85% |
OM growth 3YN/A
OM growth 5Y-4.19%
PM growth 3YN/A
PM growth 5Y-32.1%
GM growth 3Y11.79%
GM growth 5Y-0.24%
2. Health
2.1 Basic Checks
MLCO has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
MLCO has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, MLCO has less shares outstanding
Compared to 1 year ago, MLCO has an improved debt to assets ratio.
2.2 Solvency
MLCO has an Altman-Z score of 0.39. This is a bad value and indicates that MLCO is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of MLCO (0.39) is worse than 78.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.39 |
ROIC/WACC0.75
WACC8.03%
2.3 Liquidity
A Current Ratio of 1.16 indicates that MLCO should not have too much problems paying its short term obligations.
MLCO has a Current ratio (1.16) which is comparable to the rest of the industry.
A Quick Ratio of 1.13 indicates that MLCO should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.13, MLCO is in the better half of the industry, outperforming 61.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.16 | ||
| Quick Ratio | 1.13 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 141.16% over the past year.
The earnings per share for MLCO have been decreasing by -31.23% on average. This is quite bad
MLCO shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.40%.
Measured over the past years, MLCO shows a decrease in Revenue. The Revenue has been decreasing by -4.16% on average per year.
EPS 1Y (TTM)141.16%
EPS 3YN/A
EPS 5Y-31.23%
EPS Q2Q%-71.43%
Revenue 1Y (TTM)12.4%
Revenue growth 3Y32.09%
Revenue growth 5Y-4.16%
Sales Q2Q%14.54%
3.2 Future
The Earnings Per Share is expected to grow by 64.10% on average over the next years. This is a very strong growth
MLCO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.60% yearly.
EPS Next Y316.76%
EPS Next 2Y154.4%
EPS Next 3Y104.01%
EPS Next 5Y64.1%
Revenue Next Year10.87%
Revenue Next 2Y7.18%
Revenue Next 3Y6.1%
Revenue Next 5Y5.6%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 64.00 indicates a quite expensive valuation of MLCO.
Compared to the rest of the industry, the Price/Earnings ratio of MLCO is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 26.91. MLCO is valued rather expensively when compared to this.
MLCO is valuated reasonably with a Price/Forward Earnings ratio of 10.71.
MLCO's Price/Forward Earnings ratio is rather cheap when compared to the industry. MLCO is cheaper than 84.33% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of MLCO to the average of the S&P500 Index (22.92), we can say MLCO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 64 | ||
| Fwd PE | 10.71 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MLCO is valued a bit cheaper than the industry average as 61.94% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.41 |
4.3 Compensation for Growth
MLCO's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
MLCO's earnings are expected to grow with 104.01% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.2
PEG (5Y)N/A
EPS Next 2Y154.4%
EPS Next 3Y104.01%
5. Dividend
5.1 Amount
MLCO does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
8.32
-0.01 (-0.12%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners34.43%
Inst Owner Change-0.04%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap3.54B
Revenue(TTM)4.93B
Net Income(TTM)56.98M
Analysts77.89
Price Target11.34 (36.3%)
Short Float %4.14%
Short Ratio2.13
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)-73.01%
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)180.41%
Min EPS beat(2)-85.4%
Max EPS beat(2)446.22%
EPS beat(4)2
Avg EPS beat(4)55.93%
Min EPS beat(4)-160.64%
Max EPS beat(4)446.22%
EPS beat(8)3
Avg EPS beat(8)-122.71%
EPS beat(12)7
Avg EPS beat(12)-68.14%
EPS beat(16)9
Avg EPS beat(16)-49.98%
Revenue beat(2)1
Avg Revenue beat(2)0.39%
Min Revenue beat(2)-3.73%
Max Revenue beat(2)4.5%
Revenue beat(4)2
Avg Revenue beat(4)0.18%
Min Revenue beat(4)-3.73%
Max Revenue beat(4)4.5%
Revenue beat(8)2
Avg Revenue beat(8)-1.36%
Revenue beat(12)3
Avg Revenue beat(12)-5.68%
Revenue beat(16)3
Avg Revenue beat(16)-8%
PT rev (1m)0%
PT rev (3m)54.76%
EPS NQ rev (1m)0%
EPS NQ rev (3m)90.57%
EPS NY rev (1m)3.77%
EPS NY rev (3m)47.52%
Revenue NQ rev (1m)-0.61%
Revenue NQ rev (3m)1.4%
Revenue NY rev (1m)0%
Revenue NY rev (3m)3.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 64 | ||
| Fwd PE | 10.71 | ||
| P/S | 0.72 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.41 |
EPS(TTM)0.13
EY1.56%
EPS(NY)0.78
Fwd EY9.33%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS11.58
BVpS-3.36
TBVpS-5.37
PEG (NY)0.2
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.73% | ||
| ROE | N/A | ||
| ROCE | 7.64% | ||
| ROIC | 6.04% | ||
| ROICexc | 6.04% | ||
| ROICexgc | 6.93% | ||
| OM | 10.26% | ||
| PM (TTM) | 1.16% | ||
| GM | 36.85% | ||
| FCFM | N/A |
ROA(3y)-4.46%
ROA(5y)-7.3%
ROE(3y)N/A
ROE(5y)N/A
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 5Y-5.26%
ROICexc growth 3YN/A
ROICexc growth 5Y-5.51%
OM growth 3YN/A
OM growth 5Y-4.19%
PM growth 3YN/A
PM growth 5Y-32.1%
GM growth 3Y11.79%
GM growth 5Y-0.24%
F-ScoreN/A
Asset Turnover0.63
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.95 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.16 | ||
| Quick Ratio | 1.13 | ||
| Altman-Z | 0.39 |
F-ScoreN/A
WACC8.03%
ROIC/WACC0.75
Cap/Depr(3y)74.46%
Cap/Depr(5y)83.11%
Cap/Sales(3y)19.86%
Cap/Sales(5y)24.03%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)141.16%
EPS 3YN/A
EPS 5Y-31.23%
EPS Q2Q%-71.43%
EPS Next Y316.76%
EPS Next 2Y154.4%
EPS Next 3Y104.01%
EPS Next 5Y64.1%
Revenue 1Y (TTM)12.4%
Revenue growth 3Y32.09%
Revenue growth 5Y-4.16%
Sales Q2Q%14.54%
Revenue Next Year10.87%
Revenue Next 2Y7.18%
Revenue Next 3Y6.1%
Revenue Next 5Y5.6%
EBIT growth 1Y102.7%
EBIT growth 3YN/A
EBIT growth 5Y-8.18%
EBIT Next Year124.85%
EBIT Next 3Y34.79%
EBIT Next 5YN/A
FCF growth 1Y-9.29%
FCF growth 3YN/A
FCF growth 5Y-3.37%
OCF growth 1Y0.64%
OCF growth 3YN/A
OCF growth 5Y-5.61%
MELCO RESORTS & ENTERT-ADR / MLCO FAQ
What is the ChartMill fundamental rating of MELCO RESORTS & ENTERT-ADR (MLCO) stock?
ChartMill assigns a fundamental rating of 3 / 10 to MLCO.
What is the valuation status of MELCO RESORTS & ENTERT-ADR (MLCO) stock?
ChartMill assigns a valuation rating of 5 / 10 to MELCO RESORTS & ENTERT-ADR (MLCO). This can be considered as Fairly Valued.
Can you provide the profitability details for MELCO RESORTS & ENTERT-ADR?
MELCO RESORTS & ENTERT-ADR (MLCO) has a profitability rating of 1 / 10.
How financially healthy is MELCO RESORTS & ENTERT-ADR?
The financial health rating of MELCO RESORTS & ENTERT-ADR (MLCO) is 3 / 10.