MILLER INDUSTRIES INC/TENN (MLR) Stock Fundamental Analysis
NYSE:MLR - New York Stock Exchange, Inc. - US6005512040 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to MLR. MLR was compared to 128 industry peers in the Machinery industry. MLR has only an average score on both its financial health and profitability. MLR has a correct valuation and a medium growth rate. MLR also has an excellent dividend rating. With these ratings, MLR could be worth investigating further for dividend investing!.
1. Profitability
1.1 Basic Checks
MLR had positive earnings in the past year.
MLR had a positive operating cash flow in the past year.
MLR had positive earnings in each of the past 5 years.
Of the past 5 years MLR 4 years had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 9.52%, MLR is doing good in the industry, outperforming 79.69% of the companies in the same industry.
The Return On Equity of MLR (15.83%) is better than 75.00% of its industry peers.
With an excellent Return On Invested Capital value of 14.25%, MLR belongs to the best of the industry, outperforming 83.59% of the companies in the same industry.
MLR had an Average Return On Invested Capital over the past 3 years of 12.05%. This is in line with the industry average of 10.56%.
The last Return On Invested Capital (14.25%) for MLR is above the 3 year average (12.05%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.52% | ||
| ROE | 15.83% | ||
| ROIC | 14.25% |
ROA(3y)7.52%
ROA(5y)6.76%
ROE(3y)13.17%
ROE(5y)11.16%
ROIC(3y)12.05%
ROIC(5y)10.64%
1.3 Margins
The Profit Margin of MLR (5.05%) is comparable to the rest of the industry.
MLR's Profit Margin has been stable in the last couple of years.
The Operating Margin of MLR (6.72%) is comparable to the rest of the industry.
MLR's Operating Margin has been stable in the last couple of years.
MLR has a Gross Margin of 13.58%. This is amonst the worse of the industry: MLR underperforms 82.03% of its industry peers.
In the last couple of years the Gross Margin of MLR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.72% | ||
| PM (TTM) | 5.05% | ||
| GM | 13.58% |
OM growth 3Y26.88%
OM growth 5Y0.66%
PM growth 3Y30.5%
PM growth 5Y1.11%
GM growth 3Y11.72%
GM growth 5Y2.86%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so MLR is still creating some value.
MLR has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for MLR has been increased compared to 5 years ago.
Compared to 1 year ago, MLR has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.60 indicates that MLR is not in any danger for bankruptcy at the moment.
MLR has a Altman-Z score of 4.60. This is in the better half of the industry: MLR outperforms 72.66% of its industry peers.
MLR has a debt to FCF ratio of 42.82. This is a negative value and a sign of low solvency as MLR would need 42.82 years to pay back of all of its debts.
The Debt to FCF ratio of MLR (42.82) is worse than 68.75% of its industry peers.
MLR has a Debt/Equity ratio of 0.16. This is a healthy value indicating a solid balance between debt and equity.
MLR has a Debt to Equity ratio of 0.16. This is in the better half of the industry: MLR outperforms 75.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 42.82 | ||
| Altman-Z | 4.6 |
ROIC/WACC1.31
WACC10.87%
2.3 Liquidity
MLR has a Current Ratio of 2.68. This indicates that MLR is financially healthy and has no problem in meeting its short term obligations.
MLR has a Current ratio of 2.68. This is in the better half of the industry: MLR outperforms 71.09% of its industry peers.
MLR has a Quick Ratio of 1.74. This is a normal value and indicates that MLR is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of MLR (1.74) is better than 72.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.68 | ||
| Quick Ratio | 1.74 |
3. Growth
3.1 Past
The earnings per share for MLR have decreased strongly by -17.80% in the last year.
Measured over the past years, MLR shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.79% on average per year.
Looking at the last year, MLR shows a quite strong growth in Revenue. The Revenue has grown by 9.03% in the last year.
MLR shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.98% yearly.
EPS 1Y (TTM)-17.8%
EPS 3Y56.79%
EPS 5Y9.79%
EPS Q2Q%-53.06%
Revenue 1Y (TTM)9.03%
Revenue growth 3Y20.57%
Revenue growth 5Y8.98%
Sales Q2Q%-35.5%
3.2 Future
The Earnings Per Share is expected to grow by 6.09% on average over the next years.
MLR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.38% yearly.
EPS Next Y-45.08%
EPS Next 2Y-5.05%
EPS Next 3Y6.09%
EPS Next 5YN/A
Revenue Next Year-22.7%
Revenue Next 2Y-4.27%
Revenue Next 3Y2.38%
Revenue Next 5YN/A
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 9.60 indicates a reasonable valuation of MLR.
92.97% of the companies in the same industry are more expensive than MLR, based on the Price/Earnings ratio.
MLR's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.21.
Based on the Price/Forward Earnings ratio of 9.13, the valuation of MLR can be described as reasonable.
89.84% of the companies in the same industry are more expensive than MLR, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of MLR to the average of the S&P500 Index (20.44), we can say MLR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.6 | ||
| Fwd PE | 9.13 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MLR is valued cheaper than 93.75% of the companies in the same industry.
MLR's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. MLR is more expensive than 69.53% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 341.23 | ||
| EV/EBITDA | 5.67 |
4.3 Compensation for Growth
The decent profitability rating of MLR may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.98
EPS Next 2Y-5.05%
EPS Next 3Y6.09%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.78%, MLR has a reasonable but not impressive dividend return.
In the last 3 months the price of MLR has falen by -30.57%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
MLR's Dividend Yield is rather good when compared to the industry average which is at 1.96. MLR pays more dividend than 80.47% of the companies in the same industry.
MLR's Dividend Yield is slightly below the S&P500 average, which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.78% |
5.2 History
The dividend of MLR has a limited annual growth rate of 1.14%.
MLR has been paying a dividend for at least 10 years, so it has a reliable track record.
MLR has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)1.14%
Div Incr Years1
Div Non Decr Years14
5.3 Sustainability
13.74% of the earnings are spent on dividend by MLR. This is a low number and sustainable payout ratio.
MLR's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP13.74%
EPS Next 2Y-5.05%
EPS Next 3Y6.09%
45.2
+0.17 (+0.38%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners93.96%
Inst Owner Change0.9%
Ins Owners3.96%
Ins Owner Change19.05%
Market Cap517.99M
Analysts80
Price Target71.91 (59.09%)
Short Float %8.34%
Short Ratio6.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.78% |
Yearly Dividend0.76
Dividend Growth(5Y)1.14%
DP13.74%
Div Incr Years1
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-12.48%
Min EPS beat(2)-23.97%
Max EPS beat(2)-0.99%
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)1
Avg Revenue beat(2)-9.89%
Min Revenue beat(2)-24.32%
Max Revenue beat(2)4.54%
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)0%
PT rev (3m)-9.62%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-55.52%
EPS NY rev (1m)0%
EPS NY rev (3m)-51.78%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-34.54%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-27.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.6 | ||
| Fwd PE | 9.13 | ||
| P/S | 0.41 | ||
| P/FCF | 341.23 | ||
| P/OCF | 30.7 | ||
| P/B | 1.29 | ||
| P/tB | 1.36 | ||
| EV/EBITDA | 5.67 |
EPS(TTM)4.71
EY10.42%
EPS(NY)4.95
Fwd EY10.95%
FCF(TTM)0.13
FCFY0.29%
OCF(TTM)1.47
OCFY3.26%
SpS109.73
BVpS34.99
TBVpS33.25
PEG (NY)N/A
PEG (5Y)0.98
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.52% | ||
| ROE | 15.83% | ||
| ROCE | 18.01% | ||
| ROIC | 14.25% | ||
| ROICexc | 15.03% | ||
| ROICexgc | 15.74% | ||
| OM | 6.72% | ||
| PM (TTM) | 5.05% | ||
| GM | 13.58% | ||
| FCFM | 0.12% |
ROA(3y)7.52%
ROA(5y)6.76%
ROE(3y)13.17%
ROE(5y)11.16%
ROIC(3y)12.05%
ROIC(5y)10.64%
ROICexc(3y)13%
ROICexc(5y)12.03%
ROICexgc(3y)13.63%
ROICexgc(5y)12.64%
ROCE(3y)15.23%
ROCE(5y)13.44%
ROICexcg growth 3Y23.72%
ROICexcg growth 5Y-2.98%
ROICexc growth 3Y23.89%
ROICexc growth 5Y-2.91%
OM growth 3Y26.88%
OM growth 5Y0.66%
PM growth 3Y30.5%
PM growth 5Y1.11%
GM growth 3Y11.72%
GM growth 5Y2.86%
F-Score7
Asset Turnover1.89
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 42.82 | ||
| Debt/EBITDA | 0.66 | ||
| Cap/Depr | 109.11% | ||
| Cap/Sales | 1.22% | ||
| Interest Coverage | 8.7 | ||
| Cash Conversion | 17.12% | ||
| Profit Quality | 2.39% | ||
| Current Ratio | 2.68 | ||
| Quick Ratio | 1.74 | ||
| Altman-Z | 4.6 |
F-Score7
WACC10.87%
ROIC/WACC1.31
Cap/Depr(3y)148.85%
Cap/Depr(5y)142.34%
Cap/Sales(3y)1.89%
Cap/Sales(5y)1.93%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-17.8%
EPS 3Y56.79%
EPS 5Y9.79%
EPS Q2Q%-53.06%
EPS Next Y-45.08%
EPS Next 2Y-5.05%
EPS Next 3Y6.09%
EPS Next 5YN/A
Revenue 1Y (TTM)9.03%
Revenue growth 3Y20.57%
Revenue growth 5Y8.98%
Sales Q2Q%-35.5%
Revenue Next Year-22.7%
Revenue Next 2Y-4.27%
Revenue Next 3Y2.38%
Revenue Next 5YN/A
EBIT growth 1Y7.25%
EBIT growth 3Y52.97%
EBIT growth 5Y9.69%
EBIT Next Year-29.38%
EBIT Next 3Y8.04%
EBIT Next 5YN/A
FCF growth 1Y233.86%
FCF growth 3Y-37.17%
FCF growth 5Y-38.84%
OCF growth 1Y53.88%
OCF growth 3Y3.38%
OCF growth 5Y-13.64%