MARCUS & MILLICHAP INC (MMI)
US5663241090 - Common Stock
We assign a fundamental rating of 4 out of 10 to MMI. MMI was compared to 68 industry peers in the Real Estate Management & Development industry. No worries on liquidiy or solvency for MMI as it has an excellent financial health rating, but there are worries on the profitability. MMI does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
MMI had negative earnings in the past year.
MMI had a negative operating cash flow in the past year.
Of the past 5 years MMI 4 years were profitable.
MMI had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of -3.86%, MMI is in line with its industry, outperforming 50.75% of the companies in the same industry.
MMI's Return On Equity of -5.26% is in line compared to the rest of the industry. MMI outperforms 55.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.86% | ||
| ROE | -5.26% | ||
| ROIC | N/A |
ROA(3y)6.71%
ROA(5y)7.3%
ROE(3y)9.93%
ROE(5y)10.63%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
MMI's Gross Margin of 37.05% is fine compared to the rest of the industry. MMI outperforms 73.13% of its industry peers.
In the last couple of years the Gross Margin of MMI has remained more or less at the same level.
The Profit Margin and Operating Margin are not available for MMI so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 37.05% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.43%
GM growth 5Y-0.65%
2. Health
2.1 Basic Checks
MMI does not have a ROIC to compare to the WACC, probably because it is not profitable.
MMI has less shares outstanding than it did 1 year ago.
The number of shares outstanding for MMI has been reduced compared to 5 years ago.
There is no outstanding debt for MMI. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
MMI has an Altman-Z score of 4.77. This indicates that MMI is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of MMI (4.77) is better than 85.07% of its industry peers.
There is no outstanding debt for MMI. 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 Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 4.77 |
ROIC/WACCN/A
WACC9.28%
2.3 Liquidity
A Current Ratio of 3.74 indicates that MMI has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 3.74, MMI is in the better half of the industry, outperforming 73.13% of the companies in the same industry.
MMI has a Quick Ratio of 3.74. This indicates that MMI is financially healthy and has no problem in meeting its short term obligations.
With a decent Quick ratio value of 3.74, MMI is doing good in the industry, outperforming 77.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.74 | ||
| Quick Ratio | 3.74 |
3. Growth
3.1 Past
MMI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -134.50%.
Looking at the last year, MMI shows a very negative growth in Revenue. The Revenue has decreased by -50.38% in the last year.
The Revenue has been decreasing by -4.54% on average over the past years.
EPS 1Y (TTM)-134.5%
EPS 3YN/A
EPS 5YN/A
EPS growth Q2Q-235%
Revenue 1Y (TTM)-50.38%
Revenue growth 3Y-3.42%
Revenue growth 5Y-4.54%
Revenue growth Q2Q-36.65%
3.2 Future
MMI is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 75.77% yearly.
MMI is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 19.93% yearly.
EPS Next Y113.62%
EPS Next 2Y75.77%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year16.82%
Revenue Next 2Y19.93%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
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.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for MMI. In the last year negative earnings were reported.
A Price/Forward Earnings ratio of 255.94 indicates a quite expensive valuation of MMI.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MMI indicates a somewhat cheap valuation: MMI is cheaper than 67.16% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 21.26. MMI is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 255.94 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates MMI does not grow enough to justify the current Price/Earnings ratio.
MMI's earnings are expected to grow with 75.77% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y75.77%
EPS Next 3YN/A
5. Dividend
5.1 Amount
MMI has a Yearly Dividend Yield of 1.52%.
Compared to an average industry Dividend Yield of 4.31, MMI pays a better dividend. On top of this MMI pays more dividend than 85.07% of the companies listed in the same industry.
Compared to the average S&P500 Dividend Yield of 2.40, MMI is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.52% |
5.2 History
MMI has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
The earnings of MMI are negative and hence is the payout ratio. MMI will probably not be able to sustain this dividend level.
DP-59.24%
EPS Next 2Y75.77%
EPS Next 3YN/A
MARCUS & MILLICHAP INC
NYSE:MMI (4/19/2024, 7:04:17 PM)
After market: 31.02 0 (0%)31.02
+0.02 (+0.06%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.20B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.52% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 255.94 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.86% | ||
| ROE | -5.26% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 37.05% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.74
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.74 | ||
| Quick Ratio | 3.74 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-134.5%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y113.62%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-50.38%
Revenue growth 3Y-3.42%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y