HELLO GROUP INC -SPN ADR (MOMO) Stock Fundamental Analysis
NASDAQ:MOMO - Nasdaq - US4234031049 - ADR - Currency: USD
We assign a fundamental rating of 5 out of 10 to MOMO. MOMO was compared to 70 industry peers in the Interactive Media & Services industry. MOMO has an average financial health and profitability rating. MOMO is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
MOMO had positive earnings in the past year.
MOMO had a positive operating cash flow in the past year.
Of the past 5 years MOMO 4 years were profitable.
In the past 5 years MOMO always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.66%, MOMO is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
Looking at the Return On Equity, with a value of 9.09%, MOMO belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
MOMO has a Return On Invested Capital of 6.93%. This is amongst the best in the industry. MOMO outperforms 81.43% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MOMO is below the industry average of 11.50%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.66% | ||
| ROE | 9.09% | ||
| ROIC | 6.93% |
ROA(3y)9.03%
ROA(5y)4.01%
ROE(3y)13.15%
ROE(5y)5.18%
ROIC(3y)9.02%
ROIC(5y)8.67%
1.3 Margins
With an excellent Profit Margin value of 9.84%, MOMO belongs to the best of the industry, outperforming 81.43% of the companies in the same industry.
In the last couple of years the Profit Margin of MOMO has declined.
MOMO's Operating Margin of 14.51% is amongst the best of the industry. MOMO outperforms 81.43% of its industry peers.
MOMO's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 38.96%, MOMO is not doing good in the industry: 68.57% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of MOMO has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.51% | ||
| PM (TTM) | 9.84% | ||
| GM | 38.96% |
OM growth 3Y1.76%
OM growth 5Y-7.03%
PM growth 3YN/A
PM growth 5Y-10.83%
GM growth 3Y-2.84%
GM growth 5Y-4.9%
2. Health
2.1 Basic Checks
MOMO has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
MOMO has a worse debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of MOMO is 3.19, which is a good value as it means it would take MOMO, 3.19 years of fcf income to pay off all of its debts.
MOMO has a Debt to FCF ratio of 3.19. This is in the better half of the industry: MOMO outperforms 65.71% of its industry peers.
MOMO has a Debt/Equity ratio of 0.21. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of MOMO (0.21) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 3.19 | ||
| Altman-Z | N/A |
ROIC/WACC0.96
WACC7.24%
2.3 Liquidity
A Current Ratio of 1.88 indicates that MOMO should not have too much problems paying its short term obligations.
MOMO has a Current ratio (1.88) which is comparable to the rest of the industry.
A Quick Ratio of 1.88 indicates that MOMO should not have too much problems paying its short term obligations.
MOMO has a Quick ratio of 1.88. This is comparable to the rest of the industry: MOMO outperforms 51.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.88 |
3. Growth
3.1 Past
MOMO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -40.21%.
MOMO shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -19.75% yearly.
MOMO shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -11.99%.
Measured over the past years, MOMO shows a decrease in Revenue. The Revenue has been decreasing by -9.09% on average per year.
EPS 1Y (TTM)-40.21%
EPS 3Y-10.84%
EPS 5Y-19.75%
EPS Q2Q%-50.76%
Revenue 1Y (TTM)-11.99%
Revenue growth 3Y-10.18%
Revenue growth 5Y-9.09%
Sales Q2Q%-12.2%
3.2 Future
The Earnings Per Share is expected to grow by 9.47% on average over the next years. This is quite good.
The Revenue is expected to grow by 1.04% on average over the next years.
EPS Next Y16.94%
EPS Next 2Y11.16%
EPS Next 3Y9.47%
EPS Next 5YN/A
Revenue Next Year-3.42%
Revenue Next 2Y-0.46%
Revenue Next 3Y1.04%
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.
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
MOMO is valuated cheaply with a Price/Earnings ratio of 6.35.
Based on the Price/Earnings ratio, MOMO is valued cheaper than 91.43% of the companies in the same industry.
MOMO is valuated cheaply when we compare the Price/Earnings ratio to 28.18, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 5.43, the valuation of MOMO can be described as very cheap.
95.71% of the companies in the same industry are more expensive than MOMO, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of MOMO to the average of the S&P500 Index (20.81), we can say MOMO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.35 | ||
| Fwd PE | 5.43 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MOMO is valued cheaply inside the industry as 97.14% of the companies are valued more expensively.
MOMO's Price/Free Cash Flow ratio is rather cheap when compared to the industry. MOMO is cheaper than 92.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.04 | ||
| EV/EBITDA | 0.4 |
4.3 Compensation for Growth
MOMO's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of MOMO may justify a higher PE ratio.
PEG (NY)0.37
PEG (5Y)N/A
EPS Next 2Y11.16%
EPS Next 3Y9.47%
5. Dividend
5.1 Amount
MOMO has a Yearly Dividend Yield of 1.55%. Purely for dividend investing, there may be better candidates out there.
MOMO's Dividend Yield is rather good when compared to the industry average which is at 3.21. MOMO pays more dividend than 92.86% of the companies in the same industry.
Compared to the average S&P500 Dividend Yield of 2.45, MOMO is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.55% |
5.2 History
MOMO has been paying a dividend for over 5 years, so it has already some track record.
The dividend of MOMO decreased in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years2
5.3 Sustainability
MOMO pays out 68.90% of its income as dividend. This is not a sustainable payout ratio.
DP68.9%
EPS Next 2Y11.16%
EPS Next 3Y9.47%
NASDAQ:MOMO (5/5/2025, 1:12:38 PM)
5.84
-0.05 (-0.85%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners73.18%
Inst Owner Change-0.7%
Ins OwnersN/A
Ins Owner Change0%
Market Cap938.31M
Analysts78.67
Price Target9.13 (56.34%)
Short Float %3.32%
Short Ratio1.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.55% |
Yearly Dividend0.77
Dividend Growth(5Y)N/A
DP68.9%
Div Incr Years1
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.51%
Min EPS beat(2)-27.48%
Max EPS beat(2)42.51%
EPS beat(4)2
Avg EPS beat(4)-13.48%
Min EPS beat(4)-85.5%
Max EPS beat(4)42.51%
EPS beat(8)6
Avg EPS beat(8)1.56%
EPS beat(12)10
Avg EPS beat(12)8.53%
EPS beat(16)13
Avg EPS beat(16)9.15%
Revenue beat(2)1
Avg Revenue beat(2)0.02%
Min Revenue beat(2)-0.73%
Max Revenue beat(2)0.78%
Revenue beat(4)2
Avg Revenue beat(4)0.05%
Min Revenue beat(4)-1.16%
Max Revenue beat(4)1.32%
Revenue beat(8)6
Avg Revenue beat(8)0.75%
Revenue beat(12)7
Avg Revenue beat(12)0.35%
Revenue beat(16)9
Avg Revenue beat(16)0.22%
PT rev (1m)6.88%
PT rev (3m)11%
EPS NQ rev (1m)3.11%
EPS NQ rev (3m)-13.37%
EPS NY rev (1m)0.71%
EPS NY rev (3m)-5.18%
Revenue NQ rev (1m)-0.48%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.28%
Revenue NY rev (3m)0.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.35 | ||
| Fwd PE | 5.43 | ||
| P/S | 0.65 | ||
| P/FCF | 5.04 | ||
| P/OCF | 4.16 | ||
| P/B | 0.6 | ||
| P/tB | 0.61 | ||
| EV/EBITDA | 0.4 |
EPS(TTM)0.92
EY15.75%
EPS(NY)1.08
Fwd EY18.42%
FCF(TTM)1.16
FCFY19.85%
OCF(TTM)1.4
OCFY24.04%
SpS9.04
BVpS9.79
TBVpS9.6
PEG (NY)0.37
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.66% | ||
| ROE | 9.09% | ||
| ROCE | 12.79% | ||
| ROIC | 6.93% | ||
| ROICexc | 12.11% | ||
| ROICexgc | 12.45% | ||
| OM | 14.51% | ||
| PM (TTM) | 9.84% | ||
| GM | 38.96% | ||
| FCFM | 12.82% |
ROA(3y)9.03%
ROA(5y)4.01%
ROE(3y)13.15%
ROE(5y)5.18%
ROIC(3y)9.02%
ROIC(5y)8.67%
ROICexc(3y)85.27%
ROICexc(5y)58.17%
ROICexgc(3y)89.02%
ROICexgc(5y)63.65%
ROCE(3y)14.59%
ROCE(5y)13.77%
ROICexcg growth 3Y-12%
ROICexcg growth 5YN/A
ROICexc growth 3Y-12.69%
ROICexc growth 5Y-23.64%
OM growth 3Y1.76%
OM growth 5Y-7.03%
PM growth 3YN/A
PM growth 5Y-10.83%
GM growth 3Y-2.84%
GM growth 5Y-4.9%
F-Score5
Asset Turnover0.57
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 3.19 | ||
| Debt/EBITDA | 1.5 | ||
| Cap/Depr | 486.17% | ||
| Cap/Sales | 2.7% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 103.05% | ||
| Profit Quality | 130.29% | ||
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.88 | ||
| Altman-Z | N/A |
F-Score5
WACC7.24%
ROIC/WACC0.96
Cap/Depr(3y)427.28%
Cap/Depr(5y)270.34%
Cap/Sales(3y)2.71%
Cap/Sales(5y)1.92%
Profit Quality(3y)98.14%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-40.21%
EPS 3Y-10.84%
EPS 5Y-19.75%
EPS Q2Q%-50.76%
EPS Next Y16.94%
EPS Next 2Y11.16%
EPS Next 3Y9.47%
EPS Next 5YN/A
Revenue 1Y (TTM)-11.99%
Revenue growth 3Y-10.18%
Revenue growth 5Y-9.09%
Sales Q2Q%-12.2%
Revenue Next Year-3.42%
Revenue Next 2Y-0.46%
Revenue Next 3Y1.04%
Revenue Next 5YN/A
EBIT growth 1Y-33.5%
EBIT growth 3Y-8.59%
EBIT growth 5Y-15.49%
EBIT Next Year-16.91%
EBIT Next 3Y-1.65%
EBIT Next 5YN/A
FCF growth 1Y-20.37%
FCF growth 3Y-2.56%
FCF growth 5Y-23.77%
OCF growth 1Y-27.98%
OCF growth 3Y1.7%
OCF growth 5Y-21.35%