MOTORCAR PARTS OF AMERICA IN (MPAA) Stock Fundamental Analysis
USA - NASDAQ:MPAA - US6200711009 - Common Stock
12.6 USD
+0.07 (+0.56%)
12.6 USD
0 (0%)
Overall MPAA gets a fundamental rating of 4 out of 10. We evaluated MPAA against 82 industry peers in the Automobile Components industry. While MPAA seems to be doing ok healthwise, there are quite some concerns on its profitability. MPAA may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year MPAA was profitable.
MPAA had a positive operating cash flow in the past year.
In multiple years MPAA reported negative net income over the last 5 years.
The reported operating cash flow has been mixed in the past 5 years: MPAA reported negative operating cash flow in multiple years.
1.2 Ratios
MPAA has a worse Return On Assets (0.17%) than 75.61% of its industry peers.
With a Return On Equity value of 0.64%, MPAA is not doing good in the industry: 71.95% of the companies in the same industry are doing better.
MPAA has a worse Return On Invested Capital (7.10%) than 65.85% of its industry peers.
MPAA had an Average Return On Invested Capital over the past 3 years of 4.70%. This is below the industry average of 8.55%.
The last Return On Invested Capital (7.10%) for MPAA is above the 3 year average (4.70%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.17% | ||
| ROE | 0.64% | ||
| ROIC | 7.1% |
ROA(3y)-2.44%
ROA(5y)-0.81%
ROE(3y)-8.71%
ROE(5y)-3.33%
ROIC(3y)4.7%
ROIC(5y)4.19%
1.3 Margins
Looking at the Profit Margin, with a value of 0.21%, MPAA is doing worse than 73.17% of the companies in the same industry.
MPAA has a Operating Margin of 8.11%. This is comparable to the rest of the industry: MPAA outperforms 40.24% of its industry peers.
In the last couple of years the Operating Margin of MPAA has grown nicely.
The Gross Margin of MPAA (20.44%) is worse than 70.73% of its industry peers.
MPAA's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.11% | ||
| PM (TTM) | 0.21% | ||
| GM | 20.44% |
OM growth 3Y22.75%
OM growth 5Y3.57%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.86%
GM growth 5Y-1.67%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MPAA is destroying value.
The number of shares outstanding for MPAA has been reduced compared to 1 year ago.
MPAA has more shares outstanding than it did 5 years ago.
The debt/assets ratio for MPAA has been reduced compared to a year ago.
2.2 Solvency
MPAA has an Altman-Z score of 1.44. This is a bad value and indicates that MPAA is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.44, MPAA is doing worse than 81.71% of the companies in the same industry.
The Debt to FCF ratio of MPAA is 1.85, which is an excellent value as it means it would take MPAA, only 1.85 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of MPAA (1.85) is better than 93.90% of its industry peers.
A Debt/Equity ratio of 0.50 indicates that MPAA is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.50, MPAA is doing worse than 69.51% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for MPAA, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 1.85 | ||
| Altman-Z | 1.44 |
ROIC/WACC0.43
WACC16.71%
2.3 Liquidity
A Current Ratio of 1.44 indicates that MPAA should not have too much problems paying its short term obligations.
The Current ratio of MPAA (1.44) is worse than 80.49% of its industry peers.
MPAA has a Quick Ratio of 1.44. This is a bad value and indicates that MPAA is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of MPAA (0.42) is worse than 93.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.44 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 541.18% over the past year.
Measured over the past years, MPAA shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -23.49% on average per year.
Looking at the last year, MPAA shows a small growth in Revenue. The Revenue has grown by 5.53% in the last year.
The Revenue has been growing slightly by 7.17% on average over the past years.
EPS 1Y (TTM)541.18%
EPS 3Y-37.6%
EPS 5Y-23.49%
EPS Q2Q%-45.16%
Revenue 1Y (TTM)5.53%
Revenue growth 3Y5.21%
Revenue growth 5Y7.17%
Sales Q2Q%6.38%
3.2 Future
Based on estimates for the next years, MPAA will show a very strong growth in Earnings Per Share. The EPS will grow by 141.07% on average per year.
Based on estimates for the next years, MPAA will show a small growth in Revenue. The Revenue will grow by 6.73% on average per year.
EPS Next Y253.44%
EPS Next 2Y141.07%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year8.61%
Revenue Next 2Y6.73%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
MPAA is valuated correctly with a Price/Earnings ratio of 16.80.
MPAA's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 25.07. MPAA is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio of 5.04, the valuation of MPAA can be described as very cheap.
91.46% of the companies in the same industry are more expensive than MPAA, based on the Price/Forward Earnings ratio.
MPAA's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.08.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.8 | ||
| Fwd PE | 5.04 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MPAA is valued cheaper than 82.93% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, MPAA is valued cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.41 | ||
| EV/EBITDA | 3.73 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as MPAA's earnings are expected to grow with 141.07% in the coming years.
PEG (NY)0.07
PEG (5Y)N/A
EPS Next 2Y141.07%
EPS Next 3YN/A
5. Dividend
5.1 Amount
MPAA does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
12.6
+0.07 (+0.56%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners88.61%
Inst Owner Change-2.61%
Ins Owners6.88%
Ins Owner Change11.37%
Market Cap243.81M
Revenue(TTM)757.35M
Net Income(TTM)1.66M
Analysts82.86
Price Target20.4 (61.9%)
Short Float %4.44%
Short Ratio4.19
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-40.09%
Min EPS beat(2)-50.98%
Max EPS beat(2)-29.19%
EPS beat(4)1
Avg EPS beat(4)-7.88%
Min EPS beat(4)-50.98%
Max EPS beat(4)68.85%
EPS beat(8)2
Avg EPS beat(8)-109.28%
EPS beat(12)2
Avg EPS beat(12)-99.19%
EPS beat(16)5
Avg EPS beat(16)-70.87%
Revenue beat(2)1
Avg Revenue beat(2)3.32%
Min Revenue beat(2)-0.72%
Max Revenue beat(2)7.37%
Revenue beat(4)2
Avg Revenue beat(4)2.03%
Min Revenue beat(4)-0.72%
Max Revenue beat(4)7.37%
Revenue beat(8)3
Avg Revenue beat(8)-0.73%
Revenue beat(12)4
Avg Revenue beat(12)-1.99%
Revenue beat(16)8
Avg Revenue beat(16)1.26%
PT rev (1m)0%
PT rev (3m)12.5%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-24%
EPS NY rev (1m)0%
EPS NY rev (3m)-11.31%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)5.05%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.8 | ||
| Fwd PE | 5.04 | ||
| P/S | 0.31 | ||
| P/FCF | 3.41 | ||
| P/OCF | 3.19 | ||
| P/B | 0.94 | ||
| P/tB | 0.95 | ||
| EV/EBITDA | 3.73 |
EPS(TTM)0.75
EY5.95%
EPS(NY)2.5
Fwd EY19.83%
FCF(TTM)3.69
FCFY29.31%
OCF(TTM)3.95
OCFY31.31%
SpS40.09
BVpS13.44
TBVpS13.25
PEG (NY)0.07
PEG (5Y)N/A
Graham Number15.06
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.17% | ||
| ROE | 0.64% | ||
| ROCE | 10.27% | ||
| ROIC | 7.1% | ||
| ROICexc | 7.25% | ||
| ROICexgc | 7.29% | ||
| OM | 8.11% | ||
| PM (TTM) | 0.21% | ||
| GM | 20.44% | ||
| FCFM | 9.21% |
ROA(3y)-2.44%
ROA(5y)-0.81%
ROE(3y)-8.71%
ROE(5y)-3.33%
ROIC(3y)4.7%
ROIC(5y)4.19%
ROICexc(3y)4.79%
ROICexc(5y)4.28%
ROICexgc(3y)4.82%
ROICexgc(5y)4.32%
ROCE(3y)7.05%
ROCE(5y)6.31%
ROICexgc growth 3Y31%
ROICexgc growth 5Y6.33%
ROICexc growth 3Y31.18%
ROICexc growth 5Y6.58%
OM growth 3Y22.75%
OM growth 5Y3.57%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.86%
GM growth 5Y-1.67%
F-Score7
Asset Turnover0.8
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 1.85 | ||
| Debt/EBITDA | 1.79 | ||
| Cap/Depr | 48.37% | ||
| Cap/Sales | 0.63% | ||
| Interest Coverage | 1.33 | ||
| Cash Conversion | 104.54% | ||
| Profit Quality | 4312.07% | ||
| Current Ratio | 1.44 | ||
| Quick Ratio | 0.42 | ||
| Altman-Z | 1.44 |
F-Score7
WACC16.71%
ROIC/WACC0.43
Cap/Depr(3y)28.8%
Cap/Depr(5y)54.02%
Cap/Sales(3y)0.45%
Cap/Sales(5y)1.02%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)541.18%
EPS 3Y-37.6%
EPS 5Y-23.49%
EPS Q2Q%-45.16%
EPS Next Y253.44%
EPS Next 2Y141.07%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)5.53%
Revenue growth 3Y5.21%
Revenue growth 5Y7.17%
Sales Q2Q%6.38%
Revenue Next Year8.61%
Revenue Next 2Y6.73%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y53.97%
EBIT growth 3Y29.14%
EBIT growth 5Y11%
EBIT Next Year207.86%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y262.02%
FCF growth 3YN/A
FCF growth 5Y54.54%
OCF growth 1Y285.13%
OCF growth 3YN/A
OCF growth 5Y19.32%
MOTORCAR PARTS OF AMERICA IN / MPAA FAQ
What is the ChartMill fundamental rating of MOTORCAR PARTS OF AMERICA IN (MPAA) stock?
ChartMill assigns a fundamental rating of 4 / 10 to MPAA.
What is the valuation status for MPAA stock?
ChartMill assigns a valuation rating of 8 / 10 to MOTORCAR PARTS OF AMERICA IN (MPAA). This can be considered as Undervalued.
How profitable is MOTORCAR PARTS OF AMERICA IN (MPAA) stock?
MOTORCAR PARTS OF AMERICA IN (MPAA) has a profitability rating of 2 / 10.
What are the PE and PB ratios of MOTORCAR PARTS OF AMERICA IN (MPAA) stock?
The Price/Earnings (PE) ratio for MOTORCAR PARTS OF AMERICA IN (MPAA) is 16.8 and the Price/Book (PB) ratio is 0.94.
How financially healthy is MOTORCAR PARTS OF AMERICA IN?
The financial health rating of MOTORCAR PARTS OF AMERICA IN (MPAA) is 4 / 10.