MOTORCAR PARTS OF AMERICA IN (MPAA) Stock Fundamental Analysis
USA - NASDAQ:MPAA - US6200711009 - Common Stock
16.43 USD
+0.44 (+2.75%)
16.43 USD
0 (0%)
Taking everything into account, MPAA scores 4 out of 10 in our fundamental rating. MPAA was compared to 81 industry peers in the Automobile Components industry. MPAA scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. MPAA scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
MPAA had positive earnings in the past year.
MPAA had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: MPAA reported negative net income in multiple years.
In multiple years MPAA reported negative operating cash flow during the last 5 years.
1.2 Ratios
MPAA's Return On Assets of 0.17% is on the low side compared to the rest of the industry. MPAA is outperformed by 74.07% of its industry peers.
MPAA's Return On Equity of 0.64% is on the low side compared to the rest of the industry. MPAA is outperformed by 71.60% of its industry peers.
MPAA has a worse Return On Invested Capital (7.10%) than 65.43% of its industry peers.
The Average Return On Invested Capital over the past 3 years for MPAA is below the industry average of 8.51%.
The 3 year average ROIC (4.70%) for MPAA is below the current ROIC(7.10%), indicating increased profibility in the last year.
| 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
The Profit Margin of MPAA (0.21%) is worse than 74.07% of its industry peers.
Looking at the Operating Margin, with a value of 8.11%, MPAA is doing worse than 60.49% of the companies in the same industry.
In the last couple of years the Operating Margin of MPAA has grown nicely.
The Gross Margin of MPAA (20.44%) is worse than 70.37% 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
MPAA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
MPAA has less shares outstanding than it did 1 year ago.
The number of shares outstanding for MPAA has been increased compared to 5 years ago.
Compared to 1 year ago, MPAA has an improved debt to assets ratio.
2.2 Solvency
MPAA has an Altman-Z score of 1.50. This is a bad value and indicates that MPAA is not financially healthy and even has some risk of bankruptcy.
MPAA has a Altman-Z score of 1.50. This is amonst the worse of the industry: MPAA underperforms 82.72% of its industry peers.
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.
MPAA's Debt to FCF ratio of 1.85 is amongst the best of the industry. MPAA outperforms 93.83% of its industry peers.
MPAA has a Debt/Equity ratio of 0.50. This is a neutral value indicating MPAA is somewhat dependend on debt financing.
MPAA has a worse Debt to Equity ratio (0.50) than 70.37% of its industry peers.
Although MPAA does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 1.85 | ||
| Altman-Z | 1.5 |
ROIC/WACC0.43
WACC16.39%
2.3 Liquidity
MPAA has a Current Ratio of 1.44. This is a normal value and indicates that MPAA is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of MPAA (1.44) is worse than 81.48% of its industry peers.
A Quick Ratio of 0.42 indicates that MPAA may have some problems paying its short term obligations.
MPAA has a Quick ratio of 0.42. This is amonst the worse of the industry: MPAA underperforms 95.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.44 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
MPAA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 1603281467343896320.00%, which is quite impressive.
MPAA shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -23.49% yearly.
MPAA shows a small growth in Revenue. In the last year, the Revenue has grown by 6.60%.
Measured over the past years, MPAA shows a small growth in Revenue. The Revenue has been growing by 7.17% on average per year.
EPS 1Y (TTM)1603281467343896300%
EPS 3Y-37.6%
EPS 5Y-23.49%
EPS Q2Q%139.39%
Revenue 1Y (TTM)6.6%
Revenue growth 3Y5.21%
Revenue growth 5Y7.17%
Sales Q2Q%10.88%
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.
The Revenue is expected to grow by 6.73% on average over the next years.
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 rather expensively with a Price/Earnings ratio of 18.46.
The rest of the industry has a similar Price/Earnings ratio as MPAA.
The average S&P500 Price/Earnings ratio is at 27.86. MPAA is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 6.57, the valuation of MPAA can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MPAA indicates a rather cheap valuation: MPAA is cheaper than 80.25% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.32, MPAA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.46 | ||
| Fwd PE | 6.57 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MPAA is valued a bit cheaper than the industry average as 75.31% of the companies are valued more expensively.
MPAA's Price/Free Cash Flow ratio is rather cheap when compared to the industry. MPAA is cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.45 | ||
| EV/EBITDA | 4.63 |
4.3 Compensation for Growth
MPAA's 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 |
16.43
+0.44 (+2.75%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners88.61%
Inst Owner Change14.28%
Ins Owners6.88%
Ins Owner Change11.19%
Market Cap317.92M
Analysts82.86
Price Target18.36 (11.75%)
Short Float %5.37%
Short Ratio5.33
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)-6.29%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-5.75%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.46 | ||
| Fwd PE | 6.57 | ||
| P/S | 0.41 | ||
| P/FCF | 4.45 | ||
| P/OCF | 4.16 | ||
| P/B | 1.22 | ||
| P/tB | 1.24 | ||
| EV/EBITDA | 4.63 |
EPS(TTM)0.89
EY5.42%
EPS(NY)2.5
Fwd EY15.21%
FCF(TTM)3.69
FCFY22.47%
OCF(TTM)3.95
OCFY24.01%
SpS40.09
BVpS13.44
TBVpS13.25
PEG (NY)0.07
PEG (5Y)N/A
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%
ROICexcg growth 3Y31%
ROICexcg 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 | 1.5 |
F-Score7
WACC16.39%
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)1603281467343896300%
EPS 3Y-37.6%
EPS 5Y-23.49%
EPS Q2Q%139.39%
EPS Next Y253.44%
EPS Next 2Y141.07%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)6.6%
Revenue growth 3Y5.21%
Revenue growth 5Y7.17%
Sales Q2Q%10.88%
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%