MOTORCAR PARTS OF AMERICA IN (MPAA) Stock Fundamental Analysis
NASDAQ:MPAA - Nasdaq - US6200711009 - Common Stock - Currency: USD
We assign a fundamental rating of 3 out of 10 to MPAA. MPAA was compared to 81 industry peers in the Automobile Components industry. Both the profitability and financial health of MPAA have multiple concerns. MPAA may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
MPAA had positive earnings in the past year.
In the past year MPAA had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: MPAA reported negative net income in multiple 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 (-1.83%) than 79.01% of its industry peers.
MPAA's Return On Equity of -6.63% is on the low side compared to the rest of the industry. MPAA is outperformed by 80.25% of its industry peers.
MPAA has a Return On Invested Capital of 6.09%. This is in the lower half of the industry: MPAA underperforms 66.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for MPAA is significantly below the industry average of 8.98%.
The last Return On Invested Capital (6.09%) for MPAA is above the 3 year average (3.45%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.83% | ||
| ROE | -6.63% | ||
| ROIC | 6.09% |
ROA(3y)-1.52%
ROA(5y)-0.59%
ROE(3y)-5.41%
ROE(5y)-2.35%
ROIC(3y)3.45%
ROIC(5y)3.76%
1.3 Margins
MPAA's Operating Margin of 7.12% is on the low side compared to the rest of the industry. MPAA is outperformed by 62.96% of its industry peers.
MPAA's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 19.92%, MPAA is not doing good in the industry: 71.60% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of MPAA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.12% | ||
| PM (TTM) | N/A | ||
| GM | 19.92% |
OM growth 3Y2.34%
OM growth 5Y10.02%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.02%
GM growth 5Y-0.42%
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 increased compared to 1 year ago.
The number of shares outstanding for MPAA has been increased compared to 5 years ago.
MPAA has a better debt/assets ratio than last year.
2.2 Solvency
MPAA has an Altman-Z score of 1.37. This is a bad value and indicates that MPAA is not financially healthy and even has some risk of bankruptcy.
MPAA has a worse Altman-Z score (1.37) than 86.42% of its industry peers.
The Debt to FCF ratio of MPAA is 5.23, which is a neutral value as it means it would take MPAA, 5.23 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 5.23, MPAA is not doing good in the industry: 64.20% of the companies in the same industry are doing better.
MPAA has a Debt/Equity ratio of 0.49. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.49, MPAA is not doing good in the industry: 72.84% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 5.23 | ||
| Altman-Z | 1.37 |
ROIC/WACC0.33
WACC18.31%
2.3 Liquidity
A Current Ratio of 1.45 indicates that MPAA should not have too much problems paying its short term obligations.
MPAA has a Current ratio of 1.45. This is amonst the worse of the industry: MPAA underperforms 82.72% of its industry peers.
A Quick Ratio of 0.39 indicates that MPAA may have some problems paying its short term obligations.
With a Quick ratio value of 0.39, MPAA is not doing good in the industry: 96.30% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.45 | ||
| Quick Ratio | 0.39 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 125.00% over the past year.
MPAA shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -26.54% yearly.
Looking at the last year, MPAA shows a small growth in Revenue. The Revenue has grown by 4.27% in the last year.
MPAA shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.71% yearly.
EPS 1Y (TTM)125%
EPS 3Y-41.62%
EPS 5Y-26.54%
EPS Q2Q%229.63%
Revenue 1Y (TTM)4.27%
Revenue growth 3Y9.89%
Revenue growth 5Y8.71%
Sales Q2Q%8.33%
3.2 Future
The Earnings Per Share is expected to grow by 109.36% on average over the next years. This is a very strong growth
MPAA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.91% yearly.
EPS Next Y46.11%
EPS Next 2Y109.36%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year3.88%
Revenue Next 2Y4.91%
Revenue Next 3YN/A
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
MPAA is valuated rather expensively with a Price/Earnings ratio of 21.44.
Based on the Price/Earnings ratio, MPAA is valued a bit more expensive than the industry average as 65.43% of the companies are valued more cheaply.
MPAA's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.18.
MPAA is valuated cheaply with a Price/Forward Earnings ratio of 5.95.
MPAA's Price/Forward Earnings ratio is rather cheap when compared to the industry. MPAA is cheaper than 81.48% of the companies in the same industry.
MPAA is valuated cheaply when we compare the Price/Forward Earnings ratio to 20.81, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.44 | ||
| Fwd PE | 5.95 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MPAA indicates a rather cheap valuation: MPAA is cheaper than 81.48% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, MPAA is valued a bit cheaper than the industry average as 70.37% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.61 | ||
| EV/EBITDA | 3.21 |
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.
MPAA's earnings are expected to grow with 109.36% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.47
PEG (5Y)N/A
EPS Next 2Y109.36%
EPS Next 3YN/A
5. Dividend
5.1 Amount
MPAA does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:MPAA (5/5/2025, 3:30:25 PM)
9.65
+0.15 (+1.58%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners80.5%
Inst Owner Change-3.26%
Ins Owners5.67%
Ins Owner Change5.84%
Market Cap188.95M
Analysts82.86
Price Target14.28 (47.98%)
Short Float %2.92%
Short Ratio4.05
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)1
Avg EPS beat(2)24.32%
Min EPS beat(2)-20.2%
Max EPS beat(2)68.85%
EPS beat(4)1
Avg EPS beat(4)-135%
Min EPS beat(4)-562.18%
Max EPS beat(4)68.85%
EPS beat(8)2
Avg EPS beat(8)-121.95%
EPS beat(12)3
Avg EPS beat(12)-95.61%
EPS beat(16)7
Avg EPS beat(16)-59.82%
Revenue beat(2)1
Avg Revenue beat(2)0.75%
Min Revenue beat(2)-0.19%
Max Revenue beat(2)1.69%
Revenue beat(4)1
Avg Revenue beat(4)-2.1%
Min Revenue beat(4)-6.46%
Max Revenue beat(4)1.69%
Revenue beat(8)3
Avg Revenue beat(8)-2.48%
Revenue beat(12)5
Avg Revenue beat(12)-1.67%
Revenue beat(16)9
Avg Revenue beat(16)2.64%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-57.45%
EPS NY rev (1m)0%
EPS NY rev (3m)-40.45%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.4%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.44 | ||
| Fwd PE | 5.95 | ||
| P/S | 0.25 | ||
| P/FCF | 7.61 | ||
| P/OCF | 6.97 | ||
| P/B | 0.72 | ||
| P/tB | 0.73 | ||
| EV/EBITDA | 3.21 |
EPS(TTM)0.45
EY4.66%
EPS(NY)1.62
Fwd EY16.81%
FCF(TTM)1.27
FCFY13.15%
OCF(TTM)1.38
OCFY14.34%
SpS38.49
BVpS13.42
TBVpS13.22
PEG (NY)0.47
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.83% | ||
| ROE | -6.63% | ||
| ROCE | 8.93% | ||
| ROIC | 6.09% | ||
| ROICexc | 6.21% | ||
| ROICexgc | 6.24% | ||
| OM | 7.12% | ||
| PM (TTM) | N/A | ||
| GM | 19.92% | ||
| FCFM | 3.3% |
ROA(3y)-1.52%
ROA(5y)-0.59%
ROE(3y)-5.41%
ROE(5y)-2.35%
ROIC(3y)3.45%
ROIC(5y)3.76%
ROICexc(3y)3.53%
ROICexc(5y)3.91%
ROICexgc(3y)3.56%
ROICexgc(5y)3.96%
ROCE(3y)5.36%
ROCE(5y)5.89%
ROICexcg growth 3Y4.87%
ROICexcg growth 5Y8.45%
ROICexc growth 3Y5.17%
ROICexc growth 5Y8.88%
OM growth 3Y2.34%
OM growth 5Y10.02%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.02%
GM growth 5Y-0.42%
F-Score7
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 5.23 | ||
| Debt/EBITDA | 2 | ||
| Cap/Depr | 21.19% | ||
| Cap/Sales | 0.3% | ||
| Interest Coverage | 1.06 | ||
| Cash Conversion | 42.13% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.45 | ||
| Quick Ratio | 0.39 | ||
| Altman-Z | 1.37 |
F-Score7
WACC18.31%
ROIC/WACC0.33
Cap/Depr(3y)33.65%
Cap/Depr(5y)74.84%
Cap/Sales(3y)0.64%
Cap/Sales(5y)1.43%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)125%
EPS 3Y-41.62%
EPS 5Y-26.54%
EPS Q2Q%229.63%
EPS Next Y46.11%
EPS Next 2Y109.36%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)4.27%
Revenue growth 3Y9.89%
Revenue growth 5Y8.71%
Sales Q2Q%8.33%
Revenue Next Year3.88%
Revenue Next 2Y4.91%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y11.18%
EBIT growth 3Y12.47%
EBIT growth 5Y19.6%
EBIT Next Year81.8%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y149.51%
FCF growth 3Y-3.25%
FCF growth 5YN/A
OCF growth 1Y161.41%
OCF growth 3Y-11.28%
OCF growth 5YN/A