MELCOR REAL ESTATE INVESTMEN (MR-UN.CA) Stock Fundamental Analysis
TSX:MR-UN - Toronto Stock Exchange - CA58546R1091 - REIT - Currency: CAD
We assign a fundamental rating of 3 out of 10 to MR-UN. MR-UN was compared to 36 industry peers in the Diversified REITs industry. MR-UN has a bad profitability rating. Also its financial health evaluation is rather negative. MR-UN is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year MR-UN has reported negative net income.
In the past year MR-UN had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: MR-UN reported negative net income in multiple years.
Each year in the past 5 years MR-UN had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of -4.62%, MR-UN is not doing good in the industry: 71.05% of the companies in the same industry are doing better.
MR-UN has a worse Return On Equity (-18.19%) than 71.05% of its industry peers.
MR-UN has a Return On Invested Capital of 5.51%. This is amongst the best in the industry. MR-UN outperforms 92.11% of its industry peers.
The Average Return On Invested Capital over the past 3 years for MR-UN is in line with the industry average of 5.74%.
The 3 year average ROIC (4.96%) for MR-UN is below the current ROIC(5.51%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.62% | ||
| ROE | -18.19% | ||
| ROIC | 5.51% |
ROA(3y)0.59%
ROA(5y)0.07%
ROE(3y)1.88%
ROE(5y)-0.22%
ROIC(3y)4.96%
ROIC(5y)4.78%
1.3 Margins
The Operating Margin of MR-UN (47.88%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of MR-UN has declined.
MR-UN has a worse Gross Margin (57.06%) than 60.53% of its industry peers.
In the last couple of years the Gross Margin of MR-UN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 47.88% | ||
| PM (TTM) | N/A | ||
| GM | 57.06% |
OM growth 3Y-4.56%
OM growth 5Y-2.99%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.14%
GM growth 5Y-0.86%
2. Health
2.1 Basic Checks
The number of shares outstanding for MR-UN has been increased compared to 1 year ago.
MR-UN has less shares outstanding than it did 5 years ago.
MR-UN has about the same debt/assets ratio as last year.
2.2 Solvency
MR-UN has an Altman-Z score of 0.11. This is a bad value and indicates that MR-UN is not financially healthy and even has some risk of bankruptcy.
MR-UN has a Altman-Z score of 0.11. This is in the lower half of the industry: MR-UN underperforms 76.32% of its industry peers.
The Debt to FCF ratio of MR-UN is 24.71, which is on the high side as it means it would take MR-UN, 24.71 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 24.71, MR-UN is doing worse than 65.79% of the companies in the same industry.
A Debt/Equity ratio of 1.68 is on the high side and indicates that MR-UN has dependencies on debt financing.
MR-UN's Debt to Equity ratio of 1.68 is on the low side compared to the rest of the industry. MR-UN is outperformed by 81.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.68 | ||
| Debt/FCF | 24.71 | ||
| Altman-Z | 0.11 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.28 indicates that MR-UN may have some problems paying its short term obligations.
MR-UN's Current ratio of 0.28 is in line compared to the rest of the industry. MR-UN outperforms 52.63% of its industry peers.
MR-UN has a Quick Ratio of 0.28. This is a bad value and indicates that MR-UN is not financially healthy enough and could expect problems in meeting its short term obligations.
MR-UN's Quick ratio of 0.28 is in line compared to the rest of the industry. MR-UN outperforms 55.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.28 | ||
| Quick Ratio | 0.28 |
3. Growth
3.1 Past
The earnings per share for MR-UN have decreased strongly by -852.16% in the last year.
The Revenue has decreased by -2.12% in the past year.
Measured over the past years, MR-UN shows a small growth in Revenue. The Revenue has been growing by 0.33% on average per year.
EPS 1Y (TTM)-852.16%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-312.35%
Revenue 1Y (TTM)-2.12%
Revenue growth 3Y-0.8%
Revenue growth 5Y0.33%
Sales Q2Q%-2.08%
3.2 Future
Based on estimates for the next years, MR-UN will show a very strong growth in Earnings Per Share. The EPS will grow by 37.20% on average per year.
Based on estimates for the next years, MR-UN will show a small growth in Revenue. The Revenue will grow by 1.36% on average per year.
EPS Next Y91.18%
EPS Next 2Y37.2%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year1.37%
Revenue Next 2Y1.36%
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 MR-UN. In the last year negative earnings were reported.
The Price/Forward Earnings ratio is 8.20, which indicates a very decent valuation of MR-UN.
Based on the Price/Forward Earnings ratio, MR-UN is valued cheaply inside the industry as 94.74% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 37.64. MR-UN is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 8.2 |
4.2 Price Multiples
MR-UN's Price/Free Cash Flow ratio is rather cheap when compared to the industry. MR-UN is cheaper than 89.47% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.44 | ||
| EV/EBITDA | N/A |
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.
MR-UN's earnings are expected to grow with 37.20% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y37.2%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 10.00%, MR-UN is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 7.89, MR-UN pays a better dividend. On top of this MR-UN pays more dividend than 86.84% of the companies listed in the same industry.
MR-UN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10% |
5.2 History
The dividend of MR-UN decreases each year by -42.81%.
MR-UN has been paying a dividend for at least 10 years, so it has a reliable track record.
MR-UN has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-42.81%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
MR-UN has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-1.69%
EPS Next 2Y37.2%
EPS Next 3YN/A
TSX:MR-UN (4/24/2025, 7:00:00 PM)
5.49
-0.01 (-0.18%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners3.28%
Inst Owner ChangeN/A
Ins Owners1.58%
Ins Owner ChangeN/A
Market Cap71.15M
Analysts42.5
Price Target3.32 (-39.53%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10% |
Yearly Dividend0.04
Dividend Growth(5Y)-42.81%
DP-1.69%
Div Incr Years0
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 8.2 | ||
| P/S | 0.98 | ||
| P/FCF | 4.44 | ||
| P/OCF | 4.44 | ||
| P/B | 0.42 | ||
| P/tB | 0.42 | ||
| EV/EBITDA | N/A |
EPS(TTM)-3.49
EYN/A
EPS(NY)0.67
Fwd EY12.19%
FCF(TTM)1.24
FCFY22.5%
OCF(TTM)1.24
OCFY22.5%
SpS5.58
BVpS12.98
TBVpS12.98
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.62% | ||
| ROE | -18.19% | ||
| ROCE | 7.65% | ||
| ROIC | 5.51% | ||
| ROICexc | 5.62% | ||
| ROICexgc | 5.62% | ||
| OM | 47.88% | ||
| PM (TTM) | N/A | ||
| GM | 57.06% | ||
| FCFM | 22.13% |
ROA(3y)0.59%
ROA(5y)0.07%
ROE(3y)1.88%
ROE(5y)-0.22%
ROIC(3y)4.96%
ROIC(5y)4.78%
ROICexc(3y)5.01%
ROICexc(5y)4.82%
ROICexgc(3y)5.01%
ROICexgc(5y)4.82%
ROCE(3y)7.15%
ROCE(5y)6.81%
ROICexcg growth 3Y7.14%
ROICexcg growth 5Y7.14%
ROICexc growth 3Y7.14%
ROICexc growth 5Y7.14%
OM growth 3Y-4.56%
OM growth 5Y-2.99%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.14%
GM growth 5Y-0.86%
F-Score4
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.68 | ||
| Debt/FCF | 24.71 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.28 | ||
| Quick Ratio | 0.28 | ||
| Altman-Z | 0.11 |
F-Score4
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-852.16%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-312.35%
EPS Next Y91.18%
EPS Next 2Y37.2%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-2.12%
Revenue growth 3Y-0.8%
Revenue growth 5Y0.33%
Sales Q2Q%-2.08%
Revenue Next Year1.37%
Revenue Next 2Y1.36%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-12.41%
EBIT growth 3Y-5.32%
EBIT growth 5Y-2.67%
EBIT Next Year18.96%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y33.49%
FCF growth 3Y2.47%
FCF growth 5Y11.45%
OCF growth 1Y33.49%
OCF growth 3Y2.47%
OCF growth 5Y11.45%