MORGUARD CORP (MRC.CA) Stock Fundamental Analysis
Canada • Toronto Stock Exchange • TSX:MRC • CA6175771014
118.78 CAD
-0.22 (-0.18%)
Last: Jan 29, 2026, 07:00 PM
We assign a fundamental rating of 4 out of 10 to MRC. MRC was compared to 32 industry peers in the Real Estate Management & Development industry. While MRC is still in line with the averages on profitability rating, there are concerns on its financial health. MRC is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- MRC had positive earnings in the past year.
- In the past year MRC had a positive cash flow from operations.
- Of the past 5 years MRC 4 years were profitable.
- MRC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- With a Return On Assets value of 1.91%, MRC perfoms like the industry average, outperforming 53.13% of the companies in the same industry.
- MRC has a Return On Equity (5.17%) which is comparable to the rest of the industry.
- With a decent Return On Invested Capital value of 3.73%, MRC is doing good in the industry, outperforming 62.50% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for MRC is significantly below the industry average of 10.66%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.91% | ||
| ROE | 5.17% | ||
| ROIC | 3.73% |
ROA(3y)1.3%
ROA(5y)0.95%
ROE(3y)3.73%
ROE(5y)2.73%
ROIC(3y)4.01%
ROIC(5y)3.86%
1.3 Margins
- MRC has a Profit Margin of 20.07%. This is in the better half of the industry: MRC outperforms 71.88% of its industry peers.
- MRC's Profit Margin has improved in the last couple of years.
- MRC has a Operating Margin of 46.97%. This is amongst the best in the industry. MRC outperforms 81.25% of its industry peers.
- In the last couple of years the Operating Margin of MRC has remained more or less at the same level.
- MRC has a Gross Margin of 61.03%. This is in the better half of the industry: MRC outperforms 65.63% of its industry peers.
- In the last couple of years the Gross Margin of MRC has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 46.97% | ||
| PM (TTM) | 20.07% | ||
| GM | 61.03% |
OM growth 3Y1.2%
OM growth 5Y1.04%
PM growth 3Y-0.95%
PM growth 5Y3.76%
GM growth 3Y1.4%
GM growth 5Y-3.61%
2. Health
2.1 Basic Checks
- The number of shares outstanding for MRC has been reduced compared to 1 year ago.
- MRC has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for MRC has been reduced compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 0.70, we must say that MRC is in the distress zone and has some risk of bankruptcy.
- MRC has a Altman-Z score of 0.70. This is in the lower half of the industry: MRC underperforms 65.63% of its industry peers.
- The Debt to FCF ratio of MRC is 24.40, which is on the high side as it means it would take MRC, 24.40 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 24.40, MRC is in line with its industry, outperforming 56.25% of the companies in the same industry.
- MRC has a Debt/Equity ratio of 1.16. This is a high value indicating a heavy dependency on external financing.
- MRC has a worse Debt to Equity ratio (1.16) than 65.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.16 | ||
| Debt/FCF | 24.4 | ||
| Altman-Z | 0.7 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
- MRC has a Current Ratio of 0.24. This is a bad value and indicates that MRC is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Current ratio value of 0.24, MRC is not doing good in the industry: 68.75% of the companies in the same industry are doing better.
- MRC has a Quick Ratio of 0.24. This is a bad value and indicates that MRC is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Quick ratio value of 0.24, MRC is not doing good in the industry: 68.75% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.24 | ||
| Quick Ratio | 0.24 |
3. Growth
3.1 Past
- MRC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.27%, which is quite good.
- The Earnings Per Share has been growing slightly by 3.52% on average over the past years.
- Looking at the last year, MRC shows a decrease in Revenue. The Revenue has decreased by -1.66% in the last year.
- MRC shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.13% yearly.
EPS 1Y (TTM)15.27%
EPS 3Y2.5%
EPS 5Y3.52%
EPS Q2Q%7571.37%
Revenue 1Y (TTM)-1.66%
Revenue growth 3Y2.56%
Revenue growth 5Y-1.13%
Sales Q2Q%0.49%
3.2 Future
- MRC is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -7.15% yearly.
- MRC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.68% yearly.
EPS Next Y-18.86%
EPS Next 2Y-14.65%
EPS Next 3Y-7.15%
EPS Next 5YN/A
Revenue Next Year0.81%
Revenue Next 2Y1.21%
Revenue Next 3Y1.68%
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 decreasing.
- 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
- A Price/Earnings ratio of 5.62 indicates a rather cheap valuation of MRC.
- 96.88% of the companies in the same industry are more expensive than MRC, based on the Price/Earnings ratio.
- MRC's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.39.
- Based on the Price/Forward Earnings ratio of 7.16, the valuation of MRC can be described as very cheap.
- MRC's Price/Forward Earnings ratio is rather cheap when compared to the industry. MRC is cheaper than 100.00% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.72, MRC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.62 | ||
| Fwd PE | 7.16 |
4.2 Price Multiples
- Based on the Price/Free Cash Flow ratio, MRC is valued cheaper than 93.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.24 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
- The decent profitability rating of MRC may justify a higher PE ratio.
- A cheap valuation may be justified as MRC's earnings are expected to decrease with -7.15% in the coming years.
PEG (NY)N/A
PEG (5Y)1.6
EPS Next 2Y-14.65%
EPS Next 3Y-7.15%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.67%, MRC is not a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 2.31, MRC has a dividend in line with its industry peers.
- With a Dividend Yield of 0.67, MRC pays less dividend than the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.67% |
5.2 History
- The dividend of MRC has a limited annual growth rate of 1.26%.
- MRC has paid a dividend for at least 10 years, which is a reliable track record.
- MRC has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)1.26%
Div Incr Years1
Div Non Decr Years21
5.3 Sustainability
- MRC pays out 3.76% of its income as dividend. This is a sustainable payout ratio.
DP3.76%
EPS Next 2Y-14.65%
EPS Next 3Y-7.15%
MORGUARD CORP / MRC.CA FAQ
What is the ChartMill fundamental rating of MORGUARD CORP (MRC.CA) stock?
ChartMill assigns a fundamental rating of 4 / 10 to MRC.CA.
What is the valuation status of MORGUARD CORP (MRC.CA) stock?
ChartMill assigns a valuation rating of 7 / 10 to MORGUARD CORP (MRC.CA). This can be considered as Undervalued.
Can you provide the profitability details for MORGUARD CORP?
MORGUARD CORP (MRC.CA) has a profitability rating of 6 / 10.
Can you provide the expected EPS growth for MRC stock?
The Earnings per Share (EPS) of MORGUARD CORP (MRC.CA) is expected to decline by -18.86% in the next year.
How sustainable is the dividend of MORGUARD CORP (MRC.CA) stock?
The dividend rating of MORGUARD CORP (MRC.CA) is 5 / 10 and the dividend payout ratio is 3.76%.