75.07 USD
+1.56 (+2.12%)
75.07 USD
0 (0%)
Taking everything into account, MRCY scores 4 out of 10 in our fundamental rating. MRCY was compared to 71 industry peers in the Aerospace & Defense industry. MRCY scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. MRCY is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year MRCY was profitable.
In the past year MRCY had a positive cash flow from operations.
In multiple years MRCY reported negative net income over the last 5 years.
In multiple years MRCY reported negative operating cash flow during the last 5 years.
1.2 Ratios
MRCY's Return On Assets of -1.34% is on the low side compared to the rest of the industry. MRCY is outperformed by 64.79% of its industry peers.
MRCY has a Return On Equity of -2.23%. This is in the lower half of the industry: MRCY underperforms 60.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.34% | ||
| ROE | -2.23% | ||
| ROIC | N/A |
ROA(3y)-2.84%
ROA(5y)-0.97%
ROE(3y)-4.57%
ROE(5y)-1.76%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
MRCY's Gross Margin of 28.47% is fine compared to the rest of the industry. MRCY outperforms 64.79% of its industry peers.
In the last couple of years the Gross Margin of MRCY has declined.
MRCY does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 28.47% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-11.29%
GM growth 5Y-9.03%
2. Health
2.1 Basic Checks
MRCY does not have a ROIC to compare to the WACC, probably because it is not profitable.
MRCY has more shares outstanding than it did 1 year ago.
The number of shares outstanding for MRCY has been increased compared to 5 years ago.
Compared to 1 year ago, MRCY has an improved debt to assets ratio.
2.2 Solvency
MRCY has an Altman-Z score of 3.54. This indicates that MRCY is financially healthy and has little risk of bankruptcy at the moment.
With a Altman-Z score value of 3.54, MRCY perfoms like the industry average, outperforming 46.48% of the companies in the same industry.
The Debt to FCF ratio of MRCY is 4.36, which is a neutral value as it means it would take MRCY, 4.36 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.36, MRCY is in the better half of the industry, outperforming 77.46% of the companies in the same industry.
A Debt/Equity ratio of 0.40 indicates that MRCY is not too dependend on debt financing.
MRCY has a Debt to Equity ratio (0.40) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 4.36 | ||
| Altman-Z | 3.54 |
ROIC/WACCN/A
WACC9.64%
2.3 Liquidity
MRCY has a Current Ratio of 3.37. This indicates that MRCY is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 3.37, MRCY is in the better half of the industry, outperforming 67.61% of the companies in the same industry.
A Quick Ratio of 2.31 indicates that MRCY has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 2.31, MRCY is in the better half of the industry, outperforming 66.20% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.37 | ||
| Quick Ratio | 2.31 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 309.76% over the past year.
The earnings per share for MRCY have been decreasing by -22.57% on average. This is quite bad
MRCY shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.63%.
The Revenue has been growing slightly by 2.74% on average over the past years.
EPS 1Y (TTM)309.76%
EPS 3Y-33.54%
EPS 5Y-22.57%
EPS Q2Q%550%
Revenue 1Y (TTM)8.63%
Revenue growth 3Y-2.64%
Revenue growth 5Y2.74%
Sales Q2Q%10.16%
3.2 Future
The Earnings Per Share is expected to grow by 48.29% on average over the next years. This is a very strong growth
Based on estimates for the next years, MRCY will show a quite strong growth in Revenue. The Revenue will grow by 8.70% on average per year.
EPS Next Y62.03%
EPS Next 2Y54.75%
EPS Next 3Y48.29%
EPS Next 5YN/A
Revenue Next Year7.88%
Revenue Next 2Y8.26%
Revenue Next 3Y8.7%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 87.29, the valuation of MRCY can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of MRCY is on the same level as its industry peers.
When comparing the Price/Earnings ratio of MRCY to the average of the S&P500 Index (26.50), we can say MRCY is valued expensively.
Based on the Price/Forward Earnings ratio of 48.98, the valuation of MRCY can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MRCY is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 23.93. MRCY is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 87.29 | ||
| Fwd PE | 48.98 |
4.2 Price Multiples
60.56% of the companies in the same industry are cheaper than MRCY, based on the Enterprise Value to EBITDA ratio.
81.69% of the companies in the same industry are more expensive than MRCY, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.28 | ||
| EV/EBITDA | 63.72 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
MRCY's earnings are expected to grow with 48.29% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.41
PEG (5Y)N/A
EPS Next 2Y54.75%
EPS Next 3Y48.29%
5. Dividend
5.1 Amount
No dividends for MRCY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
75.07
+1.56 (+2.12%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners109.75%
Inst Owner Change-1.66%
Ins Owners1.67%
Ins Owner Change1.28%
Market Cap4.51B
Revenue(TTM)932.80M
Net Income(TTM)-32.89M
Analysts80
Price Target87.72 (16.85%)
Short Float %8.26%
Short Ratio7.93
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)2
Avg EPS beat(2)148.66%
Min EPS beat(2)104.79%
Max EPS beat(2)192.52%
EPS beat(4)3
Avg EPS beat(4)133.08%
Min EPS beat(4)-26.47%
Max EPS beat(4)261.48%
EPS beat(8)5
Avg EPS beat(8)260.54%
EPS beat(12)6
Avg EPS beat(12)146.22%
EPS beat(16)7
Avg EPS beat(16)108.25%
Revenue beat(2)2
Avg Revenue beat(2)7.81%
Min Revenue beat(2)6.52%
Max Revenue beat(2)9.11%
Revenue beat(4)4
Avg Revenue beat(4)9.25%
Min Revenue beat(4)1.44%
Max Revenue beat(4)19.92%
Revenue beat(8)6
Avg Revenue beat(8)4.8%
Revenue beat(12)7
Avg Revenue beat(12)0.51%
Revenue beat(16)8
Avg Revenue beat(16)-0.17%
PT rev (1m)3.61%
PT rev (3m)32.31%
EPS NQ rev (1m)-16.66%
EPS NQ rev (3m)-59.42%
EPS NY rev (1m)5.35%
EPS NY rev (3m)2.69%
Revenue NQ rev (1m)-2.09%
Revenue NQ rev (3m)-6.29%
Revenue NY rev (1m)0.28%
Revenue NY rev (3m)0.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 87.29 | ||
| Fwd PE | 48.98 | ||
| P/S | 4.84 | ||
| P/FCF | 33.28 | ||
| P/OCF | 28.98 | ||
| P/B | 3.06 | ||
| P/tB | 13.41 | ||
| EV/EBITDA | 63.72 |
EPS(TTM)0.86
EY1.15%
EPS(NY)1.53
Fwd EY2.04%
FCF(TTM)2.26
FCFY3.01%
OCF(TTM)2.59
OCFY3.45%
SpS15.52
BVpS24.54
TBVpS5.6
PEG (NY)1.41
PEG (5Y)N/A
Graham Number21.79
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.34% | ||
| ROE | -2.23% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 28.47% | ||
| FCFM | 14.53% |
ROA(3y)-2.84%
ROA(5y)-0.97%
ROE(3y)-4.57%
ROE(5y)-1.76%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-11.29%
GM growth 5Y-9.03%
F-Score6
Asset Turnover0.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 4.36 | ||
| Debt/EBITDA | 8.01 | ||
| Cap/Depr | 25.23% | ||
| Cap/Sales | 2.16% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 210.86% | ||
| Profit Quality | N/A | ||
| Current Ratio | 3.37 | ||
| Quick Ratio | 2.31 | ||
| Altman-Z | 3.54 |
F-Score6
WACC9.64%
ROIC/WACCN/A
Cap/Depr(3y)34.32%
Cap/Depr(5y)40.12%
Cap/Sales(3y)3.42%
Cap/Sales(5y)3.6%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)309.76%
EPS 3Y-33.54%
EPS 5Y-22.57%
EPS Q2Q%550%
EPS Next Y62.03%
EPS Next 2Y54.75%
EPS Next 3Y48.29%
EPS Next 5YN/A
Revenue 1Y (TTM)8.63%
Revenue growth 3Y-2.64%
Revenue growth 5Y2.74%
Sales Q2Q%10.16%
Revenue Next Year7.88%
Revenue Next 2Y8.26%
Revenue Next 3Y8.7%
Revenue Next 5YN/A
EBIT growth 1Y94.19%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year435.23%
EBIT Next 3Y95.28%
EBIT Next 5YN/A
FCF growth 1Y499.94%
FCF growth 3YN/A
FCF growth 5Y10.61%
OCF growth 1Y2680.23%
OCF growth 3YN/A
OCF growth 5Y3.81%
MERCURY SYSTEMS INC / MRCY FAQ
What is the fundamental rating for MRCY stock?
ChartMill assigns a fundamental rating of 4 / 10 to MRCY.
Can you provide the valuation status for MERCURY SYSTEMS INC?
ChartMill assigns a valuation rating of 3 / 10 to MERCURY SYSTEMS INC (MRCY). This can be considered as Overvalued.
What is the profitability of MRCY stock?
MERCURY SYSTEMS INC (MRCY) has a profitability rating of 2 / 10.
How financially healthy is MERCURY SYSTEMS INC?
The financial health rating of MERCURY SYSTEMS INC (MRCY) is 6 / 10.