MELCOR DEVELOPMENTS LTD (MRD.CA) Stock Fundamental Analysis
TSX:MRD - Toronto Stock Exchange - CA5854671032 - Common Stock - Currency: CAD
Overall MRD gets a fundamental rating of 5 out of 10. We evaluated MRD against 29 industry peers in the Real Estate Management & Development industry. MRD has an excellent financial health rating, but there are some minor concerns on its profitability. MRD has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year MRD was profitable.
MRD had a positive operating cash flow in the past year.
In the past 5 years MRD has always been profitable.
MRD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
MRD's Return On Assets of 1.26% is in line compared to the rest of the industry. MRD outperforms 58.62% of its industry peers.
MRD has a Return On Equity (2.07%) which is comparable to the rest of the industry.
The Return On Invested Capital of MRD (4.50%) is better than 68.97% of its industry peers.
The Average Return On Invested Capital over the past 3 years for MRD is below the industry average of 7.90%.
The 3 year average ROIC (3.82%) for MRD is below the current ROIC(4.50%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.26% | ||
| ROE | 2.07% | ||
| ROIC | 4.5% |
ROA(3y)2.91%
ROA(5y)2.39%
ROE(3y)5.16%
ROE(5y)4.32%
ROIC(3y)3.82%
ROIC(5y)3.63%
1.3 Margins
The Profit Margin of MRD (7.35%) is better than 62.07% of its industry peers.
MRD's Profit Margin has declined in the last couple of years.
MRD's Operating Margin of 35.28% is fine compared to the rest of the industry. MRD outperforms 72.41% of its industry peers.
MRD's Operating Margin has improved in the last couple of years.
MRD has a Gross Margin (45.96%) which is comparable to the rest of the industry.
MRD's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 35.28% | ||
| PM (TTM) | 7.35% | ||
| GM | 45.96% |
OM growth 3Y0.63%
OM growth 5Y5.89%
PM growth 3Y-18.68%
PM growth 5Y-11.95%
GM growth 3Y0.48%
GM growth 5Y-0.66%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MRD is destroying value.
The number of shares outstanding for MRD has been reduced compared to 1 year ago.
MRD has less shares outstanding than it did 5 years ago.
The debt/assets ratio for MRD has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.56, we must say that MRD is in the distress zone and has some risk of bankruptcy.
MRD has a Altman-Z score (1.56) which is comparable to the rest of the industry.
MRD has a debt to FCF ratio of 4.99. This is a neutral value as MRD would need 4.99 years to pay back of all of its debts.
MRD has a Debt to FCF ratio of 4.99. This is amongst the best in the industry. MRD outperforms 86.21% of its industry peers.
MRD has a Debt/Equity ratio of 0.44. This is a healthy value indicating a solid balance between debt and equity.
MRD's Debt to Equity ratio of 0.44 is fine compared to the rest of the industry. MRD outperforms 72.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 4.99 | ||
| Altman-Z | 1.56 |
ROIC/WACC0.68
WACC6.59%
2.3 Liquidity
A Current Ratio of 3.81 indicates that MRD has no problem at all paying its short term obligations.
MRD has a better Current ratio (3.81) than 86.21% of its industry peers.
A Quick Ratio of 3.81 indicates that MRD has no problem at all paying its short term obligations.
With an excellent Quick ratio value of 3.81, MRD belongs to the best of the industry, outperforming 86.21% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.81 | ||
| Quick Ratio | 3.81 |
3. Growth
3.1 Past
The earnings per share for MRD have decreased strongly by -66.36% in the last year.
Measured over the past years, MRD shows a decrease in Earnings Per Share. The EPS has been decreasing by -0.67% on average per year.
Looking at the last year, MRD shows a small growth in Revenue. The Revenue has grown by 6.57% in the last year.
The Revenue has been growing by 10.94% on average over the past years. This is quite good.
EPS 1Y (TTM)-66.36%
EPS 3Y-13.69%
EPS 5Y-0.67%
EPS Q2Q%-61.9%
Revenue 1Y (TTM)6.57%
Revenue growth 3Y3.46%
Revenue growth 5Y10.94%
Sales Q2Q%2%
3.2 Future
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next Y-5.24%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-3.26%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 17.86, which indicates a rather expensive current valuation of MRD.
Based on the Price/Earnings ratio, MRD is valued a bit cheaper than the industry average as 72.41% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of MRD to the average of the S&P500 Index (26.41), we can say MRD is valued slightly cheaper.
A Price/Forward Earnings ratio of 7.11 indicates a rather cheap valuation of MRD.
MRD's Price/Forward Earnings ratio is rather cheap when compared to the industry. MRD is cheaper than 96.55% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 33.87, MRD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.86 | ||
| Fwd PE | 7.11 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MRD indicates a rather cheap valuation: MRD is cheaper than 96.55% of the companies listed in the same industry.
MRD's Price/Free Cash Flow ratio is rather cheap when compared to the industry. MRD is cheaper than 96.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.94 | ||
| EV/EBITDA | 7.33 |
4.3 Compensation for Growth
MRD has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
MRD has a Yearly Dividend Yield of 3.13%.
MRD's Dividend Yield is a higher than the industry average which is at 3.41.
Compared to an average S&P500 Dividend Yield of 2.39, MRD pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.13% |
5.2 History
The dividend of MRD decreases each year by -2.57%.
MRD has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-2.57%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
MRD pays out 51.91% of its income as dividend. This is a bit on the high side, but may be sustainable.
The Dividend Rate of MRD has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP51.91%
EPS Next 2YN/A
EPS Next 3YN/A
TSX:MRD (8/11/2025, 7:00:00 PM)
14.29
+0.09 (+0.63%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners8.77%
Inst Owner ChangeN/A
Ins Owners14.05%
Ins Owner ChangeN/A
Market Cap431.42M
Analysts45.71
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.13% |
Yearly Dividend0.44
Dividend Growth(5Y)-2.57%
DP51.91%
Div Incr Years0
Div Non Decr Years0
Ex-Date
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 | 17.86 | ||
| Fwd PE | 7.11 | ||
| P/S | 1.23 | ||
| P/FCF | 3.94 | ||
| P/OCF | 3.37 | ||
| P/B | 0.35 | ||
| P/tB | 0.35 | ||
| EV/EBITDA | 7.33 |
EPS(TTM)0.8
EY5.6%
EPS(NY)2.01
Fwd EY14.07%
FCF(TTM)3.63
FCFY25.37%
OCF(TTM)4.24
OCFY29.67%
SpS11.61
BVpS41.19
TBVpS41.19
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.26% | ||
| ROE | 2.07% | ||
| ROCE | 6.24% | ||
| ROIC | 4.5% | ||
| ROICexc | 4.64% | ||
| ROICexgc | 4.79% | ||
| OM | 35.28% | ||
| PM (TTM) | 7.35% | ||
| GM | 45.96% | ||
| FCFM | 31.23% |
ROA(3y)2.91%
ROA(5y)2.39%
ROE(3y)5.16%
ROE(5y)4.32%
ROIC(3y)3.82%
ROIC(5y)3.63%
ROICexc(3y)3.93%
ROICexc(5y)3.72%
ROICexgc(3y)4.06%
ROICexgc(5y)3.84%
ROCE(3y)5.31%
ROCE(5y)5.03%
ROICexcg growth 3Y4.23%
ROICexcg growth 5Y17.72%
ROICexc growth 3Y4.16%
ROICexc growth 5Y17.7%
OM growth 3Y0.63%
OM growth 5Y5.89%
PM growth 3Y-18.68%
PM growth 5Y-11.95%
GM growth 3Y0.48%
GM growth 5Y-0.66%
F-Score7
Asset Turnover0.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 4.99 | ||
| Debt/EBITDA | 4.37 | ||
| Cap/Depr | 1515.14% | ||
| Cap/Sales | 5.28% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 102.48% | ||
| Profit Quality | 425.01% | ||
| Current Ratio | 3.81 | ||
| Quick Ratio | 3.81 | ||
| Altman-Z | 1.56 |
F-Score7
WACC6.59%
ROIC/WACC0.68
Cap/Depr(3y)1460.36%
Cap/Depr(5y)1587.21%
Cap/Sales(3y)6.3%
Cap/Sales(5y)7.47%
Profit Quality(3y)95.67%
Profit Quality(5y)124.25%
High Growth Momentum
Growth
EPS 1Y (TTM)-66.36%
EPS 3Y-13.69%
EPS 5Y-0.67%
EPS Q2Q%-61.9%
EPS Next Y-5.24%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)6.57%
Revenue growth 3Y3.46%
Revenue growth 5Y10.94%
Sales Q2Q%2%
Revenue Next Year-3.26%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y3.75%
EBIT growth 3Y4.12%
EBIT growth 5Y17.48%
EBIT Next Year-3.66%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y1768.67%
FCF growth 3Y18.66%
FCF growth 5Y52.08%
OCF growth 1Y941.33%
OCF growth 3Y10.64%
OCF growth 5Y25.86%