METRO INC/CN (MRU.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:MRU - CA59162N1096 - Common Stock
99.85 CAD
-0.03 (-0.03%)
Overall MRU gets a fundamental rating of 5 out of 10. We evaluated MRU against 17 industry peers in the Consumer Staples Distribution & Retail industry. Both the profitability and the financial health of MRU get a neutral evaluation. Nothing too spectacular is happening here. While showing a medium growth rate, MRU is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year MRU was profitable.
MRU had a positive operating cash flow in the past year.
MRU had positive earnings in each of the past 5 years.
MRU had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
MRU has a Return On Assets of 6.99%. This is amongst the best in the industry. MRU outperforms 94.12% of its industry peers.
Looking at the Return On Equity, with a value of 14.47%, MRU is in line with its industry, outperforming 52.94% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 9.05%, MRU is in line with its industry, outperforming 47.06% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for MRU is in line with the industry average of 8.34%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.99% | ||
| ROE | 14.47% | ||
| ROIC | 9.05% |
ROA(3y)6.96%
ROA(5y)6.65%
ROE(3y)14.21%
ROE(5y)13.66%
ROIC(3y)9.08%
ROIC(5y)8.87%
1.3 Margins
The Profit Margin of MRU (4.62%) is better than 94.12% of its industry peers.
In the last couple of years the Profit Margin of MRU has remained more or less at the same level.
MRU's Operating Margin of 6.76% is in line compared to the rest of the industry. MRU outperforms 52.94% of its industry peers.
MRU's Operating Margin has been stable in the last couple of years.
MRU has a worse Gross Margin (19.86%) than 76.47% of its industry peers.
MRU's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.76% | ||
| PM (TTM) | 4.62% | ||
| GM | 19.86% |
OM growth 3Y-1.01%
OM growth 5Y-0.21%
PM growth 3Y1.05%
PM growth 5Y0.91%
GM growth 3Y-0.28%
GM growth 5Y-0.04%
2. Health
2.1 Basic Checks
MRU has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, MRU has less shares outstanding
Compared to 5 years ago, MRU has less shares outstanding
MRU has a worse debt/assets ratio than last year.
2.2 Solvency
MRU has an Altman-Z score of 4.14. This indicates that MRU is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of MRU (4.14) is better than 82.35% of its industry peers.
MRU has a debt to FCF ratio of 3.79. This is a good value and a sign of high solvency as MRU would need 3.79 years to pay back of all of its debts.
The Debt to FCF ratio of MRU (3.79) is better than 94.12% of its industry peers.
A Debt/Equity ratio of 0.61 indicates that MRU is somewhat dependend on debt financing.
MRU has a Debt to Equity ratio of 0.61. This is amongst the best in the industry. MRU outperforms 88.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 3.79 | ||
| Altman-Z | 4.14 |
ROIC/WACC1.3
WACC6.95%
2.3 Liquidity
A Current Ratio of 1.30 indicates that MRU should not have too much problems paying its short term obligations.
MRU's Current ratio of 1.30 is fine compared to the rest of the industry. MRU outperforms 64.71% of its industry peers.
MRU has a Quick Ratio of 1.30. This is a bad value and indicates that MRU is not financially healthy enough and could expect problems in meeting its short term obligations.
MRU's Quick ratio of 0.51 is on the low side compared to the rest of the industry. MRU is outperformed by 82.35% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.3 | ||
| Quick Ratio | 0.51 |
3. Growth
3.1 Past
MRU shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.93%, which is quite good.
The Earnings Per Share has been growing slightly by 7.78% on average over the past years.
The Revenue has been growing slightly by 3.71% in the past year.
Measured over the past years, MRU shows a small growth in Revenue. The Revenue has been growing by 4.10% on average per year.
EPS 1Y (TTM)10.93%
EPS 3Y7.87%
EPS 5Y7.78%
EPS Q2Q%10.78%
Revenue 1Y (TTM)3.71%
Revenue growth 3Y5.22%
Revenue growth 5Y4.1%
Sales Q2Q%3.45%
3.2 Future
Based on estimates for the next years, MRU will show a small growth in Earnings Per Share. The EPS will grow by 5.02% on average per year.
The Revenue is expected to grow by 3.79% on average over the next years.
EPS Next Y10.55%
EPS Next 2Y9.01%
EPS Next 3Y7.49%
EPS Next 5Y5.02%
Revenue Next Year3.48%
Revenue Next 2Y3.41%
Revenue Next 3Y3.17%
Revenue Next 5Y3.79%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
MRU is valuated rather expensively with a Price/Earnings ratio of 20.93.
Compared to the rest of the industry, the Price/Earnings ratio of MRU is on the same level as its industry peers.
When comparing the Price/Earnings ratio of MRU to the average of the S&P500 Index (26.46), we can say MRU is valued slightly cheaper.
MRU is valuated rather expensively with a Price/Forward Earnings ratio of 18.94.
MRU's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of MRU to the average of the S&P500 Index (36.10), we can say MRU is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.93 | ||
| Fwd PE | 18.94 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MRU is valued more expensive than 82.35% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as MRU.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.59 | ||
| EV/EBITDA | 12.44 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates MRU does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of MRU may justify a higher PE ratio.
PEG (NY)1.98
PEG (5Y)2.69
EPS Next 2Y9.01%
EPS Next 3Y7.49%
5. Dividend
5.1 Amount
MRU has a Yearly Dividend Yield of 1.48%.
Compared to an average industry Dividend Yield of 3.55, MRU has a dividend in line with its industry peers.
MRU's Dividend Yield is slightly below the S&P500 average, which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
5.2 History
The dividend of MRU is nicely growing with an annual growth rate of 10.60%!
MRU has paid a dividend for at least 10 years, which is a reliable track record.
MRU has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)10.6%
Div Incr Years26
Div Non Decr Years26
5.3 Sustainability
MRU pays out 31.15% of its income as dividend. This is a sustainable payout ratio.
MRU's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP31.15%
EPS Next 2Y9.01%
EPS Next 3Y7.49%
TSX:MRU (12/5/2025, 7:00:00 PM)
99.85
-0.03 (-0.03%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners46.04%
Inst Owner ChangeN/A
Ins Owners0.2%
Ins Owner ChangeN/A
Market Cap21.36B
Revenue(TTM)22.01B
Net Income(TTM)1.02B
Analysts70
Price Target108.53 (8.69%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
Yearly Dividend1.45
Dividend Growth(5Y)10.6%
DP31.15%
Div Incr Years26
Div Non Decr Years26
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.04%
Min EPS beat(2)-1.8%
Max EPS beat(2)1.71%
EPS beat(4)2
Avg EPS beat(4)-0.32%
Min EPS beat(4)-1.8%
Max EPS beat(4)1.71%
EPS beat(8)5
Avg EPS beat(8)0.47%
EPS beat(12)8
Avg EPS beat(12)0.13%
EPS beat(16)10
Avg EPS beat(16)-0.01%
Revenue beat(2)0
Avg Revenue beat(2)-1.44%
Min Revenue beat(2)-1.74%
Max Revenue beat(2)-1.13%
Revenue beat(4)0
Avg Revenue beat(4)-1.05%
Min Revenue beat(4)-1.74%
Max Revenue beat(4)0%
Revenue beat(8)2
Avg Revenue beat(8)-0.59%
Revenue beat(12)3
Avg Revenue beat(12)-0.35%
Revenue beat(16)4
Avg Revenue beat(16)-0.32%
PT rev (1m)-0.75%
PT rev (3m)-0.75%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.82%
EPS NY rev (1m)-0.34%
EPS NY rev (3m)-0.38%
Revenue NQ rev (1m)-0.82%
Revenue NQ rev (3m)-0.82%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.93 | ||
| Fwd PE | 18.94 | ||
| P/S | 0.97 | ||
| P/FCF | 17.59 | ||
| P/OCF | 12.39 | ||
| P/B | 3.04 | ||
| P/tB | 20.38 | ||
| EV/EBITDA | 12.44 |
EPS(TTM)4.77
EY4.78%
EPS(NY)5.27
Fwd EY5.28%
FCF(TTM)5.68
FCFY5.68%
OCF(TTM)8.06
OCFY8.07%
SpS102.86
BVpS32.84
TBVpS4.9
PEG (NY)1.98
PEG (5Y)2.69
Graham Number59.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.99% | ||
| ROE | 14.47% | ||
| ROCE | 11.92% | ||
| ROIC | 9.05% | ||
| ROICexc | 9.09% | ||
| ROICexgc | 17.54% | ||
| OM | 6.76% | ||
| PM (TTM) | 4.62% | ||
| GM | 19.86% | ||
| FCFM | 5.52% |
ROA(3y)6.96%
ROA(5y)6.65%
ROE(3y)14.21%
ROE(5y)13.66%
ROIC(3y)9.08%
ROIC(5y)8.87%
ROICexc(3y)9.12%
ROICexc(5y)8.96%
ROICexgc(3y)18.23%
ROICexgc(5y)18.62%
ROCE(3y)11.97%
ROCE(5y)11.69%
ROICexgc growth 3Y-1.81%
ROICexgc growth 5Y-1.36%
ROICexc growth 3Y1.34%
ROICexc growth 5Y1.62%
OM growth 3Y-1.01%
OM growth 5Y-0.21%
PM growth 3Y1.05%
PM growth 5Y0.91%
GM growth 3Y-0.28%
GM growth 5Y-0.04%
F-Score8
Asset Turnover1.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 3.79 | ||
| Debt/EBITDA | 2.07 | ||
| Cap/Depr | 85.9% | ||
| Cap/Sales | 2.32% | ||
| Interest Coverage | 8.31 | ||
| Cash Conversion | 82.82% | ||
| Profit Quality | 119.4% | ||
| Current Ratio | 1.3 | ||
| Quick Ratio | 0.51 | ||
| Altman-Z | 4.14 |
F-Score8
WACC6.95%
ROIC/WACC1.3
Cap/Depr(3y)105.66%
Cap/Depr(5y)113.14%
Cap/Sales(3y)2.78%
Cap/Sales(5y)2.98%
Profit Quality(3y)108.31%
Profit Quality(5y)108.76%
High Growth Momentum
Growth
EPS 1Y (TTM)10.93%
EPS 3Y7.87%
EPS 5Y7.78%
EPS Q2Q%10.78%
EPS Next Y10.55%
EPS Next 2Y9.01%
EPS Next 3Y7.49%
EPS Next 5Y5.02%
Revenue 1Y (TTM)3.71%
Revenue growth 3Y5.22%
Revenue growth 5Y4.1%
Sales Q2Q%3.45%
Revenue Next Year3.48%
Revenue Next 2Y3.41%
Revenue Next 3Y3.17%
Revenue Next 5Y3.79%
EBIT growth 1Y5.58%
EBIT growth 3Y4.16%
EBIT growth 5Y3.89%
EBIT Next Year47.27%
EBIT Next 3Y16.08%
EBIT Next 5Y9.98%
FCF growth 1Y10.36%
FCF growth 3Y13.06%
FCF growth 5Y4.74%
OCF growth 1Y2.67%
OCF growth 3Y5.68%
OCF growth 5Y3.19%
METRO INC/CN / MRU.CA FAQ
What is the ChartMill fundamental rating of METRO INC/CN (MRU.CA) stock?
ChartMill assigns a fundamental rating of 5 / 10 to MRU.CA.
What is the valuation status of METRO INC/CN (MRU.CA) stock?
ChartMill assigns a valuation rating of 3 / 10 to METRO INC/CN (MRU.CA). This can be considered as Overvalued.
Can you provide the profitability details for METRO INC/CN?
METRO INC/CN (MRU.CA) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for MRU stock?
The Price/Earnings (PE) ratio for METRO INC/CN (MRU.CA) is 20.93 and the Price/Book (PB) ratio is 3.04.
How financially healthy is METRO INC/CN?
The financial health rating of METRO INC/CN (MRU.CA) is 6 / 10.