MSC INDUSTRIAL DIRECT CO-A (MSM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:MSM - US5535301064 - Common Stock
84.67 USD
+0.49 (+0.58%)
84.67 USD
0 (0%)
Overall MSM gets a fundamental rating of 5 out of 10. We evaluated MSM against 50 industry peers in the Trading Companies & Distributors industry. MSM has an average financial health and profitability rating. MSM has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- MSM had positive earnings in the past year.
- MSM had a positive operating cash flow in the past year.
- MSM had positive earnings in each of the past 5 years.
- Each year in the past 5 years MSM had a positive operating cash flow.
1.2 Ratios
- MSM has a Return On Assets of 8.22%. This is in the better half of the industry: MSM outperforms 76.00% of its industry peers.
- With a decent Return On Equity value of 14.81%, MSM is doing good in the industry, outperforming 66.00% of the companies in the same industry.
- MSM's Return On Invested Capital of 13.57% is amongst the best of the industry. MSM outperforms 84.00% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for MSM is significantly above the industry average of 9.63%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.22% | ||
| ROE | 14.81% | ||
| ROIC | 13.57% |
ROA(3y)10.7%
ROA(5y)10.67%
ROE(3y)18.71%
ROE(5y)20.03%
ROIC(3y)16.43%
ROIC(5y)16.08%
1.3 Margins
- MSM's Profit Margin of 5.37% is fine compared to the rest of the industry. MSM outperforms 62.00% of its industry peers.
- MSM's Profit Margin has declined in the last couple of years.
- MSM's Operating Margin of 8.38% is in line compared to the rest of the industry. MSM outperforms 58.00% of its industry peers.
- In the last couple of years the Operating Margin of MSM has declined.
- With a decent Gross Margin value of 40.73%, MSM is doing good in the industry, outperforming 78.00% of the companies in the same industry.
- In the last couple of years the Gross Margin of MSM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.38% | ||
| PM (TTM) | 5.37% | ||
| GM | 40.73% |
OM growth 3Y-13.59%
OM growth 5Y-6.02%
PM growth 3Y-16.87%
PM growth 5Y-7.63%
GM growth 3Y-1.16%
GM growth 5Y-0.64%
2. Health
2.1 Basic Checks
- MSM has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- MSM has less shares outstanding than it did 1 year ago.
- MSM has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, MSM has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 5.00 indicates that MSM is not in any danger for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 5.00, MSM is in the better half of the industry, outperforming 76.00% of the companies in the same industry.
- The Debt to FCF ratio of MSM is 3.19, which is a good value as it means it would take MSM, 3.19 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of MSM (3.19) is better than 72.00% of its industry peers.
- A Debt/Equity ratio of 0.16 indicates that MSM is not too dependend on debt financing.
- MSM has a better Debt to Equity ratio (0.16) than 72.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 3.19 | ||
| Altman-Z | 5 |
ROIC/WACC1.41
WACC9.59%
2.3 Liquidity
- MSM has a Current Ratio of 1.73. This is a normal value and indicates that MSM is financially healthy and should not expect problems in meeting its short term obligations.
- MSM has a Current ratio of 1.73. This is comparable to the rest of the industry: MSM outperforms 46.00% of its industry peers.
- A Quick Ratio of 0.82 indicates that MSM may have some problems paying its short term obligations.
- With a Quick ratio value of 0.82, MSM is not doing good in the industry: 72.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.73 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
- The earnings per share for MSM have decreased strongly by -11.82% in the last year.
- The Earnings Per Share has been decreasing by -4.42% on average over the past years.
- Looking at the last year, MSM shows a small growth in Revenue. The Revenue has grown by 0.30% in the last year.
- Measured over the past years, MSM shows a small growth in Revenue. The Revenue has been growing by 3.38% on average per year.
EPS 1Y (TTM)-11.82%
EPS 3Y-15.2%
EPS 5Y-4.42%
EPS Q2Q%15.12%
Revenue 1Y (TTM)0.3%
Revenue growth 3Y0.7%
Revenue growth 5Y3.38%
Sales Q2Q%4.01%
3.2 Future
- Based on estimates for the next years, MSM will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.53% on average per year.
- The Revenue is expected to grow by 4.00% on average over the next years.
EPS Next Y15.22%
EPS Next 2Y14.19%
EPS Next 3Y14.17%
EPS Next 5Y8.53%
Revenue Next Year5.41%
Revenue Next 2Y5.27%
Revenue Next 3Y5.36%
Revenue Next 5Y4%
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 21.82, MSM is valued on the expensive side.
- MSM's Price/Earnings ratio is in line with the industry average.
- When comparing the Price/Earnings ratio of MSM to the average of the S&P500 Index (27.33), we can say MSM is valued slightly cheaper.
- Based on the Price/Forward Earnings ratio of 17.32, the valuation of MSM can be described as rather expensive.
- Based on the Price/Forward Earnings ratio, MSM is valued a bit cheaper than the industry average as 74.00% of the companies are valued more expensively.
- When comparing the Price/Forward Earnings ratio of MSM to the average of the S&P500 Index (24.12), we can say MSM is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.82 | ||
| Fwd PE | 17.32 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MSM is on the same level as its industry peers.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of MSM indicates a somewhat cheap valuation: MSM is cheaper than 72.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.36 | ||
| EV/EBITDA | 12.56 |
4.3 Compensation for Growth
- MSM's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The decent profitability rating of MSM may justify a higher PE ratio.
- A more expensive valuation may be justified as MSM's earnings are expected to grow with 14.17% in the coming years.
PEG (NY)1.43
PEG (5Y)N/A
EPS Next 2Y14.19%
EPS Next 3Y14.17%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 4.16%, MSM is a good candidate for dividend investing.
- MSM's Dividend Yield is rather good when compared to the industry average which is at 1.35. MSM pays more dividend than 92.00% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.91, MSM pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.16% |
5.2 History
- The dividend of MSM decreases each year by -15.79%.
- MSM has paid a dividend for at least 10 years, which is a reliable track record.
- MSM has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-15.79%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
- MSM pays out 93.27% of its income as dividend. This is not a sustainable payout ratio.
DP93.27%
EPS Next 2Y14.19%
EPS Next 3Y14.17%
84.67
+0.49 (+0.58%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)01-07 2026-01-07/bmo
Earnings (Next)04-01 2026-04-01/bmo
Inst Owners87.29%
Inst Owner Change0%
Ins Owners18.98%
Ins Owner Change4.45%
Market Cap4.72B
Revenue(TTM)3.81B
Net Income(TTM)204.51M
Analysts67.14
Price Target90.22 (6.55%)
Short Float %7.92%
Short Ratio5.54
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.16% |
Yearly Dividend3.4
Dividend Growth(5Y)-15.79%
DP93.27%
Div Incr Years3
Div Non Decr Years3
Ex-Date01-14 2026-01-14 (0.87)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.82%
Min EPS beat(2)3.37%
Max EPS beat(2)6.27%
EPS beat(4)4
Avg EPS beat(4)4.53%
Min EPS beat(4)3.37%
Max EPS beat(4)6.27%
EPS beat(8)6
Avg EPS beat(8)3.65%
EPS beat(12)8
Avg EPS beat(12)2.46%
EPS beat(16)11
Avg EPS beat(16)2.34%
Revenue beat(2)1
Avg Revenue beat(2)-0.17%
Min Revenue beat(2)-0.78%
Max Revenue beat(2)0.44%
Revenue beat(4)1
Avg Revenue beat(4)-0.77%
Min Revenue beat(4)-1.85%
Max Revenue beat(4)0.44%
Revenue beat(8)2
Avg Revenue beat(8)-0.79%
Revenue beat(12)5
Avg Revenue beat(12)-0.23%
Revenue beat(16)7
Avg Revenue beat(16)-0.23%
PT rev (1m)0%
PT rev (3m)-0.74%
EPS NQ rev (1m)-0.19%
EPS NQ rev (3m)0.87%
EPS NY rev (1m)0%
EPS NY rev (3m)3.74%
Revenue NQ rev (1m)-0.12%
Revenue NQ rev (3m)0.87%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.47%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.82 | ||
| Fwd PE | 17.32 | ||
| P/S | 1.24 | ||
| P/FCF | 28.36 | ||
| P/OCF | 18.08 | ||
| P/B | 3.42 | ||
| P/tB | 8.2 | ||
| EV/EBITDA | 12.56 |
EPS(TTM)3.88
EY4.58%
EPS(NY)4.89
Fwd EY5.77%
FCF(TTM)2.99
FCFY3.53%
OCF(TTM)4.68
OCFY5.53%
SpS68.23
BVpS24.76
TBVpS10.33
PEG (NY)1.43
PEG (5Y)N/A
Graham Number46.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.22% | ||
| ROE | 14.81% | ||
| ROCE | 18.12% | ||
| ROIC | 13.57% | ||
| ROICexc | 13.88% | ||
| ROICexgc | 26.09% | ||
| OM | 8.38% | ||
| PM (TTM) | 5.37% | ||
| GM | 40.73% | ||
| FCFM | 4.38% |
ROA(3y)10.7%
ROA(5y)10.67%
ROE(3y)18.71%
ROE(5y)20.03%
ROIC(3y)16.43%
ROIC(5y)16.08%
ROICexc(3y)16.85%
ROICexc(5y)16.46%
ROICexgc(3y)31.18%
ROICexgc(5y)29.73%
ROCE(3y)21.95%
ROCE(5y)21.47%
ROICexgc growth 3Y-4.81%
ROICexgc growth 5Y1.25%
ROICexc growth 3Y-8.33%
ROICexc growth 5Y-0.93%
OM growth 3Y-13.59%
OM growth 5Y-6.02%
PM growth 3Y-16.87%
PM growth 5Y-7.63%
GM growth 3Y-1.16%
GM growth 5Y-0.64%
F-Score5
Asset Turnover1.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 3.19 | ||
| Debt/EBITDA | 0.52 | ||
| Cap/Depr | 100.66% | ||
| Cap/Sales | 2.49% | ||
| Interest Coverage | 13.73 | ||
| Cash Conversion | 63.24% | ||
| Profit Quality | 81.45% | ||
| Current Ratio | 1.73 | ||
| Quick Ratio | 0.82 | ||
| Altman-Z | 5 |
F-Score5
WACC9.59%
ROIC/WACC1.41
Cap/Depr(3y)116.17%
Cap/Depr(5y)102.76%
Cap/Sales(3y)2.46%
Cap/Sales(5y)2.14%
Profit Quality(3y)139.37%
Profit Quality(5y)110.25%
High Growth Momentum
Growth
EPS 1Y (TTM)-11.82%
EPS 3Y-15.2%
EPS 5Y-4.42%
EPS Q2Q%15.12%
EPS Next Y15.22%
EPS Next 2Y14.19%
EPS Next 3Y14.17%
EPS Next 5Y8.53%
Revenue 1Y (TTM)0.3%
Revenue growth 3Y0.7%
Revenue growth 5Y3.38%
Sales Q2Q%4.01%
Revenue Next Year5.41%
Revenue Next 2Y5.27%
Revenue Next 3Y5.36%
Revenue Next 5Y4%
EBIT growth 1Y-15.63%
EBIT growth 3Y-12.98%
EBIT growth 5Y-2.85%
EBIT Next Year59.49%
EBIT Next 3Y24.38%
EBIT Next 5Y13.13%
FCF growth 1Y-73.1%
FCF growth 3Y9.24%
FCF growth 5Y-7.18%
OCF growth 1Y-62.93%
OCF growth 3Y10.67%
OCF growth 5Y-3.4%
MSC INDUSTRIAL DIRECT CO-A / MSM FAQ
What is the ChartMill fundamental rating of MSC INDUSTRIAL DIRECT CO-A (MSM) stock?
ChartMill assigns a fundamental rating of 5 / 10 to MSM.
What is the valuation status for MSM stock?
ChartMill assigns a valuation rating of 4 / 10 to MSC INDUSTRIAL DIRECT CO-A (MSM). This can be considered as Fairly Valued.
How profitable is MSC INDUSTRIAL DIRECT CO-A (MSM) stock?
MSC INDUSTRIAL DIRECT CO-A (MSM) has a profitability rating of 6 / 10.
How financially healthy is MSC INDUSTRIAL DIRECT CO-A?
The financial health rating of MSC INDUSTRIAL DIRECT CO-A (MSM) is 5 / 10.
Can you provide the expected EPS growth for MSM stock?
The Earnings per Share (EPS) of MSC INDUSTRIAL DIRECT CO-A (MSM) is expected to grow by 15.22% in the next year.