MATERION CORP (MTRN) Stock Fundamental Analysis
USA - NYSE:MTRN - US5766901012 - Common Stock
116.4 USD
-0.94 (-0.8%)
116.4 USD
0 (0%)
MTRN gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 154 industry peers in the Metals & Mining industry. MTRN has an average financial health and profitability rating. MTRN has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year MTRN was profitable.
In the past year MTRN had a positive cash flow from operations.
MTRN had positive earnings in each of the past 5 years.
In the past 5 years MTRN always reported a positive cash flow from operatings.
1.2 Ratios
MTRN has a Return On Assets (1.08%) which is comparable to the rest of the industry.
MTRN has a Return On Equity of 2.08%. This is comparable to the rest of the industry: MTRN outperforms 59.74% of its industry peers.
With a decent Return On Invested Capital value of 5.84%, MTRN is doing good in the industry, outperforming 66.23% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for MTRN is significantly below the industry average of 12.75%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.08% | ||
| ROE | 2.08% | ||
| ROIC | 5.84% |
ROA(3y)3.62%
ROA(5y)3.37%
ROE(3y)7.41%
ROE(5y)6.93%
ROIC(3y)5.88%
ROIC(5y)4.63%
1.3 Margins
The Profit Margin of MTRN (1.12%) is better than 60.39% of its industry peers.
In the last couple of years the Profit Margin of MTRN has declined.
With a decent Operating Margin value of 8.19%, MTRN is doing good in the industry, outperforming 64.29% of the companies in the same industry.
In the last couple of years the Operating Margin of MTRN has grown nicely.
MTRN has a Gross Margin (19.49%) which is in line with its industry peers.
MTRN's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.19% | ||
| PM (TTM) | 1.12% | ||
| GM | 19.49% |
OM growth 3Y15.39%
OM growth 5Y1.69%
PM growth 3Y-58.24%
PM growth 5Y-40.03%
GM growth 3Y0.99%
GM growth 5Y-2.68%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so MTRN is destroying value.
MTRN has more shares outstanding than it did 1 year ago.
The number of shares outstanding for MTRN has been increased compared to 5 years ago.
MTRN has a worse debt/assets ratio than last year.
2.2 Solvency
MTRN has an Altman-Z score of 3.99. This indicates that MTRN is financially healthy and has little risk of bankruptcy at the moment.
MTRN has a Altman-Z score (3.99) which is in line with its industry peers.
MTRN has a debt to FCF ratio of 5.77. This is a neutral value as MTRN would need 5.77 years to pay back of all of its debts.
MTRN has a better Debt to FCF ratio (5.77) than 68.83% of its industry peers.
MTRN has a Debt/Equity ratio of 0.49. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.49, MTRN is doing worse than 79.22% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 5.77 | ||
| Altman-Z | 3.99 |
ROIC/WACC0.65
WACC8.95%
2.3 Liquidity
A Current Ratio of 3.29 indicates that MTRN has no problem at all paying its short term obligations.
The Current ratio of MTRN (3.29) is better than 66.88% of its industry peers.
MTRN has a Quick Ratio of 1.31. This is a normal value and indicates that MTRN is financially healthy and should not expect problems in meeting its short term obligations.
MTRN has a Quick ratio (1.31) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.29 | ||
| Quick Ratio | 1.31 |
3. Growth
3.1 Past
MTRN shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 5.00%.
The Earnings Per Share has been growing by 10.85% on average over the past years. This is quite good.
MTRN shows a small growth in Revenue. In the last year, the Revenue has grown by 3.88%.
Measured over the past years, MTRN shows a small growth in Revenue. The Revenue has been growing by 7.28% on average per year.
EPS 1Y (TTM)5%
EPS 3Y11.91%
EPS 5Y10.85%
EPS Q2Q%0%
Revenue 1Y (TTM)3.88%
Revenue growth 3Y3.7%
Revenue growth 5Y7.28%
Sales Q2Q%1.85%
3.2 Future
The Earnings Per Share is expected to grow by 13.03% on average over the next years. This is quite good.
MTRN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.27% yearly.
EPS Next Y5.02%
EPS Next 2Y9.49%
EPS Next 3Y13.03%
EPS Next 5YN/A
Revenue Next Year4.78%
Revenue Next 2Y6.06%
Revenue Next 3Y7.27%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
The Price/Earnings ratio is 21.32, which indicates a rather expensive current valuation of MTRN.
77.27% of the companies in the same industry are more expensive than MTRN, based on the Price/Earnings ratio.
MTRN's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 25.89.
MTRN is valuated rather expensively with a Price/Forward Earnings ratio of 18.18.
The rest of the industry has a similar Price/Forward Earnings ratio as MTRN.
MTRN is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 34.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.32 | ||
| Fwd PE | 18.18 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MTRN is valued a bit cheaper than 63.64% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MTRN indicates a somewhat cheap valuation: MTRN is cheaper than 75.32% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.58 | ||
| EV/EBITDA | 13.6 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
MTRN's earnings are expected to grow with 13.03% in the coming years. This may justify a more expensive valuation.
PEG (NY)4.25
PEG (5Y)1.96
EPS Next 2Y9.49%
EPS Next 3Y13.03%
5. Dividend
5.1 Amount
MTRN has a yearly dividend return of 0.48%, which is pretty low.
Compared to an average industry Dividend Yield of 2.60, MTRN pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.42, MTRN's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.48% |
5.2 History
The dividend of MTRN has a limited annual growth rate of 4.08%.
MTRN has paid a dividend for at least 10 years, which is a reliable track record.
MTRN has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.08%
Div Incr Years12
Div Non Decr Years12
5.3 Sustainability
58.77% of the earnings are spent on dividend by MTRN. This is a bit on the high side, but may be sustainable.
The dividend of MTRN is growing, but earnings are growing more, so the dividend growth is sustainable.
DP58.77%
EPS Next 2Y9.49%
EPS Next 3Y13.03%
116.4
-0.94 (-0.8%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners95.73%
Inst Owner Change0.12%
Ins Owners1.34%
Ins Owner Change-1.25%
Market Cap2.41B
Revenue(TTM)1.73B
Net Income(TTM)19.40M
Analysts82
Price Target134.64 (15.67%)
Short Float %2.7%
Short Ratio3.86
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.48% |
Yearly Dividend0.54
Dividend Growth(5Y)4.08%
DP58.77%
Div Incr Years12
Div Non Decr Years12
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.6%
Min EPS beat(2)-2.1%
Max EPS beat(2)17.3%
EPS beat(4)3
Avg EPS beat(4)6.07%
Min EPS beat(4)-2.1%
Max EPS beat(4)17.3%
EPS beat(8)3
Avg EPS beat(8)2.38%
EPS beat(12)6
Avg EPS beat(12)3.1%
EPS beat(16)8
Avg EPS beat(16)1.66%
Revenue beat(2)1
Avg Revenue beat(2)1.67%
Min Revenue beat(2)-1.48%
Max Revenue beat(2)4.82%
Revenue beat(4)2
Avg Revenue beat(4)1.39%
Min Revenue beat(4)-1.48%
Max Revenue beat(4)4.82%
Revenue beat(8)3
Avg Revenue beat(8)0.34%
Revenue beat(12)3
Avg Revenue beat(12)-1.46%
Revenue beat(16)4
Avg Revenue beat(16)-1.99%
PT rev (1m)3.94%
PT rev (3m)10%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.89%
EPS NY rev (1m)-0.13%
EPS NY rev (3m)10.96%
Revenue NQ rev (1m)0.93%
Revenue NQ rev (3m)2.83%
Revenue NY rev (1m)0.5%
Revenue NY rev (3m)6.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.32 | ||
| Fwd PE | 18.18 | ||
| P/S | 1.39 | ||
| P/FCF | 29.58 | ||
| P/OCF | 15.08 | ||
| P/B | 2.58 | ||
| P/tB | 4.42 | ||
| EV/EBITDA | 13.6 |
EPS(TTM)5.46
EY4.69%
EPS(NY)6.4
Fwd EY5.5%
FCF(TTM)3.94
FCFY3.38%
OCF(TTM)7.72
OCFY6.63%
SpS83.63
BVpS45.08
TBVpS26.34
PEG (NY)4.25
PEG (5Y)1.96
Graham Number74.42
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.08% | ||
| ROE | 2.08% | ||
| ROCE | 9.11% | ||
| ROIC | 5.84% | ||
| ROICexc | 5.91% | ||
| ROICexgc | 7.9% | ||
| OM | 8.19% | ||
| PM (TTM) | 1.12% | ||
| GM | 19.49% | ||
| FCFM | 4.71% |
ROA(3y)3.62%
ROA(5y)3.37%
ROE(3y)7.41%
ROE(5y)6.93%
ROIC(3y)5.88%
ROIC(5y)4.63%
ROICexc(3y)5.94%
ROICexc(5y)4.68%
ROICexgc(3y)8.43%
ROICexgc(5y)6.66%
ROCE(3y)9.17%
ROCE(5y)7.21%
ROICexgc growth 3Y13.12%
ROICexgc growth 5Y-4.17%
ROICexc growth 3Y17.84%
ROICexc growth 5Y-7.11%
OM growth 3Y15.39%
OM growth 5Y1.69%
PM growth 3Y-58.24%
PM growth 5Y-40.03%
GM growth 3Y0.99%
GM growth 5Y-2.68%
F-Score6
Asset Turnover0.97
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 5.77 | ||
| Debt/EBITDA | 2.18 | ||
| Cap/Depr | 113.72% | ||
| Cap/Sales | 4.52% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 75.88% | ||
| Profit Quality | 420.55% | ||
| Current Ratio | 3.29 | ||
| Quick Ratio | 1.31 | ||
| Altman-Z | 3.99 |
F-Score6
WACC8.95%
ROIC/WACC0.65
Cap/Depr(3y)152.48%
Cap/Depr(5y)169.9%
Cap/Sales(3y)5.47%
Cap/Sales(5y)5.79%
Profit Quality(3y)63.11%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)5%
EPS 3Y11.91%
EPS 5Y10.85%
EPS Q2Q%0%
EPS Next Y5.02%
EPS Next 2Y9.49%
EPS Next 3Y13.03%
EPS Next 5YN/A
Revenue 1Y (TTM)3.88%
Revenue growth 3Y3.7%
Revenue growth 5Y7.28%
Sales Q2Q%1.85%
Revenue Next Year4.78%
Revenue Next 2Y6.06%
Revenue Next 3Y7.27%
Revenue Next 5YN/A
EBIT growth 1Y17.37%
EBIT growth 3Y19.66%
EBIT growth 5Y9.09%
EBIT Next Year56.32%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y68.91%
FCF growth 3YN/A
FCF growth 5Y-37.36%
OCF growth 1Y-3.8%
OCF growth 3Y-0.89%
OCF growth 5Y-2.41%
MATERION CORP / MTRN FAQ
Can you provide the ChartMill fundamental rating for MATERION CORP?
ChartMill assigns a fundamental rating of 5 / 10 to MTRN.
Can you provide the valuation status for MATERION CORP?
ChartMill assigns a valuation rating of 4 / 10 to MATERION CORP (MTRN). This can be considered as Fairly Valued.
How profitable is MATERION CORP (MTRN) stock?
MATERION CORP (MTRN) has a profitability rating of 5 / 10.
What is the valuation of MATERION CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for MATERION CORP (MTRN) is 21.32 and the Price/Book (PB) ratio is 2.58.
How sustainable is the dividend of MATERION CORP (MTRN) stock?
The dividend rating of MATERION CORP (MTRN) is 5 / 10 and the dividend payout ratio is 58.77%.