MTY FOOD GROUP INC (MTY.CA) Stock Fundamental Analysis
TSX:MTY • CA55378N1078
41.44 CAD
-1.7 (-3.94%)
Last: Feb 23, 2026, 07:00 PM
Taking everything into account, MTY scores 4 out of 10 in our fundamental rating. MTY was compared to 17 industry peers in the Hotels, Restaurants & Leisure industry. There are concerns on the financial health of MTY while its profitability can be described as average. MTY is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
- In the past year MTY was profitable.
- In the past year MTY had a positive cash flow from operations.
- MTY had positive earnings in 4 of the past 5 years.
- MTY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of MTY (1.27%) is comparable to the rest of the industry.
- Looking at the Return On Equity, with a value of 3.89%, MTY is in line with its industry, outperforming 41.18% of the companies in the same industry.
- MTY's Return On Invested Capital of 5.90% is fine compared to the rest of the industry. MTY outperforms 64.71% of its industry peers.
- MTY had an Average Return On Invested Capital over the past 3 years of 5.51%. This is below the industry average of 8.63%.
- The last Return On Invested Capital (5.90%) for MTY is above the 3 year average (5.51%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.27% | ||
| ROE | 3.89% | ||
| ROIC | 5.9% |
ROA(3y)2.68%
ROA(5y)2.14%
ROE(3y)8.73%
ROE(5y)6.61%
ROIC(3y)5.51%
ROIC(5y)5.14%
1.3 Margins
- MTY's Profit Margin of 2.70% is in line compared to the rest of the industry. MTY outperforms 41.18% of its industry peers.
- MTY's Profit Margin has declined in the last couple of years.
- The Operating Margin of MTY (14.39%) is comparable to the rest of the industry.
- MTY's Operating Margin has declined in the last couple of years.
- Looking at the Gross Margin, with a value of 61.08%, MTY is in the better half of the industry, outperforming 70.59% of the companies in the same industry.
- MTY's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.39% | ||
| PM (TTM) | 2.7% | ||
| GM | 61.08% |
OM growth 3Y-11.85%
OM growth 5Y-6.56%
PM growth 3Y-48.79%
PM growth 5Y-31.78%
GM growth 3Y4.71%
GM growth 5Y2.34%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MTY is destroying value.
- The number of shares outstanding for MTY has been reduced compared to 1 year ago.
- MTY has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, MTY has an improved debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 1.23, we must say that MTY is in the distress zone and has some risk of bankruptcy.
- MTY has a Altman-Z score (1.23) which is in line with its industry peers.
- The Debt to FCF ratio of MTY is 6.89, which is on the high side as it means it would take MTY, 6.89 years of fcf income to pay off all of its debts.
- MTY's Debt to FCF ratio of 6.89 is fine compared to the rest of the industry. MTY outperforms 70.59% of its industry peers.
- A Debt/Equity ratio of 1.25 is on the high side and indicates that MTY has dependencies on debt financing.
- MTY has a Debt to Equity ratio of 1.25. This is comparable to the rest of the industry: MTY outperforms 41.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.25 | ||
| Debt/FCF | 6.89 | ||
| Altman-Z | 1.23 |
ROIC/WACC0.99
WACC5.98%
2.3 Liquidity
- MTY has a Current Ratio of 0.60. This is a bad value and indicates that MTY is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 0.60, MTY is in line with its industry, outperforming 41.18% of the companies in the same industry.
- A Quick Ratio of 0.56 indicates that MTY may have some problems paying its short term obligations.
- With a Quick ratio value of 0.56, MTY is not doing good in the industry: 64.71% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.6 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
- The earnings per share for MTY have decreased by -5.63% in the last year.
- Measured over the past 5 years, MTY shows a small growth in Earnings Per Share. The EPS has been growing by 5.68% on average per year.
- MTY shows a small growth in Revenue. In the last year, the Revenue has grown by 1.38%.
- The Revenue has been growing by 16.05% on average over the past years. This is quite good.
EPS 1Y (TTM)-5.63%
EPS 3Y2.8%
EPS 5Y5.68%
EPS Q2Q%-26.09%
Revenue 1Y (TTM)1.38%
Revenue growth 3Y28.08%
Revenue growth 5Y16.05%
Sales Q2Q%1.45%
3.2 Future
- The Earnings Per Share is expected to grow by 4.48% on average over the next years.
- The Revenue is expected to grow by 1.02% on average over the next years.
EPS Next Y6.11%
EPS Next 2Y3.54%
EPS Next 3Y4.48%
EPS Next 5YN/A
Revenue Next Year1.64%
Revenue Next 2Y0.6%
Revenue Next 3Y1.02%
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 decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 10.31, the valuation of MTY can be described as very reasonable.
- 88.24% of the companies in the same industry are more expensive than MTY, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 26.64, MTY is valued rather cheaply.
- The Price/Forward Earnings ratio is 9.62, which indicates a very decent valuation of MTY.
- 88.24% of the companies in the same industry are more expensive than MTY, based on the Price/Forward Earnings ratio.
- MTY is valuated cheaply when we compare the Price/Forward Earnings ratio to 27.75, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.31 | ||
| Fwd PE | 9.62 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, MTY is valued a bit cheaper than the industry average as 76.47% of the companies are valued more expensively.
- 88.24% of the companies in the same industry are more expensive than MTY, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.79 | ||
| EV/EBITDA | 7.8 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.69
PEG (5Y)1.82
EPS Next 2Y3.54%
EPS Next 3Y4.48%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 3.20%, MTY has a reasonable but not impressive dividend return.
- MTY's Dividend Yield is a higher than the industry average which is at 2.53.
- MTY's Dividend Yield is rather good when compared to the S&P500 average which is at 1.80.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.2% |
5.2 History
- The dividend of MTY is nicely growing with an annual growth rate of 11.08%!
- MTY has been paying a dividend for at least 10 years, so it has a reliable track record.
- The dividend of MTY decreased recently.
Dividend Growth(5Y)11.08%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- MTY pays out 92.85% of its income as dividend. This is not a sustainable payout ratio.
- MTY's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP92.85%
EPS Next 2Y3.54%
EPS Next 3Y4.48%
TSX:MTY (2/23/2026, 7:00:00 PM)
41.44
-1.7 (-3.94%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)10-10 2025-10-10/bmo
Earnings (Next)02-19 2026-02-19
Inst Owners19.47%
Inst Owner ChangeN/A
Ins Owners17.17%
Ins Owner ChangeN/A
Market Cap946.49M
Revenue(TTM)1.17B
Net Income(TTM)31.61M
Analysts72
Price Target44.2 (6.66%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.2% |
Yearly Dividend1.12
Dividend Growth(5Y)11.08%
DP92.85%
Div Incr Years1
Div Non Decr Years1
Ex-Date02-03 2026-02-03 (0.37)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-3.95%
Min EPS beat(2)-4.98%
Max EPS beat(2)-2.93%
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)0
Avg Revenue beat(2)-1.35%
Min Revenue beat(2)-1.72%
Max Revenue beat(2)-0.98%
Revenue beat(4)1
Avg Revenue beat(4)-0.1%
Min Revenue beat(4)-2.23%
Max Revenue beat(4)4.51%
Revenue beat(8)3
Avg Revenue beat(8)-0.07%
Revenue beat(12)7
Avg Revenue beat(12)3.3%
Revenue beat(16)10
Avg Revenue beat(16)3.64%
PT rev (1m)0%
PT rev (3m)-1.52%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.31 | ||
| Fwd PE | 9.62 | ||
| P/S | 0.81 | ||
| P/FCF | 5.79 | ||
| P/OCF | 5.21 | ||
| P/B | 1.16 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.8 |
EPS(TTM)4.02
EY9.7%
EPS(NY)4.31
Fwd EY10.4%
FCF(TTM)7.16
FCFY17.28%
OCF(TTM)7.95
OCFY19.2%
SpS51.28
BVpS35.59
TBVpS-40.15
PEG (NY)1.69
PEG (5Y)1.82
Graham Number56.74
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.27% | ||
| ROE | 3.89% | ||
| ROCE | 8.2% | ||
| ROIC | 5.9% | ||
| ROICexc | 6.01% | ||
| ROICexgc | 42.09% | ||
| OM | 14.39% | ||
| PM (TTM) | 2.7% | ||
| GM | 61.08% | ||
| FCFM | 13.97% |
ROA(3y)2.68%
ROA(5y)2.14%
ROE(3y)8.73%
ROE(5y)6.61%
ROIC(3y)5.51%
ROIC(5y)5.14%
ROICexc(3y)5.67%
ROICexc(5y)5.3%
ROICexgc(3y)36.63%
ROICexgc(5y)33.23%
ROCE(3y)7.66%
ROCE(5y)7.14%
ROICexgc growth 3Y1.96%
ROICexgc growth 5YN/A
ROICexc growth 3Y0.54%
ROICexc growth 5Y-0.8%
OM growth 3Y-11.85%
OM growth 5Y-6.56%
PM growth 3Y-48.79%
PM growth 5Y-31.78%
GM growth 3Y4.71%
GM growth 5Y2.34%
F-Score6
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.25 | ||
| Debt/FCF | 6.89 | ||
| Debt/EBITDA | 3.9 | ||
| Cap/Depr | 19.59% | ||
| Cap/Sales | 1.55% | ||
| Interest Coverage | 4.3 | ||
| Cash Conversion | 69.57% | ||
| Profit Quality | 517.43% | ||
| Current Ratio | 0.6 | ||
| Quick Ratio | 0.56 | ||
| Altman-Z | 1.23 |
F-Score6
WACC5.98%
ROIC/WACC0.99
Cap/Depr(3y)30.32%
Cap/Depr(5y)23.56%
Cap/Sales(3y)2.3%
Cap/Sales(5y)1.85%
Profit Quality(3y)353.54%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-5.63%
EPS 3Y2.8%
EPS 5Y5.68%
EPS Q2Q%-26.09%
EPS Next Y6.11%
EPS Next 2Y3.54%
EPS Next 3Y4.48%
EPS Next 5YN/A
Revenue 1Y (TTM)1.38%
Revenue growth 3Y28.08%
Revenue growth 5Y16.05%
Sales Q2Q%1.45%
Revenue Next Year1.64%
Revenue Next 2Y0.6%
Revenue Next 3Y1.02%
Revenue Next 5YN/A
EBIT growth 1Y-4.51%
EBIT growth 3Y12.9%
EBIT growth 5Y8.44%
EBIT Next Year23.34%
EBIT Next 3Y7.35%
EBIT Next 5Y4.51%
FCF growth 1Y14.18%
FCF growth 3Y10.18%
FCF growth 5Y10.87%
OCF growth 1Y4.24%
OCF growth 3Y13.75%
OCF growth 5Y12.63%
MTY FOOD GROUP INC / MTY.CA FAQ
Can you provide the ChartMill fundamental rating for MTY FOOD GROUP INC?
ChartMill assigns a fundamental rating of 4 / 10 to MTY.CA.
What is the valuation status of MTY FOOD GROUP INC (MTY.CA) stock?
ChartMill assigns a valuation rating of 7 / 10 to MTY FOOD GROUP INC (MTY.CA). This can be considered as Undervalued.
Can you provide the profitability details for MTY FOOD GROUP INC?
MTY FOOD GROUP INC (MTY.CA) has a profitability rating of 5 / 10.
What are the PE and PB ratios of MTY FOOD GROUP INC (MTY.CA) stock?
The Price/Earnings (PE) ratio for MTY FOOD GROUP INC (MTY.CA) is 10.31 and the Price/Book (PB) ratio is 1.16.
Can you provide the expected EPS growth for MTY stock?
The Earnings per Share (EPS) of MTY FOOD GROUP INC (MTY.CA) is expected to grow by 6.11% in the next year.