MASTEC INC (MTZ)
US5763231090 - Common Stock
MTZ gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 43 industry peers in the Construction & Engineering industry. While MTZ seems to be doing ok healthwise, there are quite some concerns on its profitability. MTZ has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year MTZ was profitable.
MTZ had a positive operating cash flow in the past year.
MTZ had positive earnings in 4 of the past 5 years.
In the past 5 years MTZ always reported a positive cash flow from operatings.
1.2 Ratios
MTZ has a Return On Assets (-0.12%) which is in line with its industry peers.
Looking at the Return On Equity, with a value of -0.40%, MTZ is in line with its industry, outperforming 40.48% of the companies in the same industry.
With a Return On Invested Capital value of 3.28%, MTZ perfoms like the industry average, outperforming 45.24% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for MTZ is below the industry average of 8.29%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.12% | ||
| ROE | -0.4% | ||
| ROIC | 3.28% |
ROA(3y)1.48%
ROA(5y)3.69%
ROE(3y)4.11%
ROE(5y)10.08%
ROIC(3y)4.27%
ROIC(5y)6.81%
1.3 Margins
MTZ's Operating Margin of 2.11% is in line compared to the rest of the industry. MTZ outperforms 40.48% of its industry peers.
MTZ's Operating Margin has declined in the last couple of years.
MTZ has a worse Gross Margin (12.15%) than 61.90% of its industry peers.
MTZ's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.11% | ||
| PM (TTM) | N/A | ||
| GM | 12.15% |
OM growth 3Y-42.73%
OM growth 5Y-27.51%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-11.32%
GM growth 5Y-3.77%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so MTZ is destroying value.
The number of shares outstanding for MTZ has been increased compared to 1 year ago.
MTZ has more shares outstanding than it did 5 years ago.
The debt/assets ratio for MTZ has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.76 indicates that MTZ is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.76, MTZ is in line with its industry, outperforming 54.76% of the companies in the same industry.
MTZ has a debt to FCF ratio of 3.74. This is a good value and a sign of high solvency as MTZ would need 3.74 years to pay back of all of its debts.
MTZ has a better Debt to FCF ratio (3.74) than 76.19% of its industry peers.
MTZ has a Debt/Equity ratio of 0.95. This is a neutral value indicating MTZ is somewhat dependend on debt financing.
MTZ has a worse Debt to Equity ratio (0.95) than 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.95 | ||
| Debt/FCF | 3.74 | ||
| Altman-Z | 2.76 |
ROIC/WACC0.34
WACC9.62%
2.3 Liquidity
MTZ has a Current Ratio of 1.31. This is a normal value and indicates that MTZ is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.31, MTZ is in line with its industry, outperforming 47.62% of the companies in the same industry.
A Quick Ratio of 1.27 indicates that MTZ should not have too much problems paying its short term obligations.
MTZ has a Quick ratio of 1.27. This is comparable to the rest of the industry: MTZ outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.31 | ||
| Quick Ratio | 1.27 |
3. Growth
3.1 Past
MTZ shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.42%.
The earnings per share for MTZ have been decreasing by -12.36% on average. This is quite bad
Looking at the last year, MTZ shows a quite strong growth in Revenue. The Revenue has grown by 16.23% in the last year.
The Revenue has been growing by 11.67% on average over the past years. This is quite good.
EPS 1Y (TTM)-7.42%
EPS 3Y-27.44%
EPS 5Y-12.36%
EPS growth Q2Q75.93%
Revenue 1Y (TTM)16.23%
Revenue growth 3Y23.81%
Revenue growth 5Y11.67%
Revenue growth Q2Q3.95%
3.2 Future
The Earnings Per Share is expected to grow by 32.42% on average over the next years. This is a very strong growth
MTZ is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.92% yearly.
EPS Next Y38.62%
EPS Next 2Y46.39%
EPS Next 3Y39.4%
EPS Next 5Y32.42%
Revenue Next Year4.65%
Revenue Next 2Y6.17%
Revenue Next 3Y5.74%
Revenue Next 5Y5.92%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
MTZ is valuated quite expensively with a Price/Earnings ratio of 45.29.
MTZ's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of MTZ to the average of the S&P500 Index (28.15), we can say MTZ is valued expensively.
The Price/Forward Earnings ratio is 25.55, which means the current valuation is very expensive for MTZ.
MTZ's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. MTZ is more expensive than 61.90% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 20.20. MTZ is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.29 | ||
| Fwd PE | 25.55 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MTZ indicates a somewhat cheap valuation: MTZ is cheaper than 73.81% of the companies listed in the same industry.
MTZ's Price/Free Cash Flow ratio is rather cheap when compared to the industry. MTZ is cheaper than 85.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.75 | ||
| EV/EBITDA | 12.86 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
MTZ's earnings are expected to grow with 39.40% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.17
PEG (5Y)N/A
EPS Next 2Y46.39%
EPS Next 3Y39.4%
5. Dividend
5.1 Amount
MTZ does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
MASTEC INC
NYSE:MTZ (5/17/2024, 7:15:02 PM)
After market: 107.33 0 (0%)107.33
+0.88 (+0.83%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap8.53B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.29 | ||
| Fwd PE | 25.55 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.17
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.12% | ||
| ROE | -0.4% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 2.11% | ||
| PM (TTM) | N/A | ||
| GM | 12.15% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.95 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.31 | ||
| Quick Ratio | 1.27 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-7.42%
EPS 3Y-27.44%
EPS 5Y
EPS growth Q2Q
EPS Next Y38.62%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)16.23%
Revenue growth 3Y23.81%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y