MSCI INC (3HM.DE) Stock Fundamental Analysis
FRA:3HM - Deutsche Boerse Ag - US55354G1004 - Common Stock - Currency: EUR
Taking everything into account, 3HM scores 6 out of 10 in our fundamental rating. 3HM was compared to 108 industry peers in the Capital Markets industry. While 3HM has a great profitability rating, there are some minor concerns on its financial health. 3HM has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
3HM had positive earnings in the past year.
In the past year 3HM had a positive cash flow from operations.
3HM had positive earnings in each of the past 5 years.
In the past 5 years 3HM always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 21.36%, 3HM belongs to the top of the industry, outperforming 99.04% of the companies in the same industry.
The Return On Invested Capital of 3HM (33.46%) is better than 100.00% of its industry peers.
3HM had an Average Return On Invested Capital over the past 3 years of 29.39%. This is significantly above the industry average of 7.91%.
The last Return On Invested Capital (33.46%) for 3HM is above the 3 year average (29.39%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.36% | ||
| ROE | N/A | ||
| ROIC | 33.46% |
ROA(3y)19.53%
ROA(5y)17.22%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)29.39%
ROIC(5y)26.42%
1.3 Margins
Looking at the Profit Margin, with a value of 39.08%, 3HM belongs to the top of the industry, outperforming 83.65% of the companies in the same industry.
3HM's Profit Margin has been stable in the last couple of years.
3HM's Operating Margin of 53.60% is amongst the best of the industry. 3HM outperforms 90.38% of its industry peers.
In the last couple of years the Operating Margin of 3HM has grown nicely.
With an excellent Gross Margin value of 82.11%, 3HM belongs to the best of the industry, outperforming 80.77% of the companies in the same industry.
3HM's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 53.6% | ||
| PM (TTM) | 39.08% | ||
| GM | 82.11% |
OM growth 3Y0.65%
OM growth 5Y1.98%
PM growth 3Y3.01%
PM growth 5Y1.43%
GM growth 3Y-0.19%
GM growth 5Y0.23%
2. Health
2.1 Basic Checks
Compared to 1 year ago, 3HM has less shares outstanding
3HM has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, 3HM has a worse debt to assets ratio.
2.2 Solvency
3HM has an Altman-Z score of 6.66. This indicates that 3HM is financially healthy and has little risk of bankruptcy at the moment.
3HM has a Altman-Z score of 6.66. This is amongst the best in the industry. 3HM outperforms 95.19% of its industry peers.
The Debt to FCF ratio of 3HM is 3.30, which is a good value as it means it would take 3HM, 3.30 years of fcf income to pay off all of its debts.
3HM has a Debt to FCF ratio of 3.30. This is amongst the best in the industry. 3HM outperforms 81.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 3.3 | ||
| Altman-Z | 6.66 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
3HM has a Current Ratio of 0.84. This is a bad value and indicates that 3HM is not financially healthy enough and could expect problems in meeting its short term obligations.
3HM's Current ratio of 0.84 is in line compared to the rest of the industry. 3HM outperforms 56.73% of its industry peers.
A Quick Ratio of 0.84 indicates that 3HM may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.84, 3HM is in line with its industry, outperforming 57.69% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.84 |
3. Growth
3.1 Past
3HM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 12.72%, which is quite good.
Measured over the past years, 3HM shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.74% on average per year.
Looking at the last year, 3HM shows a quite strong growth in Revenue. The Revenue has grown by 11.67% in the last year.
The Revenue has been growing by 12.89% on average over the past years. This is quite good.
EPS 1Y (TTM)12.72%
EPS 3Y15.17%
EPS 5Y18.74%
EPS Q2Q%13.64%
Revenue 1Y (TTM)11.67%
Revenue growth 3Y11.81%
Revenue growth 5Y12.89%
Sales Q2Q%9.69%
3.2 Future
The Earnings Per Share is expected to grow by 12.09% on average over the next years. This is quite good.
Based on estimates for the next years, 3HM will show a quite strong growth in Revenue. The Revenue will grow by 8.17% on average per year.
EPS Next Y13.28%
EPS Next 2Y12.91%
EPS Next 3Y12.6%
EPS Next 5Y12.09%
Revenue Next Year7.64%
Revenue Next 2Y7.96%
Revenue Next 3Y8.04%
Revenue Next 5Y8.17%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 33.72 indicates a quite expensive valuation of 3HM.
3HM's Price/Earnings is on the same level as the industry average.
3HM is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 28.78, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 27.29, which means the current valuation is very expensive for 3HM.
3HM's Price/Forward Earnings ratio is in line with the industry average.
3HM's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 21.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.72 | ||
| Fwd PE | 27.29 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 3HM is valued a bit cheaper than 65.38% of the companies in the same industry.
3HM's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. 3HM is cheaper than 70.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.75 | ||
| EV/EBITDA | 25.8 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
3HM has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as 3HM's earnings are expected to grow with 12.60% in the coming years.
PEG (NY)2.54
PEG (5Y)1.8
EPS Next 2Y12.91%
EPS Next 3Y12.6%
5. Dividend
5.1 Amount
3HM has a Yearly Dividend Yield of 1.36%. Purely for dividend investing, there may be better candidates out there.
In the last 3 months the price of 3HM has falen by -21.09%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 6.50, 3HM has a dividend in line with its industry peers.
With a Dividend Yield of 1.36, 3HM pays less dividend than the S&P500 average, which is at 2.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.36% |
5.2 History
On average, the dividend of 3HM grows each year by 19.74%, which is quite nice.
Dividend Growth(5Y)19.74%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
3HM pays out 45.68% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of 3HM is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP45.68%
EPS Next 2Y12.91%
EPS Next 3Y12.6%
FRA:3HM (4/25/2025, 7:00:00 PM)
465.7
-7.3 (-1.54%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners93.37%
Inst Owner ChangeN/A
Ins Owners2.87%
Ins Owner ChangeN/A
Market Cap36.14B
Analysts77.5
Price Target538.23 (15.57%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.36% |
Yearly Dividend5.72
Dividend Growth(5Y)19.74%
DP45.68%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.95%
Min EPS beat(2)0.18%
Max EPS beat(2)3.71%
EPS beat(4)4
Avg EPS beat(4)1.21%
Min EPS beat(4)0.18%
Max EPS beat(4)3.71%
EPS beat(8)8
Avg EPS beat(8)2.39%
EPS beat(12)12
Avg EPS beat(12)2.32%
EPS beat(16)15
Avg EPS beat(16)2.4%
Revenue beat(2)0
Avg Revenue beat(2)-1.93%
Min Revenue beat(2)-2.13%
Max Revenue beat(2)-1.74%
Revenue beat(4)0
Avg Revenue beat(4)-1.23%
Min Revenue beat(4)-2.13%
Max Revenue beat(4)-0.34%
Revenue beat(8)2
Avg Revenue beat(8)-0.79%
Revenue beat(12)2
Avg Revenue beat(12)-1.18%
Revenue beat(16)3
Avg Revenue beat(16)-1.02%
PT rev (1m)-16.63%
PT rev (3m)-17.29%
EPS NQ rev (1m)-0.06%
EPS NQ rev (3m)-1.71%
EPS NY rev (1m)-0.35%
EPS NY rev (3m)-0.96%
Revenue NQ rev (1m)-0.21%
Revenue NQ rev (3m)-0.75%
Revenue NY rev (1m)-0.82%
Revenue NY rev (3m)-1.47%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.72 | ||
| Fwd PE | 27.29 | ||
| P/S | 14.05 | ||
| P/FCF | 29.75 | ||
| P/OCF | 27.3 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 25.8 |
EPS(TTM)13.81
EY2.97%
EPS(NY)17.06
Fwd EY3.66%
FCF(TTM)15.65
FCFY3.36%
OCF(TTM)17.06
OCFY3.66%
SpS33.16
BVpS-10.88
TBVpS-54.05
PEG (NY)2.54
PEG (5Y)1.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.36% | ||
| ROE | N/A | ||
| ROCE | 40.39% | ||
| ROIC | 33.46% | ||
| ROICexc | 36.85% | ||
| ROICexgc | N/A | ||
| OM | 53.6% | ||
| PM (TTM) | 39.08% | ||
| GM | 82.11% | ||
| FCFM | 47.21% |
ROA(3y)19.53%
ROA(5y)17.22%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)29.39%
ROIC(5y)26.42%
ROICexc(3y)35.12%
ROICexc(5y)35.16%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)35.48%
ROCE(5y)31.9%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y5.35%
ROICexc growth 5Y1.03%
OM growth 3Y0.65%
OM growth 5Y1.98%
PM growth 3Y3.01%
PM growth 5Y1.43%
GM growth 3Y-0.19%
GM growth 5Y0.23%
F-Score6
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 3.3 | ||
| Debt/EBITDA | 2.59 | ||
| Cap/Depr | 66.19% | ||
| Cap/Sales | 4.23% | ||
| Interest Coverage | 8.72 | ||
| Cash Conversion | 85.75% | ||
| Profit Quality | 120.82% | ||
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.84 | ||
| Altman-Z | 6.66 |
F-Score6
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)64.15%
Cap/Depr(5y)61.29%
Cap/Sales(3y)3.62%
Cap/Sales(5y)3.37%
Profit Quality(3y)114.05%
Profit Quality(5y)117.82%
High Growth Momentum
Growth
EPS 1Y (TTM)12.72%
EPS 3Y15.17%
EPS 5Y18.74%
EPS Q2Q%13.64%
EPS Next Y13.28%
EPS Next 2Y12.91%
EPS Next 3Y12.6%
EPS Next 5Y12.09%
Revenue 1Y (TTM)11.67%
Revenue growth 3Y11.81%
Revenue growth 5Y12.89%
Sales Q2Q%9.69%
Revenue Next Year7.64%
Revenue Next 2Y7.96%
Revenue Next 3Y8.04%
Revenue Next 5Y8.17%
EBIT growth 1Y11.12%
EBIT growth 3Y12.53%
EBIT growth 5Y15.13%
EBIT Next Year20.55%
EBIT Next 3Y13.3%
EBIT Next 5Y11.68%
FCF growth 1Y33.14%
FCF growth 3Y16.55%
FCF growth 5Y16.16%
OCF growth 1Y34.78%
OCF growth 3Y17.06%
OCF growth 5Y16.18%