MAIN STREET CAPITAL CORP (MAIN) Stock Fundamental Analysis
USA - NYSE:MAIN - US56035L1044 - Common Stock
57.15 USD
-0.06 (-0.1%)
57.25 USD
+0.1 (+0.17%)
We assign a fundamental rating of 5 out of 10 to MAIN. MAIN was compared to 237 industry peers in the Capital Markets industry. While MAIN has a great profitability rating, there are some minor concerns on its financial health. MAIN has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
MAIN had positive earnings in the past year.
MAIN had a positive operating cash flow in the past year.
In the past 5 years MAIN has always been profitable.
MAIN had negative operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of MAIN (10.15%) is better than 88.19% of its industry peers.
MAIN has a Return On Equity of 18.61%. This is amongst the best in the industry. MAIN outperforms 85.23% of its industry peers.
MAIN has a better Return On Invested Capital (5.50%) than 69.20% of its industry peers.
The Average Return On Invested Capital over the past 3 years for MAIN is below the industry average of 7.63%.
The 3 year average ROIC (5.48%) for MAIN is below the current ROIC(5.50%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.15% | ||
| ROE | 18.61% | ||
| ROIC | 5.5% |
ROA(3y)8.42%
ROA(5y)7.06%
ROE(3y)15.64%
ROE(5y)13.47%
ROIC(3y)5.48%
ROIC(5y)4.88%
1.3 Margins
The Profit Margin of MAIN (96.16%) is better than 99.16% of its industry peers.
In the last couple of years the Profit Margin of MAIN has grown nicely.
MAIN has a better Operating Margin (64.75%) than 97.47% of its industry peers.
MAIN's Operating Margin has been stable in the last couple of years.
MAIN has a better Gross Margin (76.50%) than 83.12% of its industry peers.
MAIN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 64.75% | ||
| PM (TTM) | 96.16% | ||
| GM | 76.5% |
OM growth 3Y1.25%
OM growth 5Y0.3%
PM growth 3Y-6.38%
PM growth 5Y12.02%
GM growth 3Y-1.04%
GM growth 5Y-0.55%
2. Health
2.1 Basic Checks
Compared to 1 year ago, MAIN has more shares outstanding
Compared to 5 years ago, MAIN has more shares outstanding
Compared to 1 year ago, MAIN has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.75, we must say that MAIN is in the distress zone and has some risk of bankruptcy.
MAIN has a better Altman-Z score (1.75) than 67.93% of its industry peers.
The Debt to FCF ratio of MAIN is 7.39, which is on the high side as it means it would take MAIN, 7.39 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 7.39, MAIN is in the better half of the industry, outperforming 60.34% of the companies in the same industry.
A Debt/Equity ratio of 0.77 indicates that MAIN is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.77, MAIN perfoms like the industry average, outperforming 57.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 7.39 | ||
| Altman-Z | 1.75 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
MAIN has a Current Ratio of 1.86. This is a normal value and indicates that MAIN is financially healthy and should not expect problems in meeting its short term obligations.
MAIN has a better Current ratio (1.86) than 69.62% of its industry peers.
A Quick Ratio of 1.86 indicates that MAIN should not have too much problems paying its short term obligations.
The Quick ratio of MAIN (1.86) is better than 70.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.86 | ||
| Quick Ratio | 1.86 |
3. Growth
3.1 Past
MAIN shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -2.43%.
Measured over the past years, MAIN shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.20% on average per year.
MAIN shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.14%.
The Revenue has been growing by 17.32% on average over the past years. This is quite good.
EPS 1Y (TTM)-2.43%
EPS 3Y15.62%
EPS 5Y10.2%
EPS Q2Q%-1.98%
Revenue 1Y (TTM)8.14%
Revenue growth 3Y23.25%
Revenue growth 5Y17.32%
Sales Q2Q%8.94%
3.2 Future
MAIN is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -0.76% yearly.
The Revenue is expected to decrease by -3.72% on average over the next years.
EPS Next Y-0.52%
EPS Next 2Y-1.01%
EPS Next 3Y-0.76%
EPS Next 5YN/A
Revenue Next Year3.74%
Revenue Next 2Y3.58%
Revenue Next 3Y-3.72%
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.
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
Based on the Price/Earnings ratio of 14.22, the valuation of MAIN can be described as correct.
MAIN's Price/Earnings is on the same level as the industry average.
MAIN is valuated rather cheaply when we compare the Price/Earnings ratio to 26.13, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 14.29, MAIN is valued correctly.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MAIN is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of MAIN to the average of the S&P500 Index (22.35), we can say MAIN is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.22 | ||
| Fwd PE | 14.29 |
4.2 Price Multiples
MAIN's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.04 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The decent profitability rating of MAIN may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.39
EPS Next 2Y-1.01%
EPS Next 3Y-0.76%
5. Dividend
5.1 Amount
MAIN has a Yearly Dividend Yield of 5.43%, which is a nice return.
Compared to an average industry Dividend Yield of 8.57, MAIN has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.39, MAIN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.43% |
5.2 History
The dividend of MAIN is nicely growing with an annual growth rate of 7.16%!
MAIN has been paying a dividend for at least 10 years, so it has a reliable track record.
MAIN has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)7.16%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
MAIN pays out 61.74% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of MAIN has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP61.74%
EPS Next 2Y-1.01%
EPS Next 3Y-0.76%
57.15
-0.06 (-0.1%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners23.95%
Inst Owner Change-1.83%
Ins Owners1.59%
Ins Owner Change-1.25%
Market Cap5.11B
Revenue(TTM)558.28M
Net Income(TTM)536.85M
Analysts72.31
Price Target62.56 (9.47%)
Short Float %5.99%
Short Ratio8.41
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.43% |
Yearly Dividend3.7
Dividend Growth(5Y)7.16%
DP61.74%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.56%
Min EPS beat(2)-1.58%
Max EPS beat(2)-1.55%
EPS beat(4)0
Avg EPS beat(4)-2.58%
Min EPS beat(4)-3.91%
Max EPS beat(4)-1.55%
EPS beat(8)1
Avg EPS beat(8)-1.74%
EPS beat(12)5
Avg EPS beat(12)0.68%
EPS beat(16)9
Avg EPS beat(16)2.3%
Revenue beat(2)1
Avg Revenue beat(2)0.34%
Min Revenue beat(2)-2.19%
Max Revenue beat(2)2.86%
Revenue beat(4)1
Avg Revenue beat(4)-1.36%
Min Revenue beat(4)-3.15%
Max Revenue beat(4)2.86%
Revenue beat(8)3
Avg Revenue beat(8)-0.92%
Revenue beat(12)7
Avg Revenue beat(12)1.06%
Revenue beat(16)10
Avg Revenue beat(16)2.04%
PT rev (1m)-1.08%
PT rev (3m)9.04%
EPS NQ rev (1m)-0.58%
EPS NQ rev (3m)-0.04%
EPS NY rev (1m)-0.92%
EPS NY rev (3m)0.64%
Revenue NQ rev (1m)-0.44%
Revenue NQ rev (3m)1.49%
Revenue NY rev (1m)-0.14%
Revenue NY rev (3m)2.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.22 | ||
| Fwd PE | 14.29 | ||
| P/S | 9.15 | ||
| P/FCF | 17.04 | ||
| P/OCF | 17.04 | ||
| P/B | 1.77 | ||
| P/tB | 1.77 | ||
| EV/EBITDA | N/A |
EPS(TTM)4.02
EY7.03%
EPS(NY)4
Fwd EY7%
FCF(TTM)3.35
FCFY5.87%
OCF(TTM)3.35
OCFY5.87%
SpS6.24
BVpS32.25
TBVpS32.25
PEG (NY)N/A
PEG (5Y)1.39
Graham Number54.01
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.15% | ||
| ROE | 18.61% | ||
| ROCE | 6.96% | ||
| ROIC | 5.5% | ||
| ROICexc | 5.59% | ||
| ROICexgc | 5.59% | ||
| OM | 64.75% | ||
| PM (TTM) | 96.16% | ||
| GM | 76.5% | ||
| FCFM | 53.74% |
ROA(3y)8.42%
ROA(5y)7.06%
ROE(3y)15.64%
ROE(5y)13.47%
ROIC(3y)5.48%
ROIC(5y)4.88%
ROICexc(3y)5.55%
ROICexc(5y)4.95%
ROICexgc(3y)5.55%
ROICexgc(5y)4.95%
ROCE(3y)6.93%
ROCE(5y)6.18%
ROICexgc growth 3Y12.2%
ROICexgc growth 5Y3.63%
ROICexc growth 3Y12.2%
ROICexc growth 5Y3.63%
OM growth 3Y1.25%
OM growth 5Y0.3%
PM growth 3Y-6.38%
PM growth 5Y12.02%
GM growth 3Y-1.04%
GM growth 5Y-0.55%
F-Score5
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 7.39 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 2.81 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 55.88% | ||
| Current Ratio | 1.86 | ||
| Quick Ratio | 1.86 | ||
| Altman-Z | 1.75 |
F-Score5
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-2.43%
EPS 3Y15.62%
EPS 5Y10.2%
EPS Q2Q%-1.98%
EPS Next Y-0.52%
EPS Next 2Y-1.01%
EPS Next 3Y-0.76%
EPS Next 5YN/A
Revenue 1Y (TTM)8.14%
Revenue growth 3Y23.25%
Revenue growth 5Y17.32%
Sales Q2Q%8.94%
Revenue Next Year3.74%
Revenue Next 2Y3.58%
Revenue Next 3Y-3.72%
Revenue Next 5YN/A
EBIT growth 1Y3.54%
EBIT growth 3Y24.79%
EBIT growth 5Y17.67%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y287.74%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y287.74%
OCF growth 3YN/A
OCF growth 5YN/A
MAIN STREET CAPITAL CORP / MAIN FAQ
Can you provide the ChartMill fundamental rating for MAIN STREET CAPITAL CORP?
ChartMill assigns a fundamental rating of 5 / 10 to MAIN.
Can you provide the valuation status for MAIN STREET CAPITAL CORP?
ChartMill assigns a valuation rating of 3 / 10 to MAIN STREET CAPITAL CORP (MAIN). This can be considered as Overvalued.
What is the profitability of MAIN stock?
MAIN STREET CAPITAL CORP (MAIN) has a profitability rating of 7 / 10.
What is the valuation of MAIN STREET CAPITAL CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for MAIN STREET CAPITAL CORP (MAIN) is 14.22 and the Price/Book (PB) ratio is 1.77.
Can you provide the dividend sustainability for MAIN stock?
The dividend rating of MAIN STREET CAPITAL CORP (MAIN) is 6 / 10 and the dividend payout ratio is 61.74%.