MATTHEWS INTL CORP-CLASS A (MATW) Stock Fundamental Analysis
NASDAQ:MATW - Nasdaq - US5771281012 - Common Stock
MATW gets a fundamental rating of 2 out of 10. The analysis compared the fundamentals against 83 industry peers in the Commercial Services & Supplies industry. MATW has a bad profitability rating. Also its financial health evaluation is rather negative. MATW has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year MATW was profitable.
MATW had a positive operating cash flow in the past year.
In multiple years MATW reported negative net income over the last 5 years.
In the past 5 years MATW always reported a positive cash flow from operatings.
1.2 Ratios
MATW's Return On Assets of -3.25% is on the low side compared to the rest of the industry. MATW is outperformed by 65.85% of its industry peers.
The Return On Equity of MATW (-13.65%) is worse than 67.07% of its industry peers.
The Return On Invested Capital of MATW (0.25%) is worse than 67.07% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MATW is significantly below the industry average of 10.08%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.25% | ||
| ROE | -13.65% | ||
| ROIC | 0.25% |
ROA(3y)-2.16%
ROA(5y)-2.11%
ROE(3y)-8.88%
ROE(5y)-8.09%
ROIC(3y)2.51%
ROIC(5y)2.14%
1.3 Margins
Looking at the Operating Margin, with a value of 0.25%, MATW is doing worse than 67.07% of the companies in the same industry.
In the last couple of years the Operating Margin of MATW has declined.
MATW's Gross Margin of 29.50% is in line compared to the rest of the industry. MATW outperforms 48.78% of its industry peers.
MATW's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.25% | ||
| PM (TTM) | N/A | ||
| GM | 29.5% |
OM growth 3Y-53.96%
OM growth 5Y-46.73%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.1%
GM growth 5Y-3.52%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MATW is destroying value.
The number of shares outstanding for MATW has been increased compared to 1 year ago.
Compared to 5 years ago, MATW has less shares outstanding
MATW has a worse debt/assets ratio than last year.
2.2 Solvency
MATW has an Altman-Z score of 2.00. This is not the best score and indicates that MATW is in the grey zone with still only limited risk for bankruptcy at the moment.
MATW has a Altman-Z score (2.00) which is comparable to the rest of the industry.
The Debt to FCF ratio of MATW is 22.79, which is on the high side as it means it would take MATW, 22.79 years of fcf income to pay off all of its debts.
MATW has a Debt to FCF ratio of 22.79. This is comparable to the rest of the industry: MATW outperforms 41.46% of its industry peers.
A Debt/Equity ratio of 1.76 is on the high side and indicates that MATW has dependencies on debt financing.
MATW has a Debt to Equity ratio of 1.76. This is in the lower half of the industry: MATW underperforms 79.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.76 | ||
| Debt/FCF | 22.79 | ||
| Altman-Z | 2 |
ROIC/WACC0.03
WACC8.79%
2.3 Liquidity
A Current Ratio of 1.45 indicates that MATW should not have too much problems paying its short term obligations.
MATW has a Current ratio (1.45) which is in line with its industry peers.
MATW has a Quick Ratio of 1.45. This is a bad value and indicates that MATW is not financially healthy enough and could expect problems in meeting its short term obligations.
MATW has a worse Quick ratio (0.91) than 73.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.45 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
The earnings per share for MATW have decreased strongly by -24.65% in the last year.
The Earnings Per Share has been decreasing by -8.10% on average over the past years.
Looking at the last year, MATW shows a decrease in Revenue. The Revenue has decreased by -4.53% in the last year.
Measured over the past years, MATW shows a small growth in Revenue. The Revenue has been growing by 3.16% on average per year.
EPS 1Y (TTM)-24.65%
EPS 3Y-12.86%
EPS 5Y-8.1%
EPS Q2Q%-42.71%
Revenue 1Y (TTM)-4.53%
Revenue growth 3Y2.43%
Revenue growth 5Y3.16%
Sales Q2Q%-6.97%
3.2 Future
The Earnings Per Share is expected to decrease by -14.37% on average over the next years. This is quite bad
Based on estimates for the next years, MATW will show a small growth in Revenue. The Revenue will grow by 0.87% on average per year.
EPS Next Y-15.39%
EPS Next 2Y-14.37%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-0.27%
Revenue Next 2Y0.87%
Revenue Next 3YN/A
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
The Price/Earnings ratio is 14.35, which indicates a correct valuation of MATW.
81.71% of the companies in the same industry are more expensive than MATW, based on the Price/Earnings ratio.
MATW is valuated rather cheaply when we compare the Price/Earnings ratio to 28.29, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 16.96, which indicates a correct valuation of MATW.
Based on the Price/Forward Earnings ratio, MATW is valued a bit cheaper than 76.83% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 24.44. MATW is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.35 | ||
| Fwd PE | 16.96 |
4.2 Price Multiples
MATW's Enterprise Value to EBITDA ratio is in line with the industry average.
MATW's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.97 | ||
| EV/EBITDA | 16.99 |
4.3 Compensation for Growth
MATW's earnings are expected to decrease with -14.37% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-14.37%
EPS Next 3YN/A
5. Dividend
5.1 Amount
MATW has a Yearly Dividend Yield of 3.19%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.09, MATW pays a better dividend. On top of this MATW pays more dividend than 90.24% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.28, MATW pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.19% |
5.2 History
The dividend of MATW has a limited annual growth rate of 4.81%.
MATW has paid a dividend for at least 10 years, which is a reliable track record.
MATW has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.81%
Div Incr Years27
Div Non Decr Years27
5.3 Sustainability
MATW has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-52.65%
EPS Next 2Y-14.37%
EPS Next 3YN/A
MATTHEWS INTL CORP-CLASS A
NASDAQ:MATW (1/21/2025, 4:30:00 PM)
After market: 31.14 0 (0%)31.14
+0.12 (+0.39%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners83.41%
Inst Owner Change-0.08%
Ins Owners4.14%
Ins Owner Change13.34%
Market Cap952.88M
Analysts82.5
Price Target37.74 (21.19%)
Short Float %2.88%
Short Ratio4.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.19% |
Yearly Dividend1.03
Dividend Growth(5Y)4.81%
DP-52.65%
Div Incr Years27
Div Non Decr Years27
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)20.41%
Min EPS beat(2)-1.08%
Max EPS beat(2)41.9%
EPS beat(4)2
Avg EPS beat(4)21.88%
Min EPS beat(4)-1.96%
Max EPS beat(4)48.67%
EPS beat(8)5
Avg EPS beat(8)15.9%
EPS beat(12)9
Avg EPS beat(12)14.16%
EPS beat(16)13
Avg EPS beat(16)16.69%
Revenue beat(2)0
Avg Revenue beat(2)-3.69%
Min Revenue beat(2)-6.81%
Max Revenue beat(2)-0.57%
Revenue beat(4)1
Avg Revenue beat(4)-2.05%
Min Revenue beat(4)-6.81%
Max Revenue beat(4)0.77%
Revenue beat(8)3
Avg Revenue beat(8)-0.52%
Revenue beat(12)6
Avg Revenue beat(12)1.08%
Revenue beat(16)10
Avg Revenue beat(16)2.64%
PT rev (1m)0%
PT rev (3m)-13.95%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-26.53%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.35 | ||
| Fwd PE | 16.96 | ||
| P/S | 0.53 | ||
| P/FCF | 27.97 | ||
| P/OCF | 12.02 | ||
| P/B | 2.18 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.99 |
EPS(TTM)2.17
EY6.97%
EPS(NY)1.84
Fwd EY5.9%
FCF(TTM)1.11
FCFY3.57%
OCF(TTM)2.59
OCFY8.32%
SpS58.68
BVpS14.29
TBVpS-12.61
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.25% | ||
| ROE | -13.65% | ||
| ROCE | 0.31% | ||
| ROIC | 0.25% | ||
| ROICexc | 0.26% | ||
| ROICexgc | 0.65% | ||
| OM | 0.25% | ||
| PM (TTM) | N/A | ||
| GM | 29.5% | ||
| FCFM | 1.9% |
ROA(3y)-2.16%
ROA(5y)-2.11%
ROE(3y)-8.88%
ROE(5y)-8.09%
ROIC(3y)2.51%
ROIC(5y)2.14%
ROICexc(3y)2.6%
ROICexc(5y)2.21%
ROICexgc(3y)6.57%
ROICexgc(5y)5.73%
ROCE(3y)3.17%
ROCE(5y)2.7%
ROICexcg growth 3Y-51.22%
ROICexcg growth 5Y-43.29%
ROICexc growth 3Y-49.91%
ROICexc growth 5Y-41.4%
OM growth 3Y-53.96%
OM growth 5Y-46.73%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.1%
GM growth 5Y-3.52%
F-Score3
Asset Turnover0.98
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.76 | ||
| Debt/FCF | 22.79 | ||
| Debt/EBITDA | 7.76 | ||
| Cap/Depr | 47.71% | ||
| Cap/Sales | 2.52% | ||
| Interest Coverage | 0.09 | ||
| Cash Conversion | 79.94% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.45 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z | 2 |
F-Score3
WACC8.79%
ROIC/WACC0.03
Cap/Depr(3y)53.01%
Cap/Depr(5y)42.79%
Cap/Sales(3y)2.9%
Cap/Sales(5y)2.61%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-24.65%
EPS 3Y-12.86%
EPS 5Y-8.1%
EPS Q2Q%-42.71%
EPS Next Y-15.39%
EPS Next 2Y-14.37%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-4.53%
Revenue growth 3Y2.43%
Revenue growth 5Y3.16%
Sales Q2Q%-6.97%
Revenue Next Year-0.27%
Revenue Next 2Y0.87%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-95.01%
EBIT growth 3Y-52.84%
EBIT growth 5Y-45.05%
EBIT Next Year327.12%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y17.87%
FCF growth 3Y-35.76%
FCF growth 5Y-18.27%
OCF growth 1Y-0.27%
OCF growth 3Y-21.32%
OCF growth 5Y-9.57%