Maxar Technologies Inc (MAXR) Stock Fundamental Analysis
NYSE:MAXR - New York Stock Exchange, Inc. - US57778K1051 - Common Stock - Currency: USD
Overall MAXR gets a fundamental rating of 3 out of 10. We evaluated MAXR against 65 industry peers in the Aerospace & Defense industry. While MAXR is still in line with the averages on profitability rating, there are concerns on its financial health. While showing a medium growth rate, MAXR is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year MAXR has reported negative net income.
In the past year MAXR had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: MAXR reported negative net income in multiple years.
In the past 5 years MAXR always reported a positive cash flow from operatings.
1.2 Ratios
The profitability ratios for MAXR are negative, so there is not much use analyzing them.
Looking at the Return On Invested Capital, with a value of 0.22%, MAXR is in line with its industry, outperforming 40.91% of the companies in the same industry.
MAXR had an Average Return On Invested Capital over the past 3 years of 4.51%. This is below the industry average of 7.89%.
The last Return On Invested Capital (0.22%) for MAXR is well below the 3 year average (4.51%), which needs to be investigated, but indicates that MAXR had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | N/A | ||
| ROE | N/A | ||
| ROIC | 0.22% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)4.51%
ROIC(5y)N/A
1.3 Margins
With a Operating Margin value of 0.69%, MAXR perfoms like the industry average, outperforming 40.91% of the companies in the same industry.
Looking at the Gross Margin, with a value of 42.43%, MAXR belongs to the top of the industry, outperforming 84.85% of the companies in the same industry.
MAXR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.69% | ||
| PM (TTM) | N/A | ||
| GM | 42.43% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.76%
GM growth 5Y9.88%
2. Health
2.1 Basic Checks
MAXR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
MAXR has more shares outstanding than it did 1 year ago.
The debt/assets ratio for MAXR is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.78, we must say that MAXR is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.78, MAXR is not doing good in the industry: 71.21% of the companies in the same industry are doing better.
The Debt to FCF ratio of MAXR is 366.50, which is on the high side as it means it would take MAXR, 366.50 years of fcf income to pay off all of its debts.
MAXR has a Debt to FCF ratio of 366.50. This is comparable to the rest of the industry: MAXR outperforms 56.06% of its industry peers.
MAXR has a Debt/Equity ratio of 1.57. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of MAXR (1.57) is worse than 77.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.57 | ||
| Debt/FCF | 366.5 | ||
| Altman-Z | 0.78 |
ROIC/WACC0.03
WACC8.26%
2.3 Liquidity
A Current Ratio of 0.83 indicates that MAXR may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.83, MAXR is doing worse than 89.39% of the companies in the same industry.
MAXR has a Quick Ratio of 0.83. This is a bad value and indicates that MAXR is not financially healthy enough and could expect problems in meeting its short term obligations.
MAXR has a Quick ratio of 0.76. This is amonst the worse of the industry: MAXR underperforms 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.76 |
3. Growth
3.1 Past
MAXR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -235.33%.
Looking at the last year, MAXR shows a decrease in Revenue. The Revenue has decreased by -9.32% in the last year.
MAXR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.01% yearly.
EPS 1Y (TTM)-235.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-256.38%
Revenue 1Y (TTM)-9.32%
Revenue growth 3Y-1.24%
Revenue growth 5Y5.01%
Sales Q2Q%-30.34%
3.2 Future
The Earnings Per Share is expected to grow by 53.80% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 9.24% on average over the next years. This is quite good.
EPS Next Y171.25%
EPS Next 2Y72.57%
EPS Next 3Y53.8%
EPS Next 5YN/A
Revenue Next Year9.29%
Revenue Next 2Y7.77%
Revenue Next 3Y9.24%
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for MAXR. In the last year negative earnings were reported.
Based on the Price/Forward Earnings ratio of 36.64, the valuation of MAXR can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MAXR is on the same level as its industry peers.
MAXR is valuated expensively when we compare the Price/Forward Earnings ratio to 21.20, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 36.64 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MAXR is on the same level as its industry peers.
The rest of the industry has a similar Price/Free Cash Flow ratio as MAXR.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 641.73 | ||
| EV/EBITDA | 23.99 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
MAXR's earnings are expected to grow with 53.80% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y72.57%
EPS Next 3Y53.8%
5. Dividend
5.1 Amount
MAXR has a yearly dividend return of 0.08%, which is pretty low.
Compared to an average industry Dividend Yield of 1.35, MAXR pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.45, MAXR's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.08% |
5.2 History
The dividend of MAXR decreases each year by -44.46%.
MAXR has been paying a dividend for over 5 years, so it has already some track record.
MAXR has decreased its dividend in the last 3 years.
Dividend Growth(5Y)-44.46%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
DP0%
EPS Next 2Y72.57%
EPS Next 3Y53.8%
52.99
+0.01 (+0.02%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners0%
Inst Owner Change0%
Ins Owners0.57%
Ins Owner Change0%
Market Cap3.85B
Analysts48.89
Price Target45.39 (-14.34%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.08% |
Yearly Dividend0.06
Dividend Growth(5Y)-44.46%
DP0%
Div Incr Years0
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1331.99%
Min EPS beat(2)-2547.23%
Max EPS beat(2)-116.75%
EPS beat(4)0
Avg EPS beat(4)-785%
Min EPS beat(4)-2547.23%
Max EPS beat(4)-78.25%
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)-17.42%
Min Revenue beat(2)-28.5%
Max Revenue beat(2)-6.34%
Revenue beat(4)0
Avg Revenue beat(4)-11.32%
Min Revenue beat(4)-28.5%
Max Revenue beat(4)-4.77%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-24.03%
EPS NQ rev (3m)37.64%
EPS NY rev (1m)-12.07%
EPS NY rev (3m)-10.2%
Revenue NQ rev (1m)-0.04%
Revenue NQ rev (3m)0.18%
Revenue NY rev (1m)-2.18%
Revenue NY rev (3m)-1.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 36.64 | ||
| P/S | 2.4 | ||
| P/FCF | 641.73 | ||
| P/OCF | 11.85 | ||
| P/B | 2.78 | ||
| P/tB | N/A | ||
| EV/EBITDA | 23.99 |
EPS(TTM)-2.03
EYN/A
EPS(NY)1.45
Fwd EY2.73%
FCF(TTM)0.08
FCFY0.16%
OCF(TTM)4.47
OCFY8.44%
SpS22.09
BVpS19.09
TBVpS-13.49
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | N/A | ||
| ROE | N/A | ||
| ROCE | N/A | ||
| ROIC | 0.22% | ||
| ROICexc | 0.23% | ||
| ROICexgc | 0.6% | ||
| OM | 0.69% | ||
| PM (TTM) | N/A | ||
| GM | 42.43% | ||
| FCFM | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)4.51%
ROIC(5y)N/A
ROICexc(3y)1.63%
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.76%
GM growth 5Y9.88%
F-Score2
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.57 | ||
| Debt/FCF | 366.5 | ||
| Debt/EBITDA | 8.8 | ||
| Cap/Depr | 133.47% | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.76 | ||
| Altman-Z | 0.78 |
F-Score2
WACC8.26%
ROIC/WACC0.03
Cap/Depr(3y)100.89%
Cap/Depr(5y)86.62%
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)-235.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-256.38%
EPS Next Y171.25%
EPS Next 2Y72.57%
EPS Next 3Y53.8%
EPS Next 5YN/A
Revenue 1Y (TTM)-9.32%
Revenue growth 3Y-1.24%
Revenue growth 5Y5.01%
Sales Q2Q%-30.34%
Revenue Next Year9.29%
Revenue Next 2Y7.77%
Revenue Next 3Y9.24%
Revenue Next 5YN/A
EBIT growth 1Y-93.75%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year286.5%
EBIT Next 3Y63.59%
EBIT Next 5YN/A
FCF growth 1Y-87.23%
FCF growth 3Y25.99%
FCF growth 5Y-33.46%
OCF growth 1Y15.66%
OCF growth 3Y0.83%
OCF growth 5Y25.35%