MARCUS CORPORATION (MCS) Stock Fundamental Analysis
USA - NYSE:MCS - US5663301068 - Common Stock
15.56 USD
-0.38 (-2.38%)
15.56 USD
0 (0%)
Overall MCS gets a fundamental rating of 4 out of 10. We evaluated MCS against 79 industry peers in the Entertainment industry. While MCS is still in line with the averages on profitability rating, there are concerns on its financial health. MCS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
MCS had positive earnings in the past year.
In the past year MCS had a positive cash flow from operations.
MCS had negative earnings in 4 of the past 5 years.
Of the past 5 years MCS 4 years had a positive operating cash flow.
1.2 Ratios
MCS's Return On Assets of 1.46% is fine compared to the rest of the industry. MCS outperforms 68.35% of its industry peers.
MCS's Return On Equity of 3.30% is fine compared to the rest of the industry. MCS outperforms 70.89% of its industry peers.
MCS has a better Return On Invested Capital (2.26%) than 63.29% of its industry peers.
The Average Return On Invested Capital over the past 3 years for MCS is significantly below the industry average of 9.12%.
The last Return On Invested Capital (2.26%) for MCS is above the 3 year average (1.74%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.46% | ||
| ROE | 3.3% | ||
| ROIC | 2.26% |
ROA(3y)-0.16%
ROA(5y)-2.82%
ROE(3y)-0.39%
ROE(5y)-7.15%
ROIC(3y)1.74%
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 1.91%, MCS is doing good in the industry, outperforming 62.03% of the companies in the same industry.
The Operating Margin of MCS (3.66%) is better than 64.56% of its industry peers.
MCS's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 38.85%, MCS perfoms like the industry average, outperforming 48.10% of the companies in the same industry.
MCS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.66% | ||
| PM (TTM) | 1.91% | ||
| GM | 38.85% |
OM growth 3YN/A
OM growth 5Y-18.51%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.86%
GM growth 5Y-0.54%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so MCS is destroying value.
MCS has less shares outstanding than it did 1 year ago.
The number of shares outstanding for MCS has been increased compared to 5 years ago.
MCS has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.62, we must say that MCS is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.62, MCS is in line with its industry, outperforming 58.23% of the companies in the same industry.
MCS has a Debt/Equity ratio of 0.40. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of MCS (0.40) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.62 |
ROIC/WACC0.31
WACC7.32%
2.3 Liquidity
A Current Ratio of 0.39 indicates that MCS may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.39, MCS is doing worse than 84.81% of the companies in the same industry.
MCS has a Quick Ratio of 0.39. This is a bad value and indicates that MCS is not financially healthy enough and could expect problems in meeting its short term obligations.
MCS has a worse Quick ratio (0.39) than 83.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.39 | ||
| Quick Ratio | 0.39 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 170.59% over the past year.
Looking at the last year, MCS shows a small growth in Revenue. The Revenue has grown by 0.82% in the last year.
MCS shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -2.17% yearly.
EPS 1Y (TTM)170.59%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-28.77%
Revenue 1Y (TTM)0.82%
Revenue growth 3Y17.09%
Revenue growth 5Y-2.17%
Sales Q2Q%-9.68%
3.2 Future
The Earnings Per Share is expected to grow by 72.94% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 3.98% on average over the next years.
EPS Next Y220.91%
EPS Next 2Y113.02%
EPS Next 3Y72.94%
EPS Next 5YN/A
Revenue Next Year4.95%
Revenue Next 2Y4.89%
Revenue Next 3Y4.51%
Revenue Next 5Y3.98%
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 64.83, which means the current valuation is very expensive for MCS.
Based on the Price/Earnings ratio, MCS is valued a bit cheaper than the industry average as 67.09% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 25.89. MCS is valued rather expensively when compared to this.
The Price/Forward Earnings ratio is 23.58, which indicates a rather expensive current valuation of MCS.
74.68% of the companies in the same industry are more expensive than MCS, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of MCS to the average of the S&P500 Index (34.59), we can say MCS is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 64.83 | ||
| Fwd PE | 23.58 |
4.2 Price Multiples
84.81% of the companies in the same industry are more expensive than MCS, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 6.83 |
4.3 Compensation for Growth
MCS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
MCS's earnings are expected to grow with 72.94% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.29
PEG (5Y)N/A
EPS Next 2Y113.02%
EPS Next 3Y72.94%
5. Dividend
5.1 Amount
MCS has a Yearly Dividend Yield of 2.01%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 41.57, MCS pays a better dividend. On top of this MCS pays more dividend than 91.14% of the companies listed in the same industry.
MCS's Dividend Yield is comparable with the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.01% |
5.2 History
The dividend of MCS decreases each year by -13.79%.
MCS has been paying a dividend for at least 10 years, so it has a reliable track record.
MCS has decreased its dividend in the last 3 years.
Dividend Growth(5Y)-13.79%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
MCS pays out 58.72% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP58.72%
EPS Next 2Y113.02%
EPS Next 3Y72.94%
15.56
-0.38 (-2.38%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners78.83%
Inst Owner Change0.11%
Ins Owners4.98%
Ins Owner Change-0.42%
Market Cap487.18M
Revenue(TTM)735.56M
Net Income(TTM)14.80M
Analysts84.44
Price Target24.48 (57.33%)
Short Float %3.85%
Short Ratio3.99
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.01% |
Yearly Dividend0.28
Dividend Growth(5Y)-13.79%
DP58.72%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.53%
Min EPS beat(2)-10.24%
Max EPS beat(2)15.3%
EPS beat(4)2
Avg EPS beat(4)-2.7%
Min EPS beat(4)-73%
Max EPS beat(4)57.12%
EPS beat(8)3
Avg EPS beat(8)-322.91%
EPS beat(12)5
Avg EPS beat(12)-221.55%
EPS beat(16)8
Avg EPS beat(16)-136.28%
Revenue beat(2)2
Avg Revenue beat(2)3.53%
Min Revenue beat(2)1.76%
Max Revenue beat(2)5.29%
Revenue beat(4)4
Avg Revenue beat(4)4.38%
Min Revenue beat(4)1.76%
Max Revenue beat(4)8.6%
Revenue beat(8)7
Avg Revenue beat(8)3.4%
Revenue beat(12)11
Avg Revenue beat(12)3.65%
Revenue beat(16)15
Avg Revenue beat(16)6.74%
PT rev (1m)-4%
PT rev (3m)-4%
EPS NQ rev (1m)1.7%
EPS NQ rev (3m)-14.54%
EPS NY rev (1m)-16.63%
EPS NY rev (3m)-30.32%
Revenue NQ rev (1m)-1.35%
Revenue NQ rev (3m)-3.54%
Revenue NY rev (1m)-1.35%
Revenue NY rev (3m)-1.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 64.83 | ||
| Fwd PE | 23.58 | ||
| P/S | 0.63 | ||
| P/FCF | N/A | ||
| P/OCF | 6.14 | ||
| P/B | 1.09 | ||
| P/tB | 1.3 | ||
| EV/EBITDA | 6.83 |
EPS(TTM)0.24
EY1.54%
EPS(NY)0.66
Fwd EY4.24%
FCF(TTM)-0.14
FCFYN/A
OCF(TTM)2.54
OCFY16.29%
SpS24.78
BVpS14.32
TBVpS11.93
PEG (NY)0.29
PEG (5Y)N/A
Graham Number8.79
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.46% | ||
| ROE | 3.3% | ||
| ROCE | 3.3% | ||
| ROIC | 2.26% | ||
| ROICexc | 2.3% | ||
| ROICexgc | 2.52% | ||
| OM | 3.66% | ||
| PM (TTM) | 1.91% | ||
| GM | 38.85% | ||
| FCFM | N/A |
ROA(3y)-0.16%
ROA(5y)-2.82%
ROE(3y)-0.39%
ROE(5y)-7.15%
ROIC(3y)1.74%
ROIC(5y)N/A
ROICexc(3y)1.83%
ROICexc(5y)N/A
ROICexgc(3y)2.03%
ROICexgc(5y)N/A
ROCE(3y)2.54%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y-14.17%
ROICexc growth 3YN/A
ROICexc growth 5Y-14.65%
OM growth 3YN/A
OM growth 5Y-18.51%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.86%
GM growth 5Y-0.54%
F-Score7
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.81 | ||
| Cap/Depr | 118.61% | ||
| Cap/Sales | 10.81% | ||
| Interest Coverage | 3.38 | ||
| Cash Conversion | 80.12% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.39 | ||
| Quick Ratio | 0.39 | ||
| Altman-Z | 1.62 |
F-Score7
WACC7.32%
ROIC/WACC0.31
Cap/Depr(3y)76.34%
Cap/Depr(5y)56.25%
Cap/Sales(3y)7.17%
Cap/Sales(5y)6.85%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)170.59%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-28.77%
EPS Next Y220.91%
EPS Next 2Y113.02%
EPS Next 3Y72.94%
EPS Next 5YN/A
Revenue 1Y (TTM)0.82%
Revenue growth 3Y17.09%
Revenue growth 5Y-2.17%
Sales Q2Q%-9.68%
Revenue Next Year4.95%
Revenue Next 2Y4.89%
Revenue Next 3Y4.51%
Revenue Next 5Y3.98%
EBIT growth 1Y209.42%
EBIT growth 3YN/A
EBIT growth 5Y-20.28%
EBIT Next Year312.54%
EBIT Next 3Y65.19%
EBIT Next 5Y51.8%
FCF growth 1Y-109.14%
FCF growth 3Y-5.39%
FCF growth 5Y-20.4%
OCF growth 1Y-6.95%
OCF growth 3Y30.94%
OCF growth 5Y-5.98%
MARCUS CORPORATION / MCS FAQ
What is the fundamental rating for MCS stock?
ChartMill assigns a fundamental rating of 4 / 10 to MCS.
What is the valuation status for MCS stock?
ChartMill assigns a valuation rating of 4 / 10 to MARCUS CORPORATION (MCS). This can be considered as Fairly Valued.
What is the profitability of MCS stock?
MARCUS CORPORATION (MCS) has a profitability rating of 5 / 10.
What is the valuation of MARCUS CORPORATION based on its PE and PB ratios?
The Price/Earnings (PE) ratio for MARCUS CORPORATION (MCS) is 64.83 and the Price/Book (PB) ratio is 1.09.
What is the expected EPS growth for MARCUS CORPORATION (MCS) stock?
The Earnings per Share (EPS) of MARCUS CORPORATION (MCS) is expected to grow by 220.91% in the next year.