MARCUS CORPORATION (MCS) Stock Fundamental Analysis
NYSE:MCS - New York Stock Exchange, Inc. - US5663301068 - Common Stock - Currency: USD
Overall MCS gets a fundamental rating of 3 out of 10. We evaluated MCS against 71 industry peers in the Entertainment industry. MCS has a bad profitability rating. Also its financial health evaluation is rather negative. MCS is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
MCS had negative earnings in the past year.
In the past year MCS had a positive cash flow from operations.
In multiple years MCS reported negative net income over the last 5 years.
MCS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With a Return On Assets value of -0.98%, MCS perfoms like the industry average, outperforming 59.09% of the companies in the same industry.
With a decent Return On Equity value of -2.21%, MCS is doing good in the industry, outperforming 62.12% of the companies in the same industry.
With a decent Return On Invested Capital value of 1.58%, MCS is doing good in the industry, outperforming 60.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.98% | ||
| ROE | -2.21% | ||
| ROIC | 1.58% |
ROA(3y)-1.13%
ROA(5y)-2.05%
ROE(3y)-3.01%
ROE(5y)-5.46%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
MCS's Profit Margin has declined in the last couple of years.
MCS has a better Operating Margin (2.89%) than 62.12% of its industry peers.
In the last couple of years the Operating Margin of MCS has declined.
Looking at the Gross Margin, with a value of 39.22%, MCS is doing worse than 63.64% of the companies in the same industry.
In the last couple of years the Gross Margin of MCS has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.89% | ||
| PM (TTM) | N/A | ||
| GM | 39.22% |
OM growth 3YN/A
OM growth 5Y-16.73%
PM growth 3YN/A
PM growth 5Y-23.12%
GM growth 3Y22.25%
GM growth 5Y-2.02%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MCS is destroying value.
MCS has more shares outstanding than it did 1 year ago.
MCS has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, MCS has an improved debt to assets ratio.
2.2 Solvency
MCS has an Altman-Z score of 1.71. This is a bad value and indicates that MCS is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.71, MCS is in line with its industry, outperforming 57.58% of the companies in the same industry.
MCS has a debt to FCF ratio of 10.00. This is a negative value and a sign of low solvency as MCS would need 10.00 years to pay back of all of its debts.
MCS's Debt to FCF ratio of 10.00 is fine compared to the rest of the industry. MCS outperforms 60.61% of its industry peers.
MCS has a Debt/Equity ratio of 0.38. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of MCS (0.38) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 10 | ||
| Altman-Z | 1.71 |
ROIC/WACC0.2
WACC7.8%
2.3 Liquidity
MCS has a Current Ratio of 0.54. This is a bad value and indicates that MCS is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of MCS (0.54) is worse than 77.27% of its industry peers.
MCS has a Quick Ratio of 0.54. This is a bad value and indicates that MCS is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of MCS (0.54) is worse than 75.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.54 | ||
| Quick Ratio | 0.54 |
3. Growth
3.1 Past
MCS shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -780.00%.
MCS shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -31.37% yearly.
Looking at the last year, MCS shows a decrease in Revenue. The Revenue has decreased by -3.04% in the last year.
The Revenue has been growing slightly by 0.63% on average over the past years.
EPS 1Y (TTM)-780%
EPS 3YN/A
EPS 5Y-31.37%
EPS Q2Q%135.48%
Revenue 1Y (TTM)-3.04%
Revenue growth 3Y45.33%
Revenue growth 5Y0.63%
Sales Q2Q%11.45%
3.2 Future
The Earnings Per Share is expected to grow by 35.87% on average over the next years. This is a very strong growth
Based on estimates for the next years, MCS will show a small growth in Revenue. The Revenue will grow by 3.03% on average per year.
EPS Next Y-174.07%
EPS Next 2Y37.92%
EPS Next 3Y35.87%
EPS Next 5YN/A
Revenue Next Year0.71%
Revenue Next 2Y3.31%
Revenue Next 3Y4.06%
Revenue Next 5Y3.03%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
MCS reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
With a Price/Forward Earnings ratio of 36.62, MCS can be considered very expensive at the moment.
69.70% of the companies in the same industry are more expensive than MCS, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.68, MCS is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 36.62 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MCS indicates a rather cheap valuation: MCS is cheaper than 81.82% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MCS indicates a somewhat cheap valuation: MCS is cheaper than 69.70% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.26 | ||
| EV/EBITDA | 9.64 |
4.3 Compensation for Growth
A more expensive valuation may be justified as MCS's earnings are expected to grow with 35.87% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y37.92%
EPS Next 3Y35.87%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.30%, MCS has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 5.24, MCS pays a better dividend. On top of this MCS pays more dividend than 90.91% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.27, MCS's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.3% |
5.2 History
The dividend of MCS decreases each year by -13.47%.
MCS has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of MCS decreased in the last 3 years.
Dividend Growth(5Y)-13.47%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
MCS has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-85.81%
EPS Next 2Y37.92%
EPS Next 3Y35.87%
20.9
-0.63 (-2.93%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners79.91%
Inst Owner Change-5.52%
Ins Owners5.57%
Ins Owner Change9.56%
Market Cap657.93M
Analysts82.86
Price Target26.52 (26.89%)
Short Float %3.13%
Short Ratio4.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.3% |
Yearly Dividend0.24
Dividend Growth(5Y)-13.47%
DP-85.81%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1288.76%
Min EPS beat(2)-2634.65%
Max EPS beat(2)57.12%
EPS beat(4)2
Avg EPS beat(4)-626.74%
Min EPS beat(4)-2634.65%
Max EPS beat(4)70.88%
EPS beat(8)3
Avg EPS beat(8)-329.02%
EPS beat(12)6
Avg EPS beat(12)-185.55%
EPS beat(16)9
Avg EPS beat(16)-131.02%
Revenue beat(2)2
Avg Revenue beat(2)7.49%
Min Revenue beat(2)6.38%
Max Revenue beat(2)8.6%
Revenue beat(4)3
Avg Revenue beat(4)4.55%
Min Revenue beat(4)-0.3%
Max Revenue beat(4)8.6%
Revenue beat(8)7
Avg Revenue beat(8)3.26%
Revenue beat(12)11
Avg Revenue beat(12)6.02%
Revenue beat(16)14
Avg Revenue beat(16)5.92%
PT rev (1m)4%
PT rev (3m)30%
EPS NQ rev (1m)11.11%
EPS NQ rev (3m)-16.67%
EPS NY rev (1m)2.22%
EPS NY rev (3m)29.03%
Revenue NQ rev (1m)2.92%
Revenue NQ rev (3m)2.92%
Revenue NY rev (1m)0.6%
Revenue NY rev (3m)0.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 36.62 | ||
| P/S | 0.93 | ||
| P/FCF | 35.26 | ||
| P/OCF | 7.7 | ||
| P/B | 1.42 | ||
| P/tB | 1.7 | ||
| EV/EBITDA | 9.64 |
EPS(TTM)-0.34
EYN/A
EPS(NY)0.57
Fwd EY2.73%
FCF(TTM)0.59
FCFY2.84%
OCF(TTM)2.71
OCFY12.98%
SpS22.52
BVpS14.69
TBVpS12.3
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.98% | ||
| ROE | -2.21% | ||
| ROCE | 2.31% | ||
| ROIC | 1.58% | ||
| ROICexc | 1.63% | ||
| ROICexgc | 1.79% | ||
| OM | 2.89% | ||
| PM (TTM) | N/A | ||
| GM | 39.22% | ||
| FCFM | 2.63% |
ROA(3y)-1.13%
ROA(5y)-2.05%
ROE(3y)-3.01%
ROE(5y)-5.46%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
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 5Y-16.06%
ROICexc growth 3YN/A
ROICexc growth 5Y-16.65%
OM growth 3YN/A
OM growth 5Y-16.73%
PM growth 3YN/A
PM growth 5Y-23.12%
GM growth 3Y22.25%
GM growth 5Y-2.02%
F-Score4
Asset Turnover0.68
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 10 | ||
| Debt/EBITDA | 2 | ||
| Cap/Depr | 100.69% | ||
| Cap/Sales | 9.42% | ||
| Interest Coverage | 2.31 | ||
| Cash Conversion | 98.44% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.54 | ||
| Quick Ratio | 0.54 | ||
| Altman-Z | 1.71 |
F-Score4
WACC7.8%
ROIC/WACC0.2
Cap/Depr(3y)45.39%
Cap/Depr(5y)50.67%
Cap/Sales(3y)4.83%
Cap/Sales(5y)6.26%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-780%
EPS 3YN/A
EPS 5Y-31.37%
EPS Q2Q%135.48%
EPS Next Y-174.07%
EPS Next 2Y37.92%
EPS Next 3Y35.87%
EPS Next 5YN/A
Revenue 1Y (TTM)-3.04%
Revenue growth 3Y45.33%
Revenue growth 5Y0.63%
Sales Q2Q%11.45%
Revenue Next Year0.71%
Revenue Next 2Y3.31%
Revenue Next 3Y4.06%
Revenue Next 5Y3.03%
EBIT growth 1Y-36.43%
EBIT growth 3YN/A
EBIT growth 5Y-16.21%
EBIT Next Year5382.98%
EBIT Next 3Y304.93%
EBIT Next 5Y183.56%
FCF growth 1Y-73%
FCF growth 3YN/A
FCF growth 5Y-4.09%
OCF growth 1Y-18.35%
OCF growth 3YN/A
OCF growth 5Y-5.67%