MDA SPACE LTD (MDA.CA) Stock Fundamental Analysis
TSX:MDA - Toronto Stock Exchange - CA55293N1096 - Common Stock - Currency: CAD
Overall MDA gets a fundamental rating of 4 out of 10. We evaluated MDA against 11 industry peers in the Aerospace & Defense industry. Both the profitability and the financial health of MDA get a neutral evaluation. Nothing too spectacular is happening here. MDA is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
In the past year MDA was profitable.
MDA had a positive operating cash flow in the past year.
1.2 Ratios
MDA has a Return On Assets (2.64%) which is in line with its industry peers.
Looking at the Return On Equity, with a value of 5.95%, MDA belongs to the top of the industry, outperforming 90.91% of the companies in the same industry.
MDA's Return On Invested Capital of 3.80% is on the low side compared to the rest of the industry. MDA is outperformed by 63.64% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MDA is below the industry average of 7.49%.
The 3 year average ROIC (2.75%) for MDA is below the current ROIC(3.80%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.64% | ||
| ROE | 5.95% | ||
| ROIC | 3.8% |
ROA(3y)1.32%
ROA(5y)N/A
ROE(3y)2.5%
ROE(5y)N/A
ROIC(3y)2.75%
ROIC(5y)N/A
1.3 Margins
MDA has a Profit Margin of 7.22%. This is amongst the best in the industry. MDA outperforms 90.91% of its industry peers.
With a Operating Margin value of 9.46%, MDA is not doing good in the industry: 63.64% of the companies in the same industry are doing better.
With an excellent Gross Margin value of 27.45%, MDA belongs to the best of the industry, outperforming 81.82% of the companies in the same industry.
In the last couple of years the Gross Margin of MDA has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.46% | ||
| PM (TTM) | 7.22% | ||
| GM | 27.45% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y23.95%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so MDA is destroying value.
The number of shares outstanding for MDA has been increased compared to 1 year ago.
The debt/assets ratio for MDA is higher compared to a year ago.
2.2 Solvency
MDA has an Altman-Z score of 1.73. This is a bad value and indicates that MDA is not financially healthy and even has some risk of bankruptcy.
MDA's Altman-Z score of 1.73 is fine compared to the rest of the industry. MDA outperforms 72.73% of its industry peers.
The Debt to FCF ratio of MDA is 1.98, which is an excellent value as it means it would take MDA, only 1.98 years of fcf income to pay off all of its debts.
MDA has a Debt to FCF ratio of 1.98. This is amongst the best in the industry. MDA outperforms 100.00% of its industry peers.
A Debt/Equity ratio of 0.34 indicates that MDA is not too dependend on debt financing.
MDA's Debt to Equity ratio of 0.34 is fine compared to the rest of the industry. MDA outperforms 63.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 1.98 | ||
| Altman-Z | 1.73 |
ROIC/WACC0.48
WACC7.9%
2.3 Liquidity
MDA has a Current Ratio of 0.83. This is a bad value and indicates that MDA is not financially healthy enough and could expect problems in meeting its short term obligations.
MDA has a worse Current ratio (0.83) than 81.82% of its industry peers.
MDA has a Quick Ratio of 0.83. This is a bad value and indicates that MDA is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of MDA (0.82) is better than 81.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 58.33% over the past year.
The Revenue has grown by 18.99% in the past year. This is quite good.
The Revenue has been growing by 39.80% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)58.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%200%
Revenue 1Y (TTM)18.99%
Revenue growth 3Y39.8%
Revenue growth 5YN/A
Sales Q2Q%37.96%
3.2 Future
Based on estimates for the next years, MDA will show a very strong growth in Earnings Per Share. The EPS will grow by 42.47% on average per year.
MDA is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 26.24% yearly.
EPS Next Y52.7%
EPS Next 2Y47.28%
EPS Next 3Y42.47%
EPS Next 5YN/A
Revenue Next Year30.6%
Revenue Next 2Y29.87%
Revenue Next 3Y26.24%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
MDA is valuated quite expensively with a Price/Earnings ratio of 43.11.
Compared to the rest of the industry, the Price/Earnings ratio of MDA indicates a slightly more expensive valuation: MDA is more expensive than 72.73% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 29.62. MDA is valued slightly more expensive when compared to this.
With a Price/Forward Earnings ratio of 26.97, MDA can be considered very expensive at the moment.
72.73% of the companies in the same industry are cheaper than MDA, based on the Price/Forward Earnings ratio.
MDA is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.70, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.11 | ||
| Fwd PE | 26.97 |
4.2 Price Multiples
MDA's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. MDA is more expensive than 72.73% of the companies in the same industry.
63.64% of the companies in the same industry are more expensive than MDA, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.84 | ||
| EV/EBITDA | 18.41 |
4.3 Compensation for Growth
MDA's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
MDA's earnings are expected to grow with 42.47% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.82
PEG (5Y)N/A
EPS Next 2Y47.28%
EPS Next 3Y42.47%
5. Dividend
5.1 Amount
MDA does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:MDA (2/21/2025, 7:00:00 PM)
24.57
-0.21 (-0.85%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners28.49%
Inst Owner ChangeN/A
Ins Owners1.23%
Ins Owner ChangeN/A
Market Cap2.99B
Analysts76.67
Price Target33.21 (35.16%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)23.65%
Min EPS beat(2)-9.44%
Max EPS beat(2)56.74%
EPS beat(4)3
Avg EPS beat(4)38.42%
Min EPS beat(4)-9.44%
Max EPS beat(4)99.25%
EPS beat(8)7
Avg EPS beat(8)44.46%
EPS beat(12)10
Avg EPS beat(12)86.7%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)4.74%
Min Revenue beat(2)0.84%
Max Revenue beat(2)8.65%
Revenue beat(4)2
Avg Revenue beat(4)1.64%
Min Revenue beat(4)-2.45%
Max Revenue beat(4)8.65%
Revenue beat(8)6
Avg Revenue beat(8)2.01%
Revenue beat(12)8
Avg Revenue beat(12)1.15%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)2.96%
PT rev (3m)79.48%
EPS NQ rev (1m)0%
EPS NQ rev (3m)6.38%
EPS NY rev (1m)0%
EPS NY rev (3m)23.54%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)6.88%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.11 | ||
| Fwd PE | 26.97 | ||
| P/S | 3.18 | ||
| P/FCF | 14.84 | ||
| P/OCF | 7.63 | ||
| P/B | 2.62 | ||
| P/tB | 25.22 | ||
| EV/EBITDA | 18.41 |
EPS(TTM)0.57
EY2.32%
EPS(NY)0.91
Fwd EY3.71%
FCF(TTM)1.66
FCFY6.74%
OCF(TTM)3.22
OCFY13.1%
SpS7.72
BVpS9.38
TBVpS0.97
PEG (NY)0.82
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.64% | ||
| ROE | 5.95% | ||
| ROCE | 5.09% | ||
| ROIC | 3.8% | ||
| ROICexc | 4.13% | ||
| ROICexgc | 11.37% | ||
| OM | 9.46% | ||
| PM (TTM) | 7.22% | ||
| GM | 27.45% | ||
| FCFM | 21.44% |
ROA(3y)1.32%
ROA(5y)N/A
ROE(3y)2.5%
ROE(5y)N/A
ROIC(3y)2.75%
ROIC(5y)N/A
ROICexc(3y)2.82%
ROICexc(5y)N/A
ROICexgc(3y)9.08%
ROICexgc(5y)N/A
ROCE(3y)3.67%
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 3Y23.95%
GM growth 5YN/A
F-Score5
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 1.98 | ||
| Debt/EBITDA | 2.18 | ||
| Cap/Depr | 217.26% | ||
| Cap/Sales | 20.26% | ||
| Interest Coverage | 3.55 | ||
| Cash Conversion | 221.95% | ||
| Profit Quality | 296.76% | ||
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.82 | ||
| Altman-Z | 1.73 |
F-Score5
WACC7.9%
ROIC/WACC0.48
Cap/Depr(3y)200.76%
Cap/Depr(5y)N/A
Cap/Sales(3y)23.95%
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)58.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%200%
EPS Next Y52.7%
EPS Next 2Y47.28%
EPS Next 3Y42.47%
EPS Next 5YN/A
Revenue 1Y (TTM)18.99%
Revenue growth 3Y39.8%
Revenue growth 5YN/A
Sales Q2Q%37.96%
Revenue Next Year30.6%
Revenue Next 2Y29.87%
Revenue Next 3Y26.24%
Revenue Next 5YN/A
EBIT growth 1Y10.45%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year169.29%
EBIT Next 3Y63.03%
EBIT Next 5YN/A
FCF growth 1Y276.18%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y601.25%
OCF growth 3Y-37.91%
OCF growth 5YN/A