M D C Holdings Inc (MDC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:MDC - US5526761086 - Common Stock
62.98 USD
+0.03 (+0.05%)
62.98 USD
0 (0%)
Overall MDC gets a fundamental rating of 6 out of 10. We evaluated MDC against 60 industry peers in the Household Durables industry. MDC has an average financial health and profitability rating. MDC is not valued too expensively and it also shows a decent growth rate. Finally MDC also has an excellent dividend rating. This makes MDC very considerable for dividend investing!
1. Profitability
1.1 Basic Checks
- MDC had positive earnings in the past year.
- In the past year MDC had a positive cash flow from operations.
- In the past 5 years MDC has always been profitable.
- In multiple years MDC reported negative operating cash flow during the last 5 years.
1.2 Ratios
- MDC's Return On Assets of 7.08% is fine compared to the rest of the industry. MDC outperforms 62.69% of its industry peers.
- With a Return On Equity value of 11.81%, MDC perfoms like the industry average, outperforming 56.72% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 6.75%, MDC is in line with its industry, outperforming 52.24% of the companies in the same industry.
- MDC had an Average Return On Invested Capital over the past 3 years of 11.24%. This is in line with the industry average of 9.71%.
- The last Return On Invested Capital (6.75%) for MDC is well below the 3 year average (11.24%), which needs to be investigated, but indicates that MDC had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.08% | ||
| ROE | 11.81% | ||
| ROIC | 6.75% |
ROA(3y)9.67%
ROA(5y)9.11%
ROE(3y)17.29%
ROE(5y)16.48%
ROIC(3y)11.24%
ROIC(5y)10.2%
1.3 Margins
- Looking at the Profit Margin, with a value of 8.59%, MDC is in the better half of the industry, outperforming 68.66% of the companies in the same industry.
- In the last couple of years the Profit Margin of MDC has grown nicely.
- The Operating Margin of MDC (10.03%) is better than 61.19% of its industry peers.
- In the last couple of years the Operating Margin of MDC has grown nicely.
- Looking at the Gross Margin, with a value of 19.29%, MDC is doing worse than 82.09% of the companies in the same industry.
- In the last couple of years the Gross Margin of MDC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.03% | ||
| PM (TTM) | 8.59% | ||
| GM | 19.29% |
OM growth 3Y-5.46%
OM growth 5Y1.73%
PM growth 3Y-2.84%
PM growth 5Y4.67%
GM growth 3Y-4.58%
GM growth 5Y-0.69%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), MDC is creating some value.
- The number of shares outstanding for MDC has been increased compared to 1 year ago.
- The debt/assets ratio for MDC has been reduced compared to a year ago.
2.2 Solvency
- MDC has an Altman-Z score of 3.68. This indicates that MDC is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of MDC (3.68) is better than 62.69% of its industry peers.
- MDC has a debt to FCF ratio of 3.28. This is a good value and a sign of high solvency as MDC would need 3.28 years to pay back of all of its debts.
- MDC has a Debt to FCF ratio (3.28) which is comparable to the rest of the industry.
- A Debt/Equity ratio of 0.50 indicates that MDC is somewhat dependend on debt financing.
- The Debt to Equity ratio of MDC (0.50) is worse than 61.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 3.28 | ||
| Altman-Z | 3.68 |
ROIC/WACC0.73
WACC9.28%
2.3 Liquidity
- A Current Ratio of 7.70 indicates that MDC has no problem at all paying its short term obligations.
- MDC has a better Current ratio (7.70) than 85.07% of its industry peers.
- MDC has a Quick Ratio of 2.69. This indicates that MDC is financially healthy and has no problem in meeting its short term obligations.
- MDC has a Quick ratio of 2.69. This is amongst the best in the industry. MDC outperforms 92.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 7.7 | ||
| Quick Ratio | 2.69 |
3. Growth
3.1 Past
- MDC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -31.16%.
- Measured over the past years, MDC shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.85% on average per year.
- Looking at the last year, MDC shows a very negative growth in Revenue. The Revenue has decreased by -18.80% in the last year.
- MDC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.66% yearly.
EPS 1Y (TTM)-31.16%
EPS 3Y0.91%
EPS 5Y10.85%
EPS Q2Q%44.44%
Revenue 1Y (TTM)-18.8%
Revenue growth 3Y5.97%
Revenue growth 5Y8.66%
Sales Q2Q%-11.39%
3.2 Future
- The Earnings Per Share is expected to grow by 2.76% on average over the next years.
- MDC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.39% yearly.
EPS Next Y-1.74%
EPS Next 2Y2.76%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year6.2%
Revenue Next 2Y7.39%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less 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 stable.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 11.93, the valuation of MDC can be described as reasonable.
- The rest of the industry has a similar Price/Earnings ratio as MDC.
- MDC's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.94.
- MDC is valuated correctly with a Price/Forward Earnings ratio of 12.14.
- The rest of the industry has a similar Price/Forward Earnings ratio as MDC.
- Compared to an average S&P500 Price/Forward Earnings ratio of 23.94, MDC is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.93 | ||
| Fwd PE | 12.14 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MDC is on the same level as its industry peers.
- MDC's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. MDC is cheaper than 68.66% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.12 | ||
| EV/EBITDA | 9.33 |
4.3 Compensation for Growth
- MDC has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.1
EPS Next 2Y2.76%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 3.49%, MDC has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 1.16, MDC pays a better dividend. On top of this MDC pays more dividend than 88.06% of the companies listed in the same industry.
- MDC's Dividend Yield is rather good when compared to the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.49% |
5.2 History
- The dividend of MDC is nicely growing with an annual growth rate of 15.41%!
- MDC has been paying a dividend for at least 10 years, so it has a reliable track record.
- As MDC did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)15.41%
Div Incr Years4
Div Non Decr Years6
5.3 Sustainability
- MDC pays out 38.93% of its income as dividend. This is a sustainable payout ratio.
- The dividend of MDC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP38.93%
EPS Next 2Y2.76%
EPS Next 3YN/A
62.98
+0.03 (+0.05%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)04-25 2024-04-25/amc
Earnings (Next)07-25 2024-07-25/amc
Inst Owners26.27%
Inst Owner Change0%
Ins Owners0.23%
Ins Owner Change0%
Market Cap4.73B
Revenue(TTM)4.64B
Net Income(TTM)398.81M
Analysts48.33
Price Target58.14 (-7.68%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.49% |
Yearly Dividend2.11
Dividend Growth(5Y)15.41%
DP38.93%
Div Incr Years4
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.26%
Min EPS beat(2)3.38%
Max EPS beat(2)15.13%
EPS beat(4)4
Avg EPS beat(4)44.26%
Min EPS beat(4)3.38%
Max EPS beat(4)93.72%
EPS beat(8)6
Avg EPS beat(8)17.75%
EPS beat(12)9
Avg EPS beat(12)12.15%
EPS beat(16)12
Avg EPS beat(16)14.32%
Revenue beat(2)1
Avg Revenue beat(2)0.26%
Min Revenue beat(2)-2.9%
Max Revenue beat(2)3.41%
Revenue beat(4)3
Avg Revenue beat(4)9.71%
Min Revenue beat(4)-2.9%
Max Revenue beat(4)20.29%
Revenue beat(8)7
Avg Revenue beat(8)7.44%
Revenue beat(12)8
Avg Revenue beat(12)3.75%
Revenue beat(16)10
Avg Revenue beat(16)3.81%
PT rev (1m)-3.39%
PT rev (3m)8.37%
EPS NQ rev (1m)2.76%
EPS NQ rev (3m)9.52%
EPS NY rev (1m)-0.2%
EPS NY rev (3m)0.46%
Revenue NQ rev (1m)8.96%
Revenue NQ rev (3m)12.73%
Revenue NY rev (1m)-0.12%
Revenue NY rev (3m)1.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.93 | ||
| Fwd PE | 12.14 | ||
| P/S | 1.02 | ||
| P/FCF | 9.12 | ||
| P/OCF | 8.42 | ||
| P/B | 1.4 | ||
| P/tB | 1.4 | ||
| EV/EBITDA | 9.33 |
EPS(TTM)5.28
EY8.38%
EPS(NY)5.19
Fwd EY8.24%
FCF(TTM)6.91
FCFY10.97%
OCF(TTM)7.48
OCFY11.88%
SpS61.86
BVpS45.01
TBVpS44.93
PEG (NY)N/A
PEG (5Y)1.1
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.08% | ||
| ROE | 11.81% | ||
| ROCE | 9.36% | ||
| ROIC | 6.75% | ||
| ROICexc | 9.88% | ||
| ROICexgc | 10.89% | ||
| OM | 10.03% | ||
| PM (TTM) | 8.59% | ||
| GM | 19.29% | ||
| FCFM | 11.17% |
ROA(3y)9.67%
ROA(5y)9.11%
ROE(3y)17.29%
ROE(5y)16.48%
ROIC(3y)11.24%
ROIC(5y)10.2%
ROICexc(3y)13.75%
ROICexc(5y)12.3%
ROICexgc(3y)15.03%
ROICexgc(5y)13.54%
ROCE(3y)15.67%
ROCE(5y)14.28%
ROICexgc growth 3Y-6.21%
ROICexgc growth 5Y1.48%
ROICexc growth 3Y-5.69%
ROICexc growth 5Y1.3%
OM growth 3Y-5.46%
OM growth 5Y1.73%
PM growth 3Y-2.84%
PM growth 5Y4.67%
GM growth 3Y-4.58%
GM growth 5Y-0.69%
F-Score5
Asset Turnover0.82
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 3.28 | ||
| Debt/EBITDA | 3.46 | ||
| Cap/Depr | 168.85% | ||
| Cap/Sales | 0.93% | ||
| Interest Coverage | 507.7 | ||
| Cash Conversion | 114.36% | ||
| Profit Quality | 130.01% | ||
| Current Ratio | 7.7 | ||
| Quick Ratio | 2.69 | ||
| Altman-Z | 3.68 |
F-Score5
WACC9.28%
ROIC/WACC0.73
Cap/Depr(3y)122.4%
Cap/Depr(5y)114.53%
Cap/Sales(3y)0.67%
Cap/Sales(5y)0.69%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-31.16%
EPS 3Y0.91%
EPS 5Y10.85%
EPS Q2Q%44.44%
EPS Next Y-1.74%
EPS Next 2Y2.76%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-18.8%
Revenue growth 3Y5.97%
Revenue growth 5Y8.66%
Sales Q2Q%-11.39%
Revenue Next Year6.2%
Revenue Next 2Y7.39%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-48.03%
EBIT growth 3Y0.19%
EBIT growth 5Y10.54%
EBIT Next Year47.13%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-40.85%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-37.98%
OCF growth 3YN/A
OCF growth 5YN/A
M D C Holdings Inc / MDC FAQ
What is the ChartMill fundamental rating of M D C Holdings Inc (MDC) stock?
ChartMill assigns a fundamental rating of 6 / 10 to MDC.
What is the valuation status for MDC stock?
ChartMill assigns a valuation rating of 5 / 10 to M D C Holdings Inc (MDC). This can be considered as Fairly Valued.
Can you provide the profitability details for M D C Holdings Inc?
M D C Holdings Inc (MDC) has a profitability rating of 6 / 10.
How financially healthy is M D C Holdings Inc?
The financial health rating of M D C Holdings Inc (MDC) is 6 / 10.
What is the expected EPS growth for M D C Holdings Inc (MDC) stock?
The Earnings per Share (EPS) of M D C Holdings Inc (MDC) is expected to decline by -1.74% in the next year.