MAINSTREET EQUITY CORP (MEQ.CA) Stock Fundamental Analysis
Canada - TSX:MEQ - CA5609151009 - Common Stock
189.65 CAD
-5.59 (-2.86%)
Taking everything into account, MEQ scores 6 out of 10 in our fundamental rating. MEQ was compared to 31 industry peers in the Real Estate Management & Development industry. While MEQ has a great profitability rating, there are some minor concerns on its financial health. MEQ has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
MEQ had positive earnings in the past year.
In the past year MEQ had a positive cash flow from operations.
In the past 5 years MEQ has always been profitable.
MEQ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 7.95%, MEQ belongs to the top of the industry, outperforming 96.77% of the companies in the same industry.
MEQ has a better Return On Equity (17.98%) than 96.77% of its industry peers.
MEQ has a Return On Invested Capital (3.51%) which is comparable to the rest of the industry.
MEQ had an Average Return On Invested Capital over the past 3 years of 3.11%. This is significantly below the industry average of 10.85%.
The 3 year average ROIC (3.11%) for MEQ is below the current ROIC(3.51%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.95% | ||
| ROE | 17.98% | ||
| ROIC | 3.51% |
ROA(3y)4.45%
ROA(5y)4.97%
ROE(3y)10.47%
ROE(5y)11.99%
ROIC(3y)3.11%
ROIC(5y)3.02%
1.3 Margins
MEQ has a Profit Margin of 112.86%. This is amongst the best in the industry. MEQ outperforms 100.00% of its industry peers.
MEQ's Profit Margin has improved in the last couple of years.
MEQ's Operating Margin of 58.54% is amongst the best of the industry. MEQ outperforms 90.32% of its industry peers.
In the last couple of years the Operating Margin of MEQ has remained more or less at the same level.
The Gross Margin of MEQ (65.68%) is better than 67.74% of its industry peers.
In the last couple of years the Gross Margin of MEQ has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 58.54% | ||
| PM (TTM) | 112.86% | ||
| GM | 65.68% |
OM growth 3Y2.22%
OM growth 5Y1.13%
PM growth 3Y-17.21%
PM growth 5Y13.4%
GM growth 3Y1.64%
GM growth 5Y0.48%
2. Health
2.1 Basic Checks
MEQ has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, MEQ has more shares outstanding
The number of shares outstanding for MEQ has been reduced compared to 5 years ago.
The debt/assets ratio for MEQ has been reduced compared to a year ago.
2.2 Solvency
MEQ has an Altman-Z score of 1.33. This is a bad value and indicates that MEQ is not financially healthy and even has some risk of bankruptcy.
MEQ's Altman-Z score of 1.33 is fine compared to the rest of the industry. MEQ outperforms 61.29% of its industry peers.
MEQ has a debt to FCF ratio of 21.84. This is a negative value and a sign of low solvency as MEQ would need 21.84 years to pay back of all of its debts.
The Debt to FCF ratio of MEQ (21.84) is comparable to the rest of the industry.
A Debt/Equity ratio of 0.98 indicates that MEQ is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.98, MEQ is in line with its industry, outperforming 41.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | 21.84 | ||
| Altman-Z | 1.33 |
ROIC/WACC0.46
WACC7.59%
2.3 Liquidity
MEQ has a Current Ratio of 1.57. This is a normal value and indicates that MEQ is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of MEQ (1.57) is better than 74.19% of its industry peers.
MEQ has a Quick Ratio of 1.55. This is a normal value and indicates that MEQ is financially healthy and should not expect problems in meeting its short term obligations.
MEQ has a Quick ratio of 1.55. This is in the better half of the industry: MEQ outperforms 77.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.57 | ||
| Quick Ratio | 1.55 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 144.49% over the past year.
MEQ shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 27.81% yearly.
The Revenue has grown by 14.29% in the past year. This is quite good.
Measured over the past years, MEQ shows a quite strong growth in Revenue. The Revenue has been growing by 12.67% on average per year.
EPS 1Y (TTM)144.49%
EPS 3Y53.85%
EPS 5Y27.81%
EPS Q2Q%394.12%
Revenue 1Y (TTM)14.29%
Revenue growth 3Y16.03%
Revenue growth 5Y12.67%
Sales Q2Q%10.02%
3.2 Future
The Earnings Per Share is expected to decrease by -33.14% on average over the next years. This is quite bad
MEQ is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.00% yearly.
EPS Next Y-29.3%
EPS Next 2Y-33.14%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year10.75%
Revenue Next 2Y9%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 5.74, which indicates a rather cheap valuation of MEQ.
MEQ's Price/Earnings ratio is rather cheap when compared to the industry. MEQ is cheaper than 90.32% of the companies in the same industry.
MEQ is valuated cheaply when we compare the Price/Earnings ratio to 26.76, which is the current average of the S&P500 Index.
MEQ is valuated rather expensively with a Price/Forward Earnings ratio of 19.78.
MEQ's Price/Forward Earnings ratio is rather cheap when compared to the industry. MEQ is cheaper than 83.87% of the companies in the same industry.
MEQ's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.63.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.74 | ||
| Fwd PE | 19.78 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MEQ indicates a somewhat cheap valuation: MEQ is cheaper than 64.52% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, MEQ is valued a bit cheaper than the industry average as 61.29% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.26 | ||
| EV/EBITDA | 21.01 |
4.3 Compensation for Growth
The excellent profitability rating of MEQ may justify a higher PE ratio.
MEQ's earnings are expected to decrease with -33.14% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.21
EPS Next 2Y-33.14%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a yearly dividend of 0.08%, MEQ is not a good candidate for dividend investing.
MEQ's Dividend Yield is slightly below the industry average, which is at 3.26.
With a Dividend Yield of 0.08, MEQ pays less dividend than the S&P500 average, which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.08% |
5.2 History
MEQ is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
0.41% of the earnings are spent on dividend by MEQ. This is a low number and sustainable payout ratio.
DP0.41%
EPS Next 2Y-33.14%
EPS Next 3YN/A
TSX:MEQ (10/29/2025, 7:00:00 PM)
189.65
-5.59 (-2.86%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners19.64%
Inst Owner ChangeN/A
Ins Owners48.92%
Ins Owner ChangeN/A
Market Cap1.77B
Revenue(TTM)272.72M
Net Income(TTM)307.79M
Analysts80
Price Target247.35 (30.42%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.08% |
Yearly Dividend0.08
Dividend Growth(5Y)N/A
DP0.41%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)280.93%
Min EPS beat(2)136.3%
Max EPS beat(2)425.56%
EPS beat(4)4
Avg EPS beat(4)322.55%
Min EPS beat(4)136.3%
Max EPS beat(4)502.97%
EPS beat(8)7
Avg EPS beat(8)229.76%
EPS beat(12)11
Avg EPS beat(12)211.29%
EPS beat(16)15
Avg EPS beat(16)195.14%
Revenue beat(2)1
Avg Revenue beat(2)0.1%
Min Revenue beat(2)-0.76%
Max Revenue beat(2)0.96%
Revenue beat(4)2
Avg Revenue beat(4)-0.96%
Min Revenue beat(4)-4.4%
Max Revenue beat(4)0.96%
Revenue beat(8)6
Avg Revenue beat(8)0.51%
Revenue beat(12)8
Avg Revenue beat(12)0.45%
Revenue beat(16)8
Avg Revenue beat(16)-0.05%
PT rev (1m)0%
PT rev (3m)2.11%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-5.23%
EPS NY rev (1m)0%
EPS NY rev (3m)45.71%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.83%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.22%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.74 | ||
| Fwd PE | 19.78 | ||
| P/S | 6.48 | ||
| P/FCF | 21.26 | ||
| P/OCF | 21.12 | ||
| P/B | 1.03 | ||
| P/tB | 1.03 | ||
| EV/EBITDA | 21.01 |
EPS(TTM)33.03
EY17.42%
EPS(NY)9.59
Fwd EY5.06%
FCF(TTM)8.92
FCFY4.7%
OCF(TTM)8.98
OCFY4.73%
SpS29.26
BVpS183.65
TBVpS183.59
PEG (NY)N/A
PEG (5Y)0.21
Graham Number369.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.95% | ||
| ROE | 17.98% | ||
| ROCE | 4.3% | ||
| ROIC | 3.51% | ||
| ROICexc | 3.73% | ||
| ROICexgc | 3.73% | ||
| OM | 58.54% | ||
| PM (TTM) | 112.86% | ||
| GM | 65.68% | ||
| FCFM | 30.49% |
ROA(3y)4.45%
ROA(5y)4.97%
ROE(3y)10.47%
ROE(5y)11.99%
ROIC(3y)3.11%
ROIC(5y)3.02%
ROICexc(3y)3.18%
ROICexc(5y)3.07%
ROICexgc(3y)3.18%
ROICexgc(5y)3.07%
ROCE(3y)3.81%
ROCE(5y)3.69%
ROICexgc growth 3Y9.44%
ROICexgc growth 5Y2.52%
ROICexc growth 3Y9.45%
ROICexc growth 5Y2.53%
OM growth 3Y2.22%
OM growth 5Y1.13%
PM growth 3Y-17.21%
PM growth 5Y13.4%
GM growth 3Y1.64%
GM growth 5Y0.48%
F-Score7
Asset Turnover0.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | 21.84 | ||
| Debt/EBITDA | 10.49 | ||
| Cap/Depr | 80.88% | ||
| Cap/Sales | 0.19% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 52.2% | ||
| Profit Quality | 27.02% | ||
| Current Ratio | 1.57 | ||
| Quick Ratio | 1.55 | ||
| Altman-Z | 1.33 |
F-Score7
WACC7.59%
ROIC/WACC0.46
Cap/Depr(3y)71.84%
Cap/Depr(5y)580.03%
Cap/Sales(3y)0.34%
Cap/Sales(5y)3.26%
Profit Quality(3y)50.84%
Profit Quality(5y)41.57%
High Growth Momentum
Growth
EPS 1Y (TTM)144.49%
EPS 3Y53.85%
EPS 5Y27.81%
EPS Q2Q%394.12%
EPS Next Y-29.3%
EPS Next 2Y-33.14%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)14.29%
Revenue growth 3Y16.03%
Revenue growth 5Y12.67%
Sales Q2Q%10.02%
Revenue Next Year10.75%
Revenue Next 2Y9%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y19.79%
EBIT growth 3Y18.61%
EBIT growth 5Y13.94%
EBIT Next Year71.85%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y22.91%
FCF growth 3Y93.64%
FCF growth 5Y19.24%
OCF growth 1Y22.94%
OCF growth 3Y36.95%
OCF growth 5Y17.71%
MAINSTREET EQUITY CORP / MEQ.CA FAQ
What is the ChartMill fundamental rating of MAINSTREET EQUITY CORP (MEQ.CA) stock?
ChartMill assigns a fundamental rating of 6 / 10 to MEQ.CA.
What is the valuation status of MAINSTREET EQUITY CORP (MEQ.CA) stock?
ChartMill assigns a valuation rating of 6 / 10 to MAINSTREET EQUITY CORP (MEQ.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for MAINSTREET EQUITY CORP?
MAINSTREET EQUITY CORP (MEQ.CA) has a profitability rating of 8 / 10.
What is the expected EPS growth for MAINSTREET EQUITY CORP (MEQ.CA) stock?
The Earnings per Share (EPS) of MAINSTREET EQUITY CORP (MEQ.CA) is expected to decline by -29.3% in the next year.
Can you provide the dividend sustainability for MEQ stock?
The dividend rating of MAINSTREET EQUITY CORP (MEQ.CA) is 1 / 10 and the dividend payout ratio is 0.41%.