MAGNITE INC (MGNI) Stock Fundamental Analysis
USA - NASDAQ:MGNI - US55955D1000 - Common Stock
25.92 USD
+2.04 (+8.54%)
26.1299 USD
+0.21 (+0.81%)
Overall MGNI gets a fundamental rating of 5 out of 10. We evaluated MGNI against 99 industry peers in the Media industry. MGNI has a medium profitability rating, but doesn't score so well on its financial health evaluation. MGNI is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
MGNI had positive earnings in the past year.
MGNI had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: MGNI reported negative net income in multiple years.
Of the past 5 years MGNI 4 years had a positive operating cash flow.
1.2 Ratios
MGNI has a better Return On Assets (1.47%) than 66.67% of its industry peers.
With a decent Return On Equity value of 5.61%, MGNI is doing good in the industry, outperforming 69.70% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 5.62%, MGNI is in the better half of the industry, outperforming 65.66% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.47% | ||
| ROE | 5.61% | ||
| ROIC | 5.62% |
ROA(3y)-3.31%
ROA(5y)-3.12%
ROE(3y)-12.06%
ROE(5y)-10.03%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
MGNI has a Profit Margin of 6.30%. This is in the better half of the industry: MGNI outperforms 72.73% of its industry peers.
MGNI's Profit Margin has improved in the last couple of years.
MGNI's Operating Margin of 11.08% is fine compared to the rest of the industry. MGNI outperforms 63.64% of its industry peers.
With a decent Gross Margin value of 62.33%, MGNI is doing good in the industry, outperforming 72.73% of the companies in the same industry.
MGNI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.08% | ||
| PM (TTM) | 6.3% | ||
| GM | 62.33% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y442.58%
PM growth 5YN/A
GM growth 3Y2.46%
GM growth 5Y-0.65%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MGNI is destroying value.
Compared to 1 year ago, MGNI has more shares outstanding
Compared to 5 years ago, MGNI has more shares outstanding
Compared to 1 year ago, MGNI has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.95, we must say that MGNI is in the distress zone and has some risk of bankruptcy.
MGNI has a Altman-Z score of 0.95. This is comparable to the rest of the industry: MGNI outperforms 49.49% of its industry peers.
MGNI has a debt to FCF ratio of 3.29. This is a good value and a sign of high solvency as MGNI would need 3.29 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.29, MGNI is in the better half of the industry, outperforming 79.80% of the companies in the same industry.
A Debt/Equity ratio of 0.45 indicates that MGNI is not too dependend on debt financing.
MGNI has a Debt to Equity ratio (0.45) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 3.29 | ||
| Altman-Z | 0.95 |
ROIC/WACC0.67
WACC8.37%
2.3 Liquidity
MGNI has a Current Ratio of 1.00. This is a bad value and indicates that MGNI is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 1.00, MGNI is not doing good in the industry: 60.61% of the companies in the same industry are doing better.
A Quick Ratio of 1.00 indicates that MGNI may have some problems paying its short term obligations.
With a Quick ratio value of 1.00, MGNI perfoms like the industry average, outperforming 40.40% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
MGNI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 38.33%, which is quite impressive.
The Earnings Per Share has been growing by 9.04% on average over the past years. This is quite good.
The Revenue has been growing slightly by 5.52% in the past year.
The Revenue has been growing by 33.70% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)38.33%
EPS 3Y9.04%
EPS 5YN/A
EPS Q2Q%42.86%
Revenue 1Y (TTM)5.52%
Revenue growth 3Y12.57%
Revenue growth 5Y33.7%
Sales Q2Q%10.35%
3.2 Future
Based on estimates for the next years, MGNI will show a very strong growth in Earnings Per Share. The EPS will grow by 27.18% on average per year.
Based on estimates for the next years, MGNI will show a quite strong growth in Revenue. The Revenue will grow by 10.98% on average per year.
EPS Next Y33.33%
EPS Next 2Y27.18%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year11.18%
Revenue Next 2Y11.75%
Revenue Next 3Y10.19%
Revenue Next 5Y10.98%
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 accelerating.
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
A Price/Earnings ratio of 31.23 indicates a quite expensive valuation of MGNI.
Compared to the rest of the industry, the Price/Earnings ratio of MGNI indicates a somewhat cheap valuation: MGNI is cheaper than 63.64% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.38, MGNI is valued at the same level.
With a Price/Forward Earnings ratio of 22.89, MGNI is valued on the expensive side.
MGNI's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 22.86. MGNI is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.23 | ||
| Fwd PE | 22.89 |
4.2 Price Multiples
MGNI's Enterprise Value to EBITDA is on the same level as the industry average.
MGNI's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. MGNI is cheaper than 61.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.79 | ||
| EV/EBITDA | 26.26 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
MGNI's earnings are expected to grow with 27.18% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.94
PEG (5Y)N/A
EPS Next 2Y27.18%
EPS Next 3YN/A
5. Dividend
5.1 Amount
MGNI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
25.92
+2.04 (+8.54%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners95.99%
Inst Owner Change8.52%
Ins Owners1.57%
Ins Owner Change-23.82%
Market Cap3.69B
Analysts82.86
Price Target28.38 (9.49%)
Short Float %10.35%
Short Ratio4.81
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)2
Avg EPS beat(2)47.76%
Min EPS beat(2)17.94%
Max EPS beat(2)77.58%
EPS beat(4)3
Avg EPS beat(4)22.64%
Min EPS beat(4)-8.02%
Max EPS beat(4)77.58%
EPS beat(8)6
Avg EPS beat(8)1428.47%
EPS beat(12)9
Avg EPS beat(12)982.4%
EPS beat(16)11
Avg EPS beat(16)734.38%
Revenue beat(2)2
Avg Revenue beat(2)0.71%
Min Revenue beat(2)0.47%
Max Revenue beat(2)0.94%
Revenue beat(4)2
Avg Revenue beat(4)-0.94%
Min Revenue beat(4)-4.12%
Max Revenue beat(4)0.94%
Revenue beat(8)5
Avg Revenue beat(8)0.09%
Revenue beat(12)8
Avg Revenue beat(12)2.38%
Revenue beat(16)12
Avg Revenue beat(16)4.29%
PT rev (1m)12.92%
PT rev (3m)46.98%
EPS NQ rev (1m)-3.11%
EPS NQ rev (3m)-10.14%
EPS NY rev (1m)5.17%
EPS NY rev (3m)6.24%
Revenue NQ rev (1m)0.19%
Revenue NQ rev (3m)-0.01%
Revenue NY rev (1m)3.27%
Revenue NY rev (3m)3.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.23 | ||
| Fwd PE | 22.89 | ||
| P/S | 5.39 | ||
| P/FCF | 21.79 | ||
| P/OCF | 16.25 | ||
| P/B | 4.8 | ||
| P/tB | N/A | ||
| EV/EBITDA | 26.26 |
EPS(TTM)0.83
EY3.2%
EPS(NY)1.13
Fwd EY4.37%
FCF(TTM)1.19
FCFY4.59%
OCF(TTM)1.6
OCFY6.15%
SpS4.81
BVpS5.4
TBVpS-1.74
PEG (NY)0.94
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.47% | ||
| ROE | 5.61% | ||
| ROCE | 6.53% | ||
| ROIC | 5.62% | ||
| ROICexc | 8.87% | ||
| ROICexgc | N/A | ||
| OM | 11.08% | ||
| PM (TTM) | 6.3% | ||
| GM | 62.33% | ||
| FCFM | 24.72% |
ROA(3y)-3.31%
ROA(5y)-3.12%
ROE(3y)-12.06%
ROE(5y)-10.03%
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 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y442.58%
PM growth 5YN/A
GM growth 3Y2.46%
GM growth 5Y-0.65%
F-Score7
Asset Turnover0.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 3.29 | ||
| Debt/EBITDA | 2.59 | ||
| Cap/Depr | 98.72% | ||
| Cap/Sales | 8.43% | ||
| Interest Coverage | 2.27 | ||
| Cash Conversion | 168.93% | ||
| Profit Quality | 392.72% | ||
| Current Ratio | 1 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 0.95 |
F-Score7
WACC8.37%
ROIC/WACC0.67
Cap/Depr(3y)38.84%
Cap/Depr(5y)36.21%
Cap/Sales(3y)6.92%
Cap/Sales(5y)7.38%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)38.33%
EPS 3Y9.04%
EPS 5YN/A
EPS Q2Q%42.86%
EPS Next Y33.33%
EPS Next 2Y27.18%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)5.52%
Revenue growth 3Y12.57%
Revenue growth 5Y33.7%
Sales Q2Q%10.35%
Revenue Next Year11.18%
Revenue Next 2Y11.75%
Revenue Next 3Y10.19%
Revenue Next 5Y10.98%
EBIT growth 1Y485.47%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year321.22%
EBIT Next 3Y81.8%
EBIT Next 5Y49.09%
FCF growth 1Y35.6%
FCF growth 3Y24.5%
FCF growth 5Y73.12%
OCF growth 1Y32.21%
OCF growth 3Y22.93%
OCF growth 5Y49.02%