M/I HOMES INC (MHO)
US55305B1017 - Common Stock
We assign a fundamental rating of 6 out of 10 to MHO. MHO was compared to 66 industry peers in the Household Durables industry. MHO has an excellent profitability rating, but there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on MHO. These ratings would make MHO suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year MHO was profitable.
In the past year MHO had a positive cash flow from operations.
Each year in the past 5 years MHO has been profitable.
MHO had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
MHO's Return On Assets of 12.01% is amongst the best of the industry. MHO outperforms 87.50% of its industry peers.
Looking at the Return On Equity, with a value of 18.82%, MHO is in the better half of the industry, outperforming 78.13% of the companies in the same industry.
The Return On Invested Capital of MHO (12.74%) is better than 75.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MHO is in line with the industry average of 11.80%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.01% | ||
| ROE | 18.82% | ||
| ROIC | 12.74% |
ROA(3y)12.34%
ROA(5y)10.43%
ROE(3y)22.21%
ROE(5y)19.68%
ROIC(3y)13.69%
ROIC(5y)11.91%
1.3 Margins
MHO has a better Profit Margin (12.54%) than 85.94% of its industry peers.
MHO's Profit Margin has improved in the last couple of years.
MHO has a Operating Margin of 15.73%. This is amongst the best in the industry. MHO outperforms 84.38% of its industry peers.
MHO's Operating Margin has improved in the last couple of years.
MHO has a Gross Margin of 26.84%. This is comparable to the rest of the industry: MHO outperforms 54.69% of its industry peers.
In the last couple of years the Gross Margin of MHO has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.73% | ||
| PM (TTM) | 12.54% | ||
| GM | 26.84% |
OM growth 3Y10.61%
OM growth 5Y14.52%
PM growth 3Y13.57%
PM growth 5Y19.62%
GM growth 3Y3.96%
GM growth 5Y5.14%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so MHO is still creating some value.
Compared to 1 year ago, MHO has more shares outstanding
MHO has more shares outstanding than it did 5 years ago.
MHO has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.62 indicates that MHO is not in any danger for bankruptcy at the moment.
MHO has a better Altman-Z score (4.62) than 70.31% of its industry peers.
The Debt to FCF ratio of MHO is 7.58, which is on the high side as it means it would take MHO, 7.58 years of fcf income to pay off all of its debts.
MHO's Debt to FCF ratio of 7.58 is in line compared to the rest of the industry. MHO outperforms 53.13% of its industry peers.
A Debt/Equity ratio of 0.33 indicates that MHO is not too dependend on debt financing.
MHO has a Debt to Equity ratio (0.33) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 7.58 | ||
| Altman-Z | 4.62 |
ROIC/WACC1.47
WACC8.65%
2.3 Liquidity
A Current Ratio of 9.61 indicates that MHO has no problem at all paying its short term obligations.
The Current ratio of MHO (9.61) is better than 93.75% of its industry peers.
MHO has a Quick Ratio of 1.80. This is a normal value and indicates that MHO is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.80, MHO belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 9.61 | ||
| Quick Ratio | 1.8 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.25% over the past year.
The Earnings Per Share has been growing by 32.02% on average over the past years. This is a very strong growth
MHO shows a decrease in Revenue. In the last year, the revenue decreased by -0.14%.
Measured over the past years, MHO shows a quite strong growth in Revenue. The Revenue has been growing by 12.02% on average per year.
EPS 1Y (TTM)5.25%
EPS 3Y24.38%
EPS 5Y32.02%
EPS Q2Q%5.81%
Revenue 1Y (TTM)-0.14%
Revenue growth 3Y9.81%
Revenue growth 5Y12.02%
Sales Q2Q%9.23%
3.2 Future
MHO is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.56% yearly.
The Revenue is expected to grow by 5.63% on average over the next years.
EPS Next Y23.31%
EPS Next 2Y12.69%
EPS Next 3Y13.56%
EPS Next 5YN/A
Revenue Next Year5.22%
Revenue Next 2Y4.96%
Revenue Next 3Y5.63%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 7.18, the valuation of MHO can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of MHO indicates a rather cheap valuation: MHO is cheaper than 89.06% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.73. MHO is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 6.50, the valuation of MHO can be described as very cheap.
92.19% of the companies in the same industry are more expensive than MHO, based on the Price/Forward Earnings ratio.
MHO's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.18 | ||
| Fwd PE | 6.5 |
4.2 Price Multiples
MHO's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. MHO is cheaper than 92.19% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MHO is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.7 | ||
| EV/EBITDA | 5.71 |
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.
The decent profitability rating of MHO may justify a higher PE ratio.
MHO's earnings are expected to grow with 13.56% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.31
PEG (5Y)0.22
EPS Next 2Y12.69%
EPS Next 3Y13.56%
5. Dividend
5.1 Amount
No dividends for MHO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
M/I HOMES INC
NYSE:MHO (12/20/2024, 8:24:26 PM)
After market: 133.97 0 (0%)133.97
-2.43 (-1.78%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners95.63%
Inst Owner Change-0.51%
Ins Owners1.45%
Ins Owner Change-8.91%
Market Cap3.65B
Analysts82.86
Price Target201.45 (50.37%)
Short Float %4.06%
Short Ratio4.31
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.33%
Min EPS beat(2)2.29%
Max EPS beat(2)10.38%
EPS beat(4)3
Avg EPS beat(4)1.41%
Min EPS beat(4)-26.64%
Max EPS beat(4)19.63%
EPS beat(8)7
Avg EPS beat(8)19.92%
EPS beat(12)11
Avg EPS beat(12)18.01%
EPS beat(16)14
Avg EPS beat(16)22.03%
Revenue beat(2)2
Avg Revenue beat(2)2.39%
Min Revenue beat(2)0.87%
Max Revenue beat(2)3.91%
Revenue beat(4)3
Avg Revenue beat(4)-2.73%
Min Revenue beat(4)-18.82%
Max Revenue beat(4)3.91%
Revenue beat(8)6
Avg Revenue beat(8)6.42%
Revenue beat(12)7
Avg Revenue beat(12)3.45%
Revenue beat(16)9
Avg Revenue beat(16)2.56%
PT rev (1m)8.22%
PT rev (3m)8.22%
EPS NQ rev (1m)-2.62%
EPS NQ rev (3m)10.93%
EPS NY rev (1m)-0.08%
EPS NY rev (3m)0.34%
Revenue NQ rev (1m)1.64%
Revenue NQ rev (3m)7.08%
Revenue NY rev (1m)0.92%
Revenue NY rev (3m)1.53%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.18 | ||
| Fwd PE | 6.5 | ||
| P/S | 0.85 | ||
| P/FCF | 29.7 | ||
| P/OCF | 27.98 | ||
| P/B | 1.28 | ||
| P/tB | 1.29 | ||
| EV/EBITDA | 5.71 |
EPS(TTM)18.66
EY13.93%
EPS(NY)20.62
Fwd EY15.39%
FCF(TTM)4.51
FCFY3.37%
OCF(TTM)4.79
OCFY3.57%
SpS157
BVpS104.57
TBVpS103.97
PEG (NY)0.31
PEG (5Y)0.22
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.01% | ||
| ROE | 18.82% | ||
| ROCE | 16.55% | ||
| ROIC | 12.74% | ||
| ROICexc | 15.48% | ||
| ROICexgc | 16.45% | ||
| OM | 15.73% | ||
| PM (TTM) | 12.54% | ||
| GM | 26.84% | ||
| FCFM | 2.87% |
ROA(3y)12.34%
ROA(5y)10.43%
ROE(3y)22.21%
ROE(5y)19.68%
ROIC(3y)13.69%
ROIC(5y)11.91%
ROICexc(3y)15.65%
ROICexc(5y)13.36%
ROICexgc(3y)16.51%
ROICexgc(5y)14.09%
ROCE(3y)17.8%
ROCE(5y)15.48%
ROICexcg growth 3Y8.13%
ROICexcg growth 5Y17.09%
ROICexc growth 3Y8.05%
ROICexc growth 5Y16.75%
OM growth 3Y10.61%
OM growth 5Y14.52%
PM growth 3Y13.57%
PM growth 5Y19.62%
GM growth 3Y3.96%
GM growth 5Y5.14%
F-Score6
Asset Turnover0.96
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 7.58 | ||
| Debt/EBITDA | 1.35 | ||
| Cap/Depr | 49.93% | ||
| Cap/Sales | 0.18% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 18.96% | ||
| Profit Quality | 22.92% | ||
| Current Ratio | 9.61 | ||
| Quick Ratio | 1.8 | ||
| Altman-Z | 4.62 |
F-Score6
WACC8.65%
ROIC/WACC1.47
Cap/Depr(3y)93.47%
Cap/Depr(5y)78.5%
Cap/Sales(3y)0.35%
Cap/Sales(5y)0.32%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)5.25%
EPS 3Y24.38%
EPS 5Y32.02%
EPS Q2Q%5.81%
EPS Next Y23.31%
EPS Next 2Y12.69%
EPS Next 3Y13.56%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.14%
Revenue growth 3Y9.81%
Revenue growth 5Y12.02%
Sales Q2Q%9.23%
Revenue Next Year5.22%
Revenue Next 2Y4.96%
Revenue Next 3Y5.63%
Revenue Next 5YN/A
EBIT growth 1Y8.07%
EBIT growth 3Y21.46%
EBIT growth 5Y28.29%
EBIT Next Year21.95%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y629.11%
FCF growth 3Y51.67%
FCF growth 5YN/A
OCF growth 1Y3731.53%
OCF growth 3Y48.59%
OCF growth 5YN/A