MESA LABORATORIES INC (MLAB) Stock Fundamental Analysis
NASDAQ:MLAB - Nasdaq - US59064R1095 - Common Stock - Currency: USD
Overall MLAB gets a fundamental rating of 4 out of 10. We evaluated MLAB against 57 industry peers in the Life Sciences Tools & Services industry. While MLAB is still in line with the averages on profitability rating, there are concerns on its financial health. MLAB has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year MLAB was profitable.
In the past year MLAB had a positive cash flow from operations.
MLAB had positive earnings in 4 of the past 5 years.
Each year in the past 5 years MLAB had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of -57.06%, MLAB is doing worse than 91.23% of the companies in the same industry.
With a Return On Equity value of -160.71%, MLAB is not doing good in the industry: 85.96% of the companies in the same industry are doing better.
Looking at the Return On Invested Capital, with a value of 5.09%, MLAB is in the better half of the industry, outperforming 73.68% of the companies in the same industry.
MLAB had an Average Return On Invested Capital over the past 3 years of 0.49%. This is significantly below the industry average of 9.60%.
The last Return On Invested Capital (5.09%) for MLAB is above the 3 year average (0.49%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -57.06% | ||
| ROE | -160.71% | ||
| ROIC | 5.09% |
ROA(3y)-18.83%
ROA(5y)-11.13%
ROE(3y)-58.05%
ROE(5y)-34.55%
ROIC(3y)0.49%
ROIC(5y)0.96%
1.3 Margins
MLAB has a Operating Margin of 7.62%. This is in the better half of the industry: MLAB outperforms 64.91% of its industry peers.
MLAB's Operating Margin has declined in the last couple of years.
MLAB's Gross Margin of 62.68% is amongst the best of the industry. MLAB outperforms 89.47% of its industry peers.
In the last couple of years the Gross Margin of MLAB has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.62% | ||
| PM (TTM) | N/A | ||
| GM | 62.68% |
OM growth 3Y-50.43%
OM growth 5Y-42.03%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.74%
GM growth 5Y0.85%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MLAB is destroying value.
Compared to 1 year ago, MLAB has about the same amount of shares outstanding.
The number of shares outstanding for MLAB has been increased compared to 5 years ago.
MLAB has a worse debt/assets ratio than last year.
2.2 Solvency
MLAB has an Altman-Z score of 1.66. This is a bad value and indicates that MLAB is not financially healthy and even has some risk of bankruptcy.
MLAB has a Altman-Z score (1.66) which is comparable to the rest of the industry.
The Debt to FCF ratio of MLAB is 4.55, which is a neutral value as it means it would take MLAB, 4.55 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of MLAB (4.55) is better than 68.42% of its industry peers.
A Debt/Equity ratio of 0.61 indicates that MLAB is somewhat dependend on debt financing.
MLAB has a worse Debt to Equity ratio (0.61) than 70.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 4.55 | ||
| Altman-Z | 1.66 |
ROIC/WACC0.49
WACC10.47%
2.3 Liquidity
MLAB has a Current Ratio of 0.71. This is a bad value and indicates that MLAB is not financially healthy enough and could expect problems in meeting its short term obligations.
MLAB's Current ratio of 0.71 is on the low side compared to the rest of the industry. MLAB is outperformed by 94.74% of its industry peers.
MLAB has a Quick Ratio of 0.71. This is a bad value and indicates that MLAB is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.53, MLAB is not doing good in the industry: 94.74% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
MLAB shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 2888.24%, which is quite impressive.
The Earnings Per Share has been growing slightly by 2.64% on average over the past years.
MLAB shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.68%.
Measured over the past years, MLAB shows a quite strong growth in Revenue. The Revenue has been growing by 15.96% on average per year.
EPS 1Y (TTM)2888.24%
EPS 3Y86.46%
EPS 5Y2.64%
EPS Q2Q%-166.15%
Revenue 1Y (TTM)11.68%
Revenue growth 3Y17.31%
Revenue growth 5Y15.96%
Sales Q2Q%17.52%
3.2 Future
MLAB is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.97% yearly.
Based on estimates for the next years, MLAB will show a small growth in Revenue. The Revenue will grow by 7.33% on average per year.
EPS Next Y73.21%
EPS Next 2Y36.48%
EPS Next 3Y16.97%
EPS Next 5YN/A
Revenue Next Year12.09%
Revenue Next 2Y8.46%
Revenue Next 3Y7.33%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last 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
MLAB is valuated quite expensively with a Price/Earnings ratio of 27.89.
Based on the Price/Earnings ratio, MLAB is valued a bit cheaper than the industry average as 77.19% of the companies are valued more expensively.
MLAB is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 29.63, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 20.23 indicates a rather expensive valuation of MLAB.
MLAB's Price/Forward Earnings ratio is rather cheap when compared to the industry. MLAB is cheaper than 84.21% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.68. MLAB is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.89 | ||
| Fwd PE | 20.23 |
4.2 Price Multiples
75.44% of the companies in the same industry are more expensive than MLAB, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, MLAB is valued cheaper than 87.72% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.89 | ||
| EV/EBITDA | 23.09 |
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.
A more expensive valuation may be justified as MLAB's earnings are expected to grow with 16.97% in the coming years.
PEG (NY)0.38
PEG (5Y)10.55
EPS Next 2Y36.48%
EPS Next 3Y16.97%
5. Dividend
5.1 Amount
MLAB has a yearly dividend return of 0.44%, which is pretty low.
MLAB's Dividend Yield is rather good when compared to the industry average which is at 0.42. MLAB pays more dividend than 94.74% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.27, MLAB's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.44% |
5.2 History
The dividend of MLAB decreases each year by -0.01%.
MLAB has paid a dividend for at least 10 years, which is a reliable track record.
MLAB has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-0.01%
Div Incr Years0
Div Non Decr Years21
5.3 Sustainability
The earnings of MLAB are negative and hence is the payout ratio. MLAB will probably not be able to sustain this dividend level.
DP-1.39%
EPS Next 2Y36.48%
EPS Next 3Y16.97%
141.7
-4.2 (-2.88%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners95.69%
Inst Owner Change8.47%
Ins Owners4.58%
Ins Owner Change2.15%
Market Cap769.43M
Analysts78
Price Target153 (7.97%)
Short Float %3.62%
Short Ratio4.97
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.44% |
Yearly Dividend0.64
Dividend Growth(5Y)-0.01%
DP-1.39%
Div Incr Years0
Div Non Decr Years21
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-78.88%
Min EPS beat(2)-114.45%
Max EPS beat(2)-43.31%
EPS beat(4)2
Avg EPS beat(4)795.58%
Min EPS beat(4)-114.45%
Max EPS beat(4)3254.31%
EPS beat(8)3
Avg EPS beat(8)322.16%
EPS beat(12)4
Avg EPS beat(12)200.99%
EPS beat(16)8
Avg EPS beat(16)185.92%
Revenue beat(2)1
Avg Revenue beat(2)1.4%
Min Revenue beat(2)-2.04%
Max Revenue beat(2)4.83%
Revenue beat(4)3
Avg Revenue beat(4)2.39%
Min Revenue beat(4)-2.04%
Max Revenue beat(4)4.83%
Revenue beat(8)3
Avg Revenue beat(8)-1.1%
Revenue beat(12)5
Avg Revenue beat(12)-0.86%
Revenue beat(16)8
Avg Revenue beat(16)0.99%
PT rev (1m)0%
PT rev (3m)-6.98%
EPS NQ rev (1m)9.09%
EPS NQ rev (3m)2300%
EPS NY rev (1m)-13.13%
EPS NY rev (3m)-9.69%
Revenue NQ rev (1m)1.35%
Revenue NQ rev (3m)9.82%
Revenue NY rev (1m)1.1%
Revenue NY rev (3m)1.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.89 | ||
| Fwd PE | 20.23 | ||
| P/S | 3.24 | ||
| P/FCF | 17.89 | ||
| P/OCF | 16.36 | ||
| P/B | 4.96 | ||
| P/tB | N/A | ||
| EV/EBITDA | 23.09 |
EPS(TTM)5.08
EY3.59%
EPS(NY)7
Fwd EY4.94%
FCF(TTM)7.92
FCFY5.59%
OCF(TTM)8.66
OCFY6.11%
SpS43.78
BVpS28.58
TBVpS-22.12
PEG (NY)0.38
PEG (5Y)10.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -57.06% | ||
| ROE | -160.71% | ||
| ROCE | 6.44% | ||
| ROIC | 5.09% | ||
| ROICexc | 5.72% | ||
| ROICexgc | N/A | ||
| OM | 7.62% | ||
| PM (TTM) | N/A | ||
| GM | 62.68% | ||
| FCFM | 18.09% |
ROA(3y)-18.83%
ROA(5y)-11.13%
ROE(3y)-58.05%
ROE(5y)-34.55%
ROIC(3y)0.49%
ROIC(5y)0.96%
ROICexc(3y)0.52%
ROICexc(5y)1.37%
ROICexgc(3y)3.66%
ROICexgc(5y)11.33%
ROCE(3y)0.62%
ROCE(5y)1.22%
ROICexcg growth 3Y-57.01%
ROICexcg growth 5Y-47.53%
ROICexc growth 3Y-45.68%
ROICexc growth 5Y-46.2%
OM growth 3Y-50.43%
OM growth 5Y-42.03%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.74%
GM growth 5Y0.85%
F-Score5
Asset Turnover0.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 4.55 | ||
| Debt/EBITDA | 2.29 | ||
| Cap/Depr | 17.26% | ||
| Cap/Sales | 1.69% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 113.48% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.53 | ||
| Altman-Z | 1.66 |
F-Score5
WACC10.47%
ROIC/WACC0.49
Cap/Depr(3y)13.07%
Cap/Depr(5y)12.41%
Cap/Sales(3y)1.89%
Cap/Sales(5y)1.68%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)2888.24%
EPS 3Y86.46%
EPS 5Y2.64%
EPS Q2Q%-166.15%
EPS Next Y73.21%
EPS Next 2Y36.48%
EPS Next 3Y16.97%
EPS Next 5YN/A
Revenue 1Y (TTM)11.68%
Revenue growth 3Y17.31%
Revenue growth 5Y15.96%
Sales Q2Q%17.52%
Revenue Next Year12.09%
Revenue Next 2Y8.46%
Revenue Next 3Y7.33%
Revenue Next 5YN/A
EBIT growth 1Y6885.02%
EBIT growth 3Y-41.85%
EBIT growth 5Y-32.77%
EBIT Next Year28950%
EBIT Next 3Y582.2%
EBIT Next 5YN/A
FCF growth 1Y110.16%
FCF growth 3Y5.82%
FCF growth 5Y7.25%
OCF growth 1Y89.93%
OCF growth 3Y5.99%
OCF growth 5Y7.63%