MINISO GROUP HOLDING LTD-ADR (MNSO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:MNSO - US66981J1025 - ADR
19.25 USD
-0.32 (-1.64%)
19.25 USD
0 (0%)
Taking everything into account, MNSO scores 7 out of 10 in our fundamental rating. MNSO was compared to 30 industry peers in the Broadline Retail industry. While MNSO belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. MNSO is not overvalued while it is showing excellent growth. This is an interesting combination. These ratings could make MNSO a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
In the past year MNSO was profitable.
In the past year MNSO had a positive cash flow from operations.
In multiple years MNSO reported negative net income over the last 5 years.
In the past 5 years MNSO always reported a positive cash flow from operatings.
1.2 Ratios
MNSO has a Return On Assets of 8.83%. This is amongst the best in the industry. MNSO outperforms 83.33% of its industry peers.
The Return On Equity of MNSO (21.69%) is better than 86.67% of its industry peers.
MNSO has a Return On Invested Capital of 13.11%. This is amongst the best in the industry. MNSO outperforms 83.33% of its industry peers.
MNSO had an Average Return On Invested Capital over the past 3 years of 15.21%. This is significantly above the industry average of 9.45%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.83% | ||
| ROE | 21.69% | ||
| ROIC | 13.11% |
ROA(3y)11.09%
ROA(5y)3.11%
ROE(3y)18.11%
ROE(5y)N/A
ROIC(3y)15.21%
ROIC(5y)14.47%
1.3 Margins
MNSO's Profit Margin of 12.63% is amongst the best of the industry. MNSO outperforms 90.00% of its industry peers.
Looking at the Operating Margin, with a value of 18.18%, MNSO belongs to the top of the industry, outperforming 93.33% of the companies in the same industry.
MNSO's Operating Margin has improved in the last couple of years.
MNSO has a better Gross Margin (45.12%) than 63.33% of its industry peers.
MNSO's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.18% | ||
| PM (TTM) | 12.63% | ||
| GM | 45.12% |
OM growth 3Y62.12%
OM growth 5Y11.8%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y18.81%
GM growth 5Y10.95%
2. Health
2.1 Basic Checks
MNSO has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
MNSO has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, MNSO has more shares outstanding
Compared to 1 year ago, MNSO has a worse debt to assets ratio.
2.2 Solvency
MNSO has an Altman-Z score of 3.33. This indicates that MNSO is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of MNSO (3.33) is better than 63.33% of its industry peers.
MNSO has a debt to FCF ratio of 10.42. This is a negative value and a sign of low solvency as MNSO would need 10.42 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 10.42, MNSO is in line with its industry, outperforming 46.67% of the companies in the same industry.
A Debt/Equity ratio of 0.72 indicates that MNSO is somewhat dependend on debt financing.
The Debt to Equity ratio of MNSO (0.72) is worse than 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 10.42 | ||
| Altman-Z | 3.33 |
ROIC/WACC1.75
WACC7.48%
2.3 Liquidity
MNSO has a Current Ratio of 1.92. This is a normal value and indicates that MNSO is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.92, MNSO is in line with its industry, outperforming 60.00% of the companies in the same industry.
MNSO has a Quick Ratio of 1.50. This is a normal value and indicates that MNSO is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.50, MNSO is doing good in the industry, outperforming 63.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.92 | ||
| Quick Ratio | 1.5 |
3. Growth
3.1 Past
MNSO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 13.01%, which is quite good.
The Earnings Per Share has been growing by 73.74% on average over the past years. This is a very strong growth
Looking at the last year, MNSO shows a very strong growth in Revenue. The Revenue has grown by 48.12%.
The Revenue has been growing by 12.59% on average over the past years. This is quite good.
EPS 1Y (TTM)13.01%
EPS 3Y73.74%
EPS 5YN/A
EPS Q2Q%12.73%
Revenue 1Y (TTM)48.12%
Revenue growth 3Y23.27%
Revenue growth 5Y12.59%
Sales Q2Q%28.17%
3.2 Future
The Earnings Per Share is expected to grow by 15.00% on average over the next years. This is quite good.
The Revenue is expected to grow by 19.77% on average over the next years. This is quite good.
EPS Next Y-0.79%
EPS Next 2Y11.9%
EPS Next 3Y15%
EPS Next 5YN/A
Revenue Next Year23.85%
Revenue Next 2Y21.46%
Revenue Next 3Y19.77%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
MNSO is valuated correctly with a Price/Earnings ratio of 14.92.
Compared to the rest of the industry, the Price/Earnings ratio of MNSO indicates a rather cheap valuation: MNSO is cheaper than 83.33% of the companies listed in the same industry.
MNSO's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.65.
A Price/Forward Earnings ratio of 12.37 indicates a correct valuation of MNSO.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MNSO indicates a somewhat cheap valuation: MNSO is cheaper than 80.00% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of MNSO to the average of the S&P500 Index (34.45), we can say MNSO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.92 | ||
| Fwd PE | 12.37 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MNSO is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MNSO is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 41.76 | ||
| EV/EBITDA | 10.5 |
4.3 Compensation for Growth
The excellent profitability rating of MNSO may justify a higher PE ratio.
MNSO's earnings are expected to grow with 15.00% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y11.9%
EPS Next 3Y15%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.06%, MNSO has a reasonable but not impressive dividend return.
The stock price of MNSO dropped by -22.54% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 13.63, MNSO pays a better dividend. On top of this MNSO pays more dividend than 86.67% of the companies listed in the same industry.
MNSO's Dividend Yield is a higher than the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.06% |
5.2 History
MNSO has been paying a dividend for over 5 years, so it has already some track record.
MNSO has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
56.42% of the earnings are spent on dividend by MNSO. This is a bit on the high side, but may be sustainable.
DP56.42%
EPS Next 2Y11.9%
EPS Next 3Y15%
19.25
-0.32 (-1.64%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners15.16%
Inst Owner Change8.56%
Ins Owners63.54%
Ins Owner ChangeN/A
Market Cap5.86B
Revenue(TTM)16.99B
Net Income(TTM)2.35B
Analysts85.83
Price Target23.35 (21.3%)
Short Float %2.37%
Short Ratio3.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.06% |
Yearly Dividend0.56
Dividend Growth(5Y)N/A
DP56.42%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)27.45%
Min EPS beat(2)2.4%
Max EPS beat(2)52.51%
EPS beat(4)3
Avg EPS beat(4)13.25%
Min EPS beat(4)-5.58%
Max EPS beat(4)52.51%
EPS beat(8)6
Avg EPS beat(8)6.97%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-0.49%
Min Revenue beat(2)-1.53%
Max Revenue beat(2)0.55%
Revenue beat(4)1
Avg Revenue beat(4)-2.21%
Min Revenue beat(4)-5%
Max Revenue beat(4)0.55%
Revenue beat(8)3
Avg Revenue beat(8)-1.23%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-2.04%
PT rev (3m)8.36%
EPS NQ rev (1m)0%
EPS NQ rev (3m)16.78%
EPS NY rev (1m)-3.7%
EPS NY rev (3m)-13.88%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.2%
Revenue NY rev (1m)0.33%
Revenue NY rev (3m)2.62%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.92 | ||
| Fwd PE | 12.37 | ||
| P/S | 2.23 | ||
| P/FCF | 41.76 | ||
| P/OCF | 21.98 | ||
| P/B | 3.83 | ||
| P/tB | 3.85 | ||
| EV/EBITDA | 10.5 |
EPS(TTM)1.29
EY6.7%
EPS(NY)1.56
Fwd EY8.08%
FCF(TTM)0.46
FCFY2.39%
OCF(TTM)0.88
OCFY4.55%
SpS8.64
BVpS5.03
TBVpS5.01
PEG (NY)N/A
PEG (5Y)N/A
Graham Number12.08
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.83% | ||
| ROE | 21.69% | ||
| ROCE | 16.91% | ||
| ROIC | 13.11% | ||
| ROICexc | 20.89% | ||
| ROICexgc | 20.98% | ||
| OM | 18.18% | ||
| PM (TTM) | 12.63% | ||
| GM | 45.12% | ||
| FCFM | 5.34% |
ROA(3y)11.09%
ROA(5y)3.11%
ROE(3y)18.11%
ROE(5y)N/A
ROIC(3y)15.21%
ROIC(5y)14.47%
ROICexc(3y)50.75%
ROICexc(5y)N/A
ROICexgc(3y)51.79%
ROICexgc(5y)N/A
ROCE(3y)19.61%
ROCE(5y)18.67%
ROICexgc growth 3YN/A
ROICexgc growth 5Y-56.57%
ROICexc growth 3YN/A
ROICexc growth 5Y-46.7%
OM growth 3Y62.12%
OM growth 5Y11.8%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y18.81%
GM growth 5Y10.95%
F-Score4
Asset Turnover0.7
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 10.42 | ||
| Debt/EBITDA | 1.85 | ||
| Cap/Depr | 110.61% | ||
| Cap/Sales | 4.8% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 45.02% | ||
| Profit Quality | 42.25% | ||
| Current Ratio | 1.92 | ||
| Quick Ratio | 1.5 | ||
| Altman-Z | 3.33 |
F-Score4
WACC7.48%
ROIC/WACC1.75
Cap/Depr(3y)71.07%
Cap/Depr(5y)N/A
Cap/Sales(3y)2.96%
Cap/Sales(5y)2.3%
Profit Quality(3y)104.32%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)13.01%
EPS 3Y73.74%
EPS 5YN/A
EPS Q2Q%12.73%
EPS Next Y-0.79%
EPS Next 2Y11.9%
EPS Next 3Y15%
EPS Next 5YN/A
Revenue 1Y (TTM)48.12%
Revenue growth 3Y23.27%
Revenue growth 5Y12.59%
Sales Q2Q%28.17%
Revenue Next Year23.85%
Revenue Next 2Y21.46%
Revenue Next 3Y19.77%
Revenue Next 5YN/A
EBIT growth 1Y10.76%
EBIT growth 3Y99.85%
EBIT growth 5Y25.86%
EBIT Next Year24.93%
EBIT Next 3Y22.47%
EBIT Next 5YN/A
FCF growth 1Y-5.77%
FCF growth 3Y24.07%
FCF growth 5Y8.79%
OCF growth 1Y30.15%
OCF growth 3Y33.26%
OCF growth 5Y15.86%
MINISO GROUP HOLDING LTD-ADR / MNSO FAQ
What is the ChartMill fundamental rating of MINISO GROUP HOLDING LTD-ADR (MNSO) stock?
ChartMill assigns a fundamental rating of 7 / 10 to MNSO.
What is the valuation status for MNSO stock?
ChartMill assigns a valuation rating of 5 / 10 to MINISO GROUP HOLDING LTD-ADR (MNSO). This can be considered as Fairly Valued.
What is the profitability of MNSO stock?
MINISO GROUP HOLDING LTD-ADR (MNSO) has a profitability rating of 8 / 10.
Can you provide the financial health for MNSO stock?
The financial health rating of MINISO GROUP HOLDING LTD-ADR (MNSO) is 5 / 10.
What is the earnings growth outlook for MINISO GROUP HOLDING LTD-ADR?
The Earnings per Share (EPS) of MINISO GROUP HOLDING LTD-ADR (MNSO) is expected to decline by -0.79% in the next year.