MOLINA HEALTHCARE INC (MOH) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:MOH - US60855R1005 - Common Stock
145 USD
-3.26 (-2.2%)
144.51 USD
-0.49 (-0.34%)
Taking everything into account, MOH scores 5 out of 10 in our fundamental rating. MOH was compared to 101 industry peers in the Health Care Providers & Services industry. MOH has only an average score on both its financial health and profitability. MOH has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
MOH had positive earnings in the past year.
MOH had a negative operating cash flow in the past year.
In the past 5 years MOH has always been profitable.
Each year in the past 5 years MOH had a positive operating cash flow.
1.2 Ratios
MOH has a better Return On Assets (5.62%) than 81.19% of its industry peers.
MOH has a Return On Equity of 21.07%. This is amongst the best in the industry. MOH outperforms 89.11% of its industry peers.
MOH's Return On Invested Capital of 11.98% is amongst the best of the industry. MOH outperforms 87.13% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MOH is significantly above the industry average of 9.22%.
The 3 year average ROIC (17.96%) for MOH is well above the current ROIC(11.98%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.62% | ||
| ROE | 21.07% | ||
| ROIC | 11.98% |
ROA(3y)7.1%
ROA(5y)6.75%
ROE(3y)26.28%
ROE(5y)27.2%
ROIC(3y)17.96%
ROIC(5y)17.65%
1.3 Margins
The Profit Margin of MOH (1.98%) is better than 62.38% of its industry peers.
MOH's Profit Margin has declined in the last couple of years.
MOH has a Operating Margin (2.97%) which is in line with its industry peers.
In the last couple of years the Operating Margin of MOH has declined.
MOH's Gross Margin of 13.91% is on the low side compared to the rest of the industry. MOH is outperformed by 67.33% of its industry peers.
In the last couple of years the Gross Margin of MOH has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.97% | ||
| PM (TTM) | 1.98% | ||
| GM | 13.91% |
OM growth 3Y1.53%
OM growth 5Y-7.6%
PM growth 3Y6.92%
PM growth 5Y-7.91%
GM growth 3Y1.48%
GM growth 5Y-2.5%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so MOH is creating value.
Compared to 1 year ago, MOH has less shares outstanding
MOH has less shares outstanding than it did 5 years ago.
MOH has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.24 indicates that MOH is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.24, MOH is in the better half of the industry, outperforming 77.23% of the companies in the same industry.
A Debt/Equity ratio of 0.92 indicates that MOH is somewhat dependend on debt financing.
The Debt to Equity ratio of MOH (0.92) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.92 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 4.24 |
ROIC/WACC1.47
WACC8.14%
2.3 Liquidity
MOH has a Current Ratio of 1.68. This is a normal value and indicates that MOH is financially healthy and should not expect problems in meeting its short term obligations.
MOH has a better Current ratio (1.68) than 65.35% of its industry peers.
A Quick Ratio of 1.68 indicates that MOH should not have too much problems paying its short term obligations.
MOH has a Quick ratio of 1.68. This is in the better half of the industry: MOH outperforms 69.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.68 | ||
| Quick Ratio | 1.68 |
3. Growth
3.1 Past
MOH shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -16.06%.
Measured over the past years, MOH shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.16% on average per year.
Looking at the last year, MOH shows a quite strong growth in Revenue. The Revenue has grown by 13.65% in the last year.
MOH shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 19.29% yearly.
EPS 1Y (TTM)-16.06%
EPS 3Y18.68%
EPS 5Y14.16%
EPS Q2Q%-69.38%
Revenue 1Y (TTM)13.65%
Revenue growth 3Y13.54%
Revenue growth 5Y19.29%
Sales Q2Q%11%
3.2 Future
The Earnings Per Share is expected to grow by 4.82% on average over the next years.
Based on estimates for the next years, MOH will show a small growth in Revenue. The Revenue will grow by 5.46% on average per year.
EPS Next Y-33.62%
EPS Next 2Y-19.59%
EPS Next 3Y-8.28%
EPS Next 5Y4.82%
Revenue Next Year10.91%
Revenue Next 2Y7.4%
Revenue Next 3Y7.22%
Revenue Next 5Y5.46%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
A Price/Earnings ratio of 7.86 indicates a rather cheap valuation of MOH.
95.05% of the companies in the same industry are more expensive than MOH, based on the Price/Earnings ratio.
MOH is valuated cheaply when we compare the Price/Earnings ratio to 26.11, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 9.90, the valuation of MOH can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MOH indicates a rather cheap valuation: MOH is cheaper than 90.10% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.21. MOH is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.86 | ||
| Fwd PE | 9.9 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | -0.79 |
4.3 Compensation for Growth
The decent profitability rating of MOH may justify a higher PE ratio.
A cheap valuation may be justified as MOH's earnings are expected to decrease with -8.28% in the coming years.
PEG (NY)N/A
PEG (5Y)0.55
EPS Next 2Y-19.59%
EPS Next 3Y-8.28%
5. Dividend
5.1 Amount
MOH does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
145
-3.26 (-2.2%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners99.99%
Inst Owner Change12.24%
Ins Owners1.26%
Ins Owner Change1.12%
Market Cap7.45B
Revenue(TTM)44.55B
Net Income(TTM)883.00M
Analysts65.83
Price Target176.67 (21.84%)
Short Float %5.87%
Short Ratio2.1
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)0
Avg EPS beat(2)-29.8%
Min EPS beat(2)-53.34%
Max EPS beat(2)-6.27%
EPS beat(4)1
Avg EPS beat(4)-17.79%
Min EPS beat(4)-53.34%
Max EPS beat(4)1.06%
EPS beat(8)4
Avg EPS beat(8)-7.75%
EPS beat(12)8
Avg EPS beat(12)-3.04%
EPS beat(16)12
Avg EPS beat(16)-1.32%
Revenue beat(2)2
Avg Revenue beat(2)3.64%
Min Revenue beat(2)3.29%
Max Revenue beat(2)3.99%
Revenue beat(4)4
Avg Revenue beat(4)2.53%
Min Revenue beat(4)0.69%
Max Revenue beat(4)3.99%
Revenue beat(8)8
Avg Revenue beat(8)3.12%
Revenue beat(12)10
Avg Revenue beat(12)2.26%
Revenue beat(16)14
Avg Revenue beat(16)2.23%
PT rev (1m)-7.29%
PT rev (3m)-15.71%
EPS NQ rev (1m)-50.06%
EPS NQ rev (3m)-72.48%
EPS NY rev (1m)-20.18%
EPS NY rev (3m)-21.82%
Revenue NQ rev (1m)-0.88%
Revenue NQ rev (3m)-0.85%
Revenue NY rev (1m)0.93%
Revenue NY rev (3m)0.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.86 | ||
| Fwd PE | 9.9 | ||
| P/S | 0.17 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.78 | ||
| P/tB | 3.75 | ||
| EV/EBITDA | -0.79 |
EPS(TTM)18.45
EY12.72%
EPS(NY)14.65
Fwd EY10.1%
FCF(TTM)-11.17
FCFYN/A
OCF(TTM)-8.97
OCFYN/A
SpS866.73
BVpS81.54
TBVpS38.7
PEG (NY)N/A
PEG (5Y)0.55
Graham Number183.98
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.62% | ||
| ROE | 21.07% | ||
| ROCE | 16.11% | ||
| ROIC | 11.98% | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 2.97% | ||
| PM (TTM) | 1.98% | ||
| GM | 13.91% | ||
| FCFM | N/A |
ROA(3y)7.1%
ROA(5y)6.75%
ROE(3y)26.28%
ROE(5y)27.2%
ROIC(3y)17.96%
ROIC(5y)17.65%
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)24.15%
ROCE(5y)23.74%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y1.53%
OM growth 5Y-7.6%
PM growth 3Y6.92%
PM growth 5Y-7.91%
GM growth 3Y1.48%
GM growth 5Y-2.5%
F-Score4
Asset Turnover2.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.92 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.53 | ||
| Cap/Depr | 56.78% | ||
| Cap/Sales | 0.25% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.68 | ||
| Quick Ratio | 1.68 | ||
| Altman-Z | 4.24 |
F-Score4
WACC8.14%
ROIC/WACC1.47
Cap/Depr(3y)51.53%
Cap/Depr(5y)59.49%
Cap/Sales(3y)0.26%
Cap/Sales(5y)0.29%
Profit Quality(3y)92.3%
Profit Quality(5y)171.56%
High Growth Momentum
Growth
EPS 1Y (TTM)-16.06%
EPS 3Y18.68%
EPS 5Y14.16%
EPS Q2Q%-69.38%
EPS Next Y-33.62%
EPS Next 2Y-19.59%
EPS Next 3Y-8.28%
EPS Next 5Y4.82%
Revenue 1Y (TTM)13.65%
Revenue growth 3Y13.54%
Revenue growth 5Y19.29%
Sales Q2Q%11%
Revenue Next Year10.91%
Revenue Next 2Y7.4%
Revenue Next 3Y7.22%
Revenue Next 5Y5.46%
EBIT growth 1Y-19.56%
EBIT growth 3Y15.28%
EBIT growth 5Y10.22%
EBIT Next Year-15.62%
EBIT Next 3Y-1.12%
EBIT Next 5YN/A
FCF growth 1Y-128.12%
FCF growth 3Y-35.66%
FCF growth 5Y7.61%
OCF growth 1Y-121.54%
OCF growth 3Y-32.77%
OCF growth 5Y8.21%
MOLINA HEALTHCARE INC / MOH FAQ
What is the fundamental rating for MOH stock?
ChartMill assigns a fundamental rating of 5 / 10 to MOH.
Can you provide the valuation status for MOLINA HEALTHCARE INC?
ChartMill assigns a valuation rating of 5 / 10 to MOLINA HEALTHCARE INC (MOH). This can be considered as Fairly Valued.
How profitable is MOLINA HEALTHCARE INC (MOH) stock?
MOLINA HEALTHCARE INC (MOH) has a profitability rating of 6 / 10.
What is the financial health of MOLINA HEALTHCARE INC (MOH) stock?
The financial health rating of MOLINA HEALTHCARE INC (MOH) is 5 / 10.
What is the earnings growth outlook for MOLINA HEALTHCARE INC?
The Earnings per Share (EPS) of MOLINA HEALTHCARE INC (MOH) is expected to decline by -33.62% in the next year.