METRO INC/CN (MRU.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:MRU - CA59162N1096 - Common Stock
100.26 CAD
+0.31 (+0.31%)
We assign a fundamental rating of 5 out of 10 to MRU. MRU was compared to 17 industry peers in the Consumer Staples Distribution & Retail industry. MRU has an average financial health and profitability rating. While showing a medium growth rate, MRU is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year MRU was profitable.
In the past year MRU had a positive cash flow from operations.
Each year in the past 5 years MRU has been profitable.
In the past 5 years MRU always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.99%, MRU belongs to the top of the industry, outperforming 94.12% of the companies in the same industry.
MRU's Return On Equity of 14.47% is in line compared to the rest of the industry. MRU outperforms 52.94% of its industry peers.
MRU's Return On Invested Capital of 9.05% is in line compared to the rest of the industry. MRU outperforms 47.06% of its industry peers.
The Average Return On Invested Capital over the past 3 years for MRU is in line with the industry average of 8.34%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.99% | ||
| ROE | 14.47% | ||
| ROIC | 9.05% |
ROA(3y)6.96%
ROA(5y)6.65%
ROE(3y)14.21%
ROE(5y)13.66%
ROIC(3y)9.08%
ROIC(5y)8.87%
1.3 Margins
Looking at the Profit Margin, with a value of 4.62%, MRU belongs to the top of the industry, outperforming 94.12% of the companies in the same industry.
MRU's Profit Margin has been stable in the last couple of years.
With a Operating Margin value of 6.76%, MRU perfoms like the industry average, outperforming 52.94% of the companies in the same industry.
MRU's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 19.86%, MRU is doing worse than 76.47% of the companies in the same industry.
MRU's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.76% | ||
| PM (TTM) | 4.62% | ||
| GM | 19.86% |
OM growth 3Y-1.01%
OM growth 5Y-0.21%
PM growth 3Y1.05%
PM growth 5Y0.91%
GM growth 3Y-0.28%
GM growth 5Y-0.04%
2. Health
2.1 Basic Checks
MRU has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
MRU has less shares outstanding than it did 1 year ago.
The number of shares outstanding for MRU has been reduced compared to 5 years ago.
MRU has a worse debt/assets ratio than last year.
2.2 Solvency
MRU has an Altman-Z score of 4.14. This indicates that MRU is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 4.14, MRU belongs to the best of the industry, outperforming 82.35% of the companies in the same industry.
The Debt to FCF ratio of MRU is 3.79, which is a good value as it means it would take MRU, 3.79 years of fcf income to pay off all of its debts.
MRU has a better Debt to FCF ratio (3.79) than 94.12% of its industry peers.
MRU has a Debt/Equity ratio of 0.61. This is a neutral value indicating MRU is somewhat dependend on debt financing.
The Debt to Equity ratio of MRU (0.61) is better than 88.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 3.79 | ||
| Altman-Z | 4.14 |
ROIC/WACC1.3
WACC6.96%
2.3 Liquidity
MRU has a Current Ratio of 1.30. This is a normal value and indicates that MRU is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of MRU (1.30) is better than 64.71% of its industry peers.
A Quick Ratio of 0.51 indicates that MRU may have some problems paying its short term obligations.
With a Quick ratio value of 0.51, MRU is not doing good in the industry: 82.35% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.3 | ||
| Quick Ratio | 0.51 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.93% over the past year.
MRU shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.78% yearly.
MRU shows a small growth in Revenue. In the last year, the Revenue has grown by 3.71%.
The Revenue has been growing slightly by 4.10% on average over the past years.
EPS 1Y (TTM)10.93%
EPS 3Y7.87%
EPS 5Y7.78%
EPS Q2Q%10.78%
Revenue 1Y (TTM)3.71%
Revenue growth 3Y5.22%
Revenue growth 5Y4.1%
Sales Q2Q%3.45%
3.2 Future
MRU is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.02% yearly.
MRU is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.79% yearly.
EPS Next Y10.55%
EPS Next 2Y9.01%
EPS Next 3Y7.49%
EPS Next 5Y5.02%
Revenue Next Year3.48%
Revenue Next 2Y3.41%
Revenue Next 3Y3.17%
Revenue Next 5Y3.79%
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 decreasing.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 21.02, MRU is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of MRU is on the same level as its industry peers.
When comparing the Price/Earnings ratio of MRU to the average of the S&P500 Index (26.31), we can say MRU is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 19.01, the valuation of MRU can be described as rather expensive.
MRU's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.56, MRU is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.02 | ||
| Fwd PE | 19.01 |
4.2 Price Multiples
82.35% of the companies in the same industry are cheaper than MRU, based on the Enterprise Value to EBITDA ratio.
MRU's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.66 | ||
| EV/EBITDA | 12.48 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of MRU may justify a higher PE ratio.
PEG (NY)1.99
PEG (5Y)2.7
EPS Next 2Y9.01%
EPS Next 3Y7.49%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.48%, MRU has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.55, MRU has a dividend in line with its industry peers.
Compared to the average S&P500 Dividend Yield of 2.32, MRU is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
5.2 History
The dividend of MRU is nicely growing with an annual growth rate of 10.60%!
MRU has paid a dividend for at least 10 years, which is a reliable track record.
MRU has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)10.6%
Div Incr Years26
Div Non Decr Years26
5.3 Sustainability
31.15% of the earnings are spent on dividend by MRU. This is a low number and sustainable payout ratio.
The dividend of MRU is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP31.15%
EPS Next 2Y9.01%
EPS Next 3Y7.49%
TSX:MRU (11/28/2025, 7:00:00 PM)
100.26
+0.31 (+0.31%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners46.04%
Inst Owner ChangeN/A
Ins Owners0.2%
Ins Owner ChangeN/A
Market Cap21.45B
Revenue(TTM)22.01B
Net Income(TTM)1.02B
Analysts70
Price Target108.53 (8.25%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
Yearly Dividend1.45
Dividend Growth(5Y)10.6%
DP31.15%
Div Incr Years26
Div Non Decr Years26
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.04%
Min EPS beat(2)-1.8%
Max EPS beat(2)1.71%
EPS beat(4)2
Avg EPS beat(4)-0.32%
Min EPS beat(4)-1.8%
Max EPS beat(4)1.71%
EPS beat(8)5
Avg EPS beat(8)0.47%
EPS beat(12)8
Avg EPS beat(12)0.13%
EPS beat(16)10
Avg EPS beat(16)-0.01%
Revenue beat(2)0
Avg Revenue beat(2)-1.44%
Min Revenue beat(2)-1.74%
Max Revenue beat(2)-1.13%
Revenue beat(4)0
Avg Revenue beat(4)-1.05%
Min Revenue beat(4)-1.74%
Max Revenue beat(4)0%
Revenue beat(8)2
Avg Revenue beat(8)-0.59%
Revenue beat(12)3
Avg Revenue beat(12)-0.35%
Revenue beat(16)4
Avg Revenue beat(16)-0.32%
PT rev (1m)-0.75%
PT rev (3m)-0.75%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.82%
EPS NY rev (1m)-0.34%
EPS NY rev (3m)-0.38%
Revenue NQ rev (1m)-0.82%
Revenue NQ rev (3m)-0.82%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.02 | ||
| Fwd PE | 19.01 | ||
| P/S | 0.97 | ||
| P/FCF | 17.66 | ||
| P/OCF | 12.44 | ||
| P/B | 3.05 | ||
| P/tB | 20.46 | ||
| EV/EBITDA | 12.48 |
EPS(TTM)4.77
EY4.76%
EPS(NY)5.27
Fwd EY5.26%
FCF(TTM)5.68
FCFY5.66%
OCF(TTM)8.06
OCFY8.04%
SpS102.86
BVpS32.84
TBVpS4.9
PEG (NY)1.99
PEG (5Y)2.7
Graham Number59.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.99% | ||
| ROE | 14.47% | ||
| ROCE | 11.92% | ||
| ROIC | 9.05% | ||
| ROICexc | 9.09% | ||
| ROICexgc | 17.54% | ||
| OM | 6.76% | ||
| PM (TTM) | 4.62% | ||
| GM | 19.86% | ||
| FCFM | 5.52% |
ROA(3y)6.96%
ROA(5y)6.65%
ROE(3y)14.21%
ROE(5y)13.66%
ROIC(3y)9.08%
ROIC(5y)8.87%
ROICexc(3y)9.12%
ROICexc(5y)8.96%
ROICexgc(3y)18.23%
ROICexgc(5y)18.62%
ROCE(3y)11.97%
ROCE(5y)11.69%
ROICexgc growth 3Y-1.81%
ROICexgc growth 5Y-1.36%
ROICexc growth 3Y1.34%
ROICexc growth 5Y1.62%
OM growth 3Y-1.01%
OM growth 5Y-0.21%
PM growth 3Y1.05%
PM growth 5Y0.91%
GM growth 3Y-0.28%
GM growth 5Y-0.04%
F-Score8
Asset Turnover1.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 3.79 | ||
| Debt/EBITDA | 2.07 | ||
| Cap/Depr | 85.9% | ||
| Cap/Sales | 2.32% | ||
| Interest Coverage | 8.31 | ||
| Cash Conversion | 82.82% | ||
| Profit Quality | 119.4% | ||
| Current Ratio | 1.3 | ||
| Quick Ratio | 0.51 | ||
| Altman-Z | 4.14 |
F-Score8
WACC6.96%
ROIC/WACC1.3
Cap/Depr(3y)105.66%
Cap/Depr(5y)113.14%
Cap/Sales(3y)2.78%
Cap/Sales(5y)2.98%
Profit Quality(3y)108.31%
Profit Quality(5y)108.76%
High Growth Momentum
Growth
EPS 1Y (TTM)10.93%
EPS 3Y7.87%
EPS 5Y7.78%
EPS Q2Q%10.78%
EPS Next Y10.55%
EPS Next 2Y9.01%
EPS Next 3Y7.49%
EPS Next 5Y5.02%
Revenue 1Y (TTM)3.71%
Revenue growth 3Y5.22%
Revenue growth 5Y4.1%
Sales Q2Q%3.45%
Revenue Next Year3.48%
Revenue Next 2Y3.41%
Revenue Next 3Y3.17%
Revenue Next 5Y3.79%
EBIT growth 1Y5.58%
EBIT growth 3Y4.16%
EBIT growth 5Y3.89%
EBIT Next Year47.27%
EBIT Next 3Y16.08%
EBIT Next 5Y9.98%
FCF growth 1Y10.36%
FCF growth 3Y13.06%
FCF growth 5Y4.74%
OCF growth 1Y2.67%
OCF growth 3Y5.68%
OCF growth 5Y3.19%
METRO INC/CN / MRU.CA FAQ
What is the ChartMill fundamental rating of METRO INC/CN (MRU.CA) stock?
ChartMill assigns a fundamental rating of 5 / 10 to MRU.CA.
What is the valuation status of METRO INC/CN (MRU.CA) stock?
ChartMill assigns a valuation rating of 3 / 10 to METRO INC/CN (MRU.CA). This can be considered as Overvalued.
Can you provide the profitability details for METRO INC/CN?
METRO INC/CN (MRU.CA) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for MRU stock?
The Price/Earnings (PE) ratio for METRO INC/CN (MRU.CA) is 21.02 and the Price/Book (PB) ratio is 3.05.
How financially healthy is METRO INC/CN?
The financial health rating of METRO INC/CN (MRU.CA) is 6 / 10.