METRO INC/CN (MRU.CA) Stock Fundamental Analysis
Canada - TSX:MRU - CA59162N1096 - Common Stock
93.35 CAD
+0.34 (+0.37%)
Taking everything into account, MRU scores 5 out of 10 in our fundamental rating. MRU was compared to 16 industry peers in the Consumer Staples Distribution & Retail industry. While MRU has a great health rating, its profitability is only average at the moment. MRU is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
MRU had positive earnings in the past year.
MRU had a positive operating cash flow in the past year.
In the past 5 years MRU has always been profitable.
MRU had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 7.14%, MRU belongs to the best of the industry, outperforming 93.75% of the companies in the same industry.
The Return On Equity of MRU (14.31%) is comparable to the rest of the industry.
MRU has a Return On Invested Capital of 8.99%. This is comparable to the rest of the industry: MRU outperforms 43.75% of its industry peers.
MRU had an Average Return On Invested Capital over the past 3 years of 8.97%. This is in line with the industry average of 8.70%.
The last Return On Invested Capital (8.99%) for MRU is above the 3 year average (8.97%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.14% | ||
| ROE | 14.31% | ||
| ROIC | 8.99% |
ROA(3y)6.73%
ROA(5y)6.44%
ROE(3y)13.65%
ROE(5y)13.35%
ROIC(3y)8.97%
ROIC(5y)8.66%
1.3 Margins
MRU's Profit Margin of 4.67% is amongst the best of the industry. MRU outperforms 93.75% of its industry peers.
In the last couple of years the Profit Margin of MRU has remained more or less at the same level.
Looking at the Operating Margin, with a value of 6.71%, MRU is in line with its industry, outperforming 43.75% of the companies in the same industry.
In the last couple of years the Operating Margin of MRU has remained more or less at the same level.
MRU has a worse Gross Margin (19.80%) than 75.00% of its industry peers.
MRU's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.71% | ||
| PM (TTM) | 4.67% | ||
| GM | 19.8% |
OM growth 3Y-1.08%
OM growth 5Y0.89%
PM growth 3Y-0.93%
PM growth 5Y0.61%
GM growth 3Y-0.5%
GM growth 5Y-0.16%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), MRU 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.
The debt/assets ratio for MRU has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.16 indicates that MRU is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 4.16, MRU belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
The Debt to FCF ratio of MRU is 3.68, which is a good value as it means it would take MRU, 3.68 years of fcf income to pay off all of its debts.
MRU has a better Debt to FCF ratio (3.68) than 81.25% of its industry peers.
A Debt/Equity ratio of 0.58 indicates that MRU is somewhat dependend on debt financing.
The Debt to Equity ratio of MRU (0.58) is better than 81.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 3.68 | ||
| Altman-Z | 4.16 |
ROIC/WACC1.24
WACC7.25%
2.3 Liquidity
MRU has a Current Ratio of 1.37. This is a normal value and indicates that MRU is financially healthy and should not expect problems in meeting its short term obligations.
MRU has a better Current ratio (1.37) than 75.00% of its industry peers.
A Quick Ratio of 0.56 indicates that MRU may have some problems paying its short term obligations.
MRU has a worse Quick ratio (0.56) than 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.13% over the past year.
MRU shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.57% yearly.
Looking at the last year, MRU shows a small growth in Revenue. The Revenue has grown by 2.26% in the last year.
MRU shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.82% yearly.
EPS 1Y (TTM)9.13%
EPS 3Y7.72%
EPS 5Y8.57%
EPS Q2Q%12.59%
Revenue 1Y (TTM)2.26%
Revenue growth 3Y5.09%
Revenue growth 5Y4.82%
Sales Q2Q%3.3%
3.2 Future
The Earnings Per Share is expected to grow by 5.68% on average over the next years.
Based on estimates for the next years, MRU will show a small growth in Revenue. The Revenue will grow by 3.36% on average per year.
EPS Next Y11.66%
EPS Next 2Y10.95%
EPS Next 3Y9.88%
EPS Next 5Y5.68%
Revenue Next Year3.91%
Revenue Next 2Y3.69%
Revenue Next 3Y3.6%
Revenue Next 5Y3.36%
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
Based on the Price/Earnings ratio of 20.03, the valuation of MRU can be described as rather expensive.
The rest of the industry has a similar Price/Earnings ratio as MRU.
The average S&P500 Price/Earnings ratio is at 27.41. MRU is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 17.64 indicates a rather expensive valuation of MRU.
68.75% of the companies in the same industry are cheaper than MRU, based on the Price/Forward Earnings ratio.
MRU's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.03 | ||
| Fwd PE | 17.64 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MRU is valued a bit more expensive than the industry average as 68.75% of the companies are valued more cheaply.
62.50% of the companies in the same industry are cheaper than MRU, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.9 | ||
| EV/EBITDA | 11.91 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
MRU has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.72
PEG (5Y)2.34
EPS Next 2Y10.95%
EPS Next 3Y9.88%
5. Dividend
5.1 Amount
MRU has a Yearly Dividend Yield of 1.53%. Purely for dividend investing, there may be better candidates out there.
MRU's Dividend Yield is rather good when compared to the industry average which is at 1.54. MRU pays more dividend than 87.50% of the companies in the same industry.
Compared to the average S&P500 Dividend Yield of 2.38, MRU is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.53% |
5.2 History
The dividend of MRU is nicely growing with an annual growth rate of 10.85%!
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)10.85%
Div Incr Years26
Div Non Decr Years26
5.3 Sustainability
MRU pays out 30.52% of its income as dividend. This is a sustainable payout ratio.
MRU's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP30.52%
EPS Next 2Y10.95%
EPS Next 3Y9.88%
TSX:MRU (9/18/2025, 7:00:00 PM)
93.35
+0.34 (+0.37%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners44.67%
Inst Owner ChangeN/A
Ins Owners0.2%
Ins Owner ChangeN/A
Market Cap20.17B
Analysts70
Price Target109.34 (17.13%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.53% |
Yearly Dividend1.31
Dividend Growth(5Y)10.85%
DP30.52%
Div Incr Years26
Div Non Decr Years26
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.58%
Min EPS beat(2)-1.8%
Max EPS beat(2)-1.35%
EPS beat(4)2
Avg EPS beat(4)-0.17%
Min EPS beat(4)-1.8%
Max EPS beat(4)2.31%
EPS beat(8)4
Avg EPS beat(8)-0.84%
EPS beat(12)8
Avg EPS beat(12)0.14%
EPS beat(16)9
Avg EPS beat(16)-0.13%
Revenue beat(2)0
Avg Revenue beat(2)-0.87%
Min Revenue beat(2)-1.74%
Max Revenue beat(2)0%
Revenue beat(4)1
Avg Revenue beat(4)-0.63%
Min Revenue beat(4)-1.74%
Max Revenue beat(4)0.54%
Revenue beat(8)2
Avg Revenue beat(8)-0.59%
Revenue beat(12)4
Avg Revenue beat(12)-0.07%
Revenue beat(16)4
Avg Revenue beat(16)-0.38%
PT rev (1m)1.23%
PT rev (3m)2.68%
EPS NQ rev (1m)-1.2%
EPS NQ rev (3m)-0.98%
EPS NY rev (1m)-0.91%
EPS NY rev (3m)-0.91%
Revenue NQ rev (1m)-0.35%
Revenue NQ rev (3m)-0.1%
Revenue NY rev (1m)-0.19%
Revenue NY rev (3m)-0.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.03 | ||
| Fwd PE | 17.64 | ||
| P/S | 0.92 | ||
| P/FCF | 16.9 | ||
| P/OCF | 11.99 | ||
| P/B | 2.83 | ||
| P/tB | 17.57 | ||
| EV/EBITDA | 11.91 |
EPS(TTM)4.66
EY4.99%
EPS(NY)5.29
Fwd EY5.67%
FCF(TTM)5.53
FCFY5.92%
OCF(TTM)7.79
OCFY8.34%
SpS101.07
BVpS33.01
TBVpS5.31
PEG (NY)1.72
PEG (5Y)2.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.14% | ||
| ROE | 14.31% | ||
| ROCE | 11.85% | ||
| ROIC | 8.99% | ||
| ROICexc | 9.04% | ||
| ROICexgc | 17.62% | ||
| OM | 6.71% | ||
| PM (TTM) | 4.67% | ||
| GM | 19.8% | ||
| FCFM | 5.47% |
ROA(3y)6.73%
ROA(5y)6.44%
ROE(3y)13.65%
ROE(5y)13.35%
ROIC(3y)8.97%
ROIC(5y)8.66%
ROICexc(3y)8.99%
ROICexc(5y)8.81%
ROICexgc(3y)18.54%
ROICexgc(5y)18.85%
ROCE(3y)11.83%
ROCE(5y)11.43%
ROICexcg growth 3Y-2.53%
ROICexcg growth 5Y-9.1%
ROICexc growth 3Y1.32%
ROICexc growth 5Y-0.04%
OM growth 3Y-1.08%
OM growth 5Y0.89%
PM growth 3Y-0.93%
PM growth 5Y0.61%
GM growth 3Y-0.5%
GM growth 5Y-0.16%
F-Score7
Asset Turnover1.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 3.68 | ||
| Debt/EBITDA | 2 | ||
| Cap/Depr | 82.79% | ||
| Cap/Sales | 2.24% | ||
| Interest Coverage | 8.28 | ||
| Cash Conversion | 81.85% | ||
| Profit Quality | 116.98% | ||
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.56 | ||
| Altman-Z | 4.16 |
F-Score7
WACC7.25%
ROIC/WACC1.24
Cap/Depr(3y)118.16%
Cap/Depr(5y)118.04%
Cap/Sales(3y)3.1%
Cap/Sales(5y)3.08%
Profit Quality(3y)101.62%
Profit Quality(5y)109.12%
High Growth Momentum
Growth
EPS 1Y (TTM)9.13%
EPS 3Y7.72%
EPS 5Y8.57%
EPS Q2Q%12.59%
EPS Next Y11.66%
EPS Next 2Y10.95%
EPS Next 3Y9.88%
EPS Next 5Y5.68%
Revenue 1Y (TTM)2.26%
Revenue growth 3Y5.09%
Revenue growth 5Y4.82%
Sales Q2Q%3.3%
Revenue Next Year3.91%
Revenue Next 2Y3.69%
Revenue Next 3Y3.6%
Revenue Next 5Y3.36%
EBIT growth 1Y3.98%
EBIT growth 3Y3.95%
EBIT growth 5Y5.75%
EBIT Next Year45.25%
EBIT Next 3Y17.1%
EBIT Next 5Y9.8%
FCF growth 1Y17.66%
FCF growth 3Y3.79%
FCF growth 5Y22.54%
OCF growth 1Y2.4%
OCF growth 3Y2%
OCF growth 5Y16.15%