METRO INC/CN (MRU.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:MRU - CA59162N1096 - Common Stock
97.47 CAD
-1.21 (-1.23%)
MRU gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 17 industry peers in the Consumer Staples Distribution & Retail industry. MRU has only an average score on both its financial health and profitability. MRU is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year MRU was profitable.
MRU had a positive operating cash flow in the past year.
MRU had positive earnings in each of the past 5 years.
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 6.99%, MRU belongs to the best of the industry, outperforming 94.12% of the companies in the same industry.
Looking at the Return On Equity, with a value of 14.47%, MRU is in line with its industry, outperforming 52.94% of the companies in the same industry.
With a Return On Invested Capital value of 9.05%, MRU perfoms like the industry average, outperforming 47.06% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for MRU is in line with the industry average of 8.07%.
| 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
MRU has a better Profit Margin (4.62%) than 94.12% of its industry peers.
MRU's Profit Margin has been stable in the last couple of years.
MRU has a Operating Margin (6.76%) which is in line with its industry peers.
MRU's Operating Margin has been stable in the last couple of years.
The Gross Margin of MRU (19.86%) is worse than 76.47% of its industry peers.
In the last couple of years the Gross Margin of MRU has remained more or less at the same level.
| 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
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 is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.11 indicates that MRU is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 4.11, MRU belongs to the best of the industry, outperforming 88.24% of the companies in the same industry.
MRU has a debt to FCF ratio of 3.79. This is a good value and a sign of high solvency as MRU would need 3.79 years to pay back of all of its debts.
MRU's Debt to FCF ratio of 3.79 is amongst the best of the industry. MRU outperforms 94.12% of its industry peers.
A Debt/Equity ratio of 0.61 indicates that MRU is somewhat dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.61, MRU belongs to the best of the industry, outperforming 82.35% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 3.79 | ||
| Altman-Z | 4.11 |
ROIC/WACC1.3
WACC6.98%
2.3 Liquidity
A Current Ratio of 1.30 indicates that MRU should not have too much problems paying its short term obligations.
MRU has a better Current ratio (1.30) than 76.47% of its industry peers.
A Quick Ratio of 0.51 indicates that MRU may have some problems paying its short term obligations.
The Quick ratio of MRU (0.51) is worse than 76.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.3 | ||
| Quick Ratio | 0.51 |
3. Growth
3.1 Past
MRU shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.93%, which is quite good.
The Earnings Per Share has been growing slightly by 7.78% on average over the past years.
Looking at the last year, MRU shows a small growth in Revenue. The Revenue has grown by 3.71% in the last year.
Measured over the past years, MRU shows a small growth in Revenue. The Revenue has been growing by 4.10% on average per year.
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
Based on estimates for the next years, MRU will show a small growth in Earnings Per Share. The EPS will grow by 5.02% on average per year.
MRU is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.79% yearly.
EPS Next Y10.93%
EPS Next 2Y9.99%
EPS Next 3Y9.08%
EPS Next 5Y5.02%
Revenue Next Year3.14%
Revenue Next 2Y3.15%
Revenue Next 3Y3.12%
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
A Price/Earnings ratio of 20.43 indicates a rather expensive valuation of MRU.
Compared to the rest of the industry, the Price/Earnings ratio of MRU is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 26.92, MRU is valued a bit cheaper.
With a Price/Forward Earnings ratio of 18.42, MRU is valued on the expensive side.
MRU's Price/Forward Earnings is on the same level as the industry average.
MRU's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.57.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.43 | ||
| Fwd PE | 18.42 |
4.2 Price Multiples
MRU's Enterprise Value to EBITDA ratio is rather expensive when compared to the industry. MRU is more expensive than 88.24% of the companies in the same industry.
MRU's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.17 | ||
| EV/EBITDA | 12.29 |
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)1.87
PEG (5Y)2.63
EPS Next 2Y9.99%
EPS Next 3Y9.08%
5. Dividend
5.1 Amount
MRU has a Yearly Dividend Yield of 1.50%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.26, MRU has a dividend in line with its industry peers.
MRU's Dividend Yield is slightly below the S&P500 average, which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.5% |
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 2Y9.99%
EPS Next 3Y9.08%
TSX:MRU (1/7/2026, 7:00:00 PM)
97.47
-1.21 (-1.23%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners45.62%
Inst Owner ChangeN/A
Ins Owners0.2%
Ins Owner ChangeN/A
Market Cap20.85B
Revenue(TTM)22.01B
Net Income(TTM)1.02B
Analysts70
Price Target110.61 (13.48%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.5% |
Yearly Dividend1.45
Dividend Growth(5Y)10.6%
DP31.15%
Div Incr Years26
Div Non Decr Years26
Ex-DateN/A
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)1.92%
PT rev (3m)1.16%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.82%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.82%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.43 | ||
| Fwd PE | 18.42 | ||
| P/S | 0.95 | ||
| P/FCF | 17.17 | ||
| P/OCF | 12.09 | ||
| P/B | 2.97 | ||
| P/tB | 19.89 | ||
| EV/EBITDA | 12.29 |
EPS(TTM)4.77
EY4.89%
EPS(NY)5.29
Fwd EY5.43%
FCF(TTM)5.68
FCFY5.82%
OCF(TTM)8.06
OCFY8.27%
SpS102.86
BVpS32.84
TBVpS4.9
PEG (NY)1.87
PEG (5Y)2.63
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 | 4.11 |
F-Score8
WACC6.98%
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 Y10.93%
EPS Next 2Y9.99%
EPS Next 3Y9.08%
EPS Next 5Y5.02%
Revenue 1Y (TTM)3.71%
Revenue growth 3Y5.22%
Revenue growth 5Y4.1%
Sales Q2Q%3.45%
Revenue Next Year3.14%
Revenue Next 2Y3.15%
Revenue Next 3Y3.12%
Revenue Next 5Y3.79%
EBIT growth 1Y5.58%
EBIT growth 3Y4.16%
EBIT growth 5Y3.89%
EBIT Next Year46.6%
EBIT Next 3Y17.22%
EBIT Next 5Y10.09%
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.
Can you provide the valuation status for METRO INC/CN?
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.
What is the valuation of METRO INC/CN based on its PE and PB ratios?
The Price/Earnings (PE) ratio for METRO INC/CN (MRU.CA) is 20.43 and the Price/Book (PB) ratio is 2.97.
Can you provide the dividend sustainability for MRU stock?
The dividend rating of METRO INC/CN (MRU.CA) is 5 / 10 and the dividend payout ratio is 31.15%.