METRO INC/CN (MRU.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:MRU - CA59162N1096 - Common Stock
100.19 CAD
-0.11 (-0.11%)
Taking everything into account, MRU scores 5 out of 10 in our fundamental rating. MRU was compared to 18 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 quite expensive at the moment. It does show a decent growth rate.
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.
MRU had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
MRU's Return On Assets of 7.14% is amongst the best of the industry. MRU outperforms 94.44% of its industry peers.
MRU has a Return On Equity of 14.31%. This is comparable to the rest of the industry: MRU outperforms 55.56% of its industry peers.
Looking at the Return On Invested Capital, with a value of 8.99%, MRU is in line with its industry, outperforming 50.00% 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 7.81%.
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
Looking at the Profit Margin, with a value of 4.67%, MRU belongs to the top of the industry, outperforming 94.44% of the companies in the same industry.
MRU's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 6.71%, MRU is in line with its industry, outperforming 55.56% 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's Gross Margin of 19.80% is on the low side compared to the rest of the industry. MRU is outperformed by 77.78% 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so MRU is still creating some value.
The number of shares outstanding for MRU has been reduced compared to 1 year ago.
MRU has less shares outstanding than it did 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 4.28 indicates that MRU is not in any danger for bankruptcy at the moment.
MRU's Altman-Z score of 4.28 is amongst the best of the industry. MRU outperforms 83.33% of its industry peers.
MRU has a debt to FCF ratio of 3.68. This is a good value and a sign of high solvency as MRU would need 3.68 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 3.68, MRU belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
MRU has a Debt/Equity ratio of 0.58. This is a neutral value indicating MRU is somewhat dependend on debt financing.
MRU has a Debt to Equity ratio of 0.58. This is amongst the best in the industry. MRU outperforms 88.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 3.68 | ||
| Altman-Z | 4.28 |
ROIC/WACC1.27
WACC7.09%
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 Current ratio of 1.37. This is in the better half of the industry: MRU outperforms 77.78% of its industry peers.
MRU has a Quick Ratio of 1.37. This is a bad value and indicates that MRU is not financially healthy enough and could expect problems in meeting its short term obligations.
MRU has a worse Quick ratio (0.56) than 77.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
MRU shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.36%, which is quite good.
Measured over the past years, MRU shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.57% on average per year.
The Revenue has been growing slightly by 2.39% in the past year.
Measured over the past years, MRU shows a small growth in Revenue. The Revenue has been growing by 4.82% on average per year.
EPS 1Y (TTM)11.36%
EPS 3Y7.72%
EPS 5Y8.57%
EPS Q2Q%12.59%
Revenue 1Y (TTM)2.39%
Revenue growth 3Y5.09%
Revenue growth 5Y4.82%
Sales Q2Q%5.21%
3.2 Future
The Earnings Per Share is expected to grow by 6.17% 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 3.84% on average per year.
EPS Next Y11.26%
EPS Next 2Y10.74%
EPS Next 3Y9.64%
EPS Next 5Y6.17%
Revenue Next Year3.91%
Revenue Next 2Y3.69%
Revenue Next 3Y3.57%
Revenue Next 5Y3.84%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 20.92, MRU is valued on the expensive side.
MRU's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 25.45, MRU is valued at the same level.
A Price/Forward Earnings ratio of 19.00 indicates a rather expensive valuation of MRU.
MRU's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 34.46. MRU is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.92 | ||
| Fwd PE | 19 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MRU is valued a bit more expensive than the industry average as 77.78% of the companies are valued more cheaply.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MRU is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.05 | ||
| EV/EBITDA | 12.59 |
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)1.86
PEG (5Y)2.44
EPS Next 2Y10.74%
EPS Next 3Y9.64%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.52%, MRU has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.59, MRU has a dividend in line with its industry peers.
Compared to the average S&P500 Dividend Yield of 2.45, MRU is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.52% |
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.
The dividend of MRU is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP30.52%
EPS Next 2Y10.74%
EPS Next 3Y9.64%
TSX:MRU (11/21/2025, 7:00:00 PM)
100.19
-0.11 (-0.11%)
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 Cap21.55B
Revenue(TTM)21.22B
Net Income(TTM)1.02B
Analysts70
Price Target109.04 (8.83%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.52% |
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)-0.28%
PT rev (3m)0.94%
EPS NQ rev (1m)-1.66%
EPS NQ rev (3m)-3.06%
EPS NY rev (1m)-0.32%
EPS NY rev (3m)-1.26%
Revenue NQ rev (1m)0.04%
Revenue NQ rev (3m)-0.31%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.92 | ||
| Fwd PE | 19 | ||
| P/S | 0.99 | ||
| P/FCF | 18.05 | ||
| P/OCF | 12.81 | ||
| P/B | 3.02 | ||
| P/tB | 18.77 | ||
| EV/EBITDA | 12.59 |
EPS(TTM)4.79
EY4.78%
EPS(NY)5.27
Fwd EY5.26%
FCF(TTM)5.55
FCFY5.54%
OCF(TTM)7.82
OCFY7.81%
SpS101.54
BVpS33.16
TBVpS5.34
PEG (NY)1.86
PEG (5Y)2.44
Graham Number59.78
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%
ROICexgc growth 3Y-2.53%
ROICexgc 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 | 4.28 |
F-Score7
WACC7.09%
ROIC/WACC1.27
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)11.36%
EPS 3Y7.72%
EPS 5Y8.57%
EPS Q2Q%12.59%
EPS Next Y11.26%
EPS Next 2Y10.74%
EPS Next 3Y9.64%
EPS Next 5Y6.17%
Revenue 1Y (TTM)2.39%
Revenue growth 3Y5.09%
Revenue growth 5Y4.82%
Sales Q2Q%5.21%
Revenue Next Year3.91%
Revenue Next 2Y3.69%
Revenue Next 3Y3.57%
Revenue Next 5Y3.84%
EBIT growth 1Y3.98%
EBIT growth 3Y3.95%
EBIT growth 5Y5.75%
EBIT Next Year45.32%
EBIT Next 3Y17.09%
EBIT Next 5Y10.3%
FCF growth 1Y17.66%
FCF growth 3Y3.79%
FCF growth 5Y22.54%
OCF growth 1Y2.4%
OCF growth 3Y2%
OCF growth 5Y16.15%
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 2 / 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 20.92 and the Price/Book (PB) ratio is 3.02.
How financially healthy is METRO INC/CN?
The financial health rating of METRO INC/CN (MRU.CA) is 7 / 10.