MINERALS TECHNOLOGIES INC (MTX) Stock Fundamental Analysis
USA - NYSE:MTX - US6031581068 - Common Stock
59.27 USD
-0.27 (-0.45%)
59.27 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to MTX. MTX was compared to 83 industry peers in the Chemicals industry. MTX has an average financial health and profitability rating. MTX is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
MTX had positive earnings in the past year.
MTX had a positive operating cash flow in the past year.
Each year in the past 5 years MTX has been profitable.
Each year in the past 5 years MTX had a positive operating cash flow.
1.2 Ratios
MTX's Return On Assets of 0.06% is in line compared to the rest of the industry. MTX outperforms 48.19% of its industry peers.
MTX has a Return On Equity (0.13%) which is in line with its industry peers.
Looking at the Return On Invested Capital, with a value of 2.13%, MTX is doing worse than 68.67% of the companies in the same industry.
MTX had an Average Return On Invested Capital over the past 3 years of 6.89%. This is in line with the industry average of 6.30%.
The 3 year average ROIC (6.89%) for MTX is well above the current ROIC(2.13%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.06% | ||
| ROE | 0.13% | ||
| ROIC | 2.13% |
ROA(3y)3.68%
ROA(5y)3.88%
ROE(3y)7.46%
ROE(5y)8.15%
ROIC(3y)6.89%
ROIC(5y)6.42%
1.3 Margins
MTX has a Profit Margin (0.10%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of MTX has remained more or less at the same level.
Looking at the Operating Margin, with a value of 3.91%, MTX is doing worse than 66.27% of the companies in the same industry.
MTX's Operating Margin has been stable in the last couple of years.
With a Gross Margin value of 25.41%, MTX perfoms like the industry average, outperforming 48.19% of the companies in the same industry.
In the last couple of years the Gross Margin of MTX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.91% | ||
| PM (TTM) | 0.1% | ||
| GM | 25.41% |
OM growth 3Y1.32%
OM growth 5Y0.73%
PM growth 3Y-3.75%
PM growth 5Y1.26%
GM growth 3Y2.47%
GM growth 5Y1%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MTX is destroying value.
Compared to 1 year ago, MTX has less shares outstanding
The number of shares outstanding for MTX has been reduced compared to 5 years ago.
The debt/assets ratio for MTX has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.47 indicates that MTX is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.47, MTX is in the better half of the industry, outperforming 74.70% of the companies in the same industry.
The Debt to FCF ratio of MTX is 11.09, which is on the high side as it means it would take MTX, 11.09 years of fcf income to pay off all of its debts.
MTX has a Debt to FCF ratio of 11.09. This is in the better half of the industry: MTX outperforms 60.24% of its industry peers.
MTX has a Debt/Equity ratio of 0.59. This is a neutral value indicating MTX is somewhat dependend on debt financing.
MTX's Debt to Equity ratio of 0.59 is fine compared to the rest of the industry. MTX outperforms 63.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.59 | ||
| Debt/FCF | 11.09 | ||
| Altman-Z | 2.47 |
ROIC/WACC0.25
WACC8.45%
2.3 Liquidity
A Current Ratio of 1.95 indicates that MTX should not have too much problems paying its short term obligations.
The Current ratio of MTX (1.95) is comparable to the rest of the industry.
MTX has a Quick Ratio of 1.35. This is a normal value and indicates that MTX is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of MTX (1.35) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.95 | ||
| Quick Ratio | 1.35 |
3. Growth
3.1 Past
MTX shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.55%.
The Earnings Per Share has been growing slightly by 7.77% on average over the past years.
The Revenue has decreased by -3.93% in the past year.
Measured over the past years, MTX shows a small growth in Revenue. The Revenue has been growing by 3.42% on average per year.
EPS 1Y (TTM)-3.55%
EPS 3Y7.07%
EPS 5Y7.77%
EPS Q2Q%-6.06%
Revenue 1Y (TTM)-3.93%
Revenue growth 3Y4.47%
Revenue growth 5Y3.42%
Sales Q2Q%-2.27%
3.2 Future
Based on estimates for the next years, MTX will show a small growth in Earnings Per Share. The EPS will grow by 2.33% on average per year.
MTX is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.09% yearly.
EPS Next Y-8.42%
EPS Next 2Y2.33%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-2.24%
Revenue Next 2Y1.09%
Revenue Next 3YN/A
Revenue Next 5YN/A
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 10.40, the valuation of MTX can be described as reasonable.
MTX's Price/Earnings ratio is rather cheap when compared to the industry. MTX is cheaper than 85.54% of the companies in the same industry.
When comparing the Price/Earnings ratio of MTX to the average of the S&P500 Index (27.40), we can say MTX is valued rather cheaply.
MTX is valuated reasonably with a Price/Forward Earnings ratio of 9.20.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MTX indicates a rather cheap valuation: MTX is cheaper than 85.54% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.94, MTX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.4 | ||
| Fwd PE | 9.2 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MTX is on the same level as its industry peers.
MTX's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. MTX is cheaper than 65.06% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.97 | ||
| EV/EBITDA | 14.46 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.34
EPS Next 2Y2.33%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a yearly dividend of 0.73%, MTX is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.69, MTX is paying slightly less dividend.
With a Dividend Yield of 0.73, MTX pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.73% |
5.2 History
On average, the dividend of MTX grows each year by 15.37%, which is quite nice.
MTX has been paying a dividend for at least 10 years, so it has a reliable track record.
MTX has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)15.37%
Div Incr Years2
Div Non Decr Years31
5.3 Sustainability
MTX pays out 652.38% of its income as dividend. This is not a sustainable payout ratio.
MTX's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP652.38%
EPS Next 2Y2.33%
EPS Next 3YN/A
59.27
-0.27 (-0.45%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners102.09%
Inst Owner Change-0.04%
Ins Owners1.16%
Ins Owner Change0.37%
Market Cap1.86B
Analysts80
Price Target85.68 (44.56%)
Short Float %1.92%
Short Ratio2.42
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.73% |
Yearly Dividend0.41
Dividend Growth(5Y)15.37%
DP652.38%
Div Incr Years2
Div Non Decr Years31
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.17%
Min EPS beat(2)-4.75%
Max EPS beat(2)9.1%
EPS beat(4)2
Avg EPS beat(4)2.67%
Min EPS beat(4)-4.75%
Max EPS beat(4)9.1%
EPS beat(8)6
Avg EPS beat(8)5.18%
EPS beat(12)8
Avg EPS beat(12)0.33%
EPS beat(16)12
Avg EPS beat(16)1.19%
Revenue beat(2)0
Avg Revenue beat(2)-1.11%
Min Revenue beat(2)-1.18%
Max Revenue beat(2)-1.03%
Revenue beat(4)0
Avg Revenue beat(4)-1.81%
Min Revenue beat(4)-3.09%
Max Revenue beat(4)-1.03%
Revenue beat(8)1
Avg Revenue beat(8)-1.64%
Revenue beat(12)3
Avg Revenue beat(12)-1.38%
Revenue beat(16)5
Avg Revenue beat(16)-1.13%
PT rev (1m)0%
PT rev (3m)3.28%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-5.54%
EPS NY rev (1m)1.21%
EPS NY rev (3m)-0.48%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.82%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.4 | ||
| Fwd PE | 9.2 | ||
| P/S | 0.9 | ||
| P/FCF | 20.97 | ||
| P/OCF | 9.85 | ||
| P/B | 1.12 | ||
| P/tB | 3.55 | ||
| EV/EBITDA | 14.46 |
EPS(TTM)5.7
EY9.62%
EPS(NY)6.44
Fwd EY10.87%
FCF(TTM)2.83
FCFY4.77%
OCF(TTM)6.02
OCFY10.16%
SpS65.76
BVpS52.71
TBVpS16.69
PEG (NY)N/A
PEG (5Y)1.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.06% | ||
| ROE | 0.13% | ||
| ROCE | 2.83% | ||
| ROIC | 2.13% | ||
| ROICexc | 2.39% | ||
| ROICexgc | 4.3% | ||
| OM | 3.91% | ||
| PM (TTM) | 0.1% | ||
| GM | 25.41% | ||
| FCFM | 4.3% |
ROA(3y)3.68%
ROA(5y)3.88%
ROE(3y)7.46%
ROE(5y)8.15%
ROIC(3y)6.89%
ROIC(5y)6.42%
ROICexc(3y)7.67%
ROICexc(5y)7.18%
ROICexgc(3y)13.35%
ROICexgc(5y)12.39%
ROCE(3y)9.31%
ROCE(5y)8.65%
ROICexcg growth 3Y6.72%
ROICexcg growth 5Y4.56%
ROICexc growth 3Y6.7%
ROICexc growth 5Y3.44%
OM growth 3Y1.32%
OM growth 5Y0.73%
PM growth 3Y-3.75%
PM growth 5Y1.26%
GM growth 3Y2.47%
GM growth 5Y1%
F-Score5
Asset Turnover0.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.59 | ||
| Debt/FCF | 11.09 | ||
| Debt/EBITDA | 5.63 | ||
| Cap/Depr | 107.86% | ||
| Cap/Sales | 4.86% | ||
| Interest Coverage | 1.38 | ||
| Cash Conversion | 108.88% | ||
| Profit Quality | 4223.81% | ||
| Current Ratio | 1.95 | ||
| Quick Ratio | 1.35 | ||
| Altman-Z | 2.47 |
F-Score5
WACC8.45%
ROIC/WACC0.25
Cap/Depr(3y)93.37%
Cap/Depr(5y)131.49%
Cap/Sales(3y)4.14%
Cap/Sales(5y)6.45%
Profit Quality(3y)91.22%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-3.55%
EPS 3Y7.07%
EPS 5Y7.77%
EPS Q2Q%-6.06%
EPS Next Y-8.42%
EPS Next 2Y2.33%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-3.93%
Revenue growth 3Y4.47%
Revenue growth 5Y3.42%
Sales Q2Q%-2.27%
Revenue Next Year-2.24%
Revenue Next 2Y1.09%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-71.04%
EBIT growth 3Y5.84%
EBIT growth 5Y4.17%
EBIT Next Year19.6%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y39.25%
FCF growth 3YN/A
FCF growth 5Y-3.25%
OCF growth 1Y24.52%
OCF growth 3Y0.57%
OCF growth 5Y-0.16%