METHANEX CORP (MX.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:MX - CA59151K1084 - Common Stock
49.44 CAD
+1.38 (+2.87%)
We assign a fundamental rating of 6 out of 10 to MX. MX was compared to 27 industry peers in the Chemicals industry. While MX has a great profitability rating, there are some minor concerns on its financial health. MX scores decently on growth, while it is valued quite cheap. This could make an interesting combination. This makes MX very considerable for value investing!
1. Profitability
1.1 Basic Checks
MX had positive earnings in the past year.
MX had a positive operating cash flow in the past year.
MX had positive earnings in 4 of the past 5 years.
In the past 5 years MX always reported a positive cash flow from operatings.
1.2 Ratios
MX has a Return On Assets of 2.84%. This is amongst the best in the industry. MX outperforms 81.48% of its industry peers.
With an excellent Return On Equity value of 8.31%, MX belongs to the best of the industry, outperforming 85.19% of the companies in the same industry.
The Return On Invested Capital of MX (5.46%) is better than 81.48% of its industry peers.
The Average Return On Invested Capital over the past 3 years for MX is below the industry average of 7.55%.
The 3 year average ROIC (4.64%) for MX is below the current ROIC(5.46%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.84% | ||
| ROE | 8.31% | ||
| ROIC | 5.46% |
ROA(3y)3.51%
ROA(5y)3.14%
ROE(3y)11.2%
ROE(5y)9.72%
ROIC(3y)4.64%
ROIC(5y)N/A
1.3 Margins
MX has a better Profit Margin (5.99%) than 88.89% of its industry peers.
MX's Profit Margin has improved in the last couple of years.
The Operating Margin of MX (14.45%) is better than 81.48% of its industry peers.
MX's Operating Margin has improved in the last couple of years.
The Gross Margin of MX (25.93%) is better than 62.96% of its industry peers.
MX's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.45% | ||
| PM (TTM) | 5.99% | ||
| GM | 25.93% |
OM growth 3Y-18.5%
OM growth 5Y15.49%
PM growth 3Y-26.11%
PM growth 5Y10.52%
GM growth 3Y0.81%
GM growth 5Y5.2%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MX is destroying value.
MX has about the same amout of shares outstanding than it did 1 year ago.
MX has less shares outstanding than it did 5 years ago.
The debt/assets ratio for MX is higher compared to a year ago.
2.2 Solvency
MX has an Altman-Z score of 1.48. This is a bad value and indicates that MX is not financially healthy and even has some risk of bankruptcy.
With a decent Altman-Z score value of 1.48, MX is doing good in the industry, outperforming 62.96% of the companies in the same industry.
The Debt to FCF ratio of MX is 3.90, which is a good value as it means it would take MX, 3.90 years of fcf income to pay off all of its debts.
MX has a Debt to FCF ratio of 3.90. This is amongst the best in the industry. MX outperforms 96.30% of its industry peers.
A Debt/Equity ratio of 1.34 is on the high side and indicates that MX has dependencies on debt financing.
The Debt to Equity ratio of MX (1.34) is worse than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.34 | ||
| Debt/FCF | 3.9 | ||
| Altman-Z | 1.48 |
ROIC/WACC0.74
WACC7.34%
2.3 Liquidity
MX has a Current Ratio of 2.09. This indicates that MX is financially healthy and has no problem in meeting its short term obligations.
MX has a Current ratio (2.09) which is comparable to the rest of the industry.
MX has a Quick Ratio of 1.33. This is a normal value and indicates that MX is financially healthy and should not expect problems in meeting its short term obligations.
MX has a Quick ratio (1.33) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.09 | ||
| Quick Ratio | 1.33 |
3. Growth
3.1 Past
MX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 19.00%, which is quite good.
MX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 31.95% yearly.
Looking at the last year, MX shows a decrease in Revenue. The Revenue has decreased by -3.36% in the last year.
The Revenue has been growing slightly by 2.53% on average over the past years.
EPS 1Y (TTM)19%
EPS 3Y-14.87%
EPS 5Y31.95%
EPS Q2Q%-95.04%
Revenue 1Y (TTM)-3.36%
Revenue growth 3Y-5.55%
Revenue growth 5Y2.53%
Sales Q2Q%-0.79%
3.2 Future
Based on estimates for the next years, MX will show a decrease in Earnings Per Share. The EPS will decrease by -8.42% on average per year.
Based on estimates for the next years, MX will show a small growth in Revenue. The Revenue will grow by 3.81% on average per year.
EPS Next Y-9.92%
EPS Next 2Y-1.96%
EPS Next 3Y-0.22%
EPS Next 5Y-8.42%
Revenue Next Year-2.64%
Revenue Next 2Y4.75%
Revenue Next 3Y3.81%
Revenue Next 5YN/A
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 9.83, the valuation of MX can be described as reasonable.
Based on the Price/Earnings ratio, MX is valued cheaper than 96.30% of the companies in the same industry.
MX is valuated cheaply when we compare the Price/Earnings ratio to 25.47, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 9.82, the valuation of MX can be described as reasonable.
Based on the Price/Forward Earnings ratio, MX is valued cheaply inside the industry as 88.89% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.42, MX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.83 | ||
| Fwd PE | 9.82 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MX is valued cheaply inside the industry as 88.89% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MX indicates a rather cheap valuation: MX is cheaper than 100.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.93 | ||
| EV/EBITDA | 6.39 |
4.3 Compensation for Growth
MX has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.31
EPS Next 2Y-1.96%
EPS Next 3Y-0.22%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.20%, MX has a reasonable but not impressive dividend return.
MX's Dividend Yield is a higher than the industry average which is at 6.41.
MX's Dividend Yield is comparable with the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.2% |
5.2 History
The dividend of MX decreases each year by -12.05%.
MX has been paying a dividend for at least 10 years, so it has a reliable track record.
MX has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-12.05%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
24.20% of the earnings are spent on dividend by MX. This is a low number and sustainable payout ratio.
MX's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP24.2%
EPS Next 2Y-1.96%
EPS Next 3Y-0.22%
TSX:MX (11/21/2025, 7:00:00 PM)
49.44
+1.38 (+2.87%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners67.17%
Inst Owner ChangeN/A
Ins Owners0.61%
Ins Owner ChangeN/A
Market Cap3.82B
Revenue(TTM)3.57B
Net Income(TTM)213.70M
Analysts84.62
Price Target52.43 (6.05%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.2% |
Yearly Dividend1.04
Dividend Growth(5Y)-12.05%
DP24.2%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)50.49%
Min EPS beat(2)-85.85%
Max EPS beat(2)186.83%
EPS beat(4)2
Avg EPS beat(4)27.34%
Min EPS beat(4)-85.85%
Max EPS beat(4)186.83%
EPS beat(8)6
Avg EPS beat(8)45.19%
EPS beat(12)10
Avg EPS beat(12)44.37%
EPS beat(16)12
Avg EPS beat(16)31.74%
Revenue beat(2)0
Avg Revenue beat(2)-8.02%
Min Revenue beat(2)-8.23%
Max Revenue beat(2)-7.81%
Revenue beat(4)0
Avg Revenue beat(4)-9.78%
Min Revenue beat(4)-14.78%
Max Revenue beat(4)-7.81%
Revenue beat(8)3
Avg Revenue beat(8)-4.05%
Revenue beat(12)5
Avg Revenue beat(12)-2%
Revenue beat(16)6
Avg Revenue beat(16)-1.78%
PT rev (1m)0%
PT rev (3m)3.21%
EPS NQ rev (1m)2.44%
EPS NQ rev (3m)-6.68%
EPS NY rev (1m)-8.27%
EPS NY rev (3m)-8.1%
Revenue NQ rev (1m)-5.42%
Revenue NQ rev (3m)-1.57%
Revenue NY rev (1m)-5.19%
Revenue NY rev (3m)-4.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.83 | ||
| Fwd PE | 9.82 | ||
| P/S | 0.76 | ||
| P/FCF | 2.93 | ||
| P/OCF | 2.57 | ||
| P/B | 1.06 | ||
| P/tB | 1.06 | ||
| EV/EBITDA | 6.39 |
EPS(TTM)5.03
EY10.17%
EPS(NY)5.04
Fwd EY10.19%
FCF(TTM)16.9
FCFY34.17%
OCF(TTM)19.25
OCFY38.94%
SpS65.01
BVpS46.81
TBVpS46.81
PEG (NY)N/A
PEG (5Y)0.31
Graham Number72.78
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.84% | ||
| ROE | 8.31% | ||
| ROCE | 7.58% | ||
| ROIC | 5.46% | ||
| ROICexc | 5.81% | ||
| ROICexgc | 5.81% | ||
| OM | 14.45% | ||
| PM (TTM) | 5.99% | ||
| GM | 25.93% | ||
| FCFM | 25.99% |
ROA(3y)3.51%
ROA(5y)3.14%
ROE(3y)11.2%
ROE(5y)9.72%
ROIC(3y)4.64%
ROIC(5y)N/A
ROICexc(3y)5.37%
ROICexc(5y)N/A
ROICexgc(3y)5.37%
ROICexgc(5y)N/A
ROCE(3y)6.45%
ROCE(5y)N/A
ROICexgc growth 3Y-27.29%
ROICexgc growth 5Y14.09%
ROICexc growth 3Y-27.29%
ROICexc growth 5Y14.09%
OM growth 3Y-18.5%
OM growth 5Y15.49%
PM growth 3Y-26.11%
PM growth 5Y10.52%
GM growth 3Y0.81%
GM growth 5Y5.2%
F-Score6
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.34 | ||
| Debt/FCF | 3.9 | ||
| Debt/EBITDA | 3.73 | ||
| Cap/Depr | 31.59% | ||
| Cap/Sales | 3.63% | ||
| Interest Coverage | 2.62 | ||
| Cash Conversion | 114.22% | ||
| Profit Quality | 434.11% | ||
| Current Ratio | 2.09 | ||
| Quick Ratio | 1.33 | ||
| Altman-Z | 1.48 |
F-Score6
WACC7.34%
ROIC/WACC0.74
Cap/Depr(3y)104.87%
Cap/Depr(5y)95.59%
Cap/Sales(3y)10.04%
Cap/Sales(5y)9.71%
Profit Quality(3y)193.63%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)19%
EPS 3Y-14.87%
EPS 5Y31.95%
EPS Q2Q%-95.04%
EPS Next Y-9.92%
EPS Next 2Y-1.96%
EPS Next 3Y-0.22%
EPS Next 5Y-8.42%
Revenue 1Y (TTM)-3.36%
Revenue growth 3Y-5.55%
Revenue growth 5Y2.53%
Sales Q2Q%-0.79%
Revenue Next Year-2.64%
Revenue Next 2Y4.75%
Revenue Next 3Y3.81%
Revenue Next 5YN/A
EBIT growth 1Y105.99%
EBIT growth 3Y-23.02%
EBIT growth 5Y18.41%
EBIT Next Year172.44%
EBIT Next 3Y50.66%
EBIT Next 5Y29.76%
FCF growth 1Y478.85%
FCF growth 3Y-9.07%
FCF growth 5Y24.08%
OCF growth 1Y51.94%
OCF growth 3Y-9.49%
OCF growth 5Y7.42%
METHANEX CORP / MX.CA FAQ
What is the fundamental rating for MX stock?
ChartMill assigns a fundamental rating of 6 / 10 to MX.CA.
What is the valuation status of METHANEX CORP (MX.CA) stock?
ChartMill assigns a valuation rating of 8 / 10 to METHANEX CORP (MX.CA). This can be considered as Undervalued.
What is the profitability of MX stock?
METHANEX CORP (MX.CA) has a profitability rating of 8 / 10.
What is the valuation of METHANEX CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for METHANEX CORP (MX.CA) is 9.83 and the Price/Book (PB) ratio is 1.06.
How financially healthy is METHANEX CORP?
The financial health rating of METHANEX CORP (MX.CA) is 5 / 10.