Materion Corp. (MTRN) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Coherent Corp.

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Keysight Technologies, Inc.

NCR Voyix Corp.

ESCO Technologies, Inc.

Cognex Corp.

Sensata Technologies Holding Plc

Novanta, Inc.

Materion Corp.

Onto Innovation, Inc.

Why is Materion Corp. ?

Strong ability to service debt as the company has a low Debt to EBITDA ratio of 2.18 times

Poor long term growth as Net Sales has grown by an annual rate of 8.73% over the last 5 years

Positive results in Jun 25

INTEREST COVERAGE RATIO(Q) Highest at 745.66
RAW MATERIAL COST(Y) Fallen by -1.33% (YoY)
DEBT-EQUITY RATIO (HY) Lowest at 54.77 %

With ROCE of 10.37%, it has a fair valuation with a 1.99 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 15.05%, its profits have risen by 4% ; the PEG ratio of the company is 7.3

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Electronics & Appliances)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Materion Corp. for you?

Medium Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Materion Corp.

68.53%

0.49

39.79%

S&P 500

18.81%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

8.71%

EBIT Growth (5y)

24.01%

EBIT to Interest (avg)

6.84

Debt to EBITDA (avg)

2.18

Net Debt to Equity (avg)

0.49

Sales to Capital Employed (avg)

1.24

Tax Ratio

52.07%

Dividend Payout Ratio

15.51%

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

8.78%

ROE (avg)

9.79%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

4.19

EV to EBIT

38.43

EV to EBITDA

23.99

EV to Capital Employed

3.16

EV to Sales

2.47

PEG Ratio

Dividend Yield

ROCE (Latest)

8.21%

ROE (Latest)

8.37%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Dow Theory

No Trend

Bullish

OBV

No Trend

Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

3What is working for the Company

DIVIDEND PAYOUT RATIO(Y)

Highest at 44.63%

INVENTORY TURNOVER RATIO(HY)

Highest at 3.3 times

NET SALES(Q)

Highest at USD 489.75 MM

-15What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 408.69

RAW MATERIAL COST(Y)

Grown by 40.82% (YoY

OPERATING PROFIT(Q)

Lowest at USD 29.95 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 6.12 %

PRE-TAX PROFIT(Q)

Lowest at USD 4.16 MM

NET PROFIT(Q)

Lowest at USD 7.4 MM

Here's what is working for Materion Corp.

Net Sales

Highest at USD 489.75 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Inventory Turnover Ratio

Highest at 3.3 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Dividend Payout Ratio

Highest at 44.63%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Depreciation

Highest at USD 17.52 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Materion Corp.

Pre-Tax Profit

At USD 4.16 MM has Fallen at -84.75%

over average net sales of the previous four periods of USD 27.26 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD 7.4 MM has Fallen at -69.29%

over average net sales of the previous four periods of USD 24.09 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Interest Coverage Ratio

Lowest at 408.69

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at USD 29.95 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (USD MM)

Operating Profit Margin

Lowest at 6.12 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at USD 4.16 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Net Profit

Lowest at USD 7.4 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

Raw Material Cost

Grown by 40.82% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales