ScoreWhy is MSC Industrial Direct Co., Inc. ?
1
High Management Efficiency with a high ROCE of 20.98%
2
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 1.21 times
3
Poor long term growth as Operating profit has grown by an annual rate -3.78% of over the last 5 years
4
The company has declared Negative results for the last 3 consecutive quarters
- OPERATING CASH FLOW(Y) Lowest at USD 360.73 MM
- NET PROFIT(HY) At USD 99.25 MM has Grown at -30.19%
- ROCE(HY) Lowest at 14.34%
5
With ROCE of 18.32%, it has a very expensive valuation with a 2.74 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 3.23%, its profits have fallen by -31.2%
6
Underperformed the market in the last 1 year
- The stock has generated a return of 3.23% in the last 1 year, much lower than market (S&P 500) returns of 14.11%
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to MSC Industrial Direct Co., Inc. should be less than 10%
- Overall Portfolio exposure to Trading & Distributors should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Trading & Distributors)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is MSC Industrial Direct Co., Inc. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
MSC Industrial Direct Co., Inc.
42.93%
0.11
28.34%
S&P 500
21.51%
0.70
20.15%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
3.92%
EBIT Growth (5y)
-2.19%
EBIT to Interest (avg)
20.36
Debt to EBITDA (avg)
1.21
Net Debt to Equity (avg)
0.35
Sales to Capital Employed (avg)
2.00
Tax Ratio
25.77%
Dividend Payout Ratio
95.34%
Pledged Shares
0
Institutional Holding
99.63%
ROCE (avg)
20.98%
ROE (avg)
21.14%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
24
Industry P/E
Price to Book Value
3.73
EV to EBIT
17.69
EV to EBITDA
13.74
EV to Capital Employed
2.99
EV to Sales
1.49
PEG Ratio
NA
Dividend Yield
3.73%
ROCE (Latest)
16.91%
ROE (Latest)
15.45%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bearish
No Signal
Bollinger Bands
Mildly Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
No Trend
Mildly Bearish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend16What is working for the Company
DIVIDEND PER SHARE(HY)
Highest at USD 9.49
INTEREST COVERAGE RATIO(Q)
Highest at 2,454.5
RAW MATERIAL COST(Y)
Fallen by -0.38% (YoY
CASH AND EQV(HY)
Highest at USD 120.29 MM
DEBT-EQUITY RATIO
(HY)
Lowest at 33.91 %
DEBTORS TURNOVER RATIO(HY)
Highest at 9.49 times
NET SALES(Q)
Highest at USD 1,047.08 MM
OPERATING PROFIT(Q)
Highest at USD 132.13 MM
OPERATING PROFIT MARGIN(Q)
Highest at 12.62 %
PRE-TAX PROFIT(Q)
Highest at USD 104.24 MM
NET PROFIT(Q)
Highest at USD 80.36 MM
EPS(Q)
Highest at USD 1.44
-3What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at USD 305.8 MM
Here's what is working for MSC Industrial Direct Co., Inc.
Interest Coverage Ratio
Highest at 2,454.5
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Dividend per share
Highest at USD 9.49 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (USD)
Net Sales
Highest at USD 1,047.08 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Operating Profit
Highest at USD 132.13 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Operating Profit Margin
Highest at 12.62 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at USD 104.24 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Pre-Tax Profit
At USD 104.24 MM has Grown at 44.1%
over average net sales of the previous four periods of USD 72.34 MMMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Net Profit
Highest at USD 80.36 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
Net Profit
At USD 80.36 MM has Grown at 47.04%
over average net sales of the previous four periods of USD 54.65 MMMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
EPS
Highest at USD 1.44
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Cash and Eqv
Highest at USD 120.29 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debt-Equity Ratio
Lowest at 33.91 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Debtors Turnover Ratio
Highest at 9.49 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -0.38% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Depreciation
Highest at USD 25.38 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (USD MM)
Here's what is not working for MSC Industrial Direct Co., Inc.
Operating Cash Flow
Lowest at USD 305.8 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (USD MM)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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