MTY Food Group, Inc. (MTY) 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

MTY Food Group, Inc.

Restaurant Brands International LP

Pizza Pizza Royalty Corp.

Aegis Brands, Inc.

Restaurant Brands International, Inc.

Spot Coffee (Canada) Ltd.

Pangea Natural Food, Inc.

Just Kitchen Holdings Corp.

Why is MTY Food Group, Inc. ?

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 5.09

Healthy long term growth as Net Sales has grown by an annual rate of 19.60%

The company has declared Positive results for the last 4 consecutive quarters

NET PROFIT(HY) At CAD 75.44 MM has Grown at 386.68%
ROCE(HY) Highest at 18.45%
DIVIDEND PER SHARE(HY) Highest at CAD 6.83

With ROE of 19.39%, it has a very attractive valuation with a 1.08 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -4.02%, its profits have risen by 94.1% ; the PEG ratio of the company is 0.1

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to MTY Food Group, Inc. should be less than 10%
Overall Portfolio exposure to Leisure Services should be less than 30%

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

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is MTY Food Group, Inc. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

MTY Food Group, Inc.

-4.02%

-0.47

32.03%

S&P/TSX 60

29.6%

2.31

12.81%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

19.60%

EBIT Growth (5y)

21.68%

EBIT to Interest (avg)

5.09

Debt to EBITDA (avg)

3.01

Net Debt to Equity (avg)

0.92

Sales to Capital Employed (avg)

0.72

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

25.50%

Pledged Shares

Institutional Holding

0.13%

ROCE (avg)

10.71%

ROE (avg)

13.47%

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

1.08

EV to EBIT

7.90

EV to EBITDA

5.44

EV to Capital Employed

1.05

EV to Sales

1.34

PEG Ratio

0.06

Dividend Yield

ROCE (Latest)

13.23%

ROE (Latest)

19.39%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bullish

OBV

Mildly Bullish

No Trend

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

13What is working for the Company

NET PROFIT(HY)

At CAD 75.44 MM has Grown at 386.68%

ROCE(HY)

Highest at 18.45%

DIVIDEND PER SHARE(HY)

Highest at CAD 6.83

RAW MATERIAL COST(Y)

Fallen by 0.86% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 121.06 %

INVENTORY TURNOVER RATIO(HY)

Highest at 49.19 times

-5What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at CAD 165.08 MM

DIVIDEND PAYOUT RATIO(Y)

Lowest at 22.89%

NET SALES(Q)

Lowest at CAD 267.76 MM

OPERATING PROFIT(Q)

Lowest at CAD 59.82 MM

Here's what is working for MTY Food Group, Inc.

Net Profit

At CAD 75.44 MM has Grown at 386.68%

Year on Year (YoY)

MOJO Watch

Net Profit trend is very positive

Net Profit (CAD MM)

Dividend per share

Highest at CAD 6.83 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (CAD)

Debt-Equity Ratio

Lowest at 121.06 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 49.19 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by 0.86% (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

Here's what is not working for MTY Food Group, Inc.

Operating Cash Flow

Lowest at CAD 165.08 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CAD MM)

Net Sales

Lowest at CAD 267.76 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CAD MM)

Operating Profit

Lowest at CAD 59.82 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (CAD MM)

Dividend Payout Ratio

Lowest at 22.89%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)