Magellan Aerospace Corporation
Magellan Aerospace Corporation Fundamental Analysis
Magellan Aerospace Corporation (MALJF) shows weak financial fundamentals with a PE ratio of 27.59, profit margin of 4.44%, and ROE of 5.52%. The company generates $1.0B in annual revenue with moderate year-over-year growth of 7.13%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 46.2/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze MALJF's fundamental strength across five key dimensions:
Efficiency Score
WeakMALJF struggles to generate sufficient returns from assets.
Valuation Score
ModerateMALJF shows balanced valuation metrics.
Growth Score
ModerateMALJF shows steady but slowing expansion.
Financial Health Score
ExcellentMALJF maintains a strong and stable balance sheet.
Profitability Score
WeakMALJF struggles to sustain strong margins.
Key Financial Metrics
Is MALJF Expensive or Cheap?
P/E Ratio
MALJF trades at 27.59 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, MALJF's PEG of 1.11 indicates fair valuation.
Price to Book
The market values Magellan Aerospace Corporation at 1.50 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 11.08 times EBITDA. This signals the market has high growth expectations.
How Well Does MALJF Make Money?
Net Profit Margin
For every $100 in sales, Magellan Aerospace Corporation keeps $4.44 as profit after all expenses.
Operating Margin
Core operations generate 6.80 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $5.52 in profit for every $100 of shareholder equity.
ROA
Magellan Aerospace Corporation generates $3.77 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Magellan Aerospace Corporation generates limited operating cash flow of $98.33M, signaling weaker underlying cash strength.
Free Cash Flow
Magellan Aerospace Corporation produces free cash flow of $52.55M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.92 in free cash annually.
FCF Yield
MALJF converts 4.26% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
27.59
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
1.11
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.50
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.23
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.11
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.66
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.06
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.07
vs 25 benchmark
How MALJF Stacks Against Its Sector Peers
| Metric | MALJF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 27.59 | 26.49 | Neutral |
| ROE | 5.52% | 1307.00% | Weak |
| Net Margin | 4.44% | -5131.00% (disorted) | Weak |
| Debt/Equity | 0.11 | 0.81 | Strong (Low Leverage) |
| Current Ratio | 2.66 | 10.48 | Strong Liquidity |
| ROA | 3.77% | -1549792.00% (disorted) | Weak |
MALJF outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Magellan Aerospace Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-5.57%
Industry Style: Cyclical, Value, Infrastructure
DecliningEPS CAGR
-46.37%
Industry Style: Cyclical, Value, Infrastructure
DecliningFCF CAGR
-2.98%
Industry Style: Cyclical, Value, Infrastructure
Declining