The Marcus Corporation
The Marcus Corporation Fundamental Analysis
The Marcus Corporation (MCS) shows weak financial fundamentals with a PE ratio of 64.04, profit margin of 1.02%, and ROE of 1.71%. The company generates $0.8B in annual revenue with weak year-over-year growth of 0.82%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 17.6/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze MCS's fundamental strength across five key dimensions:
Efficiency Score
WeakMCS struggles to generate sufficient returns from assets.
Valuation Score
ModerateMCS shows balanced valuation metrics.
Growth Score
WeakMCS faces weak or negative growth trends.
Financial Health Score
ModerateMCS shows balanced financial health with some risks.
Profitability Score
ModerateMCS maintains healthy but balanced margins.
Key Financial Metrics
Is MCS Expensive or Cheap?
P/E Ratio
MCS trades at 64.04 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, MCS's PEG of -1.40 indicates potential undervaluation.
Price to Book
The market values The Marcus Corporation at 1.09 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 1.88 times EBITDA. This is generally considered low.
How Well Does MCS Make Money?
Net Profit Margin
For every $100 in sales, The Marcus Corporation keeps $1.02 as profit after all expenses.
Operating Margin
Core operations generate 1.74 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $1.71 in profit for every $100 of shareholder equity.
ROA
The Marcus Corporation generates $0.77 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
The Marcus Corporation produces operating cash flow of $88.54M, showing steady but balanced cash generation.
Free Cash Flow
The Marcus Corporation generates weak or negative free cash flow of $1.73M, restricting financial flexibility.
FCF Per Share
Each share generates $0.06 in free cash annually.
FCF Yield
MCS converts 0.35% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
64.04
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-1.40
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.09
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.66
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.75
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.35
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.02
vs 25 benchmark
ROA
Return on assets percentage
0.008
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How MCS Stacks Against Its Sector Peers
| Metric | MCS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 64.04 | 21.28 | Worse (Expensive) |
| ROE | 1.71% | 1116.00% | Weak |
| Net Margin | 1.02% | -55491.00% (disorted) | Weak |
| Debt/Equity | 0.75 | 1.38 | Strong (Low Leverage) |
| Current Ratio | 0.35 | 1.61 | Weak Liquidity |
| ROA | 0.77% | -204827.00% (disorted) | Weak |
MCS outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews The Marcus Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-13.85%
Industry Style: Growth, Technology, Streaming
DecliningEPS CAGR
-117.82%
Industry Style: Growth, Technology, Streaming
DecliningFCF CAGR
-29.37%
Industry Style: Growth, Technology, Streaming
Declining