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MDC Partners Inc.

MDCANASDAQ
Communication Services
Advertising Agencies
$5.42
$-0.19(-3.39%)
U.S. Market is Open • 14:05

MDC Partners Inc. Fundamental Analysis

MDC Partners Inc. (MDCA) shows weak financial fundamentals with a PE ratio of 37.95, profit margin of 0.84%, and ROE of 4.72%. The company generates $7.8B in annual revenue with N/A year-over-year growth of N/A.

Key Strengths

PEG Ratio0.33

Areas of Concern

ROE4.72%
Operating Margin3.57%
Current Ratio0.89
We analyze MDCA's fundamental strength across five key dimensions.

The stock receives a Fundamental Health Score of 13.2/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.

Fundamental Health Score

F
13.2/100

We analyze MDCA's fundamental strength across five key dimensions:

Efficiency Score

Weak

MDCA struggles to generate sufficient returns from assets.

ROA > 10%
0.86%

Valuation Score

Moderate

MDCA shows balanced valuation metrics.

PE < 25
37.95
PEG Ratio < 2
0.33

Growth Score

Weak

MDCA faces weak or negative growth trends.

Revenue Growth > 5%
N/A
EPS Growth > 10%
N/A

Financial Health Score

Weak

MDCA carries high financial risk with limited liquidity.

Debt/Equity < 1
2.35
Current Ratio > 1
0.89

Profitability Score

Weak

MDCA struggles to sustain strong margins.

ROE > 15%
4.72%
Net Margin ≥ 15%
0.84%
Positive Free Cash Flow
Yes

Key Financial Metrics

Is MDCA Expensive or Cheap?

P/E Ratio

MDCA trades at 37.95 times earnings. This suggests a premium valuation.

37.95

PEG Ratio

When adjusting for growth, MDCA's PEG of 0.33 indicates potential undervaluation.

0.33

Price to Book

The market values MDC Partners Inc. at 1.80 times its book value. This may indicate undervaluation.

1.80

EV/EBITDA

Enterprise value stands at 4.68 times EBITDA. This is generally considered low.

4.68

How Well Does MDCA Make Money?

Net Profit Margin

For every $100 in sales, MDC Partners Inc. keeps $0.84 as profit after all expenses.

0.84%

Operating Margin

Core operations generate 3.57 in profit for every $100 in revenue, before interest and taxes.

3.57%

ROE

Management delivers $4.72 in profit for every $100 of shareholder equity.

4.72%

ROA

MDC Partners Inc. generates $0.86 in profit for every $100 in assets, demonstrating efficient asset deployment.

0.86%

Following the Money - Real Cash Generation

Operating Cash Flow

MDC Partners Inc. generates limited operating cash flow of $229.99M, signaling weaker underlying cash strength.

$229.99M

Free Cash Flow

MDC Partners Inc. generates weak or negative free cash flow of $225.85M, restricting financial flexibility.

$225.85M

FCF Per Share

Each share generates $0.50 in free cash annually.

$0.50

FCF Yield

MDCA converts 5.19% of its market value into free cash.

5.19%

Financial Ratios Analysis

Valuation Ratios

P/E Ratio

Price to earnings ratio

37.95

vs 25 benchmark

PEG Ratio

Price/earnings to growth ratio

0.33

vs 25 benchmark

P/B Ratio

Price to book value ratio

1.80

vs 25 benchmark

P/S Ratio

Price to sales ratio

0.56

vs 25 benchmark

Financial Health

Debt/Equity

Total debt to shareholders' equity

2.35

vs 25 benchmark

Current Ratio

Current assets to current liabilities

0.89

vs 25 benchmark

Efficiency Ratios

ROE

Return on equity percentage

0.05

vs 25 benchmark

ROA

Return on assets percentage

0.009

vs 25 benchmark

ROCE

Return on capital employed

0.05

vs 25 benchmark

How MDCA Stacks Against Its Sector Peers

MetricMDCA ValueSector AveragePerformance
P/E Ratio37.9521.66 Worse (Expensive)
ROE4.72%1190.00% Weak
Net Margin0.84%-55754.00% (disorted) Weak
Debt/Equity2.351.32 Weak (High Leverage)
Current Ratio0.891.59 Weak Liquidity
ROA0.86%-202359.00% (disorted) Weak

MDCA outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.

Historical Growth Performance

5-Year Growth Trajectory

This section reviews MDC Partners Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.

Revenue CAGR

N/A

Industry Style: Growth, Technology, Streaming

EPS CAGR

N/A

Industry Style: Growth, Technology, Streaming

FCF CAGR

N/A

Industry Style: Growth, Technology, Streaming

Fundamental Analysis FAQ