Meridian Energy Limited
Meridian Energy Limited Fundamental Analysis
Meridian Energy Limited (MDDNF) shows weak financial fundamentals with a PE ratio of -127.96, profit margin of -2.28%, and ROE of -1.17%. The company generates $4.6B in annual revenue with weak year-over-year growth of -0.77%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 19.8/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze MDDNF's fundamental strength across five key dimensions:
Efficiency Score
WeakMDDNF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentMDDNF trades at attractive valuation levels.
Growth Score
WeakMDDNF faces weak or negative growth trends.
Financial Health Score
ExcellentMDDNF maintains a strong and stable balance sheet.
Profitability Score
WeakMDDNF struggles to sustain strong margins.
Key Financial Metrics
Is MDDNF Expensive or Cheap?
P/E Ratio
MDDNF trades at -127.96 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, MDDNF's PEG of -1.00 indicates potential undervaluation.
Price to Book
The market values Meridian Energy Limited at 1.50 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 23.09 times EBITDA. This signals the market has high growth expectations.
How Well Does MDDNF Make Money?
Net Profit Margin
For every $100 in sales, Meridian Energy Limited keeps $-2.28 as profit after all expenses.
Operating Margin
Core operations generate 23.24 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-1.17 in profit for every $100 of shareholder equity.
ROA
Meridian Energy Limited generates $-0.69 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Meridian Energy Limited produces operating cash flow of $606.07M, showing steady but balanced cash generation.
Free Cash Flow
Meridian Energy Limited generates strong free cash flow of $495.70M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.19 in free cash annually.
FCF Yield
MDDNF converts 3.70% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-127.96
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-1.00
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.50
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.93
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.21
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.07
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.01
vs 25 benchmark
ROA
Return on assets percentage
-0.01
vs 25 benchmark
ROCE
Return on capital employed
0.07
vs 25 benchmark
How MDDNF Stacks Against Its Sector Peers
| Metric | MDDNF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -127.96 | 19.71 | Better (Cheaper) |
| ROE | -1.17% | 899.00% | Weak |
| Net Margin | -2.28% | 8904.00% | Weak |
| Debt/Equity | 0.21 | 1.80 | Strong (Low Leverage) |
| Current Ratio | 1.07 | 1.52 | Neutral |
| ROA | -0.69% | -6254.00% (disorted) | Weak |
MDDNF outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Meridian Energy Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
39.20%
Industry Style: Defensive, Dividend, Income
High GrowthEPS CAGR
-352.64%
Industry Style: Defensive, Dividend, Income
DecliningFCF CAGR
-48.21%
Industry Style: Defensive, Dividend, Income
Declining