MoneyGram International, Inc.
MoneyGram International, Inc. Fundamental Analysis
MoneyGram International, Inc. (MGI) shows weak financial fundamentals with a PE ratio of 30.98, profit margin of 2.61%, and ROE of -20.68%. The company generates $1.3B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 80.2/100 based on profitability, valuation, growth, and balance sheet metrics. The B+ grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze MGI's fundamental strength across five key dimensions:
Efficiency Score
WeakMGI struggles to generate sufficient returns from assets.
Valuation Score
ModerateMGI shows balanced valuation metrics.
Growth Score
ModerateMGI shows steady but slowing expansion.
Financial Health Score
ExcellentMGI maintains a strong and stable balance sheet.
Profitability Score
WeakMGI struggles to sustain strong margins.
Key Financial Metrics
Is MGI Expensive or Cheap?
P/E Ratio
MGI trades at 30.98 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, MGI's PEG of 0.31 indicates potential undervaluation.
Price to Book
The market values MoneyGram International, Inc. at -7.27 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.03 times EBITDA. This is generally considered low.
How Well Does MGI Make Money?
Net Profit Margin
For every $100 in sales, MoneyGram International, Inc. keeps $2.61 as profit after all expenses.
Operating Margin
Core operations generate 7.11 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-20.68 in profit for every $100 of shareholder equity.
ROA
MoneyGram International, Inc. generates $0.76 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
MoneyGram International, Inc. generates limited operating cash flow of $86.89M, signaling weaker underlying cash strength.
Free Cash Flow
MoneyGram International, Inc. generates weak or negative free cash flow of $32.34M, restricting financial flexibility.
FCF Per Share
Each share generates $0.33 in free cash annually.
FCF Yield
MGI converts 2.97% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
30.98
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.31
vs 25 benchmark
P/B Ratio
Price to book value ratio
-7.27
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.82
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-5.70
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.08
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.21
vs 25 benchmark
ROA
Return on assets percentage
0.008
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How MGI Stacks Against Its Sector Peers
| Metric | MGI Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 30.98 | 18.86 | Worse (Expensive) |
| ROE | -20.68% | 847.00% | Weak |
| Net Margin | 2.61% | 4202.00% | Weak |
| Debt/Equity | -5.70 | 0.91 | Strong (Low Leverage) |
| Current Ratio | 1.08 | 667.17 | Neutral |
| ROA | 0.76% | -21543.00% (disorted) | Weak |
MGI 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 MoneyGram International, 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: Value, Dividend, Cyclical
EPS CAGR
N/A
Industry Style: Value, Dividend, Cyclical
FCF CAGR
N/A
Industry Style: Value, Dividend, Cyclical