Magellan Health, Inc.
Magellan Health, Inc. Fundamental Analysis
Magellan Health, Inc. (MGLN) shows weak financial fundamentals with a PE ratio of 605.27, profit margin of 0.09%, and ROE of 0.25%. The company generates N/A 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 52.4/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze MGLN's fundamental strength across five key dimensions:
Efficiency Score
WeakMGLN struggles to generate sufficient returns from assets.
Valuation Score
WeakMGLN trades at a premium to fair value.
Growth Score
ModerateMGLN shows steady but slowing expansion.
Financial Health Score
ExcellentMGLN maintains a strong and stable balance sheet.
Profitability Score
WeakMGLN struggles to sustain strong margins.
Key Financial Metrics
Is MGLN Expensive or Cheap?
P/E Ratio
MGLN trades at 605.27 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, MGLN's PEG of 6.05 indicates potential overvaluation.
Price to Book
The market values Magellan Health, Inc. at 1.31 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 4.64 times EBITDA. This is generally considered low.
How Well Does MGLN Make Money?
Net Profit Margin
For every $100 in sales, Magellan Health, Inc. keeps $0.09 as profit after all expenses.
Operating Margin
Core operations generate 8.05 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $0.25 in profit for every $100 of shareholder equity.
ROA
Magellan Health, Inc. generates $0.12 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
FCF Per Share
Each share generates $14.56 in free cash annually.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
605.27
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
6.05
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.31
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.00
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.34
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.92
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.002
vs 25 benchmark
ROA
Return on assets percentage
0.001
vs 25 benchmark
ROCE
Return on capital employed
0.14
vs 25 benchmark
How MGLN Stacks Against Its Sector Peers
| Metric | MGLN Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 605.27 | 29.28 | Worse (Expensive) |
| ROE | 0.25% | 820.00% | Weak |
| Net Margin | 0.09% | -19731.00% (disorted) | Weak |
| Debt/Equity | 0.34 | 0.26 | Weak (High Leverage) |
| Current Ratio | 2.92 | 4.69 | Strong Liquidity |
| ROA | 0.12% | -17993.00% (disorted) | Weak |
MGLN 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 Magellan Health, 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: Defensive, Growth, Innovation
EPS CAGR
N/A
Industry Style: Defensive, Growth, Innovation
FCF CAGR
N/A
Industry Style: Defensive, Growth, Innovation