Marcus & Millichap, Inc. Fundamental Analysis
Marcus & Millichap, Inc. (MMI) shows weak financial fundamentals with a PE ratio of -2228.26, profit margin of -0.08%, and ROE of -0.10%. The company generates $0.8B 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 39.7/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze MMI's fundamental strength across five key dimensions:
Efficiency Score
WeakMMI struggles to generate sufficient returns from assets.
Valuation Score
ModerateMMI shows balanced valuation metrics.
Growth Score
ModerateMMI shows steady but slowing expansion.
Financial Health Score
ExcellentMMI maintains a strong and stable balance sheet.
Profitability Score
WeakMMI struggles to sustain strong margins.
Key Financial Metrics
Is MMI Expensive or Cheap?
P/E Ratio
MMI trades at -2228.26 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, MMI's PEG of 93.49 indicates potential overvaluation.
Price to Book
The market values Marcus & Millichap, Inc. at 2.06 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 44.67 times EBITDA. This signals the market has high growth expectations.
How Well Does MMI Make Money?
Net Profit Margin
For every $100 in sales, Marcus & Millichap, Inc. keeps $-0.08 as profit after all expenses.
Operating Margin
Core operations generate -0.02 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-0.10 in profit for every $100 of shareholder equity.
ROA
Marcus & Millichap, Inc. generates $-0.08 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Marcus & Millichap, Inc. produces operating cash flow of $91.01M, showing steady but balanced cash generation.
Free Cash Flow
Marcus & Millichap, Inc. generates strong free cash flow of $81.75M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $2.16 in free cash annually.
FCF Yield
MMI converts 7.04% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-2228.26
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
93.49
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.06
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.49
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.13
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.65
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.00
vs 25 benchmark
ROA
Return on assets percentage
-0.00
vs 25 benchmark
ROCE
Return on capital employed
-0.00
vs 25 benchmark
How MMI Stacks Against Its Sector Peers
| Metric | MMI Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -2228.26 | 22.60 | Better (Cheaper) |
| ROE | -0.10% | 698.00% | Weak |
| Net Margin | -0.08% | 2244.00% | Weak |
| Debt/Equity | 0.13 | -36.72 (disorted) | Distorted |
| Current Ratio | 2.65 | 25.71 | Strong Liquidity |
| ROA | -0.08% | 254.00% | Weak |
MMI outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Marcus & Millichap, 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: Income, Inflation Hedge, REIT
EPS CAGR
N/A
Industry Style: Income, Inflation Hedge, REIT
FCF CAGR
N/A
Industry Style: Income, Inflation Hedge, REIT