Vail Resorts, Inc.
Vail Resorts, Inc. Fundamental Analysis
Vail Resorts, Inc. (MTN) shows moderate financial fundamentals with a PE ratio of 18.85, profit margin of 8.94%, and ROE of 53.03%. The company generates $3.0B in annual revenue with weak year-over-year growth of -0.14%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 44.0/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze MTN's fundamental strength across five key dimensions:
Efficiency Score
WeakMTN struggles to generate sufficient returns from assets.
Valuation Score
ExcellentMTN trades at attractive valuation levels.
Growth Score
WeakMTN faces weak or negative growth trends.
Financial Health Score
WeakMTN carries high financial risk with limited liquidity.
Profitability Score
ModerateMTN maintains healthy but balanced margins.
Key Financial Metrics
Is MTN Expensive or Cheap?
P/E Ratio
MTN trades at 18.85 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, MTN's PEG of -2.37 indicates potential undervaluation.
Price to Book
The market values Vail Resorts, Inc. at 32.05 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 2.53 times EBITDA. This is generally considered low.
How Well Does MTN Make Money?
Net Profit Margin
For every $100 in sales, Vail Resorts, Inc. keeps $8.94 as profit after all expenses.
Operating Margin
Core operations generate 18.56 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $53.03 in profit for every $100 of shareholder equity.
ROA
Vail Resorts, Inc. generates $4.62 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Vail Resorts, Inc. produces operating cash flow of $589.10M, showing steady but balanced cash generation.
Free Cash Flow
Vail Resorts, Inc. generates strong free cash flow of $352.97M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $9.82 in free cash annually.
FCF Yield
MTN converts 6.99% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
18.85
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-2.37
vs 25 benchmark
P/B Ratio
Price to book value ratio
32.05
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.69
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
21.86
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.54
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.53
vs 25 benchmark
ROA
Return on assets percentage
0.05
vs 25 benchmark
ROCE
Return on capital employed
0.14
vs 25 benchmark
How MTN Stacks Against Its Sector Peers
| Metric | MTN Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 18.85 | 24.85 | Better (Cheaper) |
| ROE | 53.03% | 1165.00% | Weak |
| Net Margin | 8.94% | 749.00% | Weak |
| Debt/Equity | 21.86 | 0.76 | Weak (High Leverage) |
| Current Ratio | 0.54 | 9.23 | Weak Liquidity |
| ROA | 4.62% | 1271.00% | Weak |
MTN outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Vail Resorts, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
35.33%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
-18.48%
Industry Style: Cyclical, Growth, Discretionary
DecliningFCF CAGR
-1.42%
Industry Style: Cyclical, Growth, Discretionary
Declining