SOLV Energy, Inc. Class A Common Stock Fundamental Analysis (NASDAQ: MWH)
SOLV Energy, Inc. Class A Common Stock Fundamental Analysis (NASDAQ: MWH)
SOLV Energy, Inc. Class A Common Stock (NASDAQ: MWH) shows weak financial fundamentals with a PE ratio of 111.29, profit margin of 2.75%, and ROE of 19.16%. The company generates $1.9B 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 58.9/100 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 MWH's fundamental strength across five key dimensions:
Efficiency Score
WeakMWH struggles to generate sufficient returns from assets.
Valuation Score
ModerateMWH shows balanced valuation metrics.
Growth Score
ModerateMWH shows steady but slowing expansion.
Financial Health Score
ExcellentMWH maintains a strong and stable balance sheet.
Profitability Score
ModerateMWH maintains healthy but balanced margins.
Key Financial Metrics
Is MWH Expensive or Cheap?
P/E Ratio
MWH trades at 111.29 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, MWH's PEG of -2.45 indicates potential undervaluation.
Price to Book
The market values SOLV Energy, Inc. Class A Common Stock at 10.88 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 12.33 times EBITDA. This signals the market has high growth expectations.
How Well Does MWH Make Money?
Net Profit Margin
For every $100 in sales, SOLV Energy, Inc. Class A Common Stock keeps $2.75 as profit after all expenses.
Operating Margin
Core operations generate 6.00 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $19.16 in profit for every $100 of shareholder equity.
ROA
SOLV Energy, Inc. Class A Common Stock generates $4.10 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
SOLV Energy, Inc. Class A Common Stock produces operating cash flow of $196.37M, showing steady but balanced cash generation.
Free Cash Flow
SOLV Energy, Inc. Class A Common Stock produces free cash flow of $176.95M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $1.44 in free cash annually.
FCF Yield
MWH converts 8.86% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
111.29
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-2.45
vs 25 benchmark
P/B Ratio
Price to book value ratio
10.88
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.03
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.17
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.09
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.19
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.16
vs 25 benchmark
How MWH Stacks Against Its Sector Peers
| Metric | MWH Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 111.29 | 19.14 | Worse (Expensive) |
| ROE | 19.16% | 992.00% | Weak |
| Net Margin | 2.75% | -567.00% (disorted) | Weak |
| Debt/Equity | 0.17 | 1.74 | Strong (Low Leverage) |
| Current Ratio | 1.09 | 1.71 | Neutral |
| ROA | 4.10% | 4551308.00% | Weak |
MWH 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 SOLV Energy, Inc. Class A Common Stock'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, Dividend, Income
EPS CAGR
N/A
Industry Style: Defensive, Dividend, Income
FCF CAGR
N/A
Industry Style: Defensive, Dividend, Income