MND

Monadelphous GroupASX:MND Stock Report

Market Cap

AU$878.0m

7D

-4.8%

1Y

-13.8%

Updated

22 Sep, 2021

Data

Company Financials +
MND fundamental analysis
Snowflake Score
Valuation2/6
Future Growth3/6
Past Performance4/6
Financial Health6/6
Dividends2/6

MND Overview

Monadelphous Group Limited, an engineering group, provides construction, maintenance, and industrial services to resources, energy, and infrastructure industries in Australia, New Zealand, Chile, Mongolia, and internationally.

Monadelphous Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Monadelphous Group
Historical stock prices
Current Share PriceAU$9.25
52 Week HighAU$8.92
52 Week LowAU$15.55
Beta1.61
1 Month Change-8.33%
3 Month Change-9.84%
1 Year Change-13.79%
3 Year Change-42.51%
5 Year Change0%
Change since IPO10,177.78%

Recent News & Updates

Aug 26
Monadelphous Group's (ASX:MND) Upcoming Dividend Will Be Larger Than Last Year's

Monadelphous Group's (ASX:MND) Upcoming Dividend Will Be Larger Than Last Year's

Monadelphous Group Limited's ( ASX:MND ) dividend will be increasing to AU$0.21 on 1st of October. The announced...

Shareholder Returns

MNDAU ConstructionAU Market
7D-4.8%-5.5%-2.2%
1Y-13.8%-3.6%23.7%

Return vs Industry: MND underperformed the Australian Construction industry which returned -3.6% over the past year.

Return vs Market: MND underperformed the Australian Market which returned 23.7% over the past year.

Price Volatility

Is MND's price volatile compared to industry and market?
MND volatility
MND Beta1.61
Industry Beta0.97
Market Beta1

Stable Share Price: MND is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: MND's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19727,559Rob Velletrihttps://www.monadelphous.com.au

Monadelphous Group Limited, an engineering group, provides construction, maintenance, and industrial services to resources, energy, and infrastructure industries in Australia, New Zealand, Chile, Mongolia, and internationally. It operates through Engineering Construction, and Maintenance and Industrial Services divisions. The company offers fabrication, modularization, offsite pre-assembly, procurement, and installation of structural steel, tankage, mechanical and process equipment, piping, demolition, and remediation works; multi-disciplined construction services; plant commissioning; electrical and instrumentation services; engineering, procurement, and construction services; process and non-process maintenance services; and front-end scoping, shutdown planning, management, and execution services.

Monadelphous Group Fundamentals Summary

How do Monadelphous Group's earnings and revenue compare to its market cap?
MND fundamental statistics
Market CapAU$877.98m
Earnings (TTM)AU$47.06m
Revenue (TTM)AU$1.75b

18.7x

P/E Ratio

0.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
MND income statement (TTM)
RevenueAU$1.75b
Cost of RevenueAU$1.64b
Gross ProfitAU$112.67m
ExpensesAU$65.61m
EarningsAU$47.06m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.50
Gross Margin6.42%
Net Profit Margin2.68%
Debt/Equity Ratio0.2%

How did MND perform over the long term?

See historical performance and comparison

Dividends

4.9%

Current Dividend Yield

91%

Payout Ratio

Valuation

Is Monadelphous Group undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MND (A$9.25) is trading below our estimate of fair value (A$32.05)

Significantly Below Fair Value: MND is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: MND is poor value based on its PE Ratio (18.7x) compared to the Australian Construction industry average (14.1x).

PE vs Market: MND is poor value based on its PE Ratio (18.7x) compared to the Australian market (18.5x).


Price to Earnings Growth Ratio

PEG Ratio: MND is poor value based on its PEG Ratio (1.1x)


Price to Book Ratio

PB vs Industry: MND is overvalued based on its PB Ratio (2.2x) compared to the AU Construction industry average (2.1x).


Future Growth

How is Monadelphous Group forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

16.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MND's forecast earnings growth (16.7% per year) is above the savings rate (1.9%).

Earnings vs Market: MND's earnings (16.7% per year) are forecast to grow faster than the Australian market (11.5% per year).

High Growth Earnings: MND's earnings are forecast to grow, but not significantly.

Revenue vs Market: MND's revenue (6.7% per year) is forecast to grow faster than the Australian market (5.6% per year).

High Growth Revenue: MND's revenue (6.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MND's Return on Equity is forecast to be low in 3 years time (17%).


Past Performance

How has Monadelphous Group performed over the past 5 years?

-10.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MND has high quality earnings.

Growing Profit Margin: MND's current net profit margins (2.7%) are higher than last year (2.5%).


Past Earnings Growth Analysis

Earnings Trend: MND's earnings have declined by 10% per year over the past 5 years.

Accelerating Growth: MND's earnings growth over the past year (29%) exceeds its 5-year average (-10% per year).

Earnings vs Industry: MND earnings growth over the past year (29%) exceeded the Construction industry 25%.


Return on Equity

High ROE: MND's Return on Equity (12.3%) is considered low.


Financial Health

How is Monadelphous Group's financial position?


Financial Position Analysis

Short Term Liabilities: MND's short term assets (A$557.6M) exceed its short term liabilities (A$290.1M).

Long Term Liabilities: MND's short term assets (A$557.6M) exceed its long term liabilities (A$91.4M).


Debt to Equity History and Analysis

Debt Level: MND's debt to equity ratio (0.2%) is considered satisfactory.

Reducing Debt: MND's debt to equity ratio has reduced from 0.4% to 0.2% over the past 5 years.

Debt Coverage: MND's debt is well covered by operating cash flow (2970.6%).

Interest Coverage: MND's interest payments on its debt are well covered by EBIT (19.3x coverage).


Balance Sheet


Dividend

What is Monadelphous Group current dividend yield, its reliability and sustainability?

4.86%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MND's dividend (4.86%) is higher than the bottom 25% of dividend payers in the Australian market (2.32%).

High Dividend: MND's dividend (4.86%) is low compared to the top 25% of dividend payers in the Australian market (5.55%).


Stability and Growth of Payments

Stable Dividend: MND's dividend payments have been volatile in the past 10 years.

Growing Dividend: MND's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (90.5%), MND's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MND's dividends in 3 years are forecast to be covered by earnings (83.6% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.9yrs

Average management tenure


CEO

Rob Velletri

18.33yrs

Tenure

AU$1,208,696

Compensation

Mr. Robert Velletri, also known as Rob, has been Managing Director of Monadelphous Group Limited since May 30, 2003 and has been its Executive Director since August 26, 1992. Mr. Velletri joined Monadelpho...


CEO Compensation Analysis

Compensation vs Market: Rob's total compensation ($USD873.40K) is about average for companies of similar size in the Australian market ($USD945.21K).

Compensation vs Earnings: Rob's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: MND's management team is seasoned and experienced (6.9 years average tenure).


Board Members

Experienced Board: MND's board of directors are seasoned and experienced ( 10.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: MND insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Monadelphous Group Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Monadelphous Group Limited
  • Ticker: MND
  • Exchange: ASX
  • Founded: 1972
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: AU$877.980m
  • Shares outstanding: 94.92m
  • Website: https://www.monadelphous.com.au

Number of Employees


Location

  • Monadelphous Group Limited
  • 59 Albany Highway
  • Victoria Park
  • Perth
  • Western Australia
  • 6100
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/22 15:11
End of Day Share Price2021/09/22 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.