| Snowflake Score | |
|---|---|
| Valuation | 2/6 |
| Future Growth | 4/6 |
| Past Performance | 0/6 |
| Financial Health | 5/6 |
| Dividends | 0/6 |
MWY Overview
Midway Limited purchases, processes, markets, and exports woodfibre to the pulp and paper industry in Australia, China, Japan, and South East Asia.
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | AU$1.30 |
| 52 Week High | AU$0.79 |
| 52 Week Low | AU$1.46 |
| Beta | 0.58 |
| 1 Month Change | 14.54% |
| 3 Month Change | 15.56% |
| 1 Year Change | 14.04% |
| 3 Year Change | -57.10% |
| 5 Year Change | n/a |
| Change since IPO | -44.44% |
Recent News & Updates
There Are Reasons To Feel Uneasy About Midway's (ASX:MWY) Returns On Capital
Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key...
Is Midway (ASX:MWY) A Risky Investment?
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Calculating The Fair Value Of Midway Limited (ASX:MWY)
Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Midway Limited...
Shareholder Returns
| MWY | AU Forestry | AU Market | |
|---|---|---|---|
| 7D | -0.8% | 0.04% | 0.6% |
| 1Y | 14.0% | 36.9% | 21.3% |
Return vs Industry: MWY underperformed the Australian Forestry industry which returned 36.9% over the past year.
Return vs Market: MWY underperformed the Australian Market which returned 21.3% over the past year.
Price Volatility
| MWY volatility | |
|---|---|
| MWY Beta | 0.58 |
| Industry Beta | 0.60 |
| Market Beta | 1 |
Stable Share Price: MWY is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: MWY's weekly volatility (7%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1980 | n/a | Tony Price | https://www.midwaylimited.com.au |
Midway Limited purchases, processes, markets, and exports woodfibre to the pulp and paper industry in Australia, China, Japan, and South East Asia. It operates through Woodfibre, Forestry Logistics, and Plantation Management segments. The company offers hardwood and softwood woodchips.
Midway Fundamentals Summary
| MWY fundamental statistics | |
|---|---|
| Market Cap | AU$113.54m |
| Earnings (TTM) | -AU$5.36m |
| Revenue (TTM) | AU$280.79m |
0.4x
P/S Ratio-21.2x
P/E RatioIs MWY overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| MWY income statement (TTM) | |
|---|---|
| Revenue | AU$280.79m |
| Cost of Revenue | AU$198.97m |
| Gross Profit | AU$81.83m |
| Expenses | AU$87.19m |
| Earnings | -AU$5.36m |
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
n/a
| Earnings per share (EPS) | -0.061 |
| Gross Margin | 29.14% |
| Net Profit Margin | -1.91% |
| Debt/Equity Ratio | 25.6% |
How did MWY perform over the long term?
See historical performance and comparisonValuation
Is Midway 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: MWY (A$1.3) is trading below our estimate of fair value (A$9.16)
Significantly Below Fair Value: MWY is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: MWY is unprofitable, so we can't compare its PE Ratio to the Global Forestry industry average.
PE vs Market: MWY is unprofitable, so we can't compare its PE Ratio to the Australian market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate MWY's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: MWY's PB Ratio (0.9x) is in line with the XO Forestry industry average.
Future Growth
How is Midway forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
114.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MWY is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).
Earnings vs Market: MWY is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: MWY's is expected to become profitable in the next 3 years.
Revenue vs Market: MWY's revenue (9.7% per year) is forecast to grow faster than the Australian market (5.3% per year).
High Growth Revenue: MWY's revenue (9.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: MWY's Return on Equity is forecast to be low in 3 years time (4.5%).
Past Performance
How has Midway performed over the past 5 years?
-39.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MWY is currently unprofitable.
Growing Profit Margin: MWY is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: MWY is unprofitable, and losses have increased over the past 5 years at a rate of 39.2% per year.
Accelerating Growth: Unable to compare MWY's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: MWY is unprofitable, making it difficult to compare its past year earnings growth to the Forestry industry (42.4%).
Return on Equity
High ROE: MWY has a negative Return on Equity (-3.92%), as it is currently unprofitable.
Financial Health
How is Midway's financial position?
Financial Position Analysis
Short Term Liabilities: MWY's short term assets (A$59.3M) exceed its short term liabilities (A$46.4M).
Long Term Liabilities: MWY's short term assets (A$59.3M) do not cover its long term liabilities (A$84.3M).
Debt to Equity History and Analysis
Debt Level: MWY's debt to equity ratio (25.6%) is considered satisfactory.
Reducing Debt: MWY's debt to equity ratio has reduced from 32.5% to 25.6% over the past 5 years.
Debt Coverage: MWY's debt is well covered by operating cash flow (65.7%).
Interest Coverage: MWY's interest payments on its debt are well covered by EBIT (3.5x coverage).
Balance Sheet
Dividend
What is Midway current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate MWY's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate MWY's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if MWY's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if MWY's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: MWY is not paying a notable dividend for the Australian market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of MWY's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.4yrs
Average management tenure
CEO
Tony Price
5.92yrs
Tenure
AU$612,836
Compensation
Mr. Anthony R. Price, also known as Tony, serves as the Chief Executive Officer and Managing Director of Midway Limited since November 2015. Mr. Price serves as the Managing Director at Australian Bluegum...
CEO Compensation Analysis
Compensation vs Market: Tony's total compensation ($USD459.40K) is above average for companies of similar size in the Australian market ($USD302.38K).
Compensation vs Earnings: Tony's compensation has increased whilst the company is unprofitable.
Leadership Team
Experienced Management: MWY's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.
Board Members
Experienced Board: MWY's board of directors are considered experienced (5.7 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if 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
Midway Limited's employee growth, exchange listings and data sources
Key Information
- Name: Midway Limited
- Ticker: MWY
- Exchange: ASX
- Founded: 1980
- Industry: Paper Products
- Sector: Materials
- Market Cap: AU$113.537m
- Shares outstanding: 87.34m
- Website: https://www.midwaylimited.com.au
Number of Employees
Location
- Midway Limited
- North Geelong MDC
- PO Box 678
- North Geelong
- Victoria
- 3215
- Australia
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/10/25 16:50 |
| End of Day Share Price | 2021/10/25 00:00 |
| Earnings | 2021/06/30 |
| Annual Earnings | 2021/06/30 |
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.