Magellan Aerospace Corporation, through its subsidiaries, designs, engineers, and manufactures aero engine, and aero structure assemblies and components for aerospace markets in Canada, the United States, Europe, and Asia. More Details
Flawless balance sheet and undervalued.
Share Price & News
How has Magellan Aerospace's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MAL is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: MAL's weekly volatility (5%) has been stable over the past year.
7 Day Return
CA Aerospace & Defense
1 Year Return
CA Aerospace & Defense
Return vs Industry: MAL underperformed the Canadian Aerospace & Defense industry which returned 29.4% over the past year.
Return vs Market: MAL underperformed the Canadian Market which returned 29% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Magellan Aerospace's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StHow Well Is Magellan Aerospace (TSE:MAL) Allocating Its Capital?
3 weeks ago | Simply Wall StIs Magellan Aerospace Corporation (TSE:MAL) Trading At A 42% Discount?
1 month ago | Simply Wall StMagellan Aerospace (TSE:MAL) Seems To Use Debt Quite Sensibly
Is Magellan Aerospace undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: MAL (CA$10.18) is trading below our estimate of fair value (CA$17.69)
Significantly Below Fair Value: MAL is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: MAL is good value based on its PE Ratio (16.6x) compared to the XN Aerospace & Defense industry average (34.4x).
PE vs Market: MAL is good value based on its PE Ratio (16.6x) compared to the Canadian market (16.9x).
Price to Earnings Growth Ratio
PEG Ratio: MAL is good value based on its PEG Ratio (0.7x)
Price to Book Ratio
PB vs Industry: MAL is good value based on its PB Ratio (0.7x) compared to the CA Aerospace & Defense industry average (6.4x).
How is Magellan Aerospace forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MAL's forecast earnings growth (24.7% per year) is above the savings rate (1.5%).
Earnings vs Market: MAL's earnings (24.7% per year) are forecast to grow slower than the Canadian market (24.7% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: MAL's revenue (2.9% per year) is forecast to grow slower than the Canadian market (7.6% per year).
High Growth Revenue: MAL's revenue (2.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if MAL's Return on Equity is forecast to be high in 3 years time
How has Magellan Aerospace performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MAL has high quality earnings.
Growing Profit Margin: MAL's current net profit margins (4.4%) are lower than last year (8.5%).
Past Earnings Growth Analysis
Earnings Trend: MAL's earnings have declined by 6.4% per year over the past 5 years.
Accelerating Growth: MAL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: MAL had negative earnings growth (-59.2%) over the past year, making it difficult to compare to the Aerospace & Defense industry average (-9.6%).
Return on Equity
High ROE: MAL's Return on Equity (4.3%) is considered low.
How is Magellan Aerospace's financial position?
Financial Position Analysis
Short Term Liabilities: MAL's short term assets (CA$549.6M) exceed its short term liabilities (CA$168.2M).
Long Term Liabilities: MAL's short term assets (CA$549.6M) exceed its long term liabilities (CA$134.7M).
Debt to Equity History and Analysis
Debt Level: MAL's debt to equity ratio (7.8%) is considered satisfactory.
Reducing Debt: MAL's debt to equity ratio has reduced from 42.3% to 7.8% over the past 5 years.
Debt Coverage: MAL's debt is well covered by operating cash flow (180%).
Interest Coverage: MAL's interest payments on its debt are well covered by EBIT (11.5x coverage).
What is Magellan Aerospace current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: MAL's dividend (4.13%) is higher than the bottom 25% of dividend payers in the Canadian market (1.57%).
High Dividend: MAL's dividend (4.13%) is low compared to the top 25% of dividend payers in the Canadian market (4.87%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, MAL has been paying a dividend for less than 10 years.
Growing Dividend: MAL's dividend payments have increased, but the company has only paid a dividend for 8 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (68.6%), MAL's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: MAL's dividends in 3 years are forecast to be covered by earnings (67.5% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Mr. Phillip Campion Underwood, also known as Phil, has been the President of Magellan Aerospace Corp. since May 13, 2014 and has been its Chief Executive Officer since January 1, 2015. Mr. Underwood served...
CEO Compensation Analysis
Compensation vs Market: Phil's total compensation ($USD536.01K) is about average for companies of similar size in the Canadian market ($USD752.23K).
Compensation vs Earnings: Phil's compensation has been consistent with company performance over the past year.
|Executive Chairman||no data||no data||74.51% |
|Chief Financial Officer||5.17yrs||CA$312.02k||no data|
|Vice President of Business Development||2.75yrs||CA$341.46k||no data|
|Vice President of Human Resources||no data||CA$253.88k||no data|
|Corporate Secretary||2.83yrs||no data||no data|
Experienced Management: MAL's management team is considered experienced (4 years average tenure).
|Executive Chairman||no data||no data||74.51% |
|Independent Director||32.17yrs||CA$72.00k||0.0073% |
|Independent Director||31.17yrs||CA$95.00k||0.016% |
|Independent Director||6.83yrs||CA$80.00k||0.0052% |
|Independent Director||7.83yrs||CA$88.00k||0.0090% |
Experienced Board: MAL's board of directors are seasoned and experienced ( 17 years average tenure).
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
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Magellan Aerospace Corporation's company bio, employee growth, exchange listings and data sources
- Name: Magellan Aerospace Corporation
- Ticker: MAL
- Exchange: TSX
- Founded: 1994
- Industry: Aerospace and Defense
- Sector: Capital Goods
- Market Cap: CA$583.095m
- Shares outstanding: 57.79m
- Website: https://www.magellan.aero
Number of Employees
- Magellan Aerospace Corporation
- 3160 Derry Road East
- L4T 1A9
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|MAL||TSX (The Toronto Stock Exchange)||Yes||Common Shares||CA||CAD||Jan 1975|
|4M7A||DB (Deutsche Boerse AG)||Yes||Common Shares||DE||EUR||Jan 1975|
|MALJ.F||OTCPK (Pink Sheets LLC)||Yes||Common Shares||US||USD||Jan 1975|
Magellan Aerospace Corporation, through its subsidiaries, designs, engineers, and manufactures aero engine, and aero structure assemblies and components for aerospace markets in Canada, the United States, ...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/03/08 23:53|
|End of Day Share Price||2021/03/08 00:00|
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.