| Snowflake Score | |
|---|---|
| Valuation | 4/6 |
| Future Growth | 4/6 |
| Past Performance | 0/6 |
| Financial Health | 5/6 |
| Dividends | 1/6 |
MAL Stock Overview
Magellan Aerospace Corporation, through its subsidiaries, designs, engineers, manufactures, and sells aero engine and structure components for the aerospace markets in Canada, the United States, Europe, and Asia.
Magellan Aerospace Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | CA$7.51 |
| 52 Week High | CA$10.99 |
| 52 Week Low | CA$7.00 |
| Beta | 1.59 |
| 1 Month Change | -6.01% |
| 3 Month Change | -23.45% |
| 1 Year Change | -30.46% |
| 3 Year Change | -54.70% |
| 5 Year Change | -62.54% |
| Change since IPO | -84.19% |
Recent News & Updates
Magellan Aerospace's (TSE:MAL) Dividend Is Being Reduced To CA$0.08
Magellan Aerospace Corporation's ( TSE:MAL ) dividend is being reduced to CA$0.08 on the 30th of June. The yield is...
Magellan Aerospace's (TSE:MAL) Dividend Is Being Reduced To CA$0.08
Magellan Aerospace Corporation ( TSE:MAL ) is reducing its dividend to CA$0.08 on the 30th of June. However, the...
Shareholder Returns
| MAL | CA Aerospace & Defense | CA Market | |
|---|---|---|---|
| 7D | 1.5% | -2.0% | -0.8% |
| 1Y | -30.5% | -25.5% | -5.0% |
Return vs Industry: MAL underperformed the Canadian Aerospace & Defense industry which returned -25.5% over the past year.
Return vs Market: MAL underperformed the Canadian Market which returned -5% over the past year.
Price Volatility
| MAL volatility | |
|---|---|
| MAL Average Weekly Movement | 4.1% |
| Aerospace & Defense Industry Average Movement | 9.0% |
| Market Average Movement | 10.1% |
| 10% most volatile stocks in CA Market | 17.4% |
| 10% least volatile stocks in CA Market | 4.4% |
Stable Share Price: MAL is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: MAL's weekly volatility (4%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1994 | 3,400 | Phil Underwood | https://www.magellan.aero |
Magellan Aerospace Corporation, through its subsidiaries, designs, engineers, manufactures, and sells aero engine and structure components for the aerospace markets in Canada, the United States, Europe, and Asia. It offers aero engine products, such as engine frames, cases, bypass ducts, engine shafts, engine processes, engine materials, metallic honeycomb, filament winding, compressor components, turbine components, and afterburner components, as well as small and large wing components, landing gear, horizontal and vertical stabilizers, and nacelle exhaust systems. The company also provides crown modules, vane box and transition ducts, wing spars, wing ribs, wing skins, access covers, and kitting solutions; black brant, rato booster motors, as well as rocket weapon system comprises of fixed wing variant, and rotary wing platforms.
Magellan Aerospace Fundamentals Summary
| MAL fundamental statistics | |
|---|---|
| Market Cap | CA$433.55m |
| Earnings (TTM) | -CA$6.26m |
| Revenue (TTM) | CA$699.79m |
0.6x
P/S Ratio-69.2x
P/E RatioIs MAL overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| MAL income statement (TTM) | |
|---|---|
| Revenue | CA$699.79m |
| Cost of Revenue | CA$664.75m |
| Gross Profit | CA$35.04m |
| Other Expenses | CA$41.30m |
| Earnings | -CA$6.26m |
Last Reported Earnings
Mar 31, 2022
Next Earnings Date
n/a
| Earnings per share (EPS) | -0.11 |
| Gross Margin | 5.01% |
| Net Profit Margin | -0.89% |
| Debt/Equity Ratio | 4.7% |
How did MAL perform over the long term?
See historical performance and comparisonDividends
4.3%
Current Dividend Yield-387%
Payout RatioValuation
Is MAL undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
4/6Valuation Score 4/6
Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio
Key Valuation Metric
Which metric is best to use when looking at relative valuation for MAL?
Other financial metrics that can be useful for relative valuation.
| What is MAL's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | CA$433.55m |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 0.7x |
| Enterprise Value/EBITDA | 15.9x |
| PEG Ratio | n/a |
Price to Sales Ratio vs Peers
How does MAL's PS Ratio compare to its peers?
| MAL PS Ratio vs Peers |
|---|
| Company | PS | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 0.9x | ||
HRX Héroux-Devtek | 0.9x | 7.3% | CA$479.8m |
MDA MDA | 2x | 19.3% | CA$942.8m |
BBD.A Bombardier | 0.3x | 6.0% | CA$1.9b |
AVP Avcorp Industries | 0.4x | n/a | CA$38.9m |
MAL Magellan Aerospace | 0.6x | 13.2% | CA$433.5m |
Price-To-Sales vs Peers: MAL is good value based on its Price-To-Sales Ratio (0.6x) compared to the peer average (0.9x).
Price to Earnings Ratio vs Industry
How does MAL's PE Ratio compare vs other companies in the North American Aerospace & Defense Industry?
Price-To-Sales vs Industry: MAL is good value based on its Price-To-Sales Ratio (0.6x) compared to the Canadian Aerospace & Defense industry average (3x)
Price to Sales Ratio vs Fair Ratio
What is MAL's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PS Ratio | 0.6x |
| Fair PS Ratio | 0.6x |
Price-To-Sales vs Fair Ratio: MAL is expensive based on its Price-To-Sales Ratio (0.6x) compared to the estimated Fair Price-To-Sales Ratio (0.6x).
Share Price vs Fair Value
What is the Fair Price of MAL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: MAL (CA$7.51) is trading below our estimate of fair value (CA$10.48)
Significantly Below Fair Value: MAL is trading below fair value by more than 20%.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate MAL's PEG Ratio to determine if it is good value.
Discover undervalued companies
Future Growth
How is Magellan Aerospace forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
Future Growth Score
4/6Future Growth Score 4/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
141.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MAL is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.6%).
Earnings vs Market: MAL is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: MAL is expected to become profitable in the next 3 years.
Revenue vs Market: MAL's revenue (13.2% per year) is forecast to grow faster than the Canadian market (6.5% per year).
High Growth Revenue: MAL's revenue (13.2% 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
Discover growth companies
Past Performance
How has Magellan Aerospace performed over the past 5 years?
Past Performance Score
0/6Past Performance Score 0/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
-43.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MAL is currently unprofitable.
Growing Profit Margin: MAL is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: MAL is unprofitable, and losses have increased over the past 5 years at a rate of 43.9% per year.
Accelerating Growth: Unable to compare MAL's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: MAL is unprofitable, making it difficult to compare its past year earnings growth to the Aerospace & Defense industry (28.8%).
Return on Equity
High ROE: MAL has a negative Return on Equity (-0.84%), as it is currently unprofitable.
Discover strong past performing companies
Financial Health
How is Magellan Aerospace's financial position?
Financial Health Score
5/6Financial Health Score 5/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: MAL's short term assets (CA$483.3M) exceed its short term liabilities (CA$146.4M).
Long Term Liabilities: MAL's short term assets (CA$483.3M) exceed its long term liabilities (CA$101.3M).
Debt to Equity History and Analysis
Debt Level: MAL's net debt to equity ratio (2.3%) is considered satisfactory.
Reducing Debt: MAL's debt to equity ratio has reduced from 22.4% to 4.7% over the past 5 years.
Debt Coverage: MAL's debt is well covered by operating cash flow (94.8%).
Interest Coverage: Insufficient data to determine if MAL's interest payments on its debt are well covered by EBIT.
Balance Sheet
Discover healthy companies
Dividend
What is Magellan Aerospace current dividend yield, its reliability and sustainability?
Dividend Score
1/6Dividend Score 1/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage
4.26%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: MAL's dividend (4.26%) is higher than the bottom 25% of dividend payers in the Canadian market (2.02%).
High Dividend: MAL's dividend (4.26%) is low compared to the top 25% of dividend payers in the Canadian market (5.4%).
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 9 years.
Earnings Payout to Shareholders
Earnings Coverage: MAL is paying a dividend but the company is unprofitable.
Cash Payout to Shareholders
Cash Flow Coverage: With its high cash payout ratio (194.5%), MAL's dividend payments are not well covered by cash flows.
Discover strong dividend paying companies
Management
How experienced are the management team and are they aligned to shareholders interests?
5.3yrs
Average management tenure
CEO
Phil Underwood
8.17yrs
Tenure
CA$825,297
Compensation
Mr. Phillip Campion Underwood, also known as Phil, has been the President of Magellan Aerospace Corporation since May 13, 2014 and has been its Chief Executive Officer since January 1, 2015. Mr. Underwood...
CEO Compensation Analysis
Compensation vs Market: Phil's total compensation ($USD639.02K) is below average for companies of similar size in the Canadian market ($USD1.29M).
Compensation vs Earnings: Phil's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: MAL's management team is seasoned and experienced (5.3 years average tenure).
Board Members
Experienced Board: MAL's board of directors are considered experienced (8.7 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.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Magellan Aerospace Corporation's employee growth, exchange listings and data sources
Key Information
- Name: Magellan Aerospace Corporation
- Ticker: MAL
- Exchange: TSX
- Founded: 1994
- Industry: Aerospace and Defense
- Sector: Capital Goods
- Implied Market Cap: CA$433.546m
- Shares outstanding: 57.73m
- Website: https://www.magellan.aero
Number of Employees
Location
- Magellan Aerospace Corporation
- 3160 Derry Road East
- Mississauga
- Ontario
- L4T 1A9
- Canada
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/07/03 00:00 |
| End of Day Share Price | 2022/06/30 00:00 |
| Earnings | 2022/03/31 |
| Annual Earnings | 2021/12/31 |
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.