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Methanex

TSX:MX
Snowflake Description

Solid track record established dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
MX
TSX
CA$5B
Market Cap
  1. Home
  2. CA
  3. Materials
Company description

Methanex Corporation produces and supplies methanol in North America, the Asia Pacific, Europe, and South America. The last earnings update was 22 days ago. More info.


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  • Methanex has significant price volatility in the past 3 months.
MX Share Price and Events
7 Day Returns
-2.2%
TSX:MX
-3.3%
CA Chemicals
-1.6%
CA Market
1 Year Returns
-28.3%
TSX:MX
-4.9%
CA Chemicals
-2.4%
CA Market
MX Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Methanex (MX) -2.2% -16% -14.1% -28.3% 63.5% 2.7%
CA Chemicals -3.3% -5% -7.2% -4.9% 38.3% -16.5%
CA Market -1.6% -2.3% 2.5% -2.4% 11.9% 4.6%
1 Year Return vs Industry and Market
  • MX underperformed the Chemicals industry which returned -4.9% over the past year.
  • MX underperformed the Market in Canada which returned -2.4% over the past year.
Price Volatility
MX
Industry
5yr Volatility vs Market

Value

 Is Methanex undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Methanex to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Methanex.

TSX:MX Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 8 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 11.1%
Perpetual Growth Rate 10-Year CA Government Bond Rate 1.9%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for TSX:MX
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year CA Govt Bond Rate 1.9%
Equity Risk Premium S&P Global 6%
Chemicals Unlevered Beta Simply Wall St/ S&P Global 1.28
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.277 (1 + (1- 26.5%) (56.19%))
1.539
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.54
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.95% + (1.539 * 5.96%)
11.12%

Discounted Cash Flow Calculation for TSX:MX using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Methanex is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

TSX:MX DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 11.12%)
2019 504.00 Analyst x6 453.57
2020 639.86 Analyst x7 518.22
2021 676.00 Analyst x2 492.71
2022 745.00 Analyst x1 488.68
2023 755.00 Analyst x1 445.69
2024 766.46 Est @ 1.52% 407.18
2025 779.08 Est @ 1.65% 372.48
2026 792.61 Est @ 1.74% 341.03
2027 806.88 Est @ 1.8% 312.43
2028 821.76 Est @ 1.84% 286.36
Present value of next 10 years cash flows $4,118.35
TSX:MX DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $821.76 × (1 + 1.95%) ÷ (11.12% – 1.95%)
$9,135.04
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $9,135.04 ÷ (1 + 11.12%)10
$3,183.27
TSX:MX Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $4,118.35 + $3,183.27
$7,301.61
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $7,301.61 / 77.01
$94.82
TSX:MX Discount to Share Price
Calculation Result
Exchange Rate USD/CAD
(Reporting currency to currency of TSX:MX)
1.344
Value per Share
(CAD)
= Value per Share in USD x Exchange Rate (USD/CAD)
= $94.82 x 1.344
CA$127.42
Value per share (CAD) From above. CA$127.42
Current discount Discount to share price of CA$65.08
= -1 x (CA$65.08 - CA$127.42) / CA$127.42
48.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Methanex is available for.
Intrinsic value
49%
Share price is CA$65.08 vs Future cash flow value of CA$127.42
Current Discount Checks
For Methanex to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Methanex's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Methanex's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Methanex's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Methanex's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
TSX:MX PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $5.56
TSX:MX Share Price ** TSX (2019-05-15) in CAD CA$65.08
TSX:MX Share Price converted to USD reporting currency Exchange rate (CAD/ USD) 0.744 $48.43
Canada Chemicals Industry PE Ratio Median Figure of 7 Publicly-Listed Chemicals Companies 10.42x
Canada Market PE Ratio Median Figure of 549 Publicly-Listed Companies 14.56x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Methanex.

TSX:MX PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSX:MX Share Price ÷ EPS (both in USD)

= 48.43 ÷ 5.56

8.71x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Methanex is good value based on earnings compared to the CA Chemicals industry average.
  • Methanex is good value based on earnings compared to the Canada market.
Price based on expected Growth
Does Methanex's expected growth come at a high price?
Raw Data
TSX:MX PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 8.71x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts
-13.9%per year
Canada Chemicals Industry PEG Ratio Median Figure of 5 Publicly-Listed Chemicals Companies 0.73x
Canada Market PEG Ratio Median Figure of 250 Publicly-Listed Companies 1.26x

*Line of best fit is calculated by linear regression .

TSX:MX PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 8.71x ÷ -13.9%

-0.63x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Methanex earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Methanex's assets?
Raw Data
TSX:MX PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $19.27
TSX:MX Share Price * TSX (2019-05-15) in CAD CA$65.08
TSX:MX Share Price converted to USD reporting currency Exchange rate (CAD/ USD) 0.744 $48.43
Canada Chemicals Industry PB Ratio Median Figure of 31 Publicly-Listed Chemicals Companies 1.31x
Canada Market PB Ratio Median Figure of 2,405 Publicly-Listed Companies 1.42x
TSX:MX PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSX:MX Share Price ÷ Book Value per Share (both in USD)

= 48.43 ÷ 19.27

2.51x

* Primary Listing of Methanex.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Methanex is overvalued based on assets compared to the CA Chemicals industry average.
X
Value checks
We assess Methanex's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Chemicals industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Chemicals industry average (and greater than 0)? (1 check)
  5. Methanex has a total score of 4/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Methanex expected to perform in the next 1 to 3 years based on estimates from 8 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-13.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Methanex expected to grow at an attractive rate?
  • Methanex's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 1.9%.
Growth vs Market Checks
  • Methanex's earnings are expected to decrease over the next 1-3 years, this is below the Canada market average.
  • Methanex's revenues are expected to decrease over the next 1-3 years, this is below the Canada market average.
Annual Growth Rates Comparison
Raw Data
TSX:MX Future Growth Rates Data Sources
Data Point Source Value (per year)
TSX:MX Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts -13.9%
TSX:MX Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 8 Analysts -0%
Canada Chemicals Industry Earnings Growth Rate Market Cap Weighted Average 15.3%
Canada Chemicals Industry Revenue Growth Rate Market Cap Weighted Average 2.5%
Canada Market Earnings Growth Rate Market Cap Weighted Average 14.8%
Canada Market Revenue Growth Rate Market Cap Weighted Average 6.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
TSX:MX Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
TSX:MX Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 3,229 736 202 3
2020-12-31 3,488 835 378 8
2019-12-31 3,238 740 295 8
TSX:MX Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 3,703 949 439
2018-12-31 3,932 980 569
2018-09-30 3,817 968 476
2018-06-30 3,493 857 380
2018-03-31 3,212 811 353
2017-12-31 3,061 780 316
2017-09-30 2,785 623 273
2017-06-30 2,575 580 229
2017-03-31 2,374 371 142
2016-12-31 1,998 227 -13
2016-09-30 1,897 222 -28
2016-06-30 1,914 282 61

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Methanex's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Methanex's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
TSX:MX Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below

All data from Methanex Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:MX Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 2.85 2.85 2.85 1.00
2020-12-31 4.56 5.94 3.17 2.00
2019-12-31 2.26 2.26 2.26 1.00
TSX:MX Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 5.56
2018-12-31 7.07
2018-09-30 5.80
2018-06-30 4.54
2018-03-31 4.14
2017-12-31 3.64
2017-09-30 3.09
2017-06-30 2.57
2017-03-31 1.59
2016-12-31 -0.14
2016-09-30 -0.31
2016-06-30 0.68

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Methanex is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Methanex's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Canada market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Canada market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Methanex has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Methanex performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Methanex's growth in the last year to its industry (Chemicals).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Methanex's year on year earnings growth rate has been positive over the past 5 years.
  • Methanex's 1-year earnings growth exceeds its 5-year average (24.2% vs 1.3%)
  • Methanex's earnings growth has exceeded the CA Chemicals industry average in the past year (24.2% vs -10.5%).
Earnings and Revenue History
Methanex's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Methanex Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:MX Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 3,702.72 438.76
2018-12-31 3,931.85 568.98
2018-09-30 3,816.73 476.15
2018-06-30 3,492.90 380.47
2018-03-31 3,212.12 353.25
2017-12-31 3,060.64 316.14
2017-09-30 2,784.80 272.94
2017-06-30 2,575.20 229.45
2017-03-31 2,373.93 142.42
2016-12-31 1,998.43 -12.55
2016-09-30 1,896.90 -28.08
2016-06-30 1,913.81 61.11
2016-03-31 2,083.72 168.57
2015-12-31 2,225.60 200.62
2015-09-30 2,475.04 324.45
2015-06-30 2,678.15 297.96
2015-03-31 2,831.66 318.16
2014-12-31 3,223.40 454.61
2014-09-30 3,370.80 449.26
2014-06-30 3,398.84 484.79
2014-03-31 3,340.63 414.00
2013-12-31 3,024.05 329.17
2013-09-30 2,810.55 61.52
2013-06-30 2,660.34 -28.16
2013-03-31 2,541.03 -29.92
2012-12-31 2,542.66 -68.11
2012-09-30 2,571.76 135.62
2012-06-30 2,633.52 200.51

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Whilst Methanex has efficiently used shareholders’ funds last year (Return on Equity greater than 20%), this is metric is skewed due to its high level of debt.
  • Methanex used its assets more efficiently than the CA Chemicals industry average last year based on Return on Assets.
  • Methanex has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Methanex's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Chemicals industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Methanex has a total score of 5/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Methanex's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Methanex's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Methanex is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Methanex's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Methanex's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.6x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Methanex Company Filings, last reported 1 month ago.

TSX:MX Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 1,783.06 2,095.59 285.11
2018-12-31 1,807.84 1,656.66 256.08
2018-09-30 1,748.58 1,458.93 260.69
2018-06-30 1,748.04 1,499.47 320.25
2018-03-31 1,871.63 1,500.65 371.04
2017-12-31 1,745.11 1,502.27 375.48
2017-09-30 1,750.58 1,506.61 307.46
2017-06-30 1,833.59 1,531.15 361.33
2017-03-31 1,879.88 1,532.48 315.13
2016-12-31 1,805.35 1,556.21 223.89
2016-09-30 1,809.06 1,557.64 233.68
2016-06-30 1,873.39 1,554.08 238.97
2016-03-31 1,896.54 1,519.20 275.01
2015-12-31 1,968.57 1,535.89 254.93
2015-09-30 2,003.85 1,531.48 426.71
2015-06-30 2,003.77 1,552.05 484.71
2015-03-31 1,994.28 1,552.17 626.72
2014-12-31 2,053.22 1,728.51 951.60
2014-09-30 2,010.45 1,130.29 475.30
2014-06-30 2,063.18 1,162.88 647.48
2014-03-31 2,046.17 1,162.77 709.21
2013-12-31 1,905.33 1,195.34 732.74
2013-09-30 1,668.18 1,187.75 686.24
2013-06-30 1,586.44 1,212.57 708.51
2013-03-31 1,537.59 1,212.79 726.85
2012-12-31 1,477.74 1,238.06 727.39
2012-09-30 1,627.23 998.36 403.07
2012-06-30 1,668.14 1,222.04 623.21
  • Methanex's level of debt (117.5%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (56.8% vs 117.5% today).
  • Debt is well covered by operating cash flow (45.3%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 6.7x coverage).
X
Financial health checks
We assess Methanex's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Methanex has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Methanex's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.97%
Current annual income from Methanex dividends. Estimated to be 3.07% next year.
If you bought CA$2,000 of Methanex shares you are expected to receive CA$59 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Methanex's pays a higher dividend yield than the bottom 25% of dividend payers in Canada (2.05%).
  • Methanex's dividend is below the markets top 25% of dividend payers in Canada (5.75%).
Upcoming dividend payment

Purchase Methanex before the 'Buy Limit' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
TSX:MX Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below
North America Chemicals Industry Average Dividend Yield Market Cap Weighted Average of 58 Stocks 2.4%
Canada Market Average Dividend Yield Market Cap Weighted Average of 332 Stocks 3.6%
Canada Minimum Threshold Dividend Yield 10th Percentile 1.2%
Canada Bottom 25% Dividend Yield 25th Percentile 2.1%
Canada Top 25% Dividend Yield 75th Percentile 5.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

TSX:MX Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 1.56 4.00
2020-12-31 1.51 7.00
2019-12-31 1.42 6.00
TSX:MX Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-04-24 1.440 2.788
2019-01-31 1.320 2.300
2018-11-13 1.320 2.434
2018-07-19 1.320 1.836
2018-04-25 1.320 1.933
2018-01-31 1.320 2.217
2017-11-15 1.200 2.103
2017-07-20 1.200 2.467
2017-04-28 1.200 2.798
2017-04-26 1.200 2.631
2017-01-26 1.100 2.292
2016-11-17 1.100 2.491
2016-07-14 1.100 3.440
2016-04-27 1.100 3.555
2016-01-28 1.100 3.545
2015-11-19 1.100 3.482
2015-07-16 1.100 2.727
2015-04-29 1.100 1.989
2015-01-29 1.000 1.884
2014-11-27 1.000 2.140
2014-07-17 1.000 1.593
2014-04-29 1.000 1.645
2014-01-31 0.800 1.233
2013-11-27 0.800 1.373
2013-07-18 0.800 1.542
2013-04-25 0.800 1.832
2013-01-31 0.740 1.956
2012-11-28 0.740 2.294
2012-07-12 0.740 2.554
2012-04-26 0.740 2.519
2012-03-02 0.680 2.125
2011-11-18 0.680 2.654
2011-07-14 0.680 2.754
2011-04-28 0.680 2.215
2011-03-04 0.620 2.015
2010-11-24 0.620 2.106
2010-07-15 0.620 2.538
2010-04-29 0.620 2.942
2010-03-05 0.620 2.495
2009-11-20 0.620 2.899
2009-07-17 0.620 3.547

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Methanex's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (4.2x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (4.2x coverage).
X
Income/ dividend checks
We assess Methanex's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.2%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Methanex afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Methanex has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Methanex's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
John Floren
COMPENSATION $8,852,403
AGE 59
TENURE AS CEO 6.3 years
CEO Bio

Mr. John N. Floren has been the Chief Executive Officer and President of Methanex Corporation since January 1, 2013. Mr. Floren served as a Senior Vice President of Global Marketing and Logistics at Methanex Corp. from June 2005 to January 1, 2013. He has been an Employee of Methanex for approximately 18 years and as worked in the chemical industry for over 30 years. Prior thereto, Mr. Floren served as a Director of Marketing & Logistics, North America at Methanex Corp. since May 2002. He served as a Director of E-Commerce for Methanex Corp. since June 2000. He has been a Director of West Fraser Timber Co. Ltd. since April 19, 2016. He has been a Director at Methanex Corporation since January 2013. He also attended the Harvard Business School's Program for Management Development and has attended the International Executive Program at NSEAD. He completed the Directors Education Program at the Institute of Corporate Directors. Mr. Floren holds a Bachelor of Arts in Economics from the University of Manitoba.

CEO Compensation
  • John's compensation has increased by more than 20% in the past year.
  • John's remuneration is higher than average for companies of similar size in Canada.
Management Team Tenure

Average tenure of the Methanex management team in years:

6.3
Average Tenure
  • The average tenure for the Methanex management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

John Floren

TITLE
President
COMPENSATION
$9M
AGE
59
TENURE
6.3 yrs

Ian Cameron

TITLE
Senior VP of Finance & CFO
COMPENSATION
$3M
TENURE
16.3 yrs

Mike Herz

TITLE
Senior Vice President of Corporate Development
COMPENSATION
$2M
TENURE
6.3 yrs

Vanessa James

TITLE
Senior Vice President of Global Marketing & Logistics
COMPENSATION
$2M
TENURE
6.3 yrs

Kevin Henderson

TITLE
Senior Vice President of Manufacturing
COMPENSATION
$2M
TENURE
3 yrs

Kim Campbell

TITLE
Manager of Investor Relations

Kevin Price

TITLE
General Counsel & Corporate Secretary

Brad Boyd

TITLE
Senior Vice President of Corporate Resources
TENURE
1.3 yrs
Board of Directors Tenure

Average tenure and age of the Methanex board of directors in years:

5.2
Average Tenure
61.5
Average Age
  • The tenure for the Methanex board of directors is about average.
Board of Directors

Doug Arnell

TITLE
Chair of the Board
COMPENSATION
$274K
AGE
52
TENURE
0.1 yrs

John Floren

TITLE
President
COMPENSATION
$9M
AGE
59
TENURE
6.3 yrs

Janice Rennie

TITLE
Independent Director
COMPENSATION
$255K
AGE
61
TENURE
13 yrs

Phil Cook

TITLE
Independent Director
COMPENSATION
$251K
AGE
71
TENURE
13 yrs

Bob Kostelnik

TITLE
Independent Director
COMPENSATION
$251K
AGE
66
TENURE
10.7 yrs

Benita Warmbold

TITLE
Independent Director
COMPENSATION
$267K
AGE
59
TENURE
3.3 yrs

Bruce Aitken

TITLE
Independent Director
COMPENSATION
$230K
AGE
63
TENURE
14.8 yrs

Maggi Walker

TITLE
Independent Director
COMPENSATION
$238K
AGE
65
TENURE
4.1 yrs

Maureen Howe

TITLE
Independent Director
COMPENSATION
$61K
AGE
60
TENURE
0.9 yrs

Jim Bertram

TITLE
Director
COMPENSATION
$25K
AGE
62
TENURE
0.6 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Methanex insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (CA$) Value (CA$)
08. May 19 Sell Margaret Walker Individual 07. May 19 07. May 19 -3,076 CA$67.69 CA$-208,220
26. Apr 19 Buy James Bertram Individual 26. Apr 19 26. Apr 19 2,100 CA$73.95 CA$155,303
18. Mar 19 Sell M&G Investment Management Limited Company 05. Feb 19 06. Mar 19 -181,756 CA$81.68 CA$-13,315,548
18. Mar 19 Buy M&G Investment Management Limited Company 06. Feb 19 06. Feb 19 130,000 CA$71.58 CA$9,306,030
28. Feb 19 Buy Margaret Walker Individual 28. Feb 19 28. Feb 19 1,500 CA$74.83 CA$112,152
27. Feb 19 Buy Douglas Arnell Individual 27. Feb 19 27. Feb 19 120 CA$74.60 CA$8,952
31. Jan 19 Sell M&G Investment Management Limited Company 29. Jan 19 29. Jan 19 -1,545,994 CA$75.70 CA$-117,036,256
31. Jan 19 Buy M&G Investment Management Limited Company 29. Jan 19 29. Jan 19 1,545,994 CA$75.70 CA$117,036,256
31. Jan 19 Sell M&G Investment Management Limited Company 13. Dec 18 24. Jan 19 -61,297 CA$73.80 CA$-4,465,914
31. Jan 19 Buy M&G Investment Management Limited Company 21. Dec 18 22. Jan 19 151,674 CA$73.73 CA$10,233,340
04. Feb 19 Buy James Bertram Individual 04. Feb 19 04. Feb 19 2,600 CA$55.62 CA$144,622
13. Dec 18 Buy Silke Daoust Individual 26. Nov 18 26. Nov 18 1,350 CA$74.64 CA$100,764
12. Dec 18 Sell M&G Investment Management Limited Company 02. Oct 18 07. Dec 18 -4,646,202 CA$109.50 CA$-508,777,478
12. Dec 18 Buy M&G Investment Management Limited Company 22. Oct 18 07. Dec 18 4,511,898 CA$96.15 CA$433,808,068
02. Oct 18 Sell M&G Investment Management Limited Company 29. Jun 18 01. Oct 18 -1,351,865 CA$102.68 CA$-138,813,249
02. Oct 18 Buy M&G Investment Management Limited Company 02. Aug 18 18. Sep 18 43,077 CA$99.27 CA$4,276,236
28. Sep 18 Sell Rudinauth Chadee Individual 24. Sep 18 26. Sep 18 -4,713 CA$102.17 CA$-478,529
13. Sep 18 Sell Mohamed Shindy Individual 13. Sep 18 13. Sep 18 -2,000 CA$100.84 CA$-201,688
30. Aug 18 Sell Bruce Aitken Individual 29. Aug 18 29. Aug 18 -21,100 CA$97.75 CA$-2,062,525
29. Aug 18 Sell Dean Richardson Individual 28. Aug 18 28. Aug 18 -2,400 CA$98.42 CA$-236,208
24. Aug 18 Sell John Floren Individual 24. Aug 18 24. Aug 18 -10,000 CA$97.00 CA$-970,000
22. Aug 18 Sell Nojan Abrary Individual 22. Aug 18 22. Aug 18 -11,000 CA$97.13 CA$-1,068,430
07. Aug 18 Sell Mohamed Shindy Individual 07. Aug 18 07. Aug 18 -400 CA$95.01 CA$-38,005
31. Jul 18 Sell Kevin Price Individual 30. Jul 18 30. Jul 18 -1,251 CA$90.10 CA$-112,362
29. Jun 18 Sell M&G Investment Management Limited Company 16. May 18 28. Jun 18 -1,041,777 CA$94.91 CA$-98,870,317
05. Jun 18 Sell Paul Daoust Individual 31. May 18 31. May 18 -11,110 CA$90.00 CA$-999,900
X
Management checks
We assess Methanex's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Methanex has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Are Investors Undervaluing Methanex Corporation (TSE:MX) By 46%?

by estimating the company's future cash flows and discounting them to their present value. … I will be using the Discounted Cash Flow (DCF) model! … We generally believe that a company's value is the present value of all of the cash it will generate in the future.

Simply Wall St -

Should You Be Concerned About Methanex Corporation's (TSE:MX) Historical Volatility?

Beta is a widely used metric to measure a stock's exposure to market risk (volatility). … A stock with a beta below one is either less volatile than the market, or more volatile but not corellated with the overall market. … In comparison a stock with a beta of over one tends to be move in a similar direction to the market in the long term, but with greater changes in price.

Simply Wall St -

A Spotlight On Methanex Corporation's (TSE:MX) Fundamentals

Attractive stocks have exceptional fundamentals. … In the case of Methanex Corporation (TSE:MX), there's … dividend-paying company

Simply Wall St -

Why You Should Like Methanex Corporation’s (TSE:MX) ROCE

Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … Understanding Return On Capital Employed (ROCE). … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.

Simply Wall St -

What Kind Of Shareholder Owns Most Methanex Corporation (TSE:MX) Stock?

Institutions often own shares in more established companies, while it's not unusual to see insiders own a fair bit of smaller companies. … We also tend to see lower insider ownership in companies that were previously publicly owned. … Taking a look at our data on the ownership groups (below), it's seems that.

Simply Wall St -

Is Methanex Corporation's (TSE:MX) Balance Sheet Strong Enough To Weather A Storm?

While small-cap stocks, such as Methanex Corporation (TSE:MX) with its market cap of CA$6.0b, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn. … Assessing first and foremost the financial health is. … We'll look at some basic checks that can form a snapshot the company’s financial strength.

Simply Wall St -

Why Methanex Corporation's (TSE:MX) CEO Pay Matters To You

This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. … Our data indicates that Methanex Corporation is worth CA$5.8b, and total annual CEO compensation is US$7.0m. … While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at US$1.0m.

Simply Wall St -

If You Had Bought Methanex Stock Three Years Ago, You Could Pocket A 66% Gain Today

For example, the Methanex Corporation (TSE:MX) share price is up 66% in the last three years, clearly besting than the market return of around 18% (not including dividends). … One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). … During three years of share price growth, Methanex achieved compound earnings per share growth of 47% per year.

Simply Wall St -

Is Methanex Corporation (TSE:MX) Potentially Undervalued?

saw a double-digit share price rise of over 10% in the past couple of months on the TSX. … With many analysts covering the mid-cap stock, we may expect any price-sensitive announcements have already been factored into the stock’s share price? … However, what if the stock is still a bargain

Simply Wall St -

Have Insiders Been Selling Methanex Corporation (TSE:MX) Shares This Year?

So we'll take a look at whether insiders have been buying or selling shares in Methanex Corporation (TSE:MX). … As Peter Lynch said, 'insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise.'. … In the last twelve months, the biggest single sale by an insider was when Independent Director Bruce Aitken sold CA$2.1m worth of shares at a price of CA$97.75 per share

Simply Wall St -

Company Info

Description

Methanex Corporation produces and supplies methanol in North America, the Asia Pacific, Europe, and South America. It also purchases methanol produced by others under methanol offtake contracts and on the spot market. The company was founded in 1968 and is headquartered in Vancouver, Canada.

Details
Name: Methanex Corporation
MX
Exchange: TSX
Founded: 1968
CA$5,011,555,686
77,006,080
Website: http://www.methanex.com
Address: Methanex Corporation
1800 Waterfront Centre,
200 Burrard Street,
Vancouver,
British Columbia, V6C 3M1,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSX MX Common Shares The Toronto Stock Exchange CA CAD 17. Sep 1991
NasdaqGS MEOH Common Shares Nasdaq Global Select US USD 17. Sep 1991
DB MX5 Common Shares Deutsche Boerse AG DE EUR 17. Sep 1991
BMV MEOH N Common Shares Bolsa Mexicana de Valores MX MXN 17. Sep 1991
Number of employees
Current staff
Staff numbers
1,426
Methanex employees.
Industry
Commodity Chemicals
Materials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/16 01:26
End of day share price update: 2019/05/15 00:00
Last estimates confirmation: 2019/05/14
Last earnings filing: 2019/04/24
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.