DB:M05

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Malibu Boats, Inc. designs, manufactures, distributes, markets, and sells recreational powerboats.


Snowflake Analysis

Solid track record with mediocre balance sheet.


Similar Companies

Share Price & News

How has Malibu Boats's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: M05's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

0%

M05

-0.8%

DE Leisure

0.7%

DE Market


1 Year Return

38.7%

M05

3.4%

DE Leisure

3.9%

DE Market

Return vs Industry: M05 exceeded the German Leisure industry which returned 3.5% over the past year.

Return vs Market: M05 exceeded the German Market which returned 3.9% over the past year.


Shareholder returns

M05IndustryMarket
7 Day0%-0.8%0.7%
30 Day3.7%5.1%5.3%
90 Day113.2%36.2%17.3%
1 Year38.7%38.7%5.1%3.4%6.2%3.9%
3 Year81.0%81.0%38.1%28.8%1.8%-6.2%
5 Year136.9%136.9%86.8%63.1%9.3%-5.4%

Price Volatility Vs. Market

How volatile is Malibu Boats's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Malibu Boats undervalued compared to its fair value and its price relative to the market?

14.03x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: M05 (€45.2) is trading above our estimate of fair value (€36.56)

Significantly Below Fair Value: M05 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: M05 is good value based on its PE Ratio (14x) compared to the XE Leisure industry average (14.5x).

PE vs Market: M05 is good value based on its PE Ratio (14x) compared to the German market (21x).


Price to Earnings Growth Ratio

PEG Ratio: M05 is poor value based on its PEG Ratio (1.4x)


Price to Book Ratio

PB vs Industry: M05 is overvalued based on its PB Ratio (4.2x) compared to the XE Leisure industry average (2x).


Next Steps

Future Growth

How is Malibu Boats forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

10.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: M05's forecast earnings growth (10% per year) is above the savings rate (0.2%).

Earnings vs Market: M05's earnings (10% per year) are forecast to grow slower than the German market (22.4% per year).

High Growth Earnings: M05's earnings are forecast to grow, but not significantly.

Revenue vs Market: M05's revenue (4.6% per year) is forecast to grow slower than the German market (5.9% per year).

High Growth Revenue: M05's revenue (4.6% 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 M05's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Malibu Boats performed over the past 5 years?

37.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: M05 has high quality earnings.

Growing Profit Margin: M05's current net profit margins (10.3%) are higher than last year (9.4%).


Past Earnings Growth Analysis

Earnings Trend: M05's earnings have grown significantly by 37.9% per year over the past 5 years.

Accelerating Growth: M05's earnings growth over the past year (26.4%) is below its 5-year average (37.9% per year).

Earnings vs Industry: M05 earnings growth over the past year (26.4%) exceeded the Leisure industry -1.6%.


Return on Equity

High ROE: M05's Return on Equity (31.2%) is considered high.


Next Steps

Financial Health

How is Malibu Boats's financial position?


Financial Position Analysis

Short Term Liabilities: M05's short term assets ($250.8M) exceed its short term liabilities ($88.6M).

Long Term Liabilities: M05's short term assets ($250.8M) do not cover its long term liabilities ($257.7M).


Debt to Equity History and Analysis

Debt Level: M05's debt to equity ratio (76.4%) is considered high.

Reducing Debt: M05's debt to equity ratio has increased from 24.5% to 76.4% over the past 5 years.

Debt Coverage: M05's debt is well covered by operating cash flow (56.7%).

Interest Coverage: M05's interest payments on its debt are well covered by EBIT (22.1x coverage).


Balance Sheet


Next Steps

Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate M05's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate M05'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 M05's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if M05's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of M05's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

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

6.8yrs

Average management tenure


CEO

Jack Springer (59yo)

10.42yrs

Tenure

US$2,998,042

Compensation

Mr. Jack D. Springer has been the Chief Executive Officer of Malibu Boats, Inc. since February 2010. Mr. Springer served as an Interim Chief Executive Officer at Malibu Boats, Inc. since May 2009. Mr. Spri ...


CEO Compensation Analysis

Compensation vs Market: Jack's total compensation ($USD3.00M) is above average for companies of similar size in the German market ($USD1.43M).

Compensation vs Earnings: Jack's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Jack Springer
CEO & Director10.42yrsUS$3.00m0.65% $6.2m
Wayne Wilson
CFO & Secretary10.67yrsUS$1.42m0.21% $2.0m
Ritchie Anderson
Chief Operating Officer6.83yrsUS$1.42m0.11% $1.0m
Deborah Kent
Vice President of Human Resources6.83yrsUS$285.83k0.015% $143.0k
Greg Ward
Vice President of Information Systems and Technology3.75yrsno datano data
Zac Lemons
Investor Relations officerno datano datano data
Eric Bondy
Vice President of Sales4.08yrsno datano data
Chip Smith
Vice President of Marketing1.25yrsno datano data
Danny Gasper
Vice President of Product Design6.83yrsUS$165.70k0.0049% $46.4k

6.8yrs

Average Tenure

56yo

Average Age

Experienced Management: M05's management team is seasoned and experienced (6.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jack Springer
CEO & Director10.42yrsUS$3.00m0.65% $6.2m
Peter Murphy
Independent Director6.42yrsUS$154.99kno data
Ivar Chhina
Independent Director6.42yrsUS$154.99kno data
John Stokely
Independent Director6.42yrsUS$139.99kno data
Mark Lanigan
Independent Director6.42yrsUS$139.99k0.20% $1.9m
James Buch
Independent Director6.42yrsUS$139.99kno data
Michael Connolly
Independent Director6.42yrsUS$144.99k0.20% $1.9m
Michael Hooks
Independent Chairmanno dataUS$159.99k0.20% $1.9m
Joan Lewis
Independent Director1yrno data0.014% $133.2k

6.4yrs

Average Tenure

57yo

Average Age

Experienced Board: M05's board of directors are considered experienced (6.4 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: M05 insiders have only sold shares 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

Malibu Boats, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Malibu Boats, Inc.
  • Ticker: M05
  • Exchange: DB
  • Founded: 1982
  • Industry: Leisure Products
  • Sector: Consumer Durables
  • Implied Market Cap: US$1.078b
  • Market Cap: US$918.001m
  • Listing Market Cap: US$953.275m
  • Shares outstanding: 21.33m
  • Website: https://www.malibuboats.com

Number of Employees


Location

  • Malibu Boats, Inc.
  • 5075 Kimberly Way
  • Loudon
  • Tennessee
  • 37774
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MBUUNasdaqGM (Nasdaq Global Market)YesClass A Common StockUSUSDJan 2014
M05DB (Deutsche Boerse AG)YesClass A Common StockDEEURJan 2014

Biography

Malibu Boats, Inc. designs, manufactures, distributes, markets, and sells recreational powerboats. The company offers performance sport boats, and sterndrive and outboard boats under the Malibu, Axis, Cobalt, and Pursuit brands. Its products are used for a range of recreational boating activities, including water sports, such as water skiing, wakeboarding, and wake surfing, as well as general recreational boating and fishing. It operates through a network of independent dealers in Europe, Asia, the Middle East, South America, South Africa, and Australia/New Zealand. The company was founded in 1982 and is based in Loudon, Tennessee. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/11 21:44
End of Day Share Price2020/07/10 00:00
Earnings2020/03/31
Annual Earnings2019/06/30


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.