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MTS Systems

DB:MT7
Snowflake Description

Reasonable growth potential average dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
MT7
DB
$997M
Market Cap
  1. Home
  2. DE
  3. Tech
Company description

MTS Systems Corporation supplies test systems and sensors in the Americas, Europe, and Asia. The last earnings update was 77 days ago. More info.


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MT7 Share Price and Events
7 Day Returns
0.1%
DB:MT7
1.6%
DE Electronic
1.8%
DE Market
1 Year Returns
14.4%
DB:MT7
-0.2%
DE Electronic
-6%
DE Market
MT7 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
MTS Systems (MT7) 0.1% 2.1% 16.8% 14.4% -4.9% 5.1%
DE Electronic 1.6% 8.1% 19.2% -0.2% 98.5% 105%
DE Market 1.8% 6% 7.8% -6% 10.1% 15.3%
1 Year Return vs Industry and Market
  • MT7 outperformed the Electronic industry which returned -0.2% over the past year.
  • MT7 outperformed the Market in Germany which returned -6% over the past year.
Price Volatility
MT7
Industry
5yr Volatility vs Market
Related Companies

Value

 Is MTS Systems 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 MTS Systems 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 MTS Systems.

DB:MT7 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 2 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8%
Perpetual Growth Rate 10-Year DE Government Bond Rate 0.2%

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 DB:MT7
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6%
Electronic Unlevered Beta Simply Wall St/ S&P Global 1.07
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.067 (1 + (1- 21%) (46.74%))
1.309
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.31
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (1.309 * 5.96%)
8.03%

Discounted Cash Flow Calculation for DB:MT7 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for MTS Systems 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.

DB:MT7 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 8.03%)
2019 46.71 Analyst x2 43.23
2020 63.26 Analyst x2 54.21
2021 71.66 Est @ 13.27% 56.84
2022 78.37 Est @ 9.36% 57.53
2023 83.55 Est @ 6.62% 56.78
2024 87.48 Est @ 4.7% 55.03
2025 90.42 Est @ 3.36% 52.65
2026 92.61 Est @ 2.42% 49.92
2027 94.24 Est @ 1.76% 47.02
2028 95.47 Est @ 1.3% 44.09
Present value of next 10 years cash flows $517.31
DB:MT7 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $95.47 × (1 + 0.23%) ÷ (8.03% – 0.23%)
$1,226.25
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $1,226.25 ÷ (1 + 8.03%)10
$566.36
DB:MT7 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $517.31 + $566.36
$1,083.67
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $1,083.67 / 17.90
$60.53
DB:MT7 Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:MT7 represents 0.8839x of NasdaqGS:MTSC
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.8839x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (USD) x Listing Adjustment Factor
= $ 60.53 x 0.8839
€53.50
Value per share (EUR) From above. €53.50
Current discount Discount to share price of €48.65
= -1 x (€48.65 - €53.50) / €53.50
9.1%

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

Current Discount
Amount off the current price MTS Systems is available for.
Intrinsic value
9%
Share price is €48.65 vs Future cash flow value of €53.5
Current Discount Checks
For MTS Systems to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • MTS Systems's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • MTS Systems's share price is below the future cash flow value, but not 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 MTS Systems's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are MTS Systems's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:MT7 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-29) in USD $2.02
NasdaqGS:MTSC Share Price ** NasdaqGS (2019-04-18) in USD $55.04
Germany Electronic Industry PE Ratio Median Figure of 13 Publicly-Listed Electronic Companies 23.37x
Germany Market PE Ratio Median Figure of 424 Publicly-Listed Companies 19.59x

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

** Primary Listing of MTS Systems.

DB:MT7 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:MTSC Share Price ÷ EPS (both in USD)

= 55.04 ÷ 2.02

27.3x

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

  • MTS Systems is overvalued based on earnings compared to the DE Electronic industry average.
  • MTS Systems is overvalued based on earnings compared to the Germany market.
Price based on expected Growth
Does MTS Systems's expected growth come at a high price?
Raw Data
DB:MT7 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 27.3x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
27.6%per year
Germany Electronic Industry PEG Ratio Median Figure of 12 Publicly-Listed Electronic Companies 2.1x
Germany Market PEG Ratio Median Figure of 270 Publicly-Listed Companies 1.56x

*Line of best fit is calculated by linear regression .

DB:MT7 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 27.3x ÷ 27.6%

0.99x

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

  • MTS Systems is good value based on expected growth next year.
Price based on value of assets
What value do investors place on MTS Systems's assets?
Raw Data
DB:MT7 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-29) in USD $26.48
NasdaqGS:MTSC Share Price * NasdaqGS (2019-04-18) in USD $55.04
Germany Electronic Industry PB Ratio Median Figure of 19 Publicly-Listed Electronic Companies 2.57x
Germany Market PB Ratio Median Figure of 574 Publicly-Listed Companies 1.84x
DB:MT7 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:MTSC Share Price ÷ Book Value per Share (both in USD)

= 55.04 ÷ 26.48

2.08x

* Primary Listing of MTS Systems.

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

  • MTS Systems is good value based on assets compared to the DE Electronic industry average.
X
Value checks
We assess MTS Systems'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 Electronic 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 Electronic industry average (and greater than 0)? (1 check)
  5. MTS Systems has a total score of 2/6, 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 MTS Systems expected to perform in the next 1 to 3 years based on estimates from 2 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
27.6%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is MTS Systems expected to grow at an attractive rate?
  • MTS Systems's earnings growth is expected to exceed the low risk savings rate of 0.2%.
Growth vs Market Checks
  • MTS Systems's earnings growth is expected to exceed the Germany market average.
  • MTS Systems's revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:MT7 Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:MT7 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts 27.6%
DB:MT7 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts 8.2%
Germany Electronic Industry Earnings Growth Rate Market Cap Weighted Average 12.5%
Germany Electronic Industry Revenue Growth Rate Market Cap Weighted Average 7.8%
Germany Market Earnings Growth Rate Market Cap Weighted Average 11.6%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4.8%

*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
DB:MT7 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:MT7 Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-09-30 917 91 63 2
2019-09-30 861 69 49 2
DB:MT7 Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-29 787 65 39
2018-09-29 778 63 61
2018-06-30 782 71 56
2018-03-31 781 68 58
2017-12-30 783 52 57
2017-09-30 788 72 25
2017-07-01 801 75 25
2017-04-01 765 68 22
2016-12-31 709 86 17
2016-10-01 650 68 27
2016-07-02 579 74 31
2016-04-02 555 106 35
2016-01-02 562 98 43

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • MTS Systems's earnings are expected to grow significantly at over 20% yearly.
  • MTS Systems's revenue is expected to grow by 8.2% yearly, however this is not considered high growth (20% yearly).
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
DB:MT7 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from MTS Systems Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:MT7 Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-09-30 3.25 3.39 3.10 2.00
2019-09-30 2.53 2.54 2.52 2.00
DB:MT7 Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-29 2.02
2018-09-29 3.20
2018-06-30 2.93
2018-03-31 3.02
2017-12-30 2.96
2017-09-30 1.32
2017-07-01 1.32
2017-04-01 1.19
2016-12-31 1.02
2016-10-01 1.72
2016-07-02 2.07
2016-04-02 2.34
2016-01-02 2.91

*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.
  • Unable to establish if MTS Systems will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess MTS Systems'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 Germany market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Germany 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.
MTS Systems has a total score of 4/6, 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 MTS Systems 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 MTS Systems's growth in the last year to its industry (Electronic).
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.
  • MTS Systems's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • MTS Systems's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • MTS Systems's 1-year earnings growth is negative, it can't be compared to the DE Electronic industry average.
Earnings and Revenue History
MTS Systems'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 MTS Systems Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:MT7 Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-29 787.05 38.68 204.41 32.38
2018-09-29 778.03 61.33 204.99 34.26
2018-06-30 781.64 56.14 208.08 34.79
2018-03-31 780.74 57.77 207.20 34.52
2017-12-30 782.84 56.53 213.19 35.16
2017-09-30 787.96 25.08 211.51 35.00
2017-07-01 801.32 25.09 204.19 34.39
2017-04-01 765.25 21.63 190.36 32.23
2016-12-31 708.93 17.43 168.50 28.72
2016-10-01 650.15 27.49 151.34 25.33
2016-07-02 578.78 31.11 137.51 23.87
2016-04-02 554.99 34.74 133.14 23.50
2016-01-02 561.85 43.45 132.57 23.44
2015-10-03 563.93 45.46 134.41 23.71
2015-06-27 563.56 47.22 134.95 22.16
2015-03-28 575.11 50.58 136.08 22.60
2014-12-27 568.50 46.65 139.19 23.71
2014-09-27 564.33 42.01 136.71 23.84
2014-06-28 576.02 52.48 135.31 24.72
2014-03-29 565.61 49.89 134.18 24.67
2013-12-28 565.18 53.17 130.66 23.46
2013-09-28 569.44 57.81 129.17 22.81
2013-06-29 552.49 51.64 126.22 22.62
2013-03-30 559.13 49.70 127.50 21.51
2012-12-29 551.23 49.80 127.33 21.99
2012-09-29 542.26 51.56 126.04 21.89
2012-06-30 536.01 51.20 127.07 20.37

*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.
  • MTS Systems has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • MTS Systems used its assets less efficiently than the DE Electronic industry average last year based on Return on Assets.
  • MTS Systems's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess MTS Systems'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 Electronic 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.
MTS Systems has a total score of 0/6, 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 MTS Systems'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 MTS Systems's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • MTS Systems is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • MTS Systems's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of MTS Systems'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 covered by short term assets, assets are 1x 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 MTS Systems Company Filings, last reported 3 months ago.

DB:MT7 Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-29 473.34 466.05 75.33
2018-09-29 477.93 388.38 79.22
2018-06-30 472.55 391.33 73.76
2018-03-31 472.23 409.73 91.30
2017-12-30 461.58 442.05 99.10
2017-09-30 428.78 457.64 112.23
2017-07-01 419.44 459.92 105.11
2017-04-01 404.04 460.02 101.74
2016-12-31 398.22 462.46 100.22
2016-10-01 405.26 464.85 84.78
2016-07-02 406.11 26.43 172.71
2016-04-02 252.20 21.39 63.35
2016-01-02 254.00 40.94 59.29
2015-10-03 258.14 21.18 51.77
2015-06-27 253.95 36.20 53.30
2015-03-28 247.47 70.87 61.26
2014-12-27 254.16 65.00 55.35
2014-09-27 258.13 60.00 60.40
2014-06-28 252.88 65.00 56.61
2014-03-29 248.08 45.00 43.72
2013-12-28 254.20 35.00 53.49
2013-09-28 256.54 35.00 48.33
2013-06-29 253.89 10.00 53.57
2013-03-30 246.86 5.00 46.61
2012-12-29 238.76 0.07 47.92
2012-09-29 226.72 0.23 79.85
2012-06-30 249.04 40.34 145.51
  • MTS Systems's level of debt (98.5%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (13.9% vs 98.5% today).
  • Debt is not well covered by operating cash flow (13.9%, less than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 2.9x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess MTS Systems'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. MTS Systems has a total score of 1/6, 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 MTS Systems'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
2.18%
Current annual income from MTS Systems dividends.
If you bought €2,000 of MTS Systems shares you are expected to receive €44 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?
  • MTS Systems's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.43%).
  • MTS Systems's dividend is below the markets top 25% of dividend payers in Germany (3.71%).
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
DB:MT7 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 2 Analyst Estimates (S&P Global) See Below
Germany Electronic Industry Average Dividend Yield Market Cap Weighted Average of 9 Stocks 1.1%
Germany Market Average Dividend Yield Market Cap Weighted Average of 327 Stocks 3%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.8%
Germany Bottom 25% Dividend Yield 25th Percentile 1.4%
Germany Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

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

DB:MT7 Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-09-30
2019-09-30
DB:MT7 Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-02-11 1.200 2.217
2018-11-13 1.200 2.608
2018-08-03 1.200 2.301
2018-06-06 1.200 2.228
2018-02-12 1.200 2.324
2017-11-14 1.200 2.249
2017-07-31 1.200 2.361
2017-06-07 1.200 2.269
2017-02-06 1.200 2.305
2016-11-15 1.200 2.129
2016-07-28 1.200 2.544
2016-05-24 1.200 2.641
2016-02-09 1.200 2.195
2015-11-17 1.200 2.076
2015-07-21 1.200 1.940
2015-06-02 1.200 1.753
2015-02-10 1.200 1.680
2014-11-18 1.200 1.696
2014-07-22 1.200 1.763
2014-05-20 1.200 1.791
2014-02-11 1.200 1.749
2013-11-19 1.200 1.739
2013-08-01 1.200 1.905
2013-05-21 1.200 1.999
2013-02-05 1.200 2.137
2012-12-12 1.200 2.267
2012-08-21 1.200 2.357
2012-05-23 1.000 2.443
2012-02-09 1.000 2.094
2011-11-22 1.000 2.371
2011-08-25 1.000 2.904
2011-05-27 0.800 2.030
2011-02-22 0.800 1.845
2010-11-30 0.800 2.046
2010-08-12 0.600 1.938
2010-05-27 0.600 2.050
2010-02-12 0.600 2.060
2009-12-02 0.600 2.177
2009-09-02 0.600 2.144
2009-05-21 0.600 2.651
2009-04-23 0.600 2.843

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 MTS Systems's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.7x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess MTS Systems's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - 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 MTS Systems afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. MTS Systems has a total score of 4/6, 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 MTS Systems'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
Jeff Graves
COMPENSATION $2,863,436
AGE 57
TENURE AS CEO 6.9 years
CEO Bio

Dr. Jeffrey A. Graves, also known as Jeff, Ph.D., has been the President and Chief Executive Officer of MTS Systems Corporation since May 7, 2012 and a Director since 2012. Dr. Graves served as the President and Chief Executive Officer of C&D Technologies, Inc. from July 5, 2005 to May 2012. Dr. Graves previously served in various executive positions at Kemet Electronics Corporation from 2001 to 2005, including Chief Executive Officer; various leadership positions with General Electric Company's Power Systems Division and Corporate Research & Development Center from 1995 to 2001 and prior to 1995, various positions of increasing responsibility at Rockwell International Corporation and Howmet Corporation, now a part of Alcoa Corporation. Dr. Graves has been a Director of Hexcel Corporation since 2007 and FARO Technologies, Inc. since December 2017. He served as a Director of C&D Technologies, Inc. from December 23, 2010 to May 2012 and Teleflex Incorporated from 2007 to 2017. He holds BS in Metallurgical Engineering from Purdue University, MS and Ph.D. in Metallurgical Engineering from University of Wisconsin.

CEO Compensation
  • Jeff's compensation has been consistent with company performance over the past year.
  • Jeff's remuneration is higher than average for companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the MTS Systems management team in years:

2.1
Average Tenure
52
Average Age
  • The tenure for the MTS Systems management team is about average.
Management Team

Jeff Graves

TITLE
President
COMPENSATION
$3M
AGE
57
TENURE
6.9 yrs

Brian Ross

TITLE
Senior VP & CFO
COMPENSATION
$788K
AGE
42
TENURE
1.9 yrs

Bill Becker

TITLE
President of MTS Test & Simulation Sales
COMPENSATION
$535K
AGE
64

Steve Harrison

TITLE
President of MTS Test and Simulation Engineering
COMPENSATION
$607K
AGE
52

David Hore

TITLE
President of MTS Sensors
COMPENSATION
$968K
AGE
52
TENURE
2.8 yrs

Mark Losee

TITLE
Chief Information Officer & Senior VP
AGE
61
TENURE
6.6 yrs

Andy Cebulla

TITLE
Director of Investor Relations & Treasurer

Phyllis Nordstrom

TITLE
Chief Risk & Compliance Officer and Senior VP
TENURE
2.1 yrs

Todd Klemmensen

TITLE
Senior VP
AGE
45
TENURE
0.7 yrs

David Saylor

TITLE
President of MTS Test China
TENURE
1.7 yrs
Board of Directors Tenure

Average tenure and age of the MTS Systems board of directors in years:

5.8
Average Tenure
62
Average Age
  • The tenure for the MTS Systems board of directors is about average.
Board of Directors

Dave Anderson

TITLE
Chairman of the Board
COMPENSATION
$294K
AGE
71
TENURE
7.7 yrs

Jeff Graves

TITLE
President
COMPENSATION
$3M
AGE
57
TENURE
6.9 yrs

Gail Steinel

TITLE
Independent Director
COMPENSATION
$198K
AGE
61
TENURE
9.6 yrs

Dave Johnson

TITLE
Independent Director
COMPENSATION
$208K
AGE
62
TENURE
5.8 yrs

Mike Schrock

TITLE
Independent Director
COMPENSATION
$193K
AGE
65
TENURE
5.1 yrs

Kenneth Yu

TITLE
Independent Director
COMPENSATION
$178K
AGE
69
TENURE
5.8 yrs

Randy Martinez

TITLE
Independent Director
COMPENSATION
$191K
AGE
63
TENURE
5.1 yrs

Nancy Altobello

TITLE
Director
AGE
59

Linda Zukauckas

TITLE
Director
AGE
56
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
11. Dec 18 Buy Jeffrey Graves Individual 11. Dec 18 11. Dec 18 2,000 €41.33 €82,658
08. Dec 18 Buy Michael Schrock Individual 04. Dec 18 04. Dec 18 600 €43.86 €26,315
04. Dec 18 Buy Michael Schrock Individual 30. Nov 18 03. Dec 18 9,400 €45.20 €414,865
03. Dec 18 Buy Steven Harrison Individual 29. Nov 18 29. Nov 18 521 €41.65 €21,698
29. Nov 18 Buy Jeffrey Graves Individual 28. Nov 18 28. Nov 18 2,000 €40.75 €81,504
10. May 18 Buy Jeffrey Graves Individual 09. May 18 09. May 18 2,000 €41.24 €82,475
X
Management checks
We assess MTS Systems'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. MTS Systems 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

Company Info

Description

MTS Systems Corporation supplies test systems and sensors in the Americas, Europe, and Asia. The company’s Test segment offers road simulators and component test systems, vehicle performance test systems, vehicle dynamics simulators, electrical motors and energy recovery systems, tire performance and rolling resistance measurement systems, and moving ground-plane systems and balances. It also provides systems for the physical characterization of material properties; systems to test durability and performance of implants, prostheses, and other medical and dental materials and devices; products, systems, and software to perform static and fatigue testing of aircraft and space vehicles; products for blades, bearings, and wind turbines; structural engineering systems, such as static and dynamic testing; and seismic simulation tables. In addition, this segment offers installation, product life cycle management, professional training, calibration and metrology, technical consulting, and onsite and factory repair and maintenance services, as well as various accessories and spare parts. It serves automobile, truck, motorcycle, motorsports vehicles, construction and agricultural equipment, rail and off-road vehicle manufacturers, and their suppliers, as well as the power generation, aerospace, vehicles, biomedical, structural engineering, oil and gas, wind energy, and other industries. The company’s Sensors segment offers sensors for measurements of vibration, pressure, position, force, and sound; and piezoelectric sensors and components for vibration, pressure, and force measurement. It serves the automotive, aerospace, industrial, defense, and research and development markets. The company sells its products through direct sales and service organizations, and independent representatives and distributors, as well as through catalogs, Internet, etc. MTS Systems Corporation was founded in 1966 and is headquartered in Eden Prairie, Minnesota.

Details
Name: MTS Systems Corporation
MT7
Exchange: DB
Founded: 1966
$885,682,808
17,902,441
Website: http://www.mts.com
Address: MTS Systems Corporation
14000 Technology Drive,
Eden Prairie,
Minnesota, 55344,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS MTSC Common Stock Nasdaq Global Select US USD 02. Jan 1969
DB MT7 Common Stock Deutsche Boerse AG DE EUR 02. Jan 1969
OTCPK MTSC.U TANGBLE EQT UT Pink Sheets LLC US USD 10. Jun 2016
Number of employees
Current staff
Staff numbers
3,400
MTS Systems employees.
Industry
Electronic Equipment and Instruments
Tech
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/22 21:40
End of day share price update: 2019/04/18 00:00
Last estimates confirmation: 2019/03/18
Last earnings filing: 2019/02/04
Last earnings reported: 2018/12/29
Last annual earnings reported: 2018/09/29


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.