AIM:MPAC

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Mpac Group plc provides packaging and automation solutions to healthcare, pharmaceutical, and food and beverage sector worldwide. More Details


Snowflake Analysis

Flawless balance sheet and undervalued.

Share Price & News

How has Mpac Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

0.8%

MPAC

2.1%

GB Machinery

1.2%

GB Market


1 Year Return

56.3%

MPAC

4.3%

GB Machinery

-13.2%

GB Market

Return vs Industry: MPAC exceeded the UK Machinery industry which returned 4.3% over the past year.

Return vs Market: MPAC exceeded the UK Market which returned -13.2% over the past year.


Shareholder returns

MPACIndustryMarket
7 Day0.8%2.1%1.2%
30 Day10.5%-0.04%-0.2%
90 Day37.0%10.3%-1.1%
1 Year56.3%56.3%6.0%4.3%-9.8%-13.2%
3 Year117.2%117.2%16.8%8.9%-3.4%-15.1%
5 Year355.0%331.5%90.9%66.8%25.3%-2.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Mpac Group undervalued compared to its fair value and its price relative to the market?

6.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MPAC (£3.15) is trading below our estimate of fair value (£3.36)

Significantly Below Fair Value: MPAC is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: MPAC is good value based on its PE Ratio (14x) compared to the GB Machinery industry average (22.8x).

PE vs Market: MPAC is good value based on its PE Ratio (14x) compared to the UK market (17.3x).


Price to Earnings Growth Ratio

PEG Ratio: MPAC is good value based on its PEG Ratio (0.7x)


Price to Book Ratio

PB vs Industry: MPAC is good value based on its PB Ratio (1.3x) compared to the GB Machinery industry average (1.5x).


Next Steps

Future Growth

How is Mpac Group forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

19.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MPAC's forecast earnings growth (19.7% per year) is above the savings rate (1.2%).

Earnings vs Market: MPAC's earnings (19.7% per year) are forecast to grow slower than the UK market (23.7% per year).

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

Revenue vs Market: MPAC's revenue (4.3% per year) is forecast to grow slower than the UK market (6.2% per year).

High Growth Revenue: MPAC's revenue (4.3% 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 MPAC's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Mpac Group performed over the past 5 years?

8.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MPAC has high quality earnings.

Growing Profit Margin: MPAC became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: MPAC's earnings have grown by 8% per year over the past 5 years.

Accelerating Growth: MPAC has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: MPAC has become profitable in the last year, making it difficult to compare its past year earnings growth to the Machinery industry (-13%).


Return on Equity

High ROE: MPAC's Return on Equity (9%) is considered low.


Next Steps

Financial Health

How is Mpac Group's financial position?


Financial Position Analysis

Short Term Liabilities: MPAC's short term assets (£52.4M) exceed its short term liabilities (£34.8M).

Long Term Liabilities: MPAC's short term assets (£52.4M) exceed its long term liabilities (£22.6M).


Debt to Equity History and Analysis

Debt Level: MPAC's debt to equity ratio (1.8%) is considered satisfactory.

Reducing Debt: MPAC's debt to equity ratio has reduced from 34.8% to 1.8% over the past 5 years.

Debt Coverage: MPAC's debt is well covered by operating cash flow (1822.2%).

Interest Coverage: MPAC's interest payments on its debt are well covered by EBIT (14.7x coverage).


Balance Sheet


Next Steps

Dividend

What is Mpac Group current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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


Current Payout to Shareholders

Dividend Coverage: MPAC is not paying a notable dividend for the UK market.


Future Payout to Shareholders

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


Next Steps

Management

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

2.3yrs

Average management tenure


CEO

Tony Steels

4.25yrs

Tenure

UK£671,000

Compensation

Dr. Antony Steels also known as Tony, has been Chief Executive Officer and Director of Mpac Group plc since June 6, 2016. Dr. Steels served as Managing Director of Process Materials at UMECO plc since May ...


CEO Compensation Analysis

Compensation vs Market: Tony's total compensation ($USD871.98K) is above average for companies of similar size in the UK market ($USD345.93K).

Compensation vs Earnings: Tony's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Antony Steels
CEO & Director4.25yrsUK£671.00k0.40%
£ 248.7k
William Wilkins
Group Finance Director & Director2.25yrsUK£467.00kno data
Mark Aldridge
Managing Director of Molins Far East Pte Ltdno datano datano data
Duncan Tyler
Secretary1.67yrsno datano data
Dan Murthi
Sales & Marketing Directorno datano datano data

2.3yrs

Average Tenure

Experienced Management: MPAC's management team is considered experienced (2.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Antony Steels
CEO & Director4.25yrsUK£671.00k0.40%
£ 248.7k
William Wilkins
Group Finance Director & Director2.25yrsUK£467.00kno data
Douglas Robertson
Independent Non-Executive Director1.83yrsUK£51.00kno data
Sara Fowler
Independent Non-Executive Director0.50yrno datano data
Andrew Kitchingman
Independent Chairman of the Board2.42yrsUK£76.00k0.066%
£ 41.4k

2.3yrs

Average Tenure

57.5yo

Average Age

Experienced Board: MPAC's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

Insider Buying: MPAC insiders have bought more shares than they have sold 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

Mpac Group plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Mpac Group plc
  • Ticker: MPAC
  • Exchange: AIM
  • Founded: 1874
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: UK£62.477m
  • Shares outstanding: 19.83m
  • Website: https://www.mpac-group.com

Number of Employees


Location

  • Mpac Group plc
  • 13 Westwood Way
  • Westwood Business Park
  • Coventry
  • West Midlands
  • CV4 8HS
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MPACAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPJan 1992

Biography

Mpac Group plc provides packaging and automation solutions to healthcare, pharmaceutical, and food and beverage sector worldwide. The company designs, manufactures, and engineers packaging solutions, autom ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/18 03:53
End of Day Share Price2020/09/17 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.