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MFT

MainfreightNZSE:MFT Stock Report

Last Price

NZ$91.50

Market Cap

NZ$9.3b

7D

-0.4%

1Y

38.0%

Updated

17 Jan, 2022

Data

Company Financials +
MFT fundamental analysis
Snowflake Score
Valuation0/6
Future Growth4/6
Past Performance5/6
Financial Health6/6
Dividends0/6

MFT Stock Overview

Mainfreight Limited provides supply chain logistics solutions in New Zealand, Australia, the Americas, Europe, and Asia.

Rewards

Earnings are forecast to grow 8.05% per year

Earnings have grown 18% per year over the past 5 years

Risk Analysis

MFT passed our risk checks.

Mainfreight Competitors

DGL Group

ASX:DGL

AU$806.5m

Price History & Performance

Summary of all time highs, changes and price drops for Mainfreight
Historical stock prices
Current Share PriceNZ$91.50
52 Week HighNZ$99.78
52 Week LowNZ$65.00
Beta0.53
1 Month Change0.68%
3 Month Change3.16%
1 Year Change38.01%
3 Year Change181.11%
5 Year Change337.38%
Change since IPO9,965.01%

Recent News & Updates

Nov 29
Mainfreight's (NZSE:MFT) Returns On Capital Are Heading Higher

Mainfreight's (NZSE:MFT) Returns On Capital Are Heading Higher

Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key...

Shareholder Returns

MFTNZ LogisticsNZ Market
7D-0.4%-0.8%-1.4%
1Y38.0%39.0%-6.5%

Return vs Industry: MFT underperformed the NZ Logistics industry which returned 39% over the past year.

Return vs Market: MFT exceeded the NZ Market which returned -6.5% over the past year.

Price Volatility

Is MFT's price volatile compared to industry and market?
MFT volatility
MFT Average Weekly Movement3.7%
Logistics Industry Average Movement5.2%
Market Average Movement3.7%
10% most volatile stocks in NZ Market6.5%
10% least volatile stocks in NZ Market2.3%

Stable Share Price: MFT is not significantly more volatile than the rest of NZ stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: MFT's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19789,240Don Braidhttps://www.mainfreight.com

Mainfreight Limited provides supply chain logistics solutions in New Zealand, Australia, the Americas, Europe, and Asia. It provides warehousing, domestic freight forwarding, and international air and ocean freight forwarding services. The company was incorporated in 1978 and is based in Auckland, New Zealand.

Mainfreight Fundamentals Summary

How do Mainfreight's earnings and revenue compare to its market cap?
MFT fundamental statistics
Market CapNZ$9.28b
Earnings (TTM)NZ$246.00m
Revenue (TTM)NZ$4.21b

37.5x

P/E Ratio

2.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
MFT income statement (TTM)
RevenueNZ$4.21b
Cost of RevenueNZ$3.43b
Gross ProfitNZ$774.69m
ExpensesNZ$528.69m
EarningsNZ$246.00m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)2.44
Gross Margin18.40%
Net Profit Margin5.84%
Debt/Equity Ratio17.2%

How did MFT perform over the long term?

See historical performance and comparison

Dividends

0.8%

Current Dividend Yield

41%

Payout Ratio

Valuation

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

37.45x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: MFT (NZ$91.5) is trading above our estimate of fair value (NZ$29.54)

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


Price To Earnings Ratio

PE vs Industry: MFT is poor value based on its PE Ratio (37.5x) compared to the Oceanic Logistics industry average (20.3x).

PE vs Market: MFT is poor value based on its PE Ratio (37.5x) compared to the NZ market (19.2x).


Price to Earnings Growth Ratio

PEG Ratio: MFT is poor value based on its PEG Ratio (4.7x)


Price to Book Ratio

PB vs Industry: MFT is overvalued based on its PB Ratio (7.7x) compared to the XO Logistics industry average (1.4x).


Future Growth

How is Mainfreight forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

8.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MFT's forecast earnings growth (8.1% per year) is above the savings rate (2.1%).

Earnings vs Market: MFT's earnings (8.1% per year) are forecast to grow faster than the NZ market (7.3% per year).

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

Revenue vs Market: MFT's revenue (5.9% per year) is forecast to grow faster than the NZ market (4.8% per year).

High Growth Revenue: MFT's revenue (5.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MFT's Return on Equity is forecast to be high in 3 years time (21.8%)


Past Performance

How has Mainfreight performed over the past 5 years?

18.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MFT has high quality earnings.

Growing Profit Margin: MFT's current net profit margins (5.8%) are higher than last year (5.4%).


Past Earnings Growth Analysis

Earnings Trend: MFT's earnings have grown by 18% per year over the past 5 years.

Accelerating Growth: MFT's earnings growth over the past year (42.2%) exceeds its 5-year average (18% per year).

Earnings vs Industry: MFT earnings growth over the past year (42.2%) underperformed the Logistics industry 58.3%.


Return on Equity

High ROE: MFT's Return on Equity (20.6%) is considered high.


Financial Health

How is Mainfreight's financial position?


Financial Position Analysis

Short Term Liabilities: MFT's short term assets (NZ$769.3M) exceed its short term liabilities (NZ$690.5M).

Long Term Liabilities: MFT's short term assets (NZ$769.3M) exceed its long term liabilities (NZ$706.8M).


Debt to Equity History and Analysis

Debt Level: MFT's net debt to equity ratio (7.1%) is considered satisfactory.

Reducing Debt: MFT's debt to equity ratio has reduced from 52% to 17.2% over the past 5 years.

Debt Coverage: MFT's debt is well covered by operating cash flow (177.8%).

Interest Coverage: MFT's interest payments on its debt are well covered by EBIT (17.7x coverage).


Balance Sheet


Dividend

What is Mainfreight current dividend yield, its reliability and sustainability?

0.82%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MFT's dividend (0.82%) isn’t notable compared to the bottom 25% of dividend payers in the NZ market (2.66%).

High Dividend: MFT's dividend (0.82%) is low compared to the top 25% of dividend payers in the NZ market (4.98%).


Stability and Growth of Payments

Stable Dividend: MFT is not paying a notable dividend for the NZ market, therefore no need to check if payments are stable.

Growing Dividend: MFT is not paying a notable dividend for the NZ market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: MFT is not paying a notable dividend for the NZ market.


Future Payout to Shareholders

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


Next Steps

Management

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

15.5yrs

Average management tenure


CEO

Don Braid (61 yo)

no data

Tenure

NZ$2,593,510

Compensation

Mr. Donald R. Braid, also known as Don, serves as the Managing Director at Owens Group Limited. Mr. Braid serves as Group Managing Director at Mainfreight Ltd. and Mainfreight International Inc. He has bee...


CEO Compensation Analysis

Compensation vs Market: Don's total compensation ($USD1.77M) is about average for companies of similar size in the NZ market ($USD1.67M).

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


Leadership Team

Experienced Management: MFT's management team is seasoned and experienced (15.5 years average tenure).


Board Members

Experienced Board: MFT's board of directors are seasoned and experienced ( 20.4 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: MFT 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

Mainfreight Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Mainfreight Limited
  • Ticker: MFT
  • Exchange: NZSE
  • Founded: 1978
  • Industry: Air Freight and Logistics
  • Sector: Transportation
  • Implied Market Cap: NZ$9.279b
  • Shares outstanding: 100.70m
  • Website: https://www.mainfreight.com

Number of Employees


Location

  • Mainfreight Limited
  • 2 Railway Lane
  • Otahuhu
  • Auckland
  • 1062
  • New Zealand

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/17 12:14
End of Day Share Price2022/01/17 00:00
Earnings2021/09/30
Annual Earnings2021/03/31


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.