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MFT

Mainfreight NZSE:MFT Stock Report

Last Price

NZ$70.00

Market Cap

NZ$7.0b

7D

-3.4%

1Y

-26.3%

Updated

25 Sep, 2022

Data

Company Financials +
MFT fundamental analysis
Snowflake Score
Valuation4/6
Future Growth2/6
Past Performance6/6
Financial Health6/6
Dividends4/6

MFT Stock Overview

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

Mainfreight Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Mainfreight
Historical stock prices
Current Share PriceNZ$70.00
52 Week HighNZ$97.35
52 Week LowNZ$66.11
Beta0.68
1 Month Change-8.50%
3 Month Change0.29%
1 Year Change-26.32%
3 Year Change76.19%
5 Year Change180.90%
Change since IPO7,600.01%

Recent News & Updates

Sep 13
An Intrinsic Calculation For Mainfreight Limited (NZSE:MFT) Suggests It's 29% Undervalued

An Intrinsic Calculation For Mainfreight Limited (NZSE:MFT) Suggests It's 29% Undervalued

How far off is Mainfreight Limited ( NZSE:MFT ) from its intrinsic value? Using the most recent financial data, we'll...

Aug 19
With EPS Growth And More, Mainfreight (NZSE:MFT) Makes An Interesting Case

With EPS Growth And More, Mainfreight (NZSE:MFT) Makes An Interesting Case

It's common for many investors, especially those who are inexperienced, to buy shares in companies with a good story...

Aug 07
Returns on Capital Paint A Bright Future For Mainfreight (NZSE:MFT)

Returns on Capital Paint A Bright Future For Mainfreight (NZSE:MFT)

What trends should we look for it we want to identify stocks that can multiply in value over the long term? Ideally, a...

Jul 26
Mainfreight (NZSE:MFT) Has A Rock Solid Balance Sheet

Mainfreight (NZSE:MFT) Has A Rock Solid Balance Sheet

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Shareholder Returns

MFTNZ LogisticsNZ Market
7D-3.4%-3.4%-1.4%
1Y-26.3%-23.7%-17.0%

Return vs Industry: MFT underperformed the NZ Logistics industry which returned -23.7% over the past year.

Return vs Market: MFT underperformed the NZ Market which returned -17% over the past year.

Price Volatility

Is MFT's price volatile compared to industry and market?
MFT volatility
MFT Average Weekly Movement3.1%
Logistics Industry Average Movement4.4%
Market Average Movement3.8%
10% most volatile stocks in NZ Market8.0%
10% least volatile stocks in NZ Market2.7%

Stable Share Price: MFT is less volatile than 75% of NZ stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: MFT's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
197810,393Don Braidhttps://www.mainfreight.com

Mainfreight Limited provides supply chain logistics services in New Zealand, Australia, the Americas, Europe, and Asia. The company offers warehousing, domestic freight forwarding, and international air and ocean freight forwarding services. Mainfreight Limited 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$7.05b
Earnings (TTM)NZ$355.40m
Revenue (TTM)NZ$5.22b

19.8x

P/E Ratio

1.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
MFT income statement (TTM)
RevenueNZ$5.22b
Cost of RevenueNZ$4.24b
Gross ProfitNZ$974.86m
Other ExpensesNZ$619.46m
EarningsNZ$355.40m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Nov 10, 2022

Earnings per share (EPS)3.53
Gross Margin18.68%
Net Profit Margin6.81%
Debt/Equity Ratio12.3%

How did MFT perform over the long term?

See historical performance and comparison

Dividends

2.5%

Current Dividend Yield

40%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is MFT undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for MFT?

Other financial metrics that can be useful for relative valuation.

MFT key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.5x
Enterprise Value/EBITDA13.5x
PEG Ratio5.4x

Price to Earnings Ratio vs Peers

How does MFT's PE Ratio compare to its peers?

MFT PE Ratio vs Peers
The above table shows the PE ratio for MFT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average31.7x
FRE Freightways
24.1x14.9%NZ$1.7b
POT Port of Tauranga
40.3x6.4%NZ$4.5b
598 Sinotrans
3.9x4.9%HK$26.6b
AIA Auckland International Airport
58.6x17.4%NZ$11.2b
MFT Mainfreight
19.8x3.7%NZ$7.0b

Price-To-Earnings vs Peers: MFT is good value based on its Price-To-Earnings Ratio (19.8x) compared to the peer average (31.7x).


Price to Earnings Ratio vs Industry

How does MFT's PE Ratio compare vs other companies in the Global Logistics Industry?

Price-To-Earnings vs Industry: MFT is expensive based on its Price-To-Earnings Ratio (19.8x) compared to the Global Logistics industry average (13.2x)


Price to Earnings Ratio vs Fair Ratio

What is MFT's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

MFT PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio19.8x
Fair PE Ratio30x

Price-To-Earnings vs Fair Ratio: MFT is good value based on its Price-To-Earnings Ratio (19.8x) compared to the estimated Fair Price-To-Earnings Ratio (30x).


Share Price vs Fair Value

What is the Fair Price of MFT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MFT (NZ$70) is trading below our estimate of fair value (NZ$107.51)

Significantly Below Fair Value: MFT is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


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Future Growth

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

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


3.7%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MFT's forecast earnings growth (3.7% per year) is above the savings rate (2.1%).

Earnings vs Market: MFT's earnings (3.7% per year) are forecast to grow slower than the NZ market (5.9% per year).

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

Revenue vs Market: MFT's revenue (3.7% per year) is forecast to grow slower than the NZ market (5.6% per year).

High Growth Revenue: MFT's revenue (3.7% 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 (20.6%)


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Past Performance

How has Mainfreight performed over the past 5 years?

Past Performance Score

6/6

Past Performance Score 6/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


23.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: MFT has high quality earnings.

Growing Profit Margin: MFT's current net profit margins (6.8%) are higher than last year (5.3%).


Past Earnings Growth Analysis

Earnings Trend: MFT's earnings have grown significantly by 23.7% per year over the past 5 years.

Accelerating Growth: MFT's earnings growth over the past year (88.9%) exceeds its 5-year average (23.7% per year).

Earnings vs Industry: MFT earnings growth over the past year (88.9%) exceeded the Logistics industry 60%.


Return on Equity

High ROE: MFT's Return on Equity (24.9%) is considered high.


Discover strong past performing companies

Financial Health

How is Mainfreight's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: MFT's short term assets (NZ$1.1B) exceed its short term liabilities (NZ$900.9M).

Long Term Liabilities: MFT's short term assets (NZ$1.1B) exceed its long term liabilities (NZ$697.8M).


Debt to Equity History and Analysis

Debt Level: MFT has more cash than its total debt.

Reducing Debt: MFT's debt to equity ratio has reduced from 44% to 12.3% over the past 5 years.

Debt Coverage: MFT's debt is well covered by operating cash flow (286.2%).

Interest Coverage: MFT's interest payments on its debt are well covered by EBIT (24.3x coverage).


Balance Sheet


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Dividend

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

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


2.49%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: MFT's dividend (2.49%) isn’t notable compared to the bottom 25% of dividend payers in the NZ market (2.85%).

High Dividend: MFT's dividend (2.49%) is low compared to the top 25% of dividend payers in the NZ market (6.04%).


Stability and Growth of Payments

Stable Dividend: MFT's dividends per share have been stable in the past 10 years.

Growing Dividend: MFT's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (40.2%), MFT's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonable cash payout ratio (56.3%), MFT's dividend payments are covered by cash flows.


Discover strong dividend paying companies

Management

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

16.2yrs

Average management tenure


CEO

Don Braid (62 yo)

no data

Tenure

NZ$3,373,427

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 ($USD1.95M) is about average for companies of similar size in the NZ market ($USD1.88M).

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


Leadership Team

Experienced Management: MFT's management team is seasoned and experienced (16.2 years average tenure).


Board Members

Experienced Board: MFT's board of directors are seasoned and experienced ( 21 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

NZSE:MFT Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
30 Aug 22BuyNZ$752,000Bruce PlestedIndividual10,000NZ$75.20
30 Aug 22BuyNZ$390,000Bruce PlestedIndividual5,000NZ$78.00
30 Aug 22SellNZ$390,000Carl G. Howard-SmithIndividual5,000NZ$78.00
23 Mar 22BuyNZ$957,480Bruce PlestedIndividual12,000NZ$79.79
15 Mar 22BuyNZ$1,147Catherie ParsonsIndividual15NZ$76.49
28 Feb 22BuyNZ$776,600Donald BraidIndividual10,000NZ$77.66
23 Dec 21BuyNZ$900,100Donald BraidIndividual10,000NZ$90.01

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Top 25 shareholders own 41.34% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
14.76%
Bruce Plested
14,860,062NZ$1.0b-10.37%no data
3.51%
Harbour Asset Management Limited
3,531,059NZ$247.2m0%28.21%
3.28%
JPMorgan Chase & Co, Private Banking and Investment Banking Investments
3,302,136NZ$231.1m93.87%0.05%
3.25%
Australian Foundation Investment Company Limited
3,267,786NZ$228.7m-0.03%2.97%
2.93%
Donald Braid
2,947,740NZ$206.3m0%no data
2.58%
The Vanguard Group, Inc.
2,595,252NZ$181.7m1.39%no data
2.13%
Accident Compensation Corporation, Asset Management Arm
2,145,859NZ$150.2m-8.82%3.33%
1.66%
Allianz Asset Management AG
1,671,416NZ$117.0m-0.1%0.06%
1.44%
First NZ Capital Ltd., Asset Management Arm
1,449,508NZ$101.5m0%9.55%
1.38%
UBS Asset Management
1,391,462NZ$97.4m3.6%0.01%
1.1%
Norges Bank Investment Management
1,111,344NZ$77.8m0%0.01%
0.64%
Smartshares Limited
645,368NZ$45.2m0%5.67%
0.5%
Mirrabooka Investments Limited
500,000NZ$35.0m0%6.5%
0.38%
Dimensional Fund Advisors LP
379,067NZ$26.5m-0.83%no data
0.28%
First Sentier Investors (Australia) IM Ltd
278,882NZ$19.5m0%0.03%
0.27%
Djerriwarrh Investments Limited
275,000NZ$19.3m0%2.15%
0.27%
Massachusetts Financial Services Company
271,980NZ$19.0m0.05%no data
0.2%
Bryan Mogridge
200,000NZ$14.0m0%no data
0.19%
GO ETF Solutions LLP
193,944NZ$13.6m0%0.11%
0.15%
Charles Schwab Investment Management, Inc.
152,498NZ$10.7m1.59%no data
0.12%
Rodd Morgan
117,500NZ$8.2m0%no data
0.088%
Richard Prebble
88,274NZ$6.2m0%no data
0.087%
Simon Cotter
87,570NZ$6.1m0%no data
0.082%
William Blair Investment Management, LLC
82,705NZ$5.8m0%0.01%
0.08%
Carl G. Howard-Smith
81,000NZ$5.7m0%no data

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$7.049b
  • Shares outstanding: 100.70m
  • Website: https://www.mainfreight.com

Number of Employees


Location

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


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MFTNZSE (New Zealand Stock Exchange)YesOrdinary SharesNZNZDJun 1996
MFGH.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJun 1996

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/25 00:00
End of Day Share Price2022/09/23 00:00
Earnings2022/03/31
Annual Earnings2022/03/31


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.