WSE:MRC

Stock Analysis Report

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Market Cap

zł2.4b

Last Updated

2021/06/24 17:36 UTC

Data Sources

Company Financials +

Executive Summary

Mercator Medical S.A., together with its subsidiaries, produces medical gloves and distributes medical disposables in Europe, Russia, and internationally. More Details


Snowflake Analysis

Flawless balance sheet and undervalued.

Share Price & News

How has Mercator Medical's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: MRC is more volatile than 75% of Polish stocks over the past 3 months, typically moving +/- 10% a week.

Volatility Over Time: MRC's weekly volatility has decreased from 17% to 10% over the past year, but is still higher than 75% of Polish stocks.


Market Performance


7 Day Return

3.7%

MRC

1.0%

PL Medical Equipment

1.4%

PL Market


1 Year Return

188.9%

MRC

85.6%

PL Medical Equipment

33.0%

PL Market

Return vs Industry: MRC exceeded the Polish Medical Equipment industry which returned 89.4% over the past year.

Return vs Market: MRC exceeded the Polish Market which returned 31.3% over the past year.


Shareholder returns

MRCIndustryMarket
7 Day3.7%1.0%1.4%
30 Day-3.7%-0.8%3.1%
90 Day-34.6%-26.5%13.7%
1 Year188.9%188.9%85.7%85.6%35.0%33.0%
3 Year1,224.7%1,214.6%171.3%169.5%22.6%15.6%
5 Year1,518.4%1,495.1%73.2%70.6%42.6%28.0%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MRC (PLN240.8) is trading below our estimate of fair value (PLN17476.42)

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


Price To Earnings Ratio

PE vs Industry: MRC is good value based on its PE Ratio (2.1x) compared to the European Medical Equipment industry average (37.4x).

PE vs Market: MRC is good value based on its PE Ratio (2.1x) compared to the Polish market (14.8x).


Price to Earnings Growth Ratio

PEG Ratio: MRC's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: MRC is good value based on its PB Ratio (1.9x) compared to the PL Medical Equipment industry average (4.6x).


Future Growth

How is Mercator Medical forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

-46.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MRC's earnings are forecast to decline over the next 3 years (-46.6% per year).

Earnings vs Market: MRC's earnings are forecast to decline over the next 3 years (-46.6% per year).

High Growth Earnings: MRC's earnings are forecast to decline over the next 3 years.

Revenue vs Market: MRC's revenue is expected to decline over the next 3 years (-20.8% per year).

High Growth Revenue: MRC's revenue is forecast to decline over the next 3 years (-20.8% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if MRC's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Mercator Medical performed over the past 5 years?

92.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MRC has a high level of non-cash earnings.

Growing Profit Margin: MRC's current net profit margins (54.8%) are higher than last year (3.6%).


Past Earnings Growth Analysis

Earnings Trend: MRC's earnings have grown significantly by 92.6% per year over the past 5 years.

Accelerating Growth: MRC's earnings growth over the past year (5184%) exceeds its 5-year average (92.6% per year).

Earnings vs Industry: MRC earnings growth over the past year (5184%) exceeded the Medical Equipment industry 23.7%.


Return on Equity

High ROE: MRC's Return on Equity (91.4%) is considered outstanding.


Financial Health

How is Mercator Medical's financial position?


Financial Position Analysis

Short Term Liabilities: MRC's short term assets (PLN1.4B) exceed its short term liabilities (PLN329.7M).

Long Term Liabilities: MRC's short term assets (PLN1.4B) exceed its long term liabilities (PLN6.5M).


Debt to Equity History and Analysis

Debt Level: MRC's debt to equity ratio (0.05%) is considered satisfactory.

Reducing Debt: MRC's debt to equity ratio has reduced from 67.8% to 0.05% over the past 5 years.

Debt Coverage: MRC's debt is well covered by operating cash flow (137399.5%).

Interest Coverage: MRC's interest payments on its debt are well covered by EBIT (930.4x coverage).


Balance Sheet


Dividend

What is Mercator Medical current dividend yield, its reliability and sustainability?

0.21%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MRC's dividend (0.21%) isn’t notable compared to the bottom 25% of dividend payers in the Polish market (2%).

High Dividend: MRC's dividend (0.21%) is low compared to the top 25% of dividend payers in the Polish market (5.88%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: MRC is not paying a notable dividend for the Polish market.


Future Payout to Shareholders

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


Next Steps

Management

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

2.4yrs

Average management tenure


CEO

Wieslaw Zyznowski (56 yo)

11.42yrs

Tenure

zł470,100

Compensation

Dr. Wieslaw Zyznowski has been the Chairman of Management Board at Mercator Medical Spólka Akcyjna since 2010. In the 90s Dr. Zyznowski co-founded the Mercator. From 1991 to 2001 he served as (apart from a...


CEO Compensation Analysis

Compensation vs Market: Wieslaw's total compensation ($USD123.63K) is below average for companies of similar size in the Polish market ($USD526.36K).

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


Leadership Team

Experienced Management: MRC's management team is considered experienced (2.4 years average tenure).


Board Members

Experienced Board: MRC's board of directors are considered experienced (7 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

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


Top Shareholders

Company Information

Mercator Medical S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Mercator Medical S.A.
  • Ticker: MRC
  • Exchange: WSE
  • Founded: 1989
  • Industry: Health Care Supplies
  • Sector: Healthcare
  • Market Cap: zł2.422b
  • Shares outstanding: 10.35m
  • Website: https://mercatormedical.eu

Number of Employees


Location

  • Mercator Medical S.A.
  • Heleny Modrzejewskiej 30
  • Kraków
  • 31-327
  • Poland

Listings


Biography

Mercator Medical S.A., together with its subsidiaries, produces medical gloves and distributes medical disposables in Europe, Russia, and internationally. The company offers surgical gloves for conducting ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/24 17:36
End of Day Share Price2021/06/24 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


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.