OTCPK:MGTC

Stock Analysis Report

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Executive Summary

Megatech Corporation develops multi-fueled engines and electric dynamometers.


Snowflake Analysis

Mediocre balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

MGTC

-0.8%

US Auto Components

2.3%

US Market


1 Year Return

61.8%

MGTC

-11.7%

US Auto Components

6.7%

US Market

Return vs Industry: MGTC exceeded the US Auto Components industry which returned -11.3% over the past year.

Return vs Market: MGTC exceeded the US Market which returned 6.1% over the past year.


Shareholder returns

MGTCIndustryMarket
7 Day0%-0.8%2.3%
30 Day18.1%-6.5%1.5%
90 Dayn/a23.5%17.8%
1 Year61.8%61.8%-10.6%-11.7%9.0%6.7%
3 Year313.5%313.5%-25.3%-33.1%36.6%27.7%
5 Year175.7%175.7%-4.8%-18.8%64.2%46.2%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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


In this section, we usually try to help investors determine whether Megatech is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Megatech has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

  • Take a look at our analysis of MGTC’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • When valuing a company like this, investors focus more on how they perceive the size of the opportunity, the company's ability to deliver and scale, and the strength of the team. While we are not analysing this type of data at the moment, if you don’t know where to start, we recommend reading through Megatech regulatory filings here.
  • Explore potentially undervalued companies in the Automobiles industry.

Future Growth

How is Megatech forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

24.7%

Forecasted Automobiles industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Megatech has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

  • Take a look at our analysis of MGTC’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • While we do not consider unaudited financials to be a reliable enough to include in our analysis, you can access them on the OTC Markets Website. If you are looking for more of a qualitative research into the company, you can access Megatech's filings and announcements here.
  • Explore growth companies in the Automobiles industry.

Past Performance

How has Megatech performed over the past 5 years?

3.6%

Historical Automobiles annual earnings growth


In this section we usually display a company’s past earnings and revenues to help investors visualise the trend through time. We also gauge the company’s performance by benchmarking its returns and growth to its industry peers and the wider market. However, Megatech has not provided sufficient past data to assess its track record.

This is quite a rare situation as 97% of companies covered by Simply Wall St do have historical data.


Next Steps

  • When a company lacks a financial track record, its management’s track record becomes important. Corporate governance also plays an important role in a young business as board members are seen as highly-experienced leaders to help steer the company into the future. Take a look at Megatech's' management and board experience and expertise to assess their ability to deliver on their strategic promises.
  • While we do not consider unaudited financials to be a reliable enough to include in our analysis, you can access them on the OTC Markets Website. If you are looking for more of a qualitative research into the company, you can access Megatech's filings and announcements here.
  • Explore strong past performing companies in the Automobiles industry.

Financial Health

How is Megatech's financial position?


In this section we usually analyse Megatech's finance health to determine how well-positioned it is against times of financial distress, in particular, its ability to manage its cash and debt levels. Megatech has not provided adequate balance sheet data, its financial health cannot be properly assessed as it.

This is quite a rare situation as 97% of companies covered by Simply Wall St do have financial information.


Next Steps

  • Take a look at our analysis of MGTC’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • Investors tend to look at the financial health of a company this size in order to assess the sustainability of its current operations. While we do not consider unaudited financials to be a reliable enough to include in our analysis, you can access them on the OTC Markets Website.
  • Financial health is measured at one point in time, so the latest financial report is the best representation of the company’s current financial status. Check when Megatech's financial data was last updated here.
  • Explore more healthy companies in the Automobiles industry.

Dividend

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


Dividend Yield vs Market

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

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

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


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

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


Next Steps

Management

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

23.5yrs

Average management tenure


CEO

Vahan Basmajian (81yo)

34.5yrs

Tenure

US$90,449

Compensation

Vahan V. Basmajian has been Megatech Corp.'s President and Chief Executive Officer since 1986, a member of its Board of Directors since 1970 and serves as Treasurer. Mr. Basmajian serves as Chairman of the ...


Leadership Team

NamePositionTenureCompensationOwnership
Vahan Basmajian
Chairman of the Board34.5yrsUS$90.45kno data
Dennis Humphrey
Director and Clerk28.5yrsno datano data
Varant Basmajian
Executive Vice President and Director21.5yrsno datano data

23.5yrs

Average Tenure

71yo

Average Age

Experienced Management: MGTC's management team is seasoned and experienced (23.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Vahan Basmajian
Chairman of the Board34.5yrsUS$90.45kno data
Dennis Humphrey
Director and Clerk28.5yrsno datano data
Varant Basmajian
Executive Vice President and Director21.5yrsno datano data
Henry Ingwersen
Director21.5yrsno datano data
Ralph Hawes
Director22.5yrsno datano data

22.0yrs

Average Tenure

81yo

Average Age

Experienced Board: MGTC's board of directors are seasoned and experienced ( 22 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

Megatech Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Megatech Corp.
  • Ticker: MGTC
  • Exchange: OTCPK
  • Founded: 1970
  • Industry: Auto Parts and Equipment
  • Sector: Automobiles
  • Market Cap: US$323.108k
  • Shares outstanding: 3.91m
  • Website: https://www.megatechcorp.com

Location

  • Megatech Corp.
  • 525 Woburn Street
  • Suite 3
  • Tewksbury
  • Massachusetts
  • 1876
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MGTCOTCPK (Pink Sheets LLC)YesCommon StockUSUSDDec 1972

Biography

Megatech Corporation develops multi-fueled engines and electric dynamometers. The company offers engine performance, electrical/electronic systems, e-learning, brakes, suspension and steering, heating and AC, manual drivetrain and axle, automatic transmission and transaxle, engine repair, hybrid technology, and fuel cells. It also provides light/mid duty diesel, heavy diesel, truck/heavy diesel, truck brakes, and mobile hydraulics. In addition, the company offers training programs for various areas of ASE certifications, including hybrid vehicles, diesel, and alternate fuel programs; and various training systems for alternative energy. It serves approximately 30 countries, 4,000 public and private schools, U.S. Military training centers, and auto industry training facilities. The company was founded in 1970 and is based in Tewksbury, Massachusetts. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/11 00:25
End of Day Share Price2020/07/10 00:00
Earnings2004/06/30
Annual Earnings2003/12/31


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.