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MTRX

Matrix ServiceNasdaqGS:MTRX Stock Report

Last Price

US$7.79

Market Cap

US$208.5m

7D

0.1%

1Y

-44.0%

Updated

19 Jan, 2022

Data

Company Financials +
MTRX fundamental analysis
Snowflake Score
Valuation3/6
Future Growth1/6
Past Performance0/6
Financial Health6/6
Dividends0/6

MTRX Stock Overview

Matrix Service Company provides engineering, fabrication, infrastructure, construction, and maintenance services primarily to the oil, gas, power, petrochemical, industrial, agricultural, mining, and minerals markets in the United States, Canada, South Korea, Australia, and internationally.

Rewards

Trading at 87.2% below our estimate of its fair value

Revenue is forecast to grow 15.28% per year

Risk Analysis

No risks detected for MTRX from our risk checks.

Matrix Service Competitors

Quanta Services

NYSE:PWR

US$15.0b

AECOM

NYSE:ACM

US$10.3b

Comfort Systems USA

NYSE:FIX

US$3.3b

Granite Construction

NYSE:GVA

US$1.7b

Price History & Performance

Summary of all time highs, changes and price drops for Matrix Service
Historical stock prices
Current Share PriceUS$7.79
52 Week HighUS$16.32
52 Week LowUS$6.18
Beta1.62
1 Month Change18.39%
3 Month Change-24.66%
1 Year Change-43.96%
3 Year Change-61.03%
5 Year Change-65.38%
Change since IPO91.75%

Recent News & Updates

Shareholder Returns

MTRXUS ConstructionUS Market
7D0.1%-4.0%-3.5%
1Y-44.0%15.3%10.2%

Return vs Industry: MTRX underperformed the US Construction industry which returned 15.3% over the past year.

Return vs Market: MTRX underperformed the US Market which returned 10.2% over the past year.

Price Volatility

Is MTRX's price volatile compared to industry and market?
MTRX volatility
MTRX Average Weekly Movement7.5%
Construction Industry Average Movement5.7%
Market Average Movement6.6%
10% most volatile stocks in US Market15.8%
10% least volatile stocks in US Market2.4%

Stable Share Price: MTRX is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: MTRX's weekly volatility (8%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19842,717John Hewitthttps://www.matrixservicecompany.com

Matrix Service Company provides engineering, fabrication, infrastructure, construction, and maintenance services primarily to the oil, gas, power, petrochemical, industrial, agricultural, mining, and minerals markets in the United States, Canada, South Korea, Australia, and internationally. It operates through three segments: Utility and Power Infrastructure, Process and Industrial Facilities, and Storage and Terminal Solutions. The Utility and Power Infrastructure segment offers power delivery services, including construction of new substations, upgrades of existing substations, transmission and distribution line installations, distribution upgrades, and maintenance; and emergency and storm restoration services.

Matrix Service Fundamentals Summary

How do Matrix Service's earnings and revenue compare to its market cap?
MTRX fundamental statistics
Market CapUS$208.50m
Earnings (TTM)-US$45.72m
Revenue (TTM)US$658.72m

0.3x

P/S Ratio

-4.6x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
MTRX income statement (TTM)
RevenueUS$658.72m
Cost of RevenueUS$643.81m
Gross ProfitUS$14.91m
ExpensesUS$60.63m
Earnings-US$45.72m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-1.71
Gross Margin2.26%
Net Profit Margin-6.94%
Debt/Equity Ratio0%

How did MTRX perform over the long term?

See historical performance and comparison

Valuation

Is Matrix Service 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: MTRX ($7.79) is trading below our estimate of fair value ($60.76)

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


Price To Earnings Ratio

PE vs Industry: MTRX is unprofitable, so we can't compare its PE Ratio to the US Construction industry average.

PE vs Market: MTRX is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate MTRX's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: MTRX is good value based on its PB Ratio (0.8x) compared to the US Construction industry average (2.4x).


Future Growth

How is Matrix Service forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

130.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MTRX is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: MTRX is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: MTRX is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: MTRX's revenue (15.3% per year) is forecast to grow faster than the US market (9.2% per year).

High Growth Revenue: MTRX's revenue (15.3% 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 MTRX's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Matrix Service performed over the past 5 years?

-54.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MTRX is currently unprofitable.

Growing Profit Margin: MTRX is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: MTRX is unprofitable, and losses have increased over the past 5 years at a rate of 54.3% per year.

Accelerating Growth: Unable to compare MTRX's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: MTRX is unprofitable, making it difficult to compare its past year earnings growth to the Construction industry (17.9%).


Return on Equity

High ROE: MTRX has a negative Return on Equity (-17.04%), as it is currently unprofitable.


Financial Health

How is Matrix Service's financial position?


Financial Position Analysis

Short Term Liabilities: MTRX's short term assets ($250.3M) exceed its short term liabilities ($154.3M).

Long Term Liabilities: MTRX's short term assets ($250.3M) exceed its long term liabilities ($27.7M).


Debt to Equity History and Analysis

Debt Level: MTRX is debt free.

Reducing Debt: MTRX has no debt compared to 5 years ago when its debt to equity ratio was 5.5%.

Debt Coverage: MTRX has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: MTRX has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Matrix Service current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if MTRX'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 MTRX'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?

5.4yrs

Average management tenure


CEO

John Hewitt (63 yo)

10.67yrs

Tenure

US$2,585,179

Compensation

Mr. John R. Hewitt has been the President and Chief Executive Officer at Matrix Service Company since joining in May 4, 2011. Mr. Hewitt serves as Senior Vice President at Aker Solutions, where he is respo...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD2.59M) is above average for companies of similar size in the US market ($USD1.10M).

Compensation vs Earnings: John's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: MTRX's management team is seasoned and experienced (5.4 years average tenure).


Board Members

Experienced Board: MTRX's board of directors are considered experienced (4.6 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: MTRX 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

Matrix Service Company's employee growth, exchange listings and data sources


Key Information

  • Name: Matrix Service Company
  • Ticker: MTRX
  • Exchange: NasdaqGS
  • Founded: 1984
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Implied Market Cap: US$208.500m
  • Shares outstanding: 26.77m
  • Website: https://www.matrixservicecompany.com

Number of Employees


Location

  • Matrix Service Company
  • 5100 East Skelly Drive
  • Suite 500
  • Tulsa
  • Oklahoma
  • 74135-6577
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/19 23:31
End of Day Share Price2022/01/19 00:00
Earnings2021/09/30
Annual Earnings2021/06/30


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.