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Milacron Holdings

NYSE:MCRN
Snowflake Description

Fair value with moderate growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
MCRN
NYSE
$1B
Market Cap
  1. Home
  2. US
  3. Capital Goods
Company description

Milacron Holdings Corp. manufactures, distributes, and services engineered and customized systems within the plastic technology and processing industry in the United States and internationally. The last earnings update was 81 days ago. More info.


Add to Portfolio Compare Print
  • Milacron Holdings has significant price volatility in the past 3 months.
MCRN Share Price and Events
7 Day Returns
-2%
NYSE:MCRN
-1.1%
US Machinery
-1.2%
US Market
1 Year Returns
-14.9%
NYSE:MCRN
5.4%
US Machinery
3.3%
US Market
MCRN Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Milacron Holdings (MCRN) -2% 22.4% 9.6% -14.9% 10.2% -
US Machinery -1.1% 0% -2.9% 5.4% 46.7% 30.3%
US Market -1.2% 0.8% 0.9% 3.3% 35.9% 41.7%
1 Year Return vs Industry and Market
  • MCRN underperformed the Machinery industry which returned 5.4% over the past year.
  • MCRN underperformed the Market in United States of America which returned 3.3% over the past year.
Price Volatility
MCRN
Industry
5yr Volatility vs Market

MCRN Value

 Is Milacron Holdings undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Milacron Holdings to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Milacron Holdings.

NYSE:MCRN Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 4 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 11.5%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:MCRN
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Machinery Unlevered Beta Simply Wall St/ S&P Global 1.08
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.083 (1 + (1- 21%) (72.63%))
1.472
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.47
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.472 * 5.96%)
11.5%

Discounted Cash Flow Calculation for NYSE:MCRN using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Milacron Holdings is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:MCRN DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 11.5%)
2020 125.45 Analyst x2 112.51
2021 146.00 Analyst x1 117.43
2022 162.68 Est @ 11.42% 117.34
2023 177.02 Est @ 8.82% 114.51
2024 189.40 Est @ 6.99% 109.88
2025 200.22 Est @ 5.71% 104.17
2026 209.86 Est @ 4.82% 97.92
2027 218.66 Est @ 4.19% 91.50
2028 226.86 Est @ 3.75% 85.14
2029 234.68 Est @ 3.45% 78.98
Present value of next 10 years cash flows $1,029.37
NYSE:MCRN DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $234.68 × (1 + 2.73%) ÷ (11.5% – 2.73%)
$2,747.45
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $2,747.45 ÷ (1 + 11.5%)10
$924.67
NYSE:MCRN Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $1,029.37 + $924.67
$1,954.04
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $1,954.04 / 70.52
$27.71
NYSE:MCRN Discount to Share Price
Calculation Result
Value per share (USD) From above. $27.71
Current discount Discount to share price of $16.85
= -1 x ($16.85 - $27.71) / $27.71
39.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Milacron Holdings is available for.
Intrinsic value
39%
Share price is $16.85 vs Future cash flow value of $27.71
Current Discount Checks
For Milacron Holdings to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Milacron Holdings's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Milacron Holdings's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Milacron Holdings's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Milacron Holdings's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:MCRN PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $0.63
NYSE:MCRN Share Price ** NYSE (2019-07-19) in USD $16.85
United States of America Machinery Industry PE Ratio Median Figure of 98 Publicly-Listed Machinery Companies 20.98x
United States of America Market PE Ratio Median Figure of 3,082 Publicly-Listed Companies 17.86x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Milacron Holdings.

NYSE:MCRN PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:MCRN Share Price ÷ EPS (both in USD)

= 16.85 ÷ 0.63

26.66x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Milacron Holdings is overvalued based on earnings compared to the US Machinery industry average.
  • Milacron Holdings is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Milacron Holdings's expected growth come at a high price?
Raw Data
NYSE:MCRN PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 26.66x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts
34.9%per year
United States of America Machinery Industry PEG Ratio Median Figure of 79 Publicly-Listed Machinery Companies 1.54x
United States of America Market PEG Ratio Median Figure of 2,119 Publicly-Listed Companies 1.57x

*Line of best fit is calculated by linear regression .

NYSE:MCRN PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 26.66x ÷ 34.9%

0.76x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Milacron Holdings is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Milacron Holdings's assets?
Raw Data
NYSE:MCRN PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $7.62
NYSE:MCRN Share Price * NYSE (2019-07-19) in USD $16.85
United States of America Machinery Industry PB Ratio Median Figure of 126 Publicly-Listed Machinery Companies 2.23x
United States of America Market PB Ratio Median Figure of 5,248 Publicly-Listed Companies 1.79x
NYSE:MCRN PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:MCRN Share Price ÷ Book Value per Share (both in USD)

= 16.85 ÷ 7.62

2.21x

* Primary Listing of Milacron Holdings.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Milacron Holdings is good value based on assets compared to the US Machinery industry average.
X
Value checks
We assess Milacron Holdings's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Machinery industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Machinery industry average (and greater than 0)? (1 check)
  5. Milacron Holdings has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

MCRN Future Performance

 How is Milacron Holdings expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
34.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Milacron Holdings expected to grow at an attractive rate?
  • Milacron Holdings's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Milacron Holdings's earnings growth is expected to exceed the United States of America market average.
  • Milacron Holdings's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:MCRN Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:MCRN Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts 34.9%
NYSE:MCRN Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 4 Analysts 0.4%
United States of America Machinery Industry Earnings Growth Rate Market Cap Weighted Average 10.5%
United States of America Machinery Industry Revenue Growth Rate Market Cap Weighted Average 3.2%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:MCRN Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:MCRN Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 1,185 95 96 1
2020-12-31 1,145 112 82 4
2019-12-31 1,116 134 47 4
NYSE:MCRN Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 1,218 110 44
2018-12-31 1,258 124 42
2018-09-30 1,250 159 40
2018-06-30 1,257 134 37
2018-03-31 1,238 127 32
2017-12-31 1,234 110 1
2017-09-30 1,198 63 -1
2017-06-30 1,176 65 -7
2017-03-31 1,175 84 -4
2016-12-31 1,167 116 31
2016-09-30 1,184 90 45
2016-06-30 1,184 82 27

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Milacron Holdings's earnings are expected to grow significantly at over 20% yearly.
  • Milacron Holdings's revenue is expected to grow by 0.4% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:MCRN Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below

All data from Milacron Holdings Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:MCRN Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 1.31 1.31 1.31 1.00
2020-12-31 1.13 1.26 0.92 3.00
2019-12-31 0.65 0.79 0.54 3.00
NYSE:MCRN Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 0.63
2018-12-31 0.60
2018-09-30 0.57
2018-06-30 0.54
2018-03-31 0.47
2017-12-31 0.02
2017-09-30 -0.02
2017-06-30 -0.10
2017-03-31 -0.06
2016-12-31 0.45
2016-09-30 0.67
2016-06-30 0.40

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Milacron Holdings is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Milacron Holdings's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Milacron Holdings has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

MCRN Past Performance

  How has Milacron Holdings performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Milacron Holdings's growth in the last year to its industry (Machinery).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Milacron Holdings has delivered over 20% year on year earnings growth in the past 5 years.
  • Milacron Holdings's 1-year earnings growth is less than its 5-year average (37.3% vs 66.9%)
  • Milacron Holdings's earnings growth has exceeded the US Machinery industry average in the past year (37.3% vs 31.9%).
Earnings and Revenue History
Milacron Holdings's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Milacron Holdings Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:MCRN Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 1,218.10 44.20 237.70
2018-12-31 1,258.20 41.50 245.80
2018-09-30 1,250.10 39.60 251.40
2018-06-30 1,256.50 37.00 252.90
2018-03-31 1,237.60 32.20 251.60
2017-12-31 1,234.20 1.10 253.80
2017-09-30 1,198.40 -1.10 256.00
2017-06-30 1,175.90 -6.70 254.20
2017-03-31 1,174.80 -3.90 254.20
2016-12-31 1,166.70 30.50 252.60
2016-09-30 1,183.90 44.90 225.50
2016-06-30 1,184.40 27.00 234.40
2016-03-31 1,177.60 -13.10 247.40
2015-12-31 1,179.50 -38.80 261.10
2015-09-30 1,193.70 -54.90 262.30
2015-06-30 1,215.60 -47.60 257.00
2015-03-31 1,210.20 -22.50 251.30
2014-12-31 1,211.30 -14.80 254.00
2013-12-31 1,028.80 -24.60 219.00
2012-12-31 832.40 -20.90 160.50

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Milacron Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Milacron Holdings used its assets less efficiently than the US Machinery industry average last year based on Return on Assets.
  • Milacron Holdings has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Milacron Holdings's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Machinery industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Milacron Holdings has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

MCRN Health

 How is Milacron Holdings's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Milacron Holdings's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Milacron Holdings is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Milacron Holdings's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Milacron Holdings's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.8x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Milacron Holdings Company Filings, last reported 3 months ago.

NYSE:MCRN Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 537.00 828.80 153.40
2018-12-31 526.80 835.50 187.80
2018-09-30 536.60 859.70 152.50
2018-06-30 532.50 884.40 152.10
2018-03-31 563.10 909.30 177.00
2017-12-31 520.70 934.20 187.90
2017-09-30 502.20 938.50 93.40
2017-06-30 463.80 939.80 94.10
2017-03-31 431.00 939.70 87.90
2016-12-31 434.90 941.00 130.20
2016-09-30 475.90 940.60 102.70
2016-06-30 464.60 939.90 99.10
2016-03-31 464.50 939.40 87.40
2015-12-31 440.90 938.90 67.50
2015-09-30 439.60 954.50 74.50
2015-06-30 450.90 955.10 78.50
2015-03-31 204.30 1,032.60 62.80
2014-12-31 385.40 1,013.70 81.50
2013-12-31 450.10 989.40 100.70
2012-12-31
  • Milacron Holdings's level of debt (154.3%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (229.4% vs 154.3% today).
  • Debt is not well covered by operating cash flow (13.2%, less than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 3x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess Milacron Holdings's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Milacron Holdings has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

MCRN Dividends

 What is Milacron Holdings's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Milacron Holdings dividends. Estimated to be 0% next year.
If you bought $2,000 of Milacron Holdings shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Milacron Holdings's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Milacron Holdings's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:MCRN Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
United States of America Machinery Industry Average Dividend Yield Market Cap Weighted Average of 75 Stocks 2%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2017 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.8%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:MCRN Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31
2020-12-31 0.00 1.00
2019-12-31 0.00 1.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Milacron Holdings has not reported any payouts.
  • Unable to verify if Milacron Holdings's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Milacron Holdings's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Milacron Holdings has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of Milacron Holdings's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess Milacron Holdings's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Milacron Holdings afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Milacron Holdings has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

MCRN Management

 What is the CEO of Milacron Holdings's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Tom Goeke
COMPENSATION $4,419,238
AGE 60
TENURE AS CEO 6.8 years
CEO Bio

Mr. Thomas J. Goeke, also known as Tom, serves as the Chief Executive Officer at Milacron LLC. Mr. Goeke has been the Chief Executive Officer and President of Milacron Holdings Corp. since September 2012 and July 25, 2017 respectively. Mr. Goeke serves as the President of Uniloy at Milacron Holdings Corp. Mr. Goeke has been a Member of Management Board of Klöckner Pentaplast GmbH & Co. KG since January 2002. His experience in the plastics industry dates back almost 25 years. He served as the President of Milacron Holdings Corp from September 2012 to April 2016. Mr. Goeke served as the Chief Executive Officer of Klöckner Pentaplast Group. He served as a Member of the Executive Management of the General Partner of Klöckner Pentaplast GmbH & Co. KG. He served as Chief Executive Officer of Klöckner Pentaplast GmbH & Co. KG since July 2005 to May 2011 and its Chief Operating Officer since April 2003. Mr. Goeke served as President and Chief Executive Officer of Klöckner Pentaplast of America, Inc., from March 1998 to June 2003. From 1996 to 1998, he served as Chief Operating Officer and Executive Vice President of Klöckner Pentaplast of America Inc. and was responsible for the daily operations of Klöckner Pentaplas of America, Inc. From 1994 to 1996, Mr. Goeke served as Vice President of Operations for Klöckner Pentaplast of America, Inc. He joined Klöckner Pentaplast of America Inc. in 1989 as Assistant to the President and also served as General Manager for Klöckner Barrier Films. Mr. Goeke served as Chief Operating Officer for the worldwide Klöckner Pentaplast Group and was responsible for the worldwide group and all its operations. Prior to Klöckner Pentaplast, he served at Hoechst Celanese Rigid Film Division, where he was a Product Manager for Pharmaceutical and Food Packaging Films. He began his career as a toolmaker. He has been a Director of Milacron Holdings Corp since August 2012. He has been a Member of Supervisory Board at Constantia Flexibles AG since October 31, 2013. He has been Executive Director of Klöckner Pentaplast Luxembourg S.à.r.l. and Klöckner Pentaplast S.A. since January 2002. He serves as a Director of Klöckner Pentaplast Europe GmbH & Co. KG. He serves as a Member of Supervisory Board at Global Packaging USA Corporation. He served as a Member of Supervisory Board at Constantia Flexibles Group GmbH since September 6, 2012. Mr. Goeke earned his Masters of Business Administration from College of William and Mary and his Bachelor of Science in Mechanical Engineering from Widener University. Mr. Goeke previously served as Chief Operating Officer of Seakeeper Inc. from October 2011 to June 2012.

CEO Compensation
  • Tom's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Tom's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Milacron Holdings management team in years:

4.4
Average Tenure
59
Average Age
  • The tenure for the Milacron Holdings management team is about average.
Management Team

Tom Goeke

TITLE
CEO, President & Director
COMPENSATION
$4M
AGE
60
TENURE
6.8 yrs

Bruce Chalmers

TITLE
Chief Financial Officer
COMPENSATION
$2M
AGE
53
TENURE
4.7 yrs

Mark Miller

TITLE
VP & Chief Human Resources Officer
COMPENSATION
$848K
AGE
56
TENURE
4.2 yrs

Ling An-Heid

TITLE
President of Mold-Masters
COMPENSATION
$2M
AGE
58
TENURE
1.8 yrs

Gerrit Jue

TITLE
President of Fluids
COMPENSATION
$938K
AGE
60
TENURE
2.8 yrs

Bruce Catoen

TITLE
Chief Technology Officer

Dario Vettor

TITLE
Chief Information Officer

Hugh O'Donnell

TITLE
VP, General Counsel & Secretary
AGE
67
TENURE
20.5 yrs

Michael Crawford

TITLE
Manager of Corporate Communications

Michael Ellis

TITLE
Director of Global Marketing & Communications
Board of Directors Tenure

Average tenure and age of the Milacron Holdings board of directors in years:

4.7
Average Tenure
62
Average Age
  • The tenure for the Milacron Holdings board of directors is about average.
Board of Directors

Ira Boots

TITLE
Non-Executive Chairman
COMPENSATION
$500K
AGE
64
TENURE
7.3 yrs

Tom Goeke

TITLE
CEO, President & Director
COMPENSATION
$4M
AGE
60
TENURE
6.9 yrs

Jim Gentilcore

TITLE
Independent Director
COMPENSATION
$178K
AGE
66
TENURE
5.4 yrs

Jim Kratochvil

TITLE
Independent Director
COMPENSATION
$190K
AGE
62
TENURE
4.7 yrs

Waters Davis

TITLE
Independent Director
COMPENSATION
$170K
AGE
65
TENURE
6 yrs

Rebecca Steinfort

TITLE
Independent Director
COMPENSATION
$170K
AGE
49
TENURE
2 yrs

Tim Crow

TITLE
Independent Director
COMPENSATION
$170K
AGE
63
TENURE
2 yrs

Greg Gluchowski

TITLE
Independent Director
COMPENSATION
$170K
AGE
54
TENURE
2 yrs

David Reeder

TITLE
Independent Director
COMPENSATION
$170K
AGE
44
TENURE
2 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
05. Mar 19 Sell Ling An-Heid Individual 04. Mar 19 04. Mar 19 -5,855 $14.03 $-82,147
05. Mar 19 Sell Gerrit Jue Individual 04. Mar 19 04. Mar 19 -5,137 $14.03 $-72,070
05. Mar 19 Sell Hugh O'Donnell Individual 04. Mar 19 04. Mar 19 -3,021 $14.03 $-42,386
05. Mar 19 Sell Mark Miller Individual 04. Mar 19 04. Mar 19 -4,940 $14.03 $-69,300
04. Sep 18 Sell James Gentilcore Individual 31. Aug 18 31. Aug 18 -35,800 $21.08 $-754,653
02. Aug 18 Sell Bruce Chalmers Individual 02. Aug 18 02. Aug 18 -7,494 $19.77 $-148,151
X
Management checks
We assess Milacron Holdings's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Milacron Holdings has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

MCRN News

Simply Wall St News

Should We Be Cautious About Milacron Holdings Corp.'s (NYSE:MCRN) ROE Of 8.2%?

The formula for ROE is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Milacron Holdings: 8.2% = US$44m ÷ US$537m (Based on the trailing twelve months to March 2019.) Most know that net profit is the total earnings after all expenses, but the concept of shareholders' equity is a little more complicated. … Does Milacron Holdings Have A Good Return On Equity? … Combining Milacron Holdings's Debt And Its 8.2% Return On Equity Milacron Holdings does use a significant amount of debt to increase returns.

Simply Wall St -

Is Milacron Holdings Corp. (NYSE:MCRN) Potentially Undervalued?

This is because Milacron Holdings’s beta (a measure of share price volatility) is high, meaning its price movements will be exaggerated relative to the rest of the market. … Although value investors would argue that it’s the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. … If you are no longer interested in Milacron Holdings, you can use our free platform to see my list of over 50 other stocks with a high growth potential.

Simply Wall St -

Are Investors Undervaluing Milacron Holdings Corp. (NYSE:MCRN) By 50%?

A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we discount the value of these future cash flows to their estimated value in today's dollars: 10-year free cash flow (FCF) forecast 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Levered FCF ($, Millions) $100.70 $128.35 $146.00 $160.35 $172.70 $183.43 $192.90 $201.46 $209.36 $216.83 Growth Rate Estimate Source Analyst x2 Analyst x2 Analyst x1 Est @ 9.83% Est @ 7.7% Est @ 6.21% Est @ 5.17% Est @ 4.44% Est @ 3.92% Est @ 3.57% Present Value ($, Millions) Discounted @ 12.34% $89.64 $101.70 $102.97 $100.67 $96.51 $91.25 $85.42 $79.41 $73.46 $67.72 Present Value of 10-year Cash Flow (PVCF)= $888.74m "Est" = FCF growth rate estimated by Simply Wall St We now need to calculate the Terminal Value, which accounts for all the future cash flows after this ten year period. … In the same way as with the 10-year 'growth' period, we discount future cash flows to today's value, using a cost of equity of 12.3%. … NYSE:MCRN Intrinsic value, June 2nd 2019 The assumptions Now the most important inputs to a discounted cash flow are the discount rate, and of course, the actual cash flows.

Simply Wall St -

Did Milacron Holdings Corp. (NYSE:MCRN) Insiders Sell Shares?

So we'll take a look at whether insiders have been buying or selling shares in Milacron Holdings Corp. … Milacron Holdings Insiders Are Selling The Stock Over the last three months, we've seen significant insider selling at Milacron Holdings. … Insiders own 0.8% of Milacron Holdings shares, worth about US$7.2m, according to our data.

Simply Wall St -

Why Milacron Holdings Corp.'s (NYSE:MCRN) High P/E Ratio Isn't Necessarily A Bad Thing

We'll look at Milacron Holdings Corp.'s (NYSE:MCRN) P/E ratio and reflect on what it tells us about the company's share price. … Looking at earnings over the last twelve months, Milacron Holdings has a P/E ratio of 22.76. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

Will Milacron Holdings Corp.'s (NYSE:MCRN) Earnings Grow In The Next 12 Months?

Based on Milacron Holdings Corp.'s (NYSE:MCRN) earnings update in December 2018, … with profits predicted to increase by 43% next year,

Simply Wall St -

Does Milacron Holdings Corp. (NYSE:MCRN) Have A Particularly Volatile Share Price?

(NYSE:MCRN), then you might want to consider its beta (a measure of share price volatility) in order to understand how the stock could impact your portfolio. … Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility). … A stock with a beta below one is either less volatile than the market, or more volatile but not corellated with the overall market.

Simply Wall St -

The Milacron Holdings (NYSE:MCRN) Share Price Is Down 40% So Some Shareholders Are Getting Worried

While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. … One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. … But the share price might be lower because the market expected a meaningful improvement, and got none.

Simply Wall St -

Is Milacron Holdings Corp. (NYSE:MCRN) Struggling With Its 9.0% Return On Capital Employed?

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … Understanding Return On Capital Employed (ROCE). … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

Why I Like Milacron Holdings Corp. (NYSE:MCRN)

(NYSE:MCRN) is a stock with outstanding fundamental characteristics. … When we build an investment case, we need to look at the stock with a holistic perspective. … In the case of MCRN, it

Simply Wall St -

MCRN Company Info

Description

Milacron Holdings Corp. manufactures, distributes, and services engineered and customized systems within the plastic technology and processing industry in the United States and internationally. The company operates through three segments: Advanced Plastic Processing Technologies (APPT), Melt Delivery and Control Systems (MDCS), and Fluid Technologies (Fluids). The APPT segment designs, manufactures, and sells plastic processing equipment and systems, which include injection molding, blow molding, and extrusion equipment; and auxiliary systems and related parts and services. This segment serves companies who serve in the consumer goods, packaging, electronics, medical, automotive, and construction end markets. The MDCS segment designs, manufactures, and sells hot runner systems, process control systems, mold bases and components, and aftermarket parts and related technologies and services for injection molding, as well as maintenance, repair, and operating supplies for plastic processing operations. This segment serves customers in the plastic processing value chain and manufacturing spectrum, including OEMs, molders, and mold makers in the consumer goods, electronics, automotive, packaging, and medical end markets. The Fluids segment manufactures and markets coolants, lubricants, process cleaners, and corrosion inhibitors that are used in metalworking processes, such as cutting, grinding, stamping, forming, and high speed machining. This segment’s products are used in various markets, such as aerospace, medical, automotive, industrial components and machinery, bearings, munitions, packaging, job shops, and glass and mirror production. The company was formerly known as Milacron LLC and changed its name to Milacron Holdings Corp. in May 2012. The company was founded in 1860 and is headquartered in Cincinnati, Ohio.

Details
Name: Milacron Holdings Corp.
MCRN
Exchange: NYSE
Founded: 1860
$1,188,282,624
70,521,224
Website: http://www.milacron.com
Address: Milacron Holdings Corp.
10200 Alliance Road,
Suite 200,
Cincinnati,
Ohio, 45242,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE MCRN Common Stock New York Stock Exchange US USD 25. Jun 2015
DB RM6 Common Stock Deutsche Boerse AG DE EUR 25. Jun 2015
Number of employees
Current staff
Staff numbers
5,797
Milacron Holdings employees.
Industry
Industrial Machinery
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/22 03:39
End of day share price update: 2019/07/19 00:00
Last estimates confirmation: 2019/07/12
Last earnings filing: 2019/05/02
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.