NYSE:MCRN

Stock Analysis Report

Executive Summary

Milacron Holdings Corp. manufactures, distributes, and services engineered and customized systems within the plastic technology and processing industry in the United States and internationally.

Snowflake

Fundamentals

Good value with moderate growth potential.

Risks

  • Milacron Holdings has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-0.1%

NYSE:MCRN

-1.5%

US Machinery

-0.7%

US Market


1 Year Return

-20.6%

NYSE:MCRN

-7.6%

US Machinery

-0.5%

US Market

MCRN underperformed the Machinery industry which returned -7.4% over the past year.

MCRN underperformed the Market in United States of America which returned -0.4% over the past year.


Share holder returns

MCRNIndustryMarket
7 Day-0.1%-1.5%-0.7%
30 Day-6.4%-8.3%-3.0%
90 Day22.4%-2.9%0.9%
1 Year-20.6%-20.6%-5.7%-7.6%1.7%-0.5%
3 Year-5.4%-5.4%35.6%26.7%39.5%30.4%
5 Yearn/a36.2%19.4%54.1%37.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

48%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

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, and at a substantial discount (> 40%).


Price Based on Earnings

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

Milacron Holdings is good value based on expected growth next year.


Price Based on Value of Assets

Milacron Holdings is good value based on assets compared to the US Machinery industry average.


Next Steps

Future Growth

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

52.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Milacron Holdings's revenue is expected to grow by 1.2% yearly, however this is not considered high growth (20% yearly).

Milacron Holdings's earnings are expected to grow significantly at over 20% yearly.

Milacron Holdings's revenue growth is positive but not above the United States of America market average.

Milacron Holdings's earnings growth is expected to exceed the United States of America market average.

Milacron Holdings's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Milacron Holdings is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Milacron Holdings performed over the past 5 years?

62.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Milacron Holdings has delivered over 20% year on year earnings growth in the past 5 years.

Milacron Holdings's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Milacron Holdings's 1-year earnings growth is negative, it can't be compared to the US Machinery industry average.


Return on Equity

Milacron Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Milacron Holdings used its assets less efficiently than the US Machinery industry average last year based on Return on Assets.


Return on Capital Employed

Milacron Holdings's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Milacron Holdings's financial position?


Financial Position Analysis

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.


Debt to Equity History and Analysis

Milacron Holdings's level of debt (156.7%) 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 (239.7% vs 156.7% today).

Debt is not well covered by operating cash flow (12.4%, less than 20% of total debt).

Interest payments on debt are not well covered by earnings (EBIT is 2.7x annual interest expense, ideally 3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.8x debt.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

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.

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

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.


Next Steps

Management

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

4.5yrs

Average management tenure


CEO

Tom Goeke (60yo)

6.9yrs

Tenure

US$4,419,238

Compensation

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 a ...


CEO Compensation Analysis

Tom's remuneration is higher than average for companies of similar size in United States of America.

Tom's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

4.5yrs

Average Tenure

59yo

Average Age

The tenure for the Milacron Holdings management team is about average.


Board Age and Tenure

4.8yrs

Average Tenure

62yo

Average Age

The tenure for the Milacron Holdings board of directors is about average.


Insider Trading

Milacron Holdings individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$81,45705 Aug 19
Bruce Chalmers
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares4,993
Max PriceUS$16.31
SellUS$42,38605 Mar 19
Hugh O'Donnell
EntityIndividual
Role
Chief Legal Officer
VP, General Counsel & Secretary
Shares3,021
Max PriceUS$14.03
SellUS$69,30005 Mar 19
Mark Miller
EntityIndividual
Role
Head of Human Resources
VP & Chief Human Resources Officer
Shares4,940
Max PriceUS$14.03
SellUS$72,07005 Mar 19
Gerrit Jue
EntityIndividual
Role
Unit President
President of Fluids
Shares5,137
Max PriceUS$14.03
SellUS$82,14705 Mar 19
Ling An-Heid
EntityIndividual
Role
Unit President
President of Mold-Masters
Shares5,855
Max PriceUS$14.03
SellUS$754,65304 Sep 18
James Gentilcore
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares35,800
Max PriceUS$21.08

Ownership Breakdown


Management Team

  • Hugh O'Donnell (67yo)

    VP, General Counsel & Secretary

    • Tenure: 20.6yrs
  • Bruce Catoen

    Chief Technology Officer

    • Tenure: 0.0yrs
  • Bruce Chalmers (53yo)

    Chief Financial Officer

    • Tenure: 4.8yrs
    • Compensation: US$2.38m
  • Tom Goeke (60yo)

    CEO, President & Director

    • Tenure: 6.9yrs
    • Compensation: US$4.42m
  • Michael Ellis

    Director of Global Marketing & Communications

    • Tenure: 0.0yrs
  • Mark Miller (56yo)

    VP & Chief Human Resources Officer

    • Tenure: 4.3yrs
    • Compensation: US$848.29k
  • Dario Vettor

    Chief Information Officer

    • Tenure: 0.0yrs
  • Gerrit Jue (60yo)

    President of Fluids

    • Tenure: 2.9yrs
    • Compensation: US$937.75k
  • Ling An-Heid (58yo)

    President of Mold-Masters

    • Tenure: 1.8yrs
    • Compensation: US$1.77m
  • Michael Crawford

    Manager of Corporate Communications

    • Tenure: 0.0yrs

Board Members

  • Jim Kratochvil (62yo)

    Independent Director

    • Tenure: 4.8yrs
    • Compensation: US$190.00k
  • Ira Boots (64yo)

    Non-Executive Chairman

    • Tenure: 7.3yrs
    • Compensation: US$500.00k
  • Jim Gentilcore (66yo)

    Independent Director

    • Tenure: 5.5yrs
    • Compensation: US$177.50k
  • Tom Goeke (60yo)

    CEO, President & Director

    • Tenure: 6.9yrs
    • Compensation: US$4.42m
  • Tim Crow (63yo)

    Independent Director

    • Tenure: 2.1yrs
    • Compensation: US$170.00k
  • Waters Davis (65yo)

    Independent Director

    • Tenure: 6.1yrs
    • Compensation: US$170.00k
  • Greg Gluchowski (54yo)

    Independent Director

    • Tenure: 2.1yrs
    • Compensation: US$170.00k
  • David Reeder (44yo)

    Independent Director

    • Tenure: 2.1yrs
    • Compensation: US$170.00k
  • Rebecca Steinfort (49yo)

    Independent Director

    • Tenure: 2.1yrs
    • Compensation: US$170.00k

Company Information

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


Key Information

  • Name: Milacron Holdings Corp.
  • Ticker: MCRN
  • Exchange: NYSE
  • Founded: 1860
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: US$1.112b
  • Shares outstanding: 70.52m
  • Website: https://www.milacron.com

Number of Employees


Location

  • Milacron Holdings Corp.
  • 10200 Alliance Road
  • Suite 200
  • Cincinnati
  • Ohio
  • 45242
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MCRNNYSE (New York Stock Exchange)YesCommon StockUSUSDJun 2015
RM6DB (Deutsche Boerse AG)YesCommon StockDEEURJun 2015

Biography

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 ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/19 00:52
End of Day Share Price2019/08/16 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.