MSC Industrial Direct Co., Inc., together with its subsidiaries, distributes metalworking and maintenance, repair, and operations (MRO) products in the United States, Canada, Mexico, and the United Kingdom. More Details
Established dividend payer and good value.
Share Price & News
How has MSC Industrial Direct's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MSM is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: MSM's weekly volatility (3%) has been stable over the past year.
7 Day Return
US Trade Distributors
1 Year Return
US Trade Distributors
Return vs Industry: MSM underperformed the US Trade Distributors industry which returned 47.8% over the past year.
Return vs Market: MSM exceeded the US Market which returned 31.2% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is MSC Industrial Direct's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall StHow Should Investors Feel About MSC Industrial Direct's (NYSE:MSM) CEO Remuneration?
1 month ago | Simply Wall StHere's What To Make Of MSC Industrial Direct's (NYSE:MSM) Returns On Capital
2 months ago | Simply Wall StDid You Participate In Any Of MSC Industrial Direct's (NYSE:MSM) Respectable 82% Return?
Is MSC Industrial Direct undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: MSM ($81.93) is trading below our estimate of fair value ($110.95)
Significantly Below Fair Value: MSM is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: MSM is good value based on its PE Ratio (20.3x) compared to the US Trade Distributors industry average (26.2x).
PE vs Market: MSM is good value based on its PE Ratio (20.3x) compared to the US market (21x).
Price to Earnings Growth Ratio
PEG Ratio: MSM is poor value based on its PEG Ratio (1.6x)
Price to Book Ratio
PB vs Industry: MSM is overvalued based on its PB Ratio (4.1x) compared to the US Trade Distributors industry average (2.1x).
How is MSC Industrial Direct forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MSM's forecast earnings growth (12.7% per year) is above the savings rate (2%).
Earnings vs Market: MSM's earnings (12.7% per year) are forecast to grow slower than the US market (19.5% per year).
High Growth Earnings: MSM's earnings are forecast to grow, but not significantly.
Revenue vs Market: MSM's revenue (4.6% per year) is forecast to grow slower than the US market (10.1% per year).
High Growth Revenue: MSM's revenue (4.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: MSM's Return on Equity is forecast to be high in 3 years time (24.9%)
How has MSC Industrial Direct performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MSM has high quality earnings.
Growing Profit Margin: MSM's current net profit margins (7.1%) are lower than last year (8.3%).
Past Earnings Growth Analysis
Earnings Trend: MSM's earnings have grown by 4% per year over the past 5 years.
Accelerating Growth: MSM's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: MSM had negative earnings growth (-20%) over the past year, making it difficult to compare to the Trade Distributors industry average (-14.1%).
Return on Equity
High ROE: MSM's Return on Equity (19.9%) is considered low.
How is MSC Industrial Direct's financial position?
Financial Position Analysis
Short Term Liabilities: MSM's short term assets ($1.1B) exceed its short term liabilities ($514.0M).
Long Term Liabilities: MSM's short term assets ($1.1B) exceed its long term liabilities ($641.8M).
Debt to Equity History and Analysis
Debt Level: MSM's debt to equity ratio (43%) is considered high.
Reducing Debt: MSM's debt to equity ratio has increased from 23.8% to 43% over the past 5 years.
Debt Coverage: MSM's debt is well covered by operating cash flow (85.2%).
Interest Coverage: MSM's interest payments on its debt are well covered by EBIT (21.8x coverage).
What is MSC Industrial Direct current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: MSM's dividend (3.66%) is higher than the bottom 25% of dividend payers in the US market (1.34%).
High Dividend: MSM's dividend (3.66%) is low compared to the top 25% of dividend payers in the US market (3.72%).
Stability and Growth of Payments
Stable Dividend: MSM's dividends per share have been stable in the past 10 years.
Growing Dividend: MSM's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (74.4%), MSM's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: MSM's dividends in 3 years are forecast to be covered by earnings (61% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Erik Gershwind (49 yo)
Mr. Erik David Gershwind has been the Chief Executive Officer of MSC Industrial Direct Co. Inc. since January 1, 2013. Mr. Gershwind has also been the President of MSC Industrial Direct Co. Inc. since Octo...
CEO Compensation Analysis
Compensation vs Market: Erik's total compensation ($USD4.34M) is about average for companies of similar size in the US market ($USD4.96M).
Compensation vs Earnings: Erik's compensation has been consistent with company performance over the past year.
|Senior VP||12.42yrs||US$983.46k||0.016% |
|Senior Vice President of Sales & Customer Success||1.75yrs||US$973.09k||0% |
|Executive VP & Chief Supply Chain Officer||15.25yrs||US$1.13m||0.0061% |
|Executive VP & CFO||0.58yr||no data||no data|
|Senior VP & Chief Information Officer||13.67yrs||no data||0.0058% |
|VP of Investor Relations & Treasurer||8.42yrs||no data||no data|
|Director of Corporate Communications||6.17yrs||no data||no data|
|Executive VP and Chief Strategy & Marketing Officer||4.33yrs||US$851.48k||0.018% |
|Senior VP & Chief People Officer||0.33yr||no data||no data|
|Senior Vice President of New Business Innovation & Transformation||no data||US$913.59k||0.021% |
|Senior Vice President of Supplier Enablement||5yrs||no data||0.016% |
Experienced Management: MSM's management team is seasoned and experienced (6.2 years average tenure).
|Independent Director||12.17yrs||US$221.13k||0.032% |
|Non-Executive Chairman||23.17yrs||US$454.66k||11.57% |
|Independent Director||5.5yrs||US$209.51k||0.013% |
|Independent Director||24.92yrs||US$226.94k||0.022% |
|Independent Lead Director||13.25yrs||US$227.74k||0.027% |
|Independent Director||11yrs||US$208.49k||0.030% |
|Independent Director||5.5yrs||US$209.21k||0.013% |
|Non Executive Independent Director||0.50yr||no data||no data|
Experienced Board: MSM's board of directors are seasoned and experienced ( 11 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: MSM insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
MSC Industrial Direct Co., Inc.'s company bio, employee growth, exchange listings and data sources
- Name: MSC Industrial Direct Co., Inc.
- Ticker: MSM
- Exchange: NYSE
- Founded: 1941
- Industry: Trading Companies and Distributors
- Sector: Capital Goods
- Market Cap: US$4.700b
- Shares outstanding: 55.81m
- Website: https://www.mscdirect.com
Number of Employees
- MSC Industrial Direct Co., Inc.
- 75 Maxess Road
- New York
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|MSM||NYSE (New York Stock Exchange)||Yes||Class A Common Stock||US||USD||Dec 1995|
|98M||DB (Deutsche Boerse AG)||Yes||Class A Common Stock||DE||EUR||Dec 1995|
MSC Industrial Direct Co., Inc., together with its subsidiaries, distributes metalworking and maintenance, repair, and operations (MRO) products in the United States, Canada, Mexico, and the United Kingdom...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/03/04 23:35|
|End of Day Share Price||2021/03/04 00:00|
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.