OTCPK:MUEL

Stock Analysis Report

Executive Summary

Paul Mueller Company provides manufactured equipment and components for the food, dairy, beverage, chemical, pharmaceutical, and other industries.


Snowflake Analysis

Undervalued with adequate balance sheet.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: MUEL has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

1.8%

MUEL

-0.4%

US Machinery

0.06%

US Market


1 Year Return

9.2%

MUEL

9.7%

US Machinery

19.3%

US Market

Return vs Industry: MUEL matched the US Machinery industry which returned 9.7% over the past year.

Return vs Market: MUEL underperformed the US Market which returned 19.3% over the past year.


Shareholder returns

MUELIndustryMarket
7 Day1.8%-0.4%0.06%
30 Day1.8%-0.3%1.7%
90 Day3.6%2.0%9.0%
1 Year9.2%9.2%11.8%9.7%21.8%19.3%
3 Year3.6%3.6%38.7%29.8%49.5%39.9%
5 Year-39.4%-39.4%63.7%44.3%73.1%54.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Paul Mueller 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: MUEL ($28.5) is trading below our estimate of fair value ($112.04)

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


Price To Earnings Ratio

PE vs Industry: MUEL is good value based on its PE Ratio (11.8x) compared to the Machinery industry average (21.4x).

PE vs Market: MUEL is good value based on its PE Ratio (11.8x) compared to the US market (18.5x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: MUEL is good value based on its PB Ratio (1.2x) compared to the US Machinery industry average (2.2x).


Next Steps

Future Growth

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

9.3%

Forecasted Capital Goods 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 Paul Mueller 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

  • Examine whether Paul Mueller is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
  • 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 Paul Mueller's filings and announcements here.
  • Explore growth companies in the Capital Goods industry.

Past Performance

How has Paul Mueller performed over the past 5 years?

-49.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MUEL has high quality earnings.

Growing Profit Margin: MUEL became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: MUEL's earnings have declined by -49.3% per year over the past 5 years.

Accelerating Growth: MUEL has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: MUEL has become profitable in the last year, making it difficult to compare its past year earnings growth to the Machinery industry (2.4%).


Return on Equity

High ROE: MUEL's Return on Equity (9.8%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Paul Mueller's financial position?


Financial Position Analysis

Short Term Liabilities: MUEL's short term assets ($56.5M) exceed its short term liabilities ($49.9M).

Long Term Liabilities: MUEL's short term assets ($56.5M) exceed its long term liabilities ($46.9M).


Debt to Equity History and Analysis

Debt Level: MUEL's debt to equity ratio (61.3%) is considered high.

Reducing Debt: MUEL's debt to equity ratio has increased from 13.4% to 61.3% over the past 5 years.

Debt Coverage: MUEL's debt is well covered by operating cash flow (109.8%).

Interest Coverage: MUEL's interest payments on its debt are well covered by EBIT (4.9x coverage).


Balance Sheet

Inventory Level: MUEL has a high level of physical assets or inventory.

Debt Coverage by Assets: MUEL's debt is covered by short term assets (assets are 3.1x debt).


Next Steps

Dividend

What is Paul Mueller's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%1.4%markettop25%3.7%industryaverage1.9%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

High Dividend: Unable to evaluate MUEL's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if MUEL's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: MUEL is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of MUEL'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?

7.1yrs

Average management tenure


CEO

David Moore (48yo)

8.5yrs

Tenure

0

Mr. David T. Moore has been the Chief Executive Officer and the President of Paul Mueller Co. since August 29, 2011. Mr. Moore served as Vice President and Company Secretary of Paul Mueller Co., until Augu ...


Leadership Team

NamePositionTenureCompensationOwnership
David Moore
President8.5yrsno datano data
Kenneth Jeffries
Chief Financial Officer5.5yrsno datano data
Michael Payne
Financial & Operations Manager0yrsno datano data
Jay Holden
Marketing Manager0yrsno datano data
Denise Silvey
Human Resources Manager & Secretary7.1yrsno datano data

7.1yrs

Average Tenure

Experienced Management: MUEL's management team is seasoned and experienced (7.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
David Moore
President8.5yrsno datano data
John Stack
Director7yrsno datano data
Curtis Dinan
Director5.5yrsno datano data
Jeanie Morris
Director8.5yrsno datano data
John Ghirardelli
Chairman of the Board7yrsno datano data
Lee Viorel
Director0yrsno datano data

7.0yrs

Average Tenure

51yo

Average Age

Experienced Board: MUEL's board of directors are considered experienced (7 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

Paul Mueller Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Paul Mueller Company
  • Ticker: MUEL
  • Exchange: OTCPK
  • Founded: 1940
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: US$34.082m
  • Shares outstanding: 1.20m
  • Website: https://www.paulmueller.com

Number of Employees


Location

  • Paul Mueller Company
  • 1600 West Phelps Street
  • Springfield
  • Missouri
  • 65802
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MUELOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 1969

Biography

Paul Mueller Company provides manufactured equipment and components for the food, dairy, beverage, chemical, pharmaceutical, and other industries. The company operates through four segments: Dairy Farm Equipment, Industrial Equipment, Field Fabrication, and Transportation. The Dairy Farm Equipment segment provides milk cooling and storage equipment and accessories, refrigeration units, and heat recovery equipment for use on dairy farms to dealers, as well as directly to farmers; and services for farmers, as well as milk coolers for rent to farmers. The Industrial Equipment segment offers biopharmaceutical equipment and pure water equipment; heat transfer products; and stainless steel and alloy processing and storage tanks, as well as food, beverage, chemical, and industrial processing equipment to industrial customers. The Field Fabrication segment provides field-erected tanks, vessels, equipment installation, process piping, retrofit and/or repair of process systems, and turnkey design and construction of processing plants. Its products are used in sanitary and industrial process applications. The Transportation segment includes the delivery of products to customers, and backhauls of materials and components. This segment also offers contract carriage services for third parties. Paul Mueller Company was founded in 1940 and is headquartered in Springfield, Missouri. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/21 00:32
End of Day Share Price2020/02/20 00:00
Earnings2019/09/30
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.