Matthews International
Market Cap
US$756.9m
Last Updated
2020/03/31 23:40 UTC
Data Sources
Company Financials +
Executive Summary
Matthews International Corporation provides brand solutions, memorialization products, and industrial products worldwide.
Rewards
Risk Analysis
Snowflake Analysis
Fair value with moderate growth potential.
Similar Companies
Share Price & News
How has Matthews International's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MATW's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
5.9%
MATW
3.8%
US Commercial Services
5.3%
US Market
1 Year Return
-33.8%
MATW
-15.7%
US Commercial Services
-10.7%
US Market
Return vs Industry: MATW underperformed the US Commercial Services industry which returned -15.7% over the past year.
Return vs Market: MATW underperformed the US Market which returned -10.7% over the past year.
Shareholder returns
| MATW | Industry | Market | |
|---|---|---|---|
| 7 Day | 5.9% | 3.8% | 5.3% |
| 30 Day | -18.4% | -20.5% | -13.6% |
| 90 Day | -36.8% | -23.7% | -19.8% |
| 1 Year | -32.2%-33.8% | -12.7%-15.7% | -8.9%-10.7% |
| 3 Year | -61.1%-63.0% | 17.7%10.1% | 15.5%8.0% |
| 5 Year | -49.5%-53.0% | 41.4%26.4% | 35.2%20.4% |
Price Volatility Vs. Market
How volatile is Matthews International's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
An Intrinsic Calculation For Matthews International Corporation (NASDAQ:MATW) Suggests It's 39% Undervalued3 weeks ago | Simply Wall St
Need To Know: Matthews International Corporation (NASDAQ:MATW) Insiders Have Been Buying Shares1 month ago | Simply Wall St
Did Changing Sentiment Drive Matthews International's (NASDAQ:MATW) Share Price Down A Worrying 51%?Valuation
Is Matthews International undervalued compared to its fair value and its price relative to the market?
34.0%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: MATW ($24.13) is trading below our estimate of fair value ($36.54)
Significantly Below Fair Value: MATW is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: MATW is unprofitable, so we can't compare its PE Ratio to the Commercial Services industry average.
PE vs Market: MATW 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 MATW's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: MATW is good value based on its PB Ratio (1.1x) compared to the US Commercial Services industry average (1.2x).
Next Steps
Future Growth
How is Matthews International forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
87.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MATW is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.7%).
Earnings vs Market: MATW is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: MATW's is expected to become profitable in the next 3 years.
Revenue vs Market: MATW's revenue is expected to decline over the next 3 years (-0.3% per year).
High Growth Revenue: MATW's revenue is forecast to decline over the next 3 years (-0.3% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if MATW's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Matthews International performed over the past 5 years?
-7.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MATW is currently unprofitable.
Growing Profit Margin: MATW is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: MATW is unprofitable, and losses have increased over the past 5 years at a rate of -7% per year.
Accelerating Growth: Unable to compare MATW's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: MATW is unprofitable, making it difficult to compare its past year earnings growth to the Commercial Services industry (2.5%).
Return on Equity
High ROE: MATW has a negative Return on Equity (-7.29%), as it is currently unprofitable.
Next Steps
Financial Health
How is Matthews International's financial position?
Financial Position Analysis
Short Term Liabilities: MATW's short term assets ($594.3M) exceed its short term liabilities ($283.3M).
Long Term Liabilities: MATW's short term assets ($594.3M) do not cover its long term liabilities ($1.3B).
Debt to Equity History and Analysis
Debt Level: MATW's debt to equity ratio (134.7%) is considered high.
Reducing Debt: MATW's debt to equity ratio has increased from 94.3% to 134.7% over the past 5 years.
Balance Sheet
Inventory Level: MATW has a high level of physical assets or inventory.
Debt Coverage by Assets: MATW's debt is not covered by short term assets (assets are 0.6x debt).
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: MATW has been profitable on average in the past, therefore cash runway is not a concern.
Forecast Cash Runway: MATW has been profitable on average in the past, therefore cash runway is not a concern.
Next Steps
Dividend
What is Matthews International's current dividend yield, its reliability and sustainability?
3.48%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: MATW's dividend (3.48%) is higher than the bottom 25% of dividend payers in the US market (1.95%).
High Dividend: MATW's dividend (3.48%) is low compared to the top 25% of dividend payers in the US market (5.37%).
Stability and Growth of Payments
Stable Dividend: MATW's dividends per share have been stable in the past 10 years.
Growing Dividend: MATW's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: MATW is paying a dividend but the company is unprofitable.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
8.4yrs
Average management tenure
CEO
Joseph Bartolacci (59yo)
13.42s
Tenure
US$6,919,529
Compensation
Mr. Joseph C. Bartolacci has been the Chief Executive Officer and President of Matthews International Corporation since October 1, 2006 and September 1, 2005 respectively. Mr. Bartolacci served as Principa ...
CEO Compensation Analysis
Compensation vs Market: Joseph's total compensation ($USD6.92M) is above average for companies of similar size in the US market ($USD3.17M).
Compensation vs Earnings: Joseph's compensation has increased whilst the company is unprofitable.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | 13.42yrs | US$6.92m | 1.08% $8.2m | |
| CFO & Corporate Secretary | 16.25yrs | US$3.05m | 0.45% $3.4m | |
| Senior VP & General Counsel | 11yrs | US$1.20m | 0.12% $901.0k | |
| Executive Vice President of Strategy & Corporate Development | 5.67yrs | US$1.72m | 0.17% $1.3m | |
| Group President of Memorialization | 8.42yrs | US$1.24m | 0.28% $2.1m | |
| CTO & Director | 9.25yrs | US$1.34m | 0.11% $868.4k | |
| Chief Information Officer | no data | no data | 0.0059% $44.3k | |
| Senior Director of Corporate Development & Investor Relations | no data | no data | no data | |
| Senior Vice President of Human Resources | 5.25yrs | no data | 0.049% $369.4k | |
| Head of Global Business Services | no data | no data | 0.022% $167.4k |
8.4yrs
Average Tenure
59yo
Average Age
Experienced Management: MATW's management team is seasoned and experienced (8.4 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | 13.42yrs | US$6.92m | 1.08% $8.2m | |
| CTO & Director | 9.25yrs | US$1.34m | 0.11% $868.4k | |
| Independent Chairman of the Board | 10yrs | US$310.00k | 0.10% $785.6k | |
| Independent Director | 10.42yrs | US$225.00k | 0.087% $659.4k | |
| Independent Director | 8.67yrs | US$220.00k | 0.053% $403.2k | |
| Director | 5.67yrs | US$1.42m | 0.90% $6.8m | |
| Independent Director | 5yrs | US$210.00k | 0.028% $211.2k | |
| Independent Director | 11.67yrs | US$220.00k | 0.078% $592.1k | |
| Independent Director | 4.42yrs | US$210.00k | 0.021% $155.6k | |
| Independent Director | 8.67yrs | US$220.00k | 0.043% $322.4k |
9.0yrs
Average Tenure
62yo
Average Age
Experienced Board: MATW's board of directors are considered experienced (9 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: MATW 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
Matthews International Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Matthews International Corporation
- Ticker: MATW
- Exchange: NasdaqGS
- Founded: 1850
- Industry: Diversified Support Services
- Sector: Commercial Services
- Market Cap: US$756.907m
- Shares outstanding: 31.29m
- Website: https://www.matw.com
Number of Employees
Location
- Matthews International Corporation
- Two NorthShore Center
- Pittsburgh
- Pennsylvania
- 15212
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| MATW | NasdaqGS (Nasdaq Global Select) | Yes | Class A Common Stock | US | USD | Jul 1994 |
| MW1A | DB (Deutsche Boerse AG) | Yes | Class A Common Stock | DE | EUR | Jul 1994 |
Biography
Matthews International Corporation provides brand solutions, memorialization products, and industrial products worldwide. The company’s SGK Brand Solutions segment provides brand development and graphic design services, such as visual intellectual properties, packaging, and content creation; brand deployment and activation services, including design and production of merchandising exhibits and shopper experiences in digital and printed media channels; and consulting services to brand owners on workflow best practices, management and technologies, printing quality, measurement, and consistency. This segment also produces digital packaging artwork files, and pre-media graphics services for print and digital channels, as well as image carriers comprising printing plates and gravure cylinders; and develops digital tools. Its Memorialization segment manufactures and markets a range of memorialization products for use in cemeteries, funeral homes, and crematories. This segment offers cast bronze memorials, flush bronze and granite memorials, upright granite memorials and monuments, cremation memorialization products, granite benches, flower vases, crypt plates and letters, cremation urns, niche units, cemetery features and statues, caskets, community and family mausoleums, bronze plaques, letters, emblems, vases, lights, and photo ceramics, as well as architectural products to identify or commemorate people, places, events, and accomplishments. The company’s Industrial Technologies segment designs, manufactures, and distributes marking and coding equipment and consumables, industrial automation products, and order fulfillment systems for identifying, tracking, picking, and conveying consumer and industrial products. This segment serves manufacturers, suppliers, and distributors of durable goods and building products; consumer goods manufacturers; and pharmaceutical producers. Matthews International Corporation was founded in 1850 and is based in Pittsburgh, Pennsylvania.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/03/31 23:40 |
| End of Day Share Price | 2020/03/31 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/09/30 |
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.