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MATW

Matthews InternationalNasdaqGS:MATW Stock Report

Market Cap

US$1.1b

7D

2.1%

1Y

59.2%

Updated

25 Sep, 2021

Data

Company Financials +
MATW fundamental analysis
Snowflake Score
Valuation4/6
Future Growth3/6
Past Performance1/6
Financial Health4/6
Dividends4/6

MATW Overview

Matthews International Corporation provides brand solutions, memorialization products, and industrial technologies worldwide.

Matthews International Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Matthews International
Historical stock prices
Current Share PriceUS$34.54
52 Week HighUS$21.00
52 Week LowUS$43.75
Beta1.19
1 Month Change0.38%
3 Month Change-3.49%
1 Year Change59.24%
3 Year Change-31.13%
5 Year Change-43.15%
Change since IPO852.83%

Recent News & Updates

Sep 16

Matthews International Corporation: A Very Good Opportunity For Long-Term Oriented Dividend Growth Investors

Declining volumes and margins caused a sharp drop in the stock price. Sales have recently exceeded pre-coronavirus pandemic sales for three consecutive quarters. Commodity prices are deflating after a few months characterized by stratospherical prices. Both increasing sales and declining commodity prices should allow the company to successfully deleverage its balance sheet in the medium term. This represents a good opportunity to acquire shares at half the price from all-time highs.

Sep 16
Matthews International Corporation (NASDAQ:MATW) Shares Could Be 47% Below Their Intrinsic Value Estimate

Matthews International Corporation (NASDAQ:MATW) Shares Could Be 47% Below Their Intrinsic Value Estimate

Does the September share price for Matthews International Corporation ( NASDAQ:MATW ) reflect what it's really worth...

Jun 29

Matthews International: An Opportunity To Die For

Matthews International Corporation has seen some pain from the COVID-19 pandemic, but the company as a whole appears robust. Shares of the business are priced at a cheap level and it is likely to recover before too long. Given the long-term outlook for the business, investors should consider this to be an attractive prospect moving forward.

May 29
Matthews International (NASDAQ:MATW) Hasn't Managed To Accelerate Its Returns

Matthews International (NASDAQ:MATW) Hasn't Managed To Accelerate Its Returns

What are the early trends we should look for to identify a stock that could multiply in value over the long term...

Shareholder Returns

MATWUS Commercial ServicesUS Market
7D2.1%1.5%0.1%
1Y59.2%29.5%35.3%

Return vs Industry: MATW exceeded the US Commercial Services industry which returned 29.4% over the past year.

Return vs Market: MATW exceeded the US Market which returned 35.3% over the past year.

Price Volatility

Is MATW's price volatile compared to industry and market?
MATW volatility
MATW Beta1.19
Industry Beta1.04
Market Beta1

Stable Share Price: MATW is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: MATW's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
185011,000Joseph Bartolaccihttps://www.matw.com

Matthews International Corporation provides brand solutions, memorialization products, and industrial technologies worldwide. The company’s SGK Brand Solutions segment offers brand management and pre-media services, printing plates and cylinders, engineered products, imaging services, digital asset management, merchandising display systems, and marketing and design services primarily for the consumer goods and retail industries. Its Memorialization segment manufactures and markets a range of memorialization products for use in cemeteries, funeral homes, and crematories.

Matthews International Fundamentals Summary

How do Matthews International's earnings and revenue compare to its market cap?
MATW fundamental statistics
Market CapUS$1.09b
Earnings (TTM)US$13.99m
Revenue (TTM)US$1.63b

78.0x

P/E Ratio

0.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
MATW income statement (TTM)
RevenueUS$1.63b
Cost of RevenueUS$1.07b
Gross ProfitUS$561.39m
ExpensesUS$547.40m
EarningsUS$13.99m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.44
Gross Margin34.41%
Net Profit Margin0.86%
Debt/Equity Ratio125.4%

How did MATW perform over the long term?

See historical performance and comparison

Dividends

2.5%

Current Dividend Yield

194%

Payout Ratio

Valuation

Is Matthews International undervalued compared to its fair value and its price relative to the market?

44.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MATW ($34.54) is trading below our estimate of fair value ($61.83)

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


Price To Earnings Ratio

PE vs Industry: MATW is poor value based on its PE Ratio (78x) compared to the US Commercial Services industry average (33.3x).

PE vs Market: MATW is poor value based on its PE Ratio (78x) compared to the US market (17.9x).


Price to Earnings Growth Ratio

PEG Ratio: MATW is good value based on its PEG Ratio (1x)


Price to Book Ratio

PB vs Industry: MATW is good value based on its PB Ratio (1.7x) compared to the US Commercial Services industry average (2.6x).


Future Growth

How is Matthews International forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

82.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MATW's forecast earnings growth (82.1% per year) is above the savings rate (2%).

Earnings vs Market: MATW's earnings (82.1% per year) are forecast to grow faster than the US market (14.8% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: MATW's revenue (1.4% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: MATW's revenue (1.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MATW's Return on Equity is forecast to be low in 3 years time (7.3%).


Past Performance

How has Matthews International performed over the past 5 years?

-46.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MATW has a large one-off loss of $55.8M impacting its June 30 2021 financial results.

Growing Profit Margin: MATW became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: MATW's earnings have declined by 46.5% per year over the past 5 years.

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

Earnings vs Industry: MATW has become profitable in the last year, making it difficult to compare its past year earnings growth to the Commercial Services industry (30.4%).


Return on Equity

High ROE: MATW's Return on Equity (2.2%) is considered low.


Financial Health

How is Matthews International's financial position?


Financial Position Analysis

Short Term Liabilities: MATW's short term assets ($620.7M) exceed its short term liabilities ($329.5M).

Long Term Liabilities: MATW's short term assets ($620.7M) do not cover its long term liabilities ($1.1B).


Debt to Equity History and Analysis

Debt Level: MATW's debt to equity ratio (125.4%) is considered high.

Reducing Debt: MATW's debt to equity ratio has reduced from 133.3% to 125.4% over the past 5 years.

Debt Coverage: MATW's debt is well covered by operating cash flow (20.8%).

Interest Coverage: MATW's interest payments on its debt are well covered by EBIT (4x coverage).


Balance Sheet


Dividend

What is Matthews International current dividend yield, its reliability and sustainability?

2.49%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MATW's dividend (2.49%) is higher than the bottom 25% of dividend payers in the US market (1.33%).

High Dividend: MATW's dividend (2.49%) is low compared to the top 25% of dividend payers in the US market (3.6%).


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: With its high payout ratio (194.2%), MATW's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MATW's dividends in 3 years are forecast to be well covered by earnings (25.2% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

11.3yrs

Average management tenure


CEO

Joseph Bartolacci (61 yo)

14.92yrs

Tenure

US$6,577,867

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 ($USD6.58M) is above average for companies of similar size in the US market ($USD2.30M).

Compensation vs Earnings: Joseph's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: MATW's management team is seasoned and experienced (11.3 years average tenure).


Board Members

Experienced Board: MATW's board of directors are seasoned and experienced ( 10.2 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.


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 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$1.092b
  • Shares outstanding: 31.61m
  • Website: https://www.matw.com

Number of Employees


Location

  • Matthews International Corporation
  • Two NorthShore Center
  • Pittsburgh
  • Pennsylvania
  • 15212-5851
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/25 22:13
End of Day Share Price2021/09/24 00:00
Earnings2021/06/30
Annual Earnings2020/09/30


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.