OTCPK:MHPS.Y

Stock Analysis Report

Executive Summary

MHP SE, through its subsidiaries, produces and sells food products in Ukraine.

Snowflake

Fundamentals

Very undervalued with adequate balance sheet and pays a dividend.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

MHPS.Y

-1.5%

US Food

0.07%

US Market


1 Year Return

n/a

MHPS.Y

-0.7%

US Food

8.9%

US Market

Return vs Industry: Insufficient data to determine how MHPS.Y performed against the US Food industry.

Return vs Market: Insufficient data to determine how MHPS.Y performed against the US Market.


Shareholder returns

MHPS.YIndustryMarket
7 Day0%-1.5%0.07%
30 Day1.0%-4.0%-0.3%
90 Dayn/a-3.3%-1.6%
1 Yearn/a2.2%-0.7%11.3%8.9%
3 Yearn/a-4.1%-12.6%46.3%36.8%
5 Year-11.7%-30.1%38.7%22.1%62.1%44.3%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is MHP 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: MHPS.Y ($8.78) is trading below our estimate of fair value ($39.84)

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


Price To Earnings Ratio

PE vs Industry: MHPS.Y is good value based on its PE Ratio (9x) compared to the Food industry average (25.1x).

PE vs Market: MHPS.Y is good value based on its PE Ratio (9x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: MHPS.Y is good value based on its PEG Ratio (0.8x)


Price to Book Ratio

PB vs Industry: MHPS.Y is good value based on its PB Ratio (0.8x) compared to the US Food industry average (2.1x).


Next Steps

Future Growth

How is MHP forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

10.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MHPS.Y's forecast earnings growth (10.8% per year) is above the savings rate (2.7%).

Earnings vs Market: MHPS.Y's earnings (10.8% per year) are forecast to grow slower than the US market (14.5% per year).

High Growth Earnings: MHPS.Y's earnings are forecast to grow, but not significantly.

Revenue vs Market: MHPS.Y's revenue (5.8% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: MHPS.Y's revenue (5.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MHPS.Y's Return on Equity is forecast to be low in 3 years time (15.3%).


Next Steps

Past Performance

How has MHP performed over the past 5 years?

61.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: MHPS.Y has become profitable over the past 5 years, growing earnings by 61.4% per year.

Accelerating Growth: MHPS.Y's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: MHPS.Y had negative earnings growth (-51.2%) over the past year, making it difficult to compare to the Food industry average (-24%).


Return on Equity

High ROE: MHPS.Y's Return on Equity (8.8%) is considered low.


Return on Assets

ROA vs Industry: MHPS.Y's Return on Assets is below or equal to the Food industry average last year.


Return on Capital Employed

ROCE Improving: MHPS.Y's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is MHP's financial position?


Financial Position Analysis

Short Term Liabilities: MHPS.Y's short term assets ($1.1B) exceeds its short term liabilities ($679.2M)

Long Term Liabilities: MHPS.Y's short term assets (1.1B) do not cover its long term liabilities (1.4B)


Debt to Equity History and Analysis

Debt Level: MHPS.Y's debt to equity ratio (119.7%) is considered high

Reducing Debt: MHPS.Y's debt to equity ratio has reduced from 190.3% to 119.7% over the past 5 years.

Debt Coverage: MHPS.Y's debt is well covered by operating cash flow (27.3%).

Interest Coverage: MHPS.Y's interest payments on its debt are well covered by EBIT (3.4x coverage).


Balance Sheet

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

Debt Coverage by Assets: MHPS.Y's debt is not covered by short term assets (assets are 0.8x debt).


Next Steps

Dividend

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

8.57%

Current Dividend Yield


Dividend Yield vs Market

company8.6%marketbottom25%1.4%markettop25%3.7%industryaverage2.8%forecastin3Years8.6%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: MHPS.Y's dividend (8.57%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: MHPS.Y's dividend (8.57%) is in the top 25% of dividend payers in the US market (3.68%)

Stable Dividend: MHPS.Y has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: MHPS.Y has only been paying a dividend for 7 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (77.3%), MHPS.Y's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MHPS.Y's dividends in 3 years are forecast to be well covered by earnings (38.6% payout ratio).


Next Steps

Management

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

4.8yrs

Average management tenure


CEO

Yuriy Kosyuk (51yo)

4.8yrs

Tenure

US$1,822,000

Compensation

Mr. Yuriy A. Kosyuk founded MHP S.A. in 1998 and has been its Chief Executive Officer since December 2014. Mr. Kosyuk serves as the Chief Executive Officer of JSC MHP. Mr. Kosyuk served as First Deputy Hea ...


Management Age and Tenure

4.8yrs

Average Tenure

56yo

Average Age

Experienced Management: MHPS.Y's management team is considered experienced (4.8 years average tenure).


Board Age and Tenure

1.8yrs

Average Tenure

62yo

Average Age

Experienced Board: MHPS.Y's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Roberto Banfi (72yo)

    Executive Director

    • Tenure: 1.3yrs
  • Yuriy Kosyuk (51yo)

    Founder

    • Tenure: 4.8yrs
    • Compensation: US$1.82m
  • Viktoria Kapelyushnaya (49yo)

    CFO & Executive Director

    • Tenure: 13.4yrs
  • Dina Ivleva

    Head of Chicken Production

    • Tenure: 20.9yrs
  • Maxim Pysariev

    General Director of LLC Vinnytsia Poultry Farm

    • Tenure: 11.9yrs
  • John Rich (67yo)

    Executive Chairman

    • Tenure: 2.3yrs
  • Olexander Bondar

    Chief Veterinarian

    • Tenure: 0yrs
  • Yuriy Melnyk (56yo)

    COO & Executive Director

    • Tenure: 8yrs
  • Iryna Bublyk

    Head of Investment Planning

    • Tenure: 0yrs
  • Sergey Ivanov

    Sales Director

    • Tenure: 0yrs

Board Members

  • John Albert Grant (73yo)

    Senior Independent Director

    • Tenure: 0yrs
  • Roberto Banfi (72yo)

    Executive Director

    • Tenure: 1.3yrs
  • Yuriy Kosyuk (51yo)

    Founder

    • Tenure: 4.8yrs
    • Compensation: US$1.82m
  • Takis Taoushanis (62yo)

    Non-Executive Director

    • Tenure: 1.3yrs
  • Viktoria Kapelyushnaya (49yo)

    CFO & Executive Director

    • Tenure: 13.4yrs
  • John Rich (67yo)

    Executive Chairman

    • Tenure: 2.3yrs
  • Yuriy Melnyk (56yo)

    COO & Executive Director

    • Tenure: 8yrs
  • Roger Wills

    Non-Executive Director

    • Tenure: 0.8yrs

Company Information

MHP SE's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: MHP SE
  • Ticker: MHPS.Y
  • Exchange: OTCPK
  • Founded: 1998
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Market Cap: US$933.373m
  • Shares outstanding: 107.04m
  • Website: https://www.mhp.com.ua

Number of Employees


Location

  • MHP SE
  • 158, Ak.Zabolotnogo Street
  • Kyiv
  • 3143
  • Ukraine

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MHPCLSE (London Stock Exchange)YesGDR EACH REPR 1 ORD SHARE 'REGS'GBUSDMay 2008
MPQDB (Deutsche Boerse AG)YesGDR EACH REPR 1 ORD SHARE 'REGS'DEEURMay 2008
MHPS.YOTCPK (Pink Sheets LLC)YesGDR EACH REPR 1 ORD SHARE 'REGS'USUSDMay 2008
MHPCLBATS-CHIXE (BATS 'Chi-X Europe')YesGDR EACH REPR 1 ORD SHARE 'REGS'GBUSDMay 2008
MHPCUKR (PFTS Ukraine Stock Exchange)YesGDR EACH REPR 1 ORD SHARE 'REGS'UAUAHMay 2008

Biography

MHP SE, through its subsidiaries, produces and sells food products in Ukraine. It operates through Poultry and Related Operations, Grain Growing Operations, and Other Agricultural Operations segments. The  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 00:08
End of Day Share Price2019/09/30 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.