Marcus & Millichap
Market Cap
US$1.4b
Last Updated
2021/03/05 00:00 UTC
Data Sources
Company Financials +
Executive Summary
Marcus & Millichap, Inc., an investment brokerage company, provides real estate investment brokerage and financing services to sellers and buyers of commercial real estate in the United States and Canada. More Details
Snowflake Analysis
Flawless balance sheet with moderate growth potential.
Similar Companies
Share Price & News
How has Marcus & Millichap's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MMI is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: MMI's weekly volatility (4%) has been stable over the past year.
Market Performance
7 Day Return
-8.3%
MMI
-10.9%
US Real Estate
-2.4%
US Market
1 Year Return
12.7%
MMI
29.5%
US Real Estate
31.2%
US Market
Return vs Industry: MMI underperformed the US Real Estate industry which returned 29.5% over the past year.
Return vs Market: MMI underperformed the US Market which returned 31.2% over the past year.
Shareholder returns
| MMI | Industry | Market | |
|---|---|---|---|
| 7 Day | -8.3% | -10.9% | -2.4% |
| 30 Day | -6.1% | -8.0% | -3.0% |
| 90 Day | -6.7% | 4.0% | 3.2% |
| 1 Year | 12.7%12.7% | 32.8%29.5% | 34.1%31.2% |
| 3 Year | 3.2%3.2% | 24.4%16.0% | 48.1%38.6% |
| 5 Year | 42.1%42.1% | 67.3%46.3% | 116.5%92.3% |
Long-Term Price Volatility Vs. Market
How volatile is Marcus & Millichap's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Have Insiders Been Selling Marcus & Millichap, Inc. (NYSE:MMI) Shares?1 month ago | Simply Wall St
When Should You Buy Marcus & Millichap, Inc. (NYSE:MMI)?1 month ago | Simply Wall St
We're Not So Sure You Should Rely on Marcus & Millichap's (NYSE:MMI) Statutory EarningsValuation
Is Marcus & Millichap undervalued compared to its fair value and its price relative to the market?
31.8x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: MMI ($34.36) is trading above our estimate of fair value ($2.15)
Significantly Below Fair Value: MMI is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: MMI is good value based on its PE Ratio (31.8x) compared to the US Real Estate industry average (34.2x).
PE vs Market: MMI is poor value based on its PE Ratio (31.8x) compared to the US market (21x).
Price to Earnings Growth Ratio
PEG Ratio: MMI is poor value based on its PEG Ratio (1.5x)
Price to Book Ratio
PB vs Industry: MMI is overvalued based on its PB Ratio (2.5x) compared to the US Real Estate industry average (1.3x).
Next Steps
Future Growth
How is Marcus & Millichap forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
21.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MMI's forecast earnings growth (21.5% per year) is above the savings rate (2%).
Earnings vs Market: MMI's earnings (21.5% per year) are forecast to grow faster than the US market (19.5% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: MMI's revenue (8.7% per year) is forecast to grow slower than the US market (10.1% per year).
High Growth Revenue: MMI's revenue (8.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if MMI's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Marcus & Millichap performed over the past 5 years?
-0.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MMI has high quality earnings.
Growing Profit Margin: MMI's current net profit margins (6%) are lower than last year (9.5%).
Past Earnings Growth Analysis
Earnings Trend: MMI's earnings have declined by 0.9% per year over the past 5 years.
Accelerating Growth: MMI's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: MMI had negative earnings growth (-44.3%) over the past year, making it difficult to compare to the Real Estate industry average (-28.6%).
Return on Equity
High ROE: MMI's Return on Equity (7.8%) is considered low.
Next Steps
Financial Health
How is Marcus & Millichap's financial position?
Financial Position Analysis
Short Term Liabilities: MMI's short term assets ($429.1M) exceed its short term liabilities ($120.3M).
Long Term Liabilities: MMI's short term assets ($429.1M) exceed its long term liabilities ($112.0M).
Debt to Equity History and Analysis
Debt Level: MMI is debt free.
Reducing Debt: MMI has no debt compared to 5 years ago when its debt to equity ratio was 5.6%.
Debt Coverage: MMI has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: MMI has no debt, therefore coverage of interest payments is not a concern.
Balance Sheet
Next Steps
Dividend
What is Marcus & Millichap current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate MMI's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate MMI's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if MMI's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if MMI's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of MMI'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?
5.0yrs
Average management tenure
CEO
Hessam Nadji (55 yo)
5yrs
Tenure
US$5,787,225
Compensation
Mr. Hessam Nadji has been President, Chief Executive Officer and Director of Marcus & Millichap Inc. since March 31, 2016. Prior to his appointment as President and Chief Executive Officer of the Company, ...
CEO Compensation Analysis
Compensation vs Market: Hessam's total compensation ($USD5.79M) is above average for companies of similar size in the US market ($USD3.64M).
Compensation vs Earnings: Hessam's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Founder & Chairman | 50.17yrs | US$139.99k | 37.6% $ 508.9m | |
| President | 5yrs | US$5.79m | 0.51% $ 6.9m | |
| Senior VP & Chief Administrative Officer | 5.42yrs | US$694.02k | 0.027% $ 361.3k | |
| Senior Vice President of Corporate Initiatives | 0.58yr | US$848.88k | 0.21% $ 2.8m | |
| Executive VP & Chief Financial Officer | 0.58yr | no data | no data | |
| Exec. VP of Investments and Senior Director of National Retail Group & Net Leased Properties Group | 8.58yrs | no data | no data | |
| First VP of Finance & Chief Accounting Officer | 6.83yrs | no data | 0.013% $ 172.7k | |
| First VP & Chief Information Officer | 1.17yrs | no data | no data | |
| Managing Director | 5.17yrs | no data | no data | |
| First Vice President & General Counsel | 1.92yrs | no data | no data | |
| Public Relations Director | no data | no data | no data | |
| VP & Director of Marketing | 1.17yrs | no data | no data |
5.0yrs
Average Tenure
58yo
Average Age
Experienced Management: MMI's management team is seasoned and experienced (5 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Founder & Chairman | 50.17yrs | US$139.99k | 37.6% $ 508.9m | |
| President | 5yrs | US$5.79m | 0.51% $ 6.9m | |
| Independent Director | 1.58yrs | US$128.73k | 0.013% $ 173.6k | |
| Independent Director | 7.42yrs | US$159.99k | 0.034% $ 454.7k | |
| Lead Independent Director | no data | US$164.99k | 0.057% $ 775.4k | |
| Independent Director | 7.42yrs | US$154.99k | 0.057% $ 775.4k | |
| Independent Director | 7.42yrs | US$164.99k | 0.054% $ 731.7k |
7.4yrs
Average Tenure
75yo
Average Age
Experienced Board: MMI's board of directors are considered experienced (7.4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: MMI insiders have only sold shares 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
Marcus & Millichap, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Marcus & Millichap, Inc.
- Ticker: MMI
- Exchange: NYSE
- Founded: 1971
- Industry: Real Estate Services
- Sector: Real Estate
- Market Cap: US$1.353b
- Shares outstanding: 39.39m
- Website: https://www.marcusmillichap.com
Number of Employees
Location
- Marcus & Millichap, Inc.
- 23975 Park Sorrento
- Suite 400
- Calabasas
- California
- 91302
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| MMI | NYSE (New York Stock Exchange) | Yes | New Common Stock | US | USD | Nov 2013 |
| M6M | DB (Deutsche Boerse AG) | Yes | New Common Stock | DE | EUR | Nov 2013 |
Biography
Marcus & Millichap, Inc., an investment brokerage company, provides real estate investment brokerage and financing services to sellers and buyers of commercial real estate in the United States and Canada. ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/03/05 00:00 |
| End of Day Share Price | 2021/03/04 00:00 |
| Earnings | 2020/12/31 |
| Annual Earnings | 2020/12/31 |
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.