NasdaqGS:MNRO

Stock Analysis Report

Executive Summary

Monro, Inc. provides automotive undercar repair, and tire sales and services in the United States.

Snowflake

Fundamentals

Adequate balance sheet with proven track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-3.0%

NasdaqGS:MNRO

-3.4%

US Specialty Retail

-1.0%

US Market


1 Year Return

12.2%

NasdaqGS:MNRO

-6.5%

US Specialty Retail

-0.4%

US Market

MNRO outperformed the Specialty Retail industry which returned -7.1% over the past year.

MNRO outperformed the Market in United States of America which returned -1.7% over the past year.


Share holder returns

MNROIndustryMarket
7 Day-3.0%-3.4%-1.0%
30 Day-0.03%-7.4%-3.3%
90 Day-1.6%-6.4%0.4%
1 Year13.4%12.2%-5.0%-6.5%1.8%-0.4%
3 Year44.3%39.4%17.8%11.8%39.4%30.4%
5 Year58.7%50.4%41.5%28.9%54.2%37.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Monro undervalued based on future cash flows and its price relative to the stock market?

32.11x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Monro's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Monro's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Monro is overvalued based on earnings compared to the US Specialty Retail industry average.

Monro is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Monro is poor value based on expected growth next year.


Price Based on Value of Assets

Monro is overvalued based on assets compared to the US Specialty Retail industry average.


Next Steps

Future Growth

How is Monro expected to perform in the next 1 to 3 years based on estimates from 8 analysts?

12.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Monro's revenue is expected to grow by 8.5% yearly, however this is not considered high growth (20% yearly).

Monro's earnings are expected to grow by 12.4% yearly, however this is not considered high growth (20% yearly).

Monro's revenue growth is expected to exceed the United States of America market average.

Monro's earnings growth is positive but not above the United States of America market average.

Monro's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Monro will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Monro performed over the past 5 years?

4.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Monro's year on year earnings growth rate has been positive over the past 5 years.

Monro's 1-year earnings growth exceeds its 5-year average (22.1% vs 4.6%)

Monro's earnings growth has exceeded the US Specialty Retail industry average in the past year (22.1% vs 10.5%).


Return on Equity

Monro has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Monro used its assets more efficiently than the US Specialty Retail industry average last year based on Return on Assets.


Return on Capital Employed

Monro's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Monro's financial position?


Financial Position Analysis

Monro's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Monro's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Monro's level of debt (22.3%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (24.6% vs 22.3% today).

Debt is well covered by operating cash flow (100.6%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 5x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.5x debt.


Next Steps

Dividend

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

1.09%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Monro's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.5%).

Monro's dividend is below the markets top 25% of dividend payers in United States of America (3.9%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (3x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

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

1.8yrs

Average management tenure


CEO

Brett Ponton (49yo)

1.8yrs

Tenure

US$1,440,687

Compensation

Mr. Brett T. Ponton has been the President of Monro, Inc. (formerly, Monro Muffler Brake, Inc.) since August 1, 2017, Chief Executive Officer since October 2, 2017 and Director since December 8, 2017. Mr.  ...


CEO Compensation Analysis

Brett's remuneration is lower than average for companies of similar size in United States of America.

Insufficient data for Brett to compare compensation growth.


Management Age and Tenure

1.8yrs

Average Tenure

48.5yo

Average Age

The average tenure for the Monro management team is less than 2 years, this suggests a new team.


Board Age and Tenure

4.0yrs

Average Tenure

71yo

Average Age

The tenure for the Monro board of directors is about average.


Insider Trading

Monro individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$215,33808 Aug 19
Donald Glickman
EntityIndividual
Role
Member of the Board of Directors
Shares2,500
Max PriceUS$86.14
SellUS$639,22301 Aug 19
Donald Glickman
EntityIndividual
Role
Member of the Board of Directors
Shares7,500
Max PriceUS$86.07
SellUS$52,52305 Sep 18
John Auerbach
EntityIndividual
Role
Member of the Board of Directors
Shares750
Max PriceUS$70.03
SellUS$352,40004 Sep 18
Peter Solomon
EntityIndividual
Role
Member of the Board of Directors
Shares5,000
Max PriceUS$70.61
SellUS$704,79530 Aug 18
Peter Solomon
EntityIndividual
Role
Member of the Board of Directors
Shares10,000
Max PriceUS$70.74
SellUS$1,423,30427 Aug 18
Peter Solomon
EntityIndividual
Role
Member of the Board of Directors
Shares20,000
Max PriceUS$71.26
SellUS$1,065,92722 Aug 18
Peter Solomon
EntityIndividual
Role
Member of the Board of Directors
Shares15,000
Max PriceUS$71.13
SellUS$1,055,26621 Aug 18
Peter Solomon
EntityIndividual
Role
Member of the Board of Directors
Shares15,000
Max PriceUS$70.52

Ownership Breakdown


Management Team

  • Cathy D'Amico (63yo)

    Director of Special Projects

    • Tenure: 2.6yrs
    • Compensation: $352.51k
  • Brett Ponton (49yo)

    CEO, President & Director

    • Tenure: 1.8yrs
    • Compensation: $1.44m
  • Maureen Mulholland (48yo)

    Senior VP

    • Tenure: 15.8yrs
    • Compensation: $296.50k
  • Brian D'Ambrosia (45yo)

    Executive VP of Finance

    • Tenure: 2.6yrs
    • Compensation: $713.90k
  • Samuel Senuk (51yo)

    Senior Vice President of Store Operations

  • Deborah Brundage (44yo)

    Chief Marketing Officer & Senior VP

    • Tenure: 1.4yrs
    • Compensation: $449.36k
  • Jerry Alessia (51yo)

    Senior VP & Chief Merchandising Officer

    • Tenure: 1.1yrs
    • Compensation: $512.75k
  • Avi Dasgupta (48yo)

    Chief Information Officer & Senior VP

    • Tenure: 0.8yrs

Board Members

  • Stephen McCluski (67yo)

    Independent Director

    • Tenure: 6.0yrs
    • Compensation: $222.97k
  • Donald Glickman (86yo)

    Director

    • Tenure: 35.1yrs
    • Compensation: $217.97k
  • Peter Solomon (80yo)

    Independent Director

    • Tenure: 35.1yrs
    • Compensation: $187.97k
  • Robert Mellor (75yo)

    Independent Chairman

    • Tenure: 2.0yrs
    • Compensation: $237.97k
  • Mike Danziger (80yo)

    Independent Director

    • Tenure: 35.1yrs
    • Compensation: $205.97k
  • Brett Ponton (49yo)

    CEO, President & Director

    • Tenure: 1.7yrs
    • Compensation: $1.44m
  • John Auerbach (41yo)

    Director

    • Tenure: 2.0yrs
    • Compensation: $181.97k
  • Lindsay Hyde (37yo)

    Director

    • Tenure: 2.0yrs
    • Compensation: $184.97k

Company Information

Monro, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Monro, Inc.
  • Ticker: MNRO
  • Exchange: NasdaqGS
  • Founded: 1957
  • Industry: automotive retail
  • Sector: retail
  • Market Cap: US$2.623b
  • Shares outstanding: 33.22m
  • Website: Click here

Number of Employees


Location

  • Monro, Inc.
  • 200 Holleder Parkway
  • Rochester
  • New York
  • 14615
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MNRONasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJul 1991
MR2DB (Deutsche Boerse AG)YesCommon StockDEEURJul 1991

Biography

Monro, Inc. provides automotive undercar repair, and tire sales and services in the United States. The company offers range of services on passenger cars, light trucks, and vans for brakes; mufflers and ex ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/16 23:38
End of Day Share Price2019/08/16 00:00
Earnings2019/06/29
Annual Earnings2019/03/30


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.