NYSE:MATX

Stock Analysis Report

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Executive Summary

Matson, Inc., together with its subsidiaries, provides ocean transportation and logistics services.


Snowflake Analysis

Slightly overvalued with questionable track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: MATX's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

28.4%

MATX

0.1%

US Shipping

2.3%

US Market


1 Year Return

-3.2%

MATX

-36.8%

US Shipping

6.7%

US Market

Return vs Industry: MATX exceeded the US Shipping industry which returned -36.8% over the past year.

Return vs Market: MATX underperformed the US Market which returned 6.7% over the past year.


Shareholder returns

MATXIndustryMarket
7 Day28.4%0.1%2.3%
30 Day22.8%-3.7%7.4%
90 Day27.5%2.7%17.9%
1 Year-0.8%-3.2%-35.2%-36.8%9.0%6.7%
3 Year30.4%21.1%-28.1%-32.4%36.6%27.7%
5 Year-2.6%-13.0%-64.1%-68.5%64.2%46.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Matson 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: MATX ($36.49) is trading below our estimate of fair value ($111.12)

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


Price To Earnings Ratio

PE vs Industry: MATX is poor value based on its PE Ratio (21.1x) compared to the US Shipping industry average (10.1x).

PE vs Market: MATX is poor value based on its PE Ratio (21.1x) compared to the US market (16.2x).


Price to Earnings Growth Ratio

PEG Ratio: MATX is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: MATX is overvalued based on its PB Ratio (2x) compared to the US Shipping industry average (0.4x).


Next Steps

Future Growth

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

16.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MATX's forecast earnings growth (16.2% per year) is above the savings rate (2.2%).

Earnings vs Market: MATX's earnings (16.2% per year) are forecast to grow slower than the US market (22.9% per year).

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

Revenue vs Market: MATX's revenue (0.7% per year) is forecast to grow slower than the US market (9.4% per year).

High Growth Revenue: MATX's revenue (0.7% 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 MATX's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Matson performed over the past 5 years?

5.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MATX has high quality earnings.

Growing Profit Margin: MATX's current net profit margins (3.4%) are lower than last year (4.8%).


Past Earnings Growth Analysis

Earnings Trend: MATX's earnings have grown by 5.8% per year over the past 5 years.

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

Earnings vs Industry: MATX had negative earnings growth (-30.9%) over the past year, making it difficult to compare to the Shipping industry average (-37.6%).


Return on Equity

High ROE: MATX's Return on Equity (9.2%) is considered low.


Next Steps

Financial Health

How is Matson's financial position?


Financial Position Analysis

Short Term Liabilities: MATX's short term assets ($308.7M) do not cover its short term liabilities ($470.9M).

Long Term Liabilities: MATX's short term assets ($308.7M) do not cover its long term liabilities ($1.6B).


Debt to Equity History and Analysis

Debt Level: MATX's debt to equity ratio (115.6%) is considered high.

Reducing Debt: MATX's debt to equity ratio has increased from 97.2% to 115.6% over the past 5 years.

Debt Coverage: MATX's debt is well covered by operating cash flow (30.7%).

Interest Coverage: MATX's interest payments on its debt are well covered by EBIT (4.2x coverage).


Balance Sheet


Next Steps

Dividend

What is Matson current dividend yield, its reliability and sustainability?

2.52%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: MATX's dividend (2.52%) is higher than the bottom 25% of dividend payers in the US market (1.68%).

High Dividend: MATX's dividend (2.52%) is low compared to the top 25% of dividend payers in the US market (4.6%).


Stability and Growth of Payments

Stable Dividend: MATX's dividend payments have been volatile in the past 10 years.

Growing Dividend: MATX's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (50.4%), MATX's dividend payments are covered by earnings.


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?

3.3yrs

Average management tenure


CEO

Matt Cox (59yo)

8.08yrs

Tenure

US$4,475,035

Compensation

Mr. Matthew J. Cox, also known as Matt, serves as Director of First Hawaiian Inc since 2016. Mr. Cox has been a Director at First Hawaiian Bank since 2014. Mr. Cox Serves as the Director at Matson Inc. sin ...


CEO Compensation Analysis

Compensation vs Market: Matt's total compensation ($USD4.48M) is about average for companies of similar size in the US market ($USD4.72M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Matthew Cox
Chairman & CEO8.08yrsUS$4.48m0.47% $7.4m
Ronald Forest
President3.25yrsUS$1.67m0.13% $2.0m
Joel Wine
Senior VP & CFO8.83yrsUS$1.66m0.27% $4.2m
Peter Heilmann
Senior VP3.25yrsUS$1.34m0.078% $1.2m
John Lauer
Senior VP & Chief Commercial Officer3.25yrsUS$1.23m0.058% $910.8k
P. Weis
Chief Information Officer & Senior VPno datano datano data
Lee Fishman
Director of Investor Relationsno datano datano data
John Wagner
Director of Corporate Communications4.92yrsno datano data
Yolanda Gonzales
Vice President of Human Resourcesno datano datano data
Branton Dreyfus
Senior Vice President of Alaska0.50yrno data0.062% $972.7k

3.3yrs

Average Tenure

59yo

Average Age

Experienced Management: MATX's management team is considered experienced (3.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Matthew Cox
Chairman & CEO8.08yrsUS$4.48m0.47% $7.4m
Meredith Ching
Director0.25yrno data0.054% $848.6k
Stanley Kuriyama
Lead Independent Director2.25yrsUS$221.36k0.091% $1.4m
Constance Lau
Independent Director16.25yrsUS$197.86k0.14% $2.1m
Mark Fukunaga
Independent Director2.25yrsUS$186.36k0.037% $586.0k
Thomas Fargo
Independent Director8.58yrsUS$195.45k0.072% $1.1m
Jenai Wall
Independent Director1.25yrsUS$162.64k0.0061% $95.8k

2.3yrs

Average Tenure

64yo

Average Age

Experienced Board: MATX's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.


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

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


Key Information

  • Name: Matson, Inc.
  • Ticker: MATX
  • Exchange: NYSE
  • Founded: 1882
  • Industry: Marine
  • Sector: Transportation
  • Market Cap: US$1.571b
  • Shares outstanding: 43.04m
  • Website: https://www.matson.com

Number of Employees


Location

  • Matson, Inc.
  • 1411 Sand Island Parkway
  • Honolulu
  • Hawaii
  • 96819
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MATXNYSE (New York Stock Exchange)YesCommon StockUSUSDDec 1972
MATXDB (Deutsche Boerse AG)YesCommon StockDEEURDec 1972

Biography

Matson, Inc., together with its subsidiaries, provides ocean transportation and logistics services. The company’s Ocean Transportation segment offers ocean freight transportation services to the domestic non-contiguous economies of Hawaii, Alaska, and Guam, as well as to other island economies in Micronesia. It primarily transports dry containers of mixed commodities, refrigerated commodities, packaged foods and beverages, building materials, automobiles, and household goods; livestock; seafood; general sustenance cargo; and garments, footwear, e-commerce, and other retail merchandise. This segment also operates an expedited service from China to Long Beach, California, and various islands in the South Pacific, as well as Okinawa, Japan; and provides container stevedoring, refrigerated cargo services, inland transportation, container equipment maintenance, and other terminal services to ocean carriers on the Hawaiian islands of Oahu, Hawaii, Maui, and Kauai, as well as in the Alaska locations of Anchorage, Kodiak, and Dutch Harbor. In addition, it offers vessel management services. The Logistics segment provides multimodal transportation brokerage services, including domestic and international rail intermodal, long-haul and regional highway trucking, specialized hauling, flat-bed and project, less-than-truckload, and expedited freight services; less-than-container load consolidation and freight forwarding services; warehousing and distribution services; and supply chain management services. It serves the U.S. military, freight forwarders, retailers, consumer goods, automobile manufacturers, and other customers. The company was formerly known as Alexander & Baldwin Holdings, Inc. and changed its name to Matson, Inc. in June 2012. Matson, Inc. was founded in 1882 and is headquartered in Honolulu, Hawaii. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/12 23:59
End of Day Share Price2020/07/10 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


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.