NasdaqGS:MSEX

Stock Analysis Report

Executive Summary

Middlesex Water Company, together with its subsidiaries, owns and operates regulated water utility and wastewater systems.

Snowflake

Fundamentals

Proven track record average dividend payer.

Risks

  • Middlesex Water is covered by less than 3 analysts.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0.9%

NasdaqGS:MSEX

1.0%

US Water Utilities

2.9%

US Market


1 Year Return

30.7%

NasdaqGS:MSEX

30.1%

US Water Utilities

0.2%

US Market

MSEX outperformed the Water Utilities industry which returned 29.3% over the past year.

MSEX outperformed the Market in United States of America which returned -0.7% over the past year.


Share holder returns

MSEXIndustryMarket
7 Day0.9%1.0%2.9%
30 Day0.8%7.5%-2.3%
90 Day-0.2%9.5%3.1%
1 Year32.9%30.7%32.6%30.1%2.4%0.2%
3 Year81.3%70.4%69.3%59.0%41.7%32.4%
5 Year233.2%195.1%150.7%124.6%55.1%37.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

29.35x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

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

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


Price Based on Earnings

Middlesex Water is good value based on earnings compared to the US Water Utilities industry average.

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


Price Based on Expected Growth

Unable to calculate PEG ratio for Middlesex Water, we can't assess if its growth is good value.


Price Based on Value of Assets

Middlesex Water is overvalued based on assets compared to the US Water Utilities industry average.


Next Steps

Future Growth

How is Middlesex Water expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

-5.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Middlesex Water's revenue is expected to grow by 3% yearly, however this is not considered high growth (20% yearly).

Middlesex Water's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.

Middlesex Water's revenue growth is positive but not above the United States of America market average.

Middlesex Water's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.

Middlesex Water's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has Middlesex Water performed over the past 5 years?

13.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

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

Middlesex Water's 1-year earnings growth exceeds its 5-year average (30.1% vs 13.1%)

Middlesex Water's earnings growth has exceeded the US Water Utilities industry average in the past year (30.1% vs 4.9%).


Return on Equity

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


Return on Assets

Middlesex Water used its assets more efficiently than the US Water Utilities industry average last year based on Return on Assets.


Return on Capital Employed

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


Next Steps

Financial Health

How is Middlesex Water's financial position?


Financial Position Analysis

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

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


Debt to Equity History and Analysis

Middlesex Water's level of debt (86.7%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (85.2% vs 86.7% today).

Debt is not well covered by operating cash flow (16.6%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 5.5x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.1x debt.


Next Steps

Dividend

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

1.59%

Current Dividend Yield


Dividend Yield and Payments Analysis

Middlesex Water's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).

Middlesex Water's dividend is below the markets top 25% of dividend payers in United States of America (3.85%).

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 (2.2x 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 Middlesex Water's salary, the management and board of directors tenure and is there insider trading?

7.4yrs

Average management tenure


CEO

Dennis Doll (60yo)

13.6yrs

Tenure

US$1,413,006

Compensation

Mr. Dennis W. Doll, CPA, has been the Chief Executive Officer and President of Middlesex Water Co. since January 1, 2006 and joined its in 2004. Mr. Doll served as an Executive Vice President of Middlesex  ...


CEO Compensation Analysis

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

Dennis's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

7.4yrs

Average Tenure

53yo

Average Age

The average tenure for the Middlesex Water management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

9.4yrs

Average Tenure

56yo

Average Age

The tenure for the Middlesex Water board of directors is about average.


Insider Trading

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


Recent Insider Transactions

SellUS$30,69509 Jul 19
Robert Fullagar
EntityIndividual
Role
Chief Operating Officer
Vice President of Operations
Shares500
Max PriceUS$61.39
SellUS$39,96208 Jul 19
Lorrie Ginegaw
EntityIndividual
Role
Head of Human Resources
Vice President of Human Resources
Shares650
Max PriceUS$61.48
SellUS$23,85312 Jun 19
Walter Reinhard
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares399
Max PriceUS$59.82
SellUS$24,38007 Jun 19
Bernadette Sohler
EntityIndividual
Shares406
Max PriceUS$60.05
SellUS$103,80216 May 19
A. O'Connor
EntityIndividual
Role
Chief Financial Officer
Senior VP
Shares1,700
Max PriceUS$61.06
SellUS$191,77913 May 19
Dennis Doll
EntityIndividual
Role
Chief Executive Officer
Chairman
Shares3,127
Max PriceUS$61.33
SellUS$34328 Mar 19
Bernadette Sohler
EntityIndividual
Shares6
Max PriceUS$57.19
SellUS$115,70022 Mar 19
Dennis Doll
EntityIndividual
Role
Chief Executive Officer
Chairman
Shares2,000
Max PriceUS$57.85
SellUS$28,92522 Mar 19
Bernadette Sohler
EntityIndividual
Shares500
Max PriceUS$57.85
SellUS$40,47120 Mar 19
Lorrie Ginegaw
EntityIndividual
Role
Head of Human Resources
Vice President of Human Resources
Shares720
Max PriceUS$56.21
SellUS$29,00528 Jan 19
Walter Reinhard
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares500
Max PriceUS$58.01
SellUS$198,84009 Nov 18
Dennis Doll
EntityIndividual
Role
Chief Executive Officer
Chairman
Shares4,000
Max PriceUS$49.71
SellUS$12,77509 Nov 18
Bernadette Sohler
EntityIndividual
Shares257
Max PriceUS$49.71
SellUS$152,16809 Oct 18
A. O'Connor
EntityIndividual
Role
Chief Financial Officer
Senior VP
Shares3,321
Max PriceUS$45.98

Ownership Breakdown


Management Team

  • A. O'Connor (60yo)

    Senior VP

    • Tenure: 23.6yrs
    • Compensation: US$672.43k
  • Dennis Doll (60yo)

    Chairman

    • Tenure: 13.6yrs
    • Compensation: US$1.41m
  • Jay Kooper (46yo)

    VP, General Counsel & Secretary

    • Tenure: 5.4yrs
  • Lorrie Ginegaw (44yo)

    Vice President of Human Resources

    • Tenure: 7.4yrs
  • Robert Fullagar

    Vice President of Operations

    • Tenure: 0.1yrs

Board Members

  • Jeffries Shein (79yo)

    Lead Director

    • Tenure: 9.2yrs
    • Compensation: US$44.95k
  • Walter Reinhard (73yo)

    Independent Director

    • Tenure: 17.6yrs
    • Compensation: US$44.50k
  • Dennis Doll (60yo)

    Chairman

    • Tenure: 13.6yrs
    • Compensation: US$1.41m
  • Steve Klein (53yo)

    Independent Director

    • Tenure: 10.0yrs
    • Compensation: US$49.70k
  • Ann Noble (57yo)

    Director

    • Tenure: 0.3yrs
  • Amy Mansue (54yo)

    Independent Director

    • Tenure: 9.6yrs
    • Compensation: US$47.00k
  • James Cosgrove (55yo)

    Independent Director

    • Tenure: 9.6yrs
    • Compensation: US$43.20k
  • Kim Hanemann (55yo)

    Independent Director

    • Tenure: 3.6yrs
    • Compensation: US$40.70k

Company Information

Middlesex Water Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Middlesex Water Company
  • Ticker: MSEX
  • Exchange: NasdaqGS
  • Founded: 1897
  • Industry: Water Utilities
  • Sector: Utilities
  • Market Cap: US$1.001b
  • Shares outstanding: 16.57m
  • Website: https://www.middlesexwater.com

Number of Employees


Location

  • Middlesex Water Company
  • 485C Route 1 South
  • Suite 400
  • Iselin
  • New Jersey
  • 8830
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MSEXNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJan 1969
MSXBST (Boerse-Stuttgart)YesCommon StockDEEURJan 1969

Biography

Middlesex Water Company, together with its subsidiaries, owns and operates regulated water utility and wastewater systems. It operates in two segments, Regulated and Non-Regulated. The Regulated segment en ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/21 23:38
End of Day Share Price2019/08/21 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.