Metcash Ltd MTS

Morningstar Rating
A$2.89 +0.03 (1.05%)
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Company Report

Price vs Fair Value

MTS is trading at a LOCK|d$&Zrb^ premium.
Price
A$2.89
Fair Value
LOCK|c@
Uncertainty
LOCK|s$yY
1-Star Price
LOCK|<RS
5-Star Price
LOCK|C$L
Economic Moat
LOCK|Rd
Capital Allocation
LOCK|lRmW#jR

Bulls Say, Bears Say

Bulls

As the predominant supplier of packaged groceries to independent retailers, Metcash has a quasi-monopolistic market position and can maintain returns on capital.

Bears

Intense competition between Coles, Woolworths, and Aldi is likely reduce sales volumes of the independent channel and could make it increasingly hard for Metcash to support its customers in matching shelf prices of the majors.

News

Trading Information

Previous Close Price
A$2.86
Day Range
A$2.87–2.91
52-Week Range
A$2.63–3.98
Bid/Ask
A$2.88 / A$2.94
Shares Outstanding
1.10B
Market Cap
A$3.18B
Volume/Avg
3M / 3M

Key Statistics

Price/Earnings (Normalized)
12.06
Price/Sales
0.18
Dividend Yield (Trailing)
6.23%
Dividend Yield (Forward)
6.57%
Dividend Payment Schedule
Jan, Aug
Total Yield
6.23%

Company Profile

Metcash is a wholesaler, and to a lesser extent a retailer, specializing in food, liquor, and hardware. Centralized wholesale distribution enables independent retailers to gain access to the combined scale of many retailers to negotiate material volume discounts.The food segment distributes a range of products and services to independent supermarket and convenience stores. The hardware segment distributes hardware products to independent retail outlets and operates company-owned stores. The liquor segment distributes liquor products to independent retailers and venues like pubs.
Sector
Consumer Defensive
Industry
Food Distribution
Stock Style Box
Mid Value
Total Number of Employees
6,378

Competitors

Valuation

Metric
MTS
WES
WOW
Price/Earnings (Normalized)
12.0629.0219.69
Price/Book Value
1.8610.859.77
Price/Sales
0.181.830.66
Price/Cash Flow
5.7120.239.54
Price/Earnings
MTS
WES
WOW

Financial Strength

Metric
MTS
WES
WOW
Quick Ratio
0.640.340.19
Current Ratio
1.071.120.56
Interest Coverage
4.059.381.80
Quick Ratio
MTS
WES
WOW

Profitability

Metric
MTS
WES
WOW
Return on Assets (Normalized)
3.83%10.36%4.69%
Return on Equity (Normalized)
16.14%35.50%33.57%
Return on Invested Capital (Normalized)
10.00%15.94%7.20%
Return on Assets
MTS
WES
WOW

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Market Cap
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LOCK|QB<Y!!&LOCK|%<B$15B
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—LOCK|L%??$5B
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&>?LOCK|p@$3B
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