MIC
CyclicalsValuation Breakdown
Cyclical companies (chemicals, oil & gas, basic resources) have earnings that swing dramatically with commodity prices and economic cycles. Valuing them on a single year's earnings is misleading: they look cheap at peaks and expensive at troughs. This model uses 7-year median EBITDA ("mid-cycle" earnings) and a 7-year median EV/EBITDA multiple to estimate what the firm is worth at a normal point in the cycle.
Valuation Track Record
Retroactive intrinsic value vs actual close price — MIC
Earnings Quality
Fiscal year 2025
Financial Forensics
Beneish M-Score · 2025
The Beneish M-Score of -2.9242 indicates a low likelihood of earnings manipulation, as it is well below the threshold of -1.78. However, the earnings quality score of 48.6/100, particularly low scores in receivables and revenue metrics, raise concerns about the sustainability of reported earnings.
- Earnings Quality Score of 48.6/100, with 0.0/100 in eq_receivables and eq_revenue indicating potential issues in revenue recognition and cash flow management.
- GMI of 1.5418 suggests increasing gross margins, which could be unsustainable if not supported by operational efficiency.
- Beneish M-Score of -2.9242 indicates a low likelihood of earnings manipulation, suggesting a more reliable financial reporting environment.
- High cash conversion score of 100.0/100 indicates effective cash management despite other weaknesses.
The concentrated ownership structure, with the top two institutional shareholders holding a combined 50.3%, may lead to governance risks and potential conflicts of interest, particularly in decision-making processes.
Investors should closely monitor the company's revenue recognition practices and overall earnings quality. It may be prudent to approach investment with caution, considering the elevated risks associated with earnings sustainability.
Generated by AI based on quantitative data. Not financial advice.
Quantitative Scores
Key Ratios
Company Overview
// OWNERSHIP_NETWORK
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