Myers Industries Inc

MYE

Plastics Products, NEC

Mkt Cap

$568.4M

PE

14.43

Debt

$428.6M

Cash

$32.73M

EV

$964.2M

FCF

$61.19M

Market Cap

$568.4M

P/E Ratio

14.43

Debt

$428.6M

Cash

$32.73M

EV

$964.2M

FCF

$61.19M

Charts data: {"Earnings":[{"time":"2014-12-30","value":-8681000},{"time":"2015-12-30","value":17762000},{"time":"2016-12-30","value":1057000},{"time":"2017-12-30","value":-9889000},{"time":"2018-12-30","value":-3349000},{"time":"2019-12-30","value":24333000},{"time":"2020-12-30","value":36769000},{"time":"2021-12-30","value":33538000},{"time":"2022-12-30","value":60267000},{"time":"2023-12-30","value":48867000}],"Sales":[{"time":"2014-12-30","value":623649000},{"time":"2015-12-30","value":601538000},{"time":"2016-12-30","value":558062000},{"time":"2017-12-30","value":547043000},{"time":"2018-12-30","value":566735000},{"time":"2019-12-30","value":515698000},{"time":"2020-12-30","value":510369000},{"time":"2021-12-30","value":761435000},{"time":"2022-12-30","value":899547000},{"time":"2023-12-30","value":813067000}],"Net Margins":[{"time":"2014-12-30","value":-0.013919688799308586},{"time":"2015-12-30","value":0.029527644138857397},{"time":"2016-12-30","value":0.0018940547824435278},{"time":"2017-12-30","value":-0.01807718954451478},{"time":"2018-12-30","value":-0.005909287409459447},{"time":"2019-12-30","value":0.047184592532838986},{"time":"2020-12-30","value":0.07204395251278976},{"time":"2021-12-30","value":0.044045781977450474},{"time":"2022-12-30","value":0.06699705518444284},{"time":"2023-12-30","value":0.060102058009979496}],"Assets":[{"time":"2014-12-30","value":564833000},{"time":"2015-12-30","value":429916000},{"time":"2016-12-30","value":381684000},{"time":"2017-12-30","value":355942000},{"time":"2018-12-30","value":348645000},{"time":"2019-12-30","value":353139000},{"time":"2020-12-30","value":400015000},{"time":"2021-12-30","value":484549000},{"time":"2022-12-30","value":542634000},{"time":"2023-12-30","value":541631000}],"Stockholders Equity":[{"time":"2014-12-30","value":146571000},{"time":"2015-12-30","value":97703000},{"time":"2016-12-30","value":93033000},{"time":"2017-12-30","value":93752000},{"time":"2018-12-30","value":154638000},{"time":"2019-12-30","value":166682000},{"time":"2020-12-30","value":189100000},{"time":"2021-12-30","value":209325000},{"time":"2022-12-30","value":256427000},{"time":"2023-12-30","value":292800000}],"ROE":[{"time":"2014-12-30","value":-0.059227268695717435},{"time":"2015-12-30","value":0.1817958506903575},{"time":"2016-12-30","value":0.011361559876602926},{"time":"2017-12-30","value":-0.1054804164177831},{"time":"2018-12-30","value":-0.021657031260104244},{"time":"2019-12-30","value":0.1459845694196134},{"time":"2020-12-30","value":0.1944420941300899},{"time":"2021-12-30","value":0.16021975397109758},{"time":"2022-12-30","value":0.23502595280528182},{"time":"2023-12-30","value":0.1668954918032787}],"ROA":[{"time":"2014-12-30","value":0.040268539550628236},{"time":"2015-12-30","value":0.07484717944900865},{"time":"2016-12-30","value":0.04700747214973643},{"time":"2017-12-30","value":0.06992150406526906},{"time":"2018-12-30","value":0.021649528890418622},{"time":"2019-12-30","value":0.10781590251997089},{"time":"2020-12-30","value":0.1343924602827394},{"time":"2021-12-30","value":0.10174615983110068},{"time":"2022-12-30","value":0.15469174434333272},{"time":"2023-12-30","value":0.1336795715164014}]}

Myers Industries, Inc. engages in distribution of tire service supplies in Ohio. It operates through two segments, The Material Handling and Distribution. The Material Handling segment offers pallets, small parts bins, bulk shipping containers, and OEM parts, as well as storage and organization, and custom plastic products; and injection molded, rotationally molded or blow molded products, consumer fuel containers and tanks for water, fuel, and waste handling. It serves industrial manufacturing, food processing, retail/wholesale products distribution, agriculture, automotive, recreational and marine vehicles, healthcare, appliance, bakery, electronics, textiles, consumer markets, and other markets under Akro-Mils, Jamco, Buckhorn, Ameri-Kart, Scepter, Elkhart Plastics, and Trilogy Plastics brands directly to end-users, as well as through distributors. The Distribution segment engages in the distribution of tools, equipment, and supplies for tire, wheel, and under-vehicle service on passenger, heavy truck, and off-road vehicles; and manufacture and sale of tire repair materials and custom rubber products, as well as reflective highway marking tapes under the Myers Tire Supply, Myers Tire Supply International, Tuffy Manufacturing, Mohawk Rubber Sales, Patch Rubber Company, Elrick, Fleetline, MTS, Seymoure, Advance Traffic Markings, and MXP brands. This segment serves retail and truck tire dealers, commercial auto and truck fleets, auto dealers, general service and repair centers, tire re-treaders, truck stop operations, and government agencies. The company was founded in 1933 and is headquartered in Akron, Ohio.

Sector

10-Q
9/30/23
10-Q
6/30/23
10-Q
3/31/23
10-K
12/31/22
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12/31/21
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12/31/19
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6/30/19
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3/31/19
10-K
12/31/18
10-Q
9/30/18
10-Q
6/30/18
10-Q
3/31/18
10-K
12/31/17

DCF

Discounted Cash Flow Valuation of Myers Industries Inc

Calculate

Growth Years

Growth

Start

End

Discount

Start

End

Multiple

g\r	+10%	+11%	+12%	+13%	+14%
0%	10	9	8	8	7
+1%	11	10	9	8	8
+2%	13	11	10	9	8
+3%	14	13	11	10	9
+4%	17	14	12	11	10

Years	0	1	2	3	4	5	6	7	8	9	10	TV
FCF	$61.19M	$63.83M	$66.59M	$69.47M	$72.47M	$75.61M	$78.88M	$82.29M	$85.85M	$89.56M	$93.43M	$934.3M
DCF		$55.5M	$50.35M	$45.68M	$41.44M	$37.59M	$34.1M	$30.93M	$28.06M	$25.46M	$23.09M	$230.9M
Value	$603.2M

Chart P/E ratio

In the chart Earnings are multiplied by this value.

Earnings Growth 46%

Earnings Stability 49%

Competitiveness and MOAT

High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.

The Net Margin is too low to guarantee profitability in case of higher costs or higher interest rates. Furthermore lower margins cause higher earnings’ volatility.

Over time the ROA has been increasing indicating a higher marginal ROA with respect to the calculated one, giving a good sign for continued growth.

Years	12-2015	12-2016	12-2017	12-2018	12-2019	12-2020	12-2021	12-2022	12-2023	TTM
Net Margin	3%	0.19%	-1.8%	-0.59%	4.7%	7.2%	4.4%	6.7%	6%	4.9%
ROA	7.5%	4.7%	7%	2.2%	11%	13%	10%	15%	13%	6.8%
ROE	18%	1.1%	-11%	-2.2%	15%	19%	16%	24%	17%	14%

What is the average Net Margin?

The average Net Margin over the past 5 years is +4.74%.

What is the trend of Net Margin?

The trend of Net Margin over the past 5 years is +1.03%.

What is the average Return on Assets (ROA)?

The average ROA over the past 5 years is +10.9%.

What is the trend of Return on Assets (ROA)?

The trend of ROA over the past 5 years is +1.91%.

What is the average Return on Equity (ROE)?

The average ROE over the past 5 years is +14.68%.

What is the trend of Return on Equity (ROE)?

The trend of ROE over the past 5 years is +3.36%.

Safety & Stabiliy

Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.

The company has high debt with respect to the cashflow it generates.

The Graham’s stability indicate a relevant drawdown, consider checking when it has occured and why.

Years	12-2015	12-2016	12-2017	12-2018	12-2019	12-2020	12-2021	12-2022	12-2023	TTM
Debt FCF	7.55	9.00	3.53	1.39	1.77	3.57	3.36	1.95	1.33	7.00
Debt Equity	1.98	2.05	1.63	0.50	0.47	0.62	0.43	0.37	0.29	1.47
MIN
Graham Stability	-	-	-290%	-110%	-	100%	100%	100%	100%	-290%

What is the Debt/FCF?

The Debt/FCF trailing twelve month is 7.00.

What is the trend of Debt/FCF?

The trend of Debt/FCF over the past 5 years is 0.00.

What is the Graham’s Stability?

Graham’s Stability measure stands at -2.93.

Growth

Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.

Earnings growth has been increasing in past years.

Years	12-2016	12-2018	12-2020	12-2022	Trend
Revenue	5.5%	7.5%	17%	-9.6%	2.5%
Net Income	73%	-	9.9%	-19%	16%
Stockholders Equity	18%	14%	16%	14%	4%
FCF	17%	2.4%	24%	31%	2.4%

What is the 5 year Revenue CAGR?

The Revenue CAGR over the past 5 years is +7.49%.

What is the trend of Revenue growth?

The trend of Revenue growth rate over the past 5 years is +2.49%.

What is the 5 year Earnings CAGR?

The Earnings CAGR over the past 5 years is -.

What is the trend of Earnings growth?

The trend of Earnings growth rate over the past 5 years is +15.97%.

What is the 5 year Equity CAGR?

The Equity CAGR over the past 5 years is +13.62%.

What is the trend of Equity growth?

The trend of Equity growth rate over the past 5 years is +4%.

What is the 5 year FCF CAGR?

The FCF CAGR over the past 5 years is +2.44%.

What is the trend of FCF growth?

The trend of FCF growth rate over the past 5 years is +2.35%.