Myr Group Inc.
MYRG
Water, Sewer, Pipeline, Comm & Power Line Construction
Mkt Cap
$2.065BPE
22.56Debt
$67.6MCash
$30.47MEV
$2.102BFCF
$29.83MP/E Ratio
22.56Debt
$67.6MCash
$30.47MEV
$2.102BFCF
$29.83MMYR Group Inc., through its subsidiaries, provides electrical construction services in the United States and Canada. It operates in two segments, Transmission and Distribution, and Commercial and Industrial. The Transmission and Distribution segment offers a range of services on electric transmission and distribution networks, and substation facilities, including design, engineering, procurement, construction, upgrade, maintenance, and repair services with primary focus on construction, maintenance, and repair to customers in the electric utility industry; and services, including construction and maintenance of high voltage transmission lines, substations, and lower voltage underground and overhead distribution systems, clean energy projects, and limited gas construction services, as well as emergency restoration services in response to wildfire, ice, or other related damages. This segment serves as a prime contractor to customers, such as investor-owned utilities, cooperatives, private developers, government-funded utilities, independent power producers, independent transmission companies, industrial facility owners, and other contractors. The Commercial and Industrial segment provides a range of services, including design, installation, maintenance, and repair of commercial and industrial wiring; and installation of intelligent transportation systems, roadway lighting, and signalization for airports, hospitals, data centers, hotels, stadiums, commercial and industrial facilities, clean energy projects, manufacturing plants, processing facilities, water/waste-water treatment facilities, mining facilities and transportation control, and management systems.. This segment serves general contractors, commercial and industrial facility owners, governmental agencies, and developers. The company was founded in 1891 and is headquartered in Thornton, Colorado.
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DCF
Discounted Cash Flow Valuation of Myr Group Inc.
Value
Growth
%
%
Discount
%
%
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 | $29.83M | $34.6M | $39.71M | $45.09M | $50.65M | $56.27M | $61.84M | $67.2M | $72.2M | $76.69M | $80.52M | $805.2M |
| DCF | $30.08M | $30.02M | $29.65M | $28.96M | $27.98M | $26.73M | $25.26M | $23.6M | $21.8M | $19.9M | $199M | |
| Value | $463M | |||||||||||
In the chart Earnings are multiplied by this value.
Earnings Growth 19%
Earnings Stability 68%
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.
| Years | 12-2014 | 12-2015 | 12-2016 | 12-2017 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Margin | 3.8% | 2.6% | 1.9% | 1.5% | 2% | 1.7% | 2.6% | 3.4% | 2.8% | 2.6% |
| ROA | 11% | 8.6% | 6.9% | 4.9% | 6.7% | 5.7% | 8.7% | 11% | 8.2% | 8.2% |
| ROE | 11% | 8.3% | 8.1% | 7.4% | 9.6% | 9.9% | 14% | 16% | 15% | 15% |
What is the average Net Margin?
The average Net Margin over the past 5 years is +2.35%.
What is the trend of Net Margin?
The trend of Net Margin over the past 5 years is +0.32%.
What is the average Return on Assets (ROA)?
The average ROA over the past 5 years is +7.46%.
What is the trend of Return on Assets (ROA)?
The trend of ROA over the past 5 years is +0.89%.
What is the average Return on Equity (ROE)?
The average ROE over the past 5 years is +11.97%.
What is the trend of Return on Equity (ROE)?
The trend of ROE over the past 5 years is +1.76%.
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.
| Years | 12-2014 | 12-2015 | 12-2016 | 12-2017 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Debt FCF | - | 0.00 | 2.03 | -1.97 | 2.74 | 24.69 | 0.26 | 0.07 | 0.50 | 2.27 |
| Debt Equity | - | 0.00 | 0.22 | 0.28 | 0.29 | 0.48 | 0.08 | 0.01 | 0.08 | 0.11 |
| MIN | ||||||||||
| Graham Stability | - | - | 66% | 75% | 100% | 100% | 100% | 100% | 100% | 66% |
What is the Debt/FCF?
The Debt/FCF trailing twelve month is 2.27.
What is the trend of Debt/FCF?
The trend of Debt/FCF over the past 5 years is -0.57.
What is the Graham’s Stability?
Graham’s Stability measure stands at 0.66.
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.
| Years | 12-2015 | 12-2017 | 12-2019 | 12-2021 | Trend |
|---|---|---|---|---|---|
| Revenue | 16% | 16% | 13% | 20% | 1.2% |
| Net Income | 17% | 32% | 32% | -1.9% | 6.1% |
| Stockholders Equity | 7.9% | 14% | 15% | 7.9% | 2.2% |
| FCF | - | - | 130% | 6.6% | 45% |
What is the 5 year Revenue CAGR?
The Revenue CAGR over the past 5 years is +16.48%.
What is the trend of Revenue growth?
The trend of Revenue growth rate over the past 5 years is +1.23%.
What is the 5 year Earnings CAGR?
The Earnings CAGR over the past 5 years is +31.56%.
What is the trend of Earnings growth?
The trend of Earnings growth rate over the past 5 years is +6.07%.
What is the 5 year Equity CAGR?
The Equity CAGR over the past 5 years is +14.31%.
What is the trend of Equity growth?
The trend of Equity growth rate over the past 5 years is +2.19%.
What is the 5 year FCF CAGR?
The FCF CAGR over the past 5 years is -.
What is the trend of FCF growth?
The trend of FCF growth rate over the past 5 years is +44.66%.