Matrix Service Company provides engineering, fabrication, construction and maintenance services to Electrical Infrastructure, Oil Gas & Chemical, Storage Solutions and Industrial markets. The company was founded in 1984 and is based in Tulsa, Oklahoma.
MTRX Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Matrix Service Co with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Matrix Service Co ranked in the 51th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 12.5% on a DCF basis. As for the metrics that stood out in our discounted cash flow analysis of Matrix Service Co, consider:
Matrix Service Co's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than just 0% of US stocks with positive free cash flow.
Matrix Service Co's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -6.42. This coverage rate is greater than that of merely 8.62% of stocks we're observing for the purpose of forecasting via discounted cash flows.
Relative to other stocks in its sector (Energy), Matrix Service Co has a reliance on debt greater than only 7.83% of them.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Matrix Service Co? See EQM, CLR, ENSV, PHX, and AROC.
The Company will take this project into backlog in the fourth quarter of Fiscal 2020. “As an industry leader with more than four decades of experience in low-temperature and cryogenic tanks and terminals, we are very pleased to have been awarded this important project,” said Matrix Service Company’s President and Chief Executive Officer, John R. Hewitt. Founded in 1984, Matrix Service Company (MTRX) is parent to a family of companies that includes Matrix PDM Engineering, Matrix Service Inc., Matrix NAC, and Matrix Applied Technologies.
Ladies and gentlemen, thank you for standing by, and welcome to the Matrix Service Company conference call to discuss results for the third quarter fiscal 2020. Participants on today's call will include John Hewitt, President and Chief Executive Officer; and Kevin Cavanah, Vice President and Chief Financial Officer.
NEW YORK--(BUSINESS WIRE)---- $MTRX #classaction--The law firm of Kirby McInerney LLP is investigating potential claims against Matrix Service Company (“Matrix” or the “Company”) (NASDAQ: MTRX). This investigation concerns whether Matrix has violated federal securities laws and/or engaged in other unlawful business practices. On February 6, 2020, in connection with its second quarter 2020 results, Matrix recorded a goodwill impairment of $24.9 million in its Electrical Infrastructure segment. The Company stated that