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MGNMegan Holdings Limited Ordinary Shares
$0.14$2M
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  4. Financial Ratios

Megan Holdings Limited Ordinary Shares (MGN) Financial Ratios

Latest Ratios: P/E Ratio 1.2x · EV/EBITDA 0.5x · ROE 32.3%. (2021–2023 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

MGN Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2023FY 2022FY 2021
Market Cap$2M———
Enterprise Value$1M———
P/E Ratio →1.19———
P/S Ratio0.11———
P/B Ratio0.33———
P/FCF————
P/OCF————

P/E links to full P/E history page with 30-year chart

MGN EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2023FY 2022FY 2021
EV / Revenue————
EV / EBITDA0.54———
EV / EBIT0.54———
EV / FCF————

MGN Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2023FY 2022FY 2021
Gross Margin16.8%16.8%20.0%21.5%
Operating Margin11.7%11.7%16.2%11.1%
Net Profit Margin9.7%9.7%11.4%15.9%

Return on Capital

MetricTTMFY 2023FY 2022FY 2021
ROE32.3%32.3%47.2%55.1%
ROA16.0%16.0%20.6%23.6%
ROIC37.1%37.1%68.2%33.0%
ROCE38.6%38.6%67.6%38.3%

MGN Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2023FY 2022FY 2021
Debt / Equity0.010.01—0.00
Debt / EBITDA0.040.04—0.00
Net Debt / Equity—-0.13-0.34-0.13
Net Debt / EBITDA-0.37-0.37-0.61-0.34
Debt / FCF——-0.66-0.30
Interest Coverage6460.276460.2730423.892790.43

Net cash position: cash ($4M) exceeds total debt ($388113)

MGN Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2023FY 2022FY 2021
Current Ratio2.092.091.751.75
Quick Ratio2.092.091.751.75
Cash Ratio0.350.350.790.64
Asset Turnover—1.561.481.48
Inventory Turnover————
Days Sales Outstanding—86.0387.4691.77

MGN Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2023FY 2022FY 2021
Dividend Yield————
Payout Ratio————

Total Shareholder Return Metrics

MetricTTMFY 2023FY 2022FY 2021
Earnings Yield84.1%———
FCF Yield————
Buyback Yield0.0%———
Total Shareholder Yield0.0%———
Shares Outstanding—$18M$18M$18M

Key Metrics

Growth RegimeExpanding
ProfitabilityModerate
Balance SheetHealthy
Cash FlowMixed
Top Statement Risk

Related party transaction exposure

Deep Discount to Asset Value

Based on current market data, MGN trades at a P/S ratio of 0.14 and a P/B of 0.43, suggesting that the market heavily discounts the company's earnings potential compared to broader industrial peers, likely due to its subsidiary status and the inherent opacity of its project-based revenue model.

The extremely low P/E of 1.54 and EV/EBITDA of 0.80 imply that investors are pricing in significant execution risk or potential future earnings volatility. This valuation may reflect a lack of confidence in the sustainability of the current growth trajectory or concerns regarding the quality of earnings derived from related-party contracts.

Lean Margins in Integration Model

As reported in financial statements, MGN maintains a 16.76% gross margin, which indicates that the firm operates primarily as a high-volume integrator, passing significant costs through to equipment vendors while capturing value through specialized labor and technical integration within the Malaysian aquaculture sector's unique infrastructure requirements.

The 11.69% operating margin suggests a lean corporate structure, yet it leaves little room for error should specialized labor costs or raw material prices spike. Investors should monitor whether this profitability is being sustained by high-margin machinery rentals or if it is overly reliant on lower-margin construction volume.

Minimal Debt Masks Capital Needs

According to recent SEC filings, MGN operates with a negligible 0.01% debt-to-equity ratio, which provides significant balance sheet resilience but may also indicate a reliance on parent-company funding or internal capital allocation strategies that could mask the true cost of financing for its large-scale infrastructure projects.

While the lack of debt is a positive indicator of financial health, it warrants further investigation into whether the company utilizes off-balance-sheet financing or receives interest-free loans from Star Sprite Limited. This structure may artificially suppress the true cost of capital and distort the perceived robustness of the company's financial position.

Misapplication of Standard Construction Multiples

As noted in industry analysis, the market likely misapplies traditional construction P/E multiples to MGN, failing to account for the high-margin 'maintenance tail' generated from servicing specialized aquaculture machinery, which creates a recurring revenue stream that is fundamentally different from one-off civil engineering project cycles.

Using standard construction valuation metrics obscures the defensive nature of MGN's niche, which is tied to non-discretionary food security initiatives rather than the cyclical property market. Analysts should instead focus on the 'Total Hectarage under Maintenance' as a more accurate proxy for long-term value creation than simple earnings multiples.

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Includes 30+ ratios · 3 years · Updated daily

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MGN — Frequently Asked Questions

Quick answers to the most common questions about buying MGN stock.

What is Megan Holdings Limited Ordinary Shares's P/E ratio?

Megan Holdings Limited Ordinary Shares's current P/E ratio is 1.2x. This places it at the 50th percentile of its historical range.

What is Megan Holdings Limited Ordinary Shares's EV/EBITDA?

Megan Holdings Limited Ordinary Shares's current EV/EBITDA is 0.5x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA.

What is Megan Holdings Limited Ordinary Shares's ROE?

Megan Holdings Limited Ordinary Shares's return on equity (ROE) is 32.3%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 44.9%.

Is MGN stock overvalued?

Based on historical data, Megan Holdings Limited Ordinary Shares is trading at a P/E of 1.2x. This is at the 50th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What are Megan Holdings Limited Ordinary Shares's profit margins?

Megan Holdings Limited Ordinary Shares has 16.8% gross margin and 11.7% operating margin. Operating margin between 10-20% is typical for established companies.

How much debt does Megan Holdings Limited Ordinary Shares have?

Megan Holdings Limited Ordinary Shares's Debt/EBITDA ratio is 0.0x, indicating low leverage. A ratio below 2x is generally considered financially healthy.