MetroCity Bankshares (MCBS) Fundamental Analysis: Revenue, Earnings & Valuation

1.20 / 10

Underperform

MCBS's fundamental profile is concerning, rated 'Underperform' with a 1.2/10 score. Key red flags include a low Price-to-Book (PB) of 0.1938 in the least favorable quartile, a high Price-to-Earnings (PE) of 40.7277, and a Price-to-Cash-Flow (PCF) of 16.4181, all signaling potential overvaluation or weak earnings quality. Although the Gross Profit Margin is strong at 53.246%, this is offset by the negative PB-ROE and other valuation metrics, leading to an overall challenging fundamental outlook.

Analysis Checks(3/10)

PB

Value0.19

Score0/3

Weight9.34%

1M Return2.44%

PCF

Value16.42

Score0/3

Weight7.90%

1M Return2.21%

Gross profit margin (%)

Value53.25

Score3/3

Weight13.66%

1M Return3.49%

PE

Value40.73

Score1/3

Weight10.73%

1M Return3.03%

PB-ROE

Value-0.84

Score0/3

Weight9.39%

1M Return2.45%

Total profit (YoY growth rate %)

Value4.70

Score2/3

Weight13.81%

1M Return3.47%

Cash-UP

Value0.56

Score0/3

Weight8.05%

1M Return2.42%

Asset-MV

Value-0.43

Score0/3

Weight5.51%

1M Return1.79%

Net profit attributable to parent company shareholders (YoY growth rate %)

Value4.40

Score2/3

Weight13.74%

1M Return3.48%

Cash-MV

Value0.39

Score1/3

Weight7.88%

1M Return2.17%

Is MCBS undervalued or overvalued?

MCBS scores 1.20/10 on fundamentals and holds a Premium valuation at present. Backed by its 11.62% ROE, 45.24% net margin, 12.96 P/E ratio, 1.94 P/B ratio, and 11.02% earnings growth, these metrics solidify its Underperform investment rating.