Moneygram Story

MGI -  USA Stock  

USD 10.24  0.49  5.03%

As many baby boomers are still indifferent towards financial services space, it makes sense to concentrate on Moneygram Intl. What exactly are Moneygram Intl shareholders getting in June? Is Moneygram Intl valuation justified? Here we go over the firm perspective on valuation to give you a better outlook on taking a position in this stock.
Published over a month ago
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What are the chances of Moneygram Intl (NASDAQ:MGI) to drop in June?
The company has 916.9 M in debt. Moneygram Intl has a current ratio of 32.31, demonstrating that it is liquid and is capable to disburse its financial commitments when the payables are due.
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Moneygram Intl has an asset utilization ratio of 27.56 percent. This implies that the company is making $0.28 for each dollar of assets. An increasing asset utilization means that Moneygram Intl is more efficient with each dollar of assets it utilizes for everyday operations.
We determine the current worth of Moneygram Intl using both absolute as well as relative valuation methodologies to arrive at its intrinsic value. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Moneygram Intl based exclusively on its fundamental and basic technical indicators. By analyzing Moneygram Intl's financials, quarterly and monthly indicators, and related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Moneygram Intl's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Moneygram Intl. We calculate exposure to Moneygram Intl's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Moneygram Intl's related companies.

Moneygram Intl Investment Alerts

Moneygram investment alerts and warnings help investors to get more proficient at understanding not only critical technical and fundamental signals but also the significant portfolio-centered indicators. These indicators include beta, alpha, and other risk-related measures that will help you in monitoring Moneygram Intl performance across your portfolios.Please check all investment alerts for Moneygram

Moneygram Intl Valuation Ratios as Compared to Competition

Our valuation model uses many indicators to compare Moneygram value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Moneygram Intl competition to find correlations between indicators driving the intrinsic value of Moneygram.

How Moneygram utilizes its cash?

To perform a cash flow analysis of Moneygram Intl, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Moneygram Intl is receiving and how much cash it distributes out in a given period. The Moneygram Intl cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.
Moneygram Intl Net Cash Flow from Operations is most likely to decrease significantly in the upcoming years. The last year's value of Net Cash Flow from Operations was reported at 97.3 Million

Acquisition by Lorca Francisco of 18769 shares of Moneygram Intl subject to Rule 16b-3

Legal trades by Moneygram Intl insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
Moneygram insider trading alert for grant of common stock by Lorca Francisco, the corporate stakeholder, on 7th of May 2021. This event was filed by Moneygram International I with SEC on 2021-05-07. Statement of changes in beneficial ownership - SEC Form 4 [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

What is driving Moneygram Intl Investor Appetite?

The entity reported the last year's revenue of 1.22 B. Reported Net Loss for the year was (7.9 M) with profit before taxes, overhead, and interest of 564.2 M.

Margins Breakdown

Moneygram profit margins show the degree to which it makes money. Margin indicators are used not only by investors but also by creditors or Moneygram Intl itself as indicators of financial health and management effectiveness. Please look more closely at the different varieties of Moneygram Intl profit margins.
Operating Margin7.97
EBITDA Margin0.11
Gross Margin0.47
Profit Margin(0.006158)

Moneygram Intl Earnings Before Interest Taxes and Depreciation Amortization EBITDA is decreasing over the last 8 years. The previous year's value of Moneygram Intl Earnings Before Interest Taxes and Depreciation Amortization EBITDA was 144,802,871. Moreover, Moneygram Intl Net Income Per Employee is decreasing over the last 8 years.

Our perspective of the current Moneygram Intl rise

The kurtosis is down to 3.79 as of today. Moneygram Intl is displaying above-average volatility over the selected time horizon. Investors should scrutinize Moneygram Intl independently to ensure intended market timing strategies are aligned with expectations about Moneygram Intl volatility. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Moneygram Intl's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Moneygram Intl's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Our Bottom Line On Moneygram Intl

When is the right time to buy or sell Moneygram Intl? Buying stocks such as Moneygram Intl isn't very hard. However, what challenging for most investors is doing it at the right time. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities, deliver winning trades and diversify portfolios on a daily basis.
With a somewhat neutral outlook on your 90 days horizon, it may be better to hold off any trading activity and neither pick up new shares of Moneygram nor exit your existing holdings in the Stock. It seems the expected volatility has not yet been fully factored into the current price. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Moneygram Intl.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of Moneygram Intl. Please refer to our Terms of Use for any information regarding our disclosure principles.

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