Matthews International (MATW) AI Stock Analysis

• Market Cap: $764.98M
• Dividend Yield: 4.12%
• Average Volume (3M): 192.45K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.95
• Revenue Growth: -9.04%
• EPS Growth: -339.31%
• Country: US
• Employees: 11,000
• Sector: Industrials
• Sector Strength: 94
• Industry: Conglomerates
• EPS (TTM): 0.34
• Shares Outstanding: 31,008,623
• 10 Day Avg. Volume: 166,534
• 30 Day Avg. Volume: 192,446
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $22.50
• Price Target Upside: -8.80% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 53 Neutral
• Price Target: $22.00 ▼(-10.82%Downside)

Matthews International's overall stock score reflects significant financial challenges and mixed valuation metrics. While technical indicators and corporate events provide some positive momentum, the company's financial instability and profitability issues weigh heavily on the score.

Matthews International Business Overview & Revenue Model

Company Description

Matthews International Corporation provides brand solutions, memorialization products, and industrial technologies worldwide. It operates through three segments: SGK Brand Solutions, Memorialization, and Industrial Technologies. The SGK Brand solutions segment provides brand management, pre-media services, printing plates and cylinders, engineered products, imaging services, digital asset management, merchandising display systems, and marketing and design services for the consumer goods and retail industries. The Memorialization segment provides bronze and granite memorials, upright granite memorials and monuments, cremation memorialization products, granite benches, flower vases, crypt plates and letters, cremation urns, niche units, cemetery features, and statues, as well as caskets, and cremation and incineration equipment for the cemetery and funeral home industries. The Industrial Technologies segment provides marking and coding equipment and consumables, industrial automation products, and order fulfillment systems for identifying, tracking, picking, and conveying consumer and industrial products for the warehousing and industrial industries. Matthews International Corporation was founded in 1850 and is based in Pittsburgh, Pennsylvania.

How the Company Makes Money

Matthews International generates revenue through its diversified portfolio across three main segments. The SGK Brand Solutions segment earns money by providing comprehensive brand management services, including design, digital innovation, and packaging solutions to consumer goods companies. The Memorialization segment derives income from the sale of cemetery and funeral home products, such as bronze and granite memorials, caskets, and cremation equipment. The Industrial Technologies segment contributes to revenue by offering marking and coding solutions, along with automation technologies for supply chain and warehouse management. Key revenue streams include contracts with consumer brands, partnerships with funeral service providers, and sales of industrial technology solutions to manufacturers and logistics companies. The company benefits from a combination of long-term client relationships and a broad geographic presence, which supports sustained earnings.

Matthews International Financial Statement Overview

Summary

Matthews International's financial statements reveal significant challenges, with negative EBIT and high leverage. Margins have deteriorated, and cash flow is declining, indicating financial instability.

Income Statement

Matthews International's income statement reveals notable challenges. The TTM data shows negative EBIT and net income, indicating struggles with profitability. Margins have deteriorated over time, with a gross profit margin of 30.5% and a net profit margin of -4.6% for the TTM. Revenue has also decreased by 5.1% compared to the previous year, highlighting a contraction in business activities.

Balance Sheet

The balance sheet presents a mixed picture. The company carries a high debt-to-equity ratio of 2.0, indicating significant leverage, which could pose risks in financial stability. However, the equity ratio of 22.3% suggests that a moderate portion of assets is financed by equity. Return on equity is negative, reflecting the company's ongoing profitability challenges.

Cash Flow

Cash flow analysis shows declining free cash flow, with a negative growth rate of -118.4% compared to the previous year. The operating cash flow to net income ratio of 0.31 indicates some operational cash generation but is insufficient to cover net losses. The cash flow situation requires close monitoring as operational challenges persist.

Breakdown
Income Statement
Total Revenue
Gross Profit
EBITDA
Net Income
Balance Sheet
Total Assets
Cash, Cash Equivalents and Short-Term Investments
Total Debt
Total Liabilities
Stockholders Equity
Cash Flow
Free Cash Flow
Operating Cash Flow
Investing Cash Flow
Financing Cash Flow

Matthews International Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 24.67
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MATW, the sentiment is Neutral. The current price of 24.67 is below the 20-day moving average (MA) of 24.92, above the 50-day MA of 23.04, and above the 200-day MA of 23.99, indicating a neutral trend. The MACD of 0.48 indicates Positive momentum. The RSI at 48.56 is Neutral, neither overbought nor oversold. The STOCH value of 22.12 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for MATW.

Matthews International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SEB	69 Neutral	$3.04B	30.99	2.09%	0.29%	-0.31%	-58.07%
MDU	69 Neutral	$3.48B	13.30	9.63%	2.71%	-25.50%	-45.13%
Sector *	61 Neutral	C$6.52B	7.65	2.76%	2.58%	6.48%	-23.55%
SPLP	61 Neutral	$804.33M	3.75	24.14%	―	5.83%	72.33%
CODI	58 Neutral	$513.86M	―	-4.98%	14.77%	6.77%	9.95%
FIP	56 Neutral	$755.13M	―	-6.42%	1.41%	5.70%	36.39%
MATW	53 Neutral	$764.98M	―	-17.17%	4.12%	-9.04%	-339.31%

Matthews International Corporate Events

Matthews International Completes SGK Brand Solutions Sale

On May 1, 2025, Matthews International Corporation completed the sale of its SGK Brand Solutions division to a joint venture with SGS & Co, receiving $350 million in consideration, including cash and equity. This transaction is expected to enhance Matthews’ financial flexibility and strategic focus, while the new entity, led by Gary R. Kohl, aims to achieve significant cost synergies and growth opportunities, benefiting Matthews’ minority stake.

Matthews International Announces Quarterly Dividend Payment

On April 30, 2025, Matthews International Corporation announced a quarterly dividend of $0.25 per share on its common stock, payable on May 26, 2025, to stockholders of record as of May 12, 2025.

Matthews International Awaits SGK Transaction Closure

Matthews International reported its fiscal 2025 second-quarter financial results, highlighting consolidated sales of $427.6 million, a decrease from the previous year. The company faced challenges in its engineering business but saw a resurgence in demand for energy storage solutions. The SGK transaction is expected to close in early May 2025, with Matthews receiving $350 million upfront and a 40% interest in the new entity. This transaction is anticipated to significantly reduce the company’s debt and potentially lead to stock repurchases. Despite a net loss of $8.9 million for the quarter, Matthews remains focused on strategic alternatives to unlock shareholder value.