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Malibu Boats (MBUU)
NASDAQ:MBUU
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Malibu Boats (MBUU) AI Stock Analysis

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MBUU

Malibu Boats

(NASDAQ:MBUU)

Rating:59Neutral
Price Target:
$35.00
▼(-0.77%Downside)
Malibu Boats' overall stock score reflects the challenges in financial performance with declining revenues and profitability despite a strong balance sheet. Technical analysis shows mixed signals, while valuation is hindered by negative earnings. The latest earnings call presented a cautious outlook, and recent board changes are seen positively, potentially aiding long-term strategy.
Positive Factors
Capital Management
The company has capital flexibility with reduced capital expenditures and plans for buybacks and potential mergers and acquisitions in a fragmented market.
Financial Strategy
Malibu Boats, Inc. has a net cash balance sheet and a highly variable cost structure, which should help it preserve margins relative to peers in a downcycle.
Sales Performance
Encouraged by its annual Ski/Wake (Malibu/Axis) sales event, with higher retail sell-through and participation, as well as reduced promotional activity, relative to last year.
Negative Factors
Guidance and Outlook
FY25 guidance was cut from flat-to-low-single-digit growth to flat-to-low-single-digit decline for the year, reflecting a conservative outlook due to challenges in the ski/wake category.
Market Performance
The stock is down 30% year-to-date, indicating a significant decline in equity performance.
Segment Weakness
Malibu Boats, Inc. highlighted weakness in its saltwater segment with declines in both units and average selling prices, heavily reliant on Florida, affected by a difficult hurricane season.

Malibu Boats (MBUU) vs. SPDR S&P 500 ETF (SPY)

Malibu Boats Business Overview & Revenue Model

Company DescriptionMalibu Boats, Inc. (MBUU) is a leading designer and manufacturer of recreational powerboats, primarily serving the high-performance sports boat market. The company operates in the marine products industry and is known for its innovative and high-quality boats that cater to water sports enthusiasts. Malibu Boats offers a range of products under its distinct brands, including Malibu, Axis Wake Research, Cobalt, and Pursuit, each targeting different segments of the boating market, from performance sport boats to luxury day boats and cruisers.
How the Company Makes MoneyMalibu Boats makes money primarily through the design, manufacturing, and sale of a diverse range of powerboats. The company's revenue model is centered around selling these boats to a network of independent dealers, who then sell the boats to end consumers. Key revenue streams include the sale of new boats across its various brands, as well as parts and accessories that complement their boating products. Additionally, Malibu Boats benefits from strategic acquisitions and partnerships that enhance its product offerings and market reach. The company's earnings are influenced by factors such as consumer demand in the recreational boating industry, economic conditions, and discretionary spending trends, which can impact boat sales and overall financial performance.

Malibu Boats Earnings Call Summary

Earnings Call Date:May 08, 2025
(Q3-2025)
|
% Change Since: 18.51%|
Next Earnings Date:Aug 28, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mixed sentiment with strong financial performance, market share gains, and successful new product launches. However, it was balanced by challenges in the retail environment, revised full-year guidance, tariff concerns, and mixed boat show performance.
Q3-2025 Updates
Positive Updates
Strong Financial Performance
Net sales increased 12.4% to $228.7 million, and unit volume increased 12.8% to 1,431 units. Gross profit increased 13.4% to $45.7 million, and gross margin as a percentage of sales increased 20 basis points to 20.0%.
Market Share Gains in Cobalt Models
The company gained 380 basis points of market share in Cobalt models produced at the Roan facility.
Recognition for Pursuit Brand
Pursuit brand received the Marine Industry Customer Satisfaction Award from NMMA.
Cash Flow and Financial Position
Generated over $15 million in cash from operations, finished Q3 with over $39 million of cash on hand, and over $300 million of untapped liquidity on the credit facility.
New Product Success
Nearly 40% of Malibu boat show unit sales were driven by two premium models introduced this year, the M230 and the 25 LSV.
Negative Updates
Challenging Retail Environment
The retail environment remains challenging with elevated interest rates and ongoing macro uncertainty weighing on consumer sentiment and discretionary spending.
Revised Full Year Guidance
Full year net sales expected to be down 3% to 5%, and full year adjusted EBITDA margins expected between 9% and 10%. This reflects lower expected shipments and a recalibration of expectations due to macroeconomic uncertainties.
Tariff Concerns
Tariffs have reemerged as a prominent topic, with concerns about potential impacts on future cost structures.
Mixed Boat Show Performance
Overall boat show performance was mixed, with pockets of strength but not the robust demand expected.
Company Guidance
During the Malibu Boats conference call discussing the third quarter of fiscal year 2025, management provided updated guidance reflecting a cautious approach to market conditions. The company achieved a 12.4% increase in net sales to $228.7 million and a 12.8% rise in unit volume to 1,431 units, driven by increased sales in the Malibu segment and favorable model and pricing mixes. Despite challenges, adjusted EBITDA reached $28.3 million with a margin of 12.4%. However, due to anticipated double-digit declines in retail markets and a focus on maintaining healthy dealer inventories, Malibu Boats revised its full-year expectations to a net sales decline of 3% to 5% and adjusted EBITDA margins between 9% and 10%. The company emphasized its robust balance sheet, with $39 million in cash and $300 million in untapped liquidity, as well as its strategic capital allocation priorities, including a moderated pace of share repurchases.

Malibu Boats Financial Statement Overview

Summary
Malibu Boats is facing challenges with declining revenue and profitability, as indicated by negative net income and shrinking margins. The balance sheet is strong with low leverage, providing some financial stability. Cash flows show improvement with positive free cash flow, suggesting potential for recovery if operational challenges are addressed.
Income Statement
45
Neutral
Malibu Boats has experienced a challenging period with declining revenues and profitability. The gross profit margin and EBIT margins have significantly decreased in the TTM period, with an EBIT margin of -0.09% and a gross profit margin of 16.09%. The net profit margin is -1.19%, indicating losses. Although the company has seen previous growth, the recent downturn highlights potential operational inefficiencies or market challenges.
Balance Sheet
70
Positive
The balance sheet shows a strong equity base with a debt-to-equity ratio of 0.06, indicating low financial leverage. The equity ratio is 67.61%, reflecting a stable financial structure. However, the decline in total assets and equity over the past year suggests some erosion in asset value, but overall, the financial position remains relatively strong.
Cash Flow
60
Neutral
The cash flow statement reveals positive free cash flow of $18.99 million in the TTM period, a turnaround from negative free cash flow in the previous year. The operating cash flow to net income ratio is negative, reflecting net losses. Despite this, cash flow from operations remains positive, indicating decent cash generation capabilities.
BreakdownTTMJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income Statement
Total Revenue759.23M829.03M1.39B1.21B926.51M653.16M
Gross Profit122.15M147.09M351.30M310.05M236.49M149.27M
EBITDA27.73M-22.95M278.29M240.15M183.59M107.27M
Net Income-9.02M-55.91M104.51M157.63M109.84M61.56M
Balance Sheet
Total Assets758.77M739.62M925.92M851.33M742.78M477.35M
Cash, Cash Equivalents and Short-Term Investments38.71M26.95M78.94M83.74M41.48M33.79M
Total Debt30.37M7.94M2.32M119.62M143.28M82.84M
Total Liabilities240.83M204.91M310.17M337.76M361.63M215.82M
Stockholders Equity513.01M530.01M607.88M503.17M373.43M254.58M
Cash Flow
Free Cash Flow18.98M-20.40M129.89M109.78M100.64M52.85M
Operating Cash Flow51.80M55.56M184.73M164.85M131.31M94.14M
Investing Cash Flow-32.33M-75.84M-54.64M-61.62M-181.09M-40.39M
Financing Cash Flow-27.68M-31.70M-134.57M-60.38M57.35M-47.32M

Malibu Boats Technical Analysis

Technical Analysis Sentiment
Positive
Last Price35.27
Price Trends
50DMA
32.48
Positive
100DMA
31.00
Positive
200DMA
35.27
Positive
Market Momentum
MACD
0.79
Negative
RSI
57.29
Neutral
STOCH
77.63
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MBUU, the sentiment is Positive. The current price of 35.27 is above the 20-day moving average (MA) of 34.05, above the 50-day MA of 32.48, and above the 200-day MA of 35.27, indicating a bullish trend. The MACD of 0.79 indicates Negative momentum. The RSI at 57.29 is Neutral, neither overbought nor oversold. The STOCH value of 77.63 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MBUU.

Malibu Boats Risk Analysis

Malibu Boats disclosed 46 risk factors in its most recent earnings report. Malibu Boats reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Malibu Boats Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
72
Outperform
$4.25B53.335.16%2.86%-15.42%-77.50%
72
Outperform
$315.30M22.5110.54%6.26%-32.30%-58.15%
71
Outperform
$333.26M-1.50%-41.66%-123.04%
66
Neutral
$2.79B75.233.09%5.29%-17.86%-89.55%
62
Neutral
C$5.29B8.9320.23%3.14%3.09%8.49%
59
Neutral
$676.86M-1.68%-27.18%84.33%
57
Neutral
$245.68M-1.88%-6.22%91.93%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
MBUU
Malibu Boats
35.22
-3.35
-8.69%
BC
Brunswick
60.79
-18.81
-23.63%
MPX
Marine Products
8.95
-0.83
-8.49%
PII
Polaris
50.24
-28.44
-36.15%
MCFT
MasterCraft Boat Holdings
20.41
-0.76
-3.59%
ONEW
OneWater Marine
15.37
-15.09
-49.54%

Malibu Boats Corporate Events

Executive/Board ChangesBusiness Operations and Strategy
Malibu Boats Appoints Melanie Cook to Board
Positive
Jun 24, 2025

On June 24, 2025, Malibu Boats, Inc. announced the appointment of Melanie K. Cook to its Board of Directors, effective immediately. Ms. Cook, with extensive experience in operational leadership and global manufacturing, previously served as Chief Operating Officer of GE Appliances. Her appointment is seen as a strategic move to strengthen Malibu’s board and advance its long-term strategy. This change comes ahead of John Stokely’s retirement from the board in October 2025, after serving since February 2014.

The most recent analyst rating on (MBUU) stock is a Hold with a $43.00 price target. To see the full list of analyst forecasts on Malibu Boats stock, see the MBUU Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 02, 2025