Mayville Engineering Company (MEC) AI Stock Analysis

• Market Cap: $343.13M
• Dividend Yield: N/A
• Average Volume (3M): 115.51K
• Price to Earnings (P/E): 15.5
• Beta (1Y): 0.84
• Revenue Growth: -8.42%
• EPS Growth: 164.82%
• Country: US
• Employees: 2,200
• Sector: Industrials
• Sector Strength: 86
• Industry: Manufacturing - Metal Fabrication
• EPS (TTM): 0.04
• Shares Outstanding: 20,461,031
• 10 Day Avg. Volume: 105,672
• 30 Day Avg. Volume: 115,507
• PEG Ratio: -1.17
• Price to Book (P/B): 1.37
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.53
• Enterprise Value/Market Cap: 1.06
• Enterprise Value/Revenue: 0.41
• Enterprise Value/Gross Profit: 30.92
• Enterprise Value/Ebitda: 5.77
• 1Y Price Target: $21.33
• Price Target Upside: 27.19% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 65 Neutral
• Price Target: $17.00 ▲(1.37%Upside)

MEC's overall score reflects a balance of strong financial management and strategic initiatives against technical neutrality and market challenges. Financial performance and strategic growth plans are the most significant factors, but technical signals and market conditions pose risks.

Positive Factors

Business system implementation

Thanks to the implementation of MEC's MBX Business System and related improvements under new management, MEC has transformed its FCF profile for the better.

Earnings and guidance

The company maintained its full-year guidance supported by strong new business wins through April valued at $35 million to $40 million.

M&A strategy

The emerging M&A strategy for diversification into higher-margin, secularly growing end-markets is viewed as a key catalyst, with the potential for multiple expansion.

Negative Factors

Commercial vehicle outlook

There is a significant reduction in the commercial vehicle outlook, now expected to decline by 23%.

Macroeconomic factors

Near-term macroeconomic factors have pressured unit volumes across most of Mayville’s business.

Revenue decline

Revenue for the first quarter showed a year-over-year decline of 15.9%.

Mayville Engineering Company Business Overview & Revenue Model

Company Description

Mayville Engineering Company, Inc., together with its subsidiaries, operates as a contract manufacturer that serves the heavy and medium duty commercial vehicle, construction and access equipment, powersports, agriculture, military, and other end markets in the United States. The company provides a range of prototyping and tooling, production fabrication, coating, assembly, and aftermarket components. It also supplies engineered components to original equipment manufacturers. The company was founded in 1945 and is headquartered in Mayville, Wisconsin.

How the Company Makes Money

MEC generates revenue through its comprehensive suite of manufacturing services, which includes metal fabrication, tube forming, and coating services. The company earns money by fabricating components and products for original equipment manufacturers (OEMs) across multiple industries. Key revenue streams include long-term contracts with clients in sectors like agriculture, military, and construction. MEC's ability to provide end-to-end manufacturing solutions, from initial design to final production, allows it to add significant value to its clients, thereby ensuring a steady flow of income. Additionally, strategic partnerships and investments in advanced manufacturing technologies further bolster its revenue potential.

Mayville Engineering Company Financial Statement Overview

Summary

Mayville Engineering Company (MEC) demonstrates solid profitability with stable financial health, efficient cash flow management, and low leverage. However, a slight revenue decline and moderate ROE indicate room for improvement in profitability.

Income Statement

Mayville Engineering Company (MEC) demonstrates solid profitability with a gross profit margin of 11.8% and a net profit margin of 4.1% for TTM (Trailing-Twelve-Months). While revenue experienced a slight decline of 4.4% from the previous year, the company has improved its EBIT and EBITDA margins to 6.9% and 13.7% respectively, indicating enhanced operational efficiency.

Balance Sheet

MEC maintains a stable balance sheet with a debt-to-equity ratio of 0.1, reflecting low leverage. The equity ratio stands at 55.8%, indicating a healthy proportion of equity financing. However, return on equity (ROE) at 9.1% suggests moderate profitability relative to shareholder investments.

Cash Flow

The company exhibits strong cash flow management with a free cash flow growth rate of 216.6% for TTM. The operating cash flow to net income ratio is robust at 3.8, highlighting efficient conversion of earnings into cash. The free cash flow to net income ratio of 3.3 further underscores solid cash flow generation relative to net income.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	581.60M	588.42M	539.39M	454.83M	357.61M
Gross Profit	71.10M	69.70M	61.07M	51.38M	31.50M
EBITDA	82.14M	55.05M	25.77M	24.39M	25.59M
Net Income	25.97M	7.84M	18.73M	-7.45M	-7.09M
Balance Sheet
Total Assets	445.57M	496.66M	440.58M	379.47M	338.53M
Cash, Cash Equivalents and Short-Term Investments	206.00K	672.00K	127.00K	118.00K	121.00K
Total Debt	110.05M	182.08M	108.98M	68.82M	47.94M
Total Liabilities	193.82M	266.68M	222.71M	181.20M	137.68M
Stockholders Equity	251.75M	229.98M	217.87M	198.27M	200.86M
Cash Flow
Free Cash Flow	77.71M	23.77M	-6.18M	-24.85M	28.73M
Operating Cash Flow	89.81M	40.36M	52.43M	14.46M	36.52M
Investing Cash Flow	-11.71M	-104.13M	-50.67M	-33.96M	-5.77M
Financing Cash Flow	-78.56M	64.31M	-1.75M	19.50M	-30.63M

Mayville Engineering Company Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 16.77
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MEC, the sentiment is Positive. The current price of 16.77 is above the 20-day moving average (MA) of 16.16, above the 50-day MA of 15.82, and above the 200-day MA of 15.76, indicating a bullish trend. The MACD of 0.23 indicates Negative momentum. The RSI at 58.96 is Neutral, neither overbought nor oversold. The STOCH value of 70.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MEC.

Mayville Engineering Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AP	74 Outperform	$72.34M	15.95	7.11%	―	-3.60%	―
NWPX	73 Outperform	$425.74M	13.29	9.13%	―	8.06%	38.46%
GIFI	72 Outperform	$112.75M	9.29	13.54%	―	18.83%	―
IIIN	72 Outperform	$700.70M	22.66	8.87%	3.10%	9.44%	53.83%
MEC	65 Neutral	$343.13M	15.53	9.40%	―	-8.42%	164.82%
Sector *	65 Neutral	$10.84B	16.29	5.52%	2.09%	3.14%	-29.96%
TPCS	43 Neutral	$40.96M	―	-33.22%	―	8.71%	-164.66%

Mayville Engineering Company Corporate Events

Mayville Engineering Expands Board with New Director

On July 24, 2025, Mayville Engineering Company announced the election of Tania L. Wingfield to its Board of Directors, expanding the board to seven members. Wingfield, who is also appointed to the Compensation Committee, brings over 30 years of experience in manufacturing and strategic leadership, which is expected to enhance MEC’s execution of its MBX strategy and long-term value creation.

The most recent analyst rating on (MEC) stock is a Buy with a $24.00 price target. To see the full list of analyst forecasts on Mayville Engineering Company stock, see the MEC Stock Forecast page.

Mayville Engineering Acquires Accu-Fab for $140.5 Million

On July 1, 2025, Mayville Engineering Company, Inc. acquired Accu-Fab, LLC for $140.5 million, financed through its existing credit agreement. This acquisition enhances Mayville’s capabilities in providing technology-driven metal fabrication solutions and strengthens its position in the critical power infrastructure, data center, and renewable energy markets.

The most recent analyst rating on (MEC) stock is a Buy with a $24.00 price target. To see the full list of analyst forecasts on Mayville Engineering Company stock, see the MEC Stock Forecast page.

Mayville Engineering Expands Credit Facility by $100 Million

On June 26, 2025, Mayville Engineering Company, Inc. amended its credit agreement to increase its revolving credit facility from $250 million to $350 million, utilizing a $100 million accordion feature. This financial move is intended to support the company’s ongoing business needs, with the terms of the credit agreement remaining largely unchanged.

The most recent analyst rating on (MEC) stock is a Buy with a $24.00 price target. To see the full list of analyst forecasts on Mayville Engineering Company stock, see the MEC Stock Forecast page.

Mayville Engineering Announces Acquisition of Accu-Fab

On May 23, 2025, Mayville Engineering Company announced a Purchase Agreement to acquire Accu-Fab, LLC for $140.5 million, subject to customary adjustments. The acquisition, expected to close in the third quarter of 2025, aims to enhance Mayville’s market position by integrating Accu-Fab’s expertise in metal fabrication and value-added services, thereby strengthening its supply chain capabilities for major OEMs in critical sectors.

The most recent analyst rating on (MEC) stock is a Buy with a $24.00 price target. To see the full list of analyst forecasts on Mayville Engineering Company stock, see the MEC Stock Forecast page.