Mesa Laboratories (MLAB) AI Stock Analysis

• Market Cap: $596.94M
• Dividend Yield: 0.56%
• Average Volume (3M): 51.81K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.12
• Revenue Growth: 11.68%
• EPS Growth: -26360.70%
• Country: US
• Employees: 736
• Sector: Technology
• Sector Strength: 51
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -46.25
• Shares Outstanding: 5,433,607
• 10 Day Avg. Volume: 61,712
• 30 Day Avg. Volume: 51,813
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 2.86
• Price to Cash Flow (P/CF): 9.20
• P/FCF Ratio: 9.60
• 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: $120.00
• Price Target Upside: 4.74% Upside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 2

MLAB's overall stock score is weighed down by significant profitability challenges and bearish technical indicators. Although the company maintains a reasonable balance sheet and has positive cash flow generation, substantial operational inefficiencies and a negative P/E ratio present notable risks. Technical analysis suggests the stock is nearing oversold conditions, highlighting potential for downward pressure.

Mesa Laboratories Business Overview & Revenue Model

Company Description

Mesa Laboratories, Inc. (MLAB) is a multinational company specializing in the design and manufacturing of critical equipment and solutions that ensure quality control in various industries. The company operates primarily in the healthcare, pharmaceutical, food and beverage, and industrial sectors, providing products and services such as data loggers, biological indicators, and calibration solutions. Mesa Laboratories is committed to ensuring the safety and efficacy of its customers' products and processes, thereby supporting compliance with regulatory standards.

How the Company Makes Money

Mesa Laboratories generates revenue through the sale of its products and services related to quality assurance and control. The company has multiple revenue streams, including direct product sales, recurring service contracts, and calibration and testing services. Product sales include data loggers and biological indicators, which are widely used in industries that require stringent quality control and regulatory compliance. Additionally, Mesa Laboratories offers calibration and testing services, which provide a recurring revenue stream as customers require ongoing maintenance and verification of their equipment's accuracy. The company's strategic partnerships and acquisitions also play a significant role in expanding its product offerings and customer base, thereby contributing to its overall revenue growth.

Mesa Laboratories Financial Statement Overview

Summary

Mesa Laboratories faces significant profitability challenges with a negative net income and declining equity ratio, despite maintaining a reasonable balance sheet and positive cash flow generation. Operational inefficiencies need to be addressed to improve financial health.

Income Statement

Mesa Laboratories has shown inconsistent revenue growth with recent declines in profitability. The TTM gross profit margin is approximately 58.94%, indicating efficient cost management relative to revenue. However, the company's net income is significantly negative, leading to a net profit margin of -104.94% for the TTM period, reflecting substantial losses. EBIT and EBITDA margins are also negative, showing operational challenges.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio of 0.82 for the TTM, suggesting a balanced capital structure. However, the equity ratio decreased from 59.56% in 2023 to 35.51% in the TTM, indicating a decline in financial stability. Return on equity is negative due to substantial net losses, highlighting profitability concerns.

Cash Flow

The company exhibits a positive free cash flow trend, with TTM free cash flow increasing by 3.45% from 2023. The operating cash flow to net income ratio is strong, indicating good cash flow generation relative to the reported net losses. However, free cash flow to net income ratio is skewed due to negative income.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
237.75M	216.19M	219.08M	184.34M	133.94M	117.69M
	Gross Profit
140.12M	133.25M	133.69M	109.09M	87.01M	64.93M
	EBIT
18.12M	-272.07M	-30.50M	-20.37M	-5.30M	-4.90M
	EBITDA
-236.31M	-238.38M	36.45M	29.77M	12.36M	8.09M
	Net Income Common Stockholders
-249.44M	-254.25M	930.00K	1.87M	3.27M	1.35M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
10.47M	28.21M	32.91M	49.35M	263.87M	81.38M
	Total Assets
33.64M	446.80M	661.83M	707.37M	600.15M	420.21M
	Total Debt
0.00	231.30M	170.27M	221.13M	146.70M	141.37M
	Net Debt
-10.47M	203.08M	137.36M	171.79M	-117.17M	59.99M
	Total Liabilities
2.44M	301.40M	268.35M	313.57M	193.92M	200.19M
	Stockholders Equity
31.20M	145.39M	393.48M	393.80M	406.23M	220.01M
Cash Flow		Free Cash Flow
43.00M	41.57M	23.44M	34.79M	35.08M	25.06M
	Operating Cash Flow
47.03M	44.13M	27.98M	39.22M	37.07M	26.56M
	Investing Cash Flow
-3.07M	-81.31M	-9.49M	-305.23M	-1.99M	-185.59M
	Financing Cash Flow
-41.25M	32.84M	-33.33M	52.58M	146.23M	231.28M

Mesa Laboratories Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 114.57
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MLAB, the sentiment is Negative. The current price of 114.57 is below the 20-day moving average (MA) of 118.82, below the 50-day MA of 130.98, and below the 200-day MA of 123.92, indicating a bearish trend. The MACD of -4.58 indicates Positive momentum. The RSI at 35.15 is Neutral, neither overbought nor oversold. The STOCH value of 20.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MLAB.

Mesa Laboratories Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LYTS	71 Outperform	$477.84M	20.81	11.40%	1.23%	10.45%	-15.98%
VPG	62 Neutral	$265.54M	27.17	3.04%	―	-13.67%	-60.88%
BELFA	61 Neutral	$830.69M	19.14	11.68%	0.36%	-16.41%	-44.24%
DAKT	59 Neutral	$614.69M	32.01	0.72%	―	-1.51%	-96.07%
Sector *	57 Neutral	$19.95B	9.66	-12.05%	2.76%	5.40%	-24.89%
FARO	49 Neutral	$488.24M	―	-3.50%	―	-4.57%	84.12%
MLAB	46 Neutral	$596.94M	―	-89.38%	0.56%	11.68%	-26360.70%