Mullen Group (MTL) AI Stock Analysis

• Market Cap: C$1.22B
• Dividend Yield: 5.74%
• Average Volume (3M): 146.49K
• Price to Earnings (P/E): 11.3
• Beta (1Y): 0.61
• Revenue Growth: 3.28%
• EPS Growth: -14.21%
• Country: CA
• Employees: 8,070
• Sector: Industrials
• Sector Strength: 90
• Industry: Trucking
• EPS (TTM): 0.20
• Shares Outstanding: 87,326,294
• 10 Day Avg. Volume: 143,683
• 30 Day Avg. Volume: 146,492
• PEG Ratio: -2.65
• Price to Book (P/B): 1.15
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 5.39
• 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: C$16.72
• Price Target Upside: 19.77% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8

• Rating: 79 Outperform
• Price Target: C$16.50 ▲(18.19%Upside)

Mullen Group Ltd. scores strongly due to its robust financial performance, strategic acquisitions, and high dividend yield. Despite mixed earnings call sentiment and slight margin pressures, the company's solid financial health and growth initiatives position it well for future success.

Mullen Group Business Overview & Revenue Model

Company Description

Mullen Group Ltd. provides a range of trucking and logistics services in Canada and the United States. The company operates in four segments: Less-Than-Truckload, Logistics & Warehousing, Specialized & Industrial Services, and U.S. & International Logistics. The Less-Than-Truckload segment delivers general freight consisting of smaller shipments, packages, and parcels; and pharmaceutical and package products. The Logistics & Warehousing segment offers multimode transportation services, such as full truckload, specialized trucking, intermodal, and transload to customers through a network of terminals and transload facilities; and warehousing and distribution services. The Specialized & Industrial Services segment provides production services, such as well servicing, production fluid transportation, transportation of fluids for disposal, frac support, hydrovac excavation, and industrial cleaning and turnaround services; and specialized services comprising dredging and dewatering services, large diameter pipe stockpiling and stringing services, water management, environmental services, civil construction, municipal development and emergency services, hydrostatic testing services to the pipeline industry and midstream sector, and transporting of oversize and overweight shipments, as well as deals in original equipment manufacturer parts and services. This segment also offers drilling and drilling related services, consisting of transportation, handling, and storage of oilfield fluids, tubulars, and drilling mud; drilling rig relocation; general oilfield hauling; well disposal facility; core drilling; setting surface casing; and conductor pipe setting services. The U.S. & International Logistics segment provides logistics services through professional representatives and station agents. This segment also owns SilverExpress, a proprietary integrated transportation management platform. Mullen Group Ltd. was founded in 1949 and is headquartered in Okotoks, Canada.

How the Company Makes Money

Mullen Group Ltd. makes money through its diversified portfolio of transportation and logistics services. The company's revenue model primarily revolves around providing Less-Than-Truckload (LTL) services, where it consolidates freight from multiple customers into single shipments, optimizing truckloads and improving efficiency. Another significant revenue stream comes from its Logistics and Warehousing segment, which offers services such as inventory management, storage, and distribution solutions. Additionally, Mullen Group capitalizes on its expertise in the oil and gas sector by offering specialized transportation and logistics services tailored to that industry. The company also benefits from strategic partnerships and acquisitions that enhance its service offerings and expand its market reach.

Mullen Group Financial Statement Overview

Summary

Mullen Group Ltd. exhibits stable financial health with solid revenue and cash flow figures amidst a competitive trucking industry. The company is efficiently managing its operations and costs, albeit with slight pressures on net profitability. A balanced approach to leveraging and strong equity ratios provide a cushion against economic fluctuations. Continued focus on enhancing net income and cash flow growth will bolster overall financial stability.

Income Statement

The company shows a stable revenue base with moderate growth. The gross profit margin for TTM is approximately 23.5%, indicating efficient cost management. However, net profit margin has seen a slight decline, from 5.6% in 2024 to 5.3% TTM, suggesting pressure on net earnings. EBIT and EBITDA margins remain healthy, reflecting good operational efficiency despite competitive industry dynamics.

Balance Sheet

The company maintains a strong equity position, with an equity ratio of approximately 43.4% TTM, showcasing financial stability. The debt-to-equity ratio is around 0.98, indicating manageable leverage levels. Return on equity has shown a slight decline to 10.6% TTM from 11% in the previous year, pointing to a need for improving profitability on shareholder equity.

Cash Flow

Mullen Group demonstrates robust cash flow generation capabilities, with a free cash flow to net income ratio of approximately 2.0 TTM, highlighting effective cash conversion. Operating cash flow remains strong, supporting liquidity. However, free cash flow growth has been slightly negative, indicating potential capital investment or operational cash requirements.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
2.02B	1.99B	1.99B	2.00B	1.48B	1.16B
	Gross Profit
476.12M	472.68M	473.88M	459.00M	308.08M	266.20M
	EBIT
196.49M	201.27M	339.88M	229.10M	124.47M	119.63M
	EBITDA
334.60M	332.98M	334.63M	350.31M	239.13M	215.82M
	Net Income Common Stockholders
107.77M	112.26M	136.72M	158.62M	72.44M	63.98M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
12.09M	126.29M	2.29M	8.76M	-81.25M	105.34M
	Total Assets
2.06B	2.33B	2.04B	2.00B	1.92B	1.72B
	Total Debt
786.88M	997.56M	764.08M	712.28M	745.32M	607.87M
	Net Debt
774.79M	871.27M	761.79M	703.52M	826.57M	502.53M
	Total Liabilities
1.08B	1.32B	1.07B	1.02B	1.03B	821.52M
	Stockholders Equity
981.63M	1.02B	974.88M	973.40M	888.66M	896.42M
Cash Flow		Free Cash Flow
215.17M	224.55M	175.15M	181.56M	129.76M	159.65M
	Operating Cash Flow
281.34M	296.12M	276.75M	262.97M	197.97M	224.82M
	Investing Cash Flow
-103.95M	-111.90M	-111.84M	-36.99M	-255.59M	-68.66M
	Financing Cash Flow
-51.02M	-51.61M	-138.67M	-215.14M	-46.28M	-128.89M

Mullen Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 13.96
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:MTL, the sentiment is Positive. The current price of 13.96 is below the 20-day moving average (MA) of 14.08, above the 50-day MA of 13.21, and above the 200-day MA of 13.81, indicating a neutral trend. The MACD of 0.19 indicates Positive momentum. The RSI at 55.77 is Neutral, neither overbought nor oversold. The STOCH value of 19.70 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:MTL.

Mullen Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MTL	79 Outperform	C$1.22B	11.35	10.81%	5.74%	3.28%	-14.21%
Sector *	66 Neutral	$4.50B	12.29	5.40%	248.66%	4.13%	-12.33%
TFII		$7.35B	19.22	14.78%	1.95%	―	―
WSP	75 Outperform	C$36.22B	50.50	9.42%	0.54%	16.77%	21.38%
ARE	55 Neutral	C$1.21B	―	-9.26%	3.94%	1.70%	-154.73%
RUSMF		$1.79B	16.61	9.30%	3.84%	―	―
CGJTF		$1.09B	12.51	15.65%	1.40%	―	―

Mullen Group Corporate Events

Mullen Group Expands with Acquisition of Cole Group

Mullen Group Ltd. has completed the acquisition of the Cole Group, a leading logistics services company specializing in customs brokerage, freight forwarding, and trade consulting across Canada and the U.S. This acquisition aligns with Mullen Group’s strategy to expand its non-asset based logistics offerings and is expected to enhance synergies across its business units. The acquisition is financially attractive, expected to generate significant free cash flow with minimal capital expenditure, and provides a strong foundation for future growth in the U.S. and international markets.

The most recent analyst rating on (TSE:MTL) stock is a Buy with a C$17.00 price target. To see the full list of analyst forecasts on Mullen Group stock, see the TSE:MTL Stock Forecast page.

Mullen Group Secures CAD$400 Million in Private Placement Notes Offering

Mullen Group Ltd. announced the pricing of a CAD$400 million senior secured notes offering through a private placement, guaranteed by its subsidiaries. The proceeds will be used to prepay existing debt and support future growth plans, including acquisitions. This strategic financial move is aimed at enhancing liquidity amid economic uncertainties, reflecting Mullen Group’s commitment to strengthening its market position and operational capabilities.

The most recent analyst rating on (TSE:MTL) stock is a Buy with a C$17.00 price target. To see the full list of analyst forecasts on Mullen Group stock, see the TSE:MTL Stock Forecast page.

Mullen Group Announces Board of Directors Election Results

Mullen Group Ltd. announced the election results for its board of directors following the annual shareholders’ meeting. The election saw high approval rates for all nominees, indicating strong shareholder confidence in the current leadership. This development is likely to reinforce the company’s strategic direction and operational stability, benefiting stakeholders and maintaining its robust position in the logistics and transportation sector.

Mullen Group Ltd. Announces Virtual Annual Meeting for 2025

Mullen Group Ltd. has announced that its Annual Meeting will be held virtually on May 6, 2025. The meeting will be accessible via a live webcast, allowing registered shareholders and proxyholders to participate and vote in real time. Non-registered shareholders can attend as guests but will not have voting rights. This move to a virtual meeting format reflects the company’s adaptation to modern communication methods, potentially increasing accessibility and engagement among stakeholders.

Mullen Group Reports Q1 2025 Financial Results Amid Strategic Acquisitions

Mullen Group Ltd. reported its financial results for the first quarter of 2025, highlighting a 7.5% increase in revenue primarily driven by acquisitions. Despite a challenging economic backdrop marked by tariff uncertainties, the company maintained stable performance across its business units. Mullen Group’s strategic acquisition of the Cole Group is expected to enhance its service offerings and align with its 2025 Business Plan, supported by a strong balance sheet that enables further growth opportunities.

Mullen Group Ltd. Declares Monthly Dividend for Shareholders

Mullen Group Ltd. has announced a monthly dividend of $0.07 per common share, payable to shareholders of record as of April 30, 2025, with payment scheduled for May 15, 2025. This dividend is classified as an ‘eligible dividend’ for Canadian tax purposes, potentially benefiting shareholders through enhanced tax credits.

Mullen Group Ltd. Expands with Acquisition of Cole Group Inc.

Mullen Group Ltd. has announced its acquisition of Cole Group Inc., a leading logistics services company specializing in customs brokerage, freight forwarding, and trade consulting in Canada and the U.S. This acquisition is expected to enhance Mullen Group’s U.S. and International Logistics segment, aligning with its strategic growth in the logistics sector. The Cole Group will continue to operate under its current leadership, maintaining its focus on integrity, customer service, and professional excellence, which aligns with Mullen Group’s values.

Mullen Group Ltd. to Announce Q1 2025 Earnings

Mullen Group Ltd. has announced its plans to release its 2025 First Quarter earnings results on April 23, 2025, at 6:00 a.m. ET, followed by a conference call and webcast at 10:00 a.m. ET. This announcement is significant for stakeholders as it provides insights into the company’s financial performance and strategic direction, potentially impacting its market positioning and investor relations.

Mullen Group Declares Monthly Dividend for Shareholders

Mullen Group Ltd. has announced a monthly dividend of $0.07 per common share, payable to shareholders of record on March 31, 2025, with payment scheduled for April 15, 2025. This dividend is classified as an ‘eligible dividend’ for Canadian tax purposes, potentially benefiting shareholders with enhanced tax credits. The announcement underscores Mullen Group’s commitment to delivering shareholder value and may positively impact its market positioning within the logistics and transportation industry.