Methanex (MX) AI Stock Analysis

• Market Cap: $3.82B
• Dividend Yield: 2.06%
• Average Volume (3M): 212.63K
• Price to Earnings (P/E): 11.0
• Beta (1Y): 1.82
• Revenue Growth: -0.65%
• EPS Growth: 46.15%
• Country: CA
• Employees: 1,415
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals
• EPS (TTM): 0.08
• Shares Outstanding: 77,339,520
• 10 Day Avg. Volume: 143,070
• 30 Day Avg. Volume: 212,631
• PEG Ratio: -3.77
• Price to Book (P/B): 1.61
• Price to Sales (P/S): 0.90
• P/FCF Ratio: 5.97
• Enterprise Value/Market Cap: 2.39
• Enterprise Value/Revenue: 2.57
• Enterprise Value/Gross Profit: 11.24
• Enterprise Value/Ebitda: 9.68
• 1Y Price Target: $69.42
• Price Target Upside: 38.16% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): 4.39
• Revenue Forecast (FY): $5.14B

• Rating: 66 Neutral
• Price Target: C$53.00 ▲(5.47% Upside)

Methanex's overall stock score reflects a mixed financial performance with strong profitability but declining revenue growth and high leverage. The technical analysis indicates bearish sentiment, while the valuation is attractive. The positive earnings call, highlighting successful asset integration and increased production, offsets some concerns, resulting in a moderate overall score.

Positive Factors

Successful Asset Integration

The integration of new assets enhances production capacity and operational efficiency, supporting long-term growth and competitive positioning.

Strong Cash Position

A robust cash position provides financial flexibility for strategic investments, debt reduction, and resilience against market fluctuations.

Increased Production

Increased production capacity supports revenue growth and market share expansion, strengthening Methanex's position in the methanol industry.

Negative Factors

Declining Revenue Growth

A significant decline in revenue growth poses risks to long-term financial health and may impact the company's ability to invest in future growth.

High Leverage

High leverage can constrain financial flexibility and increase vulnerability to economic downturns, affecting long-term sustainability.

Gas Supply Challenges

Ongoing gas supply issues may limit production capacity and impact operational efficiency, posing a risk to consistent output and profitability.

Methanex Business Overview & Revenue Model

Company Description

Methanex Corporation produces and supplies methanol in North America, the Asia Pacific, Europe, and South America. The company also purchases methanol produced by others under methanol offtake contracts and on the spot market. In addition, it owns and leases storage and terminal facilities. The company owns and manages a fleet of approximately 30 ocean-going vessels. It serves chemical and petrochemical producers. Methanex Corporation was incorporated in 1968 and is headquartered in Vancouver, Canada.

How the Company Makes Money

Methanex generates revenue primarily through the production and sale of methanol. The company's revenue model is largely based on the volume of methanol sold and the prevailing market prices of methanol, which can fluctuate based on supply and demand dynamics. Key revenue streams include direct sales of methanol to industrial customers in various sectors, including automotive, construction, and energy. Additionally, Methanex benefits from long-term supply agreements and contracts with large customers, which provide stability and predictability in revenue. The company's strategic partnerships with various stakeholders in the methanol industry also contribute to its earnings by enhancing its market reach and operational efficiency.

Methanex Financial Statement Overview

Summary

Methanex's financial performance is mixed. While profitability and cash flow metrics are relatively strong, the significant decline in revenue growth and high leverage pose potential risks. The company demonstrates operational efficiency and decent returns on equity, but the high debt levels and declining sales growth warrant caution.

Income Statement

Methanex's income statement shows a mixed performance. The TTM gross profit margin of 24.79% and net profit margin of 7.04% indicate moderate profitability, but the revenue growth rate is negative at -49.3%, reflecting a significant decline in sales. The EBIT and EBITDA margins are relatively healthy at 15.88% and 27.01%, respectively, suggesting efficient operations despite the revenue drop.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 1.43, indicating significant leverage. However, the return on equity (ROE) is reasonable at 11.23%, showing that the company is generating decent returns on shareholders' equity. The equity ratio stands at 34.14%, suggesting a moderate level of financial stability.

Cash Flow

Methanex's cash flow statement is relatively strong, with an operating cash flow to net income ratio of 1.40, indicating good cash generation relative to earnings. The free cash flow to net income ratio is 0.84, showing effective cash conversion. However, the free cash flow growth rate is negative at -4.85%, pointing to a decline in cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.56B	3.72B	3.72B	4.31B	4.41B	2.65B
Gross Profit	813.91M	710.42M	655.40M	865.09M	1.08B	294.84M
EBITDA	945.63M	798.42M	794.81M	983.03M	1.08B	334.53M
Net Income	213.78M	163.99M	174.14M	353.83M	482.36M	-125.33M
Balance Sheet
Total Assets	7.52B	6.60B	6.43B	6.63B	6.09B	5.70B
Cash, Cash Equivalents and Short-Term Investments	412.97M	891.91M	458.01M	857.75M	932.07M	833.84M
Total Debt	3.61B	3.23B	3.01B	3.02B	2.88B	3.09B
Total Liabilities	4.65B	4.22B	4.25B	4.20B	4.13B	4.25B
Stockholders Equity	2.57B	2.09B	1.93B	2.11B	1.68B	1.15B
Cash Flow
Free Cash Flow	869.54M	563.11M	211.82M	400.38M	748.49M	119.27M
Operating Cash Flow	998.42M	737.18M	660.27M	977.76M	993.93M	461.08M
Investing Cash Flow	-1.34B	-99.74M	-508.58M	-553.14M	-253.05M	-278.06M
Financing Cash Flow	248.68M	-203.55M	-551.42M	-508.53M	-643.09M	234.06M

Methanex Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 50.25
• 50DMA: Negative
• 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 TSE:MX, the sentiment is Positive. The current price of 50.25 is below the 20-day moving average (MA) of 50.67, below the 50-day MA of 51.41, and above the 200-day MA of 49.16, indicating a neutral trend. The MACD of -0.52 indicates Positive momentum. The RSI at 49.77 is Neutral, neither overbought nor oversold. The STOCH value of 47.12 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:MX.

Methanex Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CHE.UN	69 Neutral	C$1.49B	12.11	14.30%	4.79%	10.20%	-11.22%
MX	66 Neutral	$3.82B	11.00	9.35%	2.06%	-0.65%	46.15%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%

Methanex Corporate Events

Methanex Earnings Call: Integration Success Amid Market Challenges

Methanex Corporation’s recent earnings call painted a picture of both triumph and challenge. The company celebrated the successful integration and high operational performance of its newly acquired assets, which bolstered its strong financial standing. However, these achievements were somewhat overshadowed by the flat global demand for methanol, ongoing gas supply challenges, and an inventory build-up in China.

Methanex Reports Q3 2025 Results Amid Production Boost

Methanex Corporation, headquartered in Vancouver, is the world’s largest producer and supplier of methanol, a key ingredient in various industrial and consumer products. The company operates in the chemical sector and is known for its extensive global production and distribution network.

Methanex Reports Q3 2025 Results with Increased Production and Strategic Financial Moves

Methanex Corporation reported its third quarter 2025 results, highlighting the successful integration of its newly acquired Beaumont and Natgasoline plants, which contributed to increased production levels. Despite a net loss of $7 million attributable to shareholders, the company achieved an adjusted EBITDA of $191 million, reflecting stable operations and strategic focus on cost efficiency. The quarter also saw Methanex generating $184 million in cash from operations and repaying $125 million of its Term Loan A, aligning with its goal to de-lever the balance sheet. The company returned $14.3 million to shareholders through dividends, ending the quarter with $413 million in cash.

The most recent analyst rating on (TSE:MX) stock is a Buy with a C$50.00 price target. To see the full list of analyst forecasts on Methanex stock, see the TSE:MX Stock Forecast page.

Methanex to Host Investor Day with Live Webcast

Methanex Corporation announced it will host an Investor Day on November 13, 2025, in Toronto, where the executive leadership team will provide a business update and engage in a live Q&A session. The event will be webcast live and available for replay, offering stakeholders insights into the company’s operations and strategic direction.

The most recent analyst rating on (TSE:MX) stock is a Buy with a C$45.00 price target. To see the full list of analyst forecasts on Methanex stock, see the TSE:MX Stock Forecast page.

Methanex Launches Global Methanol Bunkering Operations

On September 23, 2025, Methanex Corporation announced the launch of global methanol bunkering operations through strategic partnerships in the ARA region and South Korea. These collaborations with TankMatch, Alpha Maritime, and Hyodong Shipping aim to enhance Methanex’s role in maritime decarbonization by providing safe and reliable methanol fuel solutions in key global trade corridors. This initiative is part of Methanex’s strategy to meet the growing demand for low-carbon methanol and support the maritime industry’s transition to cleaner energy sources.

The most recent analyst rating on (TSE:MX) stock is a Buy with a C$50.00 price target. To see the full list of analyst forecasts on Methanex stock, see the TSE:MX Stock Forecast page.

Methanex Amends Equity Purchase Agreement Amid Ongoing Disputes

On September 12, 2025, Methanex Corporation announced an amendment to its Equity Purchase Agreement with OCI N.V. and other parties. This amendment addresses ongoing disputes related to utility invoices and demurrage claims, with Methanex taking control over these proceedings. The amendment is expected to impact Methanex’s financial reporting by specifying how certain receivables and liabilities will be recorded in working capital, which may affect stakeholders’ financial assessments.

The most recent analyst rating on (TSE:MX) stock is a Buy with a C$50.00 price target. To see the full list of analyst forecasts on Methanex stock, see the TSE:MX Stock Forecast page.

Methanex Balances Growth and Challenges in Earnings Call

Methanex’s recent earnings call presented a balanced mix of optimism and challenges. The company celebrated the successful acquisition of OCI’s methanol business and noted increased global demand, particularly from China. However, these positives were tempered by decreased average realized prices, production constraints in New Zealand and Egypt, and a reduction in EBITDA projections. The strategic acquisition and demand growth offer promising prospects, but operational and financial hurdles suggest a cautious outlook.

Methanex Reports Q2 2025 Earnings and OCI Acquisition

Methanex Corporation, based in Vancouver, is the world’s largest producer and supplier of methanol, serving customers globally in the chemical industry. In its second quarter of 2025, Methanex reported a net income of $64 million and an adjusted EBITDA of $183 million, marking a decrease from the previous quarter. The company completed a significant acquisition of OCI Global’s methanol business, enhancing its production capacity in North America. Key financial metrics showed a decline in average realized prices and sales volumes, although production remained steady. Looking ahead, Methanex anticipates higher adjusted EBITDA in the third quarter, despite potential fluctuations in methanol prices and production challenges.