MEI Stock Analysis: Methode Electronics | NYSE
Electronic Components | NYSE, USA | Market Cap: 561m USD | 12M Return: 109.7% | US5915202007 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 7.87M
Qual. Beats: 0
Rev. Trend: -87.7%
Qual. Beats: 2
Warnings
Tailwinds
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Methode Electronics, Inc. (NYSE: MEI) designs, engineers, manufactures, and sells mechatronic products across North America, Europe, the Middle East, Africa, and Asia. The company is headquartered in Southfield, Michigan, and has been operating since its incorporation in 1946. It is classified within the Electronic Manufacturing Services sub-industry, supplying components and subsystems to OEMs rather than producing final consumer goods.
The company operates through four business segments: Automotive, Industrial, Interface, and Medical. The Automotive segment supplies electronic and electro-mechanical devices to vehicle OEMs and their tiered suppliers, including power distribution solutions, smart connect systems, busbars, battery disconnect units, interface components, specialized LED lighting, and sensor applications. The Industrial segment produces lighting solutions, radio remote controls, flexible cables, laminated busbars, and power-product assemblies for markets such as aerospace, commercial vehicles, data centers, military, and transportation.
The Interface segment provides high-speed digital communication solutions over copper media for data networking and broadband markets, along with user interface panels for the appliance market, including copper transceivers, distribution point units, and solid-state touch panels. Across its operations, Methode serves end markets spanning transportation (automotive, commercial vehicle, e-bike, aerospace, bus, and rail), cloud computing and data center infrastructure, construction equipment, and consumer appliances.
- Automotive segment faces EV transition and OEM pricing pressure
- Data center busbar demand surges on AI infrastructure buildout
- Capital allocation focused on acquisitions and dividend growth
| Net Income: -36.8m TTM > 0 and > 6% of Revenue |
| FCF/TA: -0.01 > 0.02 and ΔFCF/TA -4.00 > 1.0 |
| NWC/Revenue: 32.77% < 20% (prev 32.00%; Δ 0.77% < -1%) |
| CFO/TA 0.00 > 3% & CFO 5.10m > Net Income -36.8m |
| Net Debt (239.7m) to EBITDA (64.0m): 3.75 < 3 |
| Current Ratio: 2.41 > 1.5 & < 3 |
| Outstanding Shares: last quarter (35.5m) vs 12m ago -0.13% < -2% |
| Gross Margin: 19.21% > 18% (prev 15.76%; Δ 3.46% > 0.5%) |
| Asset Turnover: 81.73% > 50% (prev 79.77%; Δ 1.96% > 0%) |
| Interest Coverage Ratio: 0.27 > 6 (EBIT TTM 6.00m / Interest Expense TTM 22.6m) |
| A: 0.27 (Total Current Assets 584.4m - Total Current Liabilities 242.3m) / Total Assets 1.26b |
| B: 0.37 (Retained Earnings 465.4m / Total Assets 1.26b) |
| C: 0.00 (EBIT TTM 6.00m / Avg Total Assets 1.28b) |
| D: 1.10 (Book Value of Equity 663.1m / Total Liabilities 600.6m) |
| Altman-Z'' = 4.17 = AA |
| DSRI: 1.16 (Receivables 259.3m/221.3m, Revenue 1.04b/1.03b) |
| GMI: 0.82 (GM 15.76% / 19.21%) |
| AQI: 0.94 (AQ_t 0.36 / AQ_t-1 0.38) |
| SGI: 1.01 (Revenue 1.04b / 1.03b) |
| TATA: -0.03 (NI -36.8m - CFO 5.10m) / TA 1.26b) |
| Beneish M = -3.09 (Cap -4..+1) = AA |
As of October 09, 2026, the stock is trading at USD 15.25 with a total of 1,010,761 shares traded. Over the past week, the price has changed by +6.72%, over one month by +8.46%, over three months by -1.42% and over the past year by +109.71%.
Current recommended Stop Loss: 14.00 (which is 8.2% or 1.1 ATR below the current price).
Methode Electronics has received a consensus analysts rating of 3.75. Therefore, it is recommended to hold MEI.
- StrongBuy: 1
- Buy: 1
- Hold: 2
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 22 | 44.3% |
P/E Forward = 10.2354
P/S = 0.5374
P/B = 0.7268
P/EG = 0.7789
Revenue TTM = 1.04b USD
EBIT TTM = 6.00m USD
EBITDA TTM = 64.0m USD
Long Term Debt = 310.3m USD (from longTermDebt, last quarter)
Short Term Debt = 9.10m USD (from shortTermDebt, last quarter)
Debt = 355.9m USD (from shortLongTermDebtTotal, last quarter) + Leases 22.7m
Net Debt = 239.7m USD (calculated: Debt 355.9m - CCE 116.2m)
Enterprise Value = 800.8m USD (561.1m + Debt 355.9m - CCE 116.2m)
Interest Coverage Ratio = 0.27 (Ebit TTM 6.00m / Interest Expense TTM 22.6m)
EV/FCF = -60.21x (Enterprise Value 800.8m / FCF TTM -13.3m)
FCF Yield = -1.66% (FCF TTM -13.3m / Enterprise Value 800.8m)
FCF Margin = -1.27% (FCF TTM -13.3m / Revenue TTM 1.04b)
Net Margin = -3.52% (Net Income TTM -36.8m / Revenue TTM 1.04b)
Gross Margin = 19.21% ((Revenue TTM 1.04b - Cost of Revenue TTM 843.5m) / Revenue TTM)
Gross Margin QoQ = 17.97% (prev 24.22%)
Tobins Q-Ratio = 0.63 (Enterprise Value 800.8m / Total Assets 1.26b)
Interest Expense / Debt = 6.35% (Interest Expense 22.6m / Debt 355.9m)
Taxrate = 21.0% (US federal default 21%)
NOPAT = 4.74m (EBIT 6.00m * (1 - 21.00%))
Current Ratio = 2.41 (Total Current Assets 584.4m / Total Current Liabilities 242.3m)
Debt / Equity = 0.54 (Debt 355.9m / totalStockholderEquity, last quarter 663.1m)
Debt / EBITDA = 3.75 (Net Debt 239.7m / EBITDA 64.0m)
Debt / FCF = -18.02 (negative FCF - burning cash) (Net Debt 239.7m / FCF TTM -13.3m)
Total Stockholder Equity = 673.7m (last 4 quarters mean from totalStockholderEquity)
RoA = -2.88% (Net Income -36.8m / Total Assets 1.26b)
RoE = -5.46% (Net Income TTM -36.8m / Total Stockholder Equity 673.7m)
RoCE = 0.61% (EBIT 6.00m / Capital Employed (Equity 673.7m + L.T.Debt 310.3m))
RoIC = 0.48% (NOPAT 4.74m / Invested Capital 978.3m)
WACC = 14.08% (E(561.1m)/V(917.0m) * Re(19.83%) + D(355.9m)/V(917.0m) * Rd(6.35%) * (1-Tc(0.21)))
Discount Rate = 19.83% (= CAPM, Blume Beta Adj.) -> capped to 13.17%
Shares (quarterly) Correlation: 51.60 | Cagr: 0.21%
[DCF] Fair Price = unknown (Cash Flow -13.3m)
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.78 | # QB: 0
Revenue Correlation: -87.74 | Revenue CAGR: -5.07% | SUE: 1.10 | # QB: 2
EPS current Quarter (2026-10-31): EPS=-0.18 | Chg30d=-107.88% | Revisions=-25% | Analysts=3
EPS next Quarter (2027-01-31): EPS=-0.14 | Chg30d=-79.13% | Revisions=+25% | Analysts=3
EPS current Year (2027-04-30): EPS=-0.44 | Chg30d=-106.19% | Revisions=+0% | GrowthEPS=+58.6% | GrowthRev=+4.1%
EPS next Year (2028-04-30): EPS=0.41 | Chg30d=-37.88% | Revisions=+25% | GrowthEPS=+192.5% | GrowthRev=+5.8%
[Analyst] Revisions Ratio: +12% (up=3, down=2)