Recent News
January 28, 2026 — Board declared a quarterly dividend of $0.255 per share, payable February 23, 2026. February 19, 2026 — Company held its 2026 Annual Meeting; four directors re‑elected, J. Michael Nauman named Chairman, and amendments to the Articles of Incorporation adopted to enhance governance. March 10, 2026 — Company announced an arbitration ruling that reaffirmed Matthews’ right to develop and sell its proprietary dry battery electrode (DBE) equipment. March 19, 2026 — Matthews Engineering announced a cooperation with hs‑tumbler to advance trajectory mixing for high‑speed dry electrode manufacturing.
Technical Analysis
Directional strength: ADX at 26.81 signals a strong underlying trend strength without indicating direction; the directional indicators show DI+ at 29.7 with a dip‑and‑reversal (bullish) and DI‑ at 13.69 decreasing (bullish), implying the positive directional move carries momentum into the near term.
MACD momentum: MACD at 0.60 sits above the signal line at 0.44 and the MACD trend reads increasing, indicating bullish momentum and a momentum crossover that supports continuation of the short-term advance.
Momentum/Regression Oscillator: MRO at 33.83 sits positive, indicating the current price sits above the target implied by momentum and therefore presents measurable downside potential if momentum cools.
Relative strength and moving averages: RSI at 56.8 and rising indicates room for further upward movement but not overbought extremes. Price $28.22 trades above the 12‑day EMA $27.58, 20‑day average $27.48, 50‑day average $26.16 and 200‑day average $25.25, which aligns shorter‑term strength with longer‑term support levels. Ichimoku Tenkan‑Sen ($27.49) above Kijun‑Sen ($26.27) further supports a bullish short‑term bias.
Bollinger context and volume: Price sits near the upper 1× standard deviation band ($28.13) and below the 2× band ($28.77), indicating intraday proximity to the recent short‑term trading range ceiling. Average 10‑day volume (150,339) and 50‑day average volume (176,169) exceed current session volume (105,370), suggesting limited conviction behind the latest tick higher.
Fundamental Analysis
Profitability profile: EBIT equals $99,051,000 and EBITDA equals $111,747,000. EBIT margin at 34.78% exceeds the industry peer mean (22.36%) and industry peer median (23.45%) and sits below the industry peer high (37.29%), reflecting strong underlying operating profit before non‑operating items relative to peers. Operating margin, however, reads negative at -5.51%, signaling recent operating cost pressure after non‑operating adjustments.
Earnings and estimates: Reported EPS came in at -$0.19 versus an estimate of $0.05, producing an EPS difference of -$0.24 and an EPS surprise of -480%. Forward EPS stands at $0.30 with a forward P/E of 83.55x while the trailing P/E remains negative at -136.82x due to the reported loss per share.
Revenue and growth: Total revenue $284,763,000. YoY revenue growth equals 6.44% while QoQ revenue growth equals 22.29%, showing recent sequential pickup alongside modest year‑over‑year expansion.
Balance sheet and cash flow: Cash and short‑term investments total $31,357,000 against total debt $586,355,000 and net debt $505,670,000. Debt to assets stands at 37.76%, above the industry peer mean of 21.41%, and debt to equity equals 1.079 (107.9%), indicating leverage above peer averages. Operating cash flow was negative at -$51,992,000 and free cash flow was negative at -$57,249,000, yielding a free cash flow yield of -7.08% and free cash flow year‑over‑year growth showing deterioration. Interest coverage sits at 6.77x, below the industry peer mean of 14.66x, constraining financial flexibility despite planned debt reduction actions noted in recent corporate communications.
Liquidity and working capital: Current ratio 1.51 slightly exceeds the industry peer mean of 1.43 and quick ratio 0.91 sits near the peer median, suggesting adequate near‑term liquidity to support operations but limited cushion given the negative operating cash flow.
Valuation: WMDST values the stock as over‑valued. Price closed at $28.22 against a consensus price target mean of $31.08 and a WMDST MRO signal indicating the market price currently sits above the momentum‑implied target and therefore carries downside potential if momentum fades. Key valuation multiples show price‑to‑sales at 2.84x and a negative trailing P/E driven by the latest EPS result; forward multiples imply elevated expectations versus recent cash‑flow generation.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-12-31 |
| REPORT DATE: | 2026-02-03 |
| NEXT REPORT DATE: | 2026-05-05 |
| CASH FLOW | Begin Period Cash Flow | $ 32.4 M |
| Operating Cash Flow | $ -51.99 M | |
| Capital Expenditures | $ -5.26 M | |
| Change In Working Capital | $ -2.05 M | |
| Dividends Paid | $ -9.47 M | |
| Cash Flow Delta | $ -1.08 M | |
| End Period Cash Flow | $ 31.4 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 284.8 M | |
| Forward Revenue | $ 15.2 M | |
| COSTS | ||
| Cost Of Revenue | $ 185.1 M | |
| Depreciation | $ 9.7 M | |
| Depreciation and Amortization | $ 12.7 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 300.4 M | |
| PROFITABILITY | ||
| Gross Profit | $ 99.7 M | |
| EBITDA | $ 111.7 M | |
| EBIT | $ 99.1 M | |
| Operating Income | $ -15.69 M | |
| Interest Income | — | |
| Interest Expense | $ 14.6 M | |
| Net Interest Income | $ -14.63 M | |
| Income Before Tax | $ 84.4 M | |
| Tax Provision | $ 40.8 M | |
| Tax Rate | 21.0 % | |
| Net Income | $ 43.6 M | |
| Net Income From Continuing Operations | $ 43.6 M | |
| EARNINGS | ||
| EPS Estimate | $ 0.05 | |
| EPS Actual | $ -0.19 | |
| EPS Difference | $ -0.24 | |
| EPS Surprise | -480.0 % | |
| Forward EPS | $ 0.30 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 1.6 B | |
| Intangible Assets | $ 525.6 M | |
| Net Tangible Assets | $ 17.7 M | |
| Total Current Assets | $ 489.1 M | |
| Cash and Short-Term Investments | $ 31.4 M | |
| Cash | $ 31.4 M | |
| Net Receivables | $ 115.5 M | |
| Inventory | $ 192.4 M | |
| Long-Term Investments | $ 7.0 M | |
| LIABILITIES | ||
| Accounts Payable | $ 94.7 M | |
| Short-Term Debt | $ 7.3 M | |
| Total Current Liabilities | $ 324.9 M | |
| Net Debt | $ 505.7 M | |
| Total Debt | $ 586.4 M | |
| Total Liabilities | $ 1.0 B | |
| EQUITY | ||
| Total Equity | $ 543.2 M | |
| Retained Earnings | $ 600.5 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 17.45 | |
| Shares Outstanding | 31.126 M | |
| Revenue Per-Share | $ 9.15 | |
| VALUATION | Market Capitalization | $ 809.1 M |
| Enterprise Value | $ 1.4 B | |
| Enterprise Multiple | 12.207 | |
| Enterprise Multiple QoQ | -95.409 % | |
| Enterprise Multiple YoY | -52.403 % | |
| Enterprise Multiple IPRWA | high: 142.564 median: 101.918 mean: 77.528 MATW: 12.207 low: -99.977 |
|
| EV/R | 4.79 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 2.859 | |
| Asset To Liability | 1.538 | |
| Debt To Capital | 0.519 | |
| Debt To Assets | 0.378 | |
| Debt To Assets QoQ | -16.266 % | |
| Debt To Assets YoY | 9223.457 % | |
| Debt To Assets IPRWA | high: 0.671 MATW: 0.378 mean: 0.214 median: 0.144 low: 0.009 |
|
| Debt To Equity | 1.079 | |
| Debt To Equity QoQ | -32.061 % | |
| Debt To Equity YoY | 6046.982 % | |
| Debt To Equity IPRWA | high: 4.556 MATW: 1.079 mean: 0.538 median: 0.324 low: -2.644 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 1.49 | |
| Price To Book QoQ | -2.405 % | |
| Price To Book YoY | -28.071 % | |
| Price To Book IPRWA | high: 10.907 median: 4.48 mean: 3.559 MATW: 1.49 low: -1.952 |
|
| Price To Earnings (P/E) | -136.818 | |
| Price To Earnings QoQ | -387.007 % | |
| Price To Earnings YoY | -169.29 % | |
| Price To Earnings IPRWA | high: 200.469 mean: 119.772 median: 95.223 low: -94.98 MATW: -136.818 |
|
| PE/G Ratio | 0.991 | |
| Price To Sales (P/S) | 2.841 | |
| Price To Sales QoQ | 23.423 % | |
| Price To Sales YoY | 33.374 % | |
| Price To Sales IPRWA | high: 15.262 mean: 6.061 median: 5.144 MATW: 2.841 low: 0.129 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 83.55 | |
| Forward PE/G | -0.605 | |
| Forward P/S | 53.104 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 105.262 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.175 | |
| Asset Turnover Ratio QoQ | -6.479 % | |
| Asset Turnover Ratio YoY | -20.861 % | |
| Asset Turnover Ratio IPRWA | high: 0.436 median: 0.264 mean: 0.212 MATW: 0.175 low: 0.052 |
|
| Receivables Turnover | 2.293 | |
| Receivables Turnover Ratio QoQ | 4.921 % | |
| Receivables Turnover Ratio YoY | 15.614 % | |
| Receivables Turnover Ratio IPRWA | high: 3.25 MATW: 2.293 mean: 2.076 median: 1.927 low: 0.992 |
|
| Inventory Turnover | 0.937 | |
| Inventory Turnover Ratio QoQ | -4.636 % | |
| Inventory Turnover Ratio YoY | -18.683 % | |
| Inventory Turnover Ratio IPRWA | high: 38.326 mean: 5.478 MATW: 0.937 median: 0.845 low: 0.405 |
|
| Days Sales Outstanding (DSO) | 39.801 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 85.215 | |
| Cash Conversion Cycle Days QoQ | -0.042 % | |
| Cash Conversion Cycle Days YoY | 2.292 % | |
| Cash Conversion Cycle Days IPRWA | high: 193.343 median: 125.577 MATW: 85.215 mean: 72.274 low: -135.154 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 1.733 | |
| CapEx To Revenue | -0.018 | |
| CapEx To Depreciation | -0.54 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 1.1 B | |
| Net Invested Capital | $ 1.1 B | |
| Invested Capital | $ 1.1 B | |
| Net Tangible Assets | $ 17.7 M | |
| Net Working Capital | $ 164.3 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.097 | |
| Current Ratio | 1.506 | |
| Current Ratio QoQ | 1.454 % | |
| Current Ratio YoY | -4.422 % | |
| Current Ratio IPRWA | high: 3.816 MATW: 1.506 mean: 1.429 median: 1.026 low: 0.302 |
|
| Quick Ratio | 0.914 | |
| Quick Ratio QoQ | 0.893 % | |
| Quick Ratio YoY | -5.302 % | |
| Quick Ratio IPRWA | high: 3.798 mean: 1.023 MATW: 0.914 median: 0.905 low: 0.26 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 5.247 | |
| Cost Of Debt | 1.712 % | |
| Interest Coverage Ratio | 6.769 | |
| Interest Coverage Ratio QoQ | -1187.044 % | |
| Interest Coverage Ratio YoY | 977.458 % | |
| Interest Coverage Ratio IPRWA | high: 23.386 median: 17.726 mean: 14.665 MATW: 6.769 low: -34.429 |
|
| Operating Cash Flow Ratio | 0.248 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 43.407 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 4.605 | |
| Dividend Payout Ratio | 0.217 | |
| Dividend Rate | $ 0.30 | |
| Dividend Yield | 0.012 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | -8.355 % | |
| Revenue Growth | -10.688 % | |
| Revenue Growth QoQ | 22.288 % | |
| Revenue Growth YoY | 6.444 % | |
| Revenue Growth IPRWA | high: 31.015 % mean: 6.664 % median: 3.012 % MATW: -10.688 % low: -35.435 % |
|
| Earnings Growth | -138.0 % | |
| Earnings Growth QoQ | -275.637 % | |
| Earnings Growth YoY | 85.123 % | |
| Earnings Growth IPRWA | high: 45.161 % median: 0.833 % mean: -4.864 % low: -115.753 % MATW: -138.0 % |
|
| MARGINS | ||
| Gross Margin | 35.002 % | |
| Gross Margin QoQ | -3.653 % | |
| Gross Margin YoY | 11.903 % | |
| Gross Margin IPRWA | high: 89.385 % median: 50.446 % mean: 48.072 % MATW: 35.002 % low: -10.605 % |
|
| EBIT Margin | 34.784 % | |
| EBIT Margin QoQ | -1247.608 % | |
| EBIT Margin YoY | 1318.597 % | |
| EBIT Margin IPRWA | high: 37.289 % MATW: 34.784 % median: 23.449 % mean: 22.363 % low: -61.357 % |
|
| Return On Sales (ROS) | -5.508 % | |
| Return On Sales QoQ | 86.902 % | |
| Return On Sales YoY | -324.633 % | |
| Return On Sales IPRWA | high: 37.289 % mean: 23.902 % median: 23.418 % MATW: -5.508 % low: -54.444 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ -57.25 M | |
| Free Cash Flow Yield | -7.075 % | |
| Free Cash Flow Yield QoQ | -5852.033 % | |
| Free Cash Flow Yield YoY | 75.341 % | |
| Free Cash Flow Yield IPRWA | high: 12.861 % mean: 1.108 % median: 0.553 % MATW: -7.075 % low: -18.966 % |
|
| Free Cash Growth | -6439.867 % | |
| Free Cash Growth QoQ | 6099.81 % | |
| Free Cash Growth YoY | 2534.162 % | |
| Free Cash Growth IPRWA | high: 321.059 % median: 35.98 % mean: 27.125 % low: -171.538 % MATW: -6439.867 % |
|
| Free Cash To Net Income | -1.312 | |
| Cash Flow Margin | 28.253 % | |
| Cash Flow To Earnings | 1.844 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.03 | |
| Return On Assets (ROA) | 2.687 % | |
| Return On Assets QoQ | -266.275 % | |
| Return On Assets YoY | -1506.806 % | |
| Return On Assets IPRWA | high: 5.205 % median: 3.906 % mean: 3.417 % MATW: 2.687 % low: -5.228 % |
|
| Return On Capital Employed (ROCE) | 8.066 % | |
| Return On Equity (ROE) | 0.08 | |
| Return On Equity QoQ | -240.616 % | |
| Return On Equity YoY | -1056.19 % | |
| Return On Equity IPRWA | high: 0.245 MATW: 0.08 mean: 0.068 median: 0.064 low: -0.22 |
|
| DuPont ROE | 8.52 % | |
| Return On Invested Capital (ROIC) | 7.244 % | |
| Return On Invested Capital QoQ | -1230.109 % | |
| Return On Invested Capital YoY | -132.173 % | |
| Return On Invested Capital IPRWA | high: 8.039 % MATW: 7.244 % mean: 4.548 % median: 3.706 % low: -10.593 % |
|