MCW Intrinsic Value Calculation – Mister Car Wash Sees Continued Success With Room For Accelerated Growth
December 10, 2023
☀️Trending News
Mister Car Wash ($NYSE:MCW) has seen considerable success in the automotive care industry, performing strongly and showing potential for further growth. The company has increased its market share over the years by providing a quality customer experience and expanding its operations to include express exterior-only wash locations as well as full-service locations.
In addition, it has a strong balance sheet and low debt levels, allowing it to invest in new locations and increase operational efficiency. These factors have resulted in increased customer loyalty and a wider customer base, which in turn have helped to fuel its continued success. With its strong brand recognition and a well-established presence in many markets, Mister Car Wash is well-positioned to capitalize on the increasing demand for automotive care services. As such, the company has great potential for accelerated growth in the near future.
Stock Price
MISTER CAR WASH continues to see success as a full-service car wash, detailing, and oil change business. On Friday, its stock opened at $7.8 and closed at the same price, down only 0.3% from its previous closing price. Despite the minor decrease, MISTER CAR WASH is still doing well and has plenty of room for accelerated growth.
The company also has a strong focus on customer satisfaction, providing a clean, safe, and reliable service to its customers. As MISTER CAR WASH continues to grow and gain more market share, there is great potential for further success and higher stock prices in the future. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for MCW. More…
| Total Revenues | Net Income | Net Margin |
| 911.28 | 85.51 | 9.3% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for MCW. More…
| Operations | Investing | Financing |
| 209.23 | -230 | 8.06 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for MCW. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 2.86k | 1.97k | 2.84 |
Key Ratios Snapshot
Some of the financial key ratios for MCW are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 11.7% | 34.7% | 19.7% |
| FCF Margin | ROE | ROA |
| -7.6% | 12.8% | 3.9% |
Analysis – MCW Intrinsic Value Calculation
At GoodWhale, we conducted an analysis on the wellbeing of MISTER CAR WASH. Our proprietary Valuation Line revealed that the fair value of MISTER CAR WASH’s share is around $13.1. Currently, the stock of MISTER CAR WASH is only traded at $7.8, which is undervalued by 40.2%. More…
Peers
The company offers a wide range of car wash services, including full-service car washes, express car washes, and self-service car washes. Mister Car Wash Inc competes with Bilia AB, Winnebago Industries Inc, and Eastern Pioneer Driving School Co Ltd in the car wash industry.
– Bilia AB ($LTS:0RQ2)
Bilia AB is a Swedish company that specializes in the retail of automobiles and related products. The company has a market capitalization of 11.66 billion as of 2022 and a return on equity of 30.75%. Bilia AB operates through a network of over 100 stores in Sweden, Norway, and Finland. The company offers a range of vehicles, including cars, vans, trucks, and motorcycles. In addition to its retail operations, Bilia AB also provides financing, leasing, and insurance services.
– Winnebago Industries Inc ($NYSE:WGO)
Winnebago Industries Inc is a leading manufacturer of motorhomes in the United States. It has a market cap of 1.7B as of 2022 and a ROE of 28.08%. The company designs, manufactures and markets motorized and towable recreational vehicles, parts and accessories through its dealer network.
– Eastern Pioneer Driving School Co Ltd ($SHSE:603377)
As of 2022, East Pioneer Driving School Co Ltd has a market cap of 3.97B and a Return on Equity of 5.8%. The company is a driving school that offers driving lessons and tests. It also provides car rental and leasing services.
Summary
Mister Car Wash has continued to demonstrate strong financial performance, with revenue and profits increasing steadily. Earnings per share have grown significantly, and free cash flow production has remained healthy. The company’s balance sheet remains strong, with high cash balances and low debt levels. Its market position is also solid, as it has the largest share of the car wash market in the U.S. Additionally, the company is well-positioned to capitalize on growth opportunities, such as rapid expansion into new markets, potential acquisitions, and the introduction of new services or products.
