The Industrials sector includes twenty-three industries all related to designing, fabricating and servicing stuff we want and use. The industrials industries range from aerospace and defense to waste management with all the transportation, business services, and equipment required in between.
Today I'm reviewing a mid-cap United Kingdom based aerospace and defense firm.
It's name is Meggitt PLC
It's trading ticker symbol is MEGGY.
Meggitt PLC is an engineering company which manufactures high-performance components and subsystems for the aerospace, defense, and energy markets.
It operates through Meggitt Aircraft Braking Systems, Meggitt Control Systems, Meggitt Polymers & Composites, Meggitt Sensing Systems, and Meggitt Equipment Group segments.
The company was formerly known as Meggitt Holdings Public Limited Company and changed its name to Meggitt PLC in April 1989. Meggitt PLC was founded in 1947 and is based in Christchurch, the United Kingdom.
I use three key data points to gauge the value of any dividend equity or fund like Meggitt PLC:
(1) Price
(2) Dividends
(3) Returns
After those three, four more keys will finally unlock an equity or fund in which to invest.
No matter what, it's the first three primary traits that best tell whether a company has made, is making, and will make money.
MEGGY Price
Meggitt's price was $13.82 per share at Tuesday's market close. Last July its price was $12.73 for a gain of $1.09 per share in the past year.
Assuming Meggitt's price will continue to trade in the range of $12 to $15 next year, its price could grow another $1.09 from $13.82 to $14.91 by July 5, 2019.
MEGGY Dividends
Meggitt's most recently declared semi-annual dividend was $0.29 per share declared in March and paid May 21st. Their Semi-annual dividend equates to an annual 4.22% yield at Tuesday's $13.82 closing stock price.
Gains For MEGGY?
Meggitt's $1.09 estimated year over year price gain plus an anticipated annual dividend of $0.43 makes a projected gross annual gain of $1.52 per share, which will be reduced by the costs to trade those shares.
A little under $1,000.00 invested today at the $13.82.10 price buys 72 shares.
A $10 broker fee paid half at purchase and half at sale subtracts $0.14 per share.
Taking that $0.14 brokerage cost out of the estimated $1.52 gross gain per share leaves a net gain of $1.38 X 72 shares
= $99.36
or a nearly 10% potential net gain on a $995.04 investment.
Therefore, Meggitt PLC (whose ticker symbol is MEGGY), now shows a possible 10% net gain including a 4.22% dividend yield.
No analysts cover this stock:
So we'll just have to go with my $14.91 year over year target.
Y Charts has not yet rated MEGGY for an overall "Y" rating. Y Charts also has "insufficient data" for a Value score. And YCharts has "insufficient data" for a Fundamental reading. A Historic Valuation score for MEGGY also has insufficient data for Y Charts.
You could look at all those numbers like this: Meggett PLC has made money, is making money, and could net a 10% net gain next year including a 4.22% annual dividend yield. It could be more, it could be less.
The above speculation is conjecture based on past year performance. Actual results remain to be seen. They could turn out to be far higher or lower. More study is required for you to determine if Meggett PLC is worth your time and money.
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