Daily Stock Analysis: Mativ Holdings Inc

Mativ Holdings Inc, with the ticker MATV, is a small-cap paper and paper products company operating in the materials business sector. This is my first report on Mativ Holdings for my Viital portfolio. I last reported on it’s predecessor, Schweitzer Mauduit International on December 14, 2021.

Mativ Holdings Inc formerly Schweitzer-Mauduit International Inc, now merged with Neenah Inc, is a diversified producer of premium specialty papers and resin-based products. It manufactures and sells paper and reconstituted tobacco products to the tobacco industry as well as specialized paper products.

The company operates in two segments namely, (1) Advanced Materials and Structures, which manufactures resin-based products used in specialty applications in the filtration, infrastructure and construction, transportation, industrial, and medical end-markets, and (2) Engineered Papers, which produces cigarette papers and reconstituted tobacco products for cigarette and cigar manufacturers, as well as various other non-tobacco paper products.

It also offers Botani, a hemp and botanical solution, which includes hemp wraps, fillers, and rolling/pre-roll papers for the natural fibers industry.

The company was incorporated in 1995 and is headquartered in Alpharetta, Georgia.

Three key data points gauge any dividend equity or fund such as Matin Holdings Inc  (MATV).

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether any company has made, is making, and will make money.

MATV Price

Mativ’s price per share was $23.41 as of yesterday's market close. One year ago its price was $38.91. Thus, Ternium’s share price fell $15.50 or almost 40% in the past year.

If Mativ’s stock trades in the range of $20.00 to $40.00 this next year, its recent $23.41 share price might rise by $3.59 to reach $27.00 by July 7, 2023. My $3.59 upside estimate is $33.00 under the one year price estimate from one analysts covering MATV.

MATV Dividends

Mativ’s most recently declared quarterly dividend of $0.55 was paid June 24, to shareholders on record as of May 19th.

Since June, 1996 Matin has paid quarterly dividends, generally increasing annually since June, 2012 ranging from $0.08 to $0.44 in 2020. The recent forward looking annual dividend of $1.76 equates to an annual yield of 7.52% as of yesterdays share price of $23.41.

MATV Returns

Adding the $1.72 Mativ annual forward-looking dividend to my estimated one-year price upside estimate of $3.59 shows a $5.31 potential gross gain, per share, to be reduced by any costs to trade MATV shares.

At yesterday's $23.41 closing price, a little over $1000 would buy 43 shares.

A $10 broker fee (if charged) would be paid half at purchase and half at sale and might cost us about $0.23 per share.

Subtract that maybe $0.23 brokerage cost from my estimated $5.31 gross gain estimate per share results in a net gain of $5.08 X 43 shares = $218.44. for a 21.8% net gain including a 7.52% forward looking annual dividend yield.

So it is that Mativ Holdings Inc shows a possible 21.8% net gain including a 7.52% forward-looking dividend yield.

Over the next year at this time our $1000 investment in Mativ Holdings Inc shares would generate $75.20 in cash dividends. Of course, a single share of MATV stock bought at yesterday's $23.41 price less that one third of the dividend income from our $1000.00 investment.

So, by my dogcatcher ideal, this a good time to pick up MATV shares based on their forward looking dividends for the year 2022. The forthcoming annual dividend from $1K invested is 3.11 times more than yesterday’s single share price. Consider yourself alerted. It's a sign.

All of the estimates above are speculation based on the past history of Mativ Holdings Inc. Only time and money invested in this stock will determine its market value.


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Disclaimer:  This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a ...

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