The Meet Group Inc. (MEET) Underpriced by 31.06%?

Publicly-traded company The Meet Group Inc. (NASDAQ:MEET) had a closing price of $4.55 yesterday. Meanwhile, the average 12-month price target from Wall Street analysts is currently $6.60, this means that the stock is underpriced by 31.06%. In the past 52 weeks the company’s stock price has moved within the range of $3.05 to $6.27.

This particular stock’s 5-day moving average is 4.46, its 20-day moving average is 4.37 and its 100-day moving average is 3.70. The Meet Group Inc. (MEET) currently has 71.72M shares outstanding, which means that its market capitalization is $326.33M.

The Details: The Meet Group Inc. (MEET) Financial Health

There are several indicators we can take into consideration when thinking about a stock’s financial health. For example, we can look at a company’s profit margin, which tells us how much of the company’s total sales revenue was kept in earnings. We calculate this figure by dividing net income by net sales revenue. MEET currently has a profit margin of 4.50%.

Looking at a company’s operating margin is also helpful. This number tells us how much profit is kept after considering depreciation and operating expenses. The Meet Group Inc. (MEET) has an operating margin of 6.20%.

Return on Assets, which is expressed as a percentage, tells us how well a public company is using its assets to turn a profit. The larger the percentage, the better it is At the moment, The Meet Group Inc. Return on Assets is 3.40%.

Understanding Profitability at The Meet Group Inc. (MEET)

A good way of assessing a public company’s profitability is by looking at its Earnings per Share (EPS). In the most recent financial results released by The Meet Group Inc., for the quarter ending on 09/2019, the company posted EPS of 0.09. The average estimate of Wall Street analysts had projected 0.10.

Wall Street analysts, on average, are forecasting the company’s EPS to be 0.12, compared to 0.1 reported in the same quarter last year. When it comes to net revenue, the average estimate from a total of 5 analysts is 51.8M – compared to 45.72M posted in the year-ago period.