Megan Holdings Ltd (MGN) Stock Analysis
Verdict: AVOID
Collapsing gross margins to 1.7% and critical cash burn leave Megan Holdings facing severe dilution risk despite a low MYR 0.10 P/S.
Investment score: 25/100
Analysis as of
Is Megan Holdings Ltd stock worth reviewing? AI model thesis
The model advises avoiding MGN due to extreme cash depletion (MYR 172k cash remaining) and collapsing gross margins (1.7%), which override its low valuation metrics (P/S 0.10x).
7-factor investment score
- Valuation: 35/100 (weight 20%)
- Financial Health: 10/100 (weight 15%)
- Technical Momentum: 15/100 (weight 15%)
- Earnings Quality: 20/100 (weight 15%)
- Insider Sentiment: 50/100 (weight 10%)
- Analyst Consensus: 40/100 (weight 10%)
- Risk-Adjusted Return: 15/100 (weight 15%)
Megan Holdings Ltd opportunities and risks
What speaks for MGN
- Top-line revenue expansion to MYR 83.89M in 2025
What speaks against MGN
- Critical liquidity shortfall and imminent equity dilution risk
Peers and competitors
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| MGN | 0.0x | 0.1x | 2.0x | 1.7% | 1.0% | -115.0% |
| AGRZ | 6.3x | 0.5x | 2.8x | 36.3% | 8.6% | -28.8% |
| Peer median | 6.3x | 0.5x | 2.8x | 36.3% | 8.6% | -28.8% |
Frequently asked questions about Megan Holdings Ltd (MGN)
Is MGN stock a good investment?
The cached TradeMates AI model rates Megan Holdings Ltd as AVOID with an investment score of 25/100. The model advises avoiding MGN due to extreme cash depletion (MYR 172k cash remaining) and collapsing gross margins (1.7%), which override its low valuation metrics (P/S 0.10x). This is algorithmic model output, not personal investment advice.
Is MGN stock a buy?
The TradeMates model verdict for MGN is AVOID with an investment score of 25/100. Treat this as a model signal to review, not a personal buy recommendation.