MEIMethode Electronics, Inc.
Is it safe?
Mostly sound, with a caveat: comfortable debt (AA), but big price swings.
Rock-solid balance sheet, low leverage. A rule of thumb on leverage, not a credit rating.
Large price swings, high volatility. Worst drawdown -89% · now 21% below its 52-week high.
Where this answer is blind. Altman sits structurally low for utilities and pipelines; Beneish runs high for fast growers, since sales growth alone lifts it; banks and REITs are excluded.
Can MEI take a bad year?
Methode Electronics, Inc. carries $194M of net debt at 4.68× EBITDA: a heavy load to carry through a bad year.
Net debt · as at Q1 2027 · over four years of earnings before interest, tax and depreciation, heavy
- Net debt / EBITDA
- 4.68×
Net debt / EBITDA · 9.77× a year ago · the load is coming down
- Cash runway
- 5+ years
Cash runway · burning $3.3M a quarter at the current rate
- Annualised volatility
- 88%
Annualised volatility · three times the market's own swing
Details›
- Total debtQ1 2027
- $311M
- Cash and short-term investments
- $116M
- Net debt
- $194M
- EBITDA, trailing twelve months
- $42M
- Operating profit, trailing twelve months
- $3.8M
- Debt / equity
- 0.47×
- Total debt / EBITDA
- 7.48×
- Annualised volatilitytwo years of daily moves
- 88%
- Worst drawdown on file
- −89%
- Below its 52-week high
- 21%
Balance sheet from SEC filings; drawdown and volatility from end-of-day closes; Altman Z from the filed statements.
Electronic Components
Ranks #18 of 25 by RyuScore