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MCR vs V

MCR
MFS Charter Income Trust
NEUTRAL
Price
$5.99
Market Cap
$249.7M
Sector
Financial Services
AI Confidence
85%
V
Visa Inc.
BULLISH
Price
$302.24
Market Cap
$582.73B
Sector
Financial Services
AI Confidence
75%

Valuation

P/E Ratio
MCR
14.26
V
28.35
Forward P/E
MCR
28.52
V
20.79
P/B Ratio
MCR
0.89
V
15.09
P/S Ratio
MCR
11.18
V
14.08
EV/EBITDA
MCR
--
V
20.06

Profitability

Gross Margin
MCR
100.0%
V
97.78%
Operating Margin
MCR
90.03%
V
68.3%
Profit Margin
MCR
78.58%
V
50.23%
ROE
MCR
6.18%
V
53.95%
ROA
MCR
3.3%
V
18.36%

Growth

Revenue Growth
MCR
-0.1%
V
14.6%
Earnings Growth
MCR
-4.2%
V
17.4%

Financial Health

Debt/Equity
MCR
0.34
V
0.55
Current Ratio
MCR
0.06
V
1.11
Quick Ratio
MCR
0.06
V
0.72

Dividends

Dividend Yield
MCR
8.96%
V
0.89%
Payout Ratio
MCR
128.1%
V
22.91%

AI Verdict

MCR NEUTRAL

MCR presents a complex profile with a stable Piotroski F-Score of 6/9 and a current price ($5.99) trading below its Graham Number ($7.99) and Book Value (P/B 0.89). However, the fundamental outlook is clouded by negative earnings growth (-4.20% YoY) and a concerning forward P/E of 28.52, which suggests a significant expected decline in future earnings. Most critically, the dividend payout ratio of 128.10% is unsustainable, indicating the trust is returning more capital than it generates. While the asset base provides a valuation floor, the lack of growth and dividend instability prevent a bullish rating.

Strengths
Trading at a discount to book value (P/B 0.89)
Price is currently below the Graham Number defensive fair value
Stable financial health as indicated by a Piotroski F-Score of 6/9
Risks
Unsustainable dividend payout ratio (128.10%)
Negative earnings growth trend (-4.20% YoY, -4.40% Q/Q)
Forward P/E (28.52) is double the current P/E, signaling earnings decay
V BULLISH

V shows bullish fundamentals based on deterministic rules. Financial strength is strong (F-Score 6/9). Key strengths include strong valuation and growth metrics.

Strengths
Strong profitability (50.2% margin)
Strong ROE of 54.0%
Risks
Premium vs Graham Number ($69.32)

Compare Another Pair

MCR vs V: Head-to-Head Comparison

This page compares MFS Charter Income Trust (MCR) and Visa Inc. (V) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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