- The debt-to-equity ratio of 1.19 is relatively high when compared with the industry average, suggesting a need for better debt level management. To add to this, MCZ has a quick ratio of 0.54, this demonstrates the lack of ability of the company to cover short-term liquidity needs.
- Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Household Durables industry and the overall market, MAD CATZ INTERACTIVE INC's return on equity significantly trails that of both the industry average and the S&P 500.
- The gross profit margin for MAD CATZ INTERACTIVE INC is currently lower than what is desirable, coming in at 25.43%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of -1.72% trails that of the industry average.
- Net operating cash flow has significantly decreased to $0.62 million or 90.11% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.
- MAD CATZ INTERACTIVE INC has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. The company has reported a trend of declining earnings per share over the past two years. During the past fiscal year, MAD CATZ INTERACTIVE INC reported poor results of -$0.18 versus -$0.04 in the prior year.
Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. The Computer Hardware industry as a whole closed the day down 0.2% versus the S&P 500, which was up 0.1%. Laggards within the Computer Hardware industry included Video Display ( VIDE), down 4.8%, Interphase ( INPH), down 1.6%, Acorn Energy ( ACFN), down 15.7%, Mad Catz Interactive ( MCZ), down 2.6% and Echelon ( ELON), down 6.2%. TheStreet Ratings Group would like to highlight 3 stocks that pushed the industry lower today: Mad Catz Interactive ( MCZ) is one of the companies that pushed the Computer Hardware industry lower today. Mad Catz Interactive was down $0.02 (2.6%) to $0.69 on light volume. Throughout the day, 102,430 shares of Mad Catz Interactive exchanged hands as compared to its average daily volume of 626,300 shares. The stock ranged in price between $0.69-$0.72 after having opened the day at $0.71 as compared to the previous trading day's close of $0.71. Mad Catz Interactive, Inc. designs, manufactures, markets, sells, and distributes accessories for videogame platforms, personal computers (PC) and Mac, smart phones, and other smart devices. Mad Catz Interactive has a market cap of $44.8 million and is part of the technology sector. Shares are up 36.0% year-to-date as of the close of trading on Monday. STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. TheStreet Ratings rates Mad Catz Interactive as a sell. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income, generally high debt management risk, disappointing return on equity and poor profit margins. Highlights from TheStreet Ratings analysis on MCZ go as follows: