Maximus, Inc. (MMS) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+144.5%

$162.90

vs $66.64 price

Levered DCF

$118.60

After debt service

Piotroski score

8 / 9

Strong

Altman Z-score

3.02

Safe zone

Rating

A+

Overall 4 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	16.43×	18.52×	28.18×	17.54×	17.74×	20.12×	20.71×	18.91×
P/B	3.13×	3.09×	2.74×	2.31×	3.49×	3.47×	3.99×	3.85×
P/S	0.97×	1.07×	0.93×	0.77×	1.21×	1.25×	1.73×	1.74×
EV / EBITDA	9.7×	10.95×	13.23×	10.85×	13.73×	11.4×	12.02×	10.53×
Gross margin	23.0%	21.9%	19.0%	18.3%	21.2%	19.5%	20.5%	24.4%
Operating margin	10.6%	9.3%	6.0%	6.7%	9.9%	8.4%	11.1%	12.5%
Net margin	5.9%	5.8%	3.3%	4.4%	6.8%	6.2%	8.3%	9.2%
Current ratio	1.64×	1.49×	1.46×	1.33×	1.37×	1.66×	2.17×	2.91×
Debt / equity	0.86×	0.69×	0.86×	0.97×	1.15×	0.17×	0.01×	0×
Interest coverage	6.86×	5.96×	3.51×	6.78×	28.44×	141.42×	108.15×	299.78×
Dividend yield	1.3%	1.3%	1.5%	1.9%	1.3%	1.6%	1.3%	0.3%
Payout ratio	21.5%	23.8%	42.1%	33.7%	23.6%	32.7%	26.5%	5.3%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	19.1%	16.7%	9.7%	13.2%	19.7%	17.3%	19.3%	20.4%
Return on invested capital	12.2%	10.9%	6.7%	6.9%	9.1%	14.0%	17.4%	18.7%
Return on assets	7.8%	7.4%	4.1%	5.1%	7.1%	10.6%	13.8%	15.1%
Free cash flow yield	7.0%	7.1%	4.9%	6.5%	9.3%	4.7%	5.8%	7.1%
Earnings yield	6.1%	5.4%	3.5%	5.7%	5.6%	5.0%	4.8%	5.3%
Enterprise value	$6.4B	$6.7B	$5.9B	$4.9B	$6.7B	$4.4B	$4.9B	$3.8B
Net debt / EBITDA	1.79×	1.69×	2.95×	3×	3.17×	0.32×	-0.26×	-0.98×
Cash conversion cycle (days)	35	34	37	38	39	50	50	37