One-glance verdict
Within fair range
$185.76 our estimate vs market $226.99
Wall Street consensus: $276.75 (49.0% higher than our fair-value estimate)
22% above our estimate
Fundamentals snapshot
Matson, Inc.
MATX · NYQ · Industrials · Marine Shipping
Current price
$226.99
52-week range
$96.70 - $240.87
Market cap
$6.79B
Balance sheet
Healthy
68.72x Strong cushion
Net debt $597.10M. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
3 Risks
3 rewards · 3 risks
- Reward Revenue grew 3.4% last year.
- Reward Returns 17.2% on equity, ahead of 60% of its peers.
- Risk Stock trades 79.0% above its 5-year average P/E.
- Risk Operating margin compressed from 29.3% to 16.1% over 3 years.
What this company does
Matson, Inc.
Matson, Inc. is a shipping company that moves goods like food, cars, and electronics to Hawaii, Alaska, Guam, and other islands, and also offers services like trucking and warehousing to get those goods where they need to go. Much of their money comes from these shipping and logistics services (helping manage the movement of goods), which are crucial for island communities that rely on imports for daily life. This makes Matson's business very tied to the economic health and needs of the places they serve.
How the company got here
Matson, Inc. has a long history, tracing its roots back to 1882 when it was founded in Honolulu, Hawaii. Originally known as Alexander & Baldwin Holdings, Inc., the company changed its name to Matson, Inc. in 2012. Over its many decades, Matson has evolved into a leading provider of ocean transportation and logistics services, adapting to changing trade routes and customer needs. Its deep understanding of the Pacific trade lanes and its commitment to reliable service have been key to its enduring presence in the industry.
What it actually does
Matson provides shipping and moving services across the Pacific Ocean and within certain U.S. regions. Think of them as the company that moves goods from places like China to the West Coast of the U.S., and also handles a lot of the shipping to and from Hawaii and Alaska. They transport a wide variety of items, from everyday consumer goods and electronics to building materials and even cars, ensuring that these essential items reach their destinations reliably.
Ocean Transportation
This is Matson's largest business, focusing on moving goods by ship. They are particularly important for connecting the U.S. mainland with Hawaii, Alaska, and Guam, as well as other islands in Micronesia. Matson ships everything from food and clothing to cars and construction supplies, acting as a vital link for these economies. This segment also includes a fast shipping service from China to California, and they handle specialized cargo like refrigerated goods that need to stay cold.
Logistics
The Logistics segment is like Matson's "moving company" arm, offering services beyond just ocean shipping. This includes arranging for trucks and trains to move goods inland after they arrive by ship, as well as warehousing and distribution services. They also act as a freight forwarder, which means they help coordinate shipments for other companies, managing the entire process from booking to delivery. This part of the business helps ensure goods get from the port to their final destination efficiently.
What management is betting on now
Matson's management is focused on strengthening its core ocean transportation services, especially its long-standing routes to Hawaii and Alaska. They are also investing in their logistics capabilities to offer more comprehensive supply chain solutions to customers. A key priority is modernizing their fleet and terminals to improve efficiency and reliability. Matson is also looking to capitalize on growing e-commerce trends, which require timely and dependable delivery of goods.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q3
$189.00M
FY2024 Q4
$49.30M
FY2025 Q1
$-200.00K
FY2025 Q2
$19.30M
FY2025 Q3
$92.40M
FY2025 Q4
$42.20M
FY2026 Q1
$45.70M
Revenue
$969.40M
Net income
$129.40M
Diluted EPS
4.27
Operating cash flow
$137.60M
Free cash flow
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Sources
Revenue
$757.80M
Net income
$56.60M
Diluted EPS
1.85
Operating cash flow
$94.00M
Free cash flow
$45.70M
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Sources
Revenue
$851.90M
Net income
$143.10M
Diluted EPS
4.47
Operating cash flow
$176.90M
Free cash flow
$42.20M
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Sources
Revenue
$880.10M
Net income
$134.70M
Diluted EPS
4.24
Operating cash flow
$175.60M
Free cash flow
$92.40M
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Sources
Revenue
$830.50M
Net income
$94.70M
Diluted EPS
2.92
Operating cash flow
$105.60M
Free cash flow
$19.30M
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Sources
Revenue
$782.00M
Net income
$72.30M
Diluted EPS
2.18
Operating cash flow
$89.00M
Free cash flow
$-200.00K
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Sources
Revenue
$890.30M
Net income
$128.00M
Diluted EPS
3.69
Operating cash flow
$174.70M
Free cash flow
$49.30M
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Sources
Revenue
$962.00M
Net income
$199.10M
Diluted EPS
5.89
Operating cash flow
$248.60M
Free cash flow
$189.00M
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Sources
Is it cheap or expensive?
Fair value $185.76 vs current price $226.99
Wall Street consensus is the average analyst price target: $276.75 (49.0% higher than our fair-value estimate).
Our most-likely fair value is $185.76 a share — about 18.2% away from today's price of $226.99, so the stock currently looks fairly priced.
Is it drowning in debt?
Healthy
Net debt $597.1M. Interest coverage 68.7x.
Net debt
$597.10M
Interest coverage
68.72x
Matson, Inc.'s profit covers its interest bill about 68.7 times over. which is stronger than every peer shown here.
Healthy
Worse cushion
Baseline
Better cushion
MATX
BASELINE
Matson, Inc.
Total debt $716.40M Interest coverage 68.72x This is the baseline the peer rows are being compared against.
Total debt $5.31B Interest coverage 2.08x -97% vs MATX Carries about 33.0x less debt cushion than MATX.
Total debt $1.23B Interest coverage 10.61x -85% vs MATX Carries about 6.5x less debt cushion than MATX.
Total debt $1.21B Interest coverage 11.64x -83% vs MATX Carries about 5.9x less debt cushion than MATX.
Total debt $1.81B Interest coverage 5.06x -93% vs MATX Carries about 13.6x less debt cushion than MATX.
Total debt $671.76M Interest coverage 9.63x -86% vs MATX Carries about 7.1x less debt cushion than MATX.
What you should know
The case for and against MATX
3 Rewards
3 Risks
Rewards
-
Revenue grew 3.4% last year.
-
Returns 17.2% on equity, ahead of 60% of its peers.
-
Free cash flow was positive in 8/10 years.
Risks
-
Stock trades 79.0% above its 5-year average P/E.
-
Operating margin compressed from 29.3% to 16.1% over 3 years.
-
Insider ownership is only 1.9% (peer median: 11.0%).
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
15.26x
Forward P/E
13.51x
P/B
2.45x
P/S
1.96x
EV/EBITDA
10.95x
PEG ratio
2.01x
Profitability
How much profit each dollar creates
Gross margin
23.0%
Operating margin
16.1%
Net margin
13.4%
ROE
17.2%
ROA
6.9%
Health
Liquidity and balance-sheet strength
Debt / equity
0.26x
Current ratio
0.89x
Quick ratio
0.75x
Total debt
$716.40M
Total cash
$119.30M
Growth
How the business has been compounding
Revenue TTM
$3.46B
Revenue 5Y CAGR
-3.9%
EPS TTM
14.87
EPS 5Y CAGR
-20.1%
Cash flow
How much cash the business throws off
Operating CF TTM
$584.10M
Free CF TTM
$153.70M
FCF margin
4.4%
Dividend
Shareholder payout
Yield
0.7%
Payout ratio
9.7%
Last ex-div date
2026-11-05