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Malaysia Marine and Heavy Engineering Holdings (5186) Fair Value & Analysis

Energy · MY · Market cap 560M MYR

MM Malaysia Marine and Heavy Engineering Holdings 5186 · KLSE
Price0.3400 MYR
Fair Value0.2695 MYR
Upside-20.7%
Quality56/100
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Mixed Growth
Thin margins · 5.1% net margin
Low debt · generates free cash flow
Ranks above peers (10/13)
Narrow moat 36/100
Evidence: High Range 0.2380 MYR – 0.3220 MYR Share as image

Fair value as of: Jul 17, 2026

From 21 valuation models · updated 24 days ago

Fair value updated Jul 17, 2026, revised from 0.7700 MYR to 0.2695 MYR (−65.0%) since Jun 25, 2026. Share price +1.5% over the past month.

A solid business, but screening 21% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (0.3220 MYR). The favourable scenario is already priced in.
  • Solid but not exceptional quality (56/100) and above fair value, neither a clear bargain nor a standout compounder.
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Price vs Fair Value (5 years)

0.7340 MYR 0.3100 MYR Fair Value 0.2695 MYR Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 17, 2026.

How to read this chart

60‑month range 0.3100 MYR – 0.7340 MYR · fair‑value band 0.2380 MYR – 0.3220 MYR · the 0.3400 MYR price screens above the 0.2695 MYR fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 17, 2026.

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Analysis

Malaysia Marine and Heavy Engineering Holdings (5186) currently trades at 0.3400 MYR, while our model-based Fair Value estimate is 0.2695 MYR, implying the stock looks roughly 20.7% overvalued today. The Quality Score stands at 56/100 (solid quality), in the Energy sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Malaysia Marine and Heavy Engineering Holdings generated revenue of 2.0B MYR at a net margin of 5.1%. Revenue grew 15.2% year over year. It earns a return on equity of 7.2%. The balance sheet holds a net cash position of 199M MYR. Fundamentals as of Jul 17, 2026

Our scenario range runs from 0.2380 MYR (bear case) to 0.3220 MYR (bull case); at 0.3400 MYR, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 30% below its 52-week high and 11% above its 52-week low, currently below its 200-day average. For context, the median of 10 Energy peers we cover trades at -36% fair-value upside, at -21%, 5186 screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Growth DCF 0.2200 MYR 0.2300 MYR 0.2400 MYR 80
Residual Income 0.7100 MYR 0.7200 MYR 0.7200 MYR 76
ROIC Compounder 0.7000 MYR 0.7700 MYR 0.8300 MYR 72
All 21 models by family
DCF Models
FCF DCF 0.2100 MYR 0.2300 MYR 0.2400 MYR 38
Owner Earnings 0.2700 MYR 0.3000 MYR 0.3400 MYR 31
5Y Revenue Exit 0.5400 MYR 0.8000 MYR 1.14 MYR 39
5Y EBITDA Exit 0.4700 MYR 0.6700 MYR 0.9100 MYR 41
5Y P/E Exit 0.5300 MYR 0.7700 MYR 1.04 MYR 38
10Y Revenue Exit 0.3800 MYR 0.5700 MYR 0.8000 MYR 36
10Y EBITDA Exit 0.3600 MYR 0.4900 MYR 0.6600 MYR 37
10Y P/E Exit 0.3900 MYR 0.5600 MYR 0.7400 MYR 35
Earnings-Based
Graham-Dodd 0.4400 MYR 0.8400 MYR 1.04 MYR 54
EPV 0.7000 MYR 0.7700 MYR 0.8300 MYR 59
Multiples
P/E Multiple 0.6700 MYR 0.9000 MYR 1.12 MYR 63
P/S Multiple 0.8200 MYR 1.09 MYR 1.37 MYR 58
P/B Multiple 0.8200 MYR 1.09 MYR 1.37 MYR 55
EV/EBIT 0.7200 MYR 0.9000 MYR 1.08 MYR 53
EV/EBITDA 0.7300 MYR 0.9100 MYR 1.09 MYR 54
EV/Revenue 0.8300 MYR 1.12 MYR 1.40 MYR 43
Asset-Based
NCAV (Graham) 0.4700 MYR 0.6200 MYR 0.9300 MYR 50
Growth DCF
Growth DCF 0.2200 MYR 0.2300 MYR 0.2400 MYR 80
Economic Profit
Residual Income 0.7100 MYR 0.7200 MYR 0.7200 MYR 76
ROIC Compounder 0.7000 MYR 0.7700 MYR 0.8300 MYR 72
Growth Earnings
Growth-Adj P/E 0.4900 MYR 0.7100 MYR 0.9200 MYR 68

Widest divergence: Multiples (0.9100 MYR) versus Growth DCF (0.2300 MYR). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) 2.0B MYR
Revenue growth (YoY) +15.2%
Net margin 5.1%
Return on equity 7.2%
Free cash flow 7.7M MYR FY2025
P/E ratio 5.1
More key figures
Operating margin 3.5%
EPS (TTM) 0.0700 MYR
EPS growth (YoY) +16.8%
Net cash 199M MYR FY2025

Figures from reported company fundamentals · as of Jul 17, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 56/100

Of which business quality 55 · Market factors (momentum, volatility) 40

Profitability 48
Margins and returns on capital today
Quality Growth 48
Are margins and returns improving?
Cashflow 34
Earnings quality: real cash, not paper profit
Fin. Strength 52
Balance sheet, leverage, solvency risk
Investment 88
Disciplined investing over empire-building
Low Volatility 71
Calm price path (market factor)
Momentum 29
Price trend over the last 3–12 months (market factor)
52W Momentum 23
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Malaysia Marine and Heavy Engineering Holdings Berhad, an investment holding company, provides energy and marine solutions for offshore and onshore facilities and vessels in Malaysia. It operates through Heavy Engineering and Marine segments.

Full company description

Malaysia Marine and Heavy Engineering Holdings Berhad, an investment holding company, provides energy and marine solutions for offshore and onshore facilities and vessels in Malaysia. It operates through Heavy Engineering and Marine segments. The company engages in the engineering, procurement, construction, installation, and commissioning of deepwater facilities, fixed platforms, turrets, offshore and onshore carbon capture and storage facilities, and hydrogen and ammonia facilities, as well as floating production, storage, and offloading modules; fabrication solutions for onshore modules and facilities, including pre-assembled unit and rack modules; fixed platforms, such as HVDC and HVAC offshore substations; and wind turbine foundations. It is also involved in the dry docking, repair, refurbishment, retrofitting, life extension, and upgrading of offshore and marine vessels, including gas carriers, floating production vessels, mobile offshore drilling units (MODUs), product tankers, offshore supply vessels, dredgers, car carriers, navy vessels, jumboisation, and dejumboisation; maritime decarbonisation retrofits; floaters; onshore maintenance; light engineering; onshore fabrication; and integrated solutions delivery services. The company serves the offshore oil and gas, offshore wind, and emerging new energy sectors. The company was formerly known as MSE Holdings Berhad and changed its name to Malaysia Marine and Heavy Engineering Holdings Berhad in June 2010. The company was incorporated in 1989 and is based in Kuala Lumpur, Malaysia. Malaysia Marine and Heavy Engineering Holdings Berhad operates as a subsidiary of MISC Berhad.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Malaysia Marine and Heavy Engineering Holdings reported revenue of 2.0B MYR in FY2025 versus 1.5B MYR in FY2021, a compound +7.7%/yr. Reported net income was 103M MYR in FY2025.

Growth Quality 34/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
2.0B MYR
Latest YoY
−45.2%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+6.2%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+4.8%
Avg. growth/yr (18Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+0.7%
Revenue +7.7%/yr
FY21 1.5B MYR
FY22 1.7B MYR
FY23 3.3B MYR
FY24 3.6B MYR
FY25 2.0B MYR
Net income
FY21 −270M MYR
FY22 67.8M MYR
FY23 −484M MYR
FY24 121M MYR
FY25 103M MYR

5186 screens 21% overvalued. Compare with SLB N.V →

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Cite: Fair Value Calculator (2026). "Malaysia Marine and Heavy Engineering Holdings Fair Value". https://www.fairvalue-calculator.com/stock/5186

Peer Group

Oil & Gas Equipment & Services · 191 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 56 · Above median
Fair Value upside −21% · Above median
Return on equity (TTM) 7% · Above median
Return on assets 2% · Below median
Net margin (TTM) 5% · Above median
Operating margin (TTM) 3% · Below median
Revenue growth 15% · Above median
Debt / equity 0.12× · Lower than median

Valuation Multiples vs Oil & Gas Equipment & Services median · lower = cheaper

P/E (TTM) 5.0× · Cheaper than 75% of peers
P/B 0.09× · Cheaper than 75% of peers
P/S (TTM) 0.07× · Cheaper than 75% of peers
P/FCF 17.7× · Pricier than median
PEG 0.33× · Cheaper than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 6 · sector 0
FUTURE 76 · sector 0
PAST 29 · sector 28
HEALTH 94 · sector 92
DIVIDEND 0 · sector 31

Insider activity: 45/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

Oil & gas

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Oil & Gas Equipment & Services stocks, each showing price versus our Fair Value estimate (as of Jul 17, 2026).

Stock Price Fair Value vs Fair Value
SLB N.V SLBN 836.00 MXN 533.97 MXN -36%
Baker Hughes Company BKR $55.95 $33.55 -40%
TechnipFMC plc FTI $74.57 $27.57 -63%
Halliburton Company HAL $35.22 $21.50 -39%
Tenaris S.A TS $57.16 $45.68 -20%
Yantai Jereh Oilfield Services Group 002353 ¥138.79 ¥34.17 -75%
Saipem SpA SPM €4.20 €2.72 -35%
Subsea 7 S.A SUBC kr 319.00 kr 227.98 -29%
China Oilfield Services Limited 601808 ¥12.08 ¥12.64 +5%
Gaztransport & Technigaz SA GTT €188.10 €95.01 -49%

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Frequently asked questions

Is Malaysia Marine and Heavy Engineering Holdings (5186) overvalued or undervalued?
As of Jul 17, 2026, our model estimates a fair value of 0.2695 MYR versus a price of 0.3400 MYR, about −21% (overvalued).
What is the fair value of 5186?
Our model-based fair value for Malaysia Marine and Heavy Engineering Holdings is 0.2695 MYR (as of Jul 17, 2026), built from audited fundamentals. The current price is 0.3400 MYR.
What is the quality score of 5186?
Malaysia Marine and Heavy Engineering Holdings has a Quality Score of 56/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Malaysia Marine and Heavy Engineering Holdings (5186)?
Malaysia Marine and Heavy Engineering Holdings reported trailing-twelve-month revenue of about 2.0B MYR (latest available figure, as of Jul 17, 2026).
What is the net profit margin of 5186?
The net profit margin of Malaysia Marine and Heavy Engineering Holdings is about 5.1%, meaning it keeps roughly 5.1% of revenue as net income. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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