Forensic Analysis · General / Diversified · as of Jun 27, 2026
METHODE ELECTRONICS INC (MEI)
A forensic read on METHODE ELECTRONICS INC built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
C · Mixed — selective
Forensic grade
Safe
Financial health
4.1
Altman Z-score
Clean
Earnings quality
5
Forensic signals
-9.4%
ROE
$680M
Market cap
1.49%
Dividend yield
METHODE ELECTRONICS INC earns a C (Mixed — selective) forensic quality grade, and its Altman Z-score is 4.1, placing it in the Safe zone. 5 forensic signals were flagged in its latest SEC filings, led by return on invested capital.
What the filings flag
1%Return on invested capital.Return on invested capital is 1% and slipping from 6% — well below its ~9% cost of capital, so reinvested dollars may be destroying value, not building it.
1% of revStock-based comp load.Stock-based compensation ran 1% of revenue and 54% of free cash flow in FY2026 — about $0.24 per diluted share. Heavy — a large slice of 'free cash flow' is really being paid out in stock, so the true owner cash per share is well below the headline.
92d DSOReceivables vs revenue.Days sales outstanding moved from 84 to 92 days FY2025→FY2026 (receivables +7% vs revenue -3%). Receivables are creeping up relative to sales — watch the trend.
$106MGoodwill impairments.Took $106M of goodwill writedowns across 1 year(s) (FY2024 ($106M)). Writedowns mean past acquisitions underperformed what was paid for them — worth weighing on capital-allocation skill.
-59%Dividend — cut.The payout was CUT ~59% in FY2026 (from FY2025). It still returns some cash, but it is NOT the dependable, rising dividend an unbroken streak implies — weigh the cut when judging reliability.
Key fundamentals
Net Margin-3.5%
Debt / Equity0.48x
Free Cash Flow$15.6M
Latest Revenue$1.02B
Return on Equity-5.3%
Revenue Growth YoY-2.8%
Go deeper — free with an account
The forensic grade and screens above are free — no account needed. An account adds the full interactive deep-dive on METHODE ELECTRONICS INC:
🔒The written investment read — what the numbers mean, in plain English
🔒Ask anything about MEI's filings — AI Q&A across the 10-K, 10-Qs & 8-Ks
🔒Interactive valuation — reverse-DCF sliders, Monte Carlo & scenario stress
🔒Calibrated 12-month price forecast, with the math shown