MERCEDES-BENZ GROUP AG (1MBG.MI) Stock Fundamental Analysis
Europe • Euronext Milan • BIT:1MBG • DE0007100000
57.56 EUR
-1.3 (-2.21%)
Last: Jan 30, 2026, 07:00 PM
Overall 1MBG gets a fundamental rating of 5 out of 10. We evaluated 1MBG against 33 industry peers in the Automobiles industry. Both the profitability and the financial health of 1MBG get a neutral evaluation. Nothing too spectacular is happening here. 1MBG is valued correctly, but it does not seem to be growing. Finally 1MBG also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- In the past year 1MBG was profitable.
- In the past year 1MBG had a positive cash flow from operations.
- In the past 5 years 1MBG has always been profitable.
- Each year in the past 5 years 1MBG had a positive operating cash flow.
1.2 Ratios
- 1MBG's Return On Assets of 2.44% is fine compared to the rest of the industry. 1MBG outperforms 63.64% of its industry peers.
- 1MBG has a better Return On Equity (6.81%) than 63.64% of its industry peers.
- 1MBG has a Return On Invested Capital of 2.72%. This is comparable to the rest of the industry: 1MBG outperforms 42.42% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for 1MBG is in line with the industry average of 5.93%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.44% | ||
| ROE | 6.81% | ||
| ROIC | 2.72% |
ROA(3y)4.95%
ROA(5y)4.99%
ROE(3y)14.51%
ROE(5y)16.3%
ROIC(3y)6.43%
ROIC(5y)5.71%
1.3 Margins
- Looking at the Profit Margin, with a value of 4.56%, 1MBG belongs to the top of the industry, outperforming 81.82% of the companies in the same industry.
- In the last couple of years the Profit Margin of 1MBG has grown nicely.
- 1MBG has a Operating Margin (4.89%) which is in line with its industry peers.
- In the last couple of years the Operating Margin of 1MBG has grown nicely.
- 1MBG has a Gross Margin (17.85%) which is comparable to the rest of the industry.
- In the last couple of years the Gross Margin of 1MBG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.89% | ||
| PM (TTM) | 4.56% | ||
| GM | 17.85% |
OM growth 3Y-9.61%
OM growth 5Y7.69%
PM growth 3Y-25.83%
PM growth 5Y38.49%
GM growth 3Y-5.7%
GM growth 5Y-1.14%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), 1MBG is destroying value.
- The number of shares outstanding for 1MBG has been reduced compared to 1 year ago.
- Compared to 5 years ago, 1MBG has less shares outstanding
- The debt/assets ratio for 1MBG is higher compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 1.34, we must say that 1MBG is in the distress zone and has some risk of bankruptcy.
- With a decent Altman-Z score value of 1.34, 1MBG is doing good in the industry, outperforming 69.70% of the companies in the same industry.
- 1MBG has a debt to FCF ratio of 8.55. This is a slightly negative value and a sign of low solvency as 1MBG would need 8.55 years to pay back of all of its debts.
- 1MBG's Debt to FCF ratio of 8.55 is fine compared to the rest of the industry. 1MBG outperforms 69.70% of its industry peers.
- A Debt/Equity ratio of 0.70 indicates that 1MBG is somewhat dependend on debt financing.
- The Debt to Equity ratio of 1MBG (0.70) is better than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.7 | ||
| Debt/FCF | 8.55 | ||
| Altman-Z | 1.34 |
ROIC/WACC0.42
WACC6.51%
2.3 Liquidity
- 1MBG has a Current Ratio of 1.27. This is a normal value and indicates that 1MBG is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 1.27, 1MBG is in the better half of the industry, outperforming 72.73% of the companies in the same industry.
- 1MBG has a Quick Ratio of 1.27. This is a bad value and indicates that 1MBG is not financially healthy enough and could expect problems in meeting its short term obligations.
- 1MBG has a Quick ratio of 0.93. This is comparable to the rest of the industry: 1MBG outperforms 54.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.27 | ||
| Quick Ratio | 0.93 |
3. Growth
3.1 Past
- The earnings per share for 1MBG have decreased strongly by -38.93% in the last year.
- Measured over the past years, 1MBG shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.17% on average per year.
- Looking at the last year, 1MBG shows a decrease in Revenue. The Revenue has decreased by -7.08% in the last year.
- Measured over the past years, 1MBG shows a decrease in Revenue. The Revenue has been decreasing by -3.36% on average per year.
EPS 1Y (TTM)-38.93%
EPS 3Y-4.91%
EPS 5Y9.17%
EPS Q2Q%-32.6%
Revenue 1Y (TTM)-7.08%
Revenue growth 3Y2.83%
Revenue growth 5Y-3.36%
Sales Q2Q%-6.9%
3.2 Future
- Based on estimates for the next years, 1MBG will show a decrease in Earnings Per Share. The EPS will decrease by -0.62% on average per year.
- Based on estimates for the next years, 1MBG will show a small growth in Revenue. The Revenue will grow by 0.91% on average per year.
EPS Next Y-47.79%
EPS Next 2Y-17.9%
EPS Next 3Y-6.09%
EPS Next 5Y-0.62%
Revenue Next Year-7.61%
Revenue Next 2Y-3.36%
Revenue Next 3Y-1.2%
Revenue Next 5Y0.91%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 8.88, the valuation of 1MBG can be described as reasonable.
- Based on the Price/Earnings ratio, 1MBG is valued cheaply inside the industry as 87.88% of the companies are valued more expensively.
- 1MBG's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.32.
- Based on the Price/Forward Earnings ratio of 8.38, the valuation of 1MBG can be described as reasonable.
- 60.61% of the companies in the same industry are more expensive than 1MBG, based on the Price/Forward Earnings ratio.
- 1MBG is valuated cheaply when we compare the Price/Forward Earnings ratio to 25.57, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.88 | ||
| Fwd PE | 8.38 |
4.2 Price Multiples
- 1MBG's Enterprise Value to EBITDA is on the same level as the industry average.
- Based on the Price/Free Cash Flow ratio, 1MBG is valued cheaper than 93.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.63 | ||
| EV/EBITDA | 8.59 |
4.3 Compensation for Growth
- The decent profitability rating of 1MBG may justify a higher PE ratio.
- A cheap valuation may be justified as 1MBG's earnings are expected to decrease with -6.09% in the coming years.
PEG (NY)N/A
PEG (5Y)0.97
EPS Next 2Y-17.9%
EPS Next 3Y-6.09%
5. Dividend
5.1 Amount
- 1MBG has a Yearly Dividend Yield of 7.50%, which is a nice return.
- 1MBG's Dividend Yield is rather good when compared to the industry average which is at 3.62. 1MBG pays more dividend than 90.91% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.83, 1MBG pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.5% |
5.2 History
- On average, the dividend of 1MBG grows each year by 11.89%, which is quite nice.
Dividend Growth(5Y)11.89%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 66.24% of the earnings are spent on dividend by 1MBG. This is not a sustainable payout ratio.
- 1MBG's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP66.24%
EPS Next 2Y-17.9%
EPS Next 3Y-6.09%
MERCEDES-BENZ GROUP AG / 1MBG.MI FAQ
Can you provide the ChartMill fundamental rating for MERCEDES-BENZ GROUP AG?
ChartMill assigns a fundamental rating of 5 / 10 to 1MBG.MI.
What is the valuation status of MERCEDES-BENZ GROUP AG (1MBG.MI) stock?
ChartMill assigns a valuation rating of 6 / 10 to MERCEDES-BENZ GROUP AG (1MBG.MI). This can be considered as Fairly Valued.
How profitable is MERCEDES-BENZ GROUP AG (1MBG.MI) stock?
MERCEDES-BENZ GROUP AG (1MBG.MI) has a profitability rating of 6 / 10.
What is the expected EPS growth for MERCEDES-BENZ GROUP AG (1MBG.MI) stock?
The Earnings per Share (EPS) of MERCEDES-BENZ GROUP AG (1MBG.MI) is expected to decline by -47.79% in the next year.
Can you provide the dividend sustainability for 1MBG stock?
The dividend rating of MERCEDES-BENZ GROUP AG (1MBG.MI) is 7 / 10 and the dividend payout ratio is 66.24%.