MERCEDES-BENZ GROUP AG (1MBG.MI) Stock Fundamental Analysis
BIT:1MBG - Borsa Italiana Milan - DE0007100000 - Common Stock - Currency: EUR
Overall 1MBG gets a fundamental rating of 5 out of 10. We evaluated 1MBG against 29 industry peers in the Automobiles industry. 1MBG has an average financial health and profitability rating. 1MBG has a valuation in line with the averages, but on the other hand it scores bad on growth. Finally 1MBG also has an excellent dividend rating. These ratings could make 1MBG a good candidate for dividend investing.
1. Profitability
1.1 Basic Checks
In the past year 1MBG was profitable.
1MBG had a positive operating cash flow in the past year.
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
The Return On Assets of 1MBG (4.14%) is better than 62.96% of its industry peers.
With a decent Return On Equity value of 12.05%, 1MBG is doing good in the industry, outperforming 66.67% of the companies in the same industry.
1MBG has a Return On Invested Capital (5.14%) which is comparable to the rest of the industry.
1MBG had an Average Return On Invested Capital over the past 3 years of 6.99%. This is in line with the industry average of 8.71%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.14% | ||
| ROE | 12.05% | ||
| ROIC | 5.14% |
ROA(3y)6.62%
ROA(5y)4.38%
ROE(3y)21.5%
ROE(5y)14.87%
ROIC(3y)6.99%
ROIC(5y)5.47%
1.3 Margins
Looking at the Profit Margin, with a value of 7.35%, 1MBG is in the better half of the industry, outperforming 70.37% of the companies in the same industry.
1MBG's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 8.94%, 1MBG is in line with its industry, outperforming 59.26% of the companies in the same industry.
In the last couple of years the Operating Margin of 1MBG has grown nicely.
1MBG has a Gross Margin (19.76%) which is in line with its industry peers.
1MBG's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.94% | ||
| PM (TTM) | 7.35% | ||
| GM | 19.76% |
OM growth 3Y26.09%
OM growth 5Y12.89%
PM growth 3Y46.2%
PM growth 5Y16.53%
GM growth 3Y9.72%
GM growth 5Y2.49%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), 1MBG is creating some value.
1MBG has less shares outstanding than it did 1 year ago.
1MBG has less shares outstanding than it did 5 years ago.
The debt/assets ratio for 1MBG has been reduced compared to a year ago.
2.2 Solvency
1MBG has an Altman-Z score of 1.47. This is a bad value and indicates that 1MBG is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.47, 1MBG is in line with its industry, outperforming 59.26% of the companies in the same industry.
1MBG has a debt to FCF ratio of 14.62. This is a negative value and a sign of low solvency as 1MBG would need 14.62 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 14.62, 1MBG is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
1MBG has a Debt/Equity ratio of 0.81. This is a neutral value indicating 1MBG is somewhat dependend on debt financing.
1MBG has a Debt to Equity ratio (0.81) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.81 | ||
| Debt/FCF | 14.62 | ||
| Altman-Z | 1.47 |
ROIC/WACC0.77
WACC6.67%
2.3 Liquidity
A Current Ratio of 1.36 indicates that 1MBG should not have too much problems paying its short term obligations.
1MBG has a better Current ratio (1.36) than 74.07% of its industry peers.
1MBG has a Quick Ratio of 1.36. This is a bad value and indicates that 1MBG is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.98, 1MBG is in the better half of the industry, outperforming 70.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.36 | ||
| Quick Ratio | 0.98 |
3. Growth
3.1 Past
1MBG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -25.23%.
The Earnings Per Share has been growing by 14.73% on average over the past years. This is quite good.
Looking at the last year, 1MBG shows a decrease in Revenue. The Revenue has decreased by -4.26% in the last year.
The Revenue has been decreasing by -1.75% on average over the past years.
EPS 1Y (TTM)-25.23%
EPS 3Y41.61%
EPS 5Y14.73%
EPS Q2Q%-47.38%
Revenue 1Y (TTM)-4.26%
Revenue growth 3Y7.96%
Revenue growth 5Y-1.75%
Sales Q2Q%-7.18%
3.2 Future
1MBG is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.55% yearly.
Based on estimates for the next years, 1MBG will show a decrease in Revenue. The Revenue will decrease by -0.05% on average per year.
EPS Next Y-28.05%
EPS Next 2Y-13.92%
EPS Next 3Y-6.28%
EPS Next 5Y0.55%
Revenue Next Year-4.36%
Revenue Next 2Y-2.35%
Revenue Next 3Y-0.93%
Revenue Next 5Y-0.05%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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
A Price/Earnings ratio of 5.38 indicates a rather cheap valuation of 1MBG.
Based on the Price/Earnings ratio, 1MBG is valued a bit cheaper than the industry average as 77.78% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 28.47, 1MBG is valued rather cheaply.
The Price/Forward Earnings ratio is 5.73, which indicates a rather cheap valuation of 1MBG.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1MBG indicates a somewhat cheap valuation: 1MBG is cheaper than 62.96% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 92.74, 1MBG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.38 | ||
| Fwd PE | 5.73 |
4.2 Price Multiples
1MBG's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. 1MBG is more expensive than 62.96% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, 1MBG is valued a bit cheaper than 77.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.33 | ||
| EV/EBITDA | 6.6 |
4.3 Compensation for Growth
1MBG has a very decent profitability rating, which may justify a higher PE ratio.
1MBG's earnings are expected to decrease with -6.28% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.37
EPS Next 2Y-13.92%
EPS Next 3Y-6.28%
5. Dividend
5.1 Amount
1MBG has a Yearly Dividend Yield of 9.61%, which is a nice return.
Compared to an average industry Dividend Yield of 6.70, 1MBG pays a better dividend. On top of this 1MBG pays more dividend than 85.19% of the companies listed in the same industry.
1MBG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.61% |
5.2 History
The dividend of 1MBG is nicely growing with an annual growth rate of 7.60%!
Dividend Growth(5Y)7.6%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
50.61% of the earnings are spent on dividend by 1MBG. This is a bit on the high side, but may be sustainable.
The dividend of 1MBG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP50.61%
EPS Next 2Y-13.92%
EPS Next 3Y-6.28%
MERCEDES-BENZ GROUP AG
BIT:1MBG (2/3/2025, 7:00:00 PM)
57.1
-1.76 (-2.99%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobiles
Earnings (Last)
Earnings (Next)
Inst Owners31.67%
Inst Owner ChangeN/A
Ins Owners9.69%
Ins Owner ChangeN/A
Market Cap54.98B
Analysts69.03
Price Target66.53 (16.51%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.61% |
Yearly Dividend5.26
Dividend Growth(5Y)7.6%
DP50.61%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.42%
Min EPS beat(2)-6.3%
Max EPS beat(2)3.45%
EPS beat(4)3
Avg EPS beat(4)3.62%
Min EPS beat(4)-6.3%
Max EPS beat(4)10.13%
EPS beat(8)6
Avg EPS beat(8)6.72%
EPS beat(12)8
Avg EPS beat(12)2.89%
EPS beat(16)12
Avg EPS beat(16)10.45%
Revenue beat(2)0
Avg Revenue beat(2)-4.64%
Min Revenue beat(2)-6.62%
Max Revenue beat(2)-2.66%
Revenue beat(4)1
Avg Revenue beat(4)-2.46%
Min Revenue beat(4)-6.62%
Max Revenue beat(4)0.85%
Revenue beat(8)3
Avg Revenue beat(8)-0.79%
Revenue beat(12)5
Avg Revenue beat(12)-1.61%
Revenue beat(16)5
Avg Revenue beat(16)-6.2%
PT rev (1m)-4.88%
PT rev (3m)-10.53%
EPS NQ rev (1m)9.59%
EPS NQ rev (3m)-30.11%
EPS NY rev (1m)0%
EPS NY rev (3m)-16.75%
Revenue NQ rev (1m)1.04%
Revenue NQ rev (3m)-4.46%
Revenue NY rev (1m)-0.83%
Revenue NY rev (3m)-2.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.38 | ||
| Fwd PE | 5.73 | ||
| P/S | 0.37 | ||
| P/FCF | 7.33 | ||
| P/OCF | 3.49 | ||
| P/B | 0.61 | ||
| P/tB | 0.77 | ||
| EV/EBITDA | 6.6 |
EPS(TTM)10.61
EY18.58%
EPS(NY)9.97
Fwd EY17.47%
FCF(TTM)7.79
FCFY13.64%
OCF(TTM)16.38
OCFY28.68%
SpS153.08
BVpS93.4
TBVpS74.09
PEG (NY)N/A
PEG (5Y)0.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.14% | ||
| ROE | 12.05% | ||
| ROCE | 7.07% | ||
| ROIC | 5.14% | ||
| ROICexc | 5.89% | ||
| ROICexgc | 6.65% | ||
| OM | 8.94% | ||
| PM (TTM) | 7.35% | ||
| GM | 19.76% | ||
| FCFM | 5.09% |
ROA(3y)6.62%
ROA(5y)4.38%
ROE(3y)21.5%
ROE(5y)14.87%
ROIC(3y)6.99%
ROIC(5y)5.47%
ROICexc(3y)8.18%
ROICexc(5y)6.4%
ROICexgc(3y)9.18%
ROICexgc(5y)7.16%
ROCE(3y)9.62%
ROCE(5y)7.55%
ROICexcg growth 3Y36.47%
ROICexcg growth 5Y11.89%
ROICexc growth 3Y36.09%
ROICexc growth 5Y11.4%
OM growth 3Y26.09%
OM growth 5Y12.89%
PM growth 3Y46.2%
PM growth 5Y16.53%
GM growth 3Y9.72%
GM growth 5Y2.49%
F-Score5
Asset Turnover0.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.81 | ||
| Debt/FCF | 14.62 | ||
| Debt/EBITDA | 3.66 | ||
| Cap/Depr | 123.74% | ||
| Cap/Sales | 5.61% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 79.42% | ||
| Profit Quality | 69.18% | ||
| Current Ratio | 1.36 | ||
| Quick Ratio | 0.98 | ||
| Altman-Z | 1.47 |
F-Score5
WACC6.67%
ROIC/WACC0.77
Cap/Depr(3y)111.31%
Cap/Depr(5y)113.86%
Cap/Sales(3y)5.14%
Cap/Sales(5y)5.75%
Profit Quality(3y)62.47%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-25.23%
EPS 3Y41.61%
EPS 5Y14.73%
EPS Q2Q%-47.38%
EPS Next Y-28.05%
EPS Next 2Y-13.92%
EPS Next 3Y-6.28%
EPS Next 5Y0.55%
Revenue 1Y (TTM)-4.26%
Revenue growth 3Y7.96%
Revenue growth 5Y-1.75%
Sales Q2Q%-7.18%
Revenue Next Year-4.36%
Revenue Next 2Y-2.35%
Revenue Next 3Y-0.93%
Revenue Next 5Y-0.05%
EBIT growth 1Y-27.33%
EBIT growth 3Y36.12%
EBIT growth 5Y10.92%
EBIT Next Year1.67%
EBIT Next 3Y3.75%
EBIT Next 5Y4.3%
FCF growth 1Y-30%
FCF growth 3Y-23.12%
FCF growth 5YN/A
OCF growth 1Y-9.95%
OCF growth 3Y-13.47%
OCF growth 5Y111.37%