FOMENTO ECONOMICO MEX-SP ADR (FMX) Stock Fundamental Analysis
USA - NYSE:FMX - US3444191064 - ADR
94.04 USD
+0.03 (+0.03%)
94.04 USD
0 (0%)
Taking everything into account, FMX scores 4 out of 10 in our fundamental rating. FMX was compared to 33 industry peers in the Beverages industry. FMX has an average financial health and profitability rating. A decent growth rate in combination with a cheap valuation! Better keep an eye on FMX.
1. Profitability
1.1 Basic Checks
In the past year FMX was profitable.
FMX had a positive operating cash flow in the past year.
Of the past 5 years FMX 4 years were profitable.
FMX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
FMX's Return On Assets of 2.02% is on the low side compared to the rest of the industry. FMX is outperformed by 60.61% of its industry peers.
FMX has a Return On Equity of 6.65%. This is comparable to the rest of the industry: FMX outperforms 45.45% of its industry peers.
FMX has a Return On Invested Capital of 8.26%. This is comparable to the rest of the industry: FMX outperforms 54.55% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FMX is below the industry average of 10.84%.
The 3 year average ROIC (6.90%) for FMX is below the current ROIC(8.26%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.02% | ||
| ROE | 6.65% | ||
| ROIC | 8.26% |
ROA(3y)4.76%
ROA(5y)3.57%
ROE(3y)13.24%
ROE(5y)9.95%
ROIC(3y)6.9%
ROIC(5y)6.43%
1.3 Margins
FMX has a worse Profit Margin (1.96%) than 60.61% of its industry peers.
In the last couple of years the Profit Margin of FMX has declined.
FMX has a worse Operating Margin (8.38%) than 66.67% of its industry peers.
In the last couple of years the Operating Margin of FMX has remained more or less at the same level.
The Gross Margin of FMX (41.14%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of FMX has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.38% | ||
| PM (TTM) | 1.96% | ||
| GM | 41.14% |
OM growth 3Y-4.5%
OM growth 5Y-1.29%
PM growth 3Y-12.59%
PM growth 5Y-3.49%
GM growth 3Y2.3%
GM growth 5Y1.71%
2. Health
2.1 Basic Checks
FMX has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, FMX has about the same amount of shares outstanding.
Compared to 5 years ago, FMX has about the same amount of shares outstanding.
FMX has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.52 indicates that FMX is not a great score, but indicates only limited risk for bankruptcy at the moment.
FMX has a Altman-Z score (2.52) which is comparable to the rest of the industry.
The Debt to FCF ratio of FMX is 8.08, which is on the high side as it means it would take FMX, 8.08 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 8.08, FMX perfoms like the industry average, outperforming 51.52% of the companies in the same industry.
A Debt/Equity ratio of 0.92 indicates that FMX is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.92, FMX is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.92 | ||
| Debt/FCF | 8.08 | ||
| Altman-Z | 2.52 |
ROIC/WACC1.28
WACC6.46%
2.3 Liquidity
FMX has a Current Ratio of 1.34. This is a normal value and indicates that FMX is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.34, FMX is in line with its industry, outperforming 57.58% of the companies in the same industry.
A Quick Ratio of 1.05 indicates that FMX should not have too much problems paying its short term obligations.
FMX has a Quick ratio of 1.05. This is in the better half of the industry: FMX outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.34 | ||
| Quick Ratio | 1.05 |
3. Growth
3.1 Past
The earnings per share for FMX have decreased by -8.91% in the last year.
FMX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 43.40% yearly.
The Revenue has decreased by -9.05% in the past year.
FMX shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.05% yearly.
EPS 1Y (TTM)-8.91%
EPS 3Y40.06%
EPS 5Y43.4%
EPS Q2Q%-34.88%
Revenue 1Y (TTM)-9.05%
Revenue growth 3Y12%
Revenue growth 5Y9.05%
Sales Q2Q%9.08%
3.2 Future
Based on estimates for the next years, FMX will show a decrease in Earnings Per Share. The EPS will decrease by -1.10% on average per year.
Based on estimates for the next years, FMX will show a quite strong growth in Revenue. The Revenue will grow by 8.53% on average per year.
EPS Next Y-31.56%
EPS Next 2Y-8.77%
EPS Next 3Y-1.1%
EPS Next 5YN/A
Revenue Next Year10.42%
Revenue Next 2Y9.53%
Revenue Next 3Y8.87%
Revenue Next 5Y8.53%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 4.29, which indicates a rather cheap valuation of FMX.
96.97% of the companies in the same industry are more expensive than FMX, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 25.89. FMX is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 3.53, the valuation of FMX can be described as very cheap.
FMX's Price/Forward Earnings ratio is rather cheap when compared to the industry. FMX is cheaper than 96.97% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.59. FMX is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.29 | ||
| Fwd PE | 3.53 |
4.2 Price Multiples
FMX's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. FMX is cheaper than 93.94% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, FMX is valued a bit cheaper than the industry average as 69.70% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.62 | ||
| EV/EBITDA | 5.96 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.1
EPS Next 2Y-8.77%
EPS Next 3Y-1.1%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.73%, FMX has a reasonable but not impressive dividend return.
FMX's Dividend Yield is comparable with the industry average which is at 3.11.
FMX's Dividend Yield is slightly below the S&P500 average, which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.73% |
5.2 History
On average, the dividend of FMX grows each year by 12.97%, which is quite nice.
FMX has been paying a dividend for at least 10 years, so it has a reliable track record.
FMX has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)12.97%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
FMX pays out 264.38% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of FMX has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP264.38%
EPS Next 2Y-8.77%
EPS Next 3Y-1.1%
94.04
+0.03 (+0.03%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners18.5%
Inst Owner Change-5.8%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap32.49B
Revenue(TTM)830.54B
Net Income(TTM)16.30B
Analysts80.91
Price Target99.87 (6.2%)
Short Float %3.42%
Short Ratio1.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.73% |
Yearly Dividend3.79
Dividend Growth(5Y)12.97%
DP264.38%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-26.2%
Min EPS beat(2)-26.96%
Max EPS beat(2)-25.44%
EPS beat(4)1
Avg EPS beat(4)-11.83%
Min EPS beat(4)-26.96%
Max EPS beat(4)12.83%
EPS beat(8)3
Avg EPS beat(8)-9.18%
EPS beat(12)5
Avg EPS beat(12)-11.1%
EPS beat(16)7
Avg EPS beat(16)-7.98%
Revenue beat(2)0
Avg Revenue beat(2)-3.71%
Min Revenue beat(2)-4.66%
Max Revenue beat(2)-2.76%
Revenue beat(4)0
Avg Revenue beat(4)-2.86%
Min Revenue beat(4)-4.66%
Max Revenue beat(4)-0.61%
Revenue beat(8)0
Avg Revenue beat(8)-3.38%
Revenue beat(12)1
Avg Revenue beat(12)-3.29%
Revenue beat(16)5
Avg Revenue beat(16)4.13%
PT rev (1m)-3.34%
PT rev (3m)-21.32%
EPS NQ rev (1m)-0.42%
EPS NQ rev (3m)406.27%
EPS NY rev (1m)-8.24%
EPS NY rev (3m)268.28%
Revenue NQ rev (1m)-0.4%
Revenue NQ rev (3m)-0.76%
Revenue NY rev (1m)-0.04%
Revenue NY rev (3m)-1.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.29 | ||
| Fwd PE | 3.53 | ||
| P/S | 0.71 | ||
| P/FCF | 18.62 | ||
| P/OCF | 7.65 | ||
| P/B | 2.42 | ||
| P/tB | 5.97 | ||
| EV/EBITDA | 5.96 |
EPS(TTM)21.9
EY23.29%
EPS(NY)26.65
Fwd EY28.34%
FCF(TTM)5.05
FCFY5.37%
OCF(TTM)12.3
OCFY13.08%
SpS131.58
BVpS38.85
TBVpS15.75
PEG (NY)N/A
PEG (5Y)0.1
Graham Number138.36
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.02% | ||
| ROE | 6.65% | ||
| ROCE | 11.86% | ||
| ROIC | 8.26% | ||
| ROICexc | 11.11% | ||
| ROICexgc | 16.67% | ||
| OM | 8.38% | ||
| PM (TTM) | 1.96% | ||
| GM | 41.14% | ||
| FCFM | 3.84% |
ROA(3y)4.76%
ROA(5y)3.57%
ROE(3y)13.24%
ROE(5y)9.95%
ROIC(3y)6.9%
ROIC(5y)6.43%
ROICexc(3y)9.14%
ROICexc(5y)8.34%
ROICexgc(3y)13.65%
ROICexgc(5y)12.47%
ROCE(3y)9.94%
ROCE(5y)9.26%
ROICexgc growth 3Y6.94%
ROICexgc growth 5Y4.64%
ROICexc growth 3Y7.84%
ROICexc growth 5Y5.63%
OM growth 3Y-4.5%
OM growth 5Y-1.29%
PM growth 3Y-12.59%
PM growth 5Y-3.49%
GM growth 3Y2.3%
GM growth 5Y1.71%
F-Score5
Asset Turnover1.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.92 | ||
| Debt/FCF | 8.08 | ||
| Debt/EBITDA | 1.99 | ||
| Cap/Depr | 105.14% | ||
| Cap/Sales | 5.51% | ||
| Interest Coverage | 4.21 | ||
| Cash Conversion | 68.63% | ||
| Profit Quality | 195.62% | ||
| Current Ratio | 1.34 | ||
| Quick Ratio | 1.05 | ||
| Altman-Z | 2.52 |
F-Score5
WACC6.46%
ROIC/WACC1.28
Cap/Depr(3y)114.57%
Cap/Depr(5y)98.32%
Cap/Sales(3y)5.72%
Cap/Sales(5y)5.02%
Profit Quality(3y)68.55%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-8.91%
EPS 3Y40.06%
EPS 5Y43.4%
EPS Q2Q%-34.88%
EPS Next Y-31.56%
EPS Next 2Y-8.77%
EPS Next 3Y-1.1%
EPS Next 5YN/A
Revenue 1Y (TTM)-9.05%
Revenue growth 3Y12%
Revenue growth 5Y9.05%
Sales Q2Q%9.08%
Revenue Next Year10.42%
Revenue Next 2Y9.53%
Revenue Next 3Y8.87%
Revenue Next 5Y8.53%
EBIT growth 1Y-3.79%
EBIT growth 3Y6.96%
EBIT growth 5Y7.64%
EBIT Next Year77.99%
EBIT Next 3Y28.94%
EBIT Next 5Y18.91%
FCF growth 1Y18.8%
FCF growth 3Y-21.83%
FCF growth 5Y-7.49%
OCF growth 1Y18.71%
OCF growth 3Y-0.28%
OCF growth 5Y3.3%
FOMENTO ECONOMICO MEX-SP ADR / FMX FAQ
What is the fundamental rating for FMX stock?
ChartMill assigns a fundamental rating of 4 / 10 to FMX.
Can you provide the valuation status for FOMENTO ECONOMICO MEX-SP ADR?
ChartMill assigns a valuation rating of 7 / 10 to FOMENTO ECONOMICO MEX-SP ADR (FMX). This can be considered as Undervalued.
What is the profitability of FMX stock?
FOMENTO ECONOMICO MEX-SP ADR (FMX) has a profitability rating of 4 / 10.
How financially healthy is FOMENTO ECONOMICO MEX-SP ADR?
The financial health rating of FOMENTO ECONOMICO MEX-SP ADR (FMX) is 4 / 10.
What is the earnings growth outlook for FOMENTO ECONOMICO MEX-SP ADR?
The Earnings per Share (EPS) of FOMENTO ECONOMICO MEX-SP ADR (FMX) is expected to decline by -31.56% in the next year.