MERCEDES-BENZ GROUP AG (MBG.DE) Stock Fundamental Analysis
FRA:MBG - Deutsche Boerse Ag - DE0007100000 - Common Stock - Currency: EUR
MBG gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 32 industry peers in the Automobiles industry. MBG has only an average score on both its financial health and profitability. MBG has a bad growth rate and is valued cheaply. MBG also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year MBG was profitable.
In the past year MBG had a positive cash flow from operations.
MBG had positive earnings in 4 of the past 5 years.
Of the past 5 years MBG 4 years had a positive operating cash flow.
1.2 Ratios
MBG has a Return On Assets of 4.14%. This is in the better half of the industry: MBG outperforms 64.71% of its industry peers.
With a Return On Equity value of 12.05%, MBG perfoms like the industry average, outperforming 58.82% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 5.14%, MBG is in line with its industry, outperforming 44.12% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for MBG is below the industry average of 9.20%.
| 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
MBG has a Profit Margin of 7.35%. This is in the better half of the industry: MBG outperforms 70.59% of its industry peers.
In the last couple of years the Profit Margin of MBG has grown nicely.
MBG's Operating Margin of 8.94% is fine compared to the rest of the industry. MBG outperforms 64.71% of its industry peers.
In the last couple of years the Operating Margin of MBG has grown nicely.
With a Gross Margin value of 19.76%, MBG perfoms like the industry average, outperforming 52.94% of the companies in the same industry.
In the last couple of years the Gross Margin of MBG has grown nicely.
| 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so MBG is still creating some value.
There is no outstanding debt for MBG. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
MBG has an Altman-Z score of 1.48. This is a bad value and indicates that MBG is not financially healthy and even has some risk of bankruptcy.
With a decent Altman-Z score value of 1.48, MBG is doing good in the industry, outperforming 64.71% of the companies in the same industry.
MBG has a debt to FCF ratio of 14.62. This is a negative value and a sign of low solvency as MBG 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, MBG is in the better half of the industry, outperforming 67.65% of the companies in the same industry.
A Debt/Equity ratio of 0.81 indicates that MBG is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.81, MBG is in line with its industry, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.81 | ||
| Debt/FCF | 14.62 | ||
| Altman-Z | 1.48 |
ROIC/WACC0.8
WACC6.42%
2.3 Liquidity
A Current Ratio of 1.36 indicates that MBG should not have too much problems paying its short term obligations.
MBG has a Current ratio of 1.36. This is in the better half of the industry: MBG outperforms 73.53% of its industry peers.
A Quick Ratio of 0.98 indicates that MBG may have some problems paying its short term obligations.
The Quick ratio of MBG (0.98) is better than 70.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.36 | ||
| Quick Ratio | 0.98 |
3. Growth
3.1 Past
MBG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -38.48%.
The Earnings Per Share has been growing slightly by 4.74% on average over the past years.
EPS 1Y (TTM)-38.48%
EPS 3Y-11.26%
EPS 5Y4.74%
EPS Q2Q%-77.9%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-2.44%
3.2 Future
MBG is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.59% yearly.
Based on estimates for the next years, MBG will show a small growth in Revenue. The Revenue will grow by 0.24% on average per year.
EPS Next Y13.34%
EPS Next 2Y11.71%
EPS Next 3Y17.08%
EPS Next 5Y10.59%
Revenue Next Year-2.46%
Revenue Next 2Y-0.65%
Revenue Next 3Y0.42%
Revenue Next 5Y0.24%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 7.33, the valuation of MBG can be described as very cheap.
MBG's Price/Earnings ratio is a bit cheaper when compared to the industry. MBG is cheaper than 61.76% of the companies in the same industry.
MBG is valuated cheaply when we compare the Price/Earnings ratio to 29.35, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 6.47, which indicates a rather cheap valuation of MBG.
61.76% of the companies in the same industry are more expensive than MBG, based on the Price/Forward Earnings ratio.
MBG is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.10, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.33 | ||
| Fwd PE | 6.47 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MBG is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MBG indicates a somewhat cheap valuation: MBG is cheaper than 79.41% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.79 | ||
| EV/EBITDA | 6.77 |
4.3 Compensation for Growth
MBG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of MBG may justify a higher PE ratio.
A more expensive valuation may be justified as MBG's earnings are expected to grow with 17.08% in the coming years.
PEG (NY)0.55
PEG (5Y)1.55
EPS Next 2Y11.71%
EPS Next 3Y17.08%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.90%, MBG is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.74, MBG pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.33, MBG pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.9% |
5.2 History
The dividend of MBG is nicely growing with an annual growth rate of 7.60%!
Dividend Growth(5Y)7.6%
Div Incr Years1
Div Non Decr Years2
5.3 Sustainability
50.61% of the earnings are spent on dividend by MBG. This is a bit on the high side, but may be sustainable.
MBG's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP50.61%
EPS Next 2Y11.71%
EPS Next 3Y17.08%
FRA:MBG (3/7/2025, 7:00:00 PM)
60.7
-1.6 (-2.57%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobiles
Earnings (Last)
Earnings (Next)
Inst Owners33.57%
Inst Owner ChangeN/A
Ins Owners10.76%
Ins Owner ChangeN/A
Market Cap58.45B
Analysts66.88
Price Target66.59 (9.7%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.9% |
Yearly Dividend5.26
Dividend Growth(5Y)7.6%
DP50.61%
Div Incr Years1
Div Non Decr Years2
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)1.38%
PT rev (3m)-2.91%
EPS NQ rev (1m)0%
EPS NQ rev (3m)10.87%
EPS NY rev (1m)1.86%
EPS NY rev (3m)2.21%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.04%
Revenue NY rev (1m)0.16%
Revenue NY rev (3m)-0.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.33 | ||
| Fwd PE | 6.47 | ||
| P/S | 0.4 | ||
| P/FCF | 7.79 | ||
| P/OCF | 3.71 | ||
| P/B | 0.65 | ||
| P/tB | 0.82 | ||
| EV/EBITDA | 6.77 |
EPS(TTM)8.28
EY13.64%
EPS(NY)9.39
Fwd EY15.46%
FCF(TTM)7.79
FCFY12.83%
OCF(TTM)16.38
OCFY26.98%
SpS153.08
BVpS93.4
TBVpS74.09
PEG (NY)0.55
PEG (5Y)1.55
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 | 1.48 |
F-Score5
WACC6.42%
ROIC/WACC0.8
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)-38.48%
EPS 3Y-11.26%
EPS 5Y4.74%
EPS Q2Q%-77.9%
EPS Next Y13.34%
EPS Next 2Y11.71%
EPS Next 3Y17.08%
EPS Next 5Y10.59%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-2.44%
Revenue Next Year-2.46%
Revenue Next 2Y-0.65%
Revenue Next 3Y0.42%
Revenue Next 5Y0.24%
EBIT growth 1Y-27.33%
EBIT growth 3Y36.12%
EBIT growth 5Y10.92%
EBIT Next Year1.67%
EBIT Next 3Y3.75%
EBIT Next 5Y3.67%
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%