LVMH MOET HENNESSY LOUIS VUI (MC.PA) Stock Fundamental Analysis
EPA:MC - Euronext Paris - Matif - FR0000121014 - Common Stock - Currency: EUR
We assign a fundamental rating of 5 out of 10 to MC. MC was compared to 44 industry peers in the Textiles, Apparel & Luxury Goods industry. MC has an excellent profitability rating, but there are some minor concerns on its financial health. While showing a medium growth rate, MC is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year MC was profitable.
In the past year MC had a positive cash flow from operations.
In the past 5 years MC has always been profitable.
MC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.41%, MC is in the better half of the industry, outperforming 79.55% of the companies in the same industry.
With a decent Return On Equity value of 18.59%, MC is doing good in the industry, outperforming 75.00% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 11.52%, MC is in the better half of the industry, outperforming 72.73% of the companies in the same industry.
MC had an Average Return On Invested Capital over the past 3 years of 13.10%. This is above the industry average of 10.71%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.41% | ||
| ROE | 18.59% | ||
| ROIC | 11.52% |
ROA(3y)9.81%
ROA(5y)8.67%
ROE(3y)23%
ROE(5y)21.42%
ROIC(3y)13.1%
ROIC(5y)11.61%
1.3 Margins
The Profit Margin of MC (14.82%) is better than 84.09% of its industry peers.
MC's Profit Margin has improved in the last couple of years.
MC has a Operating Margin of 23.12%. This is amongst the best in the industry. MC outperforms 86.36% of its industry peers.
In the last couple of years the Operating Margin of MC has grown nicely.
With a decent Gross Margin value of 67.03%, MC is doing good in the industry, outperforming 68.18% of the companies in the same industry.
In the last couple of years the Gross Margin of MC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.12% | ||
| PM (TTM) | 14.82% | ||
| GM | 67.03% |
OM growth 3Y-4.64%
OM growth 5Y1.76%
PM growth 3Y-7.53%
PM growth 5Y2.09%
GM growth 3Y-0.62%
GM growth 5Y0.24%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so MC is still creating some value.
The number of shares outstanding for MC remains at a similar level compared to 1 year ago.
The number of shares outstanding for MC has been reduced compared to 5 years ago.
Compared to 1 year ago, MC has a worse debt to assets ratio.
2.2 Solvency
MC has an Altman-Z score of 3.50. This indicates that MC is financially healthy and has little risk of bankruptcy at the moment.
MC has a Altman-Z score of 3.50. This is in the better half of the industry: MC outperforms 65.91% of its industry peers.
MC has a debt to FCF ratio of 3.05. This is a good value and a sign of high solvency as MC would need 3.05 years to pay back of all of its debts.
MC's Debt to FCF ratio of 3.05 is fine compared to the rest of the industry. MC outperforms 77.27% of its industry peers.
A Debt/Equity ratio of 0.52 indicates that MC is somewhat dependend on debt financing.
MC has a Debt to Equity ratio (0.52) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 3.05 | ||
| Altman-Z | 3.5 |
ROIC/WACC1.51
WACC7.61%
2.3 Liquidity
MC has a Current Ratio of 1.41. This is a normal value and indicates that MC is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of MC (1.41) is comparable to the rest of the industry.
MC has a Quick Ratio of 1.41. This is a bad value and indicates that MC is not financially healthy enough and could expect problems in meeting its short term obligations.
MC has a Quick ratio of 0.71. This is comparable to the rest of the industry: MC outperforms 40.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.41 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
The earnings per share for MC have decreased strongly by -17.18% in the last year.
Measured over the past years, MC shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.04% on average per year.
MC shows a decrease in Revenue. In the last year, the revenue decreased by -1.71%.
The Revenue has been growing by 9.55% on average over the past years. This is quite good.
EPS 1Y (TTM)-17.18%
EPS 3Y1.69%
EPS 5Y12.04%
EPS Q2Q%-21.04%
Revenue 1Y (TTM)-1.71%
Revenue growth 3Y9.66%
Revenue growth 5Y9.55%
Sales Q2Q%-2.07%
3.2 Future
MC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.27% yearly.
Based on estimates for the next years, MC will show a small growth in Revenue. The Revenue will grow by 3.65% on average per year.
EPS Next Y1.99%
EPS Next 2Y7.75%
EPS Next 3Y8.64%
EPS Next 5Y11.27%
Revenue Next Year-0.23%
Revenue Next 2Y2.44%
Revenue Next 3Y3.58%
Revenue Next 5Y3.65%
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 stable.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 19.00 indicates a rather expensive valuation of MC.
MC's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.45, MC is valued a bit cheaper.
With a Price/Forward Earnings ratio of 18.63, MC is valued on the expensive side.
MC's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. MC is cheaper than 68.18% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 21.90. MC is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19 | ||
| Fwd PE | 18.63 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MC is on the same level as its industry peers.
The rest of the industry has a similar Price/Free Cash Flow ratio as MC.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.85 | ||
| EV/EBITDA | 9.43 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates MC does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of MC may justify a higher PE ratio.
PEG (NY)9.57
PEG (5Y)1.58
EPS Next 2Y7.75%
EPS Next 3Y8.64%
5. Dividend
5.1 Amount
MC has a Yearly Dividend Yield of 2.97%.
Compared to an average industry Dividend Yield of 3.12, MC pays a bit more dividend than its industry peers.
MC's Dividend Yield is a higher than the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.97% |
5.2 History
On average, the dividend of MC grows each year by 15.93%, which is quite nice.
Dividend Growth(5Y)15.93%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
MC pays out 53.79% of its income as dividend. This is a bit on the high side, but may be sustainable.
MC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP53.79%
EPS Next 2Y7.75%
EPS Next 3Y8.64%
EPA:MC (7/4/2025, 7:00:00 PM)
477.35
-8.55 (-1.76%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners18.24%
Inst Owner ChangeN/A
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap238.74B
Analysts75
Price Target599.35 (25.56%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.97% |
Yearly Dividend13.52
Dividend Growth(5Y)15.93%
DP53.79%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-5.4%
PT rev (3m)-22.63%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-11.65%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-6.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19 | ||
| Fwd PE | 18.63 | ||
| P/S | 2.82 | ||
| P/FCF | 17.85 | ||
| P/OCF | 12.62 | ||
| P/B | 3.54 | ||
| P/tB | 11.57 | ||
| EV/EBITDA | 9.43 |
EPS(TTM)25.12
EY5.26%
EPS(NY)25.62
Fwd EY5.37%
FCF(TTM)26.74
FCFY5.6%
OCF(TTM)37.84
OCFY7.93%
SpS169.32
BVpS135
TBVpS41.26
PEG (NY)9.57
PEG (5Y)1.58
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.41% | ||
| ROE | 18.59% | ||
| ROCE | 16.95% | ||
| ROIC | 11.52% | ||
| ROICexc | 12.95% | ||
| ROICexgc | 22.58% | ||
| OM | 23.12% | ||
| PM (TTM) | 14.82% | ||
| GM | 67.03% | ||
| FCFM | 15.79% |
ROA(3y)9.81%
ROA(5y)8.67%
ROE(3y)23%
ROE(5y)21.42%
ROIC(3y)13.1%
ROIC(5y)11.61%
ROICexc(3y)14.57%
ROICexc(5y)13.15%
ROICexgc(3y)27.51%
ROICexgc(5y)25.78%
ROCE(3y)19.31%
ROCE(5y)17.1%
ROICexcg growth 3Y-9.7%
ROICexcg growth 5Y1.46%
ROICexc growth 3Y-1.68%
ROICexc growth 5Y2.71%
OM growth 3Y-4.64%
OM growth 5Y1.76%
PM growth 3Y-7.53%
PM growth 5Y2.09%
GM growth 3Y-0.62%
GM growth 5Y0.24%
F-Score5
Asset Turnover0.57
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 3.05 | ||
| Debt/EBITDA | 1.28 | ||
| Cap/Depr | 71.22% | ||
| Cap/Sales | 6.56% | ||
| Interest Coverage | 23.31 | ||
| Cash Conversion | 69.13% | ||
| Profit Quality | 106.55% | ||
| Current Ratio | 1.41 | ||
| Quick Ratio | 0.71 | ||
| Altman-Z | 3.5 |
F-Score5
WACC7.61%
ROIC/WACC1.51
Cap/Depr(3y)87.21%
Cap/Depr(5y)69.61%
Cap/Sales(3y)7.35%
Cap/Sales(5y)6.34%
Profit Quality(3y)88.97%
Profit Quality(5y)115.81%
High Growth Momentum
Growth
EPS 1Y (TTM)-17.18%
EPS 3Y1.69%
EPS 5Y12.04%
EPS Q2Q%-21.04%
EPS Next Y1.99%
EPS Next 2Y7.75%
EPS Next 3Y8.64%
EPS Next 5Y11.27%
Revenue 1Y (TTM)-1.71%
Revenue growth 3Y9.66%
Revenue growth 5Y9.55%
Sales Q2Q%-2.07%
Revenue Next Year-0.23%
Revenue Next 2Y2.44%
Revenue Next 3Y3.58%
Revenue Next 5Y3.65%
EBIT growth 1Y-14.06%
EBIT growth 3Y4.57%
EBIT growth 5Y11.48%
EBIT Next Year18.02%
EBIT Next 3Y12.04%
EBIT Next 5Y11.23%
FCF growth 1Y26.23%
FCF growth 3Y-5.77%
FCF growth 5Y10.11%
OCF growth 1Y2.85%
OCF growth 3Y0.49%
OCF growth 5Y10.19%