57.73 USD
-1.29 (-2.19%)
57.33 USD
-0.4 (-0.69%)
MDLZ gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 87 industry peers in the Food Products industry. While MDLZ has a great profitability rating, there are some minor concerns on its financial health. MDLZ is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- MDLZ had positive earnings in the past year.
- MDLZ had a positive operating cash flow in the past year.
- MDLZ had positive earnings in each of the past 5 years.
- MDLZ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- MDLZ has a better Return On Assets (4.95%) than 74.71% of its industry peers.
- MDLZ has a better Return On Equity (13.49%) than 82.76% of its industry peers.
- MDLZ has a Return On Invested Capital of 6.25%. This is in the better half of the industry: MDLZ outperforms 67.82% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for MDLZ is significantly below the industry average of 27.79%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.95% | ||
| ROE | 13.49% | ||
| ROIC | 6.25% |
ROA(3y)5.83%
ROA(5y)5.83%
ROE(3y)14.91%
ROE(5y)14.57%
ROIC(3y)7.83%
ROIC(5y)7.26%
1.3 Margins
- MDLZ has a Profit Margin of 9.38%. This is amongst the best in the industry. MDLZ outperforms 87.36% of its industry peers.
- In the last couple of years the Profit Margin of MDLZ has declined.
- Looking at the Operating Margin, with a value of 11.59%, MDLZ is in the better half of the industry, outperforming 79.31% of the companies in the same industry.
- In the last couple of years the Operating Margin of MDLZ has grown nicely.
- Looking at the Gross Margin, with a value of 31.05%, MDLZ is in the better half of the industry, outperforming 70.11% of the companies in the same industry.
- In the last couple of years the Gross Margin of MDLZ has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.59% | ||
| PM (TTM) | 9.38% | ||
| GM | 31.05% |
OM growth 3Y2.71%
OM growth 5Y2.05%
PM growth 3Y-5.45%
PM growth 5Y-3.59%
GM growth 3Y-0.05%
GM growth 5Y-0.42%
2. Health
2.1 Basic Checks
- MDLZ has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- MDLZ has less shares outstanding than it did 1 year ago.
- MDLZ has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for MDLZ has been reduced compared to a year ago.
2.2 Solvency
- An Altman-Z score of 2.31 indicates that MDLZ is not a great score, but indicates only limited risk for bankruptcy at the moment.
- MDLZ has a Altman-Z score (2.31) which is comparable to the rest of the industry.
- MDLZ has a debt to FCF ratio of 9.31. This is a negative value and a sign of low solvency as MDLZ would need 9.31 years to pay back of all of its debts.
- MDLZ's Debt to FCF ratio of 9.31 is fine compared to the rest of the industry. MDLZ outperforms 60.92% of its industry peers.
- A Debt/Equity ratio of 0.76 indicates that MDLZ is somewhat dependend on debt financing.
- MDLZ has a Debt to Equity ratio (0.76) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 9.31 | ||
| Altman-Z | 2.31 |
ROIC/WACC0.83
WACC7.55%
2.3 Liquidity
- MDLZ has a Current Ratio of 0.61. This is a bad value and indicates that MDLZ is not financially healthy enough and could expect problems in meeting its short term obligations.
- MDLZ has a worse Current ratio (0.61) than 88.51% of its industry peers.
- MDLZ has a Quick Ratio of 0.61. This is a bad value and indicates that MDLZ is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Quick ratio value of 0.37, MDLZ is not doing good in the industry: 82.76% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.37 |
3. Growth
3.1 Past
- MDLZ shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -21.70%.
- MDLZ shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.91% yearly.
- Looking at the last year, MDLZ shows a small growth in Revenue. The Revenue has grown by 4.13% in the last year.
- MDLZ shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.09% yearly.
EPS 1Y (TTM)-21.7%
EPS 3Y6.45%
EPS 5Y6.91%
EPS Q2Q%-26.26%
Revenue 1Y (TTM)4.13%
Revenue growth 3Y8.26%
Revenue growth 5Y7.09%
Sales Q2Q%5.87%
3.2 Future
- Based on estimates for the next years, MDLZ will show a small growth in Earnings Per Share. The EPS will grow by 3.92% on average per year.
- The Revenue is expected to grow by 3.83% on average over the next years.
EPS Next Y-14.35%
EPS Next 2Y-3.62%
EPS Next 3Y0.47%
EPS Next 5Y3.92%
Revenue Next Year4.85%
Revenue Next 2Y4.31%
Revenue Next 3Y4.08%
Revenue Next 5Y3.83%
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.
- 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
- MDLZ is valuated rather expensively with a Price/Earnings ratio of 20.26.
- MDLZ's Price/Earnings ratio is in line with the industry average.
- When comparing the Price/Earnings ratio of MDLZ to the average of the S&P500 Index (28.60), we can say MDLZ is valued slightly cheaper.
- The Price/Forward Earnings ratio is 18.01, which indicates a rather expensive current valuation of MDLZ.
- 63.22% of the companies in the same industry are more expensive than MDLZ, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 25.83. MDLZ is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.26 | ||
| Fwd PE | 18.01 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MDLZ is on the same level as its industry peers.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of MDLZ is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.53 | ||
| EV/EBITDA | 16.4 |
4.3 Compensation for Growth
- MDLZ has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)2.93
EPS Next 2Y-3.62%
EPS Next 3Y0.47%
5. Dividend
5.1 Amount
- MDLZ has a Yearly Dividend Yield of 3.47%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 2.29, MDLZ pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, MDLZ pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.47% |
5.2 History
- The dividend of MDLZ is nicely growing with an annual growth rate of 10.52%!
- MDLZ has paid a dividend for at least 10 years, which is a reliable track record.
- MDLZ has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)10.52%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
- 69.92% of the earnings are spent on dividend by MDLZ. This is not a sustainable payout ratio.
- MDLZ's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP69.92%
EPS Next 2Y-3.62%
EPS Next 3Y0.47%
MONDELEZ INTERNATIONAL INC-A / MDLZ FAQ
Can you provide the ChartMill fundamental rating for MONDELEZ INTERNATIONAL INC-A?
ChartMill assigns a fundamental rating of 5 / 10 to MDLZ.
Can you provide the valuation status for MONDELEZ INTERNATIONAL INC-A?
ChartMill assigns a valuation rating of 3 / 10 to MONDELEZ INTERNATIONAL INC-A (MDLZ). This can be considered as Overvalued.
What is the profitability of MDLZ stock?
MONDELEZ INTERNATIONAL INC-A (MDLZ) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for MDLZ stock?
The Price/Earnings (PE) ratio for MONDELEZ INTERNATIONAL INC-A (MDLZ) is 20.26 and the Price/Book (PB) ratio is 2.85.
Can you provide the dividend sustainability for MDLZ stock?
The dividend rating of MONDELEZ INTERNATIONAL INC-A (MDLZ) is 6 / 10 and the dividend payout ratio is 69.92%.