METLIFE INC (MET) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:MET - US59156R1086 - Common Stock
75.07 USD
+1.15 (+1.56%)
75.07 USD
0 (0%)
Overall MET gets a fundamental rating of 4 out of 10. We evaluated MET against 147 industry peers in the Insurance industry. MET may be in some trouble as it scores bad on both profitability and health. MET has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
MET had positive earnings in the past year.
MET had a positive operating cash flow in the past year.
In the past 5 years MET has always been profitable.
In the past 5 years MET always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 0.58%, MET is not doing good in the industry: 68.03% of the companies in the same industry are doing better.
MET has a Return On Equity of 14.78%. This is in the better half of the industry: MET outperforms 70.75% of its industry peers.
The Return On Invested Capital of MET (0.74%) is worse than 63.95% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MET is below the industry average of 4.37%.
The last Return On Invested Capital (0.74%) for MET is above the 3 year average (0.52%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.58% | ||
| ROE | 14.78% | ||
| ROIC | 0.74% |
ROA(3y)0.39%
ROA(5y)0.53%
ROE(3y)9.29%
ROE(5y)8.85%
ROIC(3y)0.52%
ROIC(5y)0.65%
1.3 Margins
MET has a Profit Margin of 5.60%. This is in the lower half of the industry: MET underperforms 62.59% of its industry peers.
MET's Profit Margin has declined in the last couple of years.
MET has a worse Operating Margin (9.33%) than 61.90% of its industry peers.
In the last couple of years the Operating Margin of MET has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.33% | ||
| PM (TTM) | 5.6% | ||
| GM | N/A |
OM growth 3Y-9.41%
OM growth 5Y-3.49%
PM growth 3Y-12.69%
PM growth 5Y-6.22%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MET is destroying value.
Compared to 1 year ago, MET has less shares outstanding
Compared to 5 years ago, MET has less shares outstanding
MET has a worse debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of MET is 1.31, which is an excellent value as it means it would take MET, only 1.31 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of MET (1.31) is better than 62.59% of its industry peers.
MET has a Debt/Equity ratio of 0.72. This is a neutral value indicating MET is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.72, MET is doing worse than 86.39% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for MET, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 1.31 | ||
| Altman-Z | N/A |
ROIC/WACC0.1
WACC7.48%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
MET shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 5.51%.
Measured over the past 5 years, MET shows a small growth in Earnings Per Share. The EPS has been growing by 5.91% on average per year.
The Revenue has been growing slightly by 0.77% in the past year.
MET shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.37% yearly.
EPS 1Y (TTM)5.51%
EPS 3Y-3.75%
EPS 5Y5.91%
EPS Q2Q%21.54%
Revenue 1Y (TTM)0.77%
Revenue growth 3Y-0.02%
Revenue growth 5Y0.37%
Sales Q2Q%1.63%
3.2 Future
Based on estimates for the next years, MET will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.71% on average per year.
Based on estimates for the next years, MET will show a small growth in Revenue. The Revenue will grow by 4.29% on average per year.
EPS Next Y7.91%
EPS Next 2Y12.02%
EPS Next 3Y11.88%
EPS Next 5Y11.71%
Revenue Next Year2.94%
Revenue Next 2Y3.4%
Revenue Next 3Y3.79%
Revenue Next 5Y4.29%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
MET is valuated reasonably with a Price/Earnings ratio of 8.91.
Based on the Price/Earnings ratio, MET is valued a bit cheaper than 64.63% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.45. MET is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 7.35, the valuation of MET can be described as very cheap.
72.11% of the companies in the same industry are more expensive than MET, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of MET to the average of the S&P500 Index (34.46), we can say MET is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.91 | ||
| Fwd PE | 7.35 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MET indicates a somewhat cheap valuation: MET is cheaper than 71.43% of the companies listed in the same industry.
MET's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. MET is cheaper than 78.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.28 | ||
| EV/EBITDA | 6.18 |
4.3 Compensation for Growth
MET's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.13
PEG (5Y)1.51
EPS Next 2Y12.02%
EPS Next 3Y11.88%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.86%, MET has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.51, MET pays a bit more dividend than its industry peers.
MET's Dividend Yield is comparable with the S&P500 average which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.86% |
5.2 History
The dividend of MET has a limited annual growth rate of 4.59%.
MET has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of MET decreased in the last 3 years.
Dividend Growth(5Y)4.59%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
41.87% of the earnings are spent on dividend by MET. This is a bit on the high side, but may be sustainable.
The dividend of MET is growing, but earnings are growing more, so the dividend growth is sustainable.
DP41.87%
EPS Next 2Y12.02%
EPS Next 3Y11.88%
75.07
+1.15 (+1.56%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners91.3%
Inst Owner Change5.27%
Ins Owners0.17%
Ins Owner Change0.96%
Market Cap49.92B
Revenue(TTM)71.94B
Net Income(TTM)4.09B
Analysts80
Price Target96.75 (28.88%)
Short Float %1.17%
Short Ratio2.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.86% |
Yearly Dividend2.43
Dividend Growth(5Y)4.59%
DP41.87%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-4.86%
Min EPS beat(2)-6.87%
Max EPS beat(2)-2.86%
EPS beat(4)0
Avg EPS beat(4)-5.61%
Min EPS beat(4)-10.99%
Max EPS beat(4)-1.74%
EPS beat(8)2
Avg EPS beat(8)-1.81%
EPS beat(12)4
Avg EPS beat(12)-2.85%
EPS beat(16)8
Avg EPS beat(16)6.84%
Revenue beat(2)1
Avg Revenue beat(2)-0.82%
Min Revenue beat(2)-4.27%
Max Revenue beat(2)2.63%
Revenue beat(4)2
Avg Revenue beat(4)-1.99%
Min Revenue beat(4)-6.53%
Max Revenue beat(4)2.63%
Revenue beat(8)4
Avg Revenue beat(8)-1.35%
Revenue beat(12)6
Avg Revenue beat(12)-0.87%
Revenue beat(16)7
Avg Revenue beat(16)-1.46%
PT rev (1m)1.49%
PT rev (3m)-1.02%
EPS NQ rev (1m)0.04%
EPS NQ rev (3m)-0.05%
EPS NY rev (1m)0.51%
EPS NY rev (3m)-2.85%
Revenue NQ rev (1m)0.34%
Revenue NQ rev (3m)0.4%
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)-0.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.91 | ||
| Fwd PE | 7.35 | ||
| P/S | 0.68 | ||
| P/FCF | 3.28 | ||
| P/OCF | 3.28 | ||
| P/B | 1.8 | ||
| P/tB | 2.69 | ||
| EV/EBITDA | 6.18 |
EPS(TTM)8.43
EY11.23%
EPS(NY)10.21
Fwd EY13.61%
FCF(TTM)22.9
FCFY30.5%
OCF(TTM)22.9
OCFY30.5%
SpS109.89
BVpS41.63
TBVpS27.88
PEG (NY)1.13
PEG (5Y)1.51
Graham Number88.86
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.58% | ||
| ROE | 14.78% | ||
| ROCE | 0.97% | ||
| ROIC | 0.74% | ||
| ROICexc | 0.77% | ||
| ROICexgc | 1.12% | ||
| OM | 9.33% | ||
| PM (TTM) | 5.6% | ||
| GM | N/A | ||
| FCFM | 20.84% |
ROA(3y)0.39%
ROA(5y)0.53%
ROE(3y)9.29%
ROE(5y)8.85%
ROIC(3y)0.52%
ROIC(5y)0.65%
ROICexc(3y)0.53%
ROICexc(5y)0.66%
ROICexgc(3y)0.78%
ROICexgc(5y)0.97%
ROCE(3y)0.68%
ROCE(5y)0.84%
ROICexgc growth 3Y-6.12%
ROICexgc growth 5Y-2.06%
ROICexc growth 3Y-5.87%
ROICexc growth 5Y-1.33%
OM growth 3Y-9.41%
OM growth 5Y-3.49%
PM growth 3Y-12.69%
PM growth 5Y-6.22%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 1.31 | ||
| Debt/EBITDA | 2.64 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 6.7 | ||
| Cash Conversion | 202.22% | ||
| Profit Quality | 372.26% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC7.48%
ROIC/WACC0.1
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)633.54%
Profit Quality(5y)464.62%
High Growth Momentum
Growth
EPS 1Y (TTM)5.51%
EPS 3Y-3.75%
EPS 5Y5.91%
EPS Q2Q%21.54%
EPS Next Y7.91%
EPS Next 2Y12.02%
EPS Next 3Y11.88%
EPS Next 5Y11.71%
Revenue 1Y (TTM)0.77%
Revenue growth 3Y-0.02%
Revenue growth 5Y0.37%
Sales Q2Q%1.63%
Revenue Next Year2.94%
Revenue Next 2Y3.4%
Revenue Next 3Y3.79%
Revenue Next 5Y4.29%
EBIT growth 1Y42.7%
EBIT growth 3Y-9.43%
EBIT growth 5Y-3.13%
EBIT Next Year17.1%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y29.98%
FCF growth 3Y5.04%
FCF growth 5Y1.15%
OCF growth 1Y29.98%
OCF growth 3Y5.04%
OCF growth 5Y1.15%
METLIFE INC / MET FAQ
What is the fundamental rating for MET stock?
ChartMill assigns a fundamental rating of 4 / 10 to MET.
What is the valuation status of METLIFE INC (MET) stock?
ChartMill assigns a valuation rating of 6 / 10 to METLIFE INC (MET). This can be considered as Fairly Valued.
What is the profitability of MET stock?
METLIFE INC (MET) has a profitability rating of 3 / 10.
Can you provide the expected EPS growth for MET stock?
The Earnings per Share (EPS) of METLIFE INC (MET) is expected to grow by 7.91% in the next year.
How sustainable is the dividend of METLIFE INC (MET) stock?
The dividend rating of METLIFE INC (MET) is 5 / 10 and the dividend payout ratio is 41.87%.