MICHELIN (CGDE) (ML.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:ML - FR001400AJ45 - Common Stock
27.79 EUR
+0.13 (+0.47%)
Taking everything into account, ML scores 6 out of 10 in our fundamental rating. ML was compared to 30 industry peers in the Automobile Components industry. ML has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. ML has a decent growth rate and is not valued too expensively. ML also has an excellent dividend rating. With these ratings, ML could be worth investigating further for dividend investing!.
1. Profitability
1.1 Basic Checks
ML had positive earnings in the past year.
ML had a positive operating cash flow in the past year.
Each year in the past 5 years ML has been profitable.
ML had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of ML (4.39%) is better than 90.00% of its industry peers.
The Return On Equity of ML (8.81%) is better than 83.33% of its industry peers.
ML has a better Return On Invested Capital (8.17%) than 83.33% of its industry peers.
ML had an Average Return On Invested Capital over the past 3 years of 9.25%. This is above the industry average of 6.73%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.39% | ||
| ROE | 8.81% | ||
| ROIC | 8.17% |
ROA(3y)5.45%
ROA(5y)4.73%
ROE(3y)10.95%
ROE(5y)10.02%
ROIC(3y)9.25%
ROIC(5y)8.5%
1.3 Margins
Looking at the Profit Margin, with a value of 5.84%, ML belongs to the top of the industry, outperforming 96.67% of the companies in the same industry.
In the last couple of years the Profit Margin of ML has remained more or less at the same level.
ML has a better Operating Margin (10.65%) than 96.67% of its industry peers.
ML's Operating Margin has been stable in the last couple of years.
With a Gross Margin value of 27.60%, ML perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
ML's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.65% | ||
| PM (TTM) | 5.84% | ||
| GM | 27.6% |
OM growth 3Y-2.46%
OM growth 5Y-1.24%
PM growth 3Y-3.58%
PM growth 5Y-0.79%
GM growth 3Y-0.99%
GM growth 5Y-0.59%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ML is creating some value.
ML has less shares outstanding than it did 1 year ago.
ML has less shares outstanding than it did 5 years ago.
ML has a worse debt/assets ratio than last year.
2.2 Solvency
ML has an Altman-Z score of 2.53. This is not the best score and indicates that ML is in the grey zone with still only limited risk for bankruptcy at the moment.
ML has a Altman-Z score of 2.53. This is amongst the best in the industry. ML outperforms 83.33% of its industry peers.
The Debt to FCF ratio of ML is 6.05, which is on the high side as it means it would take ML, 6.05 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 6.05, ML is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
ML has a Debt/Equity ratio of 0.32. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of ML (0.32) is better than 86.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 6.05 | ||
| Altman-Z | 2.53 |
ROIC/WACC1.21
WACC6.74%
2.3 Liquidity
ML has a Current Ratio of 1.80. This is a normal value and indicates that ML is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of ML (1.80) is better than 90.00% of its industry peers.
ML has a Quick Ratio of 1.12. This is a normal value and indicates that ML is financially healthy and should not expect problems in meeting its short term obligations.
ML has a better Quick ratio (1.12) than 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
The earnings per share for ML have decreased strongly by -18.28% in the last year.
The Earnings Per Share has been growing slightly by 1.64% on average over the past years.
Looking at the last year, ML shows a decrease in Revenue. The Revenue has decreased by -3.62% in the last year.
The Revenue has been growing slightly by 2.41% on average over the past years.
EPS 1Y (TTM)-18.28%
EPS 3Y0.78%
EPS 5Y1.64%
EPS Q2Q%-26.88%
Revenue 1Y (TTM)-3.62%
Revenue growth 3Y4.55%
Revenue growth 5Y2.41%
Sales Q2Q%-3.36%
3.2 Future
ML is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.26% yearly.
The Revenue is expected to grow by 2.85% on average over the next years.
EPS Next Y0.74%
EPS Next 2Y8.86%
EPS Next 3Y11.26%
EPS Next 5YN/A
Revenue Next Year-4.87%
Revenue Next 2Y-1.29%
Revenue Next 3Y0.41%
Revenue Next 5Y2.85%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
With a Price/Earnings ratio of 12.69, ML is valued correctly.
ML's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of ML to the average of the S&P500 Index (25.47), we can say ML is valued rather cheaply.
ML is valuated reasonably with a Price/Forward Earnings ratio of 8.95.
ML's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of ML to the average of the S&P500 Index (34.42), we can say ML is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.69 | ||
| Fwd PE | 8.95 |
4.2 Price Multiples
ML's Enterprise Value to EBITDA is on the same level as the industry average.
Based on the Price/Free Cash Flow ratio, ML is valued a bit more expensive than 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.82 | ||
| EV/EBITDA | 4.78 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of ML may justify a higher PE ratio.
PEG (NY)17.16
PEG (5Y)7.72
EPS Next 2Y8.86%
EPS Next 3Y11.26%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.10%, ML is a good candidate for dividend investing.
ML's Dividend Yield is rather good when compared to the industry average which is at 4.89. ML pays more dividend than 86.67% of the companies in the same industry.
ML's Dividend Yield is rather good when compared to the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.1% |
5.2 History
On average, the dividend of ML grows each year by 7.84%, which is quite nice.
Dividend Growth(5Y)7.84%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
62.40% of the earnings are spent on dividend by ML. This is not a sustainable payout ratio.
ML's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP62.4%
EPS Next 2Y8.86%
EPS Next 3Y11.26%
EPA:ML (11/24/2025, 10:53:07 AM)
27.79
+0.13 (+0.47%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners46.28%
Inst Owner ChangeN/A
Ins Owners0%
Ins Owner ChangeN/A
Market Cap19.61B
Revenue(TTM)26.74B
Net Income(TTM)1.56B
Analysts79.17
Price Target32.29 (16.19%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.1% |
Yearly Dividend1.35
Dividend Growth(5Y)7.84%
DP62.4%
Div Incr Years5
Div Non Decr Years5
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)-14.32%
PT rev (3m)-14.67%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-16.83%
EPS NY rev (3m)-17.93%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-2.93%
Revenue NY rev (3m)-3.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.69 | ||
| Fwd PE | 8.95 | ||
| P/S | 0.73 | ||
| P/FCF | 15.82 | ||
| P/OCF | 5.8 | ||
| P/B | 1.11 | ||
| P/tB | 1.5 | ||
| EV/EBITDA | 4.78 |
EPS(TTM)2.19
EY7.88%
EPS(NY)3.11
Fwd EY11.17%
FCF(TTM)1.76
FCFY6.32%
OCF(TTM)4.79
OCFY17.25%
SpS37.89
BVpS25.11
TBVpS18.49
PEG (NY)17.16
PEG (5Y)7.72
Graham Number35.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.39% | ||
| ROE | 8.81% | ||
| ROCE | 10.41% | ||
| ROIC | 8.17% | ||
| ROICexc | 9.37% | ||
| ROICexgc | 11.66% | ||
| OM | 10.65% | ||
| PM (TTM) | 5.84% | ||
| GM | 27.6% | ||
| FCFM | 4.64% |
ROA(3y)5.45%
ROA(5y)4.73%
ROE(3y)10.95%
ROE(5y)10.02%
ROIC(3y)9.25%
ROIC(5y)8.5%
ROICexc(3y)10.45%
ROICexc(5y)9.86%
ROICexgc(3y)12.91%
ROICexgc(5y)12.2%
ROCE(3y)11.87%
ROCE(5y)10.97%
ROICexgc growth 3Y-1.17%
ROICexgc growth 5Y0.57%
ROICexc growth 3Y-1.78%
ROICexc growth 5Y0.45%
OM growth 3Y-2.46%
OM growth 5Y-1.24%
PM growth 3Y-3.58%
PM growth 5Y-0.79%
GM growth 3Y-0.99%
GM growth 5Y-0.59%
F-Score5
Asset Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 6.05 | ||
| Debt/EBITDA | 1.17 | ||
| Cap/Depr | 107.96% | ||
| Cap/Sales | 8.01% | ||
| Interest Coverage | 9.96 | ||
| Cash Conversion | 70% | ||
| Profit Quality | 79.44% | ||
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z | 2.53 |
F-Score5
WACC6.74%
ROIC/WACC1.21
Cap/Depr(3y)113.8%
Cap/Depr(5y)101.88%
Cap/Sales(3y)7.8%
Cap/Sales(5y)7.31%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-18.28%
EPS 3Y0.78%
EPS 5Y1.64%
EPS Q2Q%-26.88%
EPS Next Y0.74%
EPS Next 2Y8.86%
EPS Next 3Y11.26%
EPS Next 5YN/A
Revenue 1Y (TTM)-3.62%
Revenue growth 3Y4.55%
Revenue growth 5Y2.41%
Sales Q2Q%-3.36%
Revenue Next Year-4.87%
Revenue Next 2Y-1.29%
Revenue Next 3Y0.41%
Revenue Next 5Y2.85%
EBIT growth 1Y-17.5%
EBIT growth 3Y1.98%
EBIT growth 5Y1.14%
EBIT Next Year59.12%
EBIT Next 3Y22.78%
EBIT Next 5Y17.06%
FCF growth 1Y-20.46%
FCF growth 3Y21.5%
FCF growth 5Y7.22%
OCF growth 1Y-10.1%
OCF growth 3Y14.27%
OCF growth 5Y5.48%
MICHELIN (CGDE) / ML.PA FAQ
What is the ChartMill fundamental rating of MICHELIN (CGDE) (ML.PA) stock?
ChartMill assigns a fundamental rating of 6 / 10 to ML.PA.
What is the valuation status for ML stock?
ChartMill assigns a valuation rating of 4 / 10 to MICHELIN (CGDE) (ML.PA). This can be considered as Fairly Valued.
How profitable is MICHELIN (CGDE) (ML.PA) stock?
MICHELIN (CGDE) (ML.PA) has a profitability rating of 8 / 10.
What is the financial health of MICHELIN (CGDE) (ML.PA) stock?
The financial health rating of MICHELIN (CGDE) (ML.PA) is 7 / 10.
Is the dividend of MICHELIN (CGDE) sustainable?
The dividend rating of MICHELIN (CGDE) (ML.PA) is 8 / 10 and the dividend payout ratio is 62.4%.