MICHELIN (CGDE) (ML.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:ML - FR001400AJ45 - Common Stock
30.07 EUR
-0.24 (-0.79%)
Overall ML gets a fundamental rating of 6 out of 10. We evaluated ML against 32 industry peers in the Automobile Components industry. ML gets an excellent profitability rating and is at the same time showing great financial health properties. ML has a decent growth rate and is not valued too expensively. Finally ML also has an excellent dividend rating. This makes ML very considerable for dividend investing!
1. Profitability
1.1 Basic Checks
- ML had positive earnings in the past year.
- In the past year ML had a positive cash flow from operations.
- Each year in the past 5 years ML has been profitable.
- Each year in the past 5 years ML had a positive operating cash flow.
1.2 Ratios
- ML's Return On Assets of 4.39% is amongst the best of the industry. ML outperforms 93.75% of its industry peers.
- Looking at the Return On Equity, with a value of 8.81%, ML belongs to the top of the industry, outperforming 84.38% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 8.17%, ML belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
- ML had an Average Return On Invested Capital over the past 3 years of 9.25%. This is above the industry average of 6.34%.
| 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
- The Profit Margin of ML (5.84%) is better than 96.88% of its industry peers.
- In the last couple of years the Profit Margin of ML has remained more or less at the same level.
- Looking at the Operating Margin, with a value of 10.65%, ML belongs to the top of the industry, outperforming 96.88% of the companies in the same industry.
- In the last couple of years the Operating Margin of ML has remained more or less at the same level.
- The Gross Margin of ML (27.60%) is comparable to the rest of the 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
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ML is still creating some value.
- The number of shares outstanding for ML has been reduced compared to 1 year ago.
- The number of shares outstanding for ML has been reduced compared to 5 years ago.
- The debt/assets ratio for ML is higher compared to a year ago.
2.2 Solvency
- An Altman-Z score of 2.60 indicates that ML is not a great score, but indicates only limited risk for bankruptcy at the moment.
- With an excellent Altman-Z score value of 2.60, ML belongs to the best of the industry, outperforming 84.38% of the companies in the same industry.
- ML has a debt to FCF ratio of 6.17. This is a slightly negative value and a sign of low solvency as ML would need 6.17 years to pay back of all of its debts.
- The Debt to FCF ratio of ML (6.17) is better than 78.13% of its industry peers.
- ML has a Debt/Equity ratio of 0.32. This is a healthy value indicating a solid balance between debt and equity.
- ML's Debt to Equity ratio of 0.32 is amongst the best of the industry. ML outperforms 84.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 6.17 | ||
| Altman-Z | 2.6 |
ROIC/WACC1.2
WACC6.83%
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.
- With an excellent Current ratio value of 1.80, ML belongs to the best of the industry, outperforming 93.75% of the companies in the same industry.
- 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 84.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
- ML shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -18.28%.
- 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.
- Measured over the past years, ML shows a small growth in Revenue. The Revenue has been growing by 2.41% on average per year.
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 10.25% yearly.
- ML is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.12% yearly.
EPS Next Y-1.23%
EPS Next 2Y7.26%
EPS Next 3Y10.25%
EPS Next 5YN/A
Revenue Next Year-5.06%
Revenue Next 2Y-1.48%
Revenue Next 3Y0.27%
Revenue Next 5Y3.12%
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
- ML is valuated correctly with a Price/Earnings ratio of 13.73.
- 62.50% of the companies in the same industry are more expensive than ML, based on the Price/Earnings ratio.
- When comparing the Price/Earnings ratio of ML to the average of the S&P500 Index (27.47), we can say ML is valued rather cheaply.
- A Price/Forward Earnings ratio of 9.98 indicates a reasonable valuation of ML.
- The rest of the industry has a similar Price/Forward Earnings ratio as ML.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.26, ML is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.73 | ||
| Fwd PE | 9.98 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as ML.
- ML's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.57 | ||
| EV/EBITDA | 5.2 |
4.3 Compensation for Growth
- ML has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)8.36
EPS Next 2Y7.26%
EPS Next 3Y10.25%
5. Dividend
5.1 Amount
- ML has a Yearly Dividend Yield of 4.55%, which is a nice return.
- ML's Dividend Yield is rather good when compared to the industry average which is at 2.94. ML pays more dividend than 87.50% of the companies in the same industry.
- ML's Dividend Yield is rather good when compared to the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.55% |
5.2 History
- The dividend of ML is nicely growing with an annual growth rate of 7.84%!
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 2Y7.26%
EPS Next 3Y10.25%
EPA:ML (1/16/2026, 7:00:00 PM)
30.07
-0.24 (-0.79%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)07-24 2025-07-24/amc
Earnings (Next)02-11 2026-02-11/amc
Inst Owners46.08%
Inst Owner ChangeN/A
Ins Owners0%
Ins Owner ChangeN/A
Market Cap21.37B
Revenue(TTM)26.74B
Net Income(TTM)1.56B
Analysts76.67
Price Target32.36 (7.62%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.55% |
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)-0.49%
PT rev (3m)-14.59%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-1.74%
EPS NY rev (3m)-18.46%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.16%
Revenue NY rev (3m)-3.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.73 | ||
| Fwd PE | 9.98 | ||
| P/S | 0.8 | ||
| P/FCF | 17.57 | ||
| P/OCF | 6.32 | ||
| P/B | 1.21 | ||
| P/tB | 1.64 | ||
| EV/EBITDA | 5.2 |
EPS(TTM)2.19
EY7.28%
EPS(NY)3.01
Fwd EY10.02%
FCF(TTM)1.71
FCFY5.69%
OCF(TTM)4.76
OCFY15.83%
SpS37.63
BVpS24.94
TBVpS18.36
PEG (NY)N/A
PEG (5Y)8.36
Graham Number35.06
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 | 4.55% |
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 | 6.17 | ||
| Debt/EBITDA | 1.17 | ||
| Cap/Depr | 109.17% | ||
| Cap/Sales | 8.1% | ||
| Interest Coverage | 9.96 | ||
| Cash Conversion | 70% | ||
| Profit Quality | 77.9% | ||
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z | 2.6 |
F-Score5
WACC6.83%
ROIC/WACC1.2
Cap/Depr(3y)115.81%
Cap/Depr(5y)103.08%
Cap/Sales(3y)7.94%
Cap/Sales(5y)7.39%
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 Y-1.23%
EPS Next 2Y7.26%
EPS Next 3Y10.25%
EPS Next 5YN/A
Revenue 1Y (TTM)-3.62%
Revenue growth 3Y4.55%
Revenue growth 5Y2.41%
Sales Q2Q%-3.36%
Revenue Next Year-5.06%
Revenue Next 2Y-1.48%
Revenue Next 3Y0.27%
Revenue Next 5Y3.12%
EBIT growth 1Y-17.5%
EBIT growth 3Y1.98%
EBIT growth 5Y1.14%
EBIT Next Year41.45%
EBIT Next 3Y18.75%
EBIT Next 5Y16.74%
FCF growth 1Y-22%
FCF growth 3Y19.97%
FCF growth 5Y6.41%
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 of MICHELIN (CGDE) (ML.PA) stock?
ChartMill assigns a valuation rating of 5 / 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.
How financially healthy is MICHELIN (CGDE)?
The financial health rating of MICHELIN (CGDE) (ML.PA) is 7 / 10.
How sustainable is the dividend of MICHELIN (CGDE) (ML.PA) stock?
The dividend rating of MICHELIN (CGDE) (ML.PA) is 8 / 10 and the dividend payout ratio is 62.4%.