MUELLER INDUSTRIES INC (MLI)
US6247561029 - Common Stock
Taking everything into account, MLI scores 7 out of 10 in our fundamental rating. MLI was compared to 132 industry peers in the Machinery industry. MLI gets an excellent profitability rating and is at the same time showing great financial health properties. MLI is not valued too expensively and it also shows a decent growth rate. These ratings would make MLI suitable for quality investing!
1. Profitability
1.1 Basic Checks
MLI had positive earnings in the past year.
In the past year MLI had a positive cash flow from operations.
In the past 5 years MLI has always been profitable.
Each year in the past 5 years MLI had a positive operating cash flow.
1.2 Ratios
MLI has a better Return On Assets (18.29%) than 96.92% of its industry peers.
MLI has a better Return On Equity (21.90%) than 84.62% of its industry peers.
MLI has a Return On Invested Capital of 19.30%. This is amongst the best in the industry. MLI outperforms 94.62% of its industry peers.
The Average Return On Invested Capital over the past 3 years for MLI is significantly above the industry average of 10.90%.
The 3 year average ROIC (29.89%) for MLI is well above the current ROIC(19.30%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.29% | ||
| ROE | 21.9% | ||
| ROIC | 19.3% |
ROA(3y)26.1%
ROA(5y)18.96%
ROE(3y)33.63%
ROE(5y)26.91%
ROIC(3y)29.89%
ROIC(5y)23.22%
1.3 Margins
MLI has a Profit Margin of 16.39%. This is amongst the best in the industry. MLI outperforms 93.08% of its industry peers.
MLI's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 20.44%, MLI belongs to the best of the industry, outperforming 89.23% of the companies in the same industry.
In the last couple of years the Operating Margin of MLI has grown nicely.
The Gross Margin of MLI (27.53%) is comparable to the rest of the industry.
MLI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.44% | ||
| PM (TTM) | 16.39% | ||
| GM | 27.53% |
OM growth 3Y31.53%
OM growth 5Y26.31%
PM growth 3Y44.7%
PM growth 5Y33.44%
GM growth 3Y17.01%
GM growth 5Y15.42%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), MLI is creating value.
The number of shares outstanding for MLI remains at a similar level compared to 1 year ago.
Compared to 5 years ago, MLI has more shares outstanding
Compared to 1 year ago, MLI has an improved debt to assets ratio.
2.2 Solvency
MLI has an Altman-Z score of 14.11. This indicates that MLI is financially healthy and has little risk of bankruptcy at the moment.
MLI has a Altman-Z score of 14.11. This is amongst the best in the industry. MLI outperforms 93.08% of its industry peers.
The Debt to FCF ratio of MLI is 0.00, which is an excellent value as it means it would take MLI, only 0.00 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of MLI (0.00) is better than 96.15% of its industry peers.
MLI has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.00, MLI belongs to the top of the industry, outperforming 86.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 14.11 |
ROIC/WACC2.1
WACC9.21%
2.3 Liquidity
A Current Ratio of 4.86 indicates that MLI has no problem at all paying its short term obligations.
The Current ratio of MLI (4.86) is better than 90.00% of its industry peers.
MLI has a Quick Ratio of 3.85. This indicates that MLI is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of MLI (3.85) is better than 91.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.86 | ||
| Quick Ratio | 3.85 |
3. Growth
3.1 Past
MLI shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.99%.
The Earnings Per Share has been growing by 42.27% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 0.34% in the past year.
Measured over the past years, MLI shows a small growth in Revenue. The Revenue has been growing by 6.40% on average per year.
EPS 1Y (TTM)4.99%
EPS 3Y62.33%
EPS 5Y42.27%
EPS Q2Q%25.42%
Revenue 1Y (TTM)0.34%
Revenue growth 3Y12.57%
Revenue growth 5Y6.4%
Sales Q2Q%21.72%
3.2 Future
Based on estimates for the next years, MLI will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.07% on average per year.
The Revenue is expected to grow by 10.69% on average over the next years. This is quite good.
EPS Next Y13.5%
EPS Next 2Y9.07%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year10.25%
Revenue Next 2Y10.69%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 15.72, which indicates a correct valuation of MLI.
Compared to the rest of the industry, the Price/Earnings ratio of MLI indicates a somewhat cheap valuation: MLI is cheaper than 76.92% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.73. MLI is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 14.57, MLI is valued correctly.
78.46% of the companies in the same industry are more expensive than MLI, based on the Price/Forward Earnings ratio.
MLI is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.83, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.72 | ||
| Fwd PE | 14.57 |
4.2 Price Multiples
76.15% of the companies in the same industry are more expensive than MLI, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, MLI is valued cheaply inside the industry as 86.92% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.85 | ||
| EV/EBITDA | 10.56 |
4.3 Compensation for Growth
MLI's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
MLI has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.16
PEG (5Y)0.37
EPS Next 2Y9.07%
EPS Next 3YN/A
5. Dividend
5.1 Amount
MLI has a Yearly Dividend Yield of 1.01%. Purely for dividend investing, there may be better candidates out there.
MLI's Dividend Yield is a higher than the industry average which is at 1.69.
Compared to an average S&P500 Dividend Yield of 2.34, MLI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.01% |
5.2 History
On average, the dividend of MLI grows each year by 24.21%, which is quite nice.
MLI has paid a dividend for at least 10 years, which is a reliable track record.
MLI has decreased its dividend recently.
Dividend Growth(5Y)24.21%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
14.25% of the earnings are spent on dividend by MLI. This is a low number and sustainable payout ratio.
MLI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP14.25%
EPS Next 2Y9.07%
EPS Next 3YN/A
MUELLER INDUSTRIES INC
NYSE:MLI (12/20/2024, 8:24:46 PM)
After market: 82 +1.82 (+2.27%)80.18
+0.69 (+0.87%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners95.41%
Inst Owner Change-0.86%
Ins Owners2.48%
Ins Owner Change-1.56%
Market Cap9.12B
Analysts45
Price Target51 (-36.39%)
Short Float %3.09%
Short Ratio2.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.01% |
Dividend Growth(5Y)24.21%
DP14.25%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.62%
Min EPS beat(2)8.22%
Max EPS beat(2)11.01%
EPS beat(4)4
Avg EPS beat(4)21.41%
Min EPS beat(4)8.22%
Max EPS beat(4)52.32%
EPS beat(8)7
Avg EPS beat(8)33.04%
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)2
Avg Revenue beat(2)6.99%
Min Revenue beat(2)5.55%
Max Revenue beat(2)8.44%
Revenue beat(4)3
Avg Revenue beat(4)3.38%
Min Revenue beat(4)-3.75%
Max Revenue beat(4)8.44%
Revenue beat(8)5
Avg Revenue beat(8)2.88%
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%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)21.74%
EPS NY rev (1m)0%
EPS NY rev (3m)4%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)8.24%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.95%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.72 | ||
| Fwd PE | 14.57 | ||
| P/S | 2.55 | ||
| P/FCF | 14.85 | ||
| P/OCF | 13.41 | ||
| P/B | 3.4 | ||
| P/tB | 4.49 | ||
| EV/EBITDA | 10.56 |
EPS(TTM)5.1
EY6.36%
EPS(NY)5.5
Fwd EY6.87%
FCF(TTM)5.4
FCFY6.74%
OCF(TTM)5.98
OCFY7.46%
SpS31.45
BVpS23.55
TBVpS17.87
PEG (NY)1.16
PEG (5Y)0.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 18.29% | ||
| ROE | 21.9% | ||
| ROCE | 26.01% | ||
| ROIC | 19.3% | ||
| ROICexc | 29.45% | ||
| ROICexgc | 45.34% | ||
| OM | 20.44% | ||
| PM (TTM) | 16.39% | ||
| GM | 27.53% | ||
| FCFM | 17.17% |
ROA(3y)26.1%
ROA(5y)18.96%
ROE(3y)33.63%
ROE(5y)26.91%
ROIC(3y)29.89%
ROIC(5y)23.22%
ROICexc(3y)45.1%
ROICexc(5y)32.9%
ROICexgc(3y)54.7%
ROICexgc(5y)40.29%
ROCE(3y)40.28%
ROCE(5y)31.3%
ROICexcg growth 3Y40.03%
ROICexcg growth 5Y30.81%
ROICexc growth 3Y43.58%
ROICexc growth 5Y31.8%
OM growth 3Y31.53%
OM growth 5Y26.31%
PM growth 3Y44.7%
PM growth 5Y33.44%
GM growth 3Y17.01%
GM growth 5Y15.42%
F-Score5
Asset Turnover1.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 164.56% | ||
| Cap/Sales | 1.84% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 88.16% | ||
| Profit Quality | 104.74% | ||
| Current Ratio | 4.86 | ||
| Quick Ratio | 3.85 | ||
| Altman-Z | 14.11 |
F-Score5
WACC9.21%
ROIC/WACC2.1
Cap/Depr(3y)97.04%
Cap/Depr(5y)92.43%
Cap/Sales(3y)1.12%
Cap/Sales(5y)1.3%
Profit Quality(3y)88.88%
Profit Quality(5y)115.7%
High Growth Momentum
Growth
EPS 1Y (TTM)4.99%
EPS 3Y62.33%
EPS 5Y42.27%
EPS Q2Q%25.42%
EPS Next Y13.5%
EPS Next 2Y9.07%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)0.34%
Revenue growth 3Y12.57%
Revenue growth 5Y6.4%
Sales Q2Q%21.72%
Revenue Next Year10.25%
Revenue Next 2Y10.69%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-7.72%
EBIT growth 3Y48.06%
EBIT growth 5Y34.39%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y0.5%
FCF growth 3Y45.42%
FCF growth 5Y36.75%
OCF growth 1Y5.09%
OCF growth 3Y40.01%
OCF growth 5Y32%