MUELLER INDUSTRIES INC (MLI) Stock Fundamental Analysis
USA - NYSE:MLI - US6247561029 - Common Stock
106.47 USD
-1.46 (-1.35%)
106.47 USD
0 (0%)
Overall MLI gets a fundamental rating of 8 out of 10. We evaluated MLI against 130 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. With these ratings, MLI could be worth investigating further 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.
Each year in the past 5 years MLI has been profitable.
In the past 5 years MLI always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of MLI (20.27%) is better than 99.23% of its industry peers.
MLI has a better Return On Equity (24.40%) than 90.00% of its industry peers.
MLI has a better Return On Invested Capital (20.73%) than 96.92% of its industry peers.
The Average Return On Invested Capital over the past 3 years for MLI is significantly above the industry average of 10.24%.
The last Return On Invested Capital (20.73%) for MLI is well below the 3 year average (25.47%), which needs to be investigated, but indicates that MLI had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.27% | ||
| ROE | 24.4% | ||
| ROIC | 20.73% |
ROA(3y)23.2%
ROA(5y)21.16%
ROE(3y)28.12%
ROE(5y)28.13%
ROIC(3y)25.47%
ROIC(5y)24.78%
1.3 Margins
The Profit Margin of MLI (18.10%) is better than 95.38% of its industry peers.
In the last couple of years the Profit Margin of MLI has grown nicely.
MLI has a Operating Margin of 21.48%. This is amongst the best in the industry. MLI outperforms 92.31% of its industry peers.
MLI's Operating Margin has improved in the last couple of years.
MLI has a Gross Margin (29.47%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of MLI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.48% | ||
| PM (TTM) | 18.1% | ||
| GM | 29.47% |
OM growth 3Y8.37%
OM growth 5Y21.34%
PM growth 3Y8.89%
PM growth 5Y31.03%
GM growth 3Y7.95%
GM growth 5Y11.43%
2. Health
2.1 Basic Checks
MLI has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for MLI has been reduced compared to 1 year ago.
Compared to 5 years ago, MLI has about the same amount of shares outstanding.
The debt/assets ratio for MLI has been reduced compared to a year ago.
2.2 Solvency
MLI has an Altman-Z score of 15.36. This indicates that MLI is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 15.36, MLI belongs to the top of the industry, outperforming 96.15% of the companies in the same industry.
MLI has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 15.36 |
ROIC/WACC2.16
WACC9.6%
2.3 Liquidity
A Current Ratio of 4.82 indicates that MLI has no problem at all paying its short term obligations.
MLI's Current ratio of 4.82 is amongst the best of the industry. MLI outperforms 92.31% of its industry peers.
A Quick Ratio of 3.81 indicates that MLI has no problem at all paying its short term obligations.
MLI has a Quick ratio of 3.81. This is amongst the best in the industry. MLI outperforms 93.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.82 | ||
| Quick Ratio | 3.81 |
3. Growth
3.1 Past
MLI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 24.90%, which is quite impressive.
The Earnings Per Share has been growing by 42.60% on average over the past years. This is a very strong growth
The Revenue has grown by 15.71% in the past year. This is quite good.
The Revenue has been growing by 9.17% on average over the past years. This is quite good.
EPS 1Y (TTM)24.9%
EPS 3Y8.81%
EPS 5Y42.6%
EPS Q2Q%31.08%
Revenue 1Y (TTM)15.71%
Revenue growth 3Y0%
Revenue growth 5Y9.17%
Sales Q2Q%8.02%
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 10.17% on average per year.
Based on estimates for the next years, MLI will show a small growth in Revenue. The Revenue will grow by 7.57% on average per year.
EPS Next Y25.73%
EPS Next 2Y12.97%
EPS Next 3Y10.17%
EPS Next 5YN/A
Revenue Next Year12.11%
Revenue Next 2Y9.77%
Revenue Next 3Y7.57%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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
A Price/Earnings ratio of 16.71 indicates a correct valuation of MLI.
Based on the Price/Earnings ratio, MLI is valued a bit cheaper than 77.69% of the companies in the same industry.
MLI is valuated rather cheaply when we compare the Price/Earnings ratio to 25.67, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 15.71 indicates a correct valuation of MLI.
Based on the Price/Forward Earnings ratio, MLI is valued a bit cheaper than 73.08% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of MLI to the average of the S&P500 Index (31.86), we can say MLI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.71 | ||
| Fwd PE | 15.71 |
4.2 Price Multiples
68.46% 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 a bit cheaper than 73.08% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.42 | ||
| EV/EBITDA | 10.98 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of MLI may justify a higher PE ratio.
PEG (NY)0.65
PEG (5Y)0.39
EPS Next 2Y12.97%
EPS Next 3Y10.17%
5. Dividend
5.1 Amount
With a yearly dividend of 0.95%, MLI is not a good candidate for dividend investing.
MLI's Dividend Yield is a higher than the industry average which is at 1.83.
Compared to an average S&P500 Dividend Yield of 2.40, MLI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.95% |
5.2 History
The dividend of MLI is nicely growing with an annual growth rate of 31.86%!
MLI has been paying a dividend for at least 10 years, so it has a reliable track record.
MLI has decreased its dividend recently.
Dividend Growth(5Y)31.86%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
13.89% 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.
DP13.89%
EPS Next 2Y12.97%
EPS Next 3Y10.17%
106.47
-1.46 (-1.35%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners89.36%
Inst Owner Change0.3%
Ins Owners2.4%
Ins Owner Change-6.43%
Market Cap11.79B
Revenue(TTM)4.14B
Net Income(TTM)749.13M
Analysts83.33
Price Target133.11 (25.02%)
Short Float %2.03%
Short Ratio2.81
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.95% |
Yearly Dividend0.78
Dividend Growth(5Y)31.86%
DP13.89%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.73%
Min EPS beat(2)7.31%
Max EPS beat(2)20.16%
EPS beat(4)3
Avg EPS beat(4)7.42%
Min EPS beat(4)-4.77%
Max EPS beat(4)20.16%
EPS beat(8)7
Avg EPS beat(8)14.41%
EPS beat(12)10
Avg EPS beat(12)24.5%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-0.6%
Min Revenue beat(2)-1.84%
Max Revenue beat(2)0.63%
Revenue beat(4)2
Avg Revenue beat(4)-0.02%
Min Revenue beat(4)-1.84%
Max Revenue beat(4)2.4%
Revenue beat(8)5
Avg Revenue beat(8)1.68%
Revenue beat(12)7
Avg Revenue beat(12)1.91%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)13.97%
PT rev (3m)28.57%
EPS NQ rev (1m)10.9%
EPS NQ rev (3m)16.14%
EPS NY rev (1m)0%
EPS NY rev (3m)11.84%
Revenue NQ rev (1m)-0.72%
Revenue NQ rev (3m)-0.72%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.71 | ||
| Fwd PE | 15.71 | ||
| P/S | 2.85 | ||
| P/FCF | 17.42 | ||
| P/OCF | 15.62 | ||
| P/B | 3.84 | ||
| P/tB | 4.75 | ||
| EV/EBITDA | 10.98 |
EPS(TTM)6.37
EY5.98%
EPS(NY)6.78
Fwd EY6.37%
FCF(TTM)6.11
FCFY5.74%
OCF(TTM)6.81
OCFY6.4%
SpS37.4
BVpS27.73
TBVpS22.4
PEG (NY)0.65
PEG (5Y)0.39
Graham Number63.05
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.27% | ||
| ROE | 24.4% | ||
| ROCE | 27.85% | ||
| ROIC | 20.73% | ||
| ROICexc | 35.26% | ||
| ROICexgc | 51.41% | ||
| OM | 21.48% | ||
| PM (TTM) | 18.1% | ||
| GM | 29.47% | ||
| FCFM | 16.34% |
ROA(3y)23.2%
ROA(5y)21.16%
ROE(3y)28.12%
ROE(5y)28.13%
ROIC(3y)25.47%
ROIC(5y)24.78%
ROICexc(3y)43.75%
ROICexc(5y)36.53%
ROICexgc(3y)55.94%
ROICexgc(5y)46.4%
ROCE(3y)34.22%
ROCE(5y)33.28%
ROICexgc growth 3Y2.37%
ROICexgc growth 5Y22.58%
ROICexc growth 3Y-4.41%
ROICexc growth 5Y18.23%
OM growth 3Y8.37%
OM growth 5Y21.34%
PM growth 3Y8.89%
PM growth 5Y31.03%
GM growth 3Y7.95%
GM growth 5Y11.43%
F-Score8
Asset Turnover1.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 105.45% | ||
| Cap/Sales | 1.88% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 78.33% | ||
| Profit Quality | 90.3% | ||
| Current Ratio | 4.82 | ||
| Quick Ratio | 3.81 | ||
| Altman-Z | 15.36 |
F-Score8
WACC9.6%
ROIC/WACC2.16
Cap/Depr(3y)124%
Cap/Depr(5y)108.01%
Cap/Sales(3y)1.55%
Cap/Sales(5y)1.47%
Profit Quality(3y)100.14%
Profit Quality(5y)100.88%
High Growth Momentum
Growth
EPS 1Y (TTM)24.9%
EPS 3Y8.81%
EPS 5Y42.6%
EPS Q2Q%31.08%
EPS Next Y25.73%
EPS Next 2Y12.97%
EPS Next 3Y10.17%
EPS Next 5YN/A
Revenue 1Y (TTM)15.71%
Revenue growth 3Y0%
Revenue growth 5Y9.17%
Sales Q2Q%8.02%
Revenue Next Year12.11%
Revenue Next 2Y9.77%
Revenue Next 3Y7.57%
Revenue Next 5YN/A
EBIT growth 1Y21.57%
EBIT growth 3Y8.36%
EBIT growth 5Y32.46%
EBIT Next Year48.57%
EBIT Next 3Y16.75%
EBIT Next 5YN/A
FCF growth 1Y2.81%
FCF growth 3Y26.43%
FCF growth 5Y27.29%
OCF growth 1Y6.92%
OCF growth 3Y27.49%
OCF growth 5Y26.36%
MUELLER INDUSTRIES INC / MLI FAQ
Can you provide the ChartMill fundamental rating for MUELLER INDUSTRIES INC?
ChartMill assigns a fundamental rating of 8 / 10 to MLI.
What is the valuation status for MLI stock?
ChartMill assigns a valuation rating of 6 / 10 to MUELLER INDUSTRIES INC (MLI). This can be considered as Fairly Valued.
How profitable is MUELLER INDUSTRIES INC (MLI) stock?
MUELLER INDUSTRIES INC (MLI) has a profitability rating of 9 / 10.
What is the valuation of MUELLER INDUSTRIES INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for MUELLER INDUSTRIES INC (MLI) is 16.71 and the Price/Book (PB) ratio is 3.84.
Can you provide the dividend sustainability for MLI stock?
The dividend rating of MUELLER INDUSTRIES INC (MLI) is 4 / 10 and the dividend payout ratio is 13.89%.