MUELLER INDUSTRIES INC (MLI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:MLI - US6247561029 - Common Stock
113.86 USD
-0.14 (-0.12%)
113.86 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 scores excellent points on both the profitability and health parts. This is a solid base for a good stock. MLI is growing strongly while it is still valued neutral. This is a good combination! This makes MLI very considerable for growth and quality investing!
1. Profitability
1.1 Basic Checks
MLI had positive earnings in the past year.
MLI had a positive operating cash flow in the past year.
MLI had positive earnings in each of the past 5 years.
Each year in the past 5 years MLI had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 20.27%, MLI belongs to the top of the industry, outperforming 98.46% of the companies in the same industry.
MLI has a better Return On Equity (24.40%) than 90.77% of its industry peers.
MLI has a better Return On Invested Capital (20.73%) than 96.15% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MLI is significantly above the industry average of 10.46%.
The 3 year average ROIC (25.47%) for MLI is well above the current ROIC(20.73%). The reason for the recent decline needs to be investigated.
| 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
Looking at the Profit Margin, with a value of 18.10%, MLI belongs to the top of the industry, outperforming 93.85% of the companies in the same industry.
MLI's Profit Margin has improved in the last couple of years.
MLI has a better Operating Margin (21.48%) than 93.08% of its industry peers.
In the last couple of years the Operating Margin of MLI has grown nicely.
MLI has a Gross Margin (29.47%) which is in line with its industry peers.
MLI's Gross Margin has improved in the last couple of years.
| 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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so MLI is creating value.
Compared to 1 year ago, MLI has less shares outstanding
The number of shares outstanding for MLI remains at a similar level compared to 5 years ago.
MLI has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 16.04 indicates that MLI is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 16.04, MLI belongs to the best of the industry, outperforming 97.69% of the companies in the same industry.
There is no outstanding debt for MLI. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 16.04 |
ROIC/WACC2.15
WACC9.64%
2.3 Liquidity
MLI has a Current Ratio of 4.82. This indicates that MLI is financially healthy and has no problem in meeting its short term obligations.
MLI has a Current ratio of 4.82. This is amongst the best in the industry. MLI outperforms 91.54% of its industry peers.
MLI has a Quick Ratio of 3.81. This indicates that MLI is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 3.81, MLI belongs to the top of the industry, outperforming 92.31% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.82 | ||
| Quick Ratio | 3.81 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 24.90% over the past year.
The Earnings Per Share has been growing by 42.60% on average over the past years. This is a very strong growth
MLI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.71%.
Measured over the past years, MLI shows a quite strong growth in Revenue. The Revenue has been growing by 9.17% on average per year.
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 12.67% on average per year.
Based on estimates for the next years, MLI will show a quite strong growth in Revenue. The Revenue will grow by 8.13% on average per year.
EPS Next Y30.39%
EPS Next 2Y18.8%
EPS Next 3Y12.67%
EPS Next 5YN/A
Revenue Next Year12.5%
Revenue Next 2Y10.2%
Revenue Next 3Y8.13%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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 stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 17.87, which indicates a rather expensive current valuation of MLI.
MLI's Price/Earnings ratio is a bit cheaper when compared to the industry. MLI is cheaper than 78.46% of the companies in the same industry.
MLI's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.54.
The Price/Forward Earnings ratio is 15.19, which indicates a correct valuation of MLI.
MLI's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. MLI is cheaper than 79.23% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of MLI to the average of the S&P500 Index (23.78), we can say MLI is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.87 | ||
| Fwd PE | 15.19 |
4.2 Price Multiples
70.00% 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 71.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.68 | ||
| EV/EBITDA | 11.72 |
4.3 Compensation for Growth
MLI's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
MLI has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as MLI's earnings are expected to grow with 12.67% in the coming years.
PEG (NY)0.59
PEG (5Y)0.42
EPS Next 2Y18.8%
EPS Next 3Y12.67%
5. Dividend
5.1 Amount
With a yearly dividend of 0.88%, MLI is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.79, MLI pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.88, MLI pays less dividend than the S&P500 average, which is at 2.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.88% |
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.
The dividend of MLI is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP13.89%
EPS Next 2Y18.8%
EPS Next 3Y12.67%
113.86
-0.14 (-0.12%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners91.22%
Inst Owner Change3.04%
Ins Owners2.21%
Ins Owner Change-5.03%
Market Cap12.64B
Revenue(TTM)4.14B
Net Income(TTM)749.13M
Analysts83.33
Price Target133.11 (16.91%)
Short Float %1.88%
Short Ratio2.98
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.88% |
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)0%
PT rev (3m)13.97%
EPS NQ rev (1m)0%
EPS NQ rev (3m)10.9%
EPS NY rev (1m)0%
EPS NY rev (3m)3.71%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.72%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.87 | ||
| Fwd PE | 15.19 | ||
| P/S | 3.05 | ||
| P/FCF | 18.68 | ||
| P/OCF | 16.76 | ||
| P/B | 4.12 | ||
| P/tB | 5.1 | ||
| EV/EBITDA | 11.72 |
EPS(TTM)6.37
EY5.59%
EPS(NY)7.49
Fwd EY6.58%
FCF(TTM)6.09
FCFY5.35%
OCF(TTM)6.8
OCFY5.97%
SpS37.29
BVpS27.65
TBVpS22.34
PEG (NY)0.59
PEG (5Y)0.42
Graham Number62.96
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 | 16.04 |
F-Score8
WACC9.64%
ROIC/WACC2.15
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 Y30.39%
EPS Next 2Y18.8%
EPS Next 3Y12.67%
EPS Next 5YN/A
Revenue 1Y (TTM)15.71%
Revenue growth 3Y0%
Revenue growth 5Y9.17%
Sales Q2Q%8.02%
Revenue Next Year12.5%
Revenue Next 2Y10.2%
Revenue Next 3Y8.13%
Revenue Next 5YN/A
EBIT growth 1Y21.57%
EBIT growth 3Y8.36%
EBIT growth 5Y32.46%
EBIT Next Year65.07%
EBIT Next 3Y19.24%
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 17.87 and the Price/Book (PB) ratio is 4.12.
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%.