MUELLER INDUSTRIES INC (MLI) Stock Fundamental Analysis
USA - NYSE:MLI - US6247561029 - Common Stock
98.82 USD
-0.14 (-0.14%)
98.82 USD
0 (0%)
MLI gets a fundamental rating of 8 out of 10. The analysis compared the fundamentals against 128 industry peers in the Machinery industry. MLI has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. 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
In the past year MLI was profitable.
MLI had a positive operating cash flow in the past year.
Each year in the past 5 years MLI has been profitable.
MLI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of MLI (20.35%) is better than 99.22% of its industry peers.
With an excellent Return On Equity value of 24.33%, MLI belongs to the best of the industry, outperforming 90.63% of the companies in the same industry.
MLI has a better Return On Invested Capital (20.43%) than 96.88% of its industry peers.
MLI had an Average Return On Invested Capital over the past 3 years of 25.47%. This is significantly above the industry average of 10.02%.
The last Return On Invested Capital (20.43%) 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 | 20.35% | ||
| ROE | 24.33% | ||
| ROIC | 20.43% |
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
With an excellent Profit Margin value of 17.48%, MLI belongs to the best of the industry, outperforming 94.53% of the companies in the same industry.
MLI's Profit Margin has improved in the last couple of years.
The Operating Margin of MLI (20.49%) is better than 89.84% of its industry peers.
In the last couple of years the Operating Margin of MLI has grown nicely.
MLI has a Gross Margin of 28.47%. This is comparable to the rest of the industry: MLI outperforms 43.75% of its industry peers.
MLI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.49% | ||
| PM (TTM) | 17.48% | ||
| GM | 28.47% |
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
MLI has about the same amout of shares outstanding than it did 5 years ago.
The debt/assets ratio for MLI has been reduced compared to a year ago.
2.2 Solvency
MLI has an Altman-Z score of 15.46. 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 15.46, MLI belongs to the top of the industry, outperforming 96.88% 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 | 15.46 |
ROIC/WACC2.05
WACC9.94%
2.3 Liquidity
MLI has a Current Ratio of 4.86. This indicates that MLI is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of MLI (4.86) is better than 91.41% of its industry peers.
MLI has a Quick Ratio of 3.73. This indicates that MLI is financially healthy and has no problem in meeting its short term obligations.
MLI's Quick ratio of 3.73 is amongst the best of the industry. MLI outperforms 92.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.86 | ||
| Quick Ratio | 3.73 |
3. Growth
3.1 Past
MLI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 23.13%, which is quite impressive.
MLI shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 42.60% yearly.
The Revenue has grown by 19.42% in the past year. This is quite good.
MLI shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.17% yearly.
EPS 1Y (TTM)23.13%
EPS 3Y8.81%
EPS 5Y42.6%
EPS Q2Q%39.01%
Revenue 1Y (TTM)19.42%
Revenue growth 3Y0%
Revenue growth 5Y9.17%
Sales Q2Q%14.07%
3.2 Future
MLI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.17% yearly.
The Revenue is expected to grow by 7.57% on average over the next years.
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
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
A Price/Earnings ratio of 16.72 indicates a correct valuation of MLI.
Based on the Price/Earnings ratio, MLI is valued cheaper than 80.47% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.27. MLI is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 14.58, which indicates a correct valuation of MLI.
78.91% of the companies in the same industry are more expensive than MLI, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of MLI to the average of the S&P500 Index (22.77), we can say MLI is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.72 | ||
| Fwd PE | 14.58 |
4.2 Price Multiples
MLI's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. MLI is cheaper than 75.78% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MLI indicates a somewhat cheap valuation: MLI is cheaper than 70.31% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.53 | ||
| EV/EBITDA | 10.92 |
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.
MLI has an outstanding profitability rating, which 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
MLI has a Yearly Dividend Yield of 1.01%.
Compared to an average industry Dividend Yield of 1.74, MLI pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.38, MLI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.01% |
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
MLI pays out 13.95% of its income as dividend. This is a sustainable payout ratio.
MLI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP13.95%
EPS Next 2Y12.97%
EPS Next 3Y10.17%
98.82
-0.14 (-0.14%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners93.64%
Inst Owner Change-5.62%
Ins Owners2.35%
Ins Owner Change0%
Market Cap10.94B
Analysts83.33
Price Target116.79 (18.18%)
Short Float %2.25%
Short Ratio1.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.01% |
Yearly Dividend0.78
Dividend Growth(5Y)31.86%
DP13.95%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.7%
Min EPS beat(2)-4.77%
Max EPS beat(2)20.16%
EPS beat(4)3
Avg EPS beat(4)8.34%
Min EPS beat(4)-4.77%
Max EPS beat(4)20.16%
EPS beat(8)7
Avg EPS beat(8)29.64%
EPS beat(12)10
Avg EPS beat(12)25.17%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-0.32%
Min Revenue beat(2)-1.27%
Max Revenue beat(2)0.63%
Revenue beat(4)3
Avg Revenue beat(4)1.83%
Min Revenue beat(4)-1.27%
Max Revenue beat(4)5.55%
Revenue beat(8)6
Avg Revenue beat(8)4.75%
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)4.09%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-5.36%
EPS NY rev (1m)11.84%
EPS NY rev (3m)10.17%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.99%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.75%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.72 | ||
| Fwd PE | 14.58 | ||
| P/S | 2.69 | ||
| P/FCF | 18.53 | ||
| P/OCF | 16.19 | ||
| P/B | 3.75 | ||
| P/tB | 4.71 | ||
| EV/EBITDA | 10.92 |
EPS(TTM)5.91
EY5.98%
EPS(NY)6.78
Fwd EY6.86%
FCF(TTM)5.33
FCFY5.4%
OCF(TTM)6.1
OCFY6.18%
SpS36.67
BVpS26.35
TBVpS20.96
PEG (NY)0.65
PEG (5Y)0.39
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.35% | ||
| ROE | 24.33% | ||
| ROCE | 27.44% | ||
| ROIC | 20.43% | ||
| ROICexc | 31.39% | ||
| ROICexgc | 44.97% | ||
| OM | 20.49% | ||
| PM (TTM) | 17.48% | ||
| GM | 28.47% | ||
| FCFM | 14.54% |
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%
ROICexcg growth 3Y2.37%
ROICexcg 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 Turnover1.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 123.51% | ||
| Cap/Sales | 2.1% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 75% | ||
| Profit Quality | 83.19% | ||
| Current Ratio | 4.86 | ||
| Quick Ratio | 3.73 | ||
| Altman-Z | 15.46 |
F-Score8
WACC9.94%
ROIC/WACC2.05
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)23.13%
EPS 3Y8.81%
EPS 5Y42.6%
EPS Q2Q%39.01%
EPS Next Y25.73%
EPS Next 2Y12.97%
EPS Next 3Y10.17%
EPS Next 5YN/A
Revenue 1Y (TTM)19.42%
Revenue growth 3Y0%
Revenue growth 5Y9.17%
Sales Q2Q%14.07%
Revenue Next Year12.11%
Revenue Next 2Y9.77%
Revenue Next 3Y7.57%
Revenue Next 5YN/A
EBIT growth 1Y17.13%
EBIT growth 3Y8.36%
EBIT growth 5Y32.46%
EBIT Next Year48.57%
EBIT Next 3Y16.75%
EBIT Next 5YN/A
FCF growth 1Y-18.74%
FCF growth 3Y26.43%
FCF growth 5Y27.29%
OCF growth 1Y-12.27%
OCF growth 3Y27.49%
OCF growth 5Y26.36%