MUELLER INDUSTRIES INC (MLI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:MLI - US6247561029 - Common Stock
115.6 USD
+2.82 (+2.5%)
115.6 USD
0 (0%)
Taking everything into account, MLI scores 8 out of 10 in our fundamental rating. MLI was compared to 131 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 priced too expensively while it is growing strongly. Keep and eye on this one! These ratings could make MLI a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
In the past year MLI was profitable.
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 Return On Assets of 20.27%. This is amongst the best in the industry. MLI outperforms 98.48% of its industry peers.
MLI's Return On Equity of 24.40% is amongst the best of the industry. MLI outperforms 91.67% of its industry peers.
MLI has a better Return On Invested Capital (20.73%) than 95.45% 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 10.32%.
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
MLI has a Profit Margin of 18.10%. This is amongst the best in the industry. MLI outperforms 93.94% of its industry peers.
In the last couple of years the Profit Margin of MLI has grown nicely.
MLI has a better Operating Margin (21.48%) than 93.18% of its industry peers.
MLI's Operating Margin has improved in the last couple of years.
MLI's Gross Margin of 29.47% is in line compared to the rest of the industry. MLI outperforms 46.97% of its industry peers.
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
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 has been reduced compared to 1 year ago.
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 16.21. This indicates that MLI is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 16.21, MLI belongs to the best of the industry, outperforming 97.73% 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 | 16.21 |
ROIC/WACC2.15
WACC9.62%
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 better Current ratio (4.82) than 91.67% 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.
MLI has a Quick ratio of 3.81. This is amongst the best in the industry. MLI outperforms 92.42% of its industry peers.
| 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.
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 15.71% in the past year. This is quite good.
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
The Earnings Per Share is expected to grow by 12.67% on average over the next years. This is quite good.
MLI is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.13% yearly.
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.
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
With a Price/Earnings ratio of 18.15, MLI is valued on the expensive side.
76.52% of the companies in the same industry are more expensive than MLI, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of MLI to the average of the S&P500 Index (26.38), we can say MLI is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 15.43, the valuation of MLI can be described as correct.
Based on the Price/Forward Earnings ratio, MLI is valued a bit cheaper than 78.79% of the companies in the same industry.
MLI's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.15 | ||
| Fwd PE | 15.43 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MLI indicates a somewhat cheap valuation: MLI is cheaper than 68.94% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, MLI is valued a bit cheaper than the industry average as 71.97% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.97 | ||
| EV/EBITDA | 11.9 |
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.
The excellent profitability rating of MLI may justify a higher PE ratio.
MLI's earnings are expected to grow with 12.67% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.6
PEG (5Y)0.43
EPS Next 2Y18.8%
EPS Next 3Y12.67%
5. Dividend
5.1 Amount
With a yearly dividend of 0.89%, MLI is not a good candidate for dividend investing.
MLI's Dividend Yield is a higher than the industry average which is at 1.04.
Compared to an average S&P500 Dividend Yield of 1.87, MLI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.89% |
5.2 History
On average, the dividend of MLI grows each year by 31.86%, which is quite nice.
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 2Y18.8%
EPS Next 3Y12.67%
115.6
+2.82 (+2.5%)
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 Cap12.83B
Revenue(TTM)4.14B
Net Income(TTM)749.13M
Analysts83.33
Price Target133.11 (15.15%)
Short Float %1.9%
Short Ratio2.97
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.89% |
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 | 18.15 | ||
| Fwd PE | 15.43 | ||
| P/S | 3.1 | ||
| P/FCF | 18.97 | ||
| P/OCF | 17.01 | ||
| P/B | 4.18 | ||
| P/tB | 5.17 | ||
| EV/EBITDA | 11.9 |
EPS(TTM)6.37
EY5.51%
EPS(NY)7.49
Fwd EY6.48%
FCF(TTM)6.09
FCFY5.27%
OCF(TTM)6.8
OCFY5.88%
SpS37.29
BVpS27.65
TBVpS22.34
PEG (NY)0.6
PEG (5Y)0.43
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 | 16.21 |
F-Score8
WACC9.62%
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 18.15 and the Price/Book (PB) ratio is 4.18.
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%.