MOSAIC CO/THE (MOS)
US61945C1036 - Common Stock
We assign a fundamental rating of 5 out of 10 to MOS. MOS was compared to 83 industry peers in the Chemicals industry. MOS has an average financial health and profitability rating. MOS has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
MOS had positive earnings in the past year.
In the past year MOS had a positive cash flow from operations.
Of the past 5 years MOS 4 years were profitable.
Each year in the past 5 years MOS had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.59%, MOS is in line with its industry, outperforming 43.37% of the companies in the same industry.
The Return On Equity of MOS (3.14%) is comparable to the rest of the industry.
MOS's Return On Invested Capital of 3.23% is on the low side compared to the rest of the industry. MOS is outperformed by 63.86% of its industry peers.
The Average Return On Invested Capital over the past 3 years for MOS is significantly above the industry average of 7.24%.
The 3 year average ROIC (14.26%) for MOS is well above the current ROIC(3.23%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.59% | ||
| ROE | 3.14% | ||
| ROIC | 3.23% |
ROA(3y)9.26%
ROA(5y)5.12%
ROE(3y)18.19%
ROE(5y)9.98%
ROIC(3y)14.26%
ROIC(5y)9.72%
1.3 Margins
Looking at the Profit Margin, with a value of 3.24%, MOS is in line with its industry, outperforming 48.19% of the companies in the same industry.
In the last couple of years the Profit Margin of MOS has grown nicely.
With a Operating Margin value of 6.98%, MOS perfoms like the industry average, outperforming 44.58% of the companies in the same industry.
In the last couple of years the Operating Margin of MOS has grown nicely.
MOS has a worse Gross Margin (15.45%) than 73.49% of its industry peers.
In the last couple of years the Gross Margin of MOS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.98% | ||
| PM (TTM) | 3.24% | ||
| GM | 15.45% |
OM growth 3Y16.82%
OM growth 5Y2.51%
PM growth 3Y3.5%
PM growth 5Y11.65%
GM growth 3Y9.58%
GM growth 5Y0.65%
2. Health
2.1 Basic Checks
MOS has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
MOS has less shares outstanding than it did 1 year ago.
The number of shares outstanding for MOS has been reduced compared to 5 years ago.
Compared to 1 year ago, MOS has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 1.88 indicates that MOS is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 1.88, MOS is in line with its industry, outperforming 48.19% of the companies in the same industry.
MOS has a debt to FCF ratio of 13.49. This is a negative value and a sign of low solvency as MOS would need 13.49 years to pay back of all of its debts.
With a Debt to FCF ratio value of 13.49, MOS perfoms like the industry average, outperforming 45.78% of the companies in the same industry.
MOS has a Debt/Equity ratio of 0.33. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of MOS (0.33) is better than 69.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 13.49 | ||
| Altman-Z | 1.88 |
ROIC/WACC0.44
WACC7.41%
2.3 Liquidity
A Current Ratio of 1.19 indicates that MOS should not have too much problems paying its short term obligations.
The Current ratio of MOS (1.19) is worse than 89.16% of its industry peers.
A Quick Ratio of 0.49 indicates that MOS may have some problems paying its short term obligations.
MOS has a worse Quick ratio (0.49) than 93.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.19 | ||
| Quick Ratio | 0.49 |
3. Growth
3.1 Past
The earnings per share for MOS have decreased strongly by -51.30% in the last year.
The Earnings Per Share has been growing by 10.99% on average over the past years. This is quite good.
The Revenue for MOS has decreased by -23.77% in the past year. This is quite bad
MOS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.39% yearly.
EPS 1Y (TTM)-51.3%
EPS 3Y61.34%
EPS 5Y10.99%
EPS Q2Q%-50%
Revenue 1Y (TTM)-23.77%
Revenue growth 3Y16.41%
Revenue growth 5Y7.39%
Sales Q2Q%-20.78%
3.2 Future
MOS is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.62% yearly.
Based on estimates for the next years, MOS will show a decrease in Revenue. The Revenue will decrease by -2.29% on average per year.
EPS Next Y-39.42%
EPS Next 2Y-19.1%
EPS Next 3Y-15.43%
EPS Next 5Y4.62%
Revenue Next Year-18.12%
Revenue Next 2Y-7.59%
Revenue Next 3Y-5.18%
Revenue Next 5Y-2.29%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
MOS is valuated reasonably with a Price/Earnings ratio of 10.75.
85.54% of the companies in the same industry are more expensive than MOS, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.73, MOS is valued rather cheaply.
The Price/Forward Earnings ratio is 10.30, which indicates a very decent valuation of MOS.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MOS indicates a somewhat cheap valuation: MOS is cheaper than 79.52% of the companies listed in the same industry.
MOS is valuated 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 | 10.75 | ||
| Fwd PE | 10.3 |
4.2 Price Multiples
90.36% of the companies in the same industry are more expensive than MOS, based on the Enterprise Value to EBITDA ratio.
MOS's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.37 | ||
| EV/EBITDA | 5.88 |
4.3 Compensation for Growth
MOS has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as MOS's earnings are expected to decrease with -15.43% in the coming years.
PEG (NY)N/A
PEG (5Y)0.98
EPS Next 2Y-19.1%
EPS Next 3Y-15.43%
5. Dividend
5.1 Amount
MOS has a Yearly Dividend Yield of 3.52%.
MOS's Dividend Yield is a higher than the industry average which is at 3.28.
Compared to an average S&P500 Dividend Yield of 2.34, MOS pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.52% |
5.2 History
On average, the dividend of MOS grows each year by 58.93%, which is quite nice.
MOS has been paying a dividend for at least 10 years, so it has a reliable track record.
As MOS did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)58.93%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
MOS pays out 72.55% of its income as dividend. This is not a sustainable payout ratio.
MOS's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP72.55%
EPS Next 2Y-19.1%
EPS Next 3Y-15.43%
MOSAIC CO/THE
NYSE:MOS (12/20/2024, 8:25:19 PM)
After market: 24.24 +0.17 (+0.71%)24.07
+0.19 (+0.8%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners88.05%
Inst Owner Change1.78%
Ins Owners0.41%
Ins Owner Change-1.17%
Market Cap7.65B
Analysts69.57
Price Target32.98 (37.02%)
Short Float %2.2%
Short Ratio1.64
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.52% |
Dividend Growth(5Y)58.93%
DP72.55%
Div Incr Years5
Div Non Decr Years5
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-28.52%
Min EPS beat(2)-37.77%
Max EPS beat(2)-19.28%
EPS beat(4)0
Avg EPS beat(4)-19.52%
Min EPS beat(4)-37.77%
Max EPS beat(4)-2.49%
EPS beat(8)0
Avg EPS beat(8)-16.6%
EPS beat(12)0
Avg EPS beat(12)-12.72%
EPS beat(16)3
Avg EPS beat(16)2.94%
Revenue beat(2)0
Avg Revenue beat(2)-8.51%
Min Revenue beat(2)-12.08%
Max Revenue beat(2)-4.94%
Revenue beat(4)1
Avg Revenue beat(4)-6.25%
Min Revenue beat(4)-12.08%
Max Revenue beat(4)0.4%
Revenue beat(8)5
Avg Revenue beat(8)0.46%
Revenue beat(12)5
Avg Revenue beat(12)-1.47%
Revenue beat(16)7
Avg Revenue beat(16)-0.93%
PT rev (1m)-2.32%
PT rev (3m)-5.93%
EPS NQ rev (1m)-17.92%
EPS NQ rev (3m)-17.92%
EPS NY rev (1m)-10.43%
EPS NY rev (3m)-16.61%
Revenue NQ rev (1m)-2.54%
Revenue NQ rev (3m)-2.54%
Revenue NY rev (1m)-3.09%
Revenue NY rev (3m)-4.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.75 | ||
| Fwd PE | 10.3 | ||
| P/S | 0.67 | ||
| P/FCF | 25.37 | ||
| P/OCF | 4.73 | ||
| P/B | 0.65 | ||
| P/tB | 0.72 | ||
| EV/EBITDA | 5.88 |
EPS(TTM)2.24
EY9.31%
EPS(NY)2.34
Fwd EY9.71%
FCF(TTM)0.95
FCFY3.94%
OCF(TTM)5.09
OCFY21.16%
SpS36.07
BVpS37.17
TBVpS33.66
PEG (NY)N/A
PEG (5Y)0.98
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.59% | ||
| ROE | 3.14% | ||
| ROCE | 4.19% | ||
| ROIC | 3.23% | ||
| ROICexc | 3.28% | ||
| ROICexgc | 3.48% | ||
| OM | 6.98% | ||
| PM (TTM) | 3.24% | ||
| GM | 15.45% | ||
| FCFM | 2.63% |
ROA(3y)9.26%
ROA(5y)5.12%
ROE(3y)18.19%
ROE(5y)9.98%
ROIC(3y)14.26%
ROIC(5y)9.72%
ROICexc(3y)14.83%
ROICexc(5y)10.09%
ROICexgc(3y)15.86%
ROICexgc(5y)10.81%
ROCE(3y)18.07%
ROCE(5y)12.29%
ROICexcg growth 3Y27.5%
ROICexcg growth 5Y6.19%
ROICexc growth 3Y28.13%
ROICexc growth 5Y7.18%
OM growth 3Y16.82%
OM growth 5Y2.51%
PM growth 3Y3.5%
PM growth 5Y11.65%
GM growth 3Y9.58%
GM growth 5Y0.65%
F-Score5
Asset Turnover0.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 13.49 | ||
| Debt/EBITDA | 2.19 | ||
| Cap/Depr | 131.51% | ||
| Cap/Sales | 11.49% | ||
| Interest Coverage | 4.2 | ||
| Cash Conversion | 89.83% | ||
| Profit Quality | 81.2% | ||
| Current Ratio | 1.19 | ||
| Quick Ratio | 0.49 | ||
| Altman-Z | 1.88 |
F-Score5
WACC7.41%
ROIC/WACC0.44
Cap/Depr(3y)146.02%
Cap/Depr(5y)144.06%
Cap/Sales(3y)9.06%
Cap/Sales(5y)10.99%
Profit Quality(3y)72.12%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-51.3%
EPS 3Y61.34%
EPS 5Y10.99%
EPS Q2Q%-50%
EPS Next Y-39.42%
EPS Next 2Y-19.1%
EPS Next 3Y-15.43%
EPS Next 5Y4.62%
Revenue 1Y (TTM)-23.77%
Revenue growth 3Y16.41%
Revenue growth 5Y7.39%
Sales Q2Q%-20.78%
Revenue Next Year-18.12%
Revenue Next 2Y-7.59%
Revenue Next 3Y-5.18%
Revenue Next 5Y-2.29%
EBIT growth 1Y-56.54%
EBIT growth 3Y35.99%
EBIT growth 5Y10.09%
EBIT Next Year26.63%
EBIT Next 3Y7.75%
EBIT Next 5Y11.05%
FCF growth 1Y-85.92%
FCF growth 3Y34.6%
FCF growth 5Y17.15%
OCF growth 1Y-52.56%
OCF growth 3Y15%
OCF growth 5Y11.29%