MERLIN PROPERTIES SOCIMI SA (MRL.LS) Stock Fundamental Analysis
Europe • Euronext Lisbon • ELI:MRL • ES0105025003
12.6 EUR
+0.06 (+0.48%)
Last: Jan 29, 2026, 07:00 PM
MRL gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 42 industry peers in the Diversified REITs industry. MRL scores excellent on profitability, but there are some minor concerns on its financial health. While showing a medium growth rate, MRL is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
- In the past year MRL was profitable.
- In the past year MRL had a positive cash flow from operations.
- MRL had positive earnings in 4 of the past 5 years.
- MRL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- MRL's Return On Assets of 4.96% is amongst the best of the industry. MRL outperforms 85.37% of its industry peers.
- With an excellent Return On Equity value of 8.42%, MRL belongs to the best of the industry, outperforming 80.49% of the companies in the same industry.
- MRL's Return On Invested Capital of 4.66% is amongst the best of the industry. MRL outperforms 85.37% of its industry peers.
- MRL had an Average Return On Invested Capital over the past 3 years of 1.58%. This is in line with the industry average of 3.37%.
- The last Return On Invested Capital (4.66%) for MRL is above the 3 year average (1.58%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.96% | ||
| ROE | 8.42% | ||
| ROIC | 4.66% |
ROA(3y)1.2%
ROA(5y)1.52%
ROE(3y)2.12%
ROE(5y)2.9%
ROIC(3y)1.58%
ROIC(5y)1.78%
1.3 Margins
- Looking at the Profit Margin, with a value of 129.18%, MRL belongs to the top of the industry, outperforming 97.56% of the companies in the same industry.
- In the last couple of years the Profit Margin of MRL has declined.
- The Operating Margin of MRL (150.20%) is better than 100.00% of its industry peers.
- MRL's Operating Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 150.2% | ||
| PM (TTM) | 129.18% | ||
| GM | N/A |
OM growth 3Y-1.09%
OM growth 5Y0.36%
PM growth 3Y-19.36%
PM growth 5Y-12.12%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MRL is destroying value.
- Compared to 1 year ago, MRL has more shares outstanding
- The number of shares outstanding for MRL has been increased compared to 5 years ago.
- MRL has a better debt/assets ratio than last year.
2.2 Solvency
- MRL has an Altman-Z score of 1.41. This is a bad value and indicates that MRL is not financially healthy and even has some risk of bankruptcy.
- MRL has a Altman-Z score of 1.41. This is amongst the best in the industry. MRL outperforms 90.24% of its industry peers.
- The Debt to FCF ratio of MRL is 14.59, which is on the high side as it means it would take MRL, 14.59 years of fcf income to pay off all of its debts.
- MRL has a Debt to FCF ratio (14.59) which is comparable to the rest of the industry.
- A Debt/Equity ratio of 0.55 indicates that MRL is somewhat dependend on debt financing.
- The Debt to Equity ratio of MRL (0.55) is better than 73.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 14.59 | ||
| Altman-Z | 1.41 |
ROIC/WACC0.84
WACC5.54%
2.3 Liquidity
- A Current Ratio of 3.53 indicates that MRL has no problem at all paying its short term obligations.
- The Current ratio of MRL (3.53) is better than 100.00% of its industry peers.
- A Quick Ratio of 3.33 indicates that MRL has no problem at all paying its short term obligations.
- MRL's Quick ratio of 3.33 is amongst the best of the industry. MRL outperforms 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.53 | ||
| Quick Ratio | 3.33 |
3. Growth
3.1 Past
- The earnings per share for MRL have decreased strongly by -42.92% in the last year.
- MRL shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -14.33% yearly.
- MRL shows a small growth in Revenue. In the last year, the Revenue has grown by 7.93%.
- The Revenue has been decreasing by -0.78% on average over the past years.
EPS 1Y (TTM)-42.92%
EPS 3Y-19.91%
EPS 5Y-14.33%
EPS Q2Q%0%
Revenue 1Y (TTM)7.93%
Revenue growth 3Y1.87%
Revenue growth 5Y-0.78%
Sales Q2Q%16.75%
3.2 Future
- MRL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.09% yearly.
- Based on estimates for the next years, MRL will show a quite strong growth in Revenue. The Revenue will grow by 15.47% on average per year.
EPS Next Y-0.58%
EPS Next 2Y1.24%
EPS Next 3Y3.67%
EPS Next 5Y9.09%
Revenue Next Year9.75%
Revenue Next 2Y8.81%
Revenue Next 3Y9.99%
Revenue Next 5Y15.47%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 22.50 indicates a rather expensive valuation of MRL.
- Compared to the rest of the industry, the Price/Earnings ratio of MRL is on the same level as its industry peers.
- MRL's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.32.
- The Price/Forward Earnings ratio is 21.95, which indicates a rather expensive current valuation of MRL.
- Based on the Price/Forward Earnings ratio, MRL is valued a bit more expensive than 78.05% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.57. MRL is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.5 | ||
| Fwd PE | 21.95 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, MRL is valued cheaper than 82.93% of the companies in the same industry.
- MRL's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. MRL is more expensive than 75.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.36 | ||
| EV/EBITDA | 13.74 |
4.3 Compensation for Growth
- MRL has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y1.24%
EPS Next 3Y3.67%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.43%, MRL has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 5.30, MRL's dividend is way lower than its industry peers. On top of this 85.37% of the companies listed in the same industry pay a better dividend than MRL!
- MRL's Dividend Yield is slightly below the S&P500 average, which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.43% |
5.2 History
- On average, the dividend of MRL grows each year by 8.36%, which is quite nice.
Dividend Growth(5Y)8.36%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 16.88% of the earnings are spent on dividend by MRL. This is a low number and sustainable payout ratio.
- The dividend of MRL is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP16.88%
EPS Next 2Y1.24%
EPS Next 3Y3.67%
MERLIN PROPERTIES SOCIMI SA / MRL.LS FAQ
What is the ChartMill fundamental rating of MERLIN PROPERTIES SOCIMI SA (MRL.LS) stock?
ChartMill assigns a fundamental rating of 5 / 10 to MRL.LS.
Can you provide the valuation status for MERLIN PROPERTIES SOCIMI SA?
ChartMill assigns a valuation rating of 2 / 10 to MERLIN PROPERTIES SOCIMI SA (MRL.LS). This can be considered as Overvalued.
What is the profitability of MRL stock?
MERLIN PROPERTIES SOCIMI SA (MRL.LS) has a profitability rating of 7 / 10.
What is the financial health of MERLIN PROPERTIES SOCIMI SA (MRL.LS) stock?
The financial health rating of MERLIN PROPERTIES SOCIMI SA (MRL.LS) is 5 / 10.
What is the expected EPS growth for MERLIN PROPERTIES SOCIMI SA (MRL.LS) stock?
The Earnings per Share (EPS) of MERLIN PROPERTIES SOCIMI SA (MRL.LS) is expected to decline by -0.58% in the next year.