MOTOROLA SOLUTIONS INC (1MSI.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1MSI - US6200763075 - Common Stock
319.8 EUR
-85.9 (-21.17%)
1MSI gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 31 industry peers in the Communications Equipment industry. 1MSI has an excellent profitability rating, but there are some minor concerns on its financial health. 1MSI is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year 1MSI was profitable.
In the past year 1MSI had a positive cash flow from operations.
Each year in the past 5 years 1MSI has been profitable.
In the past 5 years 1MSI always reported a positive cash flow from operatings.
1.2 Ratios
1MSI's Return On Assets of 12.89% is amongst the best of the industry. 1MSI outperforms 100.00% of its industry peers.
1MSI's Return On Equity of 107.52% is amongst the best of the industry. 1MSI outperforms 100.00% of its industry peers.
1MSI has a better Return On Invested Capital (18.65%) than 96.77% of its industry peers.
1MSI had an Average Return On Invested Capital over the past 3 years of 21.45%. This is significantly above the industry average of 11.02%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.89% | ||
| ROE | 107.52% | ||
| ROIC | 18.65% |
ROA(3y)11.42%
ROA(5y)10.64%
ROE(3y)501.22%
ROE(5y)N/A
ROIC(3y)21.45%
ROIC(5y)19.32%
1.3 Margins
With an excellent Profit Margin value of 19.07%, 1MSI belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Profit Margin of 1MSI has grown nicely.
1MSI's Operating Margin of 25.09% is amongst the best of the industry. 1MSI outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of 1MSI has grown nicely.
1MSI's Gross Margin of 51.33% is fine compared to the rest of the industry. 1MSI outperforms 67.74% of its industry peers.
1MSI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.09% | ||
| PM (TTM) | 19.07% | ||
| GM | 51.33% |
OM growth 3Y5.71%
OM growth 5Y3.73%
PM growth 3Y-1.46%
PM growth 5Y5.78%
GM growth 3Y1.01%
GM growth 5Y0.44%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 1MSI is creating value.
The number of shares outstanding for 1MSI has been increased compared to 1 year ago.
Compared to 5 years ago, 1MSI has less shares outstanding
Compared to 1 year ago, 1MSI has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.26 indicates that 1MSI is not in any danger for bankruptcy at the moment.
1MSI's Altman-Z score of 4.26 is fine compared to the rest of the industry. 1MSI outperforms 77.42% of its industry peers.
The Debt to FCF ratio of 1MSI is 3.24, which is a good value as it means it would take 1MSI, 3.24 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 3.24, 1MSI perfoms like the industry average, outperforming 58.06% of the companies in the same industry.
1MSI has a Debt/Equity ratio of 3.89. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 3.89, 1MSI is doing worse than 77.42% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.89 | ||
| Debt/FCF | 3.24 | ||
| Altman-Z | 4.26 |
ROIC/WACC2.02
WACC9.22%
2.3 Liquidity
1MSI has a Current Ratio of 1.73. This is a normal value and indicates that 1MSI is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.73, 1MSI perfoms like the industry average, outperforming 58.06% of the companies in the same industry.
1MSI has a Quick Ratio of 1.54. This is a normal value and indicates that 1MSI is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.54, 1MSI belongs to the top of the industry, outperforming 80.65% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.73 | ||
| Quick Ratio | 1.54 |
3. Growth
3.1 Past
1MSI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.58%, which is quite good.
Measured over the past years, 1MSI shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.71% on average per year.
The Revenue has been growing slightly by 6.45% in the past year.
1MSI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.52% yearly.
EPS 1Y (TTM)10.58%
EPS 3Y14.8%
EPS 5Y11.71%
EPS Q2Q%10.19%
Revenue 1Y (TTM)6.45%
Revenue growth 3Y9.8%
Revenue growth 5Y6.52%
Sales Q2Q%5.21%
3.2 Future
The Earnings Per Share is expected to grow by 10.04% on average over the next years. This is quite good.
1MSI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.86% yearly.
EPS Next Y9.12%
EPS Next 2Y8.44%
EPS Next 3Y9.77%
EPS Next 5Y10.04%
Revenue Next Year7.8%
Revenue Next 2Y7.72%
Revenue Next 3Y7.51%
Revenue Next 5Y6.86%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
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
With a Price/Earnings ratio of 25.69, 1MSI can be considered very expensive at the moment.
1MSI's Price/Earnings ratio is a bit cheaper when compared to the industry. 1MSI is cheaper than 67.74% of the companies in the same industry.
1MSI's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.00.
Based on the Price/Forward Earnings ratio of 22.96, the valuation of 1MSI can be described as rather expensive.
The rest of the industry has a similar Price/Forward Earnings ratio as 1MSI.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.70, 1MSI is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.69 | ||
| Fwd PE | 22.96 |
4.2 Price Multiples
1MSI's Enterprise Value to EBITDA is on the same level as the industry average.
1MSI's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.09 | ||
| EV/EBITDA | 21.38 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of 1MSI may justify a higher PE ratio.
PEG (NY)2.82
PEG (5Y)2.19
EPS Next 2Y8.44%
EPS Next 3Y9.77%
5. Dividend
5.1 Amount
With a yearly dividend of 0.89%, 1MSI is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.73, 1MSI has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 1.94, 1MSI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.89% |
5.2 History
The dividend of 1MSI is nicely growing with an annual growth rate of 11.64%!
Dividend Growth(5Y)11.64%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
1MSI pays out 32.70% of its income as dividend. This is a sustainable payout ratio.
The dividend of 1MSI is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP32.7%
EPS Next 2Y8.44%
EPS Next 3Y9.77%
BIT:1MSI (12/29/2025, 7:00:00 PM)
319.8
-85.9 (-21.17%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners87.72%
Inst Owner ChangeN/A
Ins Owners0.12%
Ins Owner ChangeN/A
Market Cap53.28B
Revenue(TTM)11.09B
Net Income(TTM)2.12B
Analysts81.11
Price Target426.8 (33.46%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.89% |
Yearly Dividend3.35
Dividend Growth(5Y)11.64%
DP32.7%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.07%
Min EPS beat(2)4.64%
Max EPS beat(2)5.5%
EPS beat(4)4
Avg EPS beat(4)5.71%
Min EPS beat(4)3%
Max EPS beat(4)9.69%
EPS beat(8)8
Avg EPS beat(8)6.32%
EPS beat(12)12
Avg EPS beat(12)5.78%
EPS beat(16)16
Avg EPS beat(16)6.01%
Revenue beat(2)1
Avg Revenue beat(2)-0.13%
Min Revenue beat(2)-0.51%
Max Revenue beat(2)0.25%
Revenue beat(4)2
Avg Revenue beat(4)-0.15%
Min Revenue beat(4)-0.51%
Max Revenue beat(4)0.25%
Revenue beat(8)6
Avg Revenue beat(8)0.16%
Revenue beat(12)10
Avg Revenue beat(12)0.88%
Revenue beat(16)13
Avg Revenue beat(16)1.03%
PT rev (1m)-12.04%
PT rev (3m)-12.04%
EPS NQ rev (1m)-0.97%
EPS NQ rev (3m)-0.97%
EPS NY rev (1m)1.81%
EPS NY rev (3m)1.81%
Revenue NQ rev (1m)1.07%
Revenue NQ rev (3m)1.07%
Revenue NY rev (1m)1.68%
Revenue NY rev (3m)1.68%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.69 | ||
| Fwd PE | 22.96 | ||
| P/S | 5.61 | ||
| P/FCF | 26.09 | ||
| P/OCF | 23.81 | ||
| P/B | 31.61 | ||
| P/tB | N/A | ||
| EV/EBITDA | 21.38 |
EPS(TTM)12.45
EY3.89%
EPS(NY)13.93
Fwd EY4.36%
FCF(TTM)12.26
FCFY3.83%
OCF(TTM)13.43
OCFY4.2%
SpS57.04
BVpS10.12
TBVpS-16.62
PEG (NY)2.82
PEG (5Y)2.19
Graham Number53.24
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.89% | ||
| ROE | 107.52% | ||
| ROCE | 23.3% | ||
| ROIC | 18.65% | ||
| ROICexc | 25.49% | ||
| ROICexgc | 62.93% | ||
| OM | 25.09% | ||
| PM (TTM) | 19.07% | ||
| GM | 51.33% | ||
| FCFM | 21.49% |
ROA(3y)11.42%
ROA(5y)10.64%
ROE(3y)501.22%
ROE(5y)N/A
ROIC(3y)21.45%
ROIC(5y)19.32%
ROICexc(3y)27.05%
ROICexc(5y)24.32%
ROICexgc(3y)98.23%
ROICexgc(5y)78.04%
ROCE(3y)26.79%
ROCE(5y)24.13%
ROICexgc growth 3Y14.88%
ROICexgc growth 5Y11.67%
ROICexc growth 3Y9.54%
ROICexc growth 5Y6.55%
OM growth 3Y5.71%
OM growth 5Y3.73%
PM growth 3Y-1.46%
PM growth 5Y5.78%
GM growth 3Y1.01%
GM growth 5Y0.44%
F-Score7
Asset Turnover0.68
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.89 | ||
| Debt/FCF | 3.24 | ||
| Debt/EBITDA | 2.45 | ||
| Cap/Depr | 67.66% | ||
| Cap/Sales | 2.06% | ||
| Interest Coverage | 9.91 | ||
| Cash Conversion | 83.69% | ||
| Profit Quality | 112.67% | ||
| Current Ratio | 1.73 | ||
| Quick Ratio | 1.54 | ||
| Altman-Z | 4.26 |
F-Score7
WACC9.22%
ROIC/WACC2.02
Cap/Depr(3y)68.58%
Cap/Depr(5y)62.85%
Cap/Sales(3y)2.57%
Cap/Sales(5y)2.72%
Profit Quality(3y)118.36%
Profit Quality(5y)126.04%
High Growth Momentum
Growth
EPS 1Y (TTM)10.58%
EPS 3Y14.8%
EPS 5Y11.71%
EPS Q2Q%10.19%
EPS Next Y9.12%
EPS Next 2Y8.44%
EPS Next 3Y9.77%
EPS Next 5Y10.04%
Revenue 1Y (TTM)6.45%
Revenue growth 3Y9.8%
Revenue growth 5Y6.52%
Sales Q2Q%5.21%
Revenue Next Year7.8%
Revenue Next 2Y7.72%
Revenue Next 3Y7.51%
Revenue Next 5Y6.86%
EBIT growth 1Y6.5%
EBIT growth 3Y16.07%
EBIT growth 5Y10.49%
EBIT Next Year19.26%
EBIT Next 3Y11.75%
EBIT Next 5Y9.24%
FCF growth 1Y59.36%
FCF growth 3Y10.21%
FCF growth 5Y6.26%
OCF growth 1Y49.6%
OCF growth 3Y9.18%
OCF growth 5Y5.57%
MOTOROLA SOLUTIONS INC / 1MSI.MI FAQ
Can you provide the ChartMill fundamental rating for MOTOROLA SOLUTIONS INC?
ChartMill assigns a fundamental rating of 6 / 10 to 1MSI.MI.
What is the valuation status for 1MSI stock?
ChartMill assigns a valuation rating of 3 / 10 to MOTOROLA SOLUTIONS INC (1MSI.MI). This can be considered as Overvalued.
Can you provide the profitability details for MOTOROLA SOLUTIONS INC?
MOTOROLA SOLUTIONS INC (1MSI.MI) has a profitability rating of 9 / 10.
What is the expected EPS growth for MOTOROLA SOLUTIONS INC (1MSI.MI) stock?
The Earnings per Share (EPS) of MOTOROLA SOLUTIONS INC (1MSI.MI) is expected to grow by 9.12% in the next year.
How sustainable is the dividend of MOTOROLA SOLUTIONS INC (1MSI.MI) stock?
The dividend rating of MOTOROLA SOLUTIONS INC (1MSI.MI) is 3 / 10 and the dividend payout ratio is 32.7%.