LVMH MOET HENNESSY LOUIS VUI (MC.PA) Stock Fundamental Analysis
EPA:MC - Euronext Paris - Matif - FR0000121014 - Common Stock - Currency: EUR
MC gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 45 industry peers in the Textiles, Apparel & Luxury Goods industry. MC scores excellent on profitability, but there are some minor concerns on its financial health. MC is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year MC was profitable.
In the past year MC had a positive cash flow from operations.
In the past 5 years MC has always been profitable.
MC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
MC has a better Return On Assets (8.41%) than 80.00% of its industry peers.
With a decent Return On Equity value of 18.59%, MC is doing good in the industry, outperforming 77.78% of the companies in the same industry.
The Return On Invested Capital of MC (11.52%) is better than 73.33% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MC is above the industry average of 10.46%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.41% | ||
| ROE | 18.59% | ||
| ROIC | 11.52% |
ROA(3y)9.81%
ROA(5y)8.67%
ROE(3y)23%
ROE(5y)21.42%
ROIC(3y)13.1%
ROIC(5y)11.61%
1.3 Margins
MC has a Profit Margin of 14.82%. This is amongst the best in the industry. MC outperforms 86.67% of its industry peers.
MC's Profit Margin has improved in the last couple of years.
MC has a Operating Margin of 23.12%. This is amongst the best in the industry. MC outperforms 88.89% of its industry peers.
MC's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 67.03%, MC is doing good in the industry, outperforming 68.89% of the companies in the same industry.
In the last couple of years the Gross Margin of MC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.12% | ||
| PM (TTM) | 14.82% | ||
| GM | 67.03% |
OM growth 3Y-4.64%
OM growth 5Y1.76%
PM growth 3Y-7.53%
PM growth 5Y2.09%
GM growth 3Y-0.62%
GM growth 5Y0.24%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so MC is creating value.
The number of shares outstanding for MC remains at a similar level compared to 1 year ago.
MC has less shares outstanding than it did 5 years ago.
MC has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.57 indicates that MC is not in any danger for bankruptcy at the moment.
MC has a Altman-Z score of 3.57. This is in the better half of the industry: MC outperforms 64.44% of its industry peers.
MC has a debt to FCF ratio of 3.05. This is a good value and a sign of high solvency as MC would need 3.05 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 3.05, MC is doing good in the industry, outperforming 75.56% of the companies in the same industry.
MC has a Debt/Equity ratio of 0.52. This is a neutral value indicating MC is somewhat dependend on debt financing.
MC's Debt to Equity ratio of 0.52 is in line compared to the rest of the industry. MC outperforms 55.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 3.05 | ||
| Altman-Z | 3.57 |
ROIC/WACC1.62
WACC7.1%
2.3 Liquidity
A Current Ratio of 1.41 indicates that MC should not have too much problems paying its short term obligations.
MC has a Current ratio (1.41) which is in line with its industry peers.
MC has a Quick Ratio of 1.41. This is a bad value and indicates that MC is not financially healthy enough and could expect problems in meeting its short term obligations.
MC's Quick ratio of 0.71 is on the low side compared to the rest of the industry. MC is outperformed by 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.41 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
MC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -17.18%.
MC shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.04% yearly.
MC shows a decrease in Revenue. In the last year, the revenue decreased by -1.71%.
MC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.55% yearly.
EPS 1Y (TTM)-17.18%
EPS 3Y1.69%
EPS 5Y12.04%
EPS Q2Q%-21.04%
Revenue 1Y (TTM)-1.71%
Revenue growth 3Y9.66%
Revenue growth 5Y9.55%
Sales Q2Q%-2.07%
3.2 Future
The Earnings Per Share is expected to grow by 14.17% on average over the next years. This is quite good.
The Revenue is expected to grow by 4.92% on average over the next years.
EPS Next Y1.99%
EPS Next 2Y7.75%
EPS Next 3Y8.64%
EPS Next 5Y14.17%
Revenue Next Year-0.23%
Revenue Next 2Y2.44%
Revenue Next 3Y3.58%
Revenue Next 5Y4.92%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 19.38 indicates a rather expensive valuation of MC.
MC's Price/Earnings ratio is a bit cheaper when compared to the industry. MC is cheaper than 62.22% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.03. MC is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 19.00, which indicates a rather expensive current valuation of MC.
Based on the Price/Forward Earnings ratio, MC is valued a bit cheaper than 64.44% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 21.94. MC is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.38 | ||
| Fwd PE | 19 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MC is on the same level as its industry peers.
60.00% of the companies in the same industry are cheaper than MC, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.21 | ||
| EV/EBITDA | 9.78 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates MC does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of MC may justify a higher PE ratio.
PEG (NY)9.76
PEG (5Y)1.61
EPS Next 2Y7.75%
EPS Next 3Y8.64%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.56%, MC has a reasonable but not impressive dividend return.
In the last 3 months the price of MC has falen by -29.72%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 3.31, MC has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.36, MC has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.56% |
5.2 History
On average, the dividend of MC grows each year by 15.93%, which is quite nice.
Dividend Growth(5Y)15.93%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
MC pays out 53.79% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of MC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP53.79%
EPS Next 2Y7.75%
EPS Next 3Y8.64%
EPA:MC (5/22/2025, 9:00:20 AM)
486.8
-6.85 (-1.39%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners18.84%
Inst Owner ChangeN/A
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap243.47B
Analysts76
Price Target633.55 (30.15%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.56% |
Yearly Dividend13.52
Dividend Growth(5Y)15.93%
DP53.79%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
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)-15.69%
PT rev (3m)-13.58%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-13.74%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-6.13%
Revenue NY rev (3m)-4.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.38 | ||
| Fwd PE | 19 | ||
| P/S | 2.88 | ||
| P/FCF | 18.21 | ||
| P/OCF | 12.87 | ||
| P/B | 3.61 | ||
| P/tB | 11.8 | ||
| EV/EBITDA | 9.78 |
EPS(TTM)25.12
EY5.16%
EPS(NY)25.62
Fwd EY5.26%
FCF(TTM)26.74
FCFY5.49%
OCF(TTM)37.84
OCFY7.77%
SpS169.32
BVpS135
TBVpS41.26
PEG (NY)9.76
PEG (5Y)1.61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.41% | ||
| ROE | 18.59% | ||
| ROCE | 16.95% | ||
| ROIC | 11.52% | ||
| ROICexc | 12.95% | ||
| ROICexgc | 22.58% | ||
| OM | 23.12% | ||
| PM (TTM) | 14.82% | ||
| GM | 67.03% | ||
| FCFM | 15.79% |
ROA(3y)9.81%
ROA(5y)8.67%
ROE(3y)23%
ROE(5y)21.42%
ROIC(3y)13.1%
ROIC(5y)11.61%
ROICexc(3y)14.57%
ROICexc(5y)13.15%
ROICexgc(3y)27.51%
ROICexgc(5y)25.78%
ROCE(3y)19.31%
ROCE(5y)17.1%
ROICexcg growth 3Y-9.7%
ROICexcg growth 5Y1.46%
ROICexc growth 3Y-1.68%
ROICexc growth 5Y2.71%
OM growth 3Y-4.64%
OM growth 5Y1.76%
PM growth 3Y-7.53%
PM growth 5Y2.09%
GM growth 3Y-0.62%
GM growth 5Y0.24%
F-Score5
Asset Turnover0.57
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 3.05 | ||
| Debt/EBITDA | 1.28 | ||
| Cap/Depr | 71.22% | ||
| Cap/Sales | 6.56% | ||
| Interest Coverage | 23.31 | ||
| Cash Conversion | 69.13% | ||
| Profit Quality | 106.55% | ||
| Current Ratio | 1.41 | ||
| Quick Ratio | 0.71 | ||
| Altman-Z | 3.57 |
F-Score5
WACC7.1%
ROIC/WACC1.62
Cap/Depr(3y)87.21%
Cap/Depr(5y)69.61%
Cap/Sales(3y)7.35%
Cap/Sales(5y)6.34%
Profit Quality(3y)88.97%
Profit Quality(5y)115.81%
High Growth Momentum
Growth
EPS 1Y (TTM)-17.18%
EPS 3Y1.69%
EPS 5Y12.04%
EPS Q2Q%-21.04%
EPS Next Y1.99%
EPS Next 2Y7.75%
EPS Next 3Y8.64%
EPS Next 5Y14.17%
Revenue 1Y (TTM)-1.71%
Revenue growth 3Y9.66%
Revenue growth 5Y9.55%
Sales Q2Q%-2.07%
Revenue Next Year-0.23%
Revenue Next 2Y2.44%
Revenue Next 3Y3.58%
Revenue Next 5Y4.92%
EBIT growth 1Y-14.06%
EBIT growth 3Y4.57%
EBIT growth 5Y11.48%
EBIT Next Year31.58%
EBIT Next 3Y15.68%
EBIT Next 5Y14.47%
FCF growth 1Y26.23%
FCF growth 3Y-5.77%
FCF growth 5Y10.11%
OCF growth 1Y2.85%
OCF growth 3Y0.49%
OCF growth 5Y10.19%