LVMH MOET HENNESSY LOUIS VUI (MC.PA) Stock Fundamental Analysis
EPA:MC - Euronext Paris - Matif - FR0000121014 - Common Stock - Currency: EUR
We assign a fundamental rating of 5 out of 10 to MC. MC was compared to 50 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 quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
MC had positive earnings in the past year.
MC had a positive operating cash flow in the past year.
MC had positive earnings in each of the past 5 years.
In the past 5 years MC always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 7.76%, MC is doing good in the industry, outperforming 76.00% of the companies in the same industry.
MC has a better Return On Equity (16.82%) than 62.00% of its industry peers.
MC has a Return On Invested Capital of 11.02%. This is in the better half of the industry: MC outperforms 64.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MC is above the industry average of 10.51%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.76% | ||
| ROE | 16.82% | ||
| ROIC | 11.02% |
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 better Profit Margin (13.26%) than 80.00% of its industry peers.
MC's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 21.63%, MC belongs to the best of the industry, outperforming 84.00% of the companies in the same industry.
MC's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 66.03%, MC is in the better half of the industry, outperforming 64.00% 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 | 21.63% | ||
| PM (TTM) | 13.26% | ||
| GM | 66.03% |
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
MC has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, MC has about the same amount of shares outstanding.
MC has less shares outstanding than it did 5 years ago.
MC has a worse debt/assets ratio than last year.
2.2 Solvency
MC has an Altman-Z score of 3.65. This indicates that MC is financially healthy and has little risk of bankruptcy at the moment.
MC has a better Altman-Z score (3.65) than 70.00% of its industry peers.
The Debt to FCF ratio of MC is 2.72, which is a good value as it means it would take MC, 2.72 years of fcf income to pay off all of its debts.
MC's Debt to FCF ratio of 2.72 is fine compared to the rest of the industry. MC outperforms 70.00% of its industry peers.
A Debt/Equity ratio of 0.51 indicates that MC is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.51, MC perfoms like the industry average, outperforming 58.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 2.72 | ||
| Altman-Z | 3.65 |
ROIC/WACC1.48
WACC7.46%
2.3 Liquidity
MC has a Current Ratio of 1.48. This is a normal value and indicates that MC is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of MC (1.48) is comparable to the rest of the industry.
A Quick Ratio of 0.72 indicates that MC may have some problems paying its short term obligations.
MC has a Quick ratio of 0.72. This is in the lower half of the industry: MC underperforms 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.48 | ||
| Quick Ratio | 0.72 |
3. Growth
3.1 Past
MC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -21.26%.
MC shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.04% yearly.
Looking at the last year, MC shows a decrease in Revenue. The Revenue has decreased by -3.24% in the last year.
Measured over the past years, MC shows a quite strong growth in Revenue. The Revenue has been growing by 9.55% on average per year.
EPS 1Y (TTM)-21.26%
EPS 3Y1.69%
EPS 5Y12.04%
EPS Q2Q%-21.46%
Revenue 1Y (TTM)-3.24%
Revenue growth 3Y9.66%
Revenue growth 5Y9.55%
Sales Q2Q%-4.48%
3.2 Future
Based on estimates for the next years, MC will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.91% on average per year.
MC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.62% yearly.
EPS Next Y1.99%
EPS Next 2Y7.75%
EPS Next 3Y8.64%
EPS Next 5Y11.91%
Revenue Next Year-4.09%
Revenue Next 2Y-0.35%
Revenue Next 3Y1.65%
Revenue Next 5Y3.62%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 21.64, which indicates a rather expensive current valuation of MC.
Compared to the rest of the industry, the Price/Earnings ratio of MC is on the same level as its industry peers.
When comparing the Price/Earnings ratio of MC to the average of the S&P500 Index (26.87), we can say MC is valued inline with the index average.
A Price/Forward Earnings ratio of 16.33 indicates a correct valuation of MC.
MC's Price/Forward Earnings is on the same level as the industry average.
MC's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 35.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.64 | ||
| Fwd PE | 16.33 |
4.2 Price Multiples
MC's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MC is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.54 | ||
| EV/EBITDA | 9.79 |
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 decent profitability rating of MC may justify a higher PE ratio.
PEG (NY)10.9
PEG (5Y)1.8
EPS Next 2Y7.75%
EPS Next 3Y8.64%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.75%, MC has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.40, MC pays a bit more dividend than its industry peers.
MC's Dividend Yield is comparable with the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.75% |
5.2 History
The dividend of MC is nicely growing with an annual growth rate of 15.93%!
Dividend Growth(5Y)15.93%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
61.30% of the earnings are spent on dividend by MC. This is not a sustainable payout ratio.
MC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP61.3%
EPS Next 2Y7.75%
EPS Next 3Y8.64%
EPA:MC (8/15/2025, 7:00:00 PM)
476.1
+3.2 (+0.68%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners18.24%
Inst Owner ChangeN/A
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap238.12B
Analysts75.26
Price Target573.35 (20.43%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.75% |
Yearly Dividend13.52
Dividend Growth(5Y)15.93%
DP61.3%
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)-4.34%
PT rev (3m)-9.5%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-3.87%
Revenue NY rev (3m)-3.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.64 | ||
| Fwd PE | 16.33 | ||
| P/S | 2.88 | ||
| P/FCF | 16.54 | ||
| P/OCF | 12.2 | ||
| P/B | 3.65 | ||
| P/tB | 11.02 | ||
| EV/EBITDA | 9.79 |
EPS(TTM)22
EY4.62%
EPS(NY)29.16
Fwd EY6.13%
FCF(TTM)28.78
FCFY6.05%
OCF(TTM)39.03
OCFY8.2%
SpS165.59
BVpS130.55
TBVpS43.21
PEG (NY)10.9
PEG (5Y)1.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.76% | ||
| ROE | 16.82% | ||
| ROCE | 16.12% | ||
| ROIC | 11.02% | ||
| ROICexc | 12.31% | ||
| ROICexgc | 20.97% | ||
| OM | 21.63% | ||
| PM (TTM) | 13.26% | ||
| GM | 66.03% | ||
| FCFM | 17.38% |
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 Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 2.72 | ||
| Debt/EBITDA | 1.29 | ||
| Cap/Depr | 63.94% | ||
| Cap/Sales | 6.19% | ||
| Interest Coverage | 22.56 | ||
| Cash Conversion | 75.29% | ||
| Profit Quality | 131.09% | ||
| Current Ratio | 1.48 | ||
| Quick Ratio | 0.72 | ||
| Altman-Z | 3.65 |
F-Score5
WACC7.46%
ROIC/WACC1.48
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)-21.26%
EPS 3Y1.69%
EPS 5Y12.04%
EPS Q2Q%-21.46%
EPS Next Y1.99%
EPS Next 2Y7.75%
EPS Next 3Y8.64%
EPS Next 5Y11.91%
Revenue 1Y (TTM)-3.24%
Revenue growth 3Y9.66%
Revenue growth 5Y9.55%
Sales Q2Q%-4.48%
Revenue Next Year-4.09%
Revenue Next 2Y-0.35%
Revenue Next 3Y1.65%
Revenue Next 5Y3.62%
EBIT growth 1Y-18.05%
EBIT growth 3Y4.57%
EBIT growth 5Y11.48%
EBIT Next Year18.02%
EBIT Next 3Y12.04%
EBIT Next 5Y11.23%
FCF growth 1Y38.41%
FCF growth 3Y-5.77%
FCF growth 5Y10.11%
OCF growth 1Y12.73%
OCF growth 3Y0.49%
OCF growth 5Y10.19%