LVMH MOET HENNESSY LOUIS VUI (MC.PA)
FR0000121014 - Common Stock
Taking everything into account, MC scores 5 out of 10 in our fundamental rating. MC was compared to 39 industry peers in the Textiles, Apparel & Luxury Goods industry. While MC has a great profitability rating, 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
MC had positive earnings in the past year.
In the past year MC had a positive cash flow from operations.
Each year in the past 5 years MC has been profitable.
MC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
MC's Return On Assets of 10.56% is fine compared to the rest of the industry. MC outperforms 76.32% of its industry peers.
The Return On Equity of MC (24.87%) is better than 71.05% of its industry peers.
MC has a Return On Invested Capital of 14.17%. This is in the better half of the industry: MC outperforms 68.42% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MC is in line with the industry average of 11.62%.
The last Return On Invested Capital (14.17%) for MC is above the 3 year average (13.50%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.56% | ||
| ROE | 24.87% | ||
| ROIC | 14.17% |
ROA(3y)10.21%
ROA(5y)8.48%
ROE(3y)25.32%
ROE(5y)21.63%
ROIC(3y)13.5%
ROIC(5y)11.53%
1.3 Margins
MC has a Profit Margin of 17.61%. This is amongst the best in the industry. MC outperforms 84.21% of its industry peers.
In the last couple of years the Profit Margin of MC has grown nicely.
MC has a Operating Margin of 26.44%. This is amongst the best in the industry. MC outperforms 86.84% of its industry peers.
In the last couple of years the Operating Margin of MC has grown nicely.
The Gross Margin of MC (68.80%) is better than 65.79% of its industry peers.
MC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.44% | ||
| PM (TTM) | 17.61% | ||
| GM | 68.8% |
OM growth 3Y12.41%
OM growth 5Y4.4%
PM growth 3Y18.7%
PM growth 5Y5.35%
GM growth 3Y2.2%
GM growth 5Y0.64%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), MC is creating value.
The number of shares outstanding for MC has been reduced compared to 1 year ago.
MC has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, MC has a worse debt to assets ratio.
2.2 Solvency
MC has an Altman-Z score of 4.15. This indicates that MC is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of MC (4.15) is better than 71.05% of its industry peers.
The Debt to FCF ratio of MC is 3.63, which is a good value as it means it would take MC, 3.63 years of fcf income to pay off all of its debts.
MC's Debt to FCF ratio of 3.63 is fine compared to the rest of the industry. MC outperforms 65.79% of its industry peers.
A Debt/Equity ratio of 0.54 indicates that MC is somewhat dependend on debt financing.
With a decent Debt to Equity ratio value of 0.54, MC is doing good in the industry, outperforming 60.53% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | 3.63 | ||
| Altman-Z | 4.15 |
ROIC/WACC1.98
WACC7.16%
2.3 Liquidity
A Current Ratio of 1.32 indicates that MC should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.32, MC is doing worse than 71.05% of the companies in the same industry.
MC has a Quick Ratio of 1.32. This is a bad value and indicates that MC is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.63, MC is doing worse than 76.32% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.63 |
3. Growth
3.1 Past
MC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.21%, which is quite good.
Measured over the past years, MC shows a quite strong growth in Earnings Per Share. The EPS has been growing by 19.19% on average per year.
MC shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.80%.
Measured over the past years, MC shows a quite strong growth in Revenue. The Revenue has been growing by 12.97% on average per year.
EPS 1Y (TTM)8.21%
EPS 3Y48.19%
EPS 5Y19.19%
EPS Q2Q%-10.9%
Revenue 1Y (TTM)8.8%
Revenue growth 3Y24.49%
Revenue growth 5Y12.97%
Sales Q2Q%3.43%
3.2 Future
MC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.08% yearly.
The Revenue is expected to grow by 6.94% on average over the next years.
EPS Next Y8.17%
EPS Next 2Y9.27%
EPS Next 3Y9.43%
EPS Next 5Y9.08%
Revenue Next Year4.98%
Revenue Next 2Y6.11%
Revenue Next 3Y6.57%
Revenue Next 5Y6.94%
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 decreasing.
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
With a Price/Earnings ratio of 21.86, MC is valued on the expensive side.
The rest of the industry has a similar Price/Earnings ratio as MC.
MC is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 24.41, which is the current average of the S&P500 Index.
MC is valuated rather expensively with a Price/Forward Earnings ratio of 20.21.
MC's Price/Forward Earnings is on the same level as the industry average.
MC's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 20.59.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.86 | ||
| Fwd PE | 20.21 |
4.2 Price Multiples
MC's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MC indicates a slightly more expensive valuation: MC is more expensive than 78.95% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.15 | ||
| EV/EBITDA | 11.38 |
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)2.67
PEG (5Y)1.14
EPS Next 2Y9.27%
EPS Next 3Y9.43%
5. Dividend
5.1 Amount
MC has a Yearly Dividend Yield of 1.88%.
MC's Dividend Yield is comparable with the industry average which is at 3.03.
MC's Dividend Yield is comparable with the S&P500 average which is at 2.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.88% |
5.2 History
On average, the dividend of MC grows each year by 19.66%, which is quite nice.
Dividend Growth(5Y)19.66%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
43.67% of the earnings are spent on dividend by MC. This is a bit on the high side, but may be sustainable.
MC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP43.67%
EPS Next 2Y9.27%
EPS Next 3Y9.43%
LVMH MOET HENNESSY LOUIS VUI
EPA:MC (7/26/2024, 7:00:00 PM)
663.1
+10.5 (+1.61%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap329.96B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.88% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
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Revenue beat(2)
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Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.86 | ||
| Fwd PE | 20.21 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)2.67
PEG (5Y)1.14
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.56% | ||
| ROE | 24.87% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 26.44% | ||
| PM (TTM) | 17.61% | ||
| GM | 68.8% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.63 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)8.21%
EPS 3Y48.19%
EPS 5Y
EPS Q2Q%
EPS Next Y8.17%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)8.8%
Revenue growth 3Y24.49%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y