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 43 industry peers in the Textiles, Apparel & Luxury Goods industry. While MC belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. MC has a decent growth rate and is not valued too expensively.
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.
Each year in the past 5 years MC has been profitable.
Each year in the past 5 years MC had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 8.41%, MC is doing good in the industry, outperforming 76.74% of the companies in the same industry.
The Return On Equity of MC (18.59%) is better than 69.77% of its industry peers.
MC's Return On Invested Capital of 11.52% is fine compared to the rest of the industry. MC outperforms 67.44% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MC is above the industry average of 10.38%.
| 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
Looking at the Profit Margin, with a value of 14.82%, MC belongs to the top of the industry, outperforming 83.72% of the companies in the same industry.
MC's Profit Margin has improved in the last couple of years.
MC's Operating Margin of 23.12% is amongst the best of the industry. MC outperforms 86.05% 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 65.12% of the companies in the same industry.
MC's Gross Margin has been stable in the last couple of years.
| 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
MC has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
MC has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for MC has been reduced compared to 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 3.51. This indicates that MC is financially healthy and has little risk of bankruptcy at the moment.
MC has a Altman-Z score of 3.51. This is in the better half of the industry: MC outperforms 69.77% 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 69.77% of the companies in the same industry.
A Debt/Equity ratio of 0.52 indicates that 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 53.49% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 3.05 | ||
| Altman-Z | 3.51 |
ROIC/WACC1.51
WACC7.63%
2.3 Liquidity
MC has a Current Ratio of 1.41. This is a normal value and indicates that MC is financially healthy and should not expect problems in meeting its short term obligations.
MC has a Current ratio (1.41) which is in line with its industry peers.
A Quick Ratio of 0.71 indicates that MC may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.71, MC is doing worse than 65.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.41 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
The earnings per share for MC have decreased strongly by -17.18% in the last year.
Measured over the past years, MC shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.04% on average per year.
MC shows a decrease in Revenue. In the last year, the revenue decreased by -1.71%.
The Revenue has been growing by 9.55% on average over the past years. This is quite good.
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 11.27% on average over the next years. This is quite good.
Based on estimates for the next years, MC will show a small growth in Revenue. The Revenue will grow by 3.65% on average per year.
EPS Next Y1.99%
EPS Next 2Y7.75%
EPS Next 3Y8.64%
EPS Next 5Y11.27%
Revenue Next Year-0.23%
Revenue Next 2Y2.44%
Revenue Next 3Y3.58%
Revenue Next 5Y3.65%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 19.45, which indicates a rather expensive current valuation of MC.
Based on the Price/Earnings ratio, MC is valued a bit cheaper than 60.47% of the companies in the same industry.
When comparing the Price/Earnings ratio of MC to the average of the S&P500 Index (28.04), we can say MC is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 19.08, the valuation of MC can be described as rather expensive.
62.79% of the companies in the same industry are more expensive than MC, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 37.64, MC is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.45 | ||
| Fwd PE | 19.08 |
4.2 Price Multiples
MC's Enterprise Value to EBITDA is on the same level as the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as MC.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.28 | ||
| EV/EBITDA | 9.48 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
MC has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)9.8
PEG (5Y)1.62
EPS Next 2Y7.75%
EPS Next 3Y8.64%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.76%, MC has a reasonable but not impressive dividend return.
MC's Dividend Yield is a higher than the industry average which is at 3.27.
MC's Dividend Yield is comparable with the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.76% |
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
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 (7/25/2025, 7:00:00 PM)
488.7
+18.45 (+3.92%)
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 Cap244.42B
Analysts75.26
Price Target584.42 (19.59%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.76% |
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)-2.49%
PT rev (3m)-10.59%
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)0%
Revenue NY rev (3m)-0.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.45 | ||
| Fwd PE | 19.08 | ||
| P/S | 2.89 | ||
| P/FCF | 18.28 | ||
| P/OCF | 12.92 | ||
| P/B | 3.62 | ||
| P/tB | 11.84 | ||
| EV/EBITDA | 9.48 |
EPS(TTM)25.12
EY5.14%
EPS(NY)25.62
Fwd EY5.24%
FCF(TTM)26.74
FCFY5.47%
OCF(TTM)37.84
OCFY7.74%
SpS169.32
BVpS135
TBVpS41.26
PEG (NY)9.8
PEG (5Y)1.62
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 | 3.51 |
F-Score5
WACC7.63%
ROIC/WACC1.51
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 5Y11.27%
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 5Y3.65%
EBIT growth 1Y-14.06%
EBIT growth 3Y4.57%
EBIT growth 5Y11.48%
EBIT Next Year18.02%
EBIT Next 3Y12.04%
EBIT Next 5Y11.23%
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%