LVMH MOET HENNESSY LOUIS VUI (MC.PA)

FR0000121014 - Common Stock

750  -2.8 (-0.37%)

Fundamental Rating

5

Taking everything into account, MC scores 5 out of 10 in our fundamental rating. MC was compared to 43 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.



8

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.
In the past 5 years MC has always been profitable.
Each year in the past 5 years MC had a positive operating cash flow.

1.2 Ratios

Looking at the Return On Assets, with a value of 10.56%, MC is in the better half of the industry, outperforming 76.19% of the companies in the same industry.
MC has a Return On Equity of 24.87%. This is in the better half of the industry: MC outperforms 73.81% of its industry peers.
MC has a better Return On Invested Capital (14.17%) than 69.05% of its industry peers.
The Average Return On Invested Capital over the past 3 years for MC is in line with the industry average of 11.52%.
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 RankSector 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's Profit Margin of 17.61% is amongst the best of the industry. MC outperforms 85.71% of its industry peers.
In the last couple of years the Profit Margin of MC has grown nicely.
MC has a better Operating Margin (26.44%) than 88.10% of its industry peers.
MC's Operating Margin has improved in the last couple of years.
MC has a better Gross Margin (68.80%) than 66.67% of its industry peers.
In the last couple of years the Gross Margin of MC has remained more or less at the same level.
Industry RankSector 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%

5

2. Health

2.1 Basic Checks

MC has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
MC has less shares outstanding than it did 1 year ago.
MC has less shares outstanding than it did 5 years ago.
The debt/assets ratio for MC is higher compared to a year ago.

2.2 Solvency

An Altman-Z score of 4.51 indicates that MC is not in any danger for bankruptcy at the moment.
MC has a better Altman-Z score (4.51) than 76.19% 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.
Looking at the Debt to FCF ratio, with a value of 3.63, MC is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
MC has a Debt/Equity ratio of 0.54. This is a neutral value indicating MC is somewhat dependend on debt financing.
MC's Debt to Equity ratio of 0.54 is in line compared to the rest of the industry. MC outperforms 54.76% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.54
Debt/FCF 3.63
Altman-Z 4.51
ROIC/WACC2
WACC7.07%

2.3 Liquidity

MC has a Current Ratio of 1.32. This is a normal value and indicates that MC is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.32, MC is doing worse than 69.05% 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 76.19% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.32
Quick Ratio 0.63

5

3. Growth

3.1 Past

The Earnings Per Share has grown by an nice 8.21% over the past year.
The Earnings Per Share has been growing by 19.19% on average over the past years. This is quite good.
Looking at the last year, MC shows a quite strong growth in Revenue. The Revenue has grown by 8.80% in the last year.
MC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.97% yearly.
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 8.97% yearly.
Based on estimates for the next years, MC will show a small growth in Revenue. The Revenue will grow by 6.90% on average per year.
EPS Next Y9.56%
EPS Next 2Y9.87%
EPS Next 3Y9.72%
EPS Next 5Y8.97%
Revenue Next Year4.84%
Revenue Next 2Y6.23%
Revenue Next 3Y6.66%
Revenue Next 5Y6.9%

3.3 Evolution

The EPS growth rate is decreasing: in the next years the growth will be less 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.

2

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 24.73 indicates a rather expensive valuation of MC.
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 28.24, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 22.57 indicates a rather expensive valuation of MC.
MC's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. MC is cheaper than 61.90% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 19.93, MC is valued at the same level.
Industry RankSector Rank
PE 24.73
Fwd PE 22.57

4.2 Price Multiples

Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MC indicates a slightly more expensive valuation: MC is more expensive than 64.29% of the companies listed in the same industry.
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 71.43% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 35.23
EV/EBITDA 13.04

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)2.59
PEG (5Y)1.29
EPS Next 2Y9.87%
EPS Next 3Y9.72%

4

5. Dividend

5.1 Amount

MC has a Yearly Dividend Yield of 1.65%. Purely for dividend investing, there may be better candidates out there.
MC's Dividend Yield is a higher than the industry average which is at 2.83.
MC's Dividend Yield is slightly below the S&P500 average, which is at 2.32.
Industry RankSector Rank
Dividend Yield 1.65%

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.
The dividend of MC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP43.67%
EPS Next 2Y9.87%
EPS Next 3Y9.72%

LVMH MOET HENNESSY LOUIS VUI

EPA:MC (5/24/2024, 7:00:00 PM)

750

-2.8 (-0.37%)

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 Cap373.21B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield 1.65%
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(16)
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Revenue beat(2)
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Revenue beat(8)
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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 RankSector Rank
PE 24.73
Fwd PE 22.57
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)2.59
PEG (5Y)1.29
Profitability
Industry RankSector 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 RankSector 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 Y9.56%
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