LVMH MOET HENNESSY LOUIS VUI (MC.PA)

FR0000121014 - Common Stock

833.7  +3.4 (+0.41%)

Fundamental Rating

5

Taking everything into account, MC scores 5 out of 10 in our fundamental rating. MC was compared to 41 industry peers in the Textiles, Apparel & Luxury Goods industry. MC has an excellent profitability rating, but there are some minor concerns on its financial health. While showing a medium growth rate, MC is valued expensive at the moment.



8

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

MC's Return On Assets of 10.56% is fine compared to the rest of the industry. MC outperforms 80.00% of its industry peers.
With a decent Return On Equity value of 24.87%, MC is doing good in the industry, outperforming 77.50% of the companies in the same industry.
The Return On Invested Capital of MC (14.17%) is better than 70.00% 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 12.32%.
The 3 year average ROIC (13.50%) for MC is below the current ROIC(14.17%), indicating increased profibility in the last year.
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

The Profit Margin of MC (17.61%) is better than 92.50% of its industry peers.
MC's Profit Margin has improved in the last couple of years.
MC has a Operating Margin of 26.44%. This is amongst the best in the industry. MC outperforms 92.50% of its industry peers.
In the last couple of years the Operating Margin of MC has grown nicely.
MC has a better Gross Margin (68.80%) than 67.50% 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.
The number of shares outstanding for MC has been reduced compared to 5 years ago.
MC has a worse debt/assets ratio than last year.

2.2 Solvency

MC has an Altman-Z score of 4.81. This indicates that MC is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 4.81, MC is doing good in the industry, outperforming 72.50% of the companies in the same industry.
MC has a debt to FCF ratio of 3.63. This is a good value and a sign of high solvency as MC would need 3.63 years to pay back of all of its debts.
MC has a better Debt to FCF ratio (3.63) than 62.50% of its industry peers.
A Debt/Equity ratio of 0.54 indicates that MC is somewhat dependend on debt financing.
MC has a Debt to Equity ratio (0.54) which is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity 0.54
Debt/FCF 3.63
Altman-Z 4.81
ROIC/WACC1.96
WACC7.22%

2.3 Liquidity

A Current Ratio of 1.32 indicates that MC should not have too much problems paying its short term obligations.
MC has a Current ratio of 1.32. This is in the lower half of the industry: MC underperforms 62.50% of its industry peers.
A Quick Ratio of 0.63 indicates that MC may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.63, MC is doing worse than 72.50% 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.
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.
Looking at the last year, MC shows a quite strong growth in Revenue. The Revenue has grown by 8.80% in the last year.
The Revenue has been growing by 12.97% on average over the past years. This is quite good.
EPS 1Y (TTM)8.21%
EPS 3Y48.19%
EPS 5Y19.19%
EPS growth Q2Q-10.9%
Revenue 1Y (TTM)8.8%
Revenue growth 3Y24.49%
Revenue growth 5Y12.97%
Revenue growth Q2Q3.43%

3.2 Future

The Earnings Per Share is expected to grow by 9.38% on average over the next years. This is quite good.
MC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.59% yearly.
EPS Next Y9.8%
EPS Next 2Y9.71%
EPS Next 3Y9.73%
EPS Next 5Y9.38%
Revenue Next Year5.8%
Revenue Next 2Y6.59%
Revenue Next 3Y6.84%
Revenue Next 5Y7.59%

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.

2

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 27.49, MC can be considered very expensive at the moment.
MC's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of MC to the average of the S&P500 Index (26.48), we can say MC is valued inline with the index average.
The Price/Forward Earnings ratio is 25.03, which means the current valuation is very expensive for MC.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MC indicates a somewhat cheap valuation: MC is cheaper than 65.00% of the companies listed in the same industry.
MC is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.79, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 27.49
Fwd PE 25.03

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 60.00% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, MC is valued a bit more expensive than 67.50% of the companies in the same industry.
Industry RankSector Rank
P/FCF 39.26
EV/EBITDA 14.42

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)2.81
PEG (5Y)1.43
EPS Next 2Y9.71%
EPS Next 3Y9.73%

3

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 1.53%, MC has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.49, MC has a dividend in line with its industry peers.
MC's Dividend Yield is slightly below the S&P500 average, which is at 2.34.
Industry RankSector Rank
Dividend Yield 1.53%

5.2 History

The dividend of MC is nicely growing with an annual growth rate of 19.66%!
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 2Y9.71%
EPS Next 3Y9.73%

LVMH MOET HENNESSY LOUIS VUI

EPA:MC (3/28/2024, 7:00:00 PM)

833.7

+3.4 (+0.41%)

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 Cap415.90B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield 1.53%
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)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
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 27.49
Fwd PE 25.03
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)2.81
PEG (5Y)1.43
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)
Growth
EPS 1Y (TTM)8.21%
EPS 3Y48.19%
EPS 5Y
EPS growth Q2Q
EPS Next Y9.8%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)8.8%
Revenue growth 3Y24.49%
Revenue growth 5Y
Revenue growth 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