MONDELEZ INTERNATIONAL INC-A (MDLZ) Stock Fundamental Analysis
NASDAQ:MDLZ - US6092071058 - Common Stock
61.96 USD
-1.45 (-2.29%)
62.02 USD
+0.06 (+0.1%)
MDLZ gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 90 industry peers in the Food Products industry. While MDLZ is still in line with the averages on profitability rating, there are concerns on its financial health. MDLZ has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
MDLZ had positive earnings in the past year.
MDLZ had a positive operating cash flow in the past year.
MDLZ had positive earnings in each of the past 5 years.
Each year in the past 5 years MDLZ had a positive operating cash flow.
1.2 Ratios
The Return On Assets of MDLZ (5.13%) is better than 68.89% of its industry peers.
MDLZ has a better Return On Equity (13.90%) than 78.89% of its industry peers.
Looking at the Return On Invested Capital, with a value of 6.99%, MDLZ is in the better half of the industry, outperforming 68.89% of the companies in the same industry.
MDLZ had an Average Return On Invested Capital over the past 3 years of 7.83%. This is significantly below the industry average of 27.81%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.13% | ||
| ROE | 13.9% | ||
| ROIC | 6.99% |
ROA(3y)5.83%
ROA(5y)5.83%
ROE(3y)14.91%
ROE(5y)14.57%
ROIC(3y)7.83%
ROIC(5y)7.26%
1.3 Margins
MDLZ has a Profit Margin of 9.81%. This is amongst the best in the industry. MDLZ outperforms 84.44% of its industry peers.
MDLZ's Profit Margin has declined in the last couple of years.
The Operating Margin of MDLZ (13.22%) is better than 80.00% of its industry peers.
In the last couple of years the Operating Margin of MDLZ has grown nicely.
The Gross Margin of MDLZ (32.55%) is better than 73.33% of its industry peers.
In the last couple of years the Gross Margin of MDLZ has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.22% | ||
| PM (TTM) | 9.81% | ||
| GM | 32.55% |
OM growth 3Y2.71%
OM growth 5Y2.05%
PM growth 3Y-5.45%
PM growth 5Y-3.59%
GM growth 3Y-0.05%
GM growth 5Y-0.42%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so MDLZ is still creating some value.
The number of shares outstanding for MDLZ has been reduced compared to 1 year ago.
MDLZ has less shares outstanding than it did 5 years ago.
MDLZ has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.44 indicates that MDLZ is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of MDLZ (2.44) is comparable to the rest of the industry.
The Debt to FCF ratio of MDLZ is 7.30, which is on the high side as it means it would take MDLZ, 7.30 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 7.30, MDLZ is in the better half of the industry, outperforming 67.78% of the companies in the same industry.
A Debt/Equity ratio of 0.76 indicates that MDLZ is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.76, MDLZ is not doing good in the industry: 61.11% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 7.3 | ||
| Altman-Z | 2.44 |
ROIC/WACC0.91
WACC7.65%
2.3 Liquidity
MDLZ has a Current Ratio of 0.64. This is a bad value and indicates that MDLZ is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.64, MDLZ is not doing good in the industry: 88.89% of the companies in the same industry are doing better.
A Quick Ratio of 0.39 indicates that MDLZ may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.39, MDLZ is doing worse than 82.22% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.64 | ||
| Quick Ratio | 0.39 |
3. Growth
3.1 Past
MDLZ shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -10.37%.
Measured over the past 5 years, MDLZ shows a small growth in Earnings Per Share. The EPS has been growing by 6.91% on average per year.
Looking at the last year, MDLZ shows a small growth in Revenue. The Revenue has grown by 3.14% in the last year.
Measured over the past years, MDLZ shows a small growth in Revenue. The Revenue has been growing by 7.09% on average per year.
EPS 1Y (TTM)-10.37%
EPS 3Y6.58%
EPS 5Y6.91%
EPS Q2Q%-15.12%
Revenue 1Y (TTM)3.14%
Revenue growth 3Y8.26%
Revenue growth 5Y7.09%
Sales Q2Q%7.68%
3.2 Future
The Earnings Per Share is expected to grow by 4.92% on average over the next years.
MDLZ is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.19% yearly.
EPS Next Y-10.57%
EPS Next 2Y-0.8%
EPS Next 3Y2.75%
EPS Next 5Y4.92%
Revenue Next Year5.47%
Revenue Next 2Y5.01%
Revenue Next 3Y4.62%
Revenue Next 5Y4.19%
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 19.92, MDLZ is valued on the expensive side.
The rest of the industry has a similar Price/Earnings ratio as MDLZ.
The average S&P500 Price/Earnings ratio is at 27.03. MDLZ is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 18.25 indicates a rather expensive valuation of MDLZ.
66.67% of the companies in the same industry are more expensive than MDLZ, based on the Price/Forward Earnings ratio.
MDLZ's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.63.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.92 | ||
| Fwd PE | 18.25 |
4.2 Price Multiples
MDLZ'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 MDLZ indicates a somewhat cheap valuation: MDLZ is cheaper than 63.33% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.02 | ||
| EV/EBITDA | 16 |
4.3 Compensation for Growth
MDLZ has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)2.88
EPS Next 2Y-0.8%
EPS Next 3Y2.75%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.18%, MDLZ has a reasonable but not impressive dividend return.
MDLZ's Dividend Yield is a higher than the industry average which is at 4.60.
Compared to an average S&P500 Dividend Yield of 2.34, MDLZ pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.18% |
5.2 History
The dividend of MDLZ is nicely growing with an annual growth rate of 10.52%!
MDLZ has paid a dividend for at least 10 years, which is a reliable track record.
MDLZ has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)10.52%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
66.77% of the earnings are spent on dividend by MDLZ. This is not a sustainable payout ratio.
The dividend of MDLZ is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP66.77%
EPS Next 2Y-0.8%
EPS Next 3Y2.75%
61.96
-1.45 (-2.29%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners86.73%
Inst Owner Change-1.38%
Ins Owners0.14%
Ins Owner Change0.52%
Market Cap80.17B
Analysts76.57
Price Target75.19 (21.35%)
Short Float %1.77%
Short Ratio3
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.18% |
Yearly Dividend1.76
Dividend Growth(5Y)10.52%
DP66.77%
Div Incr Years11
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.87%
Min EPS beat(2)5.55%
Max EPS beat(2)10.18%
EPS beat(4)3
Avg EPS beat(4)6.73%
Min EPS beat(4)-3.07%
Max EPS beat(4)14.26%
EPS beat(8)7
Avg EPS beat(8)5.91%
EPS beat(12)11
Avg EPS beat(12)6.02%
EPS beat(16)13
Avg EPS beat(16)5.09%
Revenue beat(2)0
Avg Revenue beat(2)-1.25%
Min Revenue beat(2)-2.09%
Max Revenue beat(2)-0.41%
Revenue beat(4)0
Avg Revenue beat(4)-1.46%
Min Revenue beat(4)-2.33%
Max Revenue beat(4)-0.41%
Revenue beat(8)1
Avg Revenue beat(8)-1.41%
Revenue beat(12)5
Avg Revenue beat(12)0.07%
Revenue beat(16)8
Avg Revenue beat(16)0.51%
PT rev (1m)2.15%
PT rev (3m)2.9%
EPS NQ rev (1m)-7.1%
EPS NQ rev (3m)-7.3%
EPS NY rev (1m)0.33%
EPS NY rev (3m)0.2%
Revenue NQ rev (1m)-0.12%
Revenue NQ rev (3m)3.35%
Revenue NY rev (1m)0.52%
Revenue NY rev (3m)0.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.92 | ||
| Fwd PE | 18.25 | ||
| P/S | 2.16 | ||
| P/FCF | 28.02 | ||
| P/OCF | 19.25 | ||
| P/B | 3.06 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16 |
EPS(TTM)3.11
EY5.02%
EPS(NY)3.4
Fwd EY5.48%
FCF(TTM)2.21
FCFY3.57%
OCF(TTM)3.22
OCFY5.19%
SpS28.68
BVpS20.24
TBVpS-13.82
PEG (NY)N/A
PEG (5Y)2.88
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.13% | ||
| ROE | 13.9% | ||
| ROCE | 9.6% | ||
| ROIC | 6.99% | ||
| ROICexc | 7.19% | ||
| ROICexgc | 51.08% | ||
| OM | 13.22% | ||
| PM (TTM) | 9.81% | ||
| GM | 32.55% | ||
| FCFM | 7.71% |
ROA(3y)5.83%
ROA(5y)5.83%
ROE(3y)14.91%
ROE(5y)14.57%
ROIC(3y)7.83%
ROIC(5y)7.26%
ROICexc(3y)8.08%
ROICexc(5y)7.6%
ROICexgc(3y)56.9%
ROICexgc(5y)49.07%
ROCE(3y)10.54%
ROCE(5y)9.74%
ROICexcg growth 3Y30.99%
ROICexcg growth 5Y25.82%
ROICexc growth 3Y12.8%
ROICexc growth 5Y10.57%
OM growth 3Y2.71%
OM growth 5Y2.05%
PM growth 3Y-5.45%
PM growth 5Y-3.59%
GM growth 3Y-0.05%
GM growth 5Y-0.42%
F-Score5
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 7.3 | ||
| Debt/EBITDA | 3.17 | ||
| Cap/Depr | 98.04% | ||
| Cap/Sales | 3.51% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 66.77% | ||
| Profit Quality | 78.58% | ||
| Current Ratio | 0.64 | ||
| Quick Ratio | 0.39 | ||
| Altman-Z | 2.44 |
F-Score5
WACC7.65%
ROIC/WACC0.91
Cap/Depr(3y)93.3%
Cap/Depr(5y)88.79%
Cap/Sales(3y)3.26%
Cap/Sales(5y)3.28%
Profit Quality(3y)86.51%
Profit Quality(5y)84.12%
High Growth Momentum
Growth
EPS 1Y (TTM)-10.37%
EPS 3Y6.58%
EPS 5Y6.91%
EPS Q2Q%-15.12%
EPS Next Y-10.57%
EPS Next 2Y-0.8%
EPS Next 3Y2.75%
EPS Next 5Y4.92%
Revenue 1Y (TTM)3.14%
Revenue growth 3Y8.26%
Revenue growth 5Y7.09%
Sales Q2Q%7.68%
Revenue Next Year5.47%
Revenue Next 2Y5.01%
Revenue Next 3Y4.62%
Revenue Next 5Y4.19%
EBIT growth 1Y-22.49%
EBIT growth 3Y11.2%
EBIT growth 5Y9.29%
EBIT Next Year10.54%
EBIT Next 3Y8.45%
EBIT Next 5Y8.23%
FCF growth 1Y-1.28%
FCF growth 3Y3.52%
FCF growth 5Y2.99%
OCF growth 1Y6.39%
OCF growth 3Y5.84%
OCF growth 5Y4.37%