METLIFE INC (MET) Stock Fundamental Analysis
USA - NYSE:MET - US59156R1086 - Common Stock
75.53 USD
-3.11 (-3.95%)
75.51 USD
-0.02 (-0.03%)
MET gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 147 industry peers in the Insurance industry. MET has a bad profitability rating. Also its financial health evaluation is rather negative. MET is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year MET was profitable.
MET had a positive operating cash flow in the past year.
MET had positive earnings in each of the past 5 years.
Each year in the past 5 years MET had a positive operating cash flow.
1.2 Ratios
MET's Return On Assets of 0.58% is on the low side compared to the rest of the industry. MET is outperformed by 67.35% of its industry peers.
MET has a better Return On Equity (14.78%) than 70.75% of its industry peers.
The Return On Invested Capital of MET (0.74%) is worse than 63.27% of its industry peers.
The Average Return On Invested Capital over the past 3 years for MET is below the industry average of 4.44%.
The last Return On Invested Capital (0.74%) for MET is above the 3 year average (0.52%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.58% | ||
| ROE | 14.78% | ||
| ROIC | 0.74% |
ROA(3y)0.39%
ROA(5y)0.53%
ROE(3y)9.29%
ROE(5y)8.85%
ROIC(3y)0.52%
ROIC(5y)0.65%
1.3 Margins
MET's Profit Margin of 5.60% is on the low side compared to the rest of the industry. MET is outperformed by 62.59% of its industry peers.
MET's Profit Margin has declined in the last couple of years.
MET has a Operating Margin of 9.33%. This is in the lower half of the industry: MET underperforms 61.22% of its industry peers.
MET's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.33% | ||
| PM (TTM) | 5.6% | ||
| GM | N/A |
OM growth 3Y-9.41%
OM growth 5Y-3.49%
PM growth 3Y-12.69%
PM growth 5Y-6.22%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MET is destroying value.
Compared to 1 year ago, MET has less shares outstanding
Compared to 5 years ago, MET has less shares outstanding
Compared to 1 year ago, MET has a worse debt to assets ratio.
2.2 Solvency
MET has a debt to FCF ratio of 1.31. This is a very positive value and a sign of high solvency as it would only need 1.31 years to pay back of all of its debts.
MET has a better Debt to FCF ratio (1.31) than 63.27% of its industry peers.
A Debt/Equity ratio of 0.72 indicates that MET is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.72, MET is not doing good in the industry: 85.71% of the companies in the same industry are doing better.
Even though the debt/equity ratio score it not favorable for MET, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 1.31 | ||
| Altman-Z | N/A |
ROIC/WACC0.1
WACC7.54%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.51% over the past year.
The Earnings Per Share has been growing slightly by 5.91% on average over the past years.
MET shows a small growth in Revenue. In the last year, the Revenue has grown by 0.77%.
Measured over the past years, MET shows a small growth in Revenue. The Revenue has been growing by 0.37% on average per year.
EPS 1Y (TTM)5.51%
EPS 3Y-3.75%
EPS 5Y5.91%
EPS Q2Q%21.54%
Revenue 1Y (TTM)0.77%
Revenue growth 3Y-0.02%
Revenue growth 5Y0.37%
Sales Q2Q%1.63%
3.2 Future
MET is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.71% yearly.
MET is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.29% yearly.
EPS Next Y7.91%
EPS Next 2Y12.02%
EPS Next 3Y11.88%
EPS Next 5Y11.71%
Revenue Next Year2.94%
Revenue Next 2Y3.4%
Revenue Next 3Y3.79%
Revenue Next 5Y4.29%
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 accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 8.96 indicates a reasonable valuation of MET.
Based on the Price/Earnings ratio, MET is valued a bit cheaper than 64.63% of the companies in the same industry.
MET's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.56.
A Price/Forward Earnings ratio of 7.39 indicates a rather cheap valuation of MET.
72.11% of the companies in the same industry are more expensive than MET, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 34.62. MET is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.96 | ||
| Fwd PE | 7.39 |
4.2 Price Multiples
71.43% of the companies in the same industry are more expensive than MET, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MET indicates a somewhat cheap valuation: MET is cheaper than 78.91% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.3 | ||
| EV/EBITDA | 6.32 |
4.3 Compensation for Growth
MET's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.13
PEG (5Y)1.52
EPS Next 2Y12.02%
EPS Next 3Y11.88%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.86%, MET has a reasonable but not impressive dividend return.
MET's Dividend Yield is a higher than the industry average which is at 3.51.
Compared to an average S&P500 Dividend Yield of 2.44, MET has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.86% |
5.2 History
The dividend of MET has a limited annual growth rate of 4.59%.
MET has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of MET decreased in the last 3 years.
Dividend Growth(5Y)4.59%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
MET pays out 41.87% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of MET is growing, but earnings are growing more, so the dividend growth is sustainable.
DP41.87%
EPS Next 2Y12.02%
EPS Next 3Y11.88%
75.53
-3.11 (-3.95%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners91.3%
Inst Owner Change5.27%
Ins Owners0.17%
Ins Owner Change0.96%
Market Cap50.23B
Revenue(TTM)71.94B
Net Income(TTM)4.09B
Analysts80
Price Target96.75 (28.09%)
Short Float %1.17%
Short Ratio2.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.86% |
Yearly Dividend2.43
Dividend Growth(5Y)4.59%
DP41.87%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-4.86%
Min EPS beat(2)-6.87%
Max EPS beat(2)-2.86%
EPS beat(4)0
Avg EPS beat(4)-5.61%
Min EPS beat(4)-10.99%
Max EPS beat(4)-1.74%
EPS beat(8)2
Avg EPS beat(8)-1.81%
EPS beat(12)4
Avg EPS beat(12)-2.85%
EPS beat(16)8
Avg EPS beat(16)6.84%
Revenue beat(2)1
Avg Revenue beat(2)-0.82%
Min Revenue beat(2)-4.27%
Max Revenue beat(2)2.63%
Revenue beat(4)2
Avg Revenue beat(4)-1.99%
Min Revenue beat(4)-6.53%
Max Revenue beat(4)2.63%
Revenue beat(8)4
Avg Revenue beat(8)-1.35%
Revenue beat(12)6
Avg Revenue beat(12)-0.87%
Revenue beat(16)7
Avg Revenue beat(16)-1.46%
PT rev (1m)1.49%
PT rev (3m)-1.02%
EPS NQ rev (1m)0.04%
EPS NQ rev (3m)-0.05%
EPS NY rev (1m)0.51%
EPS NY rev (3m)-2.85%
Revenue NQ rev (1m)0.34%
Revenue NQ rev (3m)0.4%
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)-0.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.96 | ||
| Fwd PE | 7.39 | ||
| P/S | 0.69 | ||
| P/FCF | 3.3 | ||
| P/OCF | 3.3 | ||
| P/B | 1.81 | ||
| P/tB | 2.71 | ||
| EV/EBITDA | 6.32 |
EPS(TTM)8.43
EY11.16%
EPS(NY)10.21
Fwd EY13.52%
FCF(TTM)22.9
FCFY30.32%
OCF(TTM)22.9
OCFY30.32%
SpS109.89
BVpS41.63
TBVpS27.88
PEG (NY)1.13
PEG (5Y)1.52
Graham Number88.86
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.58% | ||
| ROE | 14.78% | ||
| ROCE | 0.97% | ||
| ROIC | 0.74% | ||
| ROICexc | 0.77% | ||
| ROICexgc | 1.12% | ||
| OM | 9.33% | ||
| PM (TTM) | 5.6% | ||
| GM | N/A | ||
| FCFM | 20.84% |
ROA(3y)0.39%
ROA(5y)0.53%
ROE(3y)9.29%
ROE(5y)8.85%
ROIC(3y)0.52%
ROIC(5y)0.65%
ROICexc(3y)0.53%
ROICexc(5y)0.66%
ROICexgc(3y)0.78%
ROICexgc(5y)0.97%
ROCE(3y)0.68%
ROCE(5y)0.84%
ROICexgc growth 3Y-6.12%
ROICexgc growth 5Y-2.06%
ROICexc growth 3Y-5.87%
ROICexc growth 5Y-1.33%
OM growth 3Y-9.41%
OM growth 5Y-3.49%
PM growth 3Y-12.69%
PM growth 5Y-6.22%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 1.31 | ||
| Debt/EBITDA | 2.64 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 6.7 | ||
| Cash Conversion | 202.22% | ||
| Profit Quality | 372.26% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC7.54%
ROIC/WACC0.1
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)633.54%
Profit Quality(5y)464.62%
High Growth Momentum
Growth
EPS 1Y (TTM)5.51%
EPS 3Y-3.75%
EPS 5Y5.91%
EPS Q2Q%21.54%
EPS Next Y7.91%
EPS Next 2Y12.02%
EPS Next 3Y11.88%
EPS Next 5Y11.71%
Revenue 1Y (TTM)0.77%
Revenue growth 3Y-0.02%
Revenue growth 5Y0.37%
Sales Q2Q%1.63%
Revenue Next Year2.94%
Revenue Next 2Y3.4%
Revenue Next 3Y3.79%
Revenue Next 5Y4.29%
EBIT growth 1Y42.7%
EBIT growth 3Y-9.43%
EBIT growth 5Y-3.13%
EBIT Next Year17.1%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y29.98%
FCF growth 3Y5.04%
FCF growth 5Y1.15%
OCF growth 1Y29.98%
OCF growth 3Y5.04%
OCF growth 5Y1.15%
METLIFE INC / MET FAQ
What is the fundamental rating for MET stock?
ChartMill assigns a fundamental rating of 4 / 10 to MET.
What is the valuation status of METLIFE INC (MET) stock?
ChartMill assigns a valuation rating of 6 / 10 to METLIFE INC (MET). This can be considered as Fairly Valued.
What is the profitability of MET stock?
METLIFE INC (MET) has a profitability rating of 3 / 10.
Can you provide the expected EPS growth for MET stock?
The Earnings per Share (EPS) of METLIFE INC (MET) is expected to grow by 7.91% in the next year.
How sustainable is the dividend of METLIFE INC (MET) stock?
The dividend rating of METLIFE INC (MET) is 5 / 10 and the dividend payout ratio is 41.87%.