MICHELIN (CGDE) (ML.PA) Stock Fundamental Analysis
Europe - EPA:ML - FR001400AJ45 - Common Stock
27.58 EUR
-0.58 (-2.06%)
We assign a fundamental rating of 6 out of 10 to ML. ML was compared to 30 industry peers in the Automobile Components industry. While ML has a great profitability rating, there are some minor concerns on its financial health. ML has a decent growth rate and is not valued too expensively. Finally ML also has an excellent dividend rating. This makes ML very considerable for dividend investing!
1. Profitability
1.1 Basic Checks
In the past year ML was profitable.
ML had a positive operating cash flow in the past year.
ML had positive earnings in each of the past 5 years.
ML had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 4.39%, ML belongs to the best of the industry, outperforming 86.67% of the companies in the same industry.
ML has a better Return On Equity (8.81%) than 80.00% of its industry peers.
ML's Return On Invested Capital of 8.17% is fine compared to the rest of the industry. ML outperforms 80.00% of its industry peers.
ML had an Average Return On Invested Capital over the past 3 years of 9.25%. This is above the industry average of 6.53%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.39% | ||
| ROE | 8.81% | ||
| ROIC | 8.17% |
ROA(3y)5.45%
ROA(5y)4.73%
ROE(3y)10.95%
ROE(5y)10.02%
ROIC(3y)9.25%
ROIC(5y)8.5%
1.3 Margins
ML has a Profit Margin of 5.84%. This is amongst the best in the industry. ML outperforms 93.33% of its industry peers.
In the last couple of years the Profit Margin of ML has remained more or less at the same level.
ML's Operating Margin of 10.65% is amongst the best of the industry. ML outperforms 93.33% of its industry peers.
ML's Operating Margin has been stable in the last couple of years.
ML's Gross Margin of 27.60% is in line compared to the rest of the industry. ML outperforms 46.67% of its industry peers.
In the last couple of years the Gross Margin of ML has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.65% | ||
| PM (TTM) | 5.84% | ||
| GM | 27.6% |
OM growth 3Y-2.46%
OM growth 5Y-1.24%
PM growth 3Y-3.58%
PM growth 5Y-0.79%
GM growth 3Y-0.99%
GM growth 5Y-0.59%
2. Health
2.1 Basic Checks
ML has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
ML has less shares outstanding than it did 1 year ago.
ML has less shares outstanding than it did 5 years ago.
ML has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.54 indicates that ML is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of ML (2.54) is better than 86.67% of its industry peers.
The Debt to FCF ratio of ML is 6.05, which is on the high side as it means it would take ML, 6.05 years of fcf income to pay off all of its debts.
ML has a better Debt to FCF ratio (6.05) than 76.67% of its industry peers.
ML has a Debt/Equity ratio of 0.32. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of ML (0.32) is better than 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 6.05 | ||
| Altman-Z | 2.54 |
ROIC/WACC1.2
WACC6.81%
2.3 Liquidity
A Current Ratio of 1.80 indicates that ML should not have too much problems paying its short term obligations.
ML's Current ratio of 1.80 is amongst the best of the industry. ML outperforms 86.67% of its industry peers.
A Quick Ratio of 1.12 indicates that ML should not have too much problems paying its short term obligations.
The Quick ratio of ML (1.12) is better than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
The earnings per share for ML have decreased strongly by -18.28% in the last year.
Measured over the past 5 years, ML shows a small growth in Earnings Per Share. The EPS has been growing by 1.64% on average per year.
The Revenue has decreased by -3.62% in the past year.
Measured over the past years, ML shows a small growth in Revenue. The Revenue has been growing by 2.41% on average per year.
EPS 1Y (TTM)-18.28%
EPS 3Y0.78%
EPS 5Y1.64%
EPS Q2Q%-26.88%
Revenue 1Y (TTM)-3.62%
Revenue growth 3Y4.55%
Revenue growth 5Y2.41%
Sales Q2Q%-3.36%
3.2 Future
Based on estimates for the next years, ML will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.26% on average per year.
Based on estimates for the next years, ML will show a small growth in Revenue. The Revenue will grow by 2.85% on average per year.
EPS Next Y0.74%
EPS Next 2Y8.86%
EPS Next 3Y11.26%
EPS Next 5YN/A
Revenue Next Year-4.87%
Revenue Next 2Y-1.29%
Revenue Next 3Y0.41%
Revenue Next 5Y2.85%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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 stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 12.59, ML is valued correctly.
The rest of the industry has a similar Price/Earnings ratio as ML.
Compared to an average S&P500 Price/Earnings ratio of 25.56, ML is valued rather cheaply.
The Price/Forward Earnings ratio is 8.88, which indicates a very decent valuation of ML.
ML's Price/Forward Earnings is on the same level as the industry average.
ML's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.62.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.59 | ||
| Fwd PE | 8.88 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ML is on the same level as its industry peers.
ML's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. ML is more expensive than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.7 | ||
| EV/EBITDA | 4.85 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
ML has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)17.03
PEG (5Y)7.67
EPS Next 2Y8.86%
EPS Next 3Y11.26%
5. Dividend
5.1 Amount
ML has a Yearly Dividend Yield of 4.77%, which is a nice return.
Compared to an average industry Dividend Yield of 4.72, ML pays a better dividend. On top of this ML pays more dividend than 90.00% of the companies listed in the same industry.
ML's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.77% |
5.2 History
On average, the dividend of ML grows each year by 7.84%, which is quite nice.
Dividend Growth(5Y)7.84%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
62.40% of the earnings are spent on dividend by ML. This is not a sustainable payout ratio.
The dividend of ML is growing, but earnings are growing more, so the dividend growth is sustainable.
DP62.4%
EPS Next 2Y8.86%
EPS Next 3Y11.26%
EPA:ML (11/18/2025, 5:35:15 PM)
27.58
-0.58 (-2.06%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners46.28%
Inst Owner ChangeN/A
Ins Owners0%
Ins Owner ChangeN/A
Market Cap19.46B
Revenue(TTM)26.74B
Net Income(TTM)1.56B
Analysts79.17
Price Target32.33 (17.22%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.77% |
Yearly Dividend1.35
Dividend Growth(5Y)7.84%
DP62.4%
Div Incr Years5
Div Non Decr Years5
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)-14.22%
PT rev (3m)-14.57%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-16.83%
EPS NY rev (3m)-25.57%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-2.93%
Revenue NY rev (3m)-3.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.59 | ||
| Fwd PE | 8.88 | ||
| P/S | 0.73 | ||
| P/FCF | 15.7 | ||
| P/OCF | 5.75 | ||
| P/B | 1.1 | ||
| P/tB | 1.49 | ||
| EV/EBITDA | 4.85 |
EPS(TTM)2.19
EY7.94%
EPS(NY)3.11
Fwd EY11.26%
FCF(TTM)1.76
FCFY6.37%
OCF(TTM)4.79
OCFY17.38%
SpS37.89
BVpS25.11
TBVpS18.49
PEG (NY)17.03
PEG (5Y)7.67
Graham Number35.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.39% | ||
| ROE | 8.81% | ||
| ROCE | 10.41% | ||
| ROIC | 8.17% | ||
| ROICexc | 9.37% | ||
| ROICexgc | 11.66% | ||
| OM | 10.65% | ||
| PM (TTM) | 5.84% | ||
| GM | 27.6% | ||
| FCFM | 4.64% |
ROA(3y)5.45%
ROA(5y)4.73%
ROE(3y)10.95%
ROE(5y)10.02%
ROIC(3y)9.25%
ROIC(5y)8.5%
ROICexc(3y)10.45%
ROICexc(5y)9.86%
ROICexgc(3y)12.91%
ROICexgc(5y)12.2%
ROCE(3y)11.87%
ROCE(5y)10.97%
ROICexgc growth 3Y-1.17%
ROICexgc growth 5Y0.57%
ROICexc growth 3Y-1.78%
ROICexc growth 5Y0.45%
OM growth 3Y-2.46%
OM growth 5Y-1.24%
PM growth 3Y-3.58%
PM growth 5Y-0.79%
GM growth 3Y-0.99%
GM growth 5Y-0.59%
F-Score5
Asset Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 6.05 | ||
| Debt/EBITDA | 1.17 | ||
| Cap/Depr | 107.96% | ||
| Cap/Sales | 8.01% | ||
| Interest Coverage | 9.96 | ||
| Cash Conversion | 70% | ||
| Profit Quality | 79.44% | ||
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z | 2.54 |
F-Score5
WACC6.81%
ROIC/WACC1.2
Cap/Depr(3y)113.8%
Cap/Depr(5y)101.88%
Cap/Sales(3y)7.8%
Cap/Sales(5y)7.31%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-18.28%
EPS 3Y0.78%
EPS 5Y1.64%
EPS Q2Q%-26.88%
EPS Next Y0.74%
EPS Next 2Y8.86%
EPS Next 3Y11.26%
EPS Next 5YN/A
Revenue 1Y (TTM)-3.62%
Revenue growth 3Y4.55%
Revenue growth 5Y2.41%
Sales Q2Q%-3.36%
Revenue Next Year-4.87%
Revenue Next 2Y-1.29%
Revenue Next 3Y0.41%
Revenue Next 5Y2.85%
EBIT growth 1Y-17.5%
EBIT growth 3Y1.98%
EBIT growth 5Y1.14%
EBIT Next Year59.12%
EBIT Next 3Y22.78%
EBIT Next 5Y17.06%
FCF growth 1Y-20.46%
FCF growth 3Y21.5%
FCF growth 5Y7.22%
OCF growth 1Y-10.1%
OCF growth 3Y14.27%
OCF growth 5Y5.48%
MICHELIN (CGDE) / ML.PA FAQ
What is the ChartMill fundamental rating of MICHELIN (CGDE) (ML.PA) stock?
ChartMill assigns a fundamental rating of 6 / 10 to ML.PA.
What is the valuation status for ML stock?
ChartMill assigns a valuation rating of 4 / 10 to MICHELIN (CGDE) (ML.PA). This can be considered as Fairly Valued.
How profitable is MICHELIN (CGDE) (ML.PA) stock?
MICHELIN (CGDE) (ML.PA) has a profitability rating of 7 / 10.
What is the financial health of MICHELIN (CGDE) (ML.PA) stock?
The financial health rating of MICHELIN (CGDE) (ML.PA) is 6 / 10.
Is the dividend of MICHELIN (CGDE) sustainable?
The dividend rating of MICHELIN (CGDE) (ML.PA) is 8 / 10 and the dividend payout ratio is 62.4%.