MUELLER INDUSTRIES INC (MLI) Stock Fundamental Analysis
NYSE:MLI - New York Stock Exchange, Inc. - US6247561029 - Common Stock - Currency: USD
We assign a fundamental rating of 8 out of 10 to MLI. MLI was compared to 128 industry peers in the Machinery industry. MLI has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. MLI scores decently on growth, while it is valued quite cheap. This could make an interesting combination. These ratings could make MLI a good candidate for value and quality investing.
1. Profitability
1.1 Basic Checks
MLI had positive earnings in the past year.
In the past year MLI had a positive cash flow from operations.
MLI had positive earnings in each of the past 5 years.
MLI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
MLI has a better Return On Assets (20.35%) than 99.22% of its industry peers.
MLI has a better Return On Equity (24.33%) than 89.06% of its industry peers.
MLI's Return On Invested Capital of 20.43% is amongst the best of the industry. MLI outperforms 96.09% of its industry peers.
MLI had an Average Return On Invested Capital over the past 3 years of 25.47%. This is significantly above the industry average of 10.74%.
The 3 year average ROIC (25.47%) for MLI is well above the current ROIC(20.43%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.35% | ||
| ROE | 24.33% | ||
| ROIC | 20.43% |
ROA(3y)23.2%
ROA(5y)21.16%
ROE(3y)28.12%
ROE(5y)28.13%
ROIC(3y)25.47%
ROIC(5y)24.78%
1.3 Margins
MLI's Profit Margin of 17.48% is amongst the best of the industry. MLI outperforms 93.75% of its industry peers.
In the last couple of years the Profit Margin of MLI has grown nicely.
MLI has a better Operating Margin (20.49%) than 89.06% of its industry peers.
In the last couple of years the Operating Margin of MLI has grown nicely.
MLI has a Gross Margin of 28.47%. This is comparable to the rest of the industry: MLI outperforms 43.75% of its industry peers.
MLI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.49% | ||
| PM (TTM) | 17.48% | ||
| GM | 28.47% |
OM growth 3Y8.37%
OM growth 5Y21.34%
PM growth 3Y8.89%
PM growth 5Y31.03%
GM growth 3Y7.95%
GM growth 5Y11.43%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), MLI is creating value.
MLI has less shares outstanding than it did 1 year ago.
The number of shares outstanding for MLI remains at a similar level compared to 5 years ago.
MLI has a better debt/assets ratio than last year.
2.2 Solvency
MLI has an Altman-Z score of 14.10. This indicates that MLI is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 14.10, MLI belongs to the best of the industry, outperforming 96.09% of the companies in the same industry.
There is no outstanding debt for MLI. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 14.1 |
ROIC/WACC2.13
WACC9.57%
2.3 Liquidity
MLI has a Current Ratio of 4.86. This indicates that MLI is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 4.86, MLI belongs to the best of the industry, outperforming 91.41% of the companies in the same industry.
A Quick Ratio of 3.73 indicates that MLI has no problem at all paying its short term obligations.
With an excellent Quick ratio value of 3.73, MLI belongs to the best of the industry, outperforming 92.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.86 | ||
| Quick Ratio | 3.73 |
3. Growth
3.1 Past
MLI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 23.13%, which is quite impressive.
Measured over the past years, MLI shows a very strong growth in Earnings Per Share. The EPS has been growing by 42.60% on average per year.
Looking at the last year, MLI shows a quite strong growth in Revenue. The Revenue has grown by 19.42% in the last year.
The Revenue has been growing by 9.17% on average over the past years. This is quite good.
EPS 1Y (TTM)23.13%
EPS 3Y8.81%
EPS 5Y42.6%
EPS Q2Q%39.01%
Revenue 1Y (TTM)19.42%
Revenue growth 3Y0%
Revenue growth 5Y9.17%
Sales Q2Q%14.07%
3.2 Future
MLI is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.66% yearly.
Based on estimates for the next years, MLI will show a small growth in Revenue. The Revenue will grow by 7.57% on average per year.
EPS Next Y12.41%
EPS Next 2Y11.32%
EPS Next 3Y7.66%
EPS Next 5YN/A
Revenue Next Year12.11%
Revenue Next 2Y9.77%
Revenue Next 3Y7.57%
Revenue Next 5YN/A
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.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 14.91 indicates a correct valuation of MLI.
Based on the Price/Earnings ratio, MLI is valued cheaper than 82.03% of the companies in the same industry.
When comparing the Price/Earnings ratio of MLI to the average of the S&P500 Index (26.99), we can say MLI is valued slightly cheaper.
The Price/Forward Earnings ratio is 13.39, which indicates a correct valuation of MLI.
Based on the Price/Forward Earnings ratio, MLI is valued cheaply inside the industry as 81.25% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 36.36. MLI is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.91 | ||
| Fwd PE | 13.39 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MLI is valued cheaper than 80.47% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, MLI is valued a bit cheaper than the industry average as 74.22% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.53 | ||
| EV/EBITDA | 9.49 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of MLI may justify a higher PE ratio.
PEG (NY)1.2
PEG (5Y)0.35
EPS Next 2Y11.32%
EPS Next 3Y7.66%
5. Dividend
5.1 Amount
MLI has a Yearly Dividend Yield of 1.17%. Purely for dividend investing, there may be better candidates out there.
MLI's Dividend Yield is a higher than the industry average which is at 1.92.
Compared to an average S&P500 Dividend Yield of 2.40, MLI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.17% |
5.2 History
The dividend of MLI is nicely growing with an annual growth rate of 31.86%!
MLI has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of MLI decreased recently.
Dividend Growth(5Y)31.86%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
13.95% of the earnings are spent on dividend by MLI. This is a low number and sustainable payout ratio.
MLI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP13.95%
EPS Next 2Y11.32%
EPS Next 3Y7.66%
NYSE:MLI (8/7/2025, 1:36:21 PM)
88.14
+0.81 (+0.93%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners94.41%
Inst Owner Change1.02%
Ins Owners2.45%
Ins Owner Change-3.44%
Market Cap9.76B
Analysts83.33
Price Target103.53 (17.46%)
Short Float %2.22%
Short Ratio1.82
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.17% |
Yearly Dividend0.78
Dividend Growth(5Y)31.86%
DP13.95%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.7%
Min EPS beat(2)-4.77%
Max EPS beat(2)20.16%
EPS beat(4)3
Avg EPS beat(4)8.34%
Min EPS beat(4)-4.77%
Max EPS beat(4)20.16%
EPS beat(8)7
Avg EPS beat(8)29.64%
EPS beat(12)10
Avg EPS beat(12)25.17%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-0.32%
Min Revenue beat(2)-1.27%
Max Revenue beat(2)0.63%
Revenue beat(4)3
Avg Revenue beat(4)1.83%
Min Revenue beat(4)-1.27%
Max Revenue beat(4)5.55%
Revenue beat(8)6
Avg Revenue beat(8)4.75%
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)-7.73%
PT rev (3m)-3.33%
EPS NQ rev (1m)-10.12%
EPS NQ rev (3m)0.67%
EPS NY rev (1m)-1.5%
EPS NY rev (3m)4.6%
Revenue NQ rev (1m)-0.99%
Revenue NQ rev (3m)0.83%
Revenue NY rev (1m)-0.75%
Revenue NY rev (3m)-0.75%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.91 | ||
| Fwd PE | 13.39 | ||
| P/S | 2.4 | ||
| P/FCF | 16.53 | ||
| P/OCF | 14.44 | ||
| P/B | 3.35 | ||
| P/tB | 4.2 | ||
| EV/EBITDA | 9.49 |
EPS(TTM)5.91
EY6.71%
EPS(NY)6.58
Fwd EY7.47%
FCF(TTM)5.33
FCFY6.05%
OCF(TTM)6.1
OCFY6.93%
SpS36.67
BVpS26.35
TBVpS20.96
PEG (NY)1.2
PEG (5Y)0.35
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.35% | ||
| ROE | 24.33% | ||
| ROCE | 27.44% | ||
| ROIC | 20.43% | ||
| ROICexc | 31.39% | ||
| ROICexgc | 44.97% | ||
| OM | 20.49% | ||
| PM (TTM) | 17.48% | ||
| GM | 28.47% | ||
| FCFM | 14.54% |
ROA(3y)23.2%
ROA(5y)21.16%
ROE(3y)28.12%
ROE(5y)28.13%
ROIC(3y)25.47%
ROIC(5y)24.78%
ROICexc(3y)43.75%
ROICexc(5y)36.53%
ROICexgc(3y)55.94%
ROICexgc(5y)46.4%
ROCE(3y)34.22%
ROCE(5y)33.28%
ROICexcg growth 3Y2.37%
ROICexcg growth 5Y22.58%
ROICexc growth 3Y-4.41%
ROICexc growth 5Y18.23%
OM growth 3Y8.37%
OM growth 5Y21.34%
PM growth 3Y8.89%
PM growth 5Y31.03%
GM growth 3Y7.95%
GM growth 5Y11.43%
F-Score8
Asset Turnover1.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 123.51% | ||
| Cap/Sales | 2.1% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 75% | ||
| Profit Quality | 83.19% | ||
| Current Ratio | 4.86 | ||
| Quick Ratio | 3.73 | ||
| Altman-Z | 14.1 |
F-Score8
WACC9.57%
ROIC/WACC2.13
Cap/Depr(3y)124%
Cap/Depr(5y)108.01%
Cap/Sales(3y)1.55%
Cap/Sales(5y)1.47%
Profit Quality(3y)100.14%
Profit Quality(5y)100.88%
High Growth Momentum
Growth
EPS 1Y (TTM)23.13%
EPS 3Y8.81%
EPS 5Y42.6%
EPS Q2Q%39.01%
EPS Next Y12.41%
EPS Next 2Y11.32%
EPS Next 3Y7.66%
EPS Next 5YN/A
Revenue 1Y (TTM)19.42%
Revenue growth 3Y0%
Revenue growth 5Y9.17%
Sales Q2Q%14.07%
Revenue Next Year12.11%
Revenue Next 2Y9.77%
Revenue Next 3Y7.57%
Revenue Next 5YN/A
EBIT growth 1Y17.13%
EBIT growth 3Y8.36%
EBIT growth 5Y32.46%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-18.74%
FCF growth 3Y26.43%
FCF growth 5Y27.29%
OCF growth 1Y-12.27%
OCF growth 3Y27.49%
OCF growth 5Y26.36%