MILLERKNOLL INC (MLKN) Stock Fundamental Analysis
USA - NASDAQ:MLKN - US6005441000 - Common Stock
16.56 USD
-0.18 (-1.08%)
MLKN gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 84 industry peers in the Commercial Services & Supplies industry. While MLKN is still in line with the averages on profitability rating, there are concerns on its financial health. MLKN may be a bit undervalued, certainly considering the very reasonable score on growth Finally MLKN also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
MLKN had positive earnings in the past year.
MLKN had a positive operating cash flow in the past year.
In multiple years MLKN reported negative net income over the last 5 years.
MLKN had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
MLKN's Return On Assets of -0.93% is in line compared to the rest of the industry. MLKN outperforms 42.86% of its industry peers.
MLKN's Return On Equity of -2.89% is in line compared to the rest of the industry. MLKN outperforms 41.67% of its industry peers.
MLKN's Return On Invested Capital of 5.13% is in line compared to the rest of the industry. MLKN outperforms 53.57% of its industry peers.
MLKN had an Average Return On Invested Capital over the past 3 years of 5.11%. This is significantly below the industry average of 10.17%.
The last Return On Invested Capital (5.13%) for MLKN is above the 3 year average (5.11%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.93% | ||
| ROE | -2.89% | ||
| ROIC | 5.13% |
ROA(3y)0.7%
ROA(5y)1.96%
ROE(3y)2%
ROE(5y)4.84%
ROIC(3y)5.11%
ROIC(5y)5.74%
1.3 Margins
MLKN has a Operating Margin of 5.32%. This is comparable to the rest of the industry: MLKN outperforms 50.00% of its industry peers.
MLKN's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 38.76%, MLKN is in the better half of the industry, outperforming 65.48% of the companies in the same industry.
In the last couple of years the Gross Margin of MLKN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.32% | ||
| PM (TTM) | N/A | ||
| GM | 38.76% |
OM growth 3Y74.09%
OM growth 5Y-7.31%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.18%
GM growth 5Y1.14%
2. Health
2.1 Basic Checks
MLKN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for MLKN has been reduced compared to 1 year ago.
The number of shares outstanding for MLKN has been increased compared to 5 years ago.
Compared to 1 year ago, MLKN has a worse debt to assets ratio.
2.2 Solvency
MLKN has an Altman-Z score of 1.71. This is a bad value and indicates that MLKN is not financially healthy and even has some risk of bankruptcy.
MLKN has a Altman-Z score (1.71) which is comparable to the rest of the industry.
MLKN has a debt to FCF ratio of 13.04. This is a negative value and a sign of low solvency as MLKN would need 13.04 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 13.04, MLKN is in line with its industry, outperforming 50.00% of the companies in the same industry.
MLKN has a Debt/Equity ratio of 1.03. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of MLKN (1.03) is worse than 67.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.03 | ||
| Debt/FCF | 13.04 | ||
| Altman-Z | 1.71 |
ROIC/WACC0.64
WACC7.96%
2.3 Liquidity
A Current Ratio of 1.58 indicates that MLKN should not have too much problems paying its short term obligations.
MLKN has a Current ratio (1.58) which is comparable to the rest of the industry.
MLKN has a Quick Ratio of 1.58. This is a bad value and indicates that MLKN is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.94, MLKN is not doing good in the industry: 70.24% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.58 | ||
| Quick Ratio | 0.94 |
3. Growth
3.1 Past
The earnings per share for MLKN have decreased by -1.45% in the last year.
The Earnings Per Share has been decreasing by -5.37% on average over the past years.
MLKN shows a small growth in Revenue. In the last year, the Revenue has grown by 1.14%.
MLKN shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.10% yearly.
EPS 1Y (TTM)-1.45%
EPS 3Y1.59%
EPS 5Y-5.37%
EPS Q2Q%25%
Revenue 1Y (TTM)1.14%
Revenue growth 3Y-2.39%
Revenue growth 5Y8.1%
Sales Q2Q%10.93%
3.2 Future
Based on estimates for the next years, MLKN will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.21% on average per year.
The Revenue is expected to grow by 4.18% on average over the next years.
EPS Next Y-6.37%
EPS Next 2Y9.21%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.68%
Revenue Next 2Y4.18%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
MLKN is valuated reasonably with a Price/Earnings ratio of 8.12.
91.67% of the companies in the same industry are more expensive than MLKN, based on the Price/Earnings ratio.
MLKN is valuated cheaply when we compare the Price/Earnings ratio to 27.29, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 7.12, the valuation of MLKN can be described as very cheap.
MLKN's Price/Forward Earnings ratio is rather cheap when compared to the industry. MLKN is cheaper than 91.67% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.85, MLKN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.12 | ||
| Fwd PE | 7.12 |
4.2 Price Multiples
85.71% of the companies in the same industry are more expensive than MLKN, based on the Enterprise Value to EBITDA ratio.
MLKN's Price/Free Cash Flow ratio is rather cheap when compared to the industry. MLKN is cheaper than 85.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.16 | ||
| EV/EBITDA | 6.79 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y9.21%
EPS Next 3YN/A
5. Dividend
5.1 Amount
MLKN has a Yearly Dividend Yield of 4.51%, which is a nice return.
Compared to an average industry Dividend Yield of 2.41, MLKN pays a better dividend. On top of this MLKN pays more dividend than 91.67% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, MLKN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.51% |
5.2 History
The dividend of MLKN has a limited annual growth rate of 3.87%.
MLKN has paid a dividend for at least 10 years, which is a reliable track record.
MLKN has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)3.87%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
The earnings of MLKN are negative and hence is the payout ratio. MLKN will probably not be able to sustain this dividend level.
The dividend of MLKN is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-140.11%
EPS Next 2Y9.21%
EPS Next 3YN/A
NASDAQ:MLKN (10/17/2025, 12:39:54 PM)
16.56
-0.18 (-1.08%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners97.67%
Inst Owner ChangeN/A
Ins Owners1.28%
Ins Owner Change23.82%
Market Cap1.13B
Analysts43.33
Price Target35.7 (115.58%)
Short Float %3%
Short Ratio4.32
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.51% |
Yearly Dividend0.75
Dividend Growth(5Y)3.87%
DP-140.11%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)16.37%
Min EPS beat(2)-1.96%
Max EPS beat(2)34.71%
EPS beat(4)2
Avg EPS beat(4)5.54%
Min EPS beat(4)-12.31%
Max EPS beat(4)34.71%
EPS beat(8)6
Avg EPS beat(8)15.64%
EPS beat(12)10
Avg EPS beat(12)16.18%
EPS beat(16)12
Avg EPS beat(16)12.67%
Revenue beat(2)1
Avg Revenue beat(2)-1.65%
Min Revenue beat(2)-6.51%
Max Revenue beat(2)3.2%
Revenue beat(4)1
Avg Revenue beat(4)-2.3%
Min Revenue beat(4)-6.51%
Max Revenue beat(4)3.2%
Revenue beat(8)2
Avg Revenue beat(8)-2.8%
Revenue beat(12)3
Avg Revenue beat(12)-2.41%
Revenue beat(16)4
Avg Revenue beat(16)-1.02%
PT rev (1m)-7.89%
PT rev (3m)-7.89%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)-7.89%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0.6%
Revenue NY rev (3m)1.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.12 | ||
| Fwd PE | 7.12 | ||
| P/S | 0.31 | ||
| P/FCF | 11.16 | ||
| P/OCF | 5.42 | ||
| P/B | 0.89 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.79 |
EPS(TTM)2.04
EY12.32%
EPS(NY)2.33
Fwd EY14.04%
FCF(TTM)1.48
FCFY8.96%
OCF(TTM)3.06
OCFY18.45%
SpS53.57
BVpS18.62
TBVpS-8.12
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.93% | ||
| ROE | -2.89% | ||
| ROCE | 6.02% | ||
| ROIC | 5.13% | ||
| ROICexc | 5.45% | ||
| ROICexgc | 13.64% | ||
| OM | 5.32% | ||
| PM (TTM) | N/A | ||
| GM | 38.76% | ||
| FCFM | 2.77% |
ROA(3y)0.7%
ROA(5y)1.96%
ROE(3y)2%
ROE(5y)4.84%
ROIC(3y)5.11%
ROIC(5y)5.74%
ROICexc(3y)5.46%
ROICexc(5y)6.8%
ROICexgc(3y)14.1%
ROICexgc(5y)15.3%
ROCE(3y)5.99%
ROCE(5y)6.73%
ROICexcg growth 3Y74.29%
ROICexcg growth 5Y-13.91%
ROICexc growth 3Y76.25%
ROICexc growth 5Y-17.97%
OM growth 3Y74.09%
OM growth 5Y-7.31%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.18%
GM growth 5Y1.14%
F-Score5
Asset Turnover0.93
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.03 | ||
| Debt/FCF | 13.04 | ||
| Debt/EBITDA | 3.9 | ||
| Cap/Depr | 76.58% | ||
| Cap/Sales | 2.93% | ||
| Interest Coverage | 2.83 | ||
| Cash Conversion | 62.33% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.58 | ||
| Quick Ratio | 0.94 | ||
| Altman-Z | 1.71 |
F-Score5
WACC7.96%
ROIC/WACC0.64
Cap/Depr(3y)60.28%
Cap/Depr(5y)59.82%
Cap/Sales(3y)2.38%
Cap/Sales(5y)2.39%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-1.45%
EPS 3Y1.59%
EPS 5Y-5.37%
EPS Q2Q%25%
EPS Next Y-6.37%
EPS Next 2Y9.21%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)1.14%
Revenue growth 3Y-2.39%
Revenue growth 5Y8.1%
Sales Q2Q%10.93%
Revenue Next Year4.68%
Revenue Next 2Y4.18%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-9.08%
EBIT growth 3Y69.93%
EBIT growth 5Y0.2%
EBIT Next Year57.11%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-62.87%
FCF growth 3YN/A
FCF growth 5Y-7.82%
OCF growth 1Y-40.59%
OCF growth 3YN/A
OCF growth 5Y-1.15%