MOSAIC CO/THE (MOS)
US61945C1036 - Common Stock
Taking everything into account, MOS scores 5 out of 10 in our fundamental rating. MOS was compared to 85 industry peers in the Chemicals industry. While MOS belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. MOS is cheap, but on the other hand it scores bad on growth. These ratings would make MOS suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year MOS was profitable.
MOS had a positive operating cash flow in the past year.
Of the past 5 years MOS 4 years were profitable.
In the past 5 years MOS always reported a positive cash flow from operatings.
1.2 Ratios
MOS's Return On Assets of 5.06% is fine compared to the rest of the industry. MOS outperforms 69.41% of its industry peers.
MOS's Return On Equity of 9.48% is fine compared to the rest of the industry. MOS outperforms 65.88% of its industry peers.
MOS has a Return On Invested Capital of 5.48%. This is comparable to the rest of the industry: MOS outperforms 56.47% of its industry peers.
The Average Return On Invested Capital over the past 3 years for MOS is significantly above the industry average of 7.47%.
The last Return On Invested Capital (5.48%) for MOS is well below the 3 year average (14.26%), which needs to be investigated, but indicates that MOS had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.06% | ||
| ROE | 9.48% | ||
| ROIC | 5.48% |
ROA(3y)9.26%
ROA(5y)5.12%
ROE(3y)18.19%
ROE(5y)9.98%
ROIC(3y)14.26%
ROIC(5y)9.72%
1.3 Margins
The Profit Margin of MOS (8.51%) is better than 76.47% of its industry peers.
In the last couple of years the Profit Margin of MOS has grown nicely.
The Operating Margin of MOS (9.77%) is comparable to the rest of the industry.
MOS's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 16.14%, MOS is doing worse than 71.76% of the companies in the same industry.
In the last couple of years the Gross Margin of MOS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.77% | ||
| PM (TTM) | 8.51% | ||
| GM | 16.14% |
OM growth 3Y16.82%
OM growth 5Y2.51%
PM growth 3Y3.5%
PM growth 5Y11.65%
GM growth 3Y9.58%
GM growth 5Y0.65%
2. Health
2.1 Basic Checks
MOS has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for MOS has been reduced compared to 1 year ago.
The number of shares outstanding for MOS has been reduced compared to 5 years ago.
MOS has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.24 indicates that MOS is not a great score, but indicates only limited risk for bankruptcy at the moment.
MOS has a Altman-Z score (2.24) which is in line with its industry peers.
The Debt to FCF ratio of MOS is 3.74, which is a good value as it means it would take MOS, 3.74 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of MOS (3.74) is better than 76.47% of its industry peers.
MOS has a Debt/Equity ratio of 0.30. This is a healthy value indicating a solid balance between debt and equity.
MOS has a Debt to Equity ratio of 0.30. This is in the better half of the industry: MOS outperforms 71.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 3.74 | ||
| Altman-Z | 2.24 |
ROIC/WACC0.7
WACC7.84%
2.3 Liquidity
A Current Ratio of 1.22 indicates that MOS should not have too much problems paying its short term obligations.
MOS has a Current ratio of 1.22. This is amonst the worse of the industry: MOS underperforms 85.88% of its industry peers.
MOS has a Quick Ratio of 1.22. This is a bad value and indicates that MOS is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of MOS (0.57) is worse than 92.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.22 | ||
| Quick Ratio | 0.57 |
3. Growth
3.1 Past
MOS shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -67.57%.
The Earnings Per Share has been growing by 10.99% on average over the past years. This is quite good.
Looking at the last year, MOS shows a very negative growth in Revenue. The Revenue has decreased by -28.39% in the last year.
The Revenue has been growing slightly by 7.39% on average over the past years.
EPS 1Y (TTM)-67.57%
EPS 3Y61.34%
EPS 5Y10.99%
EPS growth Q2Q-59.2%
Revenue 1Y (TTM)-28.39%
Revenue growth 3Y16.41%
Revenue growth 5Y7.39%
Revenue growth Q2Q-29.72%
3.2 Future
Based on estimates for the next years, MOS will show a small growth in Earnings Per Share. The EPS will grow by 4.90% on average per year.
MOS is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.63% yearly.
EPS Next Y-14.77%
EPS Next 2Y-8.46%
EPS Next 3Y-6.5%
EPS Next 5Y4.9%
Revenue Next Year-8.17%
Revenue Next 2Y-5.24%
Revenue Next 3Y-2.6%
Revenue Next 5Y-0.63%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 8.48, the valuation of MOS can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of MOS indicates a rather cheap valuation: MOS is cheaper than 90.59% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of MOS to the average of the S&P500 Index (25.20), we can say MOS is valued rather cheaply.
MOS is valuated reasonably with a Price/Forward Earnings ratio of 9.95.
94.12% of the companies in the same industry are more expensive than MOS, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.63, MOS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.48 | ||
| Fwd PE | 9.95 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MOS indicates a rather cheap valuation: MOS is cheaper than 88.24% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MOS indicates a rather cheap valuation: MOS is cheaper than 83.53% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.69 | ||
| EV/EBITDA | 5.55 |
4.3 Compensation for Growth
The decent profitability rating of MOS may justify a higher PE ratio.
A cheap valuation may be justified as MOS's earnings are expected to decrease with -6.50% in the coming years.
PEG (NY)N/A
PEG (5Y)0.77
EPS Next 2Y-8.46%
EPS Next 3Y-6.5%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.76%, MOS has a reasonable but not impressive dividend return.
MOS's Dividend Yield is a higher than the industry average which is at 3.34.
Compared to an average S&P500 Dividend Yield of 2.44, MOS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.76% |
5.2 History
The dividend of MOS is nicely growing with an annual growth rate of 58.93%!
MOS has paid a dividend for at least 10 years, which is a reliable track record.
As MOS did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)58.93%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
30.18% of the earnings are spent on dividend by MOS. This is a low number and sustainable payout ratio.
MOS's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP30.18%
EPS Next 2Y-8.46%
EPS Next 3Y-6.5%
MOSAIC CO/THE
NYSE:MOS (4/25/2024, 7:05:51 PM)
After market: 30.15 -0.13 (-0.43%)30.28
-0.21 (-0.69%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap9.74B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.76% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Min Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.48 | ||
| Fwd PE | 9.95 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.06% | ||
| ROE | 9.48% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 9.77% | ||
| PM (TTM) | 8.51% | ||
| GM | 16.14% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.22 | ||
| Quick Ratio | 0.57 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-67.57%
EPS 3Y61.34%
EPS 5Y
EPS growth Q2Q
EPS Next Y-14.77%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-28.39%
Revenue growth 3Y16.41%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y