MERSEN (MRN.PA) Stock Fundamental Analysis
Europe - EPA:MRN - FR0000039620 - Common Stock
27.95 EUR
+0.55 (+2.01%)
Taking everything into account, MRN scores 5 out of 10 in our fundamental rating. MRN was compared to 61 industry peers in the Electrical Equipment industry. MRN has a medium profitability rating, but doesn't score so well on its financial health evaluation. MRN is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year MRN was profitable.
In the past year MRN had a positive cash flow from operations.
Of the past 5 years MRN 4 years were profitable.
In the past 5 years MRN always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of MRN (2.71%) is better than 67.21% of its industry peers.
MRN has a better Return On Equity (6.26%) than 62.30% of its industry peers.
Looking at the Return On Invested Capital, with a value of 6.56%, MRN is in the better half of the industry, outperforming 70.49% of the companies in the same industry.
MRN had an Average Return On Invested Capital over the past 3 years of 7.82%. This is in line with the industry average of 9.35%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.71% | ||
| ROE | 6.26% | ||
| ROIC | 6.56% |
ROA(3y)4.43%
ROA(5y)3.3%
ROE(3y)9.18%
ROE(5y)6.84%
ROIC(3y)7.82%
ROIC(5y)7.1%
1.3 Margins
With a decent Profit Margin value of 4.03%, MRN is doing good in the industry, outperforming 72.13% of the companies in the same industry.
MRN's Profit Margin has declined in the last couple of years.
MRN has a Operating Margin of 9.65%. This is amongst the best in the industry. MRN outperforms 81.97% of its industry peers.
MRN's Operating Margin has been stable in the last couple of years.
MRN has a worse Gross Margin (29.63%) than 62.30% of its industry peers.
In the last couple of years the Gross Margin of MRN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.65% | ||
| PM (TTM) | 4.03% | ||
| GM | 29.63% |
OM growth 3Y1.63%
OM growth 5Y-0.4%
PM growth 3Y-6.98%
PM growth 5Y-4.68%
GM growth 3Y-0.41%
GM growth 5Y-0.36%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), MRN is creating some value.
The number of shares outstanding for MRN has been increased compared to 1 year ago.
Compared to 5 years ago, MRN has more shares outstanding
MRN has a worse debt/assets ratio than last year.
2.2 Solvency
MRN has an Altman-Z score of 2.01. This is not the best score and indicates that MRN is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.01, MRN is in line with its industry, outperforming 57.38% of the companies in the same industry.
The Debt to FCF ratio of MRN is 32.06, which is on the high side as it means it would take MRN, 32.06 years of fcf income to pay off all of its debts.
MRN's Debt to FCF ratio of 32.06 is in line compared to the rest of the industry. MRN outperforms 49.18% of its industry peers.
MRN has a Debt/Equity ratio of 0.57. This is a neutral value indicating MRN is somewhat dependend on debt financing.
MRN has a Debt to Equity ratio (0.57) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.57 | ||
| Debt/FCF | 32.06 | ||
| Altman-Z | 2.01 |
ROIC/WACC0.9
WACC7.26%
2.3 Liquidity
A Current Ratio of 1.39 indicates that MRN should not have too much problems paying its short term obligations.
MRN's Current ratio of 1.39 is in line compared to the rest of the industry. MRN outperforms 50.82% of its industry peers.
A Quick Ratio of 0.81 indicates that MRN may have some problems paying its short term obligations.
MRN has a Quick ratio of 0.81. This is comparable to the rest of the industry: MRN outperforms 40.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.39 | ||
| Quick Ratio | 0.81 |
3. Growth
3.1 Past
MRN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -35.71%.
The Earnings Per Share has been decreasing by -1.64% on average over the past years.
Looking at the last year, MRN shows a small growth in Revenue. The Revenue has grown by 0.23% in the last year.
MRN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.53% yearly.
EPS 1Y (TTM)-35.71%
EPS 3Y-1.43%
EPS 5Y-1.64%
EPS Q2Q%-24.55%
Revenue 1Y (TTM)0.23%
Revenue growth 3Y10.46%
Revenue growth 5Y5.53%
Sales Q2Q%-2.18%
3.2 Future
The Earnings Per Share is expected to grow by 22.45% on average over the next years. This is a very strong growth
MRN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.90% yearly.
EPS Next Y-8.7%
EPS Next 2Y3.78%
EPS Next 3Y8.25%
EPS Next 5Y22.45%
Revenue Next Year-1.43%
Revenue Next 2Y1.38%
Revenue Next 3Y3.06%
Revenue Next 5Y10.9%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 14.12, MRN is valued correctly.
Based on the Price/Earnings ratio, MRN is valued cheaply inside the industry as 91.80% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of MRN to the average of the S&P500 Index (27.57), we can say MRN is valued slightly cheaper.
With a Price/Forward Earnings ratio of 9.09, the valuation of MRN can be described as very reasonable.
86.89% of the companies in the same industry are more expensive than MRN, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.09, MRN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.12 | ||
| Fwd PE | 9.09 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MRN indicates a rather cheap valuation: MRN is cheaper than 90.16% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MRN indicates a somewhat cheap valuation: MRN is cheaper than 62.30% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.92 | ||
| EV/EBITDA | 5.52 |
4.3 Compensation for Growth
The decent profitability rating of MRN may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y3.78%
EPS Next 3Y8.25%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.43%, MRN has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.00, MRN pays a better dividend. On top of this MRN pays more dividend than 95.08% of the companies listed in the same industry.
MRN's Dividend Yield is a higher than the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.43% |
5.2 History
The dividend of MRN has a limited annual growth rate of 4.49%.
Dividend Growth(5Y)4.49%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
62.30% of the earnings are spent on dividend by MRN. This is not a sustainable payout ratio.
MRN's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP62.3%
EPS Next 2Y3.78%
EPS Next 3Y8.25%
EPA:MRN (10/23/2025, 12:31:07 PM)
27.95
+0.55 (+2.01%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners54.65%
Inst Owner ChangeN/A
Ins Owners0.3%
Ins Owner ChangeN/A
Market Cap682.54M
Revenue(TTM)1.23B
Net Income(TTM)49.60M
Analysts80
Price Target30.44 (8.91%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.43% |
Yearly Dividend1.27
Dividend Growth(5Y)4.49%
DP62.3%
Div Incr Years0
Div Non Decr Years3
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)1.36%
PT rev (3m)9.77%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0.27%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.12 | ||
| Fwd PE | 9.09 | ||
| P/S | 0.55 | ||
| P/FCF | 35.92 | ||
| P/OCF | 3.13 | ||
| P/B | 0.86 | ||
| P/tB | 1.54 | ||
| EV/EBITDA | 5.52 |
EPS(TTM)1.98
EY7.08%
EPS(NY)3.08
Fwd EY11.01%
FCF(TTM)0.78
FCFY2.78%
OCF(TTM)8.93
OCFY31.95%
SpS50.37
BVpS32.44
TBVpS18.12
PEG (NY)N/A
PEG (5Y)N/A
Graham Number38.02
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.71% | ||
| ROE | 6.26% | ||
| ROCE | 8.78% | ||
| ROIC | 6.56% | ||
| ROICexc | 7.5% | ||
| ROICexgc | 10.63% | ||
| OM | 9.65% | ||
| PM (TTM) | 4.03% | ||
| GM | 29.63% | ||
| FCFM | 1.54% |
ROA(3y)4.43%
ROA(5y)3.3%
ROE(3y)9.18%
ROE(5y)6.84%
ROIC(3y)7.82%
ROIC(5y)7.1%
ROICexc(3y)8.35%
ROICexc(5y)7.71%
ROICexgc(3y)11.56%
ROICexgc(5y)11.01%
ROCE(3y)10.7%
ROCE(5y)9.74%
ROICexgc growth 3Y-0.83%
ROICexgc growth 5Y-3.01%
ROICexc growth 3Y1.22%
ROICexc growth 5Y-1.49%
OM growth 3Y1.63%
OM growth 5Y-0.4%
PM growth 3Y-6.98%
PM growth 5Y-4.68%
GM growth 3Y-0.41%
GM growth 5Y-0.36%
F-Score4
Asset Turnover0.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.57 | ||
| Debt/FCF | 32.06 | ||
| Debt/EBITDA | 2.28 | ||
| Cap/Depr | 252.03% | ||
| Cap/Sales | 16.19% | ||
| Interest Coverage | 5.68 | ||
| Cash Conversion | 110.32% | ||
| Profit Quality | 38.31% | ||
| Current Ratio | 1.39 | ||
| Quick Ratio | 0.81 | ||
| Altman-Z | 2.01 |
F-Score4
WACC7.26%
ROIC/WACC0.9
Cap/Depr(3y)237.61%
Cap/Depr(5y)200.5%
Cap/Sales(3y)14.05%
Cap/Sales(5y)11.94%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-35.71%
EPS 3Y-1.43%
EPS 5Y-1.64%
EPS Q2Q%-24.55%
EPS Next Y-8.7%
EPS Next 2Y3.78%
EPS Next 3Y8.25%
EPS Next 5Y22.45%
Revenue 1Y (TTM)0.23%
Revenue growth 3Y10.46%
Revenue growth 5Y5.53%
Sales Q2Q%-2.18%
Revenue Next Year-1.43%
Revenue Next 2Y1.38%
Revenue Next 3Y3.06%
Revenue Next 5Y10.9%
EBIT growth 1Y-14.3%
EBIT growth 3Y12.26%
EBIT growth 5Y5.11%
EBIT Next Year79.76%
EBIT Next 3Y29.07%
EBIT Next 5Y29.42%
FCF growth 1Y196.88%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y56.46%
OCF growth 3Y18.43%
OCF growth 5Y9.52%