Mueller Industries Current Valuation vs. Operating Margin

MLI Stock  USD 78.68  0.20  0.25%   
Based on Mueller Industries' profitability indicators, Mueller Industries is performing exceptionally good at this time. It has a great probability to showcase excellent profitability results in January. Profitability indicators assess Mueller Industries' ability to earn profits and add value for shareholders. The Mueller Industries' current Price To Sales Ratio is estimated to increase to 1.59. The Mueller Industries' current Days Sales Outstanding is estimated to increase to 50.40. As of now, Mueller Industries' Net Income is increasing as compared to previous years. The Mueller Industries' current Income Tax Expense is estimated to increase to about 231.8 M, while Accumulated Other Comprehensive Income is forecasted to increase to (44.9 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.30.2885
Sufficiently Up
Slightly volatile
Net Profit Margin0.190.1763
Significantly Up
Slightly volatile
Operating Profit Margin0.230.221
Sufficiently Up
Slightly volatile
Pretax Profit Margin0.260.2471
Sufficiently Up
Slightly volatile
Return On Assets0.230.2185
Notably Up
Slightly volatile
Return On Equity0.270.2579
Sufficiently Up
Slightly volatile
For Mueller Industries profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Mueller Industries to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Mueller Industries utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Mueller Industries's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Mueller Industries over time as well as its relative position and ranking within its peers.
  

Mueller Industries' Revenue Breakdown by Earning Segment

Check out Correlation Analysis.
For more detail on how to invest in Mueller Stock please use our How to Invest in Mueller Industries guide.
Is Industrial Machinery & Supplies & Components space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Mueller Industries. If investors know Mueller will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Mueller Industries listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
0.265
Dividend Share
0.75
Earnings Share
5.14
Revenue Per Share
32.118
Quarterly Revenue Growth
0.217
The market value of Mueller Industries is measured differently than its book value, which is the value of Mueller that is recorded on the company's balance sheet. Investors also form their own opinion of Mueller Industries' value that differs from its market value or its book value, called intrinsic value, which is Mueller Industries' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Mueller Industries' market value can be influenced by many factors that don't directly affect Mueller Industries' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Mueller Industries' value and its price as these two are different measures arrived at by different means. Investors typically determine if Mueller Industries is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Mueller Industries' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Mueller Industries Operating Margin vs. Current Valuation Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Mueller Industries's current stock value. Our valuation model uses many indicators to compare Mueller Industries value to that of its competitors to determine the firm's financial worth.
Mueller Industries is rated top company in current valuation category among its peers. It also is considered to be number one stock in operating margin category among its peers . The ratio of Current Valuation to Operating Margin for Mueller Industries is about  40,350,661,663 . As of now, Mueller Industries' Operating Profit Margin is increasing as compared to previous years. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Mueller Industries' earnings, one of the primary drivers of an investment's value.

Mueller Current Valuation vs. Competition

Mueller Industries is rated top company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Industrials industry is now estimated at about 34.17 Billion. Mueller Industries totals roughly 8.25 Billion in current valuation claiming about 24% of equities under Industrials industry.

Mueller Operating Margin vs. Current Valuation

Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.

Mueller Industries

Enterprise Value

 = 

Market Cap + Debt

-

Cash

 = 
8.25 B
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.

Mueller Industries

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.20 %
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.

Mueller Operating Margin Comparison

Mueller Industries is currently under evaluation in operating margin category among its peers.

Mueller Industries Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Mueller Industries, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Mueller Industries will eventually generate negative long term returns. The profitability progress is the general direction of Mueller Industries' change in net profit over the period of time. It can combine multiple indicators of Mueller Industries, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income-47.2 M-44.9 M
Operating Income756.1 M793.9 M
Income Before Tax845.2 M887.5 M
Total Other Income Expense Net89.2 M93.6 M
Net Income602.9 M633 M
Income Tax Expense220.8 M231.8 M
Net Income Applicable To Common Shares757.1 M794.9 M
Net Income From Continuing Ops609.6 M640.1 M
Non Operating Income Net Other-1.9 M-2 M
Interest Income38.2 M40.1 M
Net Interest Income37 M38.8 M
Change To Netincome3.5 M6.6 M
Net Income Per Share 5.41  5.68 
Income Quality 1.12  1.39 
Net Income Per E B T 0.71  0.76 

Mueller Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Mueller Industries. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Mueller Industries position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Mueller Industries' important profitability drivers and their relationship over time.

Use Mueller Industries in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Mueller Industries position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Mueller Industries will appreciate offsetting losses from the drop in the long position's value.

Mueller Industries Pair Trading

Mueller Industries Pair Trading Analysis

The ability to find closely correlated positions to Mueller Industries could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Mueller Industries when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Mueller Industries - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Mueller Industries to buy it.
The correlation of Mueller Industries is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Mueller Industries moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Mueller Industries moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Mueller Industries can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Mueller Industries position

In addition to having Mueller Industries in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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When determining whether Mueller Industries offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Mueller Industries' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Mueller Industries Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Mueller Industries Stock:
Check out Correlation Analysis.
For more detail on how to invest in Mueller Stock please use our How to Invest in Mueller Industries guide.
You can also try the Portfolio Manager module to state of the art Portfolio Manager to monitor and improve performance of your invested capital.
To fully project Mueller Industries' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Mueller Industries at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Mueller Industries' income statement, its balance sheet, and the statement of cash flows.
Potential Mueller Industries investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Mueller Industries investors may work on each financial statement separately, they are all related. The changes in Mueller Industries's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Mueller Industries's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.