Should You Be Holding LVMH Moët Hennessy – Louis Vuitton, Société Européenne (EPA:MC)?

Attractive stocks have exceptional fundamentals. In the case of LVMH Moët Hennessy – Louis Vuitton, Société Européenne (EPA:MC), there’s is a financially-healthy , dividend-paying company with an impressive history of performance. Below, I’ve touched on some key aspects you should know on a high level. For those interested in understanding where the figures come from and want to see the analysis, take a look at the report on LVMH Moët Hennessy – Louis Vuitton Société Européenne here.

Solid track record with adequate balance sheet and pays a dividend

In the previous year, MC has ramped up its bottom line by 10%, with its latest earnings level surpassing its average level over the last five years. This illustrates a strong track record, leading to a satisfying return on equity of 21%. which paints a buoyant picture for the company. MC’s strong financial health means that all of its upcoming liability payments are able to be met by its current cash and short-term investment holdings. This suggests prudent control over cash and cost by management, which is a crucial insight into the health of the company. MC’s has produced operating cash levels of 0.71x total debt over the past year, which implies that MC’s management has put its borrowings into good use by generating enough cash to cover a sufficient portion of borrowings.

ENXTPA:MC Income Statement, July 26th 2019
ENXTPA:MC Income Statement, July 26th 2019

For those seeking income streams from their portfolio, MC is a robust dividend payer as well. Over the past decade, the company has consistently increased its dividend payout, reaching a yield of 1.6%.

ENXTPA:MC Historical Dividend Yield, July 26th 2019
ENXTPA:MC Historical Dividend Yield, July 26th 2019

Next Steps:

For LVMH Moët Hennessy – Louis Vuitton Société Européenne, I’ve compiled three pertinent factors you should further examine:

  1. Future Outlook: What are well-informed industry analysts predicting for MC’s future growth? Take a look at our free research report of analyst consensus for MC’s outlook.
  2. Valuation: What is MC worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether MC is currently mispriced by the market.
  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of MC? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.