Loading...

Martin Marietta Materials

NYSE:MLM
Snowflake Description

Adequate balance sheet average dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
MLM
NYSE
$12B
Market Cap
  1. Home
  2. US
  3. Materials
Company description

Martin Marietta Materials, Inc., a natural resource-based building materials company, supplies aggregates and heavy building materials to the construction industry in the United States and internationally. The last earnings update was 23 days ago. More info.


Add to Portfolio Compare Print
MLM Share Price and Events
7 Day Returns
2.7%
NYSE:MLM
1.8%
US Basic Materials
1.2%
US Market
1 Year Returns
-5.3%
NYSE:MLM
-11.4%
US Basic Materials
3%
US Market
MLM Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Martin Marietta Materials (MLM) 2.7% 3% 16.6% -5.3% 27.2% 56.1%
US Basic Materials 1.8% 2.7% 19.5% -11.4% 12.2% 49.9%
US Market 1.2% 2.1% 14.6% 3% 39% 43.5%
1 Year Return vs Industry and Market
  • MLM outperformed the Basic Materials industry which returned -11.4% over the past year.
  • MLM underperformed the Market in United States of America which returned 3% over the past year.
Price Volatility
MLM
Industry
5yr Volatility vs Market

Value

 Is Martin Marietta Materials undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Martin Marietta Materials to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Martin Marietta Materials.

NYSE:MLM Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 12 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.9%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:MLM
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Basic Materials Unlevered Beta Simply Wall St/ S&P Global 0.89
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.886 (1 + (1- 21%) (25.53%))
1.043
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.04
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.043 * 5.96%)
8.95%

Discounted Cash Flow Calculation for NYSE:MLM using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Martin Marietta Materials is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:MLM DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 8.95%)
2019 466.93 Analyst x3 428.58
2020 568.43 Analyst x3 478.89
2021 671.00 Analyst x1 518.87
2022 754.29 Est @ 12.41% 535.37
2023 826.00 Est @ 9.51% 538.12
2024 887.74 Est @ 7.47% 530.84
2025 941.45 Est @ 6.05% 516.72
2026 989.04 Est @ 5.05% 498.25
2027 1,032.13 Est @ 4.36% 477.26
2028 1,072.07 Est @ 3.87% 455.01
Present value of next 10 years cash flows $4,977.92
NYSE:MLM DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $1,072.07 × (1 + 2.73%) ÷ (8.95% – 2.73%)
$17,711.31
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $17,711.31 ÷ (1 + 8.95%)10
$7,517.05
NYSE:MLM Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $4,977.92 + $7,517.05
$12,494.97
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $12,494.97 / 62.43
$200.14
NYSE:MLM Discount to Share Price
Calculation Result
Value per share (USD) From above. $200.14
Current discount Discount to share price of $195.76
= -1 x ($195.76 - $200.14) / $200.14
2.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Martin Marietta Materials is available for.
Intrinsic value
2%
Share price is $195.76 vs Future cash flow value of $200.14
Current Discount Checks
For Martin Marietta Materials to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Martin Marietta Materials's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Martin Marietta Materials's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Martin Marietta Materials's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Martin Marietta Materials's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:MLM PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $7.46
NYSE:MLM Share Price ** NYSE (2019-03-20) in USD $195.76
United States of America Basic Materials Industry PE Ratio Median Figure of 11 Publicly-Listed Basic Materials Companies 26.51x
United States of America Market PE Ratio Median Figure of 3,058 Publicly-Listed Companies 17.69x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Martin Marietta Materials.

NYSE:MLM PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:MLM Share Price ÷ EPS (both in USD)

= 195.76 ÷ 7.46

26.24x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Martin Marietta Materials is good value based on earnings compared to the US Basic Materials industry average.
  • Martin Marietta Materials is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Martin Marietta Materials's expected growth come at a high price?
Raw Data
NYSE:MLM PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 26.24x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts
15.8%per year
United States of America Basic Materials Industry PEG Ratio Median Figure of 7 Publicly-Listed Basic Materials Companies 1.28x
United States of America Market PEG Ratio Median Figure of 2,103 Publicly-Listed Companies 1.48x

*Line of best fit is calculated by linear regression .

NYSE:MLM PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 26.24x ÷ 15.8%

1.66x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Martin Marietta Materials is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Martin Marietta Materials's assets?
Raw Data
NYSE:MLM PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $79.12
NYSE:MLM Share Price * NYSE (2019-03-20) in USD $195.76
United States of America Basic Materials Industry PB Ratio Median Figure of 13 Publicly-Listed Basic Materials Companies 2.06x
United States of America Market PB Ratio Median Figure of 5,156 Publicly-Listed Companies 1.89x
NYSE:MLM PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:MLM Share Price ÷ Book Value per Share (both in USD)

= 195.76 ÷ 79.12

2.47x

* Primary Listing of Martin Marietta Materials.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Martin Marietta Materials is overvalued based on assets compared to the US Basic Materials industry average.
X
Value checks
We assess Martin Marietta Materials's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Basic Materials industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Basic Materials industry average (and greater than 0)? (1 check)
  5. Martin Marietta Materials has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Martin Marietta Materials expected to perform in the next 1 to 3 years based on estimates from 12 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
15.8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Martin Marietta Materials expected to grow at an attractive rate?
  • Martin Marietta Materials's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Martin Marietta Materials's earnings growth is expected to exceed the United States of America market average.
  • Martin Marietta Materials's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:MLM Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:MLM Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts 15.8%
NYSE:MLM Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 12 Analysts 8.5%
United States of America Basic Materials Industry Earnings Growth Rate Market Cap Weighted Average 18.8%
United States of America Basic Materials Industry Revenue Growth Rate Market Cap Weighted Average 7.4%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.3%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:MLM Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:MLM Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 5,061 1,046 764 3
2020-12-31 4,854 953 662 12
2019-12-31 4,557 881 563 12
NYSE:MLM Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 3,980 705 469
2018-09-30 3,934 681 751
2018-06-30 3,814 667 722
2018-03-31 3,682 689 679
2017-12-31 3,723 658 711
2017-09-30 3,701 686 434
2017-06-30 3,717 709 441
2017-03-31 3,635 695 421
2016-12-31 3,579 689 424
2016-09-30 3,469 675 408
2016-06-30 3,435 656 366
2016-03-31 3,370 606 327

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Martin Marietta Materials's earnings are expected to grow by 15.8% yearly, however this is not considered high growth (20% yearly).
  • Martin Marietta Materials's revenue is expected to grow by 8.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:MLM Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below

All data from Martin Marietta Materials Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:MLM Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 12.13 13.03 11.24 2.00
2020-12-31 10.60 11.65 9.45 10.00
2019-12-31 8.98 9.62 8.60 10.00
NYSE:MLM Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 7.46
2018-09-30 11.93
2018-06-30 11.47
2018-03-31 10.79
2017-12-31 11.30
2017-09-30 6.88
2017-06-30 6.99
2017-03-31 6.65
2016-12-31 6.66
2016-09-30 6.36
2016-06-30 5.63
2016-03-31 4.97

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Martin Marietta Materials is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Martin Marietta Materials's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Martin Marietta Materials has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Martin Marietta Materials performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Martin Marietta Materials's growth in the last year to its industry (Basic Materials).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Martin Marietta Materials has delivered over 20% year on year earnings growth in the past 5 years.
  • Martin Marietta Materials's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Martin Marietta Materials's 1-year earnings growth is negative, it can't be compared to the US Basic Materials industry average.
Earnings and Revenue History
Martin Marietta Materials's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Martin Marietta Materials Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:MLM Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 3,980.35 469.19 283.62
2018-09-30 3,934.08 751.10 270.97
2018-06-30 3,814.35 722.28 260.60
2018-03-31 3,682.42 679.09 262.71
2017-12-31 3,723.48 711.31 272.94
2017-09-30 3,700.67 433.63 270.93
2017-06-30 3,716.53 441.35 265.36
2017-03-31 3,635.12 421.10 252.79
2016-12-31 3,578.65 423.61 253.10
2016-09-30 3,468.51 407.97 230.02
2016-06-30 3,435.39 366.20 230.13
2016-03-31 3,370.20 327.48 227.13
2015-12-31 3,268.12 287.54 210.75
2015-09-30 3,266.88 268.29 270.72
2015-06-30 3,179.60 204.83 264.26
2015-03-31 2,931.29 181.42 244.04
2014-12-31 2,679.10 154.99 169.25
2014-09-30 2,390.93 127.60 201.79
2014-06-30 2,073.44 145.92 189.92
2014-03-31 1,978.84 127.55 199.38
2013-12-31 1,943.22 121.57 195.18
2013-09-30 1,907.86 107.01 226.06
2013-06-30 1,844.91 98.00 221.60
2013-03-31 1,826.48 93.77 210.86
2012-12-31 1,832.96 85.15 178.69
2012-09-30 1,751.62 71.85 142.84
2012-06-30 1,659.12 57.86 144.25
2012-03-31 1,579.78 57.58 141.72

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Martin Marietta Materials has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Martin Marietta Materials used its assets less efficiently than the US Basic Materials industry average last year based on Return on Assets.
  • Martin Marietta Materials has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Martin Marietta Materials's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Basic Materials industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Martin Marietta Materials has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Martin Marietta Materials's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Martin Marietta Materials's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Martin Marietta Materials is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Martin Marietta Materials's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Martin Marietta Materials's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.4x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Martin Marietta Materials Company Filings, last reported 2 months ago.

NYSE:MLM Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 4,949.41 3,120.48 44.89
2018-09-30 4,942.33 3,209.70 53.96
2018-06-30 4,855.47 3,218.92 33.78
2018-03-31 4,679.83 3,028.11 1,422.37
2017-12-31 4,682.48 3,027.20 1,446.36
2017-09-30 4,333.98 1,723.59 35.22
2017-06-30 4,200.53 1,785.78 36.72
2017-03-31 4,075.95 1,846.29 55.42
2016-12-31 4,142.59 1,686.19 50.04
2016-09-30 4,158.40 1,764.84 60.68
2016-06-30 4,016.50 1,786.36 28.60
2016-03-31 3,945.64 1,752.76 27.24
2015-12-31 4,060.18 1,579.01 168.41
2015-09-30 4,252.58 1,705.15 436.43
2015-06-30 4,310.43 1,658.00 44.17
2015-03-31 4,342.18 1,581.02 56.37
2014-12-31 4,352.75 1,585.58 108.65
2014-09-30 4,375.61 1,618.28 73.60
2014-06-30 1,567.00 1,084.80 34.33
2014-03-31 1,544.29 1,067.94 35.80
2013-12-31 1,574.92 1,033.48 42.44
2013-09-30 1,498.88 1,123.80 57.24
2013-06-30 1,440.67 1,093.32 43.71
2013-03-31 1,410.06 1,078.53 37.26
2012-12-31 1,450.30 1,047.86 25.39
2012-09-30 1,470.02 1,098.89 35.42
2012-06-30 1,416.80 1,147.60 41.39
2012-03-31 1,398.28 1,136.76 44.95
  • Martin Marietta Materials's level of debt (63%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (65.7% vs 63% today).
  • Debt is well covered by operating cash flow (22.6%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 5.4x coverage).
X
Financial health checks
We assess Martin Marietta Materials's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Martin Marietta Materials has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Martin Marietta Materials's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.98%
Current annual income from Martin Marietta Materials dividends. Estimated to be 1% next year.
If you bought $2,000 of Martin Marietta Materials shares you are expected to receive $20 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Martin Marietta Materials's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.45%).
  • Martin Marietta Materials's dividend is below the markets top 25% of dividend payers in United States of America (3.64%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:MLM Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below
United States of America Basic Materials Industry Average Dividend Yield Market Cap Weighted Average of 7 Stocks 1%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2004 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:MLM Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 2.06 3.00
2020-12-31 1.96 9.00
2019-12-31 1.92 9.00
NYSE:MLM Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-02-21 1.920 0.994
2018-11-15 1.920 1.063
2018-08-23 1.920 1.049
2018-05-17 1.760 0.808
2018-02-22 1.760 0.860
2017-11-16 1.760 0.814
2017-08-24 1.760 0.849
2017-05-19 1.680 0.759
2017-02-24 1.680 0.767
2016-11-11 1.680 0.747
2016-08-22 1.680 0.916
2016-05-19 1.600 0.832
2016-02-19 1.600 0.992
2015-11-13 1.600 1.173
2015-08-21 1.600 1.009
2015-05-22 1.600 1.038
2015-01-22 1.600 1.165
2014-11-14 1.600 1.400
2014-08-22 1.600 1.294
2014-05-23 1.600 1.247
2014-01-24 1.600 1.331
2013-11-15 1.600 1.597
2013-08-23 1.600 1.632
2013-05-24 1.600 1.558
2013-01-25 1.600 1.580
2012-11-15 1.600 1.719
2012-08-24 1.600 1.921
2012-05-25 1.600 2.150
2012-01-27 1.600 1.936
2011-11-09 1.600 2.114
2011-08-18 1.600 2.351
2011-05-13 1.600 2.061
2011-01-28 1.600 1.823
2010-11-11 1.600 1.829
2010-08-19 1.600 2.042
2010-05-28 1.600 1.861
2010-01-29 1.600 1.857
2009-11-11 1.600 1.837
2009-08-20 1.600 1.772
2009-05-28 1.600 1.951
2009-03-23 1.600 1.877

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Martin Marietta Materials's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (4.1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (5.8x coverage).
X
Income/ dividend checks
We assess Martin Marietta Materials's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Martin Marietta Materials afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Martin Marietta Materials has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Martin Marietta Materials's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Ward Nye
COMPENSATION $8,989,165
AGE 55
TENURE AS CEO 9.2 years
CEO Bio

Mr. C. Howard Nye, also known as Ward, has been the Chief Executive Officer and President of Martin Marietta Materials, Inc. since January 1, 2010 and August 10, 2006 respectively. Mr. Nye serves as President of Aggregates Business at Martin Marietta Materials, Inc. since 2010. He serves as Chairman of Magnesia Specialties Business at Martin Marietta Materials, Inc. since 2007. He served as the President and Chief Operating Officer of Martin Marietta Materials, Inc. from August 10, 2006 to 2009. He has 13 years of experience in the aggregates industry. He served as an Executive Vice President of Hanson Aggregates North America from 2003 to 2006. He served as President of Hanson Aggregates East from 2000 to 2003 with operating responsibility for over 150 facilities in 12 states with annual revenue of more than $500 million. He served as Vice President Business Development for Hanson Building Materials America from 1997 to 2000. He began his career in the aggregates industry as General Counsel for Hanson Aggregates East with additional responsibility for environmental and safety and health. Mr. Nye has been the Chairman of the Board at Martin Marietta Materials, Inc. since May 22, 2014. He has been the Chairman of the Board of National Stone, Sand and Gravel Association since March 19, 2013 and has been its Director since January 2010. He served as a Director at Cree, Inc. since October 2015 until October 2018. He has been a Director at General Dynamics Corp., since May 2, 2018. He has been a Director of Martin Marietta Materials, Inc. since January 1, 2010. He serves as a Director Romeo Guest Associates, Inc. He serves as a Director of the American Road & Transportation Builders Association (ARTBA). He is a member of the Board of Directors of the United States Chamber of Commerce. He serves as a Member of the Duke University Alumni Board. He was a Gubernatorial appointee to the North Carolina Mining Commission. He holds a Bachelor of Arts degree with honors from Duke University in 1984. Mr. Nye also holds a Juris Doctorate degree from Wake Forest University in 1987.

CEO Compensation
  • Ward's compensation has been consistent with company performance over the past year.
  • Ward's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Martin Marietta Materials management team in years:

7.3
Average Tenure
54
Average Age
  • The average tenure for the Martin Marietta Materials management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Ward Nye

TITLE
Chairman
COMPENSATION
$9M
AGE
55
TENURE
9.2 yrs

Jim Nickolas

TITLE
Senior VP
COMPENSATION
$2M
AGE
47
TENURE
1.6 yrs

Roselyn Bar

TITLE
Executive VP
COMPENSATION
$4M
AGE
59
TENURE
18.2 yrs

Donald McCunniff

TITLE
Senior Vice President of Human Resources
COMPENSATION
$2M
AGE
61
TENURE
8.2 yrs

Daniel Grant

TITLE
Senior Vice President of Strategy & Development
COMPENSATION
$2M
AGE
63
TENURE
6.2 yrs

Jay Moreau

TITLE
Vice President of Operations
AGE
52
TENURE
7.3 yrs

John Mohr

TITLE
Senior VP & Chief Information Officer
AGE
53
TENURE
1.3 yrs

Suzanne Osberg

TITLE
Vice President of Investor Relations

Dana Guzzo

TITLE
Senior Vice President of Sustainability
COMPENSATION
$631K
AGE
52

Bob Meskimen

TITLE
President of Northwest Division and Senior Vice President
Board of Directors Tenure

Average tenure and age of the Martin Marietta Materials board of directors in years:

5
Average Tenure
67
Average Age
  • The tenure for the Martin Marietta Materials board of directors is about average.
Board of Directors

Ward Nye

TITLE
Chairman
COMPENSATION
$9M
AGE
55
TENURE
4.8 yrs

Stephen Zelnak

TITLE
Director
COMPENSATION
$250K
AGE
73
TENURE
26.2 yrs

Laree Perez

TITLE
Independent Director
COMPENSATION
$243K
AGE
64
TENURE
14.4 yrs

Sue Cole

TITLE
Independent Director
COMPENSATION
$289K
AGE
67
TENURE
17.2 yrs

Mike Quillen

TITLE
Lead Independent Director
COMPENSATION
$300K
AGE
69
TENURE
5.2 yrs

Dennis Rediker

TITLE
Independent Director
COMPENSATION
$253K
AGE
74
TENURE
15.5 yrs

Don Slager

TITLE
Director
COMPENSATION
$202K
AGE
56
TENURE
2.8 yrs

John Koraleski

TITLE
Director
COMPENSATION
$207K
AGE
67
TENURE
2.6 yrs

Smith Davis

TITLE
Director
AGE
69
TENURE
0.8 yrs

Dorothy Ables

TITLE
Independent Director
AGE
60
TENURE
0.3 yrs
Who owns this company?
Recent Insider Trading
  • Martin Marietta Materials insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
06. Mar 19 Sell Sue Cole Individual 05. Mar 19 05. Mar 19 -1,500 $195.07 $-292,611
28. Feb 19 Sell Donald McCunniff Individual 27. Feb 19 28. Feb 19 -2,223 $190.90 $-421,886
18. Dec 18 Buy John Koraleski Individual 14. Dec 18 14. Dec 18 1,000 $174.07 $174,070
24. Aug 18 Sell Donald McCunniff Individual 22. Aug 18 22. Aug 18 -2,250 $204.33 $-459,731
01. Aug 18 Buy Stephen Zelnak Individual 30. Jul 18 30. Jul 18 3,500 $202.87 $710,045
30. Jul 18 Buy John Koraleski Individual 27. Jul 18 27. Jul 18 2,400 $208.06 $499,332
13. Jun 18 Sell Donald McCunniff Individual 13. Jun 18 13. Jun 18 -4,226 $230.72 $-975,031
X
Management checks
We assess Martin Marietta Materials's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Martin Marietta Materials has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

How Much is Martin Marietta Materials, Inc.'s (NYSE:MLM) CEO Getting Paid?

This analysis aims first to contrast CEO compensation with other large companies. … How Does Ward Nye's Compensation Compare With Similar Sized Companies. … has a market cap of US$12b, and is paying total annual CEO compensation of US$9.0m.

Simply Wall St -

It's Time To Buy Martin Marietta Materials, Inc. (NYSE:MLM)

Today I want to bring to light the market's darling - Martin Marietta Materials, Inc.. … Looking at its size, financial health and track record, I believe there's an opportunity with Martin Marietta Materials during these volatile times. … Martin Marietta Materials, Inc., a natural resource-based building materials company, supplies aggregates and heavy building materials to the construction industry in the United States and internationallyC

Simply Wall St -

Martin Marietta Materials, Inc. (NYSE:MLM): Is It A Smart Long Term Opportunity?

Looking at Martin Marietta Materials, Inc.'s (NYSE:MLM) earnings update on 31 December 2018, … analyst consensus outlook appear cautiously optimistic, … with profits predicted to increase by 20% next year,

Simply Wall St -

Why I Like Martin Marietta Materials, Inc. (NYSE:MLM)

Help shape the future of investing tools and receive a $20 prize! … I've been keeping an eye on Martin Marietta Materials, Inc. … Looking at the company as a whole, as a potential stock investment, I believe MLM has a lot to offer.

Simply Wall St -

Should You Investigate Martin Marietta Materials, Inc. (NYSE:MLM) At US$184?

The company's stock. … As a large-cap stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock … However, what if the stock is still a bargain?

Simply Wall St -

Here's How P/E Ratios Can Help Us Understand Martin Marietta Materials, Inc. (NYSE:MLM)

To keep it practical, we'll show how Martin Marietta Materials, Inc.'s (NYSE:MLM) P/E ratio could help you assess the value on offer. … Based on the last twelve months, Martin Marietta Materials's P/E ratio is 15.11. … How Do I Calculate Martin Marietta Materials's Price To Earnings Ratio

Simply Wall St -

Martin Marietta Materials, Inc. (NYSE:MLM): Time For A Financial Health Check

This article will examine Martin Marietta Materials’s financial liquidity and debt levels to get an idea of whether the company can deal with cyclical downturns and maintain funds to accommodate strategic spending for future growth. … Remember this is a very top-level look that focuses exclusively on financial health, so I recommend a deeper analysis … See our latest analysis for Martin Marietta Materials

Simply Wall St -

Can Martin Marietta Materials, Inc. (NYSE:MLM) Maintain Its Strong Returns?

Martin Marietta Materials has a ROE of 15%, based on the last twelve months. … That means that for every $1 worth of shareholders' equity, it generated $0.15 in profit. … Check out our latest analysis for Martin Marietta Materials?

Simply Wall St -

Have Insiders Been Selling Martin Marietta Materials, Inc. (NYSE:MLM) Shares?

So shareholders might well want to know whether insiders have been buying or selling shares in Martin Marietta Materials, Inc. … The Last 12 Months Of Insider Transactions At Martin Marietta Materials. … So we know that an insider sold shares at around the present share price of US$175.

Simply Wall St -

Is Martin Marietta Materials Inc (NYSE:MLM) Worth US$185 Based On Intrinsic Value?

I am going to run you through how I calculated the intrinsic value of Martin Marietta Materials Inc (NYSE:MLM). … by taking the expected future cash flows and discounting them to their present value. … If you are reading this and its not December 2018 then I highly recommend you check out the latest calculation for Martin Marietta Materials by following the link below

Simply Wall St -

Company Info

Description

Martin Marietta Materials, Inc., a natural resource-based building materials company, supplies aggregates and heavy building materials to the construction industry in the United States and internationally. The company offers crushed stone, sand, and gravel products; ready mixed concrete and asphalt; paving products and services; Portland and specialty cement for use in the infrastructure projects, and nonresidential and residential construction markets, as well as in the railroad, agricultural, utility, and environmental industries. It also manufactures and markets magnesia-based chemical products for the industrial, agricultural, and environmental applications; and dolomitic lime primarily for customers in the steel and mining industries, as well as provides road paving construction services. The company’s chemical products are used in flame retardants, wastewater treatment, pulp and paper production, and other environmental applications. Martin Marietta Materials, Inc. was founded in 1993 and is headquartered in Raleigh, North Carolina.

Details
Name: Martin Marietta Materials, Inc.
MLM
Exchange: NYSE
Founded: 1993
$12,221,404,076
62,430,548
Website: http://www.martinmarietta.com
Address: Martin Marietta Materials, Inc.
2710 Wycliff Road,
Raleigh,
North Carolina, 27607,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE MLM Common Stock New York Stock Exchange US USD 17. Feb 1994
DB MMX Common Stock Deutsche Boerse AG DE EUR 17. Feb 1994
LSE 0JZ0 Common Stock London Stock Exchange GB USD 17. Feb 1994
Number of employees
Current staff
Staff numbers
8,714
Martin Marietta Materials employees.
Industry
Construction Materials
Materials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/20 23:40
End of day share price update: 2019/03/20 00:00
Last estimates confirmation: 2019/03/06
Last earnings filing: 2019/02/25
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.