Martin Marietta Materials
Market Cap
US$11.3b
Last Updated
2020/03/30 00:52 UTC
Data Sources
Company Financials +
Executive Summary
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.
Rewards
Risk Analysis
Snowflake Analysis
Proven track record average dividend payer.
Similar Companies
Share Price & News
How has Martin Marietta Materials's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MLM's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
25.7%
MLM
22.5%
US Basic Materials
12.5%
US Market
1 Year Return
-11.2%
MLM
-20.3%
US Basic Materials
-12.7%
US Market
Return vs Industry: MLM exceeded the US Basic Materials industry which returned -20.3% over the past year.
Return vs Market: MLM exceeded the US Market which returned -12.7% over the past year.
Shareholder returns
| MLM | Industry | Market | |
|---|---|---|---|
| 7 Day | 25.7% | 22.5% | 12.5% |
| 30 Day | -20.4% | -23.2% | -14.7% |
| 90 Day | -35.2% | -36.1% | -21.5% |
| 1 Year | -10.4%-11.2% | -19.6%-20.3% | -10.9%-12.7% |
| 3 Year | -13.2%-15.5% | -24.1%-25.9% | 12.6%5.4% |
| 5 Year | 36.0%30.1% | 10.3%6.1% | 31.9%17.5% |
Price Volatility Vs. Market
How volatile is Martin Marietta Materials's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 days ago | Simply Wall St
Update: Martin Marietta Materials (NYSE:MLM) Stock Gained 32% In The Last Five Years1 week ago | Simply Wall St
A Sliding Share Price Has Us Looking At Martin Marietta Materials, Inc.'s (NYSE:MLM) P/E Ratio3 weeks ago | Simply Wall St
Are Investors Undervaluing Martin Marietta Materials, Inc. (NYSE:MLM) By 36%?Valuation
Is Martin Marietta Materials undervalued compared to its fair value and its price relative to the market?
15.3%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: MLM ($181.22) is trading below our estimate of fair value ($213.87)
Significantly Below Fair Value: MLM is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: MLM is poor value based on its PE Ratio (18.5x) compared to the Basic Materials industry average (13.9x).
PE vs Market: MLM is poor value based on its PE Ratio (18.5x) compared to the US market (13x).
Price to Earnings Growth Ratio
PEG Ratio: MLM is poor value based on its PEG Ratio (3.9x)
Price to Book Ratio
PB vs Industry: MLM is overvalued based on its PB Ratio (2.1x) compared to the US Basic Materials industry average (1.1x).
Next Steps
Future Growth
How is Martin Marietta Materials forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?
4.7%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MLM's forecast earnings growth (4.7% per year) is above the savings rate (1.7%).
Earnings vs Market: MLM's earnings (4.7% per year) are forecast to grow slower than the US market (12.3% per year).
High Growth Earnings: MLM's earnings are forecast to grow, but not significantly.
Revenue vs Market: MLM's revenue (5.4% per year) is forecast to grow slower than the US market (7.3% per year).
High Growth Revenue: MLM's revenue (5.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: MLM's Return on Equity is forecast to be low in 3 years time (9.6%).
Next Steps
Past Performance
How has Martin Marietta Materials performed over the past 5 years?
21.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MLM has high quality earnings.
Growing Profit Margin: MLM's current net profit margins (13.8%) are higher than last year (11.8%).
Past Earnings Growth Analysis
Earnings Trend: MLM's earnings have grown significantly by 21% per year over the past 5 years.
Accelerating Growth: MLM's earnings growth over the past year (30.2%) exceeds its 5-year average (21% per year).
Earnings vs Industry: MLM earnings growth over the past year (30.2%) underperformed the Basic Materials industry 32.4%.
Return on Equity
High ROE: MLM's Return on Equity (11.4%) is considered low.
Next Steps
Financial Health
How is Martin Marietta Materials's financial position?
Financial Position Analysis
Short Term Liabilities: MLM's short term assets ($1.4B) exceed its short term liabilities ($838.5M).
Long Term Liabilities: MLM's short term assets ($1.4B) do not cover its long term liabilities ($3.9B).
Debt to Equity History and Analysis
Debt Level: MLM's debt to equity ratio (51.8%) is considered high.
Reducing Debt: MLM's debt to equity ratio has increased from 36.4% to 51.8% over the past 5 years.
Debt Coverage: MLM's debt is well covered by operating cash flow (34.8%).
Interest Coverage: MLM's interest payments on its debt are well covered by EBIT (6.8x coverage).
Balance Sheet
Inventory Level: MLM has a high level of physical assets or inventory.
Debt Coverage by Assets: MLM's debt is not covered by short term assets (assets are 0.5x debt).
Next Steps
Dividend
What is Martin Marietta Materials's current dividend yield, its reliability and sustainability?
1.21%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: MLM's dividend (1.21%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.98%).
High Dividend: MLM's dividend (1.21%) is low compared to the top 25% of dividend payers in the US market (5.49%).
Stability and Growth of Payments
Stable Dividend: MLM's dividends per share have been stable in the past 10 years.
Growing Dividend: MLM's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (21.1%), MLM's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: MLM's dividends in 3 years are forecast to be well covered by earnings (20.2% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
5.2yrs
Average management tenure
CEO
Ward Nye (56yo)
10.17s
Tenure
US$8,533,458
Compensation
Mr. C. Howard Nye, also known as Ward, has been the Chief Executive Officer and President of Martin Marietta Materials, Inc. since January 1, 2010 and August 10, 2006 respectively. Mr. Nye serves as Presid ...
CEO Compensation Analysis
Compensation vs Market: Ward's total compensation ($USD8.53M) is about average for companies of similar size in the US market ($USD11.74M).
Compensation vs Earnings: Ward's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 10.17yrs | US$8.53m | 0.27% $30.4m | |
| Senior VP & CFO | 2.58yrs | US$2.01m | 0.019% $2.2m | |
| Executive VP | 19.17yrs | US$3.10m | 0.090% $10.2m | |
| Senior Vice President of Strategy & Development | 7.17yrs | US$1.42m | 0.030% $3.3m | |
| Vice President of Operations | 8.25yrs | no data | no data | |
| Senior VP | 0.83yr | no data | 0.00038% $42.8k | |
| Senior VP & Chief Information Officer | 5.17yrs | no data | 0.019% $2.2m | |
| Vice President of Investor Relations | no data | no data | no data | |
| Senior Vice President of Sustainability | 1yr | US$631.28k | 0.035% $4.0m | |
| Senior VP & Chief Human Resource Officer | 0.75yr | no data | 0.0016% $182.6k |
5.2yrs
Average Tenure
54yo
Average Age
Experienced Management: MLM's management team is seasoned and experienced (5.2 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 10.17yrs | US$8.53m | 0.27% $30.4m | |
| Independent Director | 3.83yrs | US$247.82k | 0.0035% $396.8k | |
| Independent Director | 27.17yrs | US$294.60k | 0.037% $4.2m | |
| Independent Director | 3.58yrs | US$260.05k | 0.012% $1.3m | |
| Independent Director | 18.17yrs | US$328.87k | 0.042% $4.8m | |
| Independent Director | 15.42yrs | US$301.70k | 0.023% $2.6m | |
| Independent Director | 1.33yrs | US$161.68k | 0.0022% $243.5k | |
| Lead Independent Director | 6.17yrs | US$335.60k | 0.032% $3.6m | |
| Independent Director | 0.67yr | no data | 0.00093% $104.8k | |
| Independent Director | 1.83yrs | US$225.07k | 0.0038% $430.6k |
4.8yrs
Average Tenure
66.5yo
Average Age
Experienced Board: MLM's board of directors are considered experienced (4.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Martin Marietta Materials, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Martin Marietta Materials, Inc.
- Ticker: MLM
- Exchange: NYSE
- Founded: 1993
- Industry: Construction Materials
- Sector: Materials
- Market Cap: US$11.272b
- Shares outstanding: 62.20m
- Website: https://www.martinmarietta.com
Number of Employees
Location
- Martin Marietta Materials, Inc.
- 2710 Wycliff Road
- Raleigh
- North Carolina
- 27607-3033
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| MLM | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Feb 1994 |
| MMX | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Feb 1994 |
| MLM * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Feb 1994 |
| 0JZ0 | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Feb 1994 |
| M1LM34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH 5 REPR 1 COM | BR | BRL | Jan 2020 |
Biography
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. It offers crushed stone, sand, and gravel products; ready mixed concrete and asphalt; paving products and services; Portland and specialty cement used in the infrastructure projects, and nonresidential and residential construction markets, as well as in the railroad, agricultural, utility, and environmental industries. The company 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. Its chemical products are used in flame retardants, wastewater treatment, pulp and paper production, and other environmental applications. The company was founded in 1993 and is headquartered in Raleigh, North Carolina.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/03/30 00:52 |
| End of Day Share Price | 2020/03/27 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.