Mueller Industries (MLI) AI Stock Analysis

• Market Cap: $8.36B
• Dividend Yield: 1.16%
• Average Volume (3M): 1.02M
• Price to Earnings (P/E): 13.8
• Beta (1Y): 0.88
• Revenue Growth: 18.81%
• EPS Growth: 10.05%
• Country: US
• Employees: 5,168
• Sector: Industrials
• Sector Strength: 78
• Industry: Manufacturing - Metal Fabrication
• EPS (TTM): 5.49
• Shares Outstanding: 110,649,750
• 10 Day Avg. Volume: 1,054,611
• 30 Day Avg. Volume: 1,020,321
• PEG Ratio: 1.37
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.94
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 7.50
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $105.00
• Price Target Upside: 38.98% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

Mueller Industries holds a strong financial foundation with consistent profitability and a robust balance sheet, supporting a high score. Technical analysis indicates some caution due to bearish momentum, which lowers the score slightly. The valuation is fair, offering a balanced risk-reward profile. Overall, the company is well-positioned within its sector, though attention to revenue growth and cash reserves is needed.

Mueller Industries Business Overview & Revenue Model

Company Description

Mueller Industries, Inc. manufactures and sells copper, brass, aluminum, and plastic products in the United States, the United Kingdom, Canada, South Korea, the Middle East, China, and Mexico. It operates through three segments: Piping Systems, Industrial Metals, and Climate. The Piping Systems segment offers copper tubes, fittings, line sets, and pipe nipples; PEX plumbing and radiant systems; and plumbing-related fittings and plastic injection tooling. It also resells steel pipes, brass and plastic plumbing valves, malleable iron fittings and faucets, and plumbing specialties; and supplies water tubes. This segment sells its products to wholesalers in the plumbing and refrigeration markets, distributors to the manufactured housing and recreational vehicle industries, building material retailers, and air-conditioning original equipment manufacturers (OEMs). The Industrial Metals segment manufactures brass, bronze, and copper alloy rods; plumbing brass, valves, and fittings; cold-form aluminum and copper products; machining of aluminum, steel, brass, and cast iron impacts and castings; brass and aluminum forgings; brass, aluminum, and stainless-steel valves; fluid control solutions; and gas train assembles to OEMs in the industrial, construction, HVAC, plumbing, and refrigeration markets. The Climate segment offers valves, protection devices, and brass fittings for various OEMs in the commercial HVAC and refrigeration markets; high-pressure components and accessories for the air-conditioning and refrigeration markets; coaxial heat exchangers and twisted tubes for the HVAC, geothermal, refrigeration, swimming pool heat pump, marine, ice machine, commercial boiler, and heat reclamation markets; insulated HVAC flexible duct systems; and brazed manifolds, headers, and distributor assemblies. The company was founded in 1917 and is headquartered in Collierville, Tennessee.

How the Company Makes Money

Mueller Industries makes money primarily through the manufacturing and sale of a wide array of metal and plastic products. Its key revenue streams come from three main segments: Piping Systems, which offers copper tubes and fittings; Industrial Metals, which includes brass and aluminum bars and forgings; and Climate, which provides products for HVAC and refrigeration systems. The company benefits from long-term relationships and contracts with distributors and OEMs (Original Equipment Manufacturers), driving consistent demand for its products. Additionally, Mueller Industries leverages its extensive distribution network to ensure efficient delivery and availability of its products across various regions, enhancing its revenue potential.

Mueller Industries Financial Statement Overview

Summary

Mueller Industries exhibits strong financial performance with consistent profitability and solid balance sheet metrics. Despite slight revenue and cash reserve declines, the company maintains stable margins and healthy equity growth, indicating effective management and financial resilience.

Income Statement

Mueller Industries demonstrates strong profitability with consistent gross and net profit margins. The TTM (Trailing-Twelve-Months) gross profit margin stands at 46%, supported by robust net income levels. Despite a slight decline in revenue growth over the years, the company maintains a healthy EBIT margin of 20% and strong EBITDA performance. The revenue growth rate has shown fluctuations, but overall profitability remains stable, indicating effective cost management and operational efficiency.

Balance Sheet

The company maintains a solid balance sheet with a low debt-to-equity ratio, reflecting conservative leverage practices. The equity ratio is impressive at approximately 83% for TTM, indicating a strong financial foundation. Return on equity (ROE) is healthy, though slightly declining, suggesting profit generation challenges. The company's steady stockholders' equity growth provides resilience against financial uncertainties despite the slight decrease in cash reserves.

Cash Flow

Mueller Industries showcases a robust cash flow profile with consistent free cash flow generation and a positive free cash flow growth trend. The operating cash flow to net income ratio is strong, indicating effective conversion of profits into cash. While capital expenditures are manageable, there is a noticeable decline in investing cash flow, which warrants monitoring. Overall, the cash flow stability supports ongoing operational and strategic initiatives.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
3.77B	3.42B	3.98B	3.77B	2.40B
	Gross Profit
1.04B	986.83M	1.12B	830.36M	431.88M
	EBIT
770.39M	756.05M	877.15M	655.85M	245.84M
	EBITDA
874.00M	886.41M	920.57M	648.21M	273.28M
	Net Income Common Stockholders
604.88M	602.90M	658.32M	468.52M	139.49M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.06B	1.27B	678.88M	87.92M	119.08M
	Total Assets
3.29B	2.76B	2.24B	1.73B	1.53B
	Total Debt
33.76M	35.56M	2.03M	1.88M	327.88M
	Net Debt
-1.00B	-1.14B	-458.99M	-86.05M	208.80M
	Total Liabilities
486.50M	400.58M	428.44M	471.97M	727.51M
	Stockholders Equity
2.77B	2.34B	1.79B	1.22B	776.75M
Cash Flow		Free Cash Flow
565.71M	618.74M	686.30M	279.87M	201.19M
	Operating Cash Flow
645.91M	672.77M	723.94M	311.70M	245.07M
	Investing Cash Flow
-606.93M	135.08M	-242.00M	29.07M	-125.62M
	Financing Cash Flow
-160.48M	-104.51M	-102.66M	-376.72M	-92.26M

Mueller Industries Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 75.55
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MLI, the sentiment is Positive. The current price of 75.55 is above the 20-day moving average (MA) of 72.26, below the 50-day MA of 76.42, and below the 200-day MA of 76.20, indicating a neutral trend. The MACD of -0.96 indicates Negative momentum. The RSI at 48.79 is Neutral, neither overbought nor oversold. The STOCH value of 78.25 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MLI.

Mueller Industries Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CRS	80 Outperform	$8.54B	32.25	21.78%	0.40%	7.40%	168.67%
ESAB	80 Outperform	$7.17B	27.42	16.99%	0.25%	-1.22%	28.46%
ATI	76 Outperform	$9.39B	24.08	25.42%	―	6.82%	3.49%
MLI	75 Outperform	$8.36B	13.77	24.51%	1.16%	18.81%	10.05%
AZZ	70 Outperform	$2.71B	50.62	13.01%	0.78%	2.61%	-53.74%
WOR	66 Neutral	$2.60B	43.48	6.56%	1.31%	-69.82%	-78.10%
Sector *	64 Neutral	$4.28B	11.80	5.30%	250.74%	4.12%	-9.02%