MichelinXPAR:ML +2.75%83 FCF Margin % is 15.60% as of Dec. 2025, which is 154% above its 10-year median of 6.13. GuruFocus rates XPAR:ML with a GF Score™ of 83/100 and a GF Value™ of €30.15 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 1,321 Vehicles & Parts companies, Michelin ranks better than 74.87% on this metric.
FCF Margin % is calculated as Free Cash Flow divided by its Revenue. Michelin's Free Cash Flow for the
six
months ended in Dec. 2025 was €2,023 Mil. Michelin's Revenue for the
six
months ended in Dec. 2025 was €12,964 Mil. Therefore, Michelin's FCF Margin % for the quarter that ended in Dec. 2025 was 15.60%.
The historical rank and industry rank for Michelin's FCF Margin % or its related term are showing as below:
XPAR:ML'
s FCF Margin % Range Over the Past 10 Years
Min: -0.73 Med: 6.13 Max: 10.63
Current: 6.89
During the past 13 years, the highest FCF Margin % of Michelin was 10.63%. The lowest was -0.73%. And the median was 6.13%.
XPAR:ML's FCF Margin % is ranked better than 74.87% of 1321
companies
in the Vehicles & Parts industry
Industry Median: 2.22
vs XPAR:ML: 6.89
Michelin FCF Margin % Related Terms
Michelin FCF Margin % Historical Data
* Premium members only.
The historical data trend for Michelin's FCF Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Auto Parts subindustry, Michelin's FCF Margin %, along with its competitors' market caps and FCF Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Michelin FCF Margin % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Michelin's FCF Margin % distribution charts can be found below:
* The bar in red indicates where Michelin's FCF Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Michelin (XPAR:ML) has a FCF Margin % of 15.60% as of Dec. 2025. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Michelin and its competitors. This is 154% above median its historical median of 6.13. According to the industry distribution chart, Michelin ranks #332 out of 1321 companies in the Vehicles & Parts industry, placing it in the top 25.1%.
Is Michelin's FCF Margin % too high?
Michelin's current FCF Margin % of 15.60% is 154% above median its 10-year median of 6.13. The Vehicles & Parts industry median FCF Margin % is 2.22. Michelin's value of 15.60% is 602.7% above this industry median. Based on the distribution chart, Michelin ranks #332 out of 1321 companies in the Vehicles & Parts industry, which is above the industry midpoint. Overall, Michelin has a GF Score™ of 83/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Michelin's FCF Margin % compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Michelin ranks #332 out of 1321 companies for FCF Margin %. This puts Michelin in the upper half of its industry. The industry median FCF Margin % is 2.22. Michelin's value of 15.60% is 602.7% above this benchmark. While the company's 10-year median is 6.13 vs. the industry median of 2.22, Michelin has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Margin % for a Vehicles & Parts company?
The median FCF Margin % among Vehicles & Parts companies is 2.22, based on 1,321 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Michelin's current FCF Margin % of 15.60% is 602.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Michelin and its competitors. For the Vehicles & Parts industry, the median FCF Margin % is 2.22 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Michelin's current FCF Margin % is 15.60%, which is 154% above median its own 10-year median of 6.13. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Michelin stock overvalued right now?
Based on GuruFocus' analysis, Michelin (XPAR:ML) is currently considered Modestly Overvalued. The stock's GF Value™ is €30.15, compared to a current price of €33.57 — trading 11.3% above its estimated fair value. The current FCF Margin % is 15.60%, which is 154% above median its 10-year median of 6.13 and 602.7% above the Vehicles & Parts industry median of 2.22. Michelin's overall GF Score™ is 83/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For Michelin (XPAR:ML), the current FCF Margin % is 15.60% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Michelin (XPAR:ML) Overvalued in 2026?
Based on GuruFocus' analysis, Michelin stock appears to be overvalued.
The current stock price of €33.57 is trading 11.3% above its estimated GF Value™ of €30.15.
GuruFocus considers Michelin to be Modestly Overvalued.
Key valuation signals for XPAR:ML:
FCF Margin %: 15.60% (154% above median its 10-year median of 6.13)
GF Value™: €30.15 vs. price of €33.57 (11.3% above fair value)
Industry Position: 602.7% above the Vehicles & Parts median (#332 of 1321)
No single metric tells the full story. See the XPAR:ML stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Michelin manufactures tires for passenger vehicles. The company also makes tires for all types of commercial vehicles as well as bicycle, motorcycle, earthmover, aviation, and agricultural tires. Its operations are organized into three operating segments namely Automotive and two-wheel; Road transportation; and Specialty businesses. The company generates maximum revenue from Automotive segments. The Specialty businesses include the Mining, Beyond-road, Two-wheel and Aircraft tire activities, as well as the High-Tech Materials activities. The Services & Solutions businesses are included for the majority part in the Road transportation and related distribution segment.
83GF Score
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