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Martin Marietta Materials (Martin Marietta Materials) Intrinsic Value: Projected FCF : $250.23 (As of Apr. 24, 2024)


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What is Martin Marietta Materials Intrinsic Value: Projected FCF?

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today (2024-04-24), Martin Marietta Materials's Intrinsic Value: Projected FCF is $250.23. The stock price of Martin Marietta Materials is $591.82. Therefore, Martin Marietta Materials's Price-to-Intrinsic-Value-Projected-FCF of today is 2.4.

The historical rank and industry rank for Martin Marietta Materials's Intrinsic Value: Projected FCF or its related term are showing as below:

MLM' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 1.43   Med: 1.86   Max: 2.41
Current: 2.37

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of Martin Marietta Materials was 2.41. The lowest was 1.43. And the median was 1.86.

MLM's Price-to-Projected-FCF is ranked worse than
83.66% of 306 companies
in the Building Materials industry
Industry Median: 0.84 vs MLM: 2.37

Martin Marietta Materials Intrinsic Value: Projected FCF Historical Data

The historical data trend for Martin Marietta Materials's Intrinsic Value: Projected FCF 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.

* Premium members only.

Martin Marietta Materials Intrinsic Value: Projected FCF Chart

Martin Marietta Materials Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 142.34 161.73 182.57 205.71 250.23

Martin Marietta Materials Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Intrinsic Value: Projected FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 205.71 197.50 210.20 236.23 250.23

Competitive Comparison of Martin Marietta Materials's Intrinsic Value: Projected FCF

For the Building Materials subindustry, Martin Marietta Materials's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF 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.


Martin Marietta Materials's Price-to-Projected-FCF Distribution in the Building Materials Industry

For the Building Materials industry and Basic Materials sector, Martin Marietta Materials's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where Martin Marietta Materials's Price-to-Projected-FCF falls into.



Martin Marietta Materials Intrinsic Value: Projected FCF Calculation

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of Total Stockholders Equity.

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + 0.8 * Total Stockholders Equity (most recent) ) / Shares Outstanding (Diluted Average)

In the case of negative Total Stockholders Equity, the following formula is used (see Explanation section below for the reason):

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + Total Stockholders Equity (most recent) / 0.8 ) / Shares Outstanding (Diluted Average)


Add all the Free Cash Flow together and divide 6 will get Martin Marietta Materials's Free Cash Flow(6 year avg) = $613.14.

Martin Marietta Materials's Intrinsic Value: Projected FCF for today is calculated as

Intrinsic Value: Projected FCF=(Growth Multiple*Free Cash Flow (6 year avg)+Total Stockholders Equity (Dec23)*0.8)/Shares Outstanding (Diluted Average)
=(14.862653310476*613.13968+8033.2*0.8)/62.100
=250.23

* 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.


Martin Marietta Materials  (NYSE:MLM) Intrinsic Value: Projected FCF Explanation

The growth multiple is capped between 8.35 and 17.74.

Total Stockholders Equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy median after taking the above ideas into consideration.

Martin Marietta Materials's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=591.82/250.23256835324
=2.37

* 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.


Martin Marietta Materials Intrinsic Value: Projected FCF Related Terms

Thank you for viewing the detailed overview of Martin Marietta Materials's Intrinsic Value: Projected FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


Martin Marietta Materials (Martin Marietta Materials) Business Description

Traded in Other Exchanges
Address
4123 Parklake Avenue, Raleigh, NC, USA, 27612
Martin Marietta Materials is one of the United States' largest producer of construction aggregates (crushed stone, sand, and gravel). In 2022, Martin Marietta sold 207 million tons of aggregates. Martin Marietta's most important markets include Texas, Colorado, North Carolina, Georgia, and Florida, accounting for most of its sales. The company also produces cement in Texas and uses its aggregates in its asphalt and ready-mixed concrete businesses. Martin's magnesia specialties business produces magnesia-based chemical products and dolomitic lime.
Executives
Craig M Latorre officer: Sr. VP, CHRO 2710 WYCLIFF ROAD, RALEIGH NC 27607
Kelly Gean Bennett officer: Sr VP, Human Resources 4123 PARKLAKE AVENUE, RALEIGH NC 27612
Sue W Cole director C/O US TRUST CO OF NORTH CAROLINA, 301 N. ELM ST., GREENSBORO NC 27401
Oliver W Brooks officer: SVP - Enterprise Excellence 4123 PARKLAKE AVENUE, RALEIGH NC 27612
John P Mohr officer: SVP - CIO 2710 WYCLIFF ROAD, RALEIGH NC 27607
Michael J Petro officer: SVP - Strategy and Development 4123 PARKLAKE AVENUE, RALEIGH NC 27612
C Howard Nye officer: Pres & Chief Operating Officer 2710 WYCLIFF ROAD, RALEIGH NC 27607
Roselyn R Bar officer: VP, Gen. Counsel and Secy C/O MARTIN MARIETTA MATERIALS INC, 2710 WYCLIFF ROAD, RALEIGH NC 27607
Anthony R Foxx director 2710 WYCLIFF ROAD, RALEIGH NC 27607
Zelnak Stephen P Jr director, officer: Chairman, President and CEO MARTIN MARIETTA MATERIALS INC, 2710 WYCLIFF ROAD, RALEIGH NC 27607
David C Wajsgras director 870 WINTER STREET, WALTHAM MA 02451
John J Koraleski director MARTIN MARIETTA, 2710 WYCLIFF ROAD, RALEIGH NC 27607
Daniel L. Grant officer: SVP - Strategy and Development 2710 WYCLIFF ROAD, RALEIGH NC 27607
Thomas Pike director C/O ACCENTURE, 161 N. CLARK STREET, 23RD FLOOR, CHICAGO IL 60601
Laree E Perez director 1111 LOUISIANA STREET, HOUSTON TX 77002