The Mosaic Company Fundamental Analysis (NYSE: MOS)
The Mosaic Company (NYSE: MOS) shows weak financial fundamentals with a PE ratio of 116.12, profit margin of 0.36%, and ROE of 0.36%. The company generates $11.9B in annual revenue with moderate year-over-year growth of 8.36%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 26.1/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze MOS's fundamental strength across five key dimensions:
Efficiency Score
WeakMOS struggles to generate sufficient returns from assets.
Valuation Score
ModerateMOS shows balanced valuation metrics.
Growth Score
ModerateMOS shows steady but slowing expansion.
Financial Health Score
ExcellentMOS maintains a strong and stable balance sheet.
Profitability Score
WeakMOS struggles to sustain strong margins.
Key Financial Metrics
Is MOS Expensive or Cheap?
P/E Ratio
MOS trades at 116.12 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, MOS's PEG of -1.25 indicates potential undervaluation.
Price to Book
The market values The Mosaic Company at 0.64 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 1.07 times EBITDA. This is generally considered low.
How Well Does MOS Make Money?
Net Profit Margin
For every $100 in sales, The Mosaic Company keeps $0.36 as profit after all expenses.
Operating Margin
Core operations generate 1.41 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $0.36 in profit for every $100 of shareholder equity.
ROA
The Mosaic Company generates $0.18 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
The Mosaic Company generates limited operating cash flow of $443.93M, signaling weaker underlying cash strength.
Free Cash Flow
The Mosaic Company generates weak or negative free cash flow of $-946.94M, restricting financial flexibility.
FCF Per Share
Each share generates $-2.98 in free cash annually.
FCF Yield
MOS converts -12.81% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
116.12
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-1.25
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.64
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.62
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.51
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.34
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.004
vs 25 benchmark
ROA
Return on assets percentage
0.002
vs 25 benchmark
ROCE
Return on capital employed
0.008
vs 25 benchmark
How MOS Stacks Against Its Sector Peers
| Metric | MOS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 116.12 | 27.31 | Worse (Expensive) |
| ROE | 0.36% | 1175.00% | Weak |
| Net Margin | 0.36% | 198.00% | Weak |
| Debt/Equity | 0.51 | 0.73 | Strong (Low Leverage) |
| Current Ratio | 1.34 | 3.13 | Neutral |
| ROA | 0.18% | 2742.00% | Weak |
MOS outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews The Mosaic Company's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
65.82%
Industry Style: Cyclical, Commodity, Value
High GrowthEPS CAGR
-3.04%
Industry Style: Cyclical, Commodity, Value
DecliningFCF CAGR
-37.75%
Industry Style: Cyclical, Commodity, Value
Declining