MLMMartin Marietta Materials
Is the business good?
A genuinely good business: 7 of 9 health tests passed and earnings fully cash-backed (1.4×).
High fundamental quality. Nine pass/fail tests of year-over-year health from the filings.
Operating profit is fully backed by cash. Conversion is worsening vs a year ago.
Negative operating leverage, costs are rising faster than sales, squeezing margins as it grows.
Margin-driven, fat margins on slower asset turns. ROE 17% = margin × turnover × leverage.
Unless marked, from derived.
Against the whole market›
Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is MLM?
Martin Marietta Materials earns 6.3% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
Return on invested capital · cost of capital 9.0% · 2.7 points below what the capital costs: growth destroys value
- Operating margin
- 21%
Operating margin · Building Materials median 17% · 12 months to Q2 2026
- Cash conversion
- 1.38×
Cash conversion · 1.75× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- −0.33%
Share count, year on year · flat: no meaningful dilution
| Year | Operating margin |
|---|---|
| FY2020 | 21% |
| FY2021 | 18% |
| FY2022 | 20% |
| FY2023 | 23% |
| FY2024 | 44% |
| FY2025 | 23% |
Details›
- Gross margin12 months to Q2 2026
- 28%
- Operating margin12 months to Q2 2026
- 21%
- Net margin12 months to Q2 2026
- 37%
- Free cash flow margin
- 12%
- Revenue, trailing twelve months
- $6.69B
- Free cash flow, trailing twelve months
- $810M
- Net income, trailing twelve months
- $2.46B
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 6.3%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Building Materials
The closest names by size in the same industry