Is the business good?
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.
6.3%
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 18% · 12 months to Q2 2026
- Cash conversion
- 0.33×
Cash conversion · 0.88× a year ago · some of the reported profit has not turned into cash yet
- 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 from the cash flow statement.
Building Materials
Ranks #1 of 11 by Smart Score