MLMNEUTRAL

MLM Return on Equity (ROE) Analysis

8.9%

Updated 33h ago·SEC filings & market data

Key Takeaway

Return on equity (ROE) measures how much profit a company generates for each dollar of shareholder equity, and MLM's current 8.9% means it earns $0.089 for every $1 of equity.

Sector Performance

34th percentile

MLM

8.9%

Sector Median

13.3%

Sector Avg

16.9%

Prior Period

9.5%(Jul 2026)

↓ Declining

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Deep Analysis

Return on equity (ROE) measures how much profit a company generates for each dollar of shareholder equity, and MLM's current 8.9% means it earns $0.089 for every $1 of equity.

That level sits below the sector median of 13.8%, placing the company at the 32nd percentile among peers—meaning 68% of comparable firms report higher ROE. The 8-quarter trend is not available, and the year-over-year change is also N/A; quarter-over-quarter, ROE fell by 6.3% from 9.5% to 8.9%. The current level is already below average, and the sequential decline points to weakening profitability rather than recovery. For investors, the combination of below-median returns and a downward quarterly move suggests elevated risk of continued underperformance, though the absolute positive ROE keeps it from being a red flag. This metric directly contradicts the overall neutral verdict, as both the level and the trend argue for a more cautious stance.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about MLM?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

Who are MLM's closest peers by Return on Equity (ROE)?

The closest peers by Return on Equity (ROE) include: LOW (-67.1%), MAR (-69.0%), BMBL (-76.9%), WBA (-82.7%), NIO (-84.0%).

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Learn More About Return on Equity (ROE)

What Is Return on Equity (ROE) and Is Higher Always Better?

Return on equity ROE measures how efficiently a company generates profit from shareholder capital. Learn how to decompose ROE using DuPont analysis and why high leverage can make it dangerous—with Apple and JPMorgan examples.

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.