MLM · Intrinsic value
Is Martin Marietta Materials, Inc. (MLM) overvalued or undervalued?
Martin Marietta Materials, Inc. (MLM) trades at the delayed market price of $507.25 a share. That price already implies revenue growth of more than 25%/yr. TickerWorth's fair value is $284.57 a share (78% above fair value), as of Oct 20, 2026. It is a model estimate, and every input behind it is sourced below.
Model by Miraaj Patel · generated from SEC filings and market data · Updated Oct 20, 2026 · How these pages are made
Is MLM overvalued?
- Fair value
- $284.57
- Market price
- $507.25
- Downside to fair value
- 43.9%
- Verdict
- 78% above fair value
Reverse DCF: Today's price implies revenue growth of more than 25%/yr. Above about 25% a year the reverse-DCF stops being informative. It solves for revenue growth alone — holding margins, capital intensity and the forecast horizon fixed — so a price well above our cash-flow model's value has nowhere to go but growth, and the solver returns a rate the model can't reconcile. Read it as "the price implies growth we can't justify", not as a forecast.
What is MLM's TickerWorth Score?
Scores lower than almost every company we compare it with
Compared with Basic Materials companies in US
Its strongest point: a profitable, high-quality business. Its weakest: trades above our estimate of what it's worth.
- Value · 31 of 100
Cheaper than 31% of Basic Materials companies in US
- Price vs worth · 15 of 100
- Quality · 54 of 100
More profitable than 54% of Basic Materials companies in US
- Financial health · 23 of 100
Financially stronger than 23% of Basic Materials companies in US
- Growth · 42 of 100
Growing faster than 42% of Basic Materials companies in US
- Momentum · 12 of 100
Outperformed 12% of Basic Materials companies in US over the past year
Confidence: High confidence · Scored
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MLM DCF valuation: what the price assumes
At a recent price of $507.25, Martin Marietta Materials, Inc. (MLM) trades 78% above TickerWorth's blended fair value of $284.57 per share — a discounted-cash-flow model cross-checked against peer multiples and asset value — meaning the market currently prices MLM overvalued vs our estimate of what the business is intrinsically worth. Our fair value sits below the market, an implied -43.9% move to close the gap if the business performs in line with our assumptions. This is an educational model, not a price target or a recommendation — the value moves with the inputs, which you can test yourself using the WACC slider below.
Read the full reasoning
One of the lenses behind that blended figure is a discounted-cash-flow model, which on its own values MLM at about $189.58 per share. The rest of this page walks through that DCF — its assumptions, reverse-DCF and discount-rate sensitivity — because it is the auditable anchor of the blend.
The valuation discounts Martin Marietta Materials, Inc.'s projected free cash flows at a weighted-average cost of capital (WACC) of 9.7%, with a long-run terminal growth rate of 2.5%. About 72% of the enterprise value comes from the terminal value — the portion beyond the explicit forecast window — which is typical for a stable, cash-generative business and a reminder that small changes in the discount rate or terminal growth assumption swing the intrinsic value meaningfully.
Running the DCF in reverse — solving for the growth the current price already assumes — MLM would need sustained revenue growth of more than 25%/yr to justify today's price, against about 8.6% a year compounded in our base case. We don't quote a precise figure here, because past about 25% a year the reverse-DCF stops being informative: it solves for revenue growth alone, holding margins, capital intensity and the forecast horizon fixed, so a price well above our fair value has nowhere to go but growth. The honest reading is that the price implies growth this model can't reconcile — not that we forecast it.
Sensitivity matters more than any single number. Across a reasonable band of discount-rate assumptions, MLM's modeled DCF value ranges from about $124.45 to $322.82 per share. If that range still sits below today's price, the market is optimistic relative to the model across the whole band; if it brackets the price, the stock is roughly fairly valued on our assumptions. Use the interactive slider to see exactly where your own cost-of-capital view lands.
How to read this page: the DCF fair value is what Martin Marietta Materials, Inc. would be worth if its cash flows grow as modeled and are discounted at the stated WACC. The assumptions table shows every input and its source; the reverse-DCF shows what the market believes; the sensitivity band shows how fragile the answer is. None of this is investment advice — it is a transparent, auditable framework for forming your own view of MLM's intrinsic value. Figures update as new filings and prices come in.
Every input behind MLM's DCF
| Input | Value |
|---|---|
| Base-year revenueMARTIN MARIETTA MATERIALS INC FY2025 10-K (accession 0001193125-26-059193): us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax, FY2025 full year. | $6,150,000,000 |
| Base EBIT marginMARTIN MARIETTA MATERIALS INC FY2025 10-K (accession 0001193125-26-059193): us-gaap:OperatingIncomeLoss 1,437,000,000 / revenue 6,150,000,000 = 23.37%, FY2025. | 23.4% |
| Forecast revenue growthESTIMATEAssumption — TickerWorth's 5-year explicit forecast | 13% → 11% → 9% → 6% → 4% |
| Risk-free rateLive feed — US 10-year Treasury yield (^TNX) | 5.3% |
| BetaLive feed — yfinance, 5-year monthly beta vs the S&P 500 (clamped to 0.4–2.5) | 1.10 |
| Terminal growthESTIMATEAssumption — TickerWorth house default 2.5%, held below WACC | 2.5% |
| Diluted sharesMARTIN MARIETTA MATERIALS INC FY2025 10-K (accession 0001193125-26-059193): WeightedAverageNumberOfDilutedSharesOutstanding = 60,600,000 shares, FY2025. | 61M |
| Market priceDelayed quote · as of 2026-10-20 17:22 UTC | $507.25 |
Change MLM's assumptions
The discount-rate dial and the editable model
ProChange growth, margin and WACC yourself — Pro (7-day free trial, card required).
What does Martin Marietta Materials, Inc. do?
What does it do?
Martin Marietta Materials, Inc., a natural resource-based building materials company, supplies aggregates and heavy-side building materials to the construction industry in the United States and internationally. It operates through East Group and West Group segments. It operates in the Building Materials industry (Basic Materials sector), headquartered in United States. The company employs roughly 9,600 people.
How does it make money?
The business turns $6.2B in annual revenue into profit. Out of every $100 of sales, about $20 is left as operating profit (operating margin of 20.2%), after a 28% gross margin on the products/services it sells. After all costs, taxes and interest, 36.7% of revenue becomes bottom-line net profit.
Is it financially healthy?
Financially it looks mixed: carries modest debt (0.5× equity), can just cover its short-term bills (1.4× current ratio), and is currently profitable.
Who at MLM filed insider trades?
| Date | Insider | Relationship | What happened | Value | Filing |
|---|---|---|---|---|---|
| Petro Michael J | SVP and CFO | Grant / award | — | Form 4 for Petro Michael J (opens sec.gov in a new tab) | |
| WAJSGRAS DAVID C | Director | Grant / award | $40,458.60 | Form 4 for WAJSGRAS DAVID C (opens sec.gov in a new tab) | |
| Pike Thomas | Director | Grant / award | $34,234.20 | Form 4 for Pike Thomas (opens sec.gov in a new tab) | |
| LYONS MARTIN J | Director | Grant / award | $35,271.60 | Form 4 for LYONS MARTIN J (opens sec.gov in a new tab) | |
| Niemann Philipp | Director | Grant / award | — | Form 4 for Niemann Philipp (opens sec.gov in a new tab) | |
| Petro Michael J | SVP and CFO | Shares withheld (tax) | $199,555.36 | Form 4 for Petro Michael J (opens sec.gov in a new tab) |
A disclosure, not a signal to trade. Source: SEC EDGAR (Form 4). Older filings and the 90-day buying-and-selling read are part of Pro. See plans
Common questions
What is MLM's intrinsic value?
TickerWorth's blended fair value for Martin Marietta Materials, Inc. (MLM) is $284.57 per share, versus a market price of $507.25 (78% above fair value).
Is MLM overvalued or undervalued?
On our blended fair value MLM looks overvalued vs fair value at $507.25. This is an educational estimate, not advice.
What discount rate is used for MLM?
A WACC of 9.7% and a terminal growth rate of 2.5%.
Is Martin Marietta Materials stock undervalued?
TickerWorth's fair value for Martin Marietta Materials, Inc. (MLM) is $284.57 against a market price of $507.25. Our read: 78% above fair value. This is a model estimate, not investment advice.
Martin Marietta Materials (MLM) DCF valuation and fair value
Our fair value for Martin Marietta Materials, Inc. (MLM) is $284.57, built on a 9.7% discount rate (WACC) and 2.5% terminal growth. It blends our discounted-cash-flow model with other valuation lenses. Every assumption is listed on this page with its source.
What growth is priced into Martin Marietta Materials stock?
Today's price implies revenue growth of more than 25%/yr. Above about 25% a year the reverse-DCF stops being informative. It solves for revenue growth alone — holding margins, capital intensity and the forecast horizon fixed — so a price well above our cash-flow model's value has nowhere to go but growth, and the solver returns a rate the model can't reconcile. Read it as "the price implies growth we can't justify", not as a forecast. This is a reverse DCF: it holds our cash-flow model's other inputs and solves for the revenue growth that makes the model equal today's price of $507.25. A model estimate, not investment advice.
Martin Marietta Materials (MLM) insider trading
The most recent insider filing (SEC Form 4) for Martin Marietta Materials, Inc. (MLM): Petro Michael J, SVP and CFO, grant / award on 2026-09-01. The latest filings are listed on this page. A disclosure, not a signal to trade.
Stocks below our fair value instead
Not investment advice. TickerWorth Score is a model output.
Educational tool. Every output reflects the assumptions shown — not a prediction and not investment advice. TickerWorth is not a licensed investment adviser, and these figures are estimates from public filings and market data that can be wrong.