# Fomento Economico Mexicano S.A.B. de C.V. (FMX) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Consumer Defensive / Beverages. Price $120.41, market value $41.0 billion.

## Valuation
- **P/E (trailing): 23.4×** (5-yr avg 2.0×, 3-yr avg 2.0×). Fomento Economico Mexicano S.A.B. de C.V. trades at 23.4× trailing earnings, well above its own five-year average of 2.0×: investors are paying up relative to the company's past. The Consumer Defensive median in the September 2026 study was 20.1×. Forward P/E is 23.1×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 0.0×**. Each dollar of revenue is priced at 0.0×, a low multiple typical of thin-margin businesses or out-of-favour stocks.
- **Price / book: 3.2×**. The shares trade at 3.2× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 2.0×**. Enterprise value is 2.0× operating earnings before depreciation, the multiple that ignores how the company is financed; below 8× is inexpensive for most sectors.
- **Free-cash-flow yield: 70.8%** (5-yr avg 88.4%). Free cash flow equals 70.8% of the market value, in line with its five-year average of 88.4%. Above 5% is generally attractive.
- **Earnings yield: 4.3%**. The inverse of the P/E: 4.3% of the price is earned each year.

## Profitability
- **Gross margin: 40.5%**. Fomento Economico Mexicano S.A.B. de C.V. keeps 40.5% of revenue after the direct cost of what it sells.
- **Operating margin: 8.5%**. 8.5% of revenue is left after running the business.
- **Net margin: 2.3%**. 2.3% of each dollar of sales reaches the bottom line.
- **Return on equity: 7.9%**. 7.9% on shareholders' equity is weak; the business earns little on the capital its owners have in it.
- **Return on invested capital: 14.0%**. Return on all capital, debt included, is 14.0%.
- **Return on assets: 3.9%**. Each dollar of assets produces 3.9% of profit.

## Growth
- **Revenue growth (1 yr): 2144.0%** (3-yr 189.9%/yr, 5-yr 102.4%/yr). Revenue grew 2144.0% over the last year, against 102.4% a year compounded over five years: growth is accelerating.

## Financial health
- **Debt to equity: 1.05**. Debt is 1.05 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Net debt / EBITDA: 1.5×**. It would take 1.5 years of operating earnings to repay net borrowings, within the comfortable range.
- **Interest coverage: 3.9×**. Operating profit covers interest 3.9× over, a safe margin.
- **Current ratio: 1.35** (quick 1.02). Current assets cover the next year's liabilities 1.35 times.
- **Altman Z-score: 1.95**. A Z-score of 1.95 is in the grey zone; not distressed, not clearly safe.
- **Piotroski F-score: 5/9**. 5 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 4.90%** ($5.90 per share, trailing). Fomento Economico Mexicano S.A.B. de C.V. yields 4.90%, an income-level yield.
- **Payout ratio: 257%** (172% of free cash flow). The dividend exceeds earnings (257% payout), which is rarely sustainable outside REITs and one-off years.
- **Consecutive years of increases: 4**. 4 straight years of increases.
- **Dividend growth (5 yr): 29.8%/yr** (1-yr 70.8%). The dividend has compounded at 29.8% a year over five years, doubling roughly every 2 years at that pace.
- **Shareholder yield: 35.0%**. Dividends plus net buybacks return 35.0% of the market value a year.

## Analyst view
- **Analyst consensus: buy** (14 analysts). 14 analysts cover Fomento Economico Mexicano S.A.B. de C.V.; the consensus is buy, with an average price target of $134.14 (+11% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 45.1%** (YTD 22.7%, 3-mo -0.6%). The shares are up 45.1% over twelve months including dividends.
- **From 52-week high: -14.9%** (39.6% above the low). Trading 15% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 46**. An RSI of 46 is neutral.
- **Beta (1 yr): 0.46** (volatility 25%). Beta of 0.46 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=FMX · Page: https://foliofundamentals.com/stocks/fmx

Not investment advice.