MLI

Upcoming Ex-Dividend Dates: On March 14, 2025, Mueller Industries Inc (MLI), Marten Transport Ltd (MRTN), and eBay Inc. (EBAY) will trade ex-dividend, with respective quarterly dividends of $0.25, $0.06, and $0.29 payable on March 28, 2025.

Market Reactions and Dividend Yields: Following the ex-dividend date, MLI shares are expected to drop by 0.30%, MRTN by 0.43%, and EBAY by 0.44%. The estimated annualized yields for these companies are projected at 1.22% for MLI, 1.71% for MRTN, and 1.78% for EBAY.

Stock Ratings Update: Validea's Value Investor model, based on Benjamin Graham's strategy, has upgraded the ratings of Mueller Industries Inc., Korn Ferry, and First BanCorp from 71% to 86%, indicating strong interest in these mid-cap value stocks due to their solid fundamentals and valuations.

About Benjamin Graham and Validea: Benjamin Graham, known as the "Father of Value Investing," significantly influenced the investment world, mentoring notable investors like Warren Buffett. Validea is an investment research service that analyzes stocks based on the strategies of legendary investors, including Graham.

Dividend Increase Announcement: Mueller Industries, Inc. has declared a quarterly cash dividend of $0.25 per share, marking a 25% increase over the previous year, to be paid on March 28, 2025.

Company Overview: Mueller Industries is an industrial corporation involved in manufacturing essential goods for various markets, including energy, medical, and automotive sectors, with operations across North America, Europe, Asia, and the Middle East.

Dividend Announcement: Mueller Industries declared a quarterly dividend of $0.25 per share, marking a 25% increase from the previous dividend of $0.20, with a forward yield of 1.24%.

Earnings Performance: The company reported a GAAP EPS of $1.21 and revenue of $923.5 million, although its performance is clouded by uncertainty according to Seeking Alpha’s Quant Rating.

Oversold Status of Mueller Industries: Shares of Mueller Industries Inc (MLI) have entered oversold territory with an RSI reading of 29.6, indicating potential exhaustion of recent heavy selling and possible buying opportunities.

52 Week Performance Range: MLI's stock has a 52-week low of $47.46 and a high of $96.81, with the latest trade at $74.08.

Financial Performance: Mueller Industries, Inc. reported a 26.1% increase in net sales for Q4 2024 compared to Q4 2023, reaching $923.5 million, with a full-year net income of $604.9 million, up 0.3% from the previous year.

Future Outlook: The company is optimistic about 2025, focusing on strengthening core operations and pursuing acquisitions to enhance its infrastructure products platforms, despite potential challenges from new trade and regulatory policies.

Fourth Quarter Profit Increase: Mueller Industries reported a fourth-quarter profit of $137.65 million, or $1.21 per share, up from $119.24 million, or $1.05 per share, in the previous year.

Revenue Growth: The company's revenue rose by 26.1% to $923.54 million compared to $732.38 million last year.

Put Contract Overview: The $75.00 put contract for Mueller Industries Inc (MLI) has a bid of $2.35, allowing investors to potentially purchase shares at a lower cost basis of $72.65, with a 68% chance of expiring worthless, offering a 3.13% return on cash commitment.

Call Contract Overview: The $80.00 call contract has a bid of $3.30, providing a potential total return of 4.79% if the stock is called away, with a 45% chance of expiring worthless, which could yield a 4.15% additional return for investors.

ETF Analysis: The Avantis U.S. Large Cap Value ETF (AVLV) has an implied analyst target price of $76.38, indicating a potential upside of 10.48% from its current trading price of $69.13. Notable underlying holdings with significant upside include Advanced Drainage Systems Inc (WMS), Mueller Industries Inc (MLI), and Dollar Tree Inc (DLTR).

Investor Considerations: Analysts' target prices may reflect optimism or could be outdated based on recent developments, prompting further research by investors to assess the validity of these projections.

Jefferies' Market Predictions: Jefferies analysts predict the S&P 500 will reach 6,000 by 2025, indicating a slight decline, while they expect the Russell 2000 small-cap index to rise to 2,715, suggesting a 16% increase due to favorable conditions for small-cap stocks.

Investment Considerations: The Vanguard Russell 2000 ETF offers exposure to small-cap companies, which are anticipated to outperform large-cap stocks based on expected earnings growth and relative valuations, despite their historical underperformance compared to the S&P 500.

Market Performance: The S&P 500 is up +0.65% while the Dow Jones is down -0.09%, with the Nasdaq 100 reaching a new record high; expectations for a Fed rate cut have increased significantly following the release of US consumer price data.

Stock Movements: UnitedHealth Group fell over -5% due to potential legislative changes affecting health insurers, while GE Vernova and Alphabet saw gains of more than +5% and +4% respectively, driven by positive analyst ratings and advancements in technology.

Market Performance: The S&P 500 is up +0.58% while the Dow Jones is down -0.13%, with the Nasdaq 100 reaching a record high following favorable US consumer price data, increasing expectations for a Fed interest rate cut next week to 96%.

Stock Movements: UnitedHealth Group fell over -5% due to proposed legislation affecting health insurers, while Broadcom and Patterson Cos saw significant gains of over +3% and +35%, respectively, driven by positive news and acquisitions.

After Hours Trading Overview: The NASDAQ 100 After Hours Indicator is up to 20,818.24 with a total volume of 333,872,866 shares traded, highlighting active stocks like NVIDIA and Paramount Global showing positive movements.

Stock Performance Highlights: Notable stock performances include NVIDIA (NVDA) up by 0.32, AT&T (T) slightly increasing, while Apple (AAPL) and Pfizer (PFE) experienced minor declines; many stocks maintain a "buy" recommendation according to Zacks.

Index Changes: Texas Pacific Land Corp. will replace Marathon Oil Corp. in the S&P 500, while Mueller Industries Inc. will take Texas Pacific's spot in the S&P MidCap 400, and Atlas Energy Solutions Inc. will replace Mueller in the S&P SmallCap 600, effective November 26.

Acquisition Details: ConocoPhillips is acquiring Marathon Oil, with the deal expected to close on November 22, subject to final conditions.

Index Changes Announcement: Texas Pacific Land Corp. will replace Marathon Oil in the S&P 500, Mueller Industries will take Texas Pacific's place in the S&P MidCap 400, and Atlas Energy Solutions will replace Mueller in the S&P SmallCap 600, effective November 26, 2024.

Acquisition Details: ConocoPhillips is acquiring Marathon Oil, with the deal expected to close on November 22, pending final conditions.

S&P Index Changes: Texas Pacific Land Corp. will replace Marathon Oil Corp. in the S&P 500, while Mueller Industries Inc. will take Texas Pacific's spot in the S&P MidCap 400, and Atlas Energy Solutions Inc. will fill Mueller's position in the S&P SmallCap 600, effective November 26.

Marathon Oil Acquisition: ConocoPhillips is acquiring Marathon Oil in a deal expected to finalize on November 22, subject to closing conditions.

Texas Pacific Land Joins S&P 500: Texas Pacific Land will replace Marathon Oil in the S&P 500 index effective November 26, with its stock experiencing significant gains, including a 200% increase in 2024.

Super Micro Computer's Compliance Efforts: Super Micro Computer remains in the S&P 500 despite previous concerns over compliance, as it hires a new accounting firm to address issues related to its financial reporting.

Texas Pacific Land Joins S&P 500: Texas Pacific Land will replace Marathon Oil in the S&P 500 index effective November 26, with its stock rising significantly in recent trading. Marathon Oil is being removed due to its acquisition by ConocoPhillips.

Super Micro Computer's Status: Super Micro Computer remains in the S&P 500 despite earlier concerns about a potential delisting from Nasdaq, as it has hired a new accounting firm to address compliance issues.

Index Changes Announcement: Texas Pacific Land Corp. will replace Marathon Oil in the S&P 500, Mueller Industries will take Texas Pacific's place in the S&P MidCap 400, and Atlas Energy Solutions will replace Mueller in the S&P SmallCap 600, effective November 26, 2024.

Acquisition Details: ConocoPhillips is acquiring Marathon Oil, with the deal expected to close on November 22, pending final conditions.

Small-Cap Stocks Potential: Analyst Tom Lee predicts that small-cap stocks, particularly represented by the Russell 2000, could outperform large-cap stocks like the S&P 500 by over 100% in the coming years due to interest rate cuts and historically low valuations.

Investment Strategy Recommendation: While acknowledging the potential for small-cap outperformance, the article suggests a balanced investment approach, recommending ownership of both an S&P 500 index fund and a Russell 2000 index fund, with a preference for the former due to its stronger historical performance, especially in technology sectors.