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Martin Marietta Materials, Inc.
S&P 500
$32.1B
Market Cap
33.2
P/E
4.47
PEG
7.7%
ROCE
10.2%
ROE
0.56
D/E
23.4%
OPM
-24.5%
% from 52W High
26
α RS
🔍 MLM is showing a sector-leadership setup because Sector RRG has Materials in the Leading quadrant with the trail still strengthening, it matches 2 of 37 tracked screener presets, and an ECS of 63.4 last quarter. Net: Broad signal stack, not a recommendation. ? RRG Conviction ECS
Sources
Materials in Leading quadrant · Conviction 2/37 · ECS 63.4
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Ratio Health
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About

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.

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Good quarter Investor Presentation One-Pager? Q2 2026
Revenue
$1.947B
+21% YoY
Operating Income
$0.372B
-10% YoY
Operating Margin
19.1%
-6.6pp YoY
Net Income
$0.256B
-12% YoY
What Went Right
  • Record Q2 revenues of $1.947B (+21%) and record adjusted EBITDA of $638M (+13%).
  • Organic aggregates shipments grew 2.3% and mix-adjusted organic ASP rose 3.7%, supporting 4.3% organic gross profit growth.
  • Year-to-date, disciplined inventory management and lower capital spending unlocked more than $200M of cash flow benefits.
What to Watch
  • Reported aggregates ASP fell 2% to $22.74 due to acquisition and geographic mix, with acquisition mix becoming more pronounced in H2.
  • Aggregates gross profit declined 3% to $418M, absorbing a $52M non-cash inventory step-up and $42M higher DD&A.
  • Energy/diesel costs remain elevated; organic COGS per ton rose 3.6%, including a 150bp pass-through freight headwind.
Management Guidance
  • Full-year 2026 revenue guidance raised to $7.2B–$7.4B.
  • Full-year adjusted EBITDA from continuing operations reaffirmed at $2.36B–$2.5B; excludes pending LNA contribution.
  • Capital spending guidance is roughly $200M lower than exiting 2025; $350M annualized cash-flow improvement targeted by exit 2027.
Investor Lens
The long-term thesis is stronger after this quarter: record results and the LNA combination deepen the specialties platform while keeping Martin Marietta aggregates-led, and management expects ~10% EBITDA CAGR despite $525M+ of divestitures. The $350M cash-flow opportunity, with $200M already delivered year-to-date, supports margin protection, while a 24-month deleveraging plan preserves balance-sheet discipline. Key watch items remain energy inflation and reported pricing optics from acquisitions, but organic pricing near 4% and cleaner H2 reported numbers should improve visibility into 2027.
From investor presentation · AI-generated analysis · Not investment advice
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📈 STRONG Record revenue and adjusted EBITDA; organic mix-adjusted pricing +3.7%.
Revenue
Q2 revenues were a record $1.947B, up 21% YoY. Aggregates revenues rose 16% to $1.533B, and specialties delivered record quarterly revenues of $152M.
Profitability
Net earnings from continuing operations attributable to Martin Marietta were $256M, down 12% YoY, with diluted EPS of $4.26. Adjusted diluted EPS rose 3% to $5.00, and adjusted EBITDA increased 13% to $638M.
Margins
Operating income was $372M, down 10%, with the operating margin roughly 19.1%, down about 6.6pp YoY. Organic aggregates COGS per ton rose only 2.1% excluding pass-through freight; without the energy spike, organic COGS per ton would have been flat.
Balance Sheet
Management reaffirmed commitment to a strong investment-grade balance sheet and expects to de-lever to its targeted range within 24 months post-closing of LNA. Capital spending guidance is ~$200M lower than the prior year, contributing to more than $200M of year-to-date cash flow benefits.
Key Risks
Elevated energy/diesel costs are expected to persist through year-end, creating a headwind to COGS. Reported ASP dilution from acquisitions and geographic mix will continue, particularly with full-period NFM contribution in H2, and a short-term federal surface transportation extension appears increasingly likely.
Outlook
Full-year revenue guidance was raised to $7.2B–$7.4B, while adjusted EBITDA guidance was reaffirmed at $2.36B–$2.5B, excluding LNA. Management expects strong realization of mid-year price increases and cleaner reported aggregates gross profit in H2, with guidance to be updated after LNA closes.
Generated by AI · Q2 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q2 2026 Q2 2026 2026-07-30
Record Q2 revenues and adjusted EBITDA were driven by strong infrastructure and non-residential demand, disciplined execution, and recent acquisitions. Full-year revenue guidance was raised, with continued cost discipline and integration of new assets expected to drive further growth.
Q1 2026 Q1 2026 2026-04-30
First quarter revenues rose 17% to $1.4 billion, with record aggregates and Specialties performance. Guidance for 2026 adjusted EBITDA is reaffirmed at $2.43 billion, excluding pending M&A, as strong infrastructure and non-residential demand offset residential softness.
Q4 2025 Q4 2025 2026-02-11
Record 2025 results featured double-digit profit growth in aggregates and specialties, robust cash flow, and margin expansion. 2026 guidance anticipates continued growth, supported by infrastructure and data center demand, with disciplined capital allocation and a strong M&A pipeline.
Q3 2025 Q3 2025 2025-11-04
Record Q3 results driven by strong aggregates and specialties performance, with double-digit revenue and profit growth. Raised 2025 EBITDA guidance and expect continued margin expansion and disciplined capital allocation. Infrastructure and heavy non-residential demand remain robust.
Q2 2025 Q2 2025 2025-08-07
Record Q2 results driven by aggregates and Magnesia, with strong pricing and cost control. Raised 2025 EBITDA guidance to $2.3B, completed Premier Magnesia acquisition, and announced a major asset swap with Quikrete to further shift toward high-margin aggregates.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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