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Mohawk Industries (MHK) Stock Fundamentals, Analysis & Risk Signals

Health score, competitive moat, risk signals, and key metrics at a glance.

NYSE•Consumer Cyclical•Furnishings, Fixtures & Appliances
C
AverageMetricSide Score: 59/100
ProfitabilityProfit11/30
GrowthGrowth9/25
Balance SheetBalance23/25
Cash QualityCash16/20
Price & Volume
Market Cap $7.33B

Mohawk Industries, Inc. designs, manufactures, sources, distributes, and markets flooring products for residential and commercial remodeling, and new construction channels in the United States, Europe, Latin America, and internationally. It operates through three segments: Global Ceramic, Flooring North America, and Flooring Rest of the World. The company provides ceramic, porcelain, and natural stone tiles products for floor and wall applications; natural stones, porcelain slabs, and quartz countertops, as well as installation materials; floor covering products comprising broadloom carpets, carpet tiles, rugs and mats, carpet pads, laminates, medium-density fiberboards, wood floorings, vinyl tiles, hybrid flooring, and sheet vinyl; and roofing panels, insulation boards, mezzanine flooring products, medium-density fiberboard, decorative panels, and chipboards. It also licenses its intellectual property to flooring manufacturers. The company sells its products under the American Olean, Daltile, Decortiles, Durkan, Eliane, Elizabeth, Feltex, Godfrey Hirst, IVC Home, Karastan, Kerama Marazzi, Marazzi, Moduleo, Mohawk, Pergo, Quick-Step, Unilin, Vitromex, GH Commercial, Hycraft, Lentex Flooring, Leoline, Redbook, EmilGroup, KAI, Ragno, Aladdin Commercial, Durkan, Foss, IVC Resilient Design, Mohawk Group, Mohawk Home, and Portico. It offers its products to home centers, company-owned service centers and stores, floor covering retailers, ceramic tile specialists, e-commerce retailers, residential builders, independent distributors, commercial contractors, and commercial end users. The company was incorporated in 1988 and is headquartered in Calhoun, Georgia.

Moat Signals

Competitive analysis based on 64 quarters of fundamental data

Pricing Power

Moderate Moat

Operating margins are positive at ~5.3% on average, but show some variability — pricing power may be sensitive to market conditions.

Competitive Advantage

Weak Moat

ROE is low or negative, suggesting limited competitive advantage or capital allocation challenges.

Cash Generation

Strong Moat

Free cash flow is consistently positive and growing — a hallmark of a capital-light business that can self-fund growth.

Demand Durability

Moderate Moat

Revenue shows resilience with 5 of 7 quarters posting growth — demand is generally stable but has seen some soft patches.

Risk Signals

Data-driven red flags and warnings across 64 quarters

Some Concerns

Margin Pressure

Red Flag

Operating margins dropped 23.2% over recent quarters — a sharp decline suggesting serious cost or pricing challenges.

Earnings Quality

Healthy

FCF covers net income by 1.7x on average — earnings are well-supported by cash generation.

Leverage Risk

Healthy

D/E ratio is 0.2 — conservative capital structure with low financial risk.

Revenue Decline

Healthy

Revenue is stable or growing over recent quarters — demand appears durable.

Cash Burn

Healthy

Free cash flow is consistently positive — the business self-funds without external capital reliance.

Share Dilution

Healthy

Shares decreased 3.5% — net buybacks are reducing shares outstanding and boosting per-share value.

Metrics at a Glance

as of April 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue
$10.99B
2.9%
Q. Revenue
$2.73B
TTM EBITDA
$1.19B
25.9%
TTM Op. Income
$505.60M
21.5%
Q. Op. Income
$111.80M
TTM Net Income
$414.40M
14.6%
Q. Net Income
$117.10M
EPS
$1.91
Shares Out.
$61.40M
1.9%
$10.99B in TTM revenue grew 2.9% YoY, reaching $2.73B last quarter. TTM EBITDA of $1.19B and TTM operating income of $505.60M shows growth is flowing through. Net income of $414.40M TTM confirms the company is converting revenue into profit. Revenue is growing modestly — monitor for acceleration or deceleration.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin
23.5%
1.9%
EBITDA Margin
10.8%
Op. Margin
4.1%
7.8%
Net Margin
4.3%
49.3%
Op. margin of 4.1% is up 0.3% YoY — cost efficiency is improving. Net margin at 4.3% and gross margin of 23.5% — earnings take a bigger bite when COGS stays lean..

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio
17.7x
P/S Ratio
0.7x
P/B Ratio
0.9x
At 17.7x P/E, the stock trades in line with market averages — fairly valued. P/S of 0.7x and P/B of 0.9x provide additional context. Assess whether the current multiple is justified by the company's growth and profitability trajectory.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets
$13.79B
Cash
$872.30M
Long-Term Debt
$1.73B
Book Value
$8.38B
D/E Ratio
0.2
Debt/EBITDA
5.9
With $13.79B in assets and $1.73B in long-term debt, the D/E of 0.2and book value of $8.38B — shows a conservative capital structure — the company has a strong financial cushion to weather downturns.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow
$110.10M
Free Cash Flow
$7.80M
109.1%
FCF Margin
0.1%
FCF / Net Income
0.1
FCF of $7.80M on $110.10M in operating cash flow. The FCF / Net Income ratio of 0.0x indicates partial cash conversion — earnings quality needs attention.

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