Mondelez International, Inc. (MDLZ) — Fundamental Analysis & Key Financial Ratios

Kaplio's reading: Mondelez International, Inc.

Updated on October 30, 2026 · accounts published on October 29, 2026

Reading of October 29, 2026: A cash-generating consumer staples business with weaker margins and a heavy debt load

Mondelez International trades at a P/E of 23.0× over the last 12 months, 5 % above its ten-year median of 21.8×, while EPS fell 45 %.

• Is Mondelez International expensive or cheap? Its P/E of 23.0× is 5 % above its ten-year median and 2 % above its sector; it traded lower 62 % of the past decade.
• How is the business doing? Revenue grew 6 % over the last 12 months, but EPS fell 45 % and the fiscal 2025 operating margin of 9.4 % was a 12-year low.
• Is it as stable as the sector promises? It passes four of eight sector tests; it misses on gross margin, EPS growth, payout and debt.
• How strong is the balance sheet? Net debt was 4.4× EBITDA in fiscal 2025, far above the 2.5× healthy line, and the payout reached 101 % of earnings.
• What to expect from the next earnings? On February 2, 2027 analysts expect EPS of $0.93; it beat estimates in 7 of the last 8 quarters.

Is Mondelez International expensive or cheap?

Over the last 12 months Mondelez International trades at a P/E of 23.0×. Its ten-year median is 21.8×, and the median for its sector, across 95 companies, is 22.4×. The stock has traded at a lower P/E than today 62 % of the time in the past decade, in a range that ran from 15.5× to 39.5×. Against its ten-year average of 23.1×, the multiple sits almost exactly on the line, so the sector test calls it neither cheap nor expensive. The free cash flow yield of 4.7 % is higher than the 3.6 % earnings yield, which suggests cash generation looks better than reported profit.

How is the business doing?

Sales are still growing: revenue rose 5.8 % over the last 12 months. Profit tells a weaker story. EPS dropped 44.7 % over the same period, and the fiscal 2025 operating margin of 9.4 % was the lowest of the 12 fiscal years from 2014 to 2025, which averaged 14.5 %. The operating margin over the last 12 months has recovered to 13.7 %, still below that average. Returns on capital are ordinary. ROIC of 9.2 % over the last 12 months matches the sector median of 9.2 % exactly, and it has not topped 10 % in any of the last ten fiscal years, from 2016 to 2025.

Is it as stable as the sector promises?

Consumer staples are the boring businesses Buffett favors, so investors judge them on stability and a growing dividend rather than on fast growth. That is why the checks look at margins, cash conversion, dividend growth and debt. Mondelez International does well on cash: free cash flow equaled 132 % of net income in fiscal 2025, above the 90 % healthy mark, and the dividend grew 11.9 % a year over 2015-2025, about double the 6 % bar. ROE of 15.6 % only just clears the 15 % threshold. The weak spots are a fiscal 2025 gross margin of 28.4 %, below the 35 % mark for stability, and EPS that shrank 8.3 % a year over the decade.

How strong is the balance sheet?

Net debt stood at $16.13 per share in fiscal 2025, about 26 % of the current share price. Net debt to EBITDA of 4.4× is far above the 2.5× that counts as healthy in consumer staples. Over the last 12 months, debt to equity is 0.84 and the current ratio is 0.62, which means short-term liabilities exceed current assets. The Altman Z of 2.2 sits in the gray zone and the Piotroski score is 5 of 9. The dividend yields 3.2 % and has risen for 11 straight fiscal years. But a fiscal 2025 payout of 101 % means the dividend took all of the reported profit.

What to expect from the next earnings?

Mondelez International reported on October 29, 2026 with EPS of $0.78 against $0.71 expected, a 10.2 % beat. It has now beaten EPS estimates in 7 of the last 8 quarters. The 11 analysts behind the fiscal 2026 EPS consensus held it at $3.05 over the last 30 days, and the revenue forecast barely moved, so expectations have stayed put. For the quarter to be reported on February 2, 2027, analysts expect EPS of $0.93. Of the 42 analysts covering the company, 32 rate it a buy, 8 a hold and 2 a sell, a clearly positive stance.

How this was prepared: the data comes from companies' official filings, collected by a professional provider, and from Kaplio's analysis engine (trailing-12-month ratios, 10 years of history and sector medians computed across US-listed companies). The text is written from that data alone, every figure is checked against it before publication, and it is reviewed when the company reports results. This is not investment advice.