MeritValue

MEXICAN ECONOMIC DEVELOPMENT INC

FMXdata completeness 75%8 fiscal years on file

Data notes: no data for concept 'totalDebt'; no data for concept 'epsDiluted'; no data for concept 'interestExpense'

The thesis, from the filings

MEXICAN ECONOMIC DEVELOPMENT INC earns about 14% on equity, with a roughly flat share count. The applicable estimate puts fair value near $1.06 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2020FY 2021FY 2022FY 2023FY 2024
Revenue$24.8B1$27.1B2$34.5B3$41.6B4$37.5B5
Net income$188M6$1.84B7$1.78B8$4.54B9$1.93B10
Operating cash flow—————
Capital expenditure$938M11$892M12$1.55B13$2.06B14$2.09B15
Free cash flow (derived)—————
Total debt—————
Cash & equivalents$5.25B16$5B17$4.94B18$7.92B19$6.71B19
Diluted shares17.89B17.89B17.89B17.89B17.89B

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$7.97
your share of equity
Profit it earned you last year
$1.08
Free cash flow it threw off
—
Debt you’d be carrying
—

10 shares is a claim on $7.97 of net worth that earned you $1.08 last year.

iii. Is this a good business?
Moat signal · return on equity
14% avg · 5y
FY20 2%FY21 14%FY22 13%FY23 25%FY24 14%

It earned an average 14% on equity over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
−0% shares · 5y

Share count is roughly flat over 5 years — little dilution, little buyback.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0
DCF · Growth Exit 10Y
not applicable
only 0 years of FCF (need ≥3) — model not applicable
DCF · Growth Exit 5Y
not applicable
only 0 years of FCF (need ≥3) — model not applicable
Earnings Power Value
$1.06
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$1.84B
  • growthAssumed0.0%
Graham Number
not applicable
diluted EPS missing or non-positive — Graham Number undefined

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 20-F · period ending 2020-12-31 · accession 0001558370-21-004287 (RevenueFromContractsWithCustomers)
  2. 20-F · period ending 2021-12-31 · accession 0001558370-22-005450 (RevenueFromContractsWithCustomers)
  3. 20-F · period ending 2022-12-31 · accession 0001628280-23-012491 (RevenueFromContractsWithCustomers)
  4. 20-F · period ending 2023-12-31 · accession 0001628280-24-017454 (RevenueFromContractsWithCustomers)
  5. 20-F · period ending 2024-12-31 · accession 0001628280-25-019714 (RevenueFromContractsWithCustomers)
  6. 20-F · period ending 2020-12-31 · accession 0001558370-21-004287 (ProfitLoss)
  7. 20-F · period ending 2021-12-31 · accession 0001558370-22-005450 (ProfitLoss)
  8. 20-F · period ending 2022-12-31 · accession 0001628280-23-012491 (ProfitLoss)
  9. 20-F · period ending 2023-12-31 · accession 0001628280-24-017454 (ProfitLoss)
  10. 20-F · period ending 2024-12-31 · accession 0001628280-25-019714 (ProfitLoss)
  11. 20-F · period ending 2020-12-31 · accession 0001558370-21-004287 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  12. 20-F · period ending 2021-12-31 · accession 0001558370-22-005450 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  13. 20-F · period ending 2022-12-31 · accession 0001628280-23-012491 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  14. 20-F · period ending 2023-12-31 · accession 0001628280-24-017454 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  15. 20-F · period ending 2024-12-31 · accession 0001628280-25-019714 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  16. 20-F · period ending 2020-12-31 · accession 0001558370-22-005450 (CashAndCashEquivalents)
  17. 20-F · period ending 2021-12-31 · accession 0001628280-23-012491 (CashAndCashEquivalents)
  18. 20-F · period ending 2022-12-31 · accession 0001628280-24-017454 (CashAndCashEquivalents)
  19. 20-F · period ending 2023-12-31 · accession 0001628280-25-019714 (CashAndCashEquivalents)