METTLER TOLEDO INTERNATIONAL INC/

Where It Passes

Where It Falls Short

• Valuation0% pass✗ 28▾

  All 13 investors flag MTD's valuation

  Price / 3-yr avg EPS44.0x

  ✗Graham<= 15x

  Price-to-Book Ratio

  ✗Graham<= 1.5x

  P/E x P/B

  ✗Graham<= 22.5

  Basic earnings-growth PEG (dividends excluded)3.75

  ✗Lynch< 1.0 (ideally < 0.5)

  EBIT / Enterprise Value3.3%

  ✗Greenblatt> 10%

  Earnings Yield + ROC AssessmentEY=3.3%, ROC=123.9%

  ✗GreenblattBoth EY > 10% and ROC > 25%

  Price / EPS41.4x

  ✗Dreman< 12x✗Templeton< 12x (fixed ceiling; proxy for the market's cheapest 40%)

  Price / (CFO / Shares)37.0x

  ✗Dreman< 8x

  Price / Book Value per ShareN/A (negative BVPS)

  ✗Dreman< 1.2x✗Templeton< 1.5x✗SchlossP/B <= 0.80x (app cutoff)

  Valuation ReasonablenessP/E=41.4x

  ✗MungerP/E < 25 or Owner Earnings Yield > 5%

  P/E or FCF YieldP/E=41.4x, FCF Yield=2.5%

  ✗PabraiP/E < 15 or FCF Yield > 10%

  P/B or P/E vs. Historical AverageP/E=41.4x

  ✗MarksP/E < 15 or P/B < 2.0

  Discount to Intrinsic Value-193.7% (IV=$592.15 vs Price=$1738.91)

  ✗Marks>= 20% below intrinsic value

  Price / FCF per Share41.7x

  ✗Ackman<= 25

  Price vs. Trailing Low162% of trailing low ($1070.57)

  ✗Templeton<= 120% of trailing low (certified split-adjusted live window)

  Net income / market capitalization+2.70%; #2487/6340 (top 39.2%)

  ✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-section

  Positive book equity / market capitalization+0.0022; #5228/6449 (top 81.1%)

  ✗AsnessTop 30% of eligible cross-section

  Price / Diluted EPS41.4x

  ✗NeffP/E <= 15x (app proxy for a P/E 40%-60% below the market)

  (EPS CAGR % + Dividend Yield %) / P/E

  ✗Neff> 0.7 (Neff's published traditional edge)

  Price / Tangible Book Value per ShareN/A (non-positive TBVPS)

  ✗SchlossP/TBV <= 1.00x (app cutoff)

  Book Value per Share Change-109.6%

  ✗SchlossLatest BVPS >= earliest BVPS over >= 3 years (app rule)

  Revenue / market capitalization+0.1214; #4222/5247 (top 80.5%)

  ✗OshaughnessyTop 10% of eligible cross-section

  (Operating cash flow - capex) / market capitalization+2.52%; #2150/4519 (top 47.6%)

  ✗OshaughnessyTop 10% of eligible cross-section

  Trailing six-month price return through the evaluation date+31.24%; #992/6202 (top 16.0%)

  ✗OshaughnessyTop 10% of eligible cross-section
• Valuation models0% pass✗ 7▾

  MTD overvalued: all 7 models price fair value below $1738.91 (median $495.79)

  Lynch fair value$464.22

  ✗Lynch-274.6% margin vs $1738.91

  Greenblatt fair value$424.29

  ✗Greenblatt-309.8% margin vs $1738.91

  Dreman fair value$592.15

  ✗Dreman-193.7% margin vs $1738.91

  Munger fair value$495.79

  ✗Munger-250.7% margin vs $1738.91

  Marks fair value$428.01

  ✗Marks-306.3% margin vs $1738.91

  Ackman fair value$579.15

  ✗Ackman-200.3% margin vs $1738.91

  Templeton fair value$568.86

  ✗Templeton-205.7% margin vs $1738.91
• Debt & Leverage8% pass✓ 1✗ 14▾

  11 of 12 flag MTD's debt & leverage — Graham, Buffett, Lynch +8 more

  LT Debt vs Net Current AssetsLT Debt $2.0B vs NCA $125.9M

  ✗GrahamLT Debt <= Net Current Assets

  Debt/Equity & Interest CoverageD/E: 26.06, IC: 17.8x

  ✗BuffettD/E < 0.5 AND Interest Coverage > 5x

  Total Debt / Equity26.06

  ✗Lynch< 0.33

  Cash - Long-term Debt$-1.9B

  ✗LynchPositive preferred

  LT Debt / Total Assets Change56.52% -> 56.25%

  ✓PiotroskiDecreased YoY

  Current Assets / Current Liabilities1.10

  ✗Dreman> 1.5✗SchlossCurrent ratio >= 1.50x (app cutoff)

  Total Debt / Shareholders' Equity26.06

  ✗Dreman< 0.8✗Templeton< 1.0 (fixed cap; proxy for below-sector-median leverage)✗SchlossD/E < 1.00x

  Debt Levels26.06

  ✗MungerDebt/Equity < 0.5✗AkreDebt/Equity < 0.3

  Interest Coverage & Debt/EBITDAIC=16.3x, D/EBITDA=N/A (D&A unavailable)

  ✗MarksInterest Coverage > 3x; Debt/EBITDA < 4x

  Total Debt / Shareholders Equity26.06

  ✗Ackman<= 1.0

  Negative debt-to-equity (higher means less debt)-26.0579; #4189/4210 (top 99.5%)

  ✗AsnessTop 30% of eligible cross-section
• Efficiency13% pass✓ 2✗ 9▾

  7 of 8 flag MTD's efficiency — Graham, Buffett, Piotroski +4 more

  Current Ratio1.10

  ✗Graham>= 2.0

  ROIC (3-5 yr avg)

  ✗Buffett> 10%

  ROIC - WACC

  ✗BuffettPositive (WACC = 10%)

  EBIT / (NWC + Net Fixed Assets)123.9%

  ✓Greenblatt> 25%

  Current Ratio Change YoY1.02 -> 1.14

  ✓PiotroskiIncreased YoY

  Revenue / Total Assets Change YoY1.20x -> 1.08x

  ✗PiotroskiImproved YoY

  Current Assets / Current Liabilities1.10

  ✗Dreman> 1.5

  Return on Invested Capital

  ✗Munger> 15%

  ROIC (high and growing)FY2023: ROIC=unavailable; FY2024: ROIC=unavailable; FY2025: ROIC=unavailable

  ✗AkreLatest 3 consecutive FYs: ROIC > 15% in each

  Reinvestment Rate x ROIC

  ✗AkreReinvestment Rate * ROIC > 10%

  ROIC (5-year)

  ✗SleepROIC > 12% in a majority of years
• Verdicts20% pass✓ 3✗ 12▾

  Split decision: 11 FAIL · 3 PASS · 2 NEUTRAL

  Overall verdict

  ✗GrahamFAIL (1/9)✗BuffettFAIL (2/9)✗LynchFAIL (2/7)✗GreenblattRank #788•PiotroskiNEUTRAL (F-Score 6)✓DremanPASS (5/11)✗MungerFAIL (1/4)✗PabraiFAIL (0/3)✗AkreFAIL (2/6)✗MarksFAIL (2/5)✓AckmanPASS (4/9)✗TempletonFAIL (2/8)✓SleepPASS (3/6)✗AsnessFAIL (Rank #940/2370 (Top 39.7%))✗NeffFAIL (3/6)✗SchlossFAIL (1/7)•OshaughnessyNEUTRAL (Not ranked)
• Profitability25% pass✓ 17✗ 18▾

  12 of 16 flag MTD's profitability — Graham, Buffett, Lynch +9 more

  Positive EPS (10 years)18/26 years positive

  ✗GrahamPositive EPS every year for 10 years

  EPS Growth (3-yr avg, 10-yr window)

  ✗Graham>= 33% growth

  Net Income Positive (10+ years)26/26 years positive

  ✓BuffettPositive every year for 10+ years

  ROE (up to 5-year arithmetic mean)880.2%

  ✓Buffett> 15% arithmetic mean (app rule)

  Operating Margin (10-yr trend)

  ✗BuffettStable or rising over 10 years

  Free Cash Flow Proxy

  ✗BuffettPositive and growing

  Earnings Variance (10-yr CoV)0.64

  ✗BuffettCoV < 0.3

  Retained Earnings Effectiveness

  ✗Buffett$1 retained -> > $1 market value created

  Basic earnings-growth PEG (dividends excluded)3.75

  ✗Lynch< 1.0 (ideally < 0.5)

  3-5 Year EPS CAGR11.0%

  ✓Lynch15-30% (Fast Grower); > 0% to pass

  ROE1202.8%

  ✓Lynch> 15%

  EBIT / Enterprise Value3.3%

  ✗Greenblatt> 10%

  Earnings Yield + ROC AssessmentEY=3.3%, ROC=123.9%

  ✗GreenblattBoth EY > 10% and ROC > 25%

  Net Income / Total Assets23.41%

  ✓PiotroskiROA > 0

  ROA Change YoY26.64% -> 23.41% (delta: -3.23%)

  ✗PiotroskiCurrent ROA > Prior ROA

  (CFO / Total Assets) vs ROACFO/Assets=25.74%, ROA=23.41%

  ✓PiotroskiCFO/Assets > ROA

  Gross Margin Change YoY60.1% -> 59.4%

  ✗PiotroskiImproved YoY

  Pre-Tax Income / Revenue26.9%

  ✓Dreman>= 8%

  Net Income / Shareholders' Equity1202.8%

  ✓Dreman> 12%

  Margin of SafetyP/E=41.4x

  ✗PabraiP/B < 1.5 or P/E < 15

  Return on Equity1393.7% (3-yr avg)

  ✓AkreROE > 20% (3-year avg)

  Discount to Intrinsic Value-193.7% (IV=$592.15 vs Price=$1738.91)

  ✗Marks>= 20% below intrinsic value

  Positive Net Income Frequency26/26 years positive

  ✓MarksPositive net income in >= 7 of last 10 years

  Operating Income / Revenue

  ✗Ackman>= 15%

  Net Income / Shareholders Equity1202.8%

  ✓Ackman>= 15%

  5-Year EPS CAGR11.0% CAGR over 5 years

  ✓Templeton> 0% (5-year EPS CAGR)

  Operating Margin Trend

  ✗TempletonNon-negative operating-margin trend over 3 years

  Revenue growth vs. gross and operating margin trend

  ✗SleepRevenue rising; gross margin flat or falling; operating margin holding

  Net income / market capitalization+2.70%; #2487/6340 (top 39.2%)

  ✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-section

  Gross profit / total assets+68.62%; #354/3702 (top 9.6%)

  ✓AsnessTop 30% of eligible cross-section

  Net income / positive book equity+1202.75%; #9/5226 (top 0.2%)

  ✓AsnessTop 30% of eligible cross-section

  Negative 5-year standard deviation of ROA-0.0132; #1029/5884 (top 17.5%)

  ✓AsnessTop 30% of eligible cross-section

  3-5 Year Diluted EPS CAGR11.0% over 5 years

  ✓Neff7%-20% annualized

  Positive Diluted-EPS Years10/10 years positive

  ✓Schloss>= 70% positive over 5-10 observed years (app rule)
• Cash Flow40% pass✓ 5✗ 7▾

  6 of 10 flag MTD's cash flow — Buffett, Lynch, Dreman +3 more

  Free Cash Flow Proxy

  ✗BuffettPositive and growing

  FCF Positive and Growing$870.6M

  ✗LynchPositive and growing

  Operating Cash Flow$955.8M

  ✓PiotroskiCFO > 0

  (CFO / Total Assets) vs ROACFO/Assets=25.74%, ROA=23.41%

  ✓PiotroskiCFO/Assets > ROA

  Price / (CFO / Shares)37.0x

  ✗Dreman< 8x

  P/E or FCF YieldP/E=41.4x, FCF Yield=2.5%

  ✗PabraiP/E < 15 or FCF Yield > 10%

  FCF Positive18/18 years FCF positive

  ✓MarksPositive FCF in majority of recent years

  (OCF - CapEx) / Market Cap2.5%

  ✗Ackman>= 4%

  Price / FCF per Share41.7x

  ✗Ackman<= 25

  Positive Operating Cash Flow frequency24/24 years positive

  ✓SleepPositive OCF in >= 70% of available years

  Operating Cash Flow - Capital Expenditures$870.6M

  ✓Neff> $0 (app proxy for a strong fundamental case)

  (Operating cash flow - capex) / market capitalization+2.52%; #2150/4519 (top 47.6%)

  ✗OshaughnessyTop 10% of eligible cross-section
• Growth50% pass✓ 7✗ 6▾

  4 of 8 pass — Graham, Lynch, Ackman +1 more object

  EPS Growth (3-yr avg, 10-yr window)

  ✗Graham>= 33% growth

  Basic earnings-growth PEG (dividends excluded)3.75

  ✗Lynch< 1.0 (ideally < 0.5)

  3-5 Year EPS CAGR11.0%

  ✓Lynch15-30% (Fast Grower); > 0% to pass

  Inventory Growth vs Revenue GrowthInv: 9.4% vs Rev: 6.5%

  ✗LynchInventory growth < Revenue growth

  EPS Growth Direction$5.79 (2008) -> $42.05 (2025)

  ✓DremanPositive over recent years

  EPS CAGR12.4% CAGR over 17 years

  ✓Dreman> 5% annualized

  Positive Net Income Frequency26/26 years positive

  ✓MarksPositive net income in >= 7 of last 10 years

  3yr Median Revenue Growth2.2%

  ✗Ackman>= 5%

  Positive EPS Growth Frequency4/5 years with positive EPS growth

  ✓AckmanPositive EPS growth in >= 3 of last 5 years

  5-Year EPS CAGR11.0% CAGR over 5 years

  ✓Templeton> 0% (5-year EPS CAGR)

  Revenue growth vs. gross and operating margin trend

  ✗SleepRevenue rising; gross margin flat or falling; operating margin holding

  5-year Revenue CAGR5.5%

  ✗SleepCAGR > 7%

  3-5 Year Diluted EPS CAGR11.0% over 5 years

  ✓Neff7%-20% annualized