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Martin Marietta Materials

MLMAbove valueExpectations · demanding

Held by 5 superinvestors.

Price$532.18
Holders5
Total value$1.20B

SEC 10-K · fundamentals

Business quality

as of 2025-12-31

Valuation basis: trailing twelve months to 2026-06-30 — latest 10-K plus unaudited 10-Q filings.

Revenue growth
-5.9%
Net margin
18.5%
ROE
11.3%
FCF margin
15.9%
Revenue $4.73B → $6.15B · 6y
What makes a business high quality

Valuation · value band

Above fair value

$183/ sh · growth-anchored intrinsic value
margin of safety
fair value
above fair value
$532
cheaperpricier

Zero-growth floor

$126

Central IV

$183

Optimistic top

$215

Martin Marietta Materials (MLM): A conservative value band $126–$215 / sh (zero-growth floor to growth-capped optimistic top); central read about $183. Today’s price sits above that band (price $532 as of 2026-08-26).

The middle figure is the main read. The right end is the optimistic case under the same conservative caps — not an absolute ceiling.

Revenue growth 2% (lower of historical trend and fundamental cap, capped by moat) · moat 0 yr · discount 11.9% · Zero-growth downside $126

Price as of 2026-08-26 · yahoo · DGS10 4.7% @ 2026-08-26.

Method & numbers

A conservative intrinsic-value band (zero-growth floor to growth-capped DCF) plus a tangible asset floor — not investment advice, not a buy/sell signal, and not a price target.

Owner-earnings DCF $139.51 – $214.73 · Greenwald zero-growth $169.72 · zero-growth base $169.72 · reproduction $125.90

Moat Below asset base · terminal value 40% of present value · owner-earnings yield 3% vs 10Y 4.7%.

Graham earnings-power value (normalized NOPAT)$15.50 – $40.50 / sh

Normalized NOPAT = average operating margin over the years shown × latest-year revenue × (1 − normalized tax); then + D&A − maintenance capex (write A). Unlevered (pre-interest, attributable to all capital). Capitalized at the 9–11% rate band (read as a WACC proxy). Enterprise → equity bridge applied: + cash − total debt.

Years: TTM 2026-06-30, 2024, 2023, 2022, 2021

v1 simplifications: Maintenance capex (degraded) deducted in full cash (write A): EPV = (NOPAT + D&A − maintenance capex) / WACC; no tax shield on the capex term. Maintenance-capex methods diverge by 63% (> 50%); estimate is degraded. Share-based compensation is left as a real expense (not added back). Operating margin is below its multi-year average (cyclical/declining): normalized margin capped at the latest year — no peak-margin capitalization (audit #2).

Buffett owner-earnings value$142.07 – $169.72 / sh

Owner earnings = average net income + average D&A − maintenance capex (zero-growth floor; no ΔNWC). Levered (starts from net income, already after interest — an equity-holder stream). Capitalized at the 10.3–12.3% band (9–11% base + 1.3pp leverage premium). No enterprise→equity bridge: the capitalized result is already equity value (subtracting debt would double-count interest).

Years: TTM 2026-06-30, 2024, 2023, 2022, 2021

v1 simplifications: Owner earnings = net income + D&A − maintenance capex (degraded); the working-capital change is excluded (maintenance ΔNWC ≈ 0; growth ΔNWC is carried in growth value, not double-counted). Maintenance-capex methods diverge by 63% (> 50%); estimate is degraded. One-time items are not separately normalized (multi-year averaging smooths them partially). Share-based compensation is left as a real expense (not added back); see the SBC/OE disclosure. Capitalized at the 9–11% base band plus a 1.3pp leverage premium (cost of equity rises with leverage — MM Proposition II). Net debt is about 5.6 years of owner earnings, adding 1.3pp of cost-of-equity risk premium.

Reproduction value = tangible net assets $7.58B = $125.90 / sh. Tangible net assets = shareholders' equity − goodwill − intangibles, ÷ diluted shares (no R&D history to capitalize).

Moat reading: Franchise test compares earnings power (EPV) against reproduction value on both AV_conservative (tangible + capitalized R&D) and AV_reproduction (conservative + acquired-reset proxy). Both must clear the franchise multiple for a moat signal; near it, a commodity; below it, value destruction. A directional reading, not a verdict.

Growth value gated to zero — no moat or ROIIC ≤ WACC, so no growth value is credited.

Window TTM 2026-06-30, FY 2024, 2023, 2022, 2021 · discount band 9%–11% · normalized tax 20% (Average effective tax rate over 5 year(s), capped at the statutory 21%.) · diluted shares.

Baseline 9%–11%, net debt ≈ 5.6 years of owner earnings → +1.3pp cost-of-equity premium → effective 10.3%–12.3%.

Owner-earnings DCF: growth g₁ 2% · OE FY TTM 2026-06-30, 2024, 2023, 2022, 2021 · Discount band: 10.44%–13.28% (DGS10 +4.5% to a 12% strict end, each +1.28pp for leverage premium, as of 2026-08-26). No enterprise→equity bridge: owner earnings already flow to shareholders (post-interest), so no net cash is added and no debt subtracted — matching the engine owner-earnings lamp.

Valuation basis: trailing twelve months to 2026-06-30 — latest 10-K plus unaudited 10-Q filings.

What the price is betting

Today's price pencils in about 23.2% a year in owner-earnings for the next few years. Revenue actually grew 5.8% a year.

The market wants it well ahead of its own track record.

How to read intrinsic value

SEC 13F · holders

Superinvestors Holding This Security

5 holders · $1.20B combined · this quarter +1 opened / -1 exited

This quarter1 opened2 added2 trimmed1 exited
Holders 4 → 5 · last 8q
Exited this quarter (1)
Ravenel Boykin Curry

SEC 13F · notes

Written summary

Martin Marietta Materials (MLM) is held by 5 of the superinvestors tracked on Compounder, with a combined $1.20B in reported 13F value. The largest position belongs to Chris Hohn, where it makes up 1.4% of the portfolio.

Other notable holders by value include Thomas Russo (4.6% of its book), Wallace Weitz (1.9% of its book) and Jeremy Grantham (0.0% of its book).

Over the latest quarter, 1 of the tracked filers opened a new position in MLM, 2 added to existing ones, 2 trimmed, and 1 sold out entirely.

Holder counts and values reflect the most recent SEC Form 13F filings, through the quarter ended 2026-06-30. Source: SEC EDGAR. A 13F shows only long US-listed positions and can lag the real portfolio by up to 45 days, so this is disclosed long ownership, not a complete picture.

How to read a 13F

SEC 13F · co-ownership

Also held by these investors

Investors holding Martin Marietta Materials (MLM) also commonly hold →

MLM's price is not below its conservative value band. See current strike-zone stocks

Also on

Sources· SEC EDGAR 13F as of 2026-06-30 · filed 2026-08-14

Educational data only — not investment advice. 13F positions are self-reported and can lag up to 45 days.

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