Market Value Added (MVA)
Market value added (MVA) is the difference between a firm fair value and its invested capital. MVA is a measure of the value a company has created in excess of the resources already committed to the enterprise.
MVA
Sherwin-Williams Co., MVA calculation
US$ in thousands
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 Fair value of debt. See details »
2 Invested capital. See details »
| Item | Description | The company |
|---|---|---|
| MVA | Sherwin-Williams Co. market (fair) value less invested capital. | Sherwin-Williams Co. MVA decreased from 2021 to 2022 but then increased from 2022 to 2023 exceeding 2021 level. |
MVA Spread Ratio
Sherwin-Williams Co., MVA spread ratio calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Market value added (MVA)1 | 73,740,627) | 51,490,805) | 66,192,180) | 60,301,976) | 47,413,910) | |
| Invested capital2 | 16,412,900) | 17,346,300) | 15,808,100) | 15,489,500) | 16,416,500) | |
| Performance Ratio | ||||||
| MVA spread ratio3 | 449.28% | 296.84% | 418.72% | 389.31% | 288.82% | |
| Benchmarks | ||||||
| MVA Spread Ratio, Competitors4 | ||||||
| Linde plc | 223.74% | 162.37% | 128.35% | 92.56% | 56.94% | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 MVA. See details »
2 Invested capital. See details »
3 2023 Calculation
MVA spread ratio = 100 × MVA ÷ Invested capital
= 100 × 73,740,627 ÷ 16,412,900 = 449.28%
4 Click competitor name to see calculations.
| Performance ratio | Description | The company |
|---|---|---|
| MVA spread ratio | The ratio of MVA to invested capital. It measures the efficiency with which investors’ capital investment has translated into a franchise value and into an aggregate net present value premium. | Sherwin-Williams Co. MVA spread ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level. |
MVA Margin
Sherwin-Williams Co., MVA margin calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Market value added (MVA)1 | 73,740,627) | 51,490,805) | 66,192,180) | 60,301,976) | 47,413,910) | |
| Net sales | 23,051,900) | 22,148,900) | 19,944,600) | 18,361,700) | 17,900,800) | |
| Performance Ratio | ||||||
| MVA margin2 | 319.89% | 232.48% | 331.88% | 328.41% | 264.87% | |
| Benchmarks | ||||||
| MVA Margin, Competitors3 | ||||||
| Linde plc | 499.92% | 352.06% | 302.43% | 267.64% | 158.41% | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).
1 MVA. See details »
2 2023 Calculation
MVA margin = 100 × MVA ÷ Net sales
= 100 × 73,740,627 ÷ 23,051,900 = 319.89%
3 Click competitor name to see calculations.
| Performance ratio | Description | The company |
|---|---|---|
| MVA margin | The ratio of MVA to sales. It measures how efficiently and prodigiously sales translate into franchise value. | Sherwin-Williams Co. MVA margin ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 not reaching 2021 level. |