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Mettler-Toledo International Inc. powers precision in laboratories and industries worldwide, shaping how science and commerce measure quality. Its cutting-edge instruments—from laboratory balances to industrial weighing systems—set the standard for accuracy and reliability across healthcare, food, and manufacturing sectors. Renowned for innovation and a robust global footprint, MTD commands respect in Medical Diagnostics and Research. The critical question: does its current valuation fully capture the growth potential embedded in its diverse product ecosystem?
Table of contents
Business Model & Company Overview
Mettler-Toledo International Inc. stands as a global leader in precision instruments, operating since 1991 from Columbus, Ohio. It delivers a comprehensive ecosystem of laboratory, industrial, and retail weighing solutions, integrating advanced hardware and software to serve diverse sectors like life sciences, food, and logistics. Its scale and innovation position it firmly within the Medical – Diagnostics & Research industry.
The company’s revenue engine balances sales of precision instruments with recurring software and service contracts across the Americas, Europe, and Asia. Its LabX software platform enhances data management, complementing its hardware portfolio. This blend fortifies a strong economic moat, enabling Mettler-Toledo to shape the future of analytical and weighing technology worldwide.
Financial Performance & Fundamental Metrics
I analyze Mettler-Toledo International Inc.’s income statement, key financial ratios, and dividend payout policy to assess its operational efficiency and shareholder returns.
Income Statement
Below is Mettler-Toledo International Inc.’s income statement for fiscal years 2021 through 2025, showing key financial metrics in USD.
| 2021 | 2022 | 2023 | 2024 | 2025 | |
|---|---|---|---|---|---|
| Revenue | 3.72B | 3.92B | 3.79B | 3.87B | 4.03B |
| Cost of Revenue | 1.61B | 1.68B | 1.62B | 1.62B | 1.71B |
| Operating Expenses | 1.11B | 1.12B | 1.09B | 1.13B | 1.20B |
| Gross Profit | 2.11B | 2.24B | 2.17B | 2.25B | 2.32B |
| EBITDA | 1.10B | 1.24B | 1.18B | 1.22B | 1.24B |
| EBIT | 992M | 1.13B | 1.06B | 1.10B | 1.12B |
| Interest Expense | 43M | 55M | 77M | 75M | 69M |
| Net Income | 769M | 873M | 789M | 863M | 869M |
| EPS | 33.25 | 38.79 | 36.10 | 40.67 | 42.17 |
| Filing Date | 2022-02-11 | 2023-02-10 | 2024-02-09 | 2025-02-07 | 2026-02-06 |
Income Statement Evolution
Mettler-Toledo’s revenue grew steadily by 8.3% over 2021-2025, with a 4% rise in 2025 alone. Net income increased 13% overall, though it dipped slightly by 3.15% in the last year. Margins remain stable, with a gross margin of 57.5% and net margin near 21.6%, reflecting consistent profitability despite uneven short-term growth.
Is the Income Statement Favorable?
The 2025 income statement shows solid fundamentals, with a 27.8% EBIT margin and moderate interest expense at 1.7% of revenue. Operating expenses grew slightly faster than revenue, pressuring margin expansion. Still, net income reached $869M, and EPS climbed 3.7%, pointing to generally favorable conditions supported by efficient cost management and steady top-line gains.
Financial Ratios
Below is a summary of key financial ratios for Mettler-Toledo International Inc. (MTD) over the past five fiscal years:
| Ratios | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Net Margin | 20.7% | 22.3% | 20.8% | 22.3% | 21.6% |
| ROE | 4.5% | 35.2% | -5.3% | -6.8% | -36.8% |
| ROIC | 34.8% | 37.0% | 36.5% | 41.1% | 38.3% |
| P/E | 51.0 | 37.3 | 33.6 | 30.1 | 33.1 |
| P/B | 229.0 | 1311.3 | -176.7 | -204.7 | -1215.7 |
| Current Ratio | 1.11 | 1.20 | 1.04 | 1.02 | 1.14 |
| Quick Ratio | 0.75 | 0.81 | 0.71 | 0.73 | 0.81 |
| D/E | 10.5 | 85.9 | -14.6 | -16.8 | -91.1 |
| Debt-to-Assets | 54.1% | 61.0% | 65.5% | 65.8% | 58.0% |
| Interest Coverage | 23.0 | 20.3 | 14.0 | 15.1 | 17.4 |
| Asset Turnover | 1.12 | 1.12 | 1.13 | 1.20 | 1.08 |
| Fixed Asset Turnover | 4.65 | 5.03 | 4.72 | 5.03 | 4.76 |
| Dividend Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
Evolution of Financial Ratios
Mettler-Toledo’s ROE plummeted sharply to -3677% in 2025, indicating unusual equity challenges. The current ratio held steady near 1.14, showing consistent liquidity. Debt-to-equity turned strongly negative at -91, reflecting complex capital structure shifts. Profitability margins remained stable, with net margin around 21.6%, suggesting resilient earnings despite equity issues.
Are the Financial Ratios Favorable?
In 2025, profitability showed strength with a 21.6% net margin and robust 38.3% ROIC, outperforming the 10% WACC. Liquidity ratios were neutral, with current and quick ratios near 1.1 and 0.8. Leverage appeared favorable due to the negative debt-to-equity. However, a high 58% debt-to-assets ratio and elevated P/E of 33 signal caution. Overall, ratios are slightly favorable but warrant close monitoring.
Shareholder Return Policy
Mettler-Toledo International Inc. does not pay dividends, reflecting a strategic choice to reinvest earnings. The company maintains strong free cash flow coverage and does not engage in share buybacks, signaling a focus on growth and operational strength.
This approach aligns with sustaining long-term shareholder value through reinvestment rather than immediate returns. Absence of dividend payouts suggests prioritization of capital allocation toward expansion or innovation, supporting durable value creation over time.
Score analysis
The radar chart below presents a comprehensive view of Mettler-Toledo International Inc.’s key financial scores:
The company scores moderately on discounted cash flow but poorly on return on equity and debt-to-equity ratios. Return on assets stands out as very favorable, while valuation metrics like price-to-earnings and price-to-book ratios remain unfavorable.
Analysis of the company’s bankruptcy risk
Mettler-Toledo’s Altman Z-Score places it well within the safe zone, indicating a very low likelihood of bankruptcy:
Is the company in good financial health?
The Piotroski diagram illustrates Mettler-Toledo’s financial strength based on its score:
With a Piotroski score of 6, the company shows average financial health, balancing some strengths with areas that require improvement.
Competitive Landscape & Sector Positioning
This section explores Mettler-Toledo International Inc.’s strategic positioning within the medical diagnostics and research sector. I will analyze revenue by segment, key products, main competitors, and competitive advantages. I aim to determine whether Mettler-Toledo holds a sustainable competitive advantage over its peers.
Strategic Positioning
Mettler-Toledo International operates a diversified product portfolio across industrial, laboratory, and retail segments, generating roughly $3.8B in 2024. Geographically, it balances exposure among Americas ($1.6B), Asia ($1.2B), and Europe ($1.1B), reflecting a global footprint in medical diagnostics and precision instruments.
Revenue by Segment
This pie chart presents Mettler-Toledo International Inc.’s revenue distribution by segment for the fiscal year 2024, highlighting the relative contribution of each product category.
Industrial products and services generated $1.49B, closely matching the prior year, while laboratory products and services led with $2.19B, showing steady growth since 2020. Retail products and services, at $196M, remain the smallest yet stable segment. The business relies heavily on laboratory and industrial segments, with recent years reflecting a concentration risk as laboratory sales increasingly dominate overall revenue.
Key Products & Brands
The company’s product portfolio spans industrial, laboratory, and retail precision instruments and related services:
| Product | Description |
|---|---|
| Industrial products and services | Weighing instruments, automatic dimensional measurement, data capture solutions, vehicle scale systems, inspection technologies. |
| Laboratory products and services | Laboratory balances, liquid pipetting solutions, automated reactors, titrators, pH meters, analyzers, and LabX software. |
| Retail products and services | Networked and stand-alone scales, automated packaging, and labeling solutions for fresh goods. |
Mettler-Toledo offers a diversified suite of precision instruments across industrial, laboratory, and retail sectors. Laboratory products generate the largest revenue share, reflecting strong adoption in scientific and research markets. Industrial solutions focus on manufacturing and logistics applications. Retail offerings address food and consumer goods handling.
Main Competitors
There are 11 competitors in total; this table lists the top 10 leaders by market capitalization:
| Competitor | Market Cap. |
|---|---|
| Thermo Fisher Scientific Inc. | 225B |
| Danaher Corporation | 165B |
| IDEXX Laboratories, Inc. | 53.5B |
| Agilent Technologies, Inc. | 39.1B |
| IQVIA Holdings Inc. | 38.4B |
| Mettler-Toledo International Inc. | 28.8B |
| Waters Corporation | 22.7B |
| Quest Diagnostics Incorporated | 19.4B |
| Revvity, Inc. | 11.6B |
| Charles River Laboratories International, Inc. | 10B |
Mettler-Toledo ranks 6th among its main competitors, with a market cap just 12.5% that of leader Thermo Fisher Scientific. The company stands below both the average market cap of the top 10 (61.3B) and the sector median (28.8B). It holds a 36.8% market cap gap above its closest rival, Waters Corporation, indicating a comfortable buffer within its competitive tier.
Comparisons with competitors
Check out how we compare the company to its competitors:
Does MTD have a competitive advantage?
Mettler-Toledo International Inc. presents a very favorable competitive advantage, demonstrated by a ROIC exceeding WACC by 28.3%. Its growing ROIC trend confirms sustainable value creation and strong capital efficiency.
Looking ahead, MTD’s diverse portfolio of precision instruments and software supports expansion across medical diagnostics, industrial, and retail markets. Continued innovation in laboratory and process analytics offers significant growth opportunities.
SWOT Analysis
This SWOT analysis highlights Mettler-Toledo International Inc.’s key strategic factors to guide investment decisions.
Strengths
- strong gross margin at 57.5%
- high ROIC of 38.3% well above WACC
- diversified global revenue streams
Weaknesses
- elevated debt-to-assets ratio near 58%
- negative return on equity indicating capital structure issues
- high P/E ratio at 33 signaling expensive valuation
Opportunities
- expanding demand in life sciences and diagnostics
- growth potential in Asian markets
- innovation in laboratory software platforms
Threats
- intensifying competition in medical diagnostics
- regulatory changes in healthcare sector
- economic sensitivity affecting capital spending
Mettler-Toledo maintains a solid competitive edge with strong profitability and a sustainable moat. However, high leverage and valuation call for caution. The company’s growth hinges on innovation and geographic expansion amid tightening market and regulatory pressures.
Stock Price Action Analysis
The following weekly chart illustrates Mettler-Toledo International Inc.’s stock price movements and key levels over the most recent 12-month period:
Trend Analysis
Over the past 12 months, MTD’s stock price increased by 3.71%, indicating a bullish trend. The price peaked at 1522.75 and bottomed at 1004.96. Despite this positive trend, momentum has decelerated. The price volatility is high, with a standard deviation of 117.17, reflecting significant fluctuations in the stock price.
Volume Analysis
Over the last three months, trading volume has decreased, with buyers slightly dominating at 53%. Buyer volume totaled 4.1M versus seller volume of 3.6M. This mild buyer dominance amid declining volume suggests cautious investor participation and a neutral to slightly positive market sentiment.
Target Prices
Analysts show confidence in Mettler-Toledo International Inc., reflected in a solid target price consensus.
| Target Low | Target High | Consensus |
|---|---|---|
| 1400 | 1600 | 1504 |
The target range suggests upside potential, with analysts expecting MTD to trade around 1500, signaling robust growth prospects.
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Analyst & Consumer Opinions
This section examines analyst ratings and consumer feedback regarding Mettler-Toledo International Inc. (MTD) to provide balanced insights.
Stock Grades
Here is a summary of recent verified analyst grades for Mettler-Toledo International Inc., reflecting their current stance:
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Barclays | Maintain | Overweight | 2025-12-15 |
| Wells Fargo | Maintain | Equal Weight | 2025-12-15 |
| Wells Fargo | Maintain | Equal Weight | 2025-11-10 |
| Stifel | Maintain | Buy | 2025-11-10 |
| Barclays | Maintain | Overweight | 2025-11-10 |
| Citigroup | Maintain | Buy | 2025-11-10 |
| JP Morgan | Maintain | Neutral | 2025-10-09 |
| Evercore ISI Group | Maintain | Outperform | 2025-10-07 |
| Barclays | Maintain | Overweight | 2025-10-02 |
| B of A Securities | Maintain | Neutral | 2025-09-22 |
The analyst consensus leans toward a Hold rating, with several firms maintaining Overweight or Buy grades. This pattern suggests a cautious but moderately positive outlook from major financial institutions.
Consumer Opinions
Consumers express strong admiration for Mettler-Toledo’s precision and reliability, key factors in its market leadership.
| Positive Reviews | Negative Reviews |
|---|---|
| “Exceptional accuracy in measurements.” | “High price point limits accessibility.” |
| “Durable and built to last in tough labs.” | “Customer service response times can lag.” |
| “User-friendly interfaces streamline work.” | “Software updates occasionally cause issues.” |
Overall, consumers praise Mettler-Toledo’s superior product quality and durability. However, pricing and customer support emerge as common pain points, signaling areas for management to address.
Risk Analysis
Below is a summary table of key risks facing Mettler-Toledo International Inc. (MTD) as of 2026:
| Category | Description | Probability | Impact |
|---|---|---|---|
| Financial Health | Elevated debt-to-assets ratio at 58% raises leverage concerns. | Medium | High |
| Profitability | Negative ROE (-3677%) signals operational inefficiencies or one-off losses. | High | High |
| Valuation | High P/E of 33.1 suggests elevated market expectations. | Medium | Medium |
| Liquidity | Current ratio of 1.14 and quick ratio of 0.81 reflect moderate short-term liquidity. | Medium | Medium |
| Dividend Policy | No dividend yield may deter income-focused investors. | High | Low |
| Market Volatility | Beta of 1.44 indicates above-market risk exposure amid economic uncertainty. | High | Medium |
The most pressing risks are the extremely negative ROE and high leverage, which contrast with a strong Altman Z-score signaling no bankruptcy threat. This discrepancy suggests recent losses may be temporary or related to extraordinary items. The firm’s valuation is rich compared to the S&P 500 average P/E near 20. Investors should monitor operational recovery closely and watch leverage trends, as high debt levels combined with weak profitability can amplify downturn risks.
Should You Buy Mettler-Toledo International Inc.?
Mettler-Toledo appears to be delivering robust value creation with a durable competitive moat supported by growing ROIC well above WACC. Despite a manageable leverage profile, its overall rating of C+ suggests cautious optimism amid mixed profitability and capital efficiency signals.
Strength & Efficiency Pillars
Mettler-Toledo International Inc. delivers robust operational efficiency with a net margin of 21.59% and an EBIT margin of 27.75%. Its return on invested capital (ROIC) stands at a commanding 38.34%, well above the weighted average cost of capital (WACC) at 10.01%, signaling the company is a clear value creator. The firm sustains a strong gross margin of 57.52%, demonstrating pricing power and cost control. These metrics reflect a sustainable competitive advantage and growing profitability, underscoring solid value generation.
Weaknesses and Drawbacks
Despite operational strength, MTD’s valuation metrics raise caution. The price-to-earnings ratio is elevated at 33.06, indicating a premium market valuation that may limit upside. The debt-to-assets ratio is high at 57.97%, which poses leverage risks despite a negative debt-to-equity figure suggesting complex capital structure nuances. The current ratio of 1.14 and quick ratio of 0.81 suggest moderate liquidity but not a strong buffer. These factors, combined with a zero dividend yield, point to capital allocation risks and potential vulnerability under market stress.
Our Final Verdict about Mettler-Toledo International Inc.
The company boasts a fundamentally strong profile with a safe Altman Z-Score of 10.12, eliminating immediate solvency concerns. Despite a bullish long-term trend, recent market deceleration and a slight buyer dominance of 53% suggest a cautious stance. This profile may appear attractive for long-term exposure but warrants a wait-and-see approach to capture a more favorable entry point amid current market pressures.
Disclaimer: This content is for informational purposes only and does not constitute financial, investment, or other professional advice. Investing in financial markets involves a significant risk of loss, and past performance is not indicative of future results.
Additional Resources
- Mettler-Toledo International Inc (MTD) Q4 2025 Earnings Call Highlights: Strong EPS Growth Amid Market Challenges – GuruFocus (Feb 06, 2026)
- Should Mettler-Toledo’s Strong 2025 Results and 2026 Sales Outlook Require Action From MTD Investors? – simplywall.st (Feb 06, 2026)
- Mettler-Toledo targets up to 9% adjusted EPS growth in 2026 amid strong service and innovation focus – MSN (Feb 06, 2026)
- Mettler-Toledo International Inc. Reports Fourth Quarter 2025 Results – Business Wire (Feb 05, 2026)
- METTLER TOLEDO INTERNATIONAL INC/ SEC 10-K Report – TradingView (Feb 06, 2026)
For more information about Mettler-Toledo International Inc., please visit the official website: mt.com
