What is Michelin’s Stock Listing on the Stock Market?
Michelin is a multinational French tyre company based in Clermont-Ferrand in the Auvergne-Rhône-Alpes region of France. The company is the second largest tyre maker in the world behind Bridgestone. It is larger than Continental and Goodyear.
Michelin is listed on the Euronext market in Paris and is part of the French CAC 40 index. Its share dividend is paid once a year. The Board of Directors recently proposed a dividend of 4.50 euros per share for 2021, up from 2.30 euros last year. In addition to being listed on the Euronext market, Michelin is also active in the equity markets. The company’s market capitalization is estimated to reach 24,068 billion euros by 2020.
Michelin’s stock has a low P/E ratio and a high dividend payout. The company has a very stable financial position. A low P/E ratio indicates the company is undervalued, while a high negative P/E ratio means it is overvalued. In addition to its high dividend payout, Michelin buys back shares and commits to a 35% dividend payout for its shareholders.
Michelin’s subsidiary BFGoodrich has a substantial presence in the original equipment and aftermarket markets for 4x4s and SUVs. Their tyres are classified as second-line products, which are generally priced below the six major brands. They have been ranked third in the US four-wheeler market, and fourth in the European 4×4 market.