MLM vs MDU

For growth investors, Martin Marietta Materials, Inc.

(MLM) is the stronger pick with 0. 1% revenue growth year-over-year, versus -2. 5% for MDU Resources Group, Inc. (MDU). MDU Resources Group, Inc. (MDU) offers the better valuation at 16. 3x trailing P/E (22. 8x forward), making it the more compelling value choice. Analysts rate Martin Marietta Materials, Inc. (MLM) a "Buy" — based on 40 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, MDU Resources Group, Inc.

(MDU) is the cheapest at 16. 3x versus Martin Marietta Materials, Inc. at 32. 7x. On forward P/E, MDU Resources Group, Inc. is actually cheaper at 22. 8x.

Over the past 5 years, MDU Resources Group, Inc.

(MDU) delivered a total return of +87. 7%, compared to +69. 0% for Martin Marietta Materials, Inc. (MLM). Over 10 years, the gap is even starker: MLM returned +259. 4% versus MDU's +224. 6%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), MDU Resources Group, Inc.

(MDU) is the lower-risk stock at 0. 38β versus Martin Marietta Materials, Inc. 's 0. 87β — meaning MLM is approximately 128% more volatile than MDU relative to the S&P 500. On balance sheet safety, Martin Marietta Materials, Inc. (MLM) carries a lower debt/equity ratio of 53% versus 85% for MDU Resources Group, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Martin Marietta Materials, Inc.

(MLM) is pulling ahead at 0. 1% versus -2. 5% for MDU Resources Group, Inc. (MDU). On earnings-per-share growth, the picture is similar: MDU Resources Group, Inc. grew EPS -32. 5% year-over-year, compared to -42. 0% for Martin Marietta Materials, Inc.. Over a 3-year CAGR, MLM leads at 2. 0% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Martin Marietta Materials, Inc.

(MLM) is the more profitable company, earning 17. 4% net margin versus 16. 0% for MDU Resources Group, Inc. — meaning it keeps 17. 4% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: MLM leads at 23. 3% versus 15. 1% for MDU. At the gross margin level — before operating expenses — MDU leads at 32. 5%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, MDU Resources Group, Inc.

(MDU) trades at 22. 8x forward P/E versus 31. 5x for Martin Marietta Materials, Inc. — 8. 8x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for MLM: 13. 0% to $695. 30.

All stocks in this comparison pay dividends.

MDU Resources Group, Inc. (MDU) offers the highest yield at 2. 3%, versus 0. 5% for Martin Marietta Materials, Inc. (MLM).

For long-horizon retirement investors, MDU Resources Group, Inc.

(MDU) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 38), 2. 3% yield, +224. 6% 10Y return). Both have compounded well over 10 years (MDU: +224. 6%, MLM: +259. 4%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

These companies operate in different sectors (MLM (Basic Materials) and MDU (Industrials)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

In terms of investment character: MLM is a mid-cap quality compounder stock; MDU is a small-cap deep-value stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.