AKZO NOBEL N.V. (AKZA.AS)
NL0013267909 - Common Stock
Taking everything into account, AKZA scores 5 out of 10 in our fundamental rating. AKZA was compared to 67 industry peers in the Chemicals industry. While AKZA is still in line with the averages on profitability rating, there are concerns on its financial health. AKZA has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year AKZA was profitable.
In the past year AKZA had a positive cash flow from operations.
AKZA had positive earnings in each of the past 5 years.
Each year in the past 5 years AKZA had a positive operating cash flow.
1.2 Ratios
AKZA has a Return On Assets of 3.04%. This is comparable to the rest of the industry: AKZA outperforms 56.25% of its industry peers.
AKZA has a better Return On Equity (10.23%) than 71.88% of its industry peers.
AKZA has a Return On Invested Capital of 7.36%. This is in the better half of the industry: AKZA outperforms 70.31% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AKZA is in line with the industry average of 7.22%.
The last Return On Invested Capital (7.36%) for AKZA is above the 3 year average (5.81%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.04% | ||
| ROE | 10.23% | ||
| ROIC | 7.36% |
ROA(3y)3.8%
ROA(5y)4.07%
ROE(3y)11.21%
ROE(5y)10.62%
ROIC(3y)5.81%
ROIC(5y)5.75%
1.3 Margins
Looking at the Profit Margin, with a value of 4.14%, AKZA is in line with its industry, outperforming 57.81% of the companies in the same industry.
AKZA's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 9.65%, AKZA is in the better half of the industry, outperforming 73.44% of the companies in the same industry.
In the last couple of years the Operating Margin of AKZA has grown nicely.
AKZA has a Gross Margin of 39.69%. This is in the better half of the industry: AKZA outperforms 62.50% of its industry peers.
In the last couple of years the Gross Margin of AKZA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.65% | ||
| PM (TTM) | 4.14% | ||
| GM | 39.69% |
OM growth 3Y-5.11%
OM growth 5Y8.09%
PM growth 3Y-17.53%
PM growth 5Y-43.52%
GM growth 3Y-3.65%
GM growth 5Y-1.33%
2. Health
2.1 Basic Checks
AKZA has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, AKZA has more shares outstanding
The number of shares outstanding for AKZA has been reduced compared to 5 years ago.
The debt/assets ratio for AKZA has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.13 indicates that AKZA is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.13, AKZA perfoms like the industry average, outperforming 42.19% of the companies in the same industry.
AKZA has a debt to FCF ratio of 6.67. This is a slightly negative value and a sign of low solvency as AKZA would need 6.67 years to pay back of all of its debts.
The Debt to FCF ratio of AKZA (6.67) is better than 60.94% of its industry peers.
A Debt/Equity ratio of 0.73 indicates that AKZA is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.73, AKZA is not doing good in the industry: 78.13% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 6.67 | ||
| Altman-Z | 2.13 |
ROIC/WACC1.35
WACC5.46%
2.3 Liquidity
AKZA has a Current Ratio of 1.06. This is a normal value and indicates that AKZA is financially healthy and should not expect problems in meeting its short term obligations.
AKZA has a worse Current ratio (1.06) than 90.63% of its industry peers.
AKZA has a Quick Ratio of 1.06. This is a bad value and indicates that AKZA is not financially healthy enough and could expect problems in meeting its short term obligations.
AKZA's Quick ratio of 0.77 is on the low side compared to the rest of the industry. AKZA is outperformed by 82.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.06 | ||
| Quick Ratio | 0.77 |
3. Growth
3.1 Past
AKZA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 26.34%, which is quite impressive.
Measured over the past 5 years, AKZA shows a small growth in Earnings Per Share. The EPS has been growing by 2.33% on average per year.
AKZA shows a decrease in Revenue. In the last year, the revenue decreased by -1.64%.
AKZA shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.88% yearly.
EPS 1Y (TTM)26.34%
EPS 3Y-7.59%
EPS 5Y2.33%
EPS growth Q2Q162.5%
Revenue 1Y (TTM)-1.64%
Revenue growth 3Y7.74%
Revenue growth 5Y2.88%
Revenue growth Q2Q-2.95%
3.2 Future
The Earnings Per Share is expected to grow by 20.04% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 4.15% on average over the next years.
EPS Next Y42.22%
EPS Next 2Y26.81%
EPS Next 3Y20.22%
EPS Next 5Y20.04%
Revenue Next Year0.66%
Revenue Next 2Y1.93%
Revenue Next 3Y2.17%
Revenue Next 5Y4.15%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 21.59, AKZA is valued on the expensive side.
AKZA's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 24.76, AKZA is valued at the same level.
AKZA is valuated correctly with a Price/Forward Earnings ratio of 15.18.
68.75% of the companies in the same industry are more expensive than AKZA, based on the Price/Forward Earnings ratio.
AKZA's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 21.26.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.59 | ||
| Fwd PE | 15.18 |
4.2 Price Multiples
AKZA's Enterprise Value to EBITDA is on the same level as the industry average.
81.25% of the companies in the same industry are more expensive than AKZA, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.56 | ||
| EV/EBITDA | 10.68 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
AKZA has a very decent profitability rating, which may justify a higher PE ratio.
AKZA's earnings are expected to grow with 20.22% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.51
PEG (5Y)9.27
EPS Next 2Y26.81%
EPS Next 3Y20.22%
5. Dividend
5.1 Amount
AKZA has a Yearly Dividend Yield of 3.00%.
Compared to an average industry Dividend Yield of 3.06, AKZA pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.40, AKZA pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3% |
5.2 History
The dividend of AKZA decreases each year by -5.10%.
Dividend Growth(5Y)-5.1%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
83.26% of the earnings are spent on dividend by AKZA. This is not a sustainable payout ratio.
DP83.26%
EPS Next 2Y26.81%
EPS Next 3Y20.22%
AKZO NOBEL N.V.
AMS:AKZA (4/19/2024, 7:00:00 PM)
66.28
+0.18 (+0.27%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap11.31B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3% |
Dividend Growth(5Y)
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Ex-Date
Surprises & Revisions
EPS beat(2)
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Revenue NQ rev (1m)
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Revenue NY rev (1m)
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Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.59 | ||
| Fwd PE | 15.18 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.51
PEG (5Y)9.27
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.04% | ||
| ROE | 10.23% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 9.65% | ||
| PM (TTM) | 4.14% | ||
| GM | 39.69% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.06 | ||
| Quick Ratio | 0.77 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)26.34%
EPS 3Y-7.59%
EPS 5Y
EPS growth Q2Q
EPS Next Y42.22%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-1.64%
Revenue growth 3Y7.74%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
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FCF growth 1Y
FCF growth 3Y
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