ALBEMARLE CORP (ALB) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ALB - US0126531013 - Common Stock
126.91 USD
+1.65 (+1.32%)
126.72 USD
-0.19 (-0.15%)
Overall ALB gets a fundamental rating of 3 out of 10. We evaluated ALB against 81 industry peers in the Chemicals industry. The financial health of ALB is average, but there are quite some concerns on its profitability. ALB is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
ALB had negative earnings in the past year.
ALB had a positive operating cash flow in the past year.
ALB had positive earnings in 4 of the past 5 years.
ALB had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of -1.10%, ALB is in line with its industry, outperforming 43.21% of the companies in the same industry.
Looking at the Return On Equity, with a value of -1.88%, ALB is in line with its industry, outperforming 48.15% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 0.10%, ALB is doing worse than 82.72% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.1% | ||
| ROE | -1.88% | ||
| ROIC | 0.1% |
ROA(3y)6.03%
ROA(5y)4.56%
ROE(3y)12.4%
ROE(5y)9.64%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Operating Margin of ALB (0.39%) is worse than 80.25% of its industry peers.
The Gross Margin of ALB (12.31%) is worse than 79.01% of its industry peers.
In the last couple of years the Gross Margin of ALB has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.39% | ||
| PM (TTM) | N/A | ||
| GM | 12.31% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-66.02%
GM growth 5Y-49.18%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ALB is destroying value.
Compared to 1 year ago, ALB has about the same amount of shares outstanding.
ALB has more shares outstanding than it did 5 years ago.
ALB has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.13 indicates that ALB is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of ALB (2.13) is better than 60.49% of its industry peers.
The Debt to FCF ratio of ALB is 34.76, which is on the high side as it means it would take ALB, 34.76 years of fcf income to pay off all of its debts.
ALB has a Debt to FCF ratio (34.76) which is comparable to the rest of the industry.
ALB has a Debt/Equity ratio of 0.32. This is a healthy value indicating a solid balance between debt and equity.
ALB's Debt to Equity ratio of 0.32 is fine compared to the rest of the industry. ALB outperforms 76.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 34.76 | ||
| Altman-Z | 2.13 |
ROIC/WACC0.01
WACC8.09%
2.3 Liquidity
ALB has a Current Ratio of 2.27. This indicates that ALB is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 2.27, ALB is doing good in the industry, outperforming 64.20% of the companies in the same industry.
ALB has a Quick Ratio of 1.51. This is a normal value and indicates that ALB is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of ALB (1.51) is better than 61.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.27 | ||
| Quick Ratio | 1.51 |
3. Growth
3.1 Past
ALB shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -325.00%.
The Revenue for ALB has decreased by -23.92% in the past year. This is quite bad
Measured over the past years, ALB shows a quite strong growth in Revenue. The Revenue has been growing by 8.42% on average per year.
EPS 1Y (TTM)-325%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%87.74%
Revenue 1Y (TTM)-23.92%
Revenue growth 3Y17.35%
Revenue growth 5Y8.42%
Sales Q2Q%-3.46%
3.2 Future
The Earnings Per Share is expected to grow by 49.09% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 6.83% on average over the next years.
EPS Next Y35.43%
EPS Next 2Y41.69%
EPS Next 3Y54.76%
EPS Next 5Y49.09%
Revenue Next Year-8.96%
Revenue Next 2Y-1.66%
Revenue Next 3Y3.4%
Revenue Next 5Y6.83%
3.3 Evolution
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
ALB reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
A Price/Forward Earnings ratio of 7091.05 indicates a quite expensive valuation of ALB.
ALB's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. ALB is more expensive than 70.37% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of ALB to the average of the S&P500 Index (36.12), we can say ALB is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 7091.05 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ALB is valued more expensive than 81.48% of the companies in the same industry.
ALB's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 143.17 | ||
| EV/EBITDA | 24.26 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as ALB's earnings are expected to grow with 54.76% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y41.69%
EPS Next 3Y54.76%
5. Dividend
5.1 Amount
ALB has a Yearly Dividend Yield of 1.39%. Purely for dividend investing, there may be better candidates out there.
ALB's Dividend Yield is comparable with the industry average which is at 4.16.
With a Dividend Yield of 1.39, ALB pays less dividend than the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.39% |
5.2 History
The dividend of ALB is nicely growing with an annual growth rate of 13.04%!
ALB has paid a dividend for at least 10 years, which is a reliable track record.
ALB has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)13.04%
Div Incr Years30
Div Non Decr Years30
5.3 Sustainability
The earnings of ALB are negative and hence is the payout ratio. ALB will probably not be able to sustain this dividend level.
The dividend of ALB is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-190.12%
EPS Next 2Y41.69%
EPS Next 3Y54.76%
126.91
+1.65 (+1.32%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners99.06%
Inst Owner Change-4.08%
Ins Owners0.37%
Ins Owner Change3.48%
Market Cap14.93B
Revenue(TTM)4.95B
Net Income(TTM)-187.91M
Analysts66.45
Price Target103.53 (-18.42%)
Short Float %8.61%
Short Ratio2.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.39% |
Yearly Dividend2.65
Dividend Growth(5Y)13.04%
DP-190.12%
Div Incr Years30
Div Non Decr Years30
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)94.53%
Min EPS beat(2)75.86%
Max EPS beat(2)113.21%
EPS beat(4)3
Avg EPS beat(4)51.06%
Min EPS beat(4)-54.53%
Max EPS beat(4)113.21%
EPS beat(8)4
Avg EPS beat(8)-7.12%
EPS beat(12)7
Avg EPS beat(12)1.92%
EPS beat(16)11
Avg EPS beat(16)4.95%
Revenue beat(2)2
Avg Revenue beat(2)4.93%
Min Revenue beat(2)1.46%
Max Revenue beat(2)8.39%
Revenue beat(4)2
Avg Revenue beat(4)-1.68%
Min Revenue beat(4)-8.69%
Max Revenue beat(4)8.39%
Revenue beat(8)5
Avg Revenue beat(8)0.83%
Revenue beat(12)5
Avg Revenue beat(12)-1.14%
Revenue beat(16)6
Avg Revenue beat(16)-1.03%
PT rev (1m)22.25%
PT rev (3m)26.62%
EPS NQ rev (1m)-3.65%
EPS NQ rev (3m)-5.18%
EPS NY rev (1m)7.22%
EPS NY rev (3m)8.54%
Revenue NQ rev (1m)4.57%
Revenue NQ rev (3m)5.63%
Revenue NY rev (1m)0.36%
Revenue NY rev (3m)1.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 7091.05 | ||
| P/S | 3.02 | ||
| P/FCF | 143.17 | ||
| P/OCF | 16.7 | ||
| P/B | 1.49 | ||
| P/tB | 1.8 | ||
| EV/EBITDA | 24.26 |
EPS(TTM)-1.35
EYN/A
EPS(NY)0.02
Fwd EY0.01%
FCF(TTM)0.89
FCFY0.7%
OCF(TTM)7.6
OCFY5.99%
SpS42.03
BVpS84.94
TBVpS70.32
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.1% | ||
| ROE | -1.88% | ||
| ROCE | 0.13% | ||
| ROIC | 0.1% | ||
| ROICexc | 0.12% | ||
| ROICexgc | 0.13% | ||
| OM | 0.39% | ||
| PM (TTM) | N/A | ||
| GM | 12.31% | ||
| FCFM | 2.11% |
ROA(3y)6.03%
ROA(5y)4.56%
ROE(3y)12.4%
ROE(5y)9.64%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-66.02%
GM growth 5Y-49.18%
F-Score5
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 34.76 | ||
| Debt/EBITDA | 4.7 | ||
| Cap/Depr | 120.07% | ||
| Cap/Sales | 15.97% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 132.03% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.27 | ||
| Quick Ratio | 1.51 | ||
| Altman-Z | 2.13 |
F-Score5
WACC8.09%
ROIC/WACC0.01
Cap/Depr(3y)401.9%
Cap/Depr(5y)389.55%
Cap/Sales(3y)23.64%
Cap/Sales(5y)25.35%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-325%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%87.74%
EPS Next Y35.43%
EPS Next 2Y41.69%
EPS Next 3Y54.76%
EPS Next 5Y49.09%
Revenue 1Y (TTM)-23.92%
Revenue growth 3Y17.35%
Revenue growth 5Y8.42%
Sales Q2Q%-3.46%
Revenue Next Year-8.96%
Revenue Next 2Y-1.66%
Revenue Next 3Y3.4%
Revenue Next 5Y6.83%
EBIT growth 1Y101.5%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year159.37%
EBIT Next 3Y44.89%
EBIT Next 5Y36.66%
FCF growth 1Y-77.56%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-62.35%
OCF growth 3Y26.81%
OCF growth 5Y-0.49%
ALBEMARLE CORP / ALB FAQ
What is the ChartMill fundamental rating of ALBEMARLE CORP (ALB) stock?
ChartMill assigns a fundamental rating of 3 / 10 to ALB.
What is the valuation status for ALB stock?
ChartMill assigns a valuation rating of 1 / 10 to ALBEMARLE CORP (ALB). This can be considered as Overvalued.
What is the profitability of ALB stock?
ALBEMARLE CORP (ALB) has a profitability rating of 2 / 10.
Is the dividend of ALBEMARLE CORP sustainable?
The dividend rating of ALBEMARLE CORP (ALB) is 5 / 10 and the dividend payout ratio is -190.12%.