ALBEMARLE CORP (ALB) Stock Fundamental Analysis
NYSE:ALB - New York Stock Exchange, Inc. - US0126531013 - Common Stock - Currency: USD
ALB gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 85 industry peers in the Chemicals industry. ALB has a bad profitability rating. Also its financial health evaluation is rather negative. While showing a medium growth rate, ALB is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
ALB had negative earnings in the past year.
In the past year ALB had a positive cash flow from operations.
Of the past 5 years ALB 4 years were profitable.
Each year in the past 5 years ALB had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of -7.69%, ALB is not doing good in the industry: 76.47% of the companies in the same industry are doing better.
Looking at the Return On Equity, with a value of -13.04%, ALB is doing worse than 75.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -7.69% | ||
| ROE | -13.04% | ||
| ROIC | N/A |
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
Looking at the Gross Margin, with a value of 3.53%, ALB is doing worse than 87.06% of the companies in the same industry.
In the last couple of years the Gross Margin of ALB has declined.
The Profit Margin and Operating Margin are not available for ALB so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 3.53% |
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
ALB does not have a ROIC to compare to the WACC, probably because it is not profitable.
ALB has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, ALB has more shares outstanding
The debt/assets ratio for ALB has been reduced compared to a year ago.
2.2 Solvency
ALB has an Altman-Z score of 1.41. This is a bad value and indicates that ALB is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of ALB (1.41) is worse than 67.06% of its industry peers.
A Debt/Equity ratio of 0.31 indicates that ALB is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.31, ALB is doing good in the industry, outperforming 72.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.41 |
ROIC/WACCN/A
WACC8.15%
2.3 Liquidity
ALB has a Current Ratio of 2.11. This indicates that ALB is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of ALB (2.11) is comparable to the rest of the industry.
ALB has a Quick Ratio of 1.26. 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 (1.26) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.11 | ||
| Quick Ratio | 1.26 |
3. Growth
3.1 Past
The earnings per share for ALB have decreased strongly by -122.82% in the last year.
The Revenue for ALB has decreased by -39.34% in the past year. This is quite bad
ALB shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.42% yearly.
EPS 1Y (TTM)-122.82%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-169.23%
Revenue 1Y (TTM)-39.34%
Revenue growth 3Y17.35%
Revenue growth 5Y8.42%
Sales Q2Q%-20.86%
3.2 Future
ALB is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 65.34% yearly.
ALB is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.72% yearly.
EPS Next Y37.37%
EPS Next 2Y55.59%
EPS Next 3Y58.33%
EPS Next 5Y65.34%
Revenue Next Year-11.33%
Revenue Next 2Y-1.06%
Revenue Next 3Y4.91%
Revenue Next 5Y13.72%
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for ALB. In the last year negative earnings were reported.
ALB is valuated quite expensively with a Price/Forward Earnings ratio of 60.25.
Based on the Price/Forward Earnings ratio, ALB is valued a bit more expensive than the industry average as 71.76% of the companies are valued more cheaply.
When comparing the Price/Forward Earnings ratio of ALB to the average of the S&P500 Index (22.43), we can say ALB is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 60.25 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ALB is valued expensively inside the industry as 80.00% of the companies are valued cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 58.1 |
4.3 Compensation for Growth
ALB's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as ALB's earnings are expected to grow with 58.33% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y55.59%
EPS Next 3Y58.33%
5. Dividend
5.1 Amount
ALB has a Yearly Dividend Yield of 2.69%. Purely for dividend investing, there may be better candidates out there.
In the last 3 months the price of ALB has falen by -26.95%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 3.70, ALB pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.36, ALB has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.69% |
5.2 History
On average, the dividend of ALB grows each year by 13.04%, which is quite nice.
ALB has been paying a dividend for at least 10 years, so it has a reliable track record.
ALB has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
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-27.05%
EPS Next 2Y55.59%
EPS Next 3Y58.33%
59.32
+0.08 (+0.14%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners99.62%
Inst Owner Change-0.99%
Ins Owners0.22%
Ins Owner Change14.75%
Market Cap6.98B
Analysts69.09
Price Target83.98 (41.57%)
Short Float %14.56%
Short Ratio5.03
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.69% |
Yearly Dividend2.65
Dividend Growth(5Y)13.04%
DP-27.05%
Div Incr Years30
Div Non Decr Years30
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.59%
Min EPS beat(2)-54.53%
Max EPS beat(2)69.72%
EPS beat(4)1
Avg EPS beat(4)-81.09%
Min EPS beat(4)-249.28%
Max EPS beat(4)69.72%
EPS beat(8)3
Avg EPS beat(8)-26.81%
EPS beat(12)7
Avg EPS beat(12)-12.91%
EPS beat(16)11
Avg EPS beat(16)-4.32%
Revenue beat(2)0
Avg Revenue beat(2)-8.29%
Min Revenue beat(2)-8.69%
Max Revenue beat(2)-7.88%
Revenue beat(4)1
Avg Revenue beat(4)-3.24%
Min Revenue beat(4)-8.69%
Max Revenue beat(4)5.88%
Revenue beat(8)3
Avg Revenue beat(8)-1.95%
Revenue beat(12)3
Avg Revenue beat(12)-2.81%
Revenue beat(16)5
Avg Revenue beat(16)-1.38%
PT rev (1m)-15.31%
PT rev (3m)-25.67%
EPS NQ rev (1m)-118.94%
EPS NQ rev (3m)-236.6%
EPS NY rev (1m)-9.19%
EPS NY rev (3m)-695.59%
Revenue NQ rev (1m)-2.06%
Revenue NQ rev (3m)-7.98%
Revenue NY rev (1m)-4.03%
Revenue NY rev (3m)-9.9%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 60.25 | ||
| P/S | 1.37 | ||
| P/FCF | N/A | ||
| P/OCF | 6.07 | ||
| P/B | 0.7 | ||
| P/tB | 0.85 | ||
| EV/EBITDA | 58.1 |
EPS(TTM)-2.78
EYN/A
EPS(NY)0.98
Fwd EY1.66%
FCF(TTM)-1.19
FCFYN/A
OCF(TTM)9.77
OCFY16.47%
SpS43.3
BVpS85.24
TBVpS69.63
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -7.69% | ||
| ROE | -13.04% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 3.53% | ||
| FCFM | N/A |
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
ROICexcg growth 3YN/A
ROICexcg 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-Score4
Asset Turnover0.3
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 20.2 | ||
| Cap/Depr | 205.72% | ||
| Cap/Sales | 25.31% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 742.04% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.11 | ||
| Quick Ratio | 1.26 | ||
| Altman-Z | 1.41 |
F-Score4
WACC8.15%
ROIC/WACCN/A
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)-122.82%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-169.23%
EPS Next Y37.37%
EPS Next 2Y55.59%
EPS Next 3Y58.33%
EPS Next 5Y65.34%
Revenue 1Y (TTM)-39.34%
Revenue growth 3Y17.35%
Revenue growth 5Y8.42%
Sales Q2Q%-20.86%
Revenue Next Year-11.33%
Revenue Next 2Y-1.06%
Revenue Next 3Y4.91%
Revenue Next 5Y13.72%
EBIT growth 1Y40.47%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year160.58%
EBIT Next 3Y46.65%
EBIT Next 5Y39.51%
FCF growth 1Y-114.29%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-52.55%
OCF growth 3Y26.81%
OCF growth 5Y-0.49%