AIR PRODUCTS & CHEMICALS INC (AP3.DE) Stock Fundamental Analysis
Europe - FRA:AP3 - US0091581068 - Common Stock
219.5 EUR
-1.1 (-0.5%)
AP3 gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 66 industry peers in the Chemicals industry. AP3 has an excellent profitability rating, but there are concerns on its financial health. AP3 has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year AP3 was profitable.
AP3 had a positive operating cash flow in the past year.
In the past 5 years AP3 has always been profitable.
In the past 5 years AP3 always reported a positive cash flow from operatings.
1.2 Ratios
AP3's Return On Assets of 3.72% is fine compared to the rest of the industry. AP3 outperforms 65.15% of its industry peers.
AP3 has a Return On Equity of 9.98%. This is in the better half of the industry: AP3 outperforms 71.21% of its industry peers.
With a decent Return On Invested Capital value of 6.24%, AP3 is doing good in the industry, outperforming 65.15% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for AP3 is in line with the industry average of 7.02%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.72% | ||
| ROE | 9.98% | ||
| ROIC | 6.24% |
ROA(3y)8.39%
ROA(5y)8.09%
ROE(3y)18.57%
ROE(5y)17.37%
ROIC(3y)7.56%
ROIC(5y)7.62%
1.3 Margins
The Profit Margin of AP3 (12.86%) is better than 93.94% of its industry peers.
AP3's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 24.01%, AP3 belongs to the top of the industry, outperforming 96.97% of the companies in the same industry.
AP3's Operating Margin has been stable in the last couple of years.
AP3 has a Gross Margin of 31.87%. This is comparable to the rest of the industry: AP3 outperforms 46.97% of its industry peers.
In the last couple of years the Gross Margin of AP3 has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.01% | ||
| PM (TTM) | 12.86% | ||
| GM | 31.87% |
OM growth 3Y3.42%
OM growth 5Y-0.02%
PM growth 3Y15.88%
PM growth 5Y9.9%
GM growth 3Y2.26%
GM growth 5Y-0.31%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), AP3 is destroying value.
The number of shares outstanding for AP3 remains at a similar level compared to 1 year ago.
Compared to 5 years ago, AP3 has more shares outstanding
Compared to 1 year ago, AP3 has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.47 indicates that AP3 is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.47, AP3 is in line with its industry, outperforming 57.58% of the companies in the same industry.
A Debt/Equity ratio of 1.09 is on the high side and indicates that AP3 has dependencies on debt financing.
AP3 has a Debt to Equity ratio of 1.09. This is amonst the worse of the industry: AP3 underperforms 81.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.47 |
ROIC/WACC0.81
WACC7.67%
2.3 Liquidity
A Current Ratio of 1.29 indicates that AP3 should not have too much problems paying its short term obligations.
AP3 has a worse Current ratio (1.29) than 77.27% of its industry peers.
AP3 has a Quick Ratio of 1.12. This is a normal value and indicates that AP3 is financially healthy and should not expect problems in meeting its short term obligations.
AP3 has a Quick ratio of 1.12. This is comparable to the rest of the industry: AP3 outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 1.50% over the past year.
The Earnings Per Share has been growing by 8.62% on average over the past years. This is quite good.
The Revenue has decreased by -0.38% in the past year.
The Revenue has been growing slightly by 6.29% on average over the past years.
EPS 1Y (TTM)1.5%
EPS 3Y11.28%
EPS 5Y8.62%
EPS Q2Q%-3.44%
Revenue 1Y (TTM)-0.38%
Revenue growth 3Y5.44%
Revenue growth 5Y6.29%
Sales Q2Q%1.25%
3.2 Future
The Earnings Per Share is expected to grow by 6.37% on average over the next years.
AP3 is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.98% yearly.
EPS Next Y-2.39%
EPS Next 2Y2.5%
EPS Next 3Y4.56%
EPS Next 5Y6.37%
Revenue Next Year-0.98%
Revenue Next 2Y1.77%
Revenue Next 3Y3.07%
Revenue Next 5Y5.98%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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
Based on the Price/Earnings ratio of 20.88, the valuation of AP3 can be described as rather expensive.
The rest of the industry has a similar Price/Earnings ratio as AP3.
When comparing the Price/Earnings ratio of AP3 to the average of the S&P500 Index (27.57), we can say AP3 is valued slightly cheaper.
The Price/Forward Earnings ratio is 19.51, which indicates a rather expensive current valuation of AP3.
The rest of the industry has a similar Price/Forward Earnings ratio as AP3.
The average S&P500 Price/Forward Earnings ratio is at 23.09. AP3 is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.88 | ||
| Fwd PE | 19.51 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AP3 is valued a bit more expensive than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 16.22 |
4.3 Compensation for Growth
AP3 has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)2.42
EPS Next 2Y2.5%
EPS Next 3Y4.56%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.83%, AP3 has a reasonable but not impressive dividend return.
AP3's Dividend Yield is a higher than the industry average which is at 3.14.
AP3's Dividend Yield is a higher than the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.83% |
5.2 History
On average, the dividend of AP3 grows each year by 9.29%, which is quite nice.
Dividend Growth(5Y)9.29%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
AP3 pays out 101.85% of its income as dividend. This is not a sustainable payout ratio.
The dividend of AP3 is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP101.85%
EPS Next 2Y2.5%
EPS Next 3Y4.56%
FRA:AP3 (10/22/2025, 7:00:00 PM)
219.5
-1.1 (-0.5%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners94.38%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap48.85B
Revenue(TTM)12.06B
Net Income(TTM)1.55B
Analysts75.86
Price Target284.87 (29.78%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.83% |
Yearly Dividend6.03
Dividend Growth(5Y)9.29%
DP101.85%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.82%
Min EPS beat(2)-5.81%
Max EPS beat(2)2.18%
EPS beat(4)2
Avg EPS beat(4)-0.74%
Min EPS beat(4)-5.81%
Max EPS beat(4)2.18%
EPS beat(8)5
Avg EPS beat(8)-0.1%
EPS beat(12)8
Avg EPS beat(12)0.28%
EPS beat(16)9
Avg EPS beat(16)0.14%
Revenue beat(2)1
Avg Revenue beat(2)-0.35%
Min Revenue beat(2)-1.31%
Max Revenue beat(2)0.62%
Revenue beat(4)1
Avg Revenue beat(4)-0.93%
Min Revenue beat(4)-1.8%
Max Revenue beat(4)0.62%
Revenue beat(8)1
Avg Revenue beat(8)-2.97%
Revenue beat(12)3
Avg Revenue beat(12)-1.98%
Revenue beat(16)6
Avg Revenue beat(16)-0.52%
PT rev (1m)0.99%
PT rev (3m)-1.58%
EPS NQ rev (1m)-0.09%
EPS NQ rev (3m)-2.88%
EPS NY rev (1m)0%
EPS NY rev (3m)0.12%
Revenue NQ rev (1m)-0.09%
Revenue NQ rev (3m)-0.19%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.88 | ||
| Fwd PE | 19.51 | ||
| P/S | 4.7 | ||
| P/FCF | N/A | ||
| P/OCF | 19.2 | ||
| P/B | 3.65 | ||
| P/tB | 3.97 | ||
| EV/EBITDA | 16.22 |
EPS(TTM)10.51
EY4.79%
EPS(NY)11.25
Fwd EY5.13%
FCF(TTM)-17.91
FCFYN/A
OCF(TTM)11.43
OCFY5.21%
SpS46.68
BVpS60.15
TBVpS55.23
PEG (NY)N/A
PEG (5Y)2.42
Graham Number119.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.72% | ||
| ROE | 9.98% | ||
| ROCE | 7.84% | ||
| ROIC | 6.24% | ||
| ROICexc | 6.65% | ||
| ROICexgc | 6.9% | ||
| OM | 24.01% | ||
| PM (TTM) | 12.86% | ||
| GM | 31.87% | ||
| FCFM | N/A |
ROA(3y)8.39%
ROA(5y)8.09%
ROE(3y)18.57%
ROE(5y)17.37%
ROIC(3y)7.56%
ROIC(5y)7.62%
ROICexc(3y)8.39%
ROICexc(5y)9.21%
ROICexgc(3y)8.81%
ROICexgc(5y)9.81%
ROCE(3y)9.41%
ROCE(5y)9.47%
ROICexgc growth 3Y-11.13%
ROICexgc growth 5Y-10.1%
ROICexc growth 3Y-10.01%
ROICexc growth 5Y-9.24%
OM growth 3Y3.42%
OM growth 5Y-0.02%
PM growth 3Y15.88%
PM growth 5Y9.9%
GM growth 3Y2.26%
GM growth 5Y-0.31%
F-Score5
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.84 | ||
| Cap/Depr | 494.72% | ||
| Cap/Sales | 62.86% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 66.7% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z | 2.47 |
F-Score5
WACC7.67%
ROIC/WACC0.81
Cap/Depr(3y)342.56%
Cap/Depr(5y)285.18%
Cap/Sales(3y)38.64%
Cap/Sales(5y)33.63%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1.5%
EPS 3Y11.28%
EPS 5Y8.62%
EPS Q2Q%-3.44%
EPS Next Y-2.39%
EPS Next 2Y2.5%
EPS Next 3Y4.56%
EPS Next 5Y6.37%
Revenue 1Y (TTM)-0.38%
Revenue growth 3Y5.44%
Revenue growth 5Y6.29%
Sales Q2Q%1.25%
Revenue Next Year-0.98%
Revenue Next 2Y1.77%
Revenue Next 3Y3.07%
Revenue Next 5Y5.98%
EBIT growth 1Y2.3%
EBIT growth 3Y9.05%
EBIT growth 5Y6.27%
EBIT Next Year69.58%
EBIT Next 3Y25.04%
EBIT Next 5Y18.31%
FCF growth 1Y-533.47%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-8.32%
OCF growth 3Y2.95%
OCF growth 5Y4.19%