ASHLAND INC (ASH) Stock Fundamental Analysis
USA - NYSE:ASH - US0441861046 - Common Stock
51.1 USD
-0.16 (-0.31%)
51.1 USD
0 (0%)
Overall ASH gets a fundamental rating of 4 out of 10. We evaluated ASH against 83 industry peers in the Chemicals industry. ASH has an average financial health and profitability rating. ASH has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
ASH had positive earnings in the past year.
ASH had positive earnings in 4 of the past 5 years.
Of the past 5 years ASH 4 years had a positive operating cash flow.
1.2 Ratios
ASH has a worse Return On Assets (-18.61%) than 83.13% of its industry peers.
ASH's Return On Equity of -45.53% is on the low side compared to the rest of the industry. ASH is outperformed by 80.72% of its industry peers.
ASH's Return On Invested Capital of 3.82% is in line compared to the rest of the industry. ASH outperforms 48.19% of its industry peers.
ASH had an Average Return On Invested Capital over the past 3 years of 3.69%. This is below the industry average of 6.34%.
The last Return On Invested Capital (3.82%) for ASH is above the 3 year average (3.69%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -18.61% | ||
| ROE | -45.53% | ||
| ROIC | 3.82% |
ROA(3y)6.97%
ROA(5y)3.37%
ROE(3y)13.48%
ROE(5y)6.34%
ROIC(3y)3.69%
ROIC(5y)3.32%
1.3 Margins
In the last couple of years the Profit Margin of ASH has declined.
The Operating Margin of ASH (10.86%) is better than 61.45% of its industry peers.
In the last couple of years the Operating Margin of ASH has grown nicely.
With a decent Gross Margin value of 33.01%, ASH is doing good in the industry, outperforming 63.86% of the companies in the same industry.
ASH's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.86% | ||
| PM (TTM) | N/A | ||
| GM | 33.01% |
OM growth 3Y-1.66%
OM growth 5Y9.22%
PM growth 3Y-8.44%
PM growth 5Y-19.4%
GM growth 3Y0.22%
GM growth 5Y1.06%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ASH is destroying value.
Compared to 1 year ago, ASH has less shares outstanding
Compared to 5 years ago, ASH has less shares outstanding
The debt/assets ratio for ASH is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 1.94 indicates that ASH is not a great score, but indicates only limited risk for bankruptcy at the moment.
ASH has a Altman-Z score (1.94) which is in line with its industry peers.
A Debt/Equity ratio of 0.73 indicates that ASH is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.73, ASH is in line with its industry, outperforming 49.40% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.94 |
ROIC/WACC0.47
WACC8.2%
2.3 Liquidity
A Current Ratio of 2.68 indicates that ASH has no problem at all paying its short term obligations.
With a decent Current ratio value of 2.68, ASH is doing good in the industry, outperforming 74.70% of the companies in the same industry.
A Quick Ratio of 1.33 indicates that ASH should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.33, ASH is in line with its industry, outperforming 51.81% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.68 | ||
| Quick Ratio | 1.33 |
3. Growth
3.1 Past
ASH shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -1.38%.
Measured over the past years, ASH shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.23% on average per year.
ASH shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -11.38%.
The Revenue has been decreasing by -0.33% on average over the past years.
EPS 1Y (TTM)-1.38%
EPS 3Y2.51%
EPS 5Y12.23%
EPS Q2Q%-30.2%
Revenue 1Y (TTM)-11.38%
Revenue growth 3Y0.03%
Revenue growth 5Y-0.33%
Sales Q2Q%-14.89%
3.2 Future
Based on estimates for the next years, ASH will show a small growth in Earnings Per Share. The EPS will grow by 5.86% on average per year.
ASH is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -2.72% yearly.
EPS Next Y-18.72%
EPS Next 2Y0.54%
EPS Next 3Y5.86%
EPS Next 5YN/A
Revenue Next Year-13.75%
Revenue Next 2Y-5.83%
Revenue Next 3Y-2.72%
Revenue Next 5YN/A
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 14.31, ASH is valued correctly.
74.70% of the companies in the same industry are more expensive than ASH, based on the Price/Earnings ratio.
ASH's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.20.
Based on the Price/Forward Earnings ratio of 11.31, the valuation of ASH can be described as reasonable.
75.90% of the companies in the same industry are more expensive than ASH, based on the Price/Forward Earnings ratio.
ASH's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.70.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.31 | ||
| Fwd PE | 11.31 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ASH indicates a somewhat cheap valuation: ASH is cheaper than 78.31% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.38 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.17
EPS Next 2Y0.54%
EPS Next 3Y5.86%
5. Dividend
5.1 Amount
ASH has a Yearly Dividend Yield of 3.04%. Purely for dividend investing, there may be better candidates out there.
ASH's Dividend Yield is a higher than the industry average which is at 3.43.
ASH's Dividend Yield is a higher than the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.04% |
5.2 History
The dividend of ASH is nicely growing with an annual growth rate of 8.69%!
ASH has been paying a dividend for at least 10 years, so it has a reliable track record.
ASH has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)8.69%
Div Incr Years15
Div Non Decr Years15
5.3 Sustainability
The dividend of ASH is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DPN/A
EPS Next 2Y0.54%
EPS Next 3Y5.86%
51.1
-0.16 (-0.31%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners92.09%
Inst Owner Change3.68%
Ins Owners0.53%
Ins Owner Change0.46%
Market Cap2.34B
Analysts78.67
Price Target64.6 (26.42%)
Short Float %3.53%
Short Ratio3.13
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.04% |
Yearly Dividend1.59
Dividend Growth(5Y)8.69%
DPN/A
Div Incr Years15
Div Non Decr Years15
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-13.65%
Min EPS beat(2)-16.19%
Max EPS beat(2)-11.11%
EPS beat(4)1
Avg EPS beat(4)6.27%
Min EPS beat(4)-16.19%
Max EPS beat(4)55.09%
EPS beat(8)4
Avg EPS beat(8)16.33%
EPS beat(12)5
Avg EPS beat(12)10.01%
EPS beat(16)7
Avg EPS beat(16)8.45%
Revenue beat(2)0
Avg Revenue beat(2)-4.71%
Min Revenue beat(2)-5.65%
Max Revenue beat(2)-3.77%
Revenue beat(4)0
Avg Revenue beat(4)-4.33%
Min Revenue beat(4)-6.51%
Max Revenue beat(4)-1.38%
Revenue beat(8)0
Avg Revenue beat(8)-3.68%
Revenue beat(12)0
Avg Revenue beat(12)-3.16%
Revenue beat(16)2
Avg Revenue beat(16)-5.33%
PT rev (1m)-2.19%
PT rev (3m)-7.2%
EPS NQ rev (1m)-0.31%
EPS NQ rev (3m)-0.35%
EPS NY rev (1m)-5.7%
EPS NY rev (3m)-8.56%
Revenue NQ rev (1m)-0.21%
Revenue NQ rev (3m)-1.83%
Revenue NY rev (1m)-1.55%
Revenue NY rev (3m)-1.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.31 | ||
| Fwd PE | 11.31 | ||
| P/S | 1.25 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.24 | ||
| P/tB | 3.85 | ||
| EV/EBITDA | 7.38 |
EPS(TTM)3.57
EY6.99%
EPS(NY)4.52
Fwd EY8.84%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS40.89
BVpS41.33
TBVpS13.26
PEG (NY)N/A
PEG (5Y)1.17
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -18.61% | ||
| ROE | -45.53% | ||
| ROCE | 4.83% | ||
| ROIC | 3.82% | ||
| ROICexc | 4.02% | ||
| ROICexgc | 5.92% | ||
| OM | 10.86% | ||
| PM (TTM) | N/A | ||
| GM | 33.01% | ||
| FCFM | N/A |
ROA(3y)6.97%
ROA(5y)3.37%
ROE(3y)13.48%
ROE(5y)6.34%
ROIC(3y)3.69%
ROIC(5y)3.32%
ROICexc(3y)4.03%
ROICexc(5y)3.59%
ROICexgc(3y)7.3%
ROICexgc(5y)6.62%
ROCE(3y)4.67%
ROCE(5y)4.21%
ROICexcg growth 3Y0.9%
ROICexcg growth 5Y11.64%
ROICexc growth 3Y2.34%
ROICexc growth 5Y15.15%
OM growth 3Y-1.66%
OM growth 5Y9.22%
PM growth 3Y-8.44%
PM growth 5Y-19.4%
GM growth 3Y0.22%
GM growth 5Y1.06%
F-ScoreN/A
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.9 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.68 | ||
| Quick Ratio | 1.33 | ||
| Altman-Z | 1.94 |
F-ScoreN/A
WACC8.2%
ROIC/WACC0.47
Cap/Depr(3y)55.62%
Cap/Depr(5y)53.3%
Cap/Sales(3y)6.32%
Cap/Sales(5y)6.11%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-1.38%
EPS 3Y2.51%
EPS 5Y12.23%
EPS Q2Q%-30.2%
EPS Next Y-18.72%
EPS Next 2Y0.54%
EPS Next 3Y5.86%
EPS Next 5YN/A
Revenue 1Y (TTM)-11.38%
Revenue growth 3Y0.03%
Revenue growth 5Y-0.33%
Sales Q2Q%-14.89%
Revenue Next Year-13.75%
Revenue Next 2Y-5.83%
Revenue Next 3Y-2.72%
Revenue Next 5YN/A
EBIT growth 1Y14.69%
EBIT growth 3Y-1.63%
EBIT growth 5Y8.86%
EBIT Next Year58.03%
EBIT Next 3Y23.21%
EBIT Next 5YN/A
FCF growth 1Y275.34%
FCF growth 3Y-15.55%
FCF growth 5Y23.86%
OCF growth 1Y69.14%
OCF growth 3Y-9.8%
OCF growth 5Y11.27%