CABOT CORP (CBT) Stock Fundamental Analysis
USA - NYSE:CBT - US1270551013 - Common Stock
67.48 USD
-0.08 (-0.12%)
67.48 USD
0 (0%)
Overall CBT gets a fundamental rating of 7 out of 10. We evaluated CBT against 82 industry peers in the Chemicals industry. CBT has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. CBT is cheap, but on the other hand it scores bad on growth. Finally CBT also has an excellent dividend rating. These ratings would make CBT suitable for value and dividend investing!
1. Profitability
1.1 Basic Checks
In the past year CBT was profitable.
In the past year CBT had a positive cash flow from operations.
Of the past 5 years CBT 4 years were profitable.
CBT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CBT has a Return On Assets of 10.89%. This is amongst the best in the industry. CBT outperforms 98.78% of its industry peers.
With an excellent Return On Equity value of 27.13%, CBT belongs to the best of the industry, outperforming 95.12% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 15.67%, CBT belongs to the top of the industry, outperforming 96.34% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for CBT is significantly above the industry average of 6.28%.
The last Return On Invested Capital (15.67%) for CBT is above the 3 year average (15.53%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.89% | ||
| ROE | 27.13% | ||
| ROIC | 15.67% |
ROA(3y)9.33%
ROA(5y)5.38%
ROE(3y)27.92%
ROE(5y)15.08%
ROIC(3y)15.53%
ROIC(5y)14.15%
1.3 Margins
Looking at the Profit Margin, with a value of 10.96%, CBT belongs to the top of the industry, outperforming 87.80% of the companies in the same industry.
CBT's Profit Margin has improved in the last couple of years.
The Operating Margin of CBT (16.62%) is better than 84.15% of its industry peers.
In the last couple of years the Operating Margin of CBT has grown nicely.
Looking at the Gross Margin, with a value of 25.16%, CBT is in line with its industry, outperforming 45.12% of the companies in the same industry.
In the last couple of years the Gross Margin of CBT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.62% | ||
| PM (TTM) | 10.96% | ||
| GM | 25.16% |
OM growth 3Y4.07%
OM growth 5Y7.89%
PM growth 3Y8.93%
PM growth 5Y15.05%
GM growth 3Y0.55%
GM growth 5Y2.94%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so CBT is creating value.
The number of shares outstanding for CBT has been reduced compared to 1 year ago.
The number of shares outstanding for CBT has been reduced compared to 5 years ago.
CBT has a better debt/assets ratio than last year.
2.2 Solvency
CBT has an Altman-Z score of 3.41. This indicates that CBT is financially healthy and has little risk of bankruptcy at the moment.
CBT has a better Altman-Z score (3.41) than 81.71% of its industry peers.
CBT has a debt to FCF ratio of 3.49. This is a good value and a sign of high solvency as CBT would need 3.49 years to pay back of all of its debts.
CBT's Debt to FCF ratio of 3.49 is amongst the best of the industry. CBT outperforms 89.02% of its industry peers.
A Debt/Equity ratio of 0.78 indicates that CBT is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.78, CBT perfoms like the industry average, outperforming 46.34% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 3.49 | ||
| Altman-Z | 3.41 |
ROIC/WACC1.82
WACC8.6%
2.3 Liquidity
CBT has a Current Ratio of 2.13. This indicates that CBT is financially healthy and has no problem in meeting its short term obligations.
CBT has a Current ratio (2.13) which is in line with its industry peers.
A Quick Ratio of 1.41 indicates that CBT should not have too much problems paying its short term obligations.
CBT has a Quick ratio of 1.41. This is in the better half of the industry: CBT outperforms 60.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.13 | ||
| Quick Ratio | 1.41 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 6.51% over the past year.
The Earnings Per Share has been growing by 12.54% on average over the past years. This is quite good.
Looking at the last year, CBT shows a decrease in Revenue. The Revenue has decreased by -3.61% in the last year.
The Revenue has been growing slightly by 3.66% on average over the past years.
EPS 1Y (TTM)6.51%
EPS 3Y12.04%
EPS 5Y12.54%
EPS Q2Q%-1.04%
Revenue 1Y (TTM)-3.61%
Revenue growth 3Y5.42%
Revenue growth 5Y3.66%
Sales Q2Q%-9.15%
3.2 Future
The Earnings Per Share is expected to grow by 6.53% on average over the next years.
Based on estimates for the next years, CBT will show a small growth in Revenue. The Revenue will grow by 0.12% on average per year.
EPS Next Y3.48%
EPS Next 2Y5.77%
EPS Next 3Y6.53%
EPS Next 5YN/A
Revenue Next Year-5.83%
Revenue Next 2Y-1.32%
Revenue Next 3Y0.12%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 9.17, the valuation of CBT can be described as very reasonable.
CBT's Price/Earnings ratio is rather cheap when compared to the industry. CBT is cheaper than 86.59% of the companies in the same industry.
When comparing the Price/Earnings ratio of CBT to the average of the S&P500 Index (26.11), we can say CBT is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 8.54, the valuation of CBT can be described as reasonable.
Based on the Price/Forward Earnings ratio, CBT is valued cheaper than 90.24% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of CBT to the average of the S&P500 Index (22.55), we can say CBT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.17 | ||
| Fwd PE | 8.54 |
4.2 Price Multiples
CBT's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. CBT is cheaper than 90.24% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, CBT is valued cheaply inside the industry as 87.80% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.32 | ||
| EV/EBITDA | 5.69 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CBT does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of CBT may justify a higher PE ratio.
PEG (NY)2.64
PEG (5Y)0.73
EPS Next 2Y5.77%
EPS Next 3Y6.53%
5. Dividend
5.1 Amount
CBT has a Yearly Dividend Yield of 2.66%.
Compared to an average industry Dividend Yield of 4.00, CBT pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.37, CBT has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.66% |
5.2 History
The dividend of CBT has a limited annual growth rate of 4.51%.
CBT has been paying a dividend for at least 10 years, so it has a reliable track record.
CBT has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.51%
Div Incr Years13
Div Non Decr Years34
5.3 Sustainability
CBT pays out 22.73% of its income as dividend. This is a sustainable payout ratio.
CBT's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP22.73%
EPS Next 2Y5.77%
EPS Next 3Y6.53%
67.48
-0.08 (-0.12%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners97.82%
Inst Owner Change-0.69%
Ins Owners1.11%
Ins Owner Change0.09%
Market Cap3.59B
Revenue(TTM)3.81B
Net Income(TTM)418.00M
Analysts73.33
Price Target89.25 (32.26%)
Short Float %3.09%
Short Ratio4.47
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.66% |
Yearly Dividend1.7
Dividend Growth(5Y)4.51%
DP22.73%
Div Incr Years13
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.31%
Min EPS beat(2)1.43%
Max EPS beat(2)3.18%
EPS beat(4)3
Avg EPS beat(4)0.89%
Min EPS beat(4)-1.41%
Max EPS beat(4)3.18%
EPS beat(8)7
Avg EPS beat(8)4.26%
EPS beat(12)10
Avg EPS beat(12)2.6%
EPS beat(16)14
Avg EPS beat(16)5.1%
Revenue beat(2)0
Avg Revenue beat(2)-6.89%
Min Revenue beat(2)-9.48%
Max Revenue beat(2)-4.31%
Revenue beat(4)0
Avg Revenue beat(4)-5.23%
Min Revenue beat(4)-9.48%
Max Revenue beat(4)-1.96%
Revenue beat(8)1
Avg Revenue beat(8)-3.47%
Revenue beat(12)3
Avg Revenue beat(12)-3.65%
Revenue beat(16)6
Avg Revenue beat(16)-0.63%
PT rev (1m)-0.57%
PT rev (3m)2.04%
EPS NQ rev (1m)-1.22%
EPS NQ rev (3m)-6.1%
EPS NY rev (1m)-0.36%
EPS NY rev (3m)-0.78%
Revenue NQ rev (1m)-0.22%
Revenue NQ rev (3m)-1.03%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.17 | ||
| Fwd PE | 8.54 | ||
| P/S | 0.94 | ||
| P/FCF | 10.32 | ||
| P/OCF | 5.52 | ||
| P/B | 2.33 | ||
| P/tB | 2.66 | ||
| EV/EBITDA | 5.69 |
EPS(TTM)7.36
EY10.91%
EPS(NY)7.9
Fwd EY11.7%
FCF(TTM)6.54
FCFY9.69%
OCF(TTM)12.22
OCFY18.11%
SpS71.71
BVpS28.97
TBVpS25.41
PEG (NY)2.64
PEG (5Y)0.73
Graham Number69.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.89% | ||
| ROE | 27.13% | ||
| ROCE | 20.47% | ||
| ROIC | 15.67% | ||
| ROICexc | 16.94% | ||
| ROICexgc | 18.09% | ||
| OM | 16.62% | ||
| PM (TTM) | 10.96% | ||
| GM | 25.16% | ||
| FCFM | 9.12% |
ROA(3y)9.33%
ROA(5y)5.38%
ROE(3y)27.92%
ROE(5y)15.08%
ROIC(3y)15.53%
ROIC(5y)14.15%
ROICexc(3y)16.81%
ROICexc(5y)15.29%
ROICexgc(3y)18.1%
ROICexgc(5y)16.74%
ROCE(3y)21.12%
ROCE(5y)18.93%
ROICexgc growth 3Y-2.54%
ROICexgc growth 5Y6.98%
ROICexc growth 3Y-0.75%
ROICexc growth 5Y7.34%
OM growth 3Y4.07%
OM growth 5Y7.89%
PM growth 3Y8.93%
PM growth 5Y15.05%
GM growth 3Y0.55%
GM growth 5Y2.94%
F-Score6
Asset Turnover0.99
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 3.49 | ||
| Debt/EBITDA | 1.54 | ||
| Cap/Depr | 200% | ||
| Cap/Sales | 7.92% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 82.8% | ||
| Profit Quality | 83.25% | ||
| Current Ratio | 2.13 | ||
| Quick Ratio | 1.41 | ||
| Altman-Z | 3.41 |
F-Score6
WACC8.6%
ROIC/WACC1.82
Cap/Depr(3y)157.86%
Cap/Depr(5y)144.41%
Cap/Sales(3y)5.71%
Cap/Sales(5y)6.1%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)6.51%
EPS 3Y12.04%
EPS 5Y12.54%
EPS Q2Q%-1.04%
EPS Next Y3.48%
EPS Next 2Y5.77%
EPS Next 3Y6.53%
EPS Next 5YN/A
Revenue 1Y (TTM)-3.61%
Revenue growth 3Y5.42%
Revenue growth 5Y3.66%
Sales Q2Q%-9.15%
Revenue Next Year-5.83%
Revenue Next 2Y-1.32%
Revenue Next 3Y0.12%
Revenue Next 5YN/A
EBIT growth 1Y4.62%
EBIT growth 3Y9.71%
EBIT growth 5Y11.83%
EBIT Next Year24.14%
EBIT Next 3Y11.12%
EBIT Next 5YN/A
FCF growth 1Y13.73%
FCF growth 3Y93.76%
FCF growth 5Y26.54%
OCF growth 1Y15.66%
OCF growth 3Y39.12%
OCF growth 5Y13.77%
CABOT CORP / CBT FAQ
What is the ChartMill fundamental rating of CABOT CORP (CBT) stock?
ChartMill assigns a fundamental rating of 7 / 10 to CBT.
Can you provide the valuation status for CABOT CORP?
ChartMill assigns a valuation rating of 8 / 10 to CABOT CORP (CBT). This can be considered as Undervalued.
Can you provide the profitability details for CABOT CORP?
CABOT CORP (CBT) has a profitability rating of 9 / 10.
Can you provide the expected EPS growth for CBT stock?
The Earnings per Share (EPS) of CABOT CORP (CBT) is expected to grow by 3.48% in the next year.
Can you provide the dividend sustainability for CBT stock?
The dividend rating of CABOT CORP (CBT) is 7 / 10 and the dividend payout ratio is 22.73%.