DUPONT DE NEMOURS INC (DD)

US26614N1028 - Common Stock

79.83  -0.04 (-0.05%)

After market: 79.83 0 (0%)

Fundamental Rating

4

Taking everything into account, DD scores 4 out of 10 in our fundamental rating. DD was compared to 84 industry peers in the Chemicals industry. Both the profitability and the financial health of DD get a neutral evaluation. Nothing too spectacular is happening here. DD has a expensive valuation and it also scores bad on growth.



5

1. Profitability

1.1 Basic Checks

In the past year DD was profitable.
In the past year DD had a positive cash flow from operations.
DD had positive earnings in 4 of the past 5 years.
In the past 5 years DD always reported a positive cash flow from operatings.

1.2 Ratios

DD's Return On Assets of 0.94% is in line compared to the rest of the industry. DD outperforms 41.67% of its industry peers.
DD has a worse Return On Equity (1.51%) than 60.71% of its industry peers.
DD has a Return On Invested Capital (3.54%) which is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for DD is below the industry average of 6.70%.
Industry RankSector Rank
ROA 0.94%
ROE 1.51%
ROIC 3.54%
ROA(3y)9.81%
ROA(5y)5.2%
ROE(3y)16.1%
ROE(5y)8.37%
ROIC(3y)3.62%
ROIC(5y)3%

1.3 Margins

DD has a Profit Margin (2.96%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of DD has declined.
Looking at the Operating Margin, with a value of 14.01%, DD is in the better half of the industry, outperforming 78.57% of the companies in the same industry.
In the last couple of years the Operating Margin of DD has grown nicely.
DD has a Gross Margin of 35.15%. This is in the better half of the industry: DD outperforms 75.00% of its industry peers.
In the last couple of years the Gross Margin of DD has grown nicely.
Industry RankSector Rank
OM 14.01%
PM (TTM) 2.96%
GM 35.15%
OM growth 3Y2.24%
OM growth 5Y7.68%
PM growth 3YN/A
PM growth 5Y-27.03%
GM growth 3Y-1.34%
GM growth 5Y1.68%

5

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DD is destroying value.
The number of shares outstanding for DD has been reduced compared to 1 year ago.
DD has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, DD has a worse debt to assets ratio.

2.2 Solvency

DD has an Altman-Z score of 1.14. This is a bad value and indicates that DD is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.14, DD is not doing good in the industry: 71.43% of the companies in the same industry are doing better.
The Debt to FCF ratio of DD is 5.36, which is a neutral value as it means it would take DD, 5.36 years of fcf income to pay off all of its debts.
DD's Debt to FCF ratio of 5.36 is fine compared to the rest of the industry. DD outperforms 65.48% of its industry peers.
DD has a Debt/Equity ratio of 0.33. This is a healthy value indicating a solid balance between debt and equity.
DD's Debt to Equity ratio of 0.33 is fine compared to the rest of the industry. DD outperforms 69.05% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.33
Debt/FCF 5.36
Altman-Z 1.14
ROIC/WACC0.45
WACC7.91%

2.3 Liquidity

A Current Ratio of 2.33 indicates that DD has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.33, DD is in line with its industry, outperforming 55.95% of the companies in the same industry.
DD has a Quick Ratio of 1.61. This is a normal value and indicates that DD is financially healthy and should not expect problems in meeting its short term obligations.
DD has a Quick ratio (1.61) which is comparable to the rest of the industry.
Industry RankSector Rank
Current Ratio 2.33
Quick Ratio 1.61

3

3. Growth

3.1 Past

The Earnings Per Share has been growing slightly by 0.00% over the past year.
DD shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -22.35% yearly.
Looking at the last year, DD shows a decrease in Revenue. The Revenue has decreased by -6.11% in the last year.
The Revenue for DD have been decreasing by -11.79% on average. This is quite bad
EPS 1Y (TTM)0%
EPS 3Y1.08%
EPS 5Y-22.35%
EPS Q2Q%-5.95%
Revenue 1Y (TTM)-6.11%
Revenue growth 3Y2.74%
Revenue growth 5Y-11.79%
Sales Q2Q%-2.88%

3.2 Future

The Earnings Per Share is expected to grow by 8.88% on average over the next years. This is quite good.
The Revenue is expected to grow by 4.52% on average over the next years.
EPS Next Y7.36%
EPS Next 2Y12.14%
EPS Next 3Y12.45%
EPS Next 5Y8.88%
Revenue Next Year1.25%
Revenue Next 2Y3.16%
Revenue Next 3Y4.01%
Revenue Next 5Y4.52%

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 accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.

2

4. Valuation

4.1 Price/Earnings Ratio

Based on the Price/Earnings ratio of 23.27, the valuation of DD can be described as rather expensive.
DD's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 28.63. DD is around the same levels.
DD is valuated rather expensively with a Price/Forward Earnings ratio of 18.24.
The rest of the industry has a similar Price/Forward Earnings ratio as DD.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.22, DD is valued at the same level.
Industry RankSector Rank
PE 23.27
Fwd PE 18.24

4.2 Price Multiples

DD's Enterprise Value to EBITDA is on the same level as the industry average.
DD's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 22.99
EV/EBITDA 13.82

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 DD's earnings are expected to grow with 12.45% in the coming years.
PEG (NY)3.16
PEG (5Y)N/A
EPS Next 2Y12.14%
EPS Next 3Y12.45%

3

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 1.90%, DD has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.13, DD pays a bit more dividend than its industry peers.
Compared to the average S&P500 Dividend Yield of 2.39, DD is paying slightly less dividend.
Industry RankSector Rank
Dividend Yield 1.9%

5.2 History

The dividend of DD decreases each year by -20.30%.
DD has paid a dividend for at least 10 years, which is a reliable track record.
DD has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-20.3%
Div Incr Years2
Div Non Decr Years3

5.3 Sustainability

181.69% of the earnings are spent on dividend by DD. This is not a sustainable payout ratio.
DP181.69%
EPS Next 2Y12.14%
EPS Next 3Y12.45%

DUPONT DE NEMOURS INC

NYSE:DD (6/21/2024, 7:04:00 PM)

After market: 79.83 0 (0%)

79.83

-0.04 (-0.05%)

Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap33.38B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield 1.9%
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
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Revenue beat(4)
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Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
Industry RankSector Rank
PE 23.27
Fwd PE 18.24
P/S
P/FCF
P/OCF
P/B
P/tB
EV/EBITDA
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)3.16
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA 0.94%
ROE 1.51%
ROCE
ROIC
ROICexc
ROICexgc
OM 14.01%
PM (TTM) 2.96%
GM 35.15%
FCFM
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.32
Health
Industry RankSector Rank
Debt/Equity 0.33
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 2.33
Quick Ratio 1.61
Altman-Z
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)0%
EPS 3Y1.08%
EPS 5Y
EPS Q2Q%
EPS Next Y7.36%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-6.11%
Revenue growth 3Y2.74%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y