DOW INC (DOW) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:DOW - US2605571031 - Common Stock
23.055 USD
0 (-0.02%)
Overall DOW gets a fundamental rating of 3 out of 10. We evaluated DOW against 84 industry peers in the Chemicals industry. DOW may be in some trouble as it scores bad on both profitability and health. While showing a medium growth rate, DOW is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year DOW has reported negative net income.
In the past year DOW had a positive cash flow from operations.
DOW had positive earnings in each of the past 5 years.
DOW had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
DOW has a Return On Assets of -1.88%. This is in the lower half of the industry: DOW underperforms 60.71% of its industry peers.
Looking at the Return On Equity, with a value of -6.53%, DOW is doing worse than 61.90% of the companies in the same industry.
DOW's Return On Invested Capital of 0.77% is on the low side compared to the rest of the industry. DOW is outperformed by 73.81% of its industry peers.
DOW had an Average Return On Invested Capital over the past 3 years of 4.98%. This is in line with the industry average of 6.09%.
The last Return On Invested Capital (0.77%) for DOW is well below the 3 year average (4.98%), which needs to be investigated, but indicates that DOW had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.88% | ||
| ROE | -6.53% | ||
| ROIC | 0.77% |
ROA(3y)3.48%
ROA(5y)4.48%
ROE(3y)10.49%
ROE(5y)15.16%
ROIC(3y)4.98%
ROIC(5y)6.12%
1.3 Margins
In the last couple of years the Profit Margin of DOW has declined.
DOW has a Operating Margin of 1.28%. This is in the lower half of the industry: DOW underperforms 72.62% of its industry peers.
DOW's Operating Margin has declined in the last couple of years.
The Gross Margin of DOW (7.27%) is worse than 85.71% of its industry peers.
DOW's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.28% | ||
| PM (TTM) | N/A | ||
| GM | 7.27% |
OM growth 3Y-32.39%
OM growth 5Y-11.56%
PM growth 3Y-39.18%
PM growth 5YN/A
GM growth 3Y-18.23%
GM growth 5Y-6.06%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DOW is destroying value.
The number of shares outstanding for DOW remains at a similar level compared to 1 year ago.
DOW has less shares outstanding than it did 5 years ago.
DOW has a worse debt/assets ratio than last year.
2.2 Solvency
DOW has an Altman-Z score of 1.54. This is a bad value and indicates that DOW is not financially healthy and even has some risk of bankruptcy.
DOW's Altman-Z score of 1.54 is in line compared to the rest of the industry. DOW outperforms 40.48% of its industry peers.
DOW has a Debt/Equity ratio of 1.02. This is a high value indicating a heavy dependency on external financing.
DOW's Debt to Equity ratio of 1.02 is on the low side compared to the rest of the industry. DOW is outperformed by 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.54 |
ROIC/WACC0.08
WACC10.11%
2.3 Liquidity
DOW has a Current Ratio of 1.94. This is a normal value and indicates that DOW is financially healthy and should not expect problems in meeting its short term obligations.
DOW has a Current ratio (1.94) which is in line with its industry peers.
DOW has a Quick Ratio of 1.28. This is a normal value and indicates that DOW is financially healthy and should not expect problems in meeting its short term obligations.
DOW has a Quick ratio of 1.28. This is comparable to the rest of the industry: DOW outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.94 | ||
| Quick Ratio | 1.28 |
3. Growth
3.1 Past
The earnings per share for DOW have decreased strongly by -127.57% in the last year.
Measured over the past years, DOW shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -12.16% on average per year.
DOW shows a decrease in Revenue. In the last year, the revenue decreased by -5.25%.
The Revenue has been growing slightly by 0.01% on average over the past years.
EPS 1Y (TTM)-127.57%
EPS 3Y-42.47%
EPS 5Y-12.16%
EPS Q2Q%-140.43%
Revenue 1Y (TTM)-5.25%
Revenue growth 3Y-7.88%
Revenue growth 5Y0.01%
Sales Q2Q%-8.33%
3.2 Future
DOW is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.41% yearly.
Based on estimates for the next years, DOW will show a small growth in Revenue. The Revenue will grow by 0.11% on average per year.
EPS Next Y-156.46%
EPS Next 2Y-44.12%
EPS Next 3Y-24.16%
EPS Next 5Y19.41%
Revenue Next Year-7.09%
Revenue Next 2Y-2.43%
Revenue Next 3Y-0.43%
Revenue Next 5Y0.11%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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 DOW. In the last year negative earnings were reported.
Also next year DOW is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DOW is valued a bit cheaper than 65.48% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.79 |
4.3 Compensation for Growth
A cheap valuation may be justified as DOW's earnings are expected to decrease with -24.16% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-44.12%
EPS Next 3Y-24.16%
5. Dividend
5.1 Amount
DOW has a Yearly Dividend Yield of 6.08%, which is a nice return.
DOW's Dividend Yield is rather good when compared to the industry average which is at 2.46. DOW pays more dividend than 90.48% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 1.88, DOW pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.08% |
5.2 History
DOW has paid a dividend for at least 10 years, which is a reliable track record.
DOW has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years5
5.3 Sustainability
The earnings of DOW are negative and hence is the payout ratio. DOW will probably not be able to sustain this dividend level.
DP-151.18%
EPS Next 2Y-44.12%
EPS Next 3Y-24.16%
NYSE:DOW (12/26/2025, 10:39:08 AM)
23.055
0 (-0.02%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners68.02%
Inst Owner Change-1.07%
Ins Owners0.14%
Ins Owner Change-1.36%
Market Cap16.39B
Revenue(TTM)40.91B
Net Income(TTM)-1.15B
Analysts64.62
Price TargetN/A
Short Float %4.87%
Short Ratio2.67
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.08% |
Yearly Dividend2.8
Dividend Growth(5Y)N/A
DP-151.18%
Div Incr Years0
Div Non Decr Years5
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-51.3%
Min EPS beat(2)-138.3%
Max EPS beat(2)35.71%
EPS beat(4)2
Avg EPS beat(4)24.81%
Min EPS beat(4)-138.3%
Max EPS beat(4)301.86%
EPS beat(8)5
Avg EPS beat(8)15.43%
EPS beat(12)8
Avg EPS beat(12)14.41%
EPS beat(16)12
Avg EPS beat(16)12.44%
Revenue beat(2)0
Avg Revenue beat(2)-2.83%
Min Revenue beat(2)-3.44%
Max Revenue beat(2)-2.23%
Revenue beat(4)1
Avg Revenue beat(4)-1.7%
Min Revenue beat(4)-3.44%
Max Revenue beat(4)0.85%
Revenue beat(8)3
Avg Revenue beat(8)-0.85%
Revenue beat(12)6
Avg Revenue beat(12)-0.24%
Revenue beat(16)8
Avg Revenue beat(16)0.44%
PT rev (1m)0.2%
PT rev (3m)-2%
EPS NQ rev (1m)-5.76%
EPS NQ rev (3m)-17.05%
EPS NY rev (1m)-0.77%
EPS NY rev (3m)-4.68%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-7.06%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.91%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 0.4 | ||
| P/FCF | N/A | ||
| P/OCF | 10.49 | ||
| P/B | 0.93 | ||
| P/tB | 2.24 | ||
| EV/EBITDA | 8.79 |
EPS(TTM)-0.59
EYN/A
EPS(NY)-0.13
Fwd EYN/A
FCF(TTM)-1.57
FCFYN/A
OCF(TTM)2.2
OCFY9.53%
SpS57.56
BVpS24.68
TBVpS10.28
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.88% | ||
| ROE | -6.53% | ||
| ROCE | 1.03% | ||
| ROIC | 0.77% | ||
| ROICexc | 0.85% | ||
| ROICexgc | 1.09% | ||
| OM | 1.28% | ||
| PM (TTM) | N/A | ||
| GM | 7.27% | ||
| FCFM | N/A |
ROA(3y)3.48%
ROA(5y)4.48%
ROE(3y)10.49%
ROE(5y)15.16%
ROIC(3y)4.98%
ROIC(5y)6.12%
ROICexc(3y)5.34%
ROICexc(5y)6.58%
ROICexgc(3y)7.02%
ROICexgc(5y)8.73%
ROCE(3y)6.67%
ROCE(5y)8.19%
ROICexgc growth 3Y-37.36%
ROICexgc growth 5Y-11.15%
ROICexc growth 3Y-36.83%
ROICexc growth 5Y-10.38%
OM growth 3Y-32.39%
OM growth 5Y-11.56%
PM growth 3Y-39.18%
PM growth 5YN/A
GM growth 3Y-18.23%
GM growth 5Y-6.06%
F-Score3
Asset Turnover0.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.24 | ||
| Cap/Depr | 93.08% | ||
| Cap/Sales | 6.55% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 45.91% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.94 | ||
| Quick Ratio | 1.28 | ||
| Altman-Z | 1.54 |
F-Score3
WACC10.11%
ROIC/WACC0.08
Cap/Depr(3y)86.15%
Cap/Depr(5y)75.88%
Cap/Sales(3y)5.12%
Cap/Sales(5y)4.52%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-127.57%
EPS 3Y-42.47%
EPS 5Y-12.16%
EPS Q2Q%-140.43%
EPS Next Y-156.46%
EPS Next 2Y-44.12%
EPS Next 3Y-24.16%
EPS Next 5Y19.41%
Revenue 1Y (TTM)-5.25%
Revenue growth 3Y-7.88%
Revenue growth 5Y0.01%
Sales Q2Q%-8.33%
Revenue Next Year-7.09%
Revenue Next 2Y-2.43%
Revenue Next 3Y-0.43%
Revenue Next 5Y0.11%
EBIT growth 1Y-71.94%
EBIT growth 3Y-37.72%
EBIT growth 5Y-11.56%
EBIT Next Year26.46%
EBIT Next 3Y22.16%
EBIT Next 5Y23.28%
FCF growth 1Y-132.69%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-72.2%
OCF growth 3Y-25.36%
OCF growth 5Y-13.25%
DOW INC / DOW FAQ
What is the ChartMill fundamental rating of DOW INC (DOW) stock?
ChartMill assigns a fundamental rating of 3 / 10 to DOW.
Can you provide the valuation status for DOW INC?
ChartMill assigns a valuation rating of 1 / 10 to DOW INC (DOW). This can be considered as Overvalued.
How profitable is DOW INC (DOW) stock?
DOW INC (DOW) has a profitability rating of 3 / 10.
Can you provide the financial health for DOW stock?
The financial health rating of DOW INC (DOW) is 2 / 10.