Koninklijke DSM NV (DSM.AS) Stock Fundamental Analysis
Europe - AMS:DSM - NL0000009827 - Common Stock
114.05 EUR
+0.15 (+0.13%)
Taking everything into account, DSM scores 5 out of 10 in our fundamental rating. DSM was compared to 69 industry peers in the Chemicals industry. DSM has only an average score on both its financial health and profitability. DSM has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year DSM was profitable.
In the past year DSM had a positive cash flow from operations.
Each year in the past 5 years DSM has been profitable.
Each year in the past 5 years DSM had a positive operating cash flow.
1.2 Ratios
DSM has a Return On Assets of 9.73%. This is in the better half of the industry: DSM outperforms 76.19% of its industry peers.
DSM has a Return On Equity of 15.77%. This is in the better half of the industry: DSM outperforms 66.67% of its industry peers.
The Return On Invested Capital of DSM (3.55%) is comparable to the rest of the industry.
DSM had an Average Return On Invested Capital over the past 3 years of 4.18%. This is below the industry average of 6.77%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.73% | ||
| ROE | 15.77% | ||
| ROIC | 3.55% |
ROA(3y)7.88%
ROA(5y)7.41%
ROE(3y)13.48%
ROE(5y)12.77%
ROIC(3y)4.18%
ROIC(5y)5.44%
1.3 Margins
DSM has a Profit Margin of 20.19%. This is amongst the best in the industry. DSM outperforms 93.65% of its industry peers.
In the last couple of years the Profit Margin of DSM has remained more or less at the same level.
DSM has a Operating Margin (7.90%) which is comparable to the rest of the industry.
DSM's Operating Margin has declined in the last couple of years.
DSM has a Gross Margin of 32.06%. This is comparable to the rest of the industry: DSM outperforms 50.79% of its industry peers.
DSM's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.9% | ||
| PM (TTM) | 20.19% | ||
| GM | 32.06% |
OM growth 3Y-8.97%
OM growth 5Y-4.86%
PM growth 3Y29.13%
PM growth 5Y-0.21%
GM growth 3Y-2.47%
GM growth 5Y-1.41%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so DSM is still creating some value.
DSM has about the same amout of shares outstanding than it did 1 year ago.
The debt/assets ratio for DSM has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 1.83 indicates that DSM is not a great score, but indicates only limited risk for bankruptcy at the moment.
DSM's Altman-Z score of 1.83 is on the low side compared to the rest of the industry. DSM is outperformed by 68.25% of its industry peers.
The Debt to FCF ratio of DSM is 9.76, which is on the high side as it means it would take DSM, 9.76 years of fcf income to pay off all of its debts.
DSM has a Debt to FCF ratio of 9.76. This is in the better half of the industry: DSM outperforms 63.49% of its industry peers.
DSM has a Debt/Equity ratio of 0.28. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.28, DSM is in line with its industry, outperforming 57.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 9.76 | ||
| Altman-Z | 1.83 |
ROIC/WACC1.05
WACC3.37%
2.3 Liquidity
DSM has a Current Ratio of 3.15. This indicates that DSM is financially healthy and has no problem in meeting its short term obligations.
DSM's Current ratio of 3.15 is amongst the best of the industry. DSM outperforms 80.95% of its industry peers.
DSM has a Quick Ratio of 2.24. This indicates that DSM is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 2.24, DSM belongs to the best of the industry, outperforming 84.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.15 | ||
| Quick Ratio | 2.24 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 1.34% over the past year.
The Earnings Per Share has been decreasing by -0.46% on average over the past years.
DSM shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.42%.
The Revenue has been decreasing by -0.57% on average over the past years.
EPS 1Y (TTM)1.34%
EPS 3Y32.22%
EPS 5Y-0.46%
EPS Q2Q%86.75%
Revenue 1Y (TTM)15.42%
Revenue growth 3Y1.61%
Revenue growth 5Y-0.57%
Sales Q2Q%13.94%
3.2 Future
The Earnings Per Share is expected to grow by 8.32% on average over the next years. This is quite good.
The Revenue is expected to grow by 3.55% on average over the next years.
EPS Next Y-17.84%
EPS Next 2Y-0.19%
EPS Next 3Y4.44%
EPS Next 5Y8.32%
Revenue Next Year9.64%
Revenue Next 2Y8.55%
Revenue Next 3Y7.11%
Revenue Next 5Y3.55%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 11.64, the valuation of DSM can be described as reasonable.
61.90% of the companies in the same industry are more expensive than DSM, based on the Price/Earnings ratio.
DSM's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.46.
With a Price/Forward Earnings ratio of 33.15, DSM can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, DSM is valued a bit more expensive than 65.08% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.39, DSM is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.64 | ||
| Fwd PE | 33.15 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DSM is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
DSM's Price/Free Cash Flow ratio is rather cheap when compared to the industry. DSM is cheaper than 98.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.81 | ||
| EV/EBITDA | 0.46 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-0.19%
EPS Next 3Y4.44%
5. Dividend
5.1 Amount
DSM has a Yearly Dividend Yield of 2.31%.
Compared to an average industry Dividend Yield of 3.36, DSM pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.44, DSM has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.31% |
5.2 History
The dividend of DSM is nicely growing with an annual growth rate of 11.78%!
Dividend Growth(5Y)11.78%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
20.37% of the earnings are spent on dividend by DSM. This is a low number and sustainable payout ratio.
DSM's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP20.37%
EPS Next 2Y-0.19%
EPS Next 3Y4.44%
AMS:DSM (5/30/2023, 7:00:00 PM)
114.05
+0.15 (+0.13%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst OwnersN/A
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap568.64M
Revenue(TTM)8.39B
Net Income(TTM)1.69B
Analysts77.5
Price Target151.14 (32.52%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.31% |
Yearly Dividend1.99
Dividend Growth(5Y)11.78%
DP20.37%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)97.46%
Min Revenue beat(2)97.46%
Max Revenue beat(2)97.46%
Revenue beat(4)2
Avg Revenue beat(4)82.78%
Min Revenue beat(4)68.1%
Max Revenue beat(4)97.46%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-0.38%
PT rev (3m)-4.24%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-16.28%
EPS NY rev (1m)0%
EPS NY rev (3m)-10.83%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.2%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.64 | ||
| Fwd PE | 33.15 | ||
| P/S | 0.07 | ||
| P/FCF | 1.81 | ||
| P/OCF | 0.59 | ||
| P/B | 0.05 | ||
| P/tB | 0.1 | ||
| EV/EBITDA | 0.46 |
EPS(TTM)9.8
EY8.59%
EPS(NY)3.44
Fwd EY3.02%
FCF(TTM)62.98
FCFY55.22%
OCF(TTM)193.55
OCFY169.7%
SpS1682.76
BVpS2154.7
TBVpS1122.38
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.73% | ||
| ROE | 15.77% | ||
| ROCE | N/A | ||
| ROIC | 3.55% | ||
| ROICexc | 4.4% | ||
| ROICexgc | 7.72% | ||
| OM | 7.9% | ||
| PM (TTM) | 20.19% | ||
| GM | 32.06% | ||
| FCFM | N/A |
ROA(3y)7.88%
ROA(5y)7.41%
ROE(3y)13.48%
ROE(5y)12.77%
ROIC(3y)4.18%
ROIC(5y)5.44%
ROICexc(3y)4.84%
ROICexc(5y)6.53%
ROICexgc(3y)8.47%
ROICexgc(5y)10.73%
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y-9.43%
ROICexgc growth 5Y-8.64%
ROICexc growth 3Y-13.12%
ROICexc growth 5Y-11.06%
OM growth 3Y-8.97%
OM growth 5Y-4.86%
PM growth 3Y29.13%
PM growth 5Y-0.21%
GM growth 3Y-2.47%
GM growth 5Y-1.41%
F-Score6
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 9.76 | ||
| Debt/EBITDA | 2.33 | ||
| Cap/Depr | 99.85% | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 18.54% | ||
| Current Ratio | 3.15 | ||
| Quick Ratio | 2.24 | ||
| Altman-Z | 1.83 |
F-Score6
WACC3.37%
ROIC/WACC1.05
Cap/Depr(3y)89.72%
Cap/Depr(5y)101.35%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)81.13%
Profit Quality(5y)81.58%
High Growth Momentum
Growth
EPS 1Y (TTM)1.34%
EPS 3Y32.22%
EPS 5Y-0.46%
EPS Q2Q%86.75%
EPS Next Y-17.84%
EPS Next 2Y-0.19%
EPS Next 3Y4.44%
EPS Next 5Y8.32%
Revenue 1Y (TTM)15.42%
Revenue growth 3Y1.61%
Revenue growth 5Y-0.57%
Sales Q2Q%13.94%
Revenue Next Year9.64%
Revenue Next 2Y8.55%
Revenue Next 3Y7.11%
Revenue Next 5Y3.55%
EBIT growth 1Y-8.43%
EBIT growth 3Y-7.51%
EBIT growth 5Y-5.4%
EBIT Next Year75.39%
EBIT Next 3Y31.75%
EBIT Next 5Y18.88%
FCF growth 1Y-63.06%
FCF growth 3Y-24.99%
FCF growth 5Y-6.57%
OCF growth 1Y-32.38%
OCF growth 3Y-11.35%
OCF growth 5Y-0.63%
Koninklijke DSM NV / DSM.AS FAQ
What is the ChartMill fundamental rating of Koninklijke DSM NV (DSM.AS) stock?
ChartMill assigns a fundamental rating of 5 / 10 to DSM.AS.
Can you provide the valuation status for Koninklijke DSM NV?
ChartMill assigns a valuation rating of 5 / 10 to Koninklijke DSM NV (DSM.AS). This can be considered as Fairly Valued.
What is the profitability of DSM stock?
Koninklijke DSM NV (DSM.AS) has a profitability rating of 5 / 10.
How financially healthy is Koninklijke DSM NV?
The financial health rating of Koninklijke DSM NV (DSM.AS) is 6 / 10.
What is the expected EPS growth for Koninklijke DSM NV (DSM.AS) stock?
The Earnings per Share (EPS) of Koninklijke DSM NV (DSM.AS) is expected to decline by -17.84% in the next year.