ECOVYST INC (ECVT)
US27923Q1094 - Common Stock
ECVT gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 84 industry peers in the Chemicals industry. ECVT has an excellent profitability rating, but there are some minor concerns on its financial health. ECVT has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
ECVT had positive earnings in the past year.
In the past year ECVT had a positive cash flow from operations.
In multiple years ECVT reported negative net income over the last 5 years.
Each year in the past 5 years ECVT had a positive operating cash flow.
1.2 Ratios
The Return On Assets of ECVT (4.03%) is better than 64.29% of its industry peers.
Looking at the Return On Equity, with a value of 10.38%, ECVT is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
The Return On Invested Capital of ECVT (5.03%) is comparable to the rest of the industry.
ECVT had an Average Return On Invested Capital over the past 3 years of 4.57%. This is below the industry average of 6.99%.
The 3 year average ROIC (4.57%) for ECVT is below the current ROIC(5.03%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.03% | ||
| ROE | 10.38% | ||
| ROIC | 5.03% |
ROA(3y)0.18%
ROA(5y)-1.27%
ROE(3y)0.54%
ROE(5y)-3.15%
ROIC(3y)4.57%
ROIC(5y)3.35%
1.3 Margins
ECVT has a better Profit Margin (10.69%) than 83.33% of its industry peers.
In the last couple of years the Profit Margin of ECVT has grown nicely.
ECVT has a better Operating Margin (15.62%) than 83.33% of its industry peers.
ECVT's Operating Margin has improved in the last couple of years.
ECVT has a Gross Margin (29.06%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of ECVT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.62% | ||
| PM (TTM) | 10.69% | ||
| GM | 29.06% |
OM growth 3Y8.79%
OM growth 5Y5.41%
PM growth 3YN/A
PM growth 5Y16.76%
GM growth 3Y-2.02%
GM growth 5Y3.02%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ECVT is destroying value.
ECVT has less shares outstanding than it did 1 year ago.
The number of shares outstanding for ECVT has been reduced compared to 5 years ago.
The debt/assets ratio for ECVT is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.15, we must say that ECVT is in the distress zone and has some risk of bankruptcy.
ECVT's Altman-Z score of 1.15 is on the low side compared to the rest of the industry. ECVT is outperformed by 72.62% of its industry peers.
The Debt to FCF ratio of ECVT is 8.17, which is on the high side as it means it would take ECVT, 8.17 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of ECVT (8.17) is comparable to the rest of the industry.
A Debt/Equity ratio of 1.20 is on the high side and indicates that ECVT has dependencies on debt financing.
ECVT has a worse Debt to Equity ratio (1.20) than 73.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.2 | ||
| Debt/FCF | 8.17 | ||
| Altman-Z | 1.15 |
ROIC/WACC0.68
WACC7.37%
2.3 Liquidity
ECVT has a Current Ratio of 2.50. This indicates that ECVT is financially healthy and has no problem in meeting its short term obligations.
ECVT has a Current ratio of 2.50. This is in the better half of the industry: ECVT outperforms 64.29% of its industry peers.
ECVT has a Quick Ratio of 2.01. This indicates that ECVT is financially healthy and has no problem in meeting its short term obligations.
With a decent Quick ratio value of 2.01, ECVT is doing good in the industry, outperforming 79.76% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.5 | ||
| Quick Ratio | 2.01 |
3. Growth
3.1 Past
The earnings per share for ECVT have decreased by -2.63% in the last year.
Measured over the past years, ECVT shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.67% on average per year.
Looking at the last year, ECVT shows a very negative growth in Revenue. The Revenue has decreased by -13.80% in the last year.
ECVT shows a very negative growth in Revenue. Measured over the last years, the Revenue has been decreasing by -10.87% yearly.
EPS 1Y (TTM)-2.63%
EPS 3Y-13.88%
EPS 5Y-2.67%
EPS growth Q2Q-33.33%
Revenue 1Y (TTM)-13.8%
Revenue growth 3Y11.7%
Revenue growth 5Y-10.87%
Revenue growth Q2Q-0.25%
3.2 Future
The Earnings Per Share is expected to grow by 24.14% on average over the next years. This is a very strong growth
Based on estimates for the next years, ECVT will show a small growth in Revenue. The Revenue will grow by 5.91% on average per year.
EPS Next Y15.84%
EPS Next 2Y23.29%
EPS Next 3Y24.14%
EPS Next 5YN/A
Revenue Next Year10.21%
Revenue Next 2Y8.27%
Revenue Next 3Y5.91%
Revenue Next 5YN/A
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
ECVT is valuated correctly with a Price/Earnings ratio of 13.28.
83.33% of the companies in the same industry are more expensive than ECVT, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 28.83, ECVT is valued rather cheaply.
A Price/Forward Earnings ratio of 8.51 indicates a reasonable valuation of ECVT.
Based on the Price/Forward Earnings ratio, ECVT is valued cheaply inside the industry as 90.48% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 20.47. ECVT is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.28 | ||
| Fwd PE | 8.51 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ECVT is valued a bit cheaper than 72.62% of the companies in the same industry.
85.71% of the companies in the same industry are more expensive than ECVT, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.85 | ||
| EV/EBITDA | 9.76 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ECVT has a very decent profitability rating, which may justify a higher PE ratio.
ECVT's earnings are expected to grow with 24.14% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.84
PEG (5Y)N/A
EPS Next 2Y23.29%
EPS Next 3Y24.14%
5. Dividend
5.1 Amount
ECVT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
ECOVYST INC
NYSE:ECVT (5/17/2024, 3:00:08 PM)
9.83
+0.15 (+1.55%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.15B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)
Max EPS beat(4)
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)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
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 Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.28 | ||
| Fwd PE | 8.51 | ||
| 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)0.84
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.03% | ||
| ROE | 10.38% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 15.62% | ||
| PM (TTM) | 10.69% | ||
| GM | 29.06% | ||
| 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 Turnover0.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.2 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.5 | ||
| Quick Ratio | 2.01 | ||
| 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)
Growth
EPS 1Y (TTM)-2.63%
EPS 3Y-13.88%
EPS 5Y
EPS growth Q2Q
EPS Next Y15.84%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-13.8%
Revenue growth 3Y11.7%
Revenue growth 5Y
Revenue growth 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