FMC CORP (FMC) Stock Fundamental Analysis
USA - NYSE:FMC - US3024913036 - Common Stock
33.64 USD
+0.49 (+1.48%)
33.8601 USD
+0.22 (+0.65%)
Overall FMC gets a fundamental rating of 4 out of 10. We evaluated FMC against 83 industry peers in the Chemicals industry. FMC has a medium profitability rating, but doesn't score so well on its financial health evaluation. FMC is not valued too expensively and it also shows a decent growth rate. FMC also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year FMC was profitable.
In the past year FMC had a positive cash flow from operations.
FMC had positive earnings in each of the past 5 years.
FMC had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
FMC has a Return On Assets (0.81%) which is in line with its industry peers.
FMC has a Return On Equity of 2.25%. This is comparable to the rest of the industry: FMC outperforms 55.42% of its industry peers.
The Return On Invested Capital of FMC (5.01%) is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for FMC is in line with the industry average of 6.34%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.81% | ||
| ROE | 2.25% | ||
| ROIC | 5.01% |
ROA(3y)6.85%
ROA(5y)6.57%
ROE(3y)19.73%
ROE(5y)20.26%
ROIC(3y)7.9%
ROIC(5y)9.24%
1.3 Margins
Looking at the Profit Margin, with a value of 2.40%, FMC is in line with its industry, outperforming 57.83% of the companies in the same industry.
In the last couple of years the Profit Margin of FMC has declined.
FMC has a better Operating Margin (14.64%) than 78.31% of its industry peers.
FMC's Operating Margin has declined in the last couple of years.
With an excellent Gross Margin value of 39.55%, FMC belongs to the best of the industry, outperforming 83.13% of the companies in the same industry.
FMC's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.64% | ||
| PM (TTM) | 2.4% | ||
| GM | 39.55% |
OM growth 3Y-11.44%
OM growth 5Y-6.44%
PM growth 3Y-18.08%
PM growth 5Y-4.96%
GM growth 3Y-3.37%
GM growth 5Y-2.99%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so FMC is destroying value.
Compared to 1 year ago, FMC has about the same amount of shares outstanding.
The number of shares outstanding for FMC has been reduced compared to 5 years ago.
Compared to 1 year ago, FMC has an improved debt to assets ratio.
2.2 Solvency
FMC has an Altman-Z score of 1.74. This is a bad value and indicates that FMC is not financially healthy and even has some risk of bankruptcy.
FMC has a Altman-Z score (1.74) which is in line with its industry peers.
FMC has a debt to FCF ratio of 261.84. This is a negative value and a sign of low solvency as FMC would need 261.84 years to pay back of all of its debts.
FMC has a Debt to FCF ratio of 261.84. This is comparable to the rest of the industry: FMC outperforms 43.37% of its industry peers.
A Debt/Equity ratio of 0.93 indicates that FMC is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.93, FMC is not doing good in the industry: 65.06% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.93 | ||
| Debt/FCF | 261.84 | ||
| Altman-Z | 1.74 |
ROIC/WACC0.54
WACC9.24%
2.3 Liquidity
A Current Ratio of 1.53 indicates that FMC should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.53, FMC is doing worse than 69.88% of the companies in the same industry.
A Quick Ratio of 1.14 indicates that FMC should not have too much problems paying its short term obligations.
FMC has a Quick ratio (1.14) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.14 |
3. Growth
3.1 Past
FMC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 34.00%, which is quite impressive.
Measured over the past years, FMC shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -10.61% on average per year.
FMC shows a small growth in Revenue. In the last year, the Revenue has grown by 1.16%.
Measured over the past years, FMC shows a decrease in Revenue. The Revenue has been decreasing by -1.63% on average per year.
EPS 1Y (TTM)34%
EPS 3Y-20.59%
EPS 5Y-10.61%
EPS Q2Q%9.52%
Revenue 1Y (TTM)1.16%
Revenue growth 3Y-5.59%
Revenue growth 5Y-1.63%
Sales Q2Q%1.17%
3.2 Future
FMC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.89% yearly.
Based on estimates for the next years, FMC will show a small growth in Revenue. The Revenue will grow by 6.01% on average per year.
EPS Next Y2.5%
EPS Next 2Y7.53%
EPS Next 3Y9.67%
EPS Next 5Y12.89%
Revenue Next Year-2.96%
Revenue Next 2Y0.81%
Revenue Next 3Y2.67%
Revenue Next 5Y6.01%
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.
4. Valuation
4.1 Price/Earnings Ratio
FMC is valuated reasonably with a Price/Earnings ratio of 10.04.
86.75% of the companies in the same industry are more expensive than FMC, based on the Price/Earnings ratio.
FMC's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.32.
FMC is valuated reasonably with a Price/Forward Earnings ratio of 8.38.
Based on the Price/Forward Earnings ratio, FMC is valued cheaply inside the industry as 89.16% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.89, FMC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.04 | ||
| Fwd PE | 8.38 |
4.2 Price Multiples
The rest of the industry has a similar Price/Free Cash Flow ratio as FMC.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 264.27 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)4.01
PEG (5Y)N/A
EPS Next 2Y7.53%
EPS Next 3Y9.67%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 7.00%, FMC is a good candidate for dividend investing.
In the last 3 months the price of FMC has falen by -21.60%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 3.47, FMC pays a better dividend. On top of this FMC pays more dividend than 89.16% of the companies listed in the same industry.
FMC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7% |
5.2 History
The dividend of FMC is nicely growing with an annual growth rate of 28.29%!
FMC has been paying a dividend for at least 10 years, so it has a reliable track record.
FMC has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)28.29%
Div Incr Years0
Div Non Decr Years18
5.3 Sustainability
FMC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DPN/A
EPS Next 2Y7.53%
EPS Next 3Y9.67%
33.64
+0.49 (+1.48%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners96.71%
Inst Owner Change6.28%
Ins Owners0.44%
Ins Owner Change3.47%
Market Cap4.20B
Analysts68.8
Price Target47.62 (41.56%)
Short Float %6.16%
Short Ratio4.42
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7% |
Yearly Dividend2.33
Dividend Growth(5Y)28.29%
DPN/A
Div Incr Years0
Div Non Decr Years18
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)49.56%
Min EPS beat(2)10.96%
Max EPS beat(2)88.17%
EPS beat(4)4
Avg EPS beat(4)34.86%
Min EPS beat(4)10.67%
Max EPS beat(4)88.17%
EPS beat(8)6
Avg EPS beat(8)17.18%
EPS beat(12)9
Avg EPS beat(12)10.71%
EPS beat(16)13
Avg EPS beat(16)9.55%
Revenue beat(2)1
Avg Revenue beat(2)2.18%
Min Revenue beat(2)-0.06%
Max Revenue beat(2)4.42%
Revenue beat(4)2
Avg Revenue beat(4)-0.42%
Min Revenue beat(4)-7.88%
Max Revenue beat(4)4.42%
Revenue beat(8)2
Avg Revenue beat(8)-3.14%
Revenue beat(12)4
Avg Revenue beat(12)-2.21%
Revenue beat(16)8
Avg Revenue beat(16)-0.73%
PT rev (1m)0.24%
PT rev (3m)3.87%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.5%
EPS NY rev (1m)0%
EPS NY rev (3m)3.11%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.27%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.04 | ||
| Fwd PE | 8.38 | ||
| P/S | 1.02 | ||
| P/FCF | 264.27 | ||
| P/OCF | 131.72 | ||
| P/B | 0.96 | ||
| P/tB | 8.97 | ||
| EV/EBITDA | N/A |
EPS(TTM)3.35
EY9.96%
EPS(NY)4.01
Fwd EY11.93%
FCF(TTM)0.13
FCFY0.38%
OCF(TTM)0.26
OCFY0.76%
SpS33.08
BVpS35.2
TBVpS3.75
PEG (NY)4.01
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.81% | ||
| ROE | 2.25% | ||
| ROCE | 6.93% | ||
| ROIC | 5.01% | ||
| ROICexc | 5.25% | ||
| ROICexgc | 9.25% | ||
| OM | 14.64% | ||
| PM (TTM) | 2.4% | ||
| GM | 39.55% | ||
| FCFM | 0.38% |
ROA(3y)6.85%
ROA(5y)6.57%
ROE(3y)19.73%
ROE(5y)20.26%
ROIC(3y)7.9%
ROIC(5y)9.24%
ROICexc(3y)8.37%
ROICexc(5y)9.87%
ROICexgc(3y)17.93%
ROICexgc(5y)22.19%
ROCE(3y)10.56%
ROCE(5y)12.26%
ROICexcg growth 3Y-26.4%
ROICexcg growth 5Y-15.61%
ROICexc growth 3Y-20.96%
ROICexc growth 5Y-11.11%
OM growth 3Y-11.44%
OM growth 5Y-6.44%
PM growth 3Y-18.08%
PM growth 5Y-4.96%
GM growth 3Y-3.37%
GM growth 5Y-2.99%
F-Score4
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.93 | ||
| Debt/FCF | 261.84 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 16.06% | ||
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.14 | ||
| Altman-Z | 1.74 |
F-Score4
WACC9.24%
ROIC/WACC0.54
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)34%
EPS 3Y-20.59%
EPS 5Y-10.61%
EPS Q2Q%9.52%
EPS Next Y2.5%
EPS Next 2Y7.53%
EPS Next 3Y9.67%
EPS Next 5Y12.89%
Revenue 1Y (TTM)1.16%
Revenue growth 3Y-5.59%
Revenue growth 5Y-1.63%
Sales Q2Q%1.17%
Revenue Next Year-2.96%
Revenue Next 2Y0.81%
Revenue Next 3Y2.67%
Revenue Next 5Y6.01%
EBIT growth 1Y20.38%
EBIT growth 3Y-16.39%
EBIT growth 5Y-7.96%
EBIT Next Year28.16%
EBIT Next 3Y14.96%
EBIT Next 5Y14.57%
FCF growth 1Y-87.26%
FCF growth 3Y-1.74%
FCF growth 5Y14.13%
OCF growth 1Y-88.15%
OCF growth 3Y-6.47%
OCF growth 5Y6.56%