FMC CORP (FMC)
US3024913036 - Common Stock
Taking everything into account, FMC scores 5 out of 10 in our fundamental rating. FMC was compared to 85 industry peers in the Chemicals industry. While FMC belongs to the best of the industry regarding profitability, there are concerns on its financial health. FMC has a correct valuation and a medium growth rate. Finally FMC also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
FMC had positive earnings in the past year.
FMC had a negative operating cash flow in the past year.
FMC had positive earnings in each of the past 5 years.
Of the past 5 years FMC 4 years had a positive operating cash flow.
1.2 Ratios
FMC has a better Return On Assets (11.05%) than 91.76% of its industry peers.
FMC has a Return On Equity of 29.88%. This is amongst the best in the industry. FMC outperforms 95.29% of its industry peers.
FMC's Return On Invested Capital of 6.29% is fine compared to the rest of the industry. FMC outperforms 62.35% of its industry peers.
The Average Return On Invested Capital over the past 3 years for FMC is above the industry average of 7.47%.
The last Return On Invested Capital (6.29%) for FMC is well below the 3 year average (10.55%), which needs to be investigated, but indicates that FMC had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.05% | ||
| ROE | 29.88% | ||
| ROIC | 6.29% |
ROA(3y)8.17%
ROA(5y)6.95%
ROE(3y)25.06%
ROE(5y)22.51%
ROIC(3y)10.55%
ROIC(5y)10.96%
1.3 Margins
The Profit Margin of FMC (29.38%) is better than 97.65% of its industry peers.
FMC's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 15.43%, FMC belongs to the top of the industry, outperforming 81.18% of the companies in the same industry.
FMC's Operating Margin has declined in the last couple of years.
FMC has a Gross Margin of 40.81%. This is amongst the best in the industry. FMC outperforms 83.53% of its industry peers.
FMC's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.43% | ||
| PM (TTM) | 29.38% | ||
| GM | 40.81% |
OM growth 3Y-12.35%
OM growth 5Y-8.33%
PM growth 3Y35.36%
PM growth 5Y20.31%
GM growth 3Y-2.63%
GM growth 5Y-2.15%
2. Health
2.1 Basic Checks
FMC has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for FMC has been reduced compared to 1 year ago.
Compared to 5 years ago, FMC has less shares outstanding
Compared to 1 year ago, FMC has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.10 indicates that FMC is not a great score, but indicates only limited risk for bankruptcy at the moment.
FMC has a Altman-Z score (2.10) which is in line with its industry peers.
A Debt/Equity ratio of 0.88 indicates that FMC is somewhat dependend on debt financing.
The Debt to Equity ratio of FMC (0.88) is worse than 62.35% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.88 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.1 |
ROIC/WACC0.75
WACC8.36%
2.3 Liquidity
FMC has a Current Ratio of 1.52. This is a normal value and indicates that FMC is financially healthy and should not expect problems in meeting its short term obligations.
FMC has a worse Current ratio (1.52) than 76.47% of its industry peers.
FMC has a Quick Ratio of 1.01. This is a normal value and indicates that FMC is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.01, FMC is doing worse than 65.88% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.52 | ||
| Quick Ratio | 1.01 |
3. Growth
3.1 Past
The earnings per share for FMC have decreased strongly by -48.99% in the last year.
The Earnings Per Share has been decreasing by -9.68% on average over the past years.
Looking at the last year, FMC shows a very negative growth in Revenue. The Revenue has decreased by -22.67% in the last year.
The Revenue has been growing slightly by 0.92% on average over the past years.
EPS 1Y (TTM)-48.99%
EPS 3Y-15.21%
EPS 5Y-9.68%
EPS growth Q2Q-54.85%
Revenue 1Y (TTM)-22.67%
Revenue growth 3Y-1.13%
Revenue growth 5Y0.92%
Revenue growth Q2Q-29.34%
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 13.11% yearly.
Based on estimates for the next years, FMC will show a small growth in Revenue. The Revenue will grow by 4.20% on average per year.
EPS Next Y2.11%
EPS Next 2Y16.34%
EPS Next 3Y16.88%
EPS Next 5Y13.11%
Revenue Next Year-0.61%
Revenue Next 2Y3.19%
Revenue Next 3Y4.2%
Revenue Next 5Y4.2%
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.
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
With a Price/Earnings ratio of 15.52, FMC is valued correctly.
68.24% of the companies in the same industry are more expensive than FMC, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 25.20, FMC is valued a bit cheaper.
FMC is valuated correctly with a Price/Forward Earnings ratio of 15.19.
Based on the Price/Forward Earnings ratio, FMC is valued a bit cheaper than the industry average as 68.24% of the companies are valued more expensively.
FMC's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 21.60.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.52 | ||
| Fwd PE | 15.19 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as FMC.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.57 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
FMC has an outstanding profitability rating, which may justify a higher PE ratio.
FMC's earnings are expected to grow with 16.88% in the coming years. This may justify a more expensive valuation.
PEG (NY)7.34
PEG (5Y)N/A
EPS Next 2Y16.34%
EPS Next 3Y16.88%
5. Dividend
5.1 Amount
FMC has a Yearly Dividend Yield of 4.07%, which is a nice return.
Compared to an average industry Dividend Yield of 3.34, FMC pays a better dividend. On top of this FMC pays more dividend than 87.06% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.45, FMC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.07% |
5.2 History
On average, the dividend of FMC grows each year by 28.23%, which is quite nice.
FMC has been paying a dividend for at least 10 years, so it has a reliable track record.
FMC has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)28.23%
Div Incr Years6
Div Non Decr Years11
5.3 Sustainability
FMC pays out 22.04% of its income as dividend. This is a sustainable payout ratio.
The dividend of FMC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP22.04%
EPS Next 2Y16.34%
EPS Next 3Y16.88%
FMC CORP
NYSE:FMC (4/23/2024, 7:04:00 PM)
After market: 58.65 0 (0%)58.65
+0.4 (+0.69%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap7.32B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.07% |
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)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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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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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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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 | 15.52 | ||
| Fwd PE | 15.19 | ||
| 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)7.34
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.05% | ||
| ROE | 29.88% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 15.43% | ||
| PM (TTM) | 29.38% | ||
| GM | 40.81% | ||
| 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 | 0.88 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.52 | ||
| Quick Ratio | 1.01 | ||
| 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)-48.99%
EPS 3Y-15.21%
EPS 5Y
EPS growth Q2Q
EPS Next Y2.11%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-22.67%
Revenue growth 3Y-1.13%
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