INGREDION INC (INGR) Stock Fundamental Analysis
NYSE:INGR - US4571871023 - Common Stock
129.25 USD
+1.18 (+0.92%)
129.25 USD
0 (0%)
Overall INGR gets a fundamental rating of 7 out of 10. We evaluated INGR against 90 industry peers in the Food Products industry. INGR has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. A decent growth rate in combination with a cheap valuation! Better keep an eye on INGR. With these ratings, INGR could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
INGR had positive earnings in the past year.
In the past year INGR had a positive cash flow from operations.
In the past 5 years INGR has always been profitable.
In the past 5 years INGR always reported a positive cash flow from operatings.
1.2 Ratios
INGR's Return On Assets of 8.69% is amongst the best of the industry. INGR outperforms 88.89% of its industry peers.
Looking at the Return On Equity, with a value of 16.11%, INGR belongs to the top of the industry, outperforming 82.22% of the companies in the same industry.
With an excellent Return On Invested Capital value of 12.25%, INGR belongs to the best of the industry, outperforming 87.78% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for INGR is significantly below the industry average of 27.81%.
The last Return On Invested Capital (12.25%) for INGR is above the 3 year average (10.82%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.69% | ||
| ROE | 16.11% | ||
| ROIC | 12.25% |
ROA(3y)7.87%
ROA(5y)6.07%
ROE(3y)16.94%
ROE(5y)13.28%
ROIC(3y)10.82%
ROIC(5y)9.98%
1.3 Margins
With an excellent Profit Margin value of 9.24%, INGR belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
INGR's Profit Margin has improved in the last couple of years.
INGR has a Operating Margin of 14.87%. This is amongst the best in the industry. INGR outperforms 84.44% of its industry peers.
INGR's Operating Margin has improved in the last couple of years.
INGR has a Gross Margin (25.57%) which is comparable to the rest of the industry.
INGR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.87% | ||
| PM (TTM) | 9.24% | ||
| GM | 25.57% |
OM growth 3Y10.37%
OM growth 5Y3.2%
PM growth 3Y72.48%
PM growth 5Y5.54%
GM growth 3Y7.68%
GM growth 5Y2.67%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so INGR is still creating some value.
Compared to 1 year ago, INGR has less shares outstanding
Compared to 5 years ago, INGR has less shares outstanding
INGR has a better debt/assets ratio than last year.
2.2 Solvency
INGR has an Altman-Z score of 4.11. This indicates that INGR is financially healthy and has little risk of bankruptcy at the moment.
INGR has a better Altman-Z score (4.11) than 81.11% of its industry peers.
The Debt to FCF ratio of INGR is 2.23, which is a good value as it means it would take INGR, 2.23 years of fcf income to pay off all of its debts.
INGR has a better Debt to FCF ratio (2.23) than 85.56% of its industry peers.
A Debt/Equity ratio of 0.43 indicates that INGR is not too dependend on debt financing.
INGR has a Debt to Equity ratio (0.43) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 2.23 | ||
| Altman-Z | 4.11 |
ROIC/WACC1.63
WACC7.51%
2.3 Liquidity
INGR has a Current Ratio of 2.78. This indicates that INGR is financially healthy and has no problem in meeting its short term obligations.
INGR's Current ratio of 2.78 is fine compared to the rest of the industry. INGR outperforms 78.89% of its industry peers.
A Quick Ratio of 1.81 indicates that INGR should not have too much problems paying its short term obligations.
The Quick ratio of INGR (1.81) is better than 82.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.78 | ||
| Quick Ratio | 1.81 |
3. Growth
3.1 Past
INGR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 24.54%, which is quite impressive.
The Earnings Per Share has been growing by 9.90% on average over the past years. This is quite good.
The Revenue has decreased by -5.16% in the past year.
Measured over the past years, INGR shows a small growth in Revenue. The Revenue has been growing by 3.66% on average per year.
EPS 1Y (TTM)24.54%
EPS 3Y16.87%
EPS 5Y9.9%
EPS Q2Q%0%
Revenue 1Y (TTM)-5.16%
Revenue growth 3Y2.53%
Revenue growth 5Y3.66%
Sales Q2Q%-2.4%
3.2 Future
INGR is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.09% yearly.
Based on estimates for the next years, INGR will show a small growth in Revenue. The Revenue will grow by 1.07% on average per year.
EPS Next Y9.12%
EPS Next 2Y5.7%
EPS Next 3Y4.29%
EPS Next 5Y1.09%
Revenue Next Year-0.81%
Revenue Next 2Y0.81%
Revenue Next 3Y1.44%
Revenue Next 5Y1.07%
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 11.22 indicates a reasonable valuation of INGR.
Based on the Price/Earnings ratio, INGR is valued a bit cheaper than the industry average as 78.89% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 27.14. INGR is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 10.88, which indicates a very decent valuation of INGR.
84.44% of the companies in the same industry are more expensive than INGR, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.80, INGR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.22 | ||
| Fwd PE | 10.88 |
4.2 Price Multiples
INGR's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. INGR is cheaper than 77.78% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, INGR is valued cheaper than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.33 | ||
| EV/EBITDA | 7.03 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
INGR has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.23
PEG (5Y)1.13
EPS Next 2Y5.7%
EPS Next 3Y4.29%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.51%, INGR has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 4.61, INGR pays a bit more dividend than its industry peers.
INGR's Dividend Yield is comparable with the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.51% |
5.2 History
The dividend of INGR has a limited annual growth rate of 4.40%.
INGR has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of INGR decreased recently.
Dividend Growth(5Y)4.4%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
31.36% of the earnings are spent on dividend by INGR. This is a low number and sustainable payout ratio.
The dividend of INGR is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP31.36%
EPS Next 2Y5.7%
EPS Next 3Y4.29%
129.25
+1.18 (+0.92%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners93.58%
Inst Owner Change-0.02%
Ins Owners0.82%
Ins Owner Change2.56%
Market Cap8.30B
Analysts76.92
Price Target150.85 (16.71%)
Short Float %2.02%
Short Ratio2.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.51% |
Yearly Dividend3.24
Dividend Growth(5Y)4.4%
DP31.36%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.78%
Min EPS beat(2)0.92%
Max EPS beat(2)20.64%
EPS beat(4)4
Avg EPS beat(4)9.44%
Min EPS beat(4)0.51%
Max EPS beat(4)20.64%
EPS beat(8)7
Avg EPS beat(8)8.85%
EPS beat(12)10
Avg EPS beat(12)10.12%
EPS beat(16)13
Avg EPS beat(16)8.14%
Revenue beat(2)0
Avg Revenue beat(2)-4.09%
Min Revenue beat(2)-4.88%
Max Revenue beat(2)-3.31%
Revenue beat(4)0
Avg Revenue beat(4)-4.95%
Min Revenue beat(4)-5.81%
Max Revenue beat(4)-3.31%
Revenue beat(8)0
Avg Revenue beat(8)-6.24%
Revenue beat(12)0
Avg Revenue beat(12)-5.7%
Revenue beat(16)3
Avg Revenue beat(16)-3.72%
PT rev (1m)-1.88%
PT rev (3m)0.11%
EPS NQ rev (1m)-0.51%
EPS NQ rev (3m)-3.43%
EPS NY rev (1m)0.64%
EPS NY rev (3m)0.79%
Revenue NQ rev (1m)-1.17%
Revenue NQ rev (3m)-0.41%
Revenue NY rev (1m)-1.15%
Revenue NY rev (3m)-1.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.22 | ||
| Fwd PE | 10.88 | ||
| P/S | 1.13 | ||
| P/FCF | 10.33 | ||
| P/OCF | 7.05 | ||
| P/B | 1.98 | ||
| P/tB | 2.84 | ||
| EV/EBITDA | 7.03 |
EPS(TTM)11.52
EY8.91%
EPS(NY)11.88
Fwd EY9.19%
FCF(TTM)12.51
FCFY9.68%
OCF(TTM)18.34
OCFY14.19%
SpS113.99
BVpS65.39
TBVpS45.45
PEG (NY)1.23
PEG (5Y)1.13
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.69% | ||
| ROE | 16.11% | ||
| ROCE | 16.69% | ||
| ROIC | 12.25% | ||
| ROICexc | 14.12% | ||
| ROICexgc | 18.22% | ||
| OM | 14.87% | ||
| PM (TTM) | 9.24% | ||
| GM | 25.57% | ||
| FCFM | 10.98% |
ROA(3y)7.87%
ROA(5y)6.07%
ROE(3y)16.94%
ROE(5y)13.28%
ROIC(3y)10.82%
ROIC(5y)9.98%
ROICexc(3y)11.98%
ROICexc(5y)11%
ROICexgc(3y)15.53%
ROICexgc(5y)14.43%
ROCE(3y)15.46%
ROCE(5y)14.31%
ROICexcg growth 3Y14.86%
ROICexcg growth 5Y5.37%
ROICexc growth 3Y15.04%
ROICexc growth 5Y5.66%
OM growth 3Y10.37%
OM growth 5Y3.2%
PM growth 3Y72.48%
PM growth 5Y5.54%
GM growth 3Y7.68%
GM growth 5Y2.67%
F-Score7
Asset Turnover0.94
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 2.23 | ||
| Debt/EBITDA | 1.37 | ||
| Cap/Depr | 173.95% | ||
| Cap/Sales | 5.11% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 90.33% | ||
| Profit Quality | 118.79% | ||
| Current Ratio | 2.78 | ||
| Quick Ratio | 1.81 | ||
| Altman-Z | 4.11 |
F-Score7
WACC7.51%
ROIC/WACC1.63
Cap/Depr(3y)141.49%
Cap/Depr(5y)144.09%
Cap/Sales(3y)3.9%
Cap/Sales(5y)4.35%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)24.54%
EPS 3Y16.87%
EPS 5Y9.9%
EPS Q2Q%0%
EPS Next Y9.12%
EPS Next 2Y5.7%
EPS Next 3Y4.29%
EPS Next 5Y1.09%
Revenue 1Y (TTM)-5.16%
Revenue growth 3Y2.53%
Revenue growth 5Y3.66%
Sales Q2Q%-2.4%
Revenue Next Year-0.81%
Revenue Next 2Y0.81%
Revenue Next 3Y1.44%
Revenue Next 5Y1.07%
EBIT growth 1Y20.22%
EBIT growth 3Y13.16%
EBIT growth 5Y6.97%
EBIT Next Year27.76%
EBIT Next 3Y9.67%
EBIT Next 5Y4.11%
FCF growth 1Y542.4%
FCF growth 3Y131.07%
FCF growth 5Y26.38%
OCF growth 1Y170.58%
OCF growth 3Y54.15%
OCF growth 5Y16.13%