QUAKER CHEMICAL CORPORATION (KWR) Stock Fundamental Analysis
NYSE:KWR - US7473161070 - Common Stock
144.72 USD
+7.81 (+5.7%)
144.72 USD
0 (0%)
Taking everything into account, KWR scores 5 out of 10 in our fundamental rating. KWR was compared to 84 industry peers in the Chemicals industry. KWR has an average financial health and profitability rating. KWR is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year KWR was profitable.
KWR had a positive operating cash flow in the past year.
Of the past 5 years KWR 4 years were profitable.
Each year in the past 5 years KWR had a positive operating cash flow.
1.2 Ratios
KWR's Return On Assets of -0.25% is in line compared to the rest of the industry. KWR outperforms 47.62% of its industry peers.
KWR's Return On Equity of -0.53% is in line compared to the rest of the industry. KWR outperforms 50.00% of its industry peers.
KWR has a Return On Invested Capital of 4.72%. This is comparable to the rest of the industry: KWR outperforms 57.14% of its industry peers.
KWR had an Average Return On Invested Capital over the past 3 years of 5.46%. This is in line with the industry average of 6.43%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.25% | ||
| ROE | -0.53% | ||
| ROIC | 4.72% |
ROA(3y)2.68%
ROA(5y)2.7%
ROE(3y)5.15%
ROE(5y)5.43%
ROIC(3y)5.46%
ROIC(5y)4.89%
1.3 Margins
KWR's Profit Margin has improved in the last couple of years.
KWR has a Operating Margin of 9.63%. This is comparable to the rest of the industry: KWR outperforms 58.33% of its industry peers.
KWR's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 36.11%, KWR is in the better half of the industry, outperforming 72.62% of the companies in the same industry.
KWR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.63% | ||
| PM (TTM) | N/A | ||
| GM | 36.11% |
OM growth 3Y3.1%
OM growth 5Y2.74%
PM growth 3Y-2.72%
PM growth 5Y17.86%
GM growth 3Y3.37%
GM growth 5Y1.51%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), KWR is destroying value.
Compared to 1 year ago, KWR has less shares outstanding
The number of shares outstanding for KWR remains at a similar level compared to 5 years ago.
Compared to 1 year ago, KWR has an improved debt to assets ratio.
2.2 Solvency
KWR has an Altman-Z score of 2.38. This is not the best score and indicates that KWR is in the grey zone with still only limited risk for bankruptcy at the moment.
KWR has a Altman-Z score of 2.38. This is in the better half of the industry: KWR outperforms 66.67% of its industry peers.
KWR has a debt to FCF ratio of 7.89. This is a slightly negative value and a sign of low solvency as KWR would need 7.89 years to pay back of all of its debts.
KWR has a Debt to FCF ratio of 7.89. This is in the better half of the industry: KWR outperforms 75.00% of its industry peers.
A Debt/Equity ratio of 0.67 indicates that KWR is somewhat dependend on debt financing.
KWR has a Debt to Equity ratio of 0.67. This is comparable to the rest of the industry: KWR outperforms 51.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 7.89 | ||
| Altman-Z | 2.38 |
ROIC/WACC0.56
WACC8.49%
2.3 Liquidity
A Current Ratio of 2.56 indicates that KWR has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.56, KWR is in the better half of the industry, outperforming 67.86% of the companies in the same industry.
A Quick Ratio of 1.87 indicates that KWR should not have too much problems paying its short term obligations.
KWR has a Quick ratio of 1.87. This is in the better half of the industry: KWR outperforms 72.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.56 | ||
| Quick Ratio | 1.87 |
3. Growth
3.1 Past
KWR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -19.13%.
The Earnings Per Share has been growing slightly by 4.85% on average over the past years.
KWR shows a decrease in Revenue. In the last year, the revenue decreased by -3.09%.
KWR shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.17% yearly.
EPS 1Y (TTM)-19.13%
EPS 3Y2.79%
EPS 5Y4.85%
EPS Q2Q%-19.72%
Revenue 1Y (TTM)-3.09%
Revenue growth 3Y1.46%
Revenue growth 5Y10.17%
Sales Q2Q%4.28%
3.2 Future
The Earnings Per Share is expected to grow by 8.21% on average over the next years. This is quite good.
Based on estimates for the next years, KWR will show a small growth in Revenue. The Revenue will grow by 3.50% on average per year.
EPS Next Y-1.1%
EPS Next 2Y8.41%
EPS Next 3Y10.49%
EPS Next 5Y8.21%
Revenue Next Year1.84%
Revenue Next 2Y3.54%
Revenue Next 3Y3.36%
Revenue Next 5Y3.5%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 22.23 indicates a rather expensive valuation of KWR.
KWR's Price/Earnings ratio is in line with the industry average.
KWR's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.24.
With a Price/Forward Earnings ratio of 16.55, KWR is valued correctly.
KWR's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.81, KWR is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.23 | ||
| Fwd PE | 16.55 |
4.2 Price Multiples
KWR's Enterprise Value to EBITDA ratio is in line with the industry average.
KWR's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. KWR is cheaper than 67.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.22 | ||
| EV/EBITDA | 12.36 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)4.58
EPS Next 2Y8.41%
EPS Next 3Y10.49%
5. Dividend
5.1 Amount
KWR has a Yearly Dividend Yield of 1.48%.
Compared to an average industry Dividend Yield of 3.54, KWR has a dividend in line with its industry peers.
Compared to the average S&P500 Dividend Yield of 2.34, KWR is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
5.2 History
The dividend of KWR has a limited annual growth rate of 5.75%.
KWR has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of KWR decreased recently.
Dividend Growth(5Y)5.75%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
KWR has negative earnings and hence a negative payout ratio. The dividend may be in danger.
KWR's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-473.62%
EPS Next 2Y8.41%
EPS Next 3Y10.49%
144.72
+7.81 (+5.7%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners85.21%
Inst Owner Change0.79%
Ins Owners0.88%
Ins Owner Change0.24%
Market Cap2.52B
Analysts82.22
Price Target154.22 (6.56%)
Short Float %13.35%
Short Ratio9.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
Yearly Dividend1.86
Dividend Growth(5Y)5.75%
DP-473.62%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-3.97%
Min EPS beat(2)-7.58%
Max EPS beat(2)-0.36%
EPS beat(4)0
Avg EPS beat(4)-7.8%
Min EPS beat(4)-13.37%
Max EPS beat(4)-0.36%
EPS beat(8)3
Avg EPS beat(8)-2.39%
EPS beat(12)7
Avg EPS beat(12)4.26%
EPS beat(16)9
Avg EPS beat(16)3.7%
Revenue beat(2)1
Avg Revenue beat(2)0.1%
Min Revenue beat(2)-3.58%
Max Revenue beat(2)3.79%
Revenue beat(4)2
Avg Revenue beat(4)-0.03%
Min Revenue beat(4)-3.58%
Max Revenue beat(4)3.79%
Revenue beat(8)3
Avg Revenue beat(8)-1.84%
Revenue beat(12)5
Avg Revenue beat(12)-0.98%
Revenue beat(16)7
Avg Revenue beat(16)-0.02%
PT rev (1m)3.56%
PT rev (3m)10.77%
EPS NQ rev (1m)0.56%
EPS NQ rev (3m)-8.68%
EPS NY rev (1m)-2.55%
EPS NY rev (3m)-1.02%
Revenue NQ rev (1m)0.3%
Revenue NQ rev (3m)0.13%
Revenue NY rev (1m)0.86%
Revenue NY rev (3m)1.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.23 | ||
| Fwd PE | 16.55 | ||
| P/S | 1.37 | ||
| P/FCF | 21.22 | ||
| P/OCF | 14.84 | ||
| P/B | 1.87 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.36 |
EPS(TTM)6.51
EY4.5%
EPS(NY)8.74
Fwd EY6.04%
FCF(TTM)6.82
FCFY4.71%
OCF(TTM)9.75
OCFY6.74%
SpS105.39
BVpS77.18
TBVpS-3.94
PEG (NY)N/A
PEG (5Y)4.58
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.25% | ||
| ROE | -0.53% | ||
| ROCE | 7.15% | ||
| ROIC | 4.72% | ||
| ROICexc | 5.14% | ||
| ROICexgc | 13.6% | ||
| OM | 9.63% | ||
| PM (TTM) | N/A | ||
| GM | 36.11% | ||
| FCFM | 6.47% |
ROA(3y)2.68%
ROA(5y)2.7%
ROE(3y)5.15%
ROE(5y)5.43%
ROIC(3y)5.46%
ROIC(5y)4.89%
ROICexc(3y)5.95%
ROICexc(5y)5.3%
ROICexgc(3y)17.1%
ROICexgc(5y)16.42%
ROCE(3y)8.29%
ROCE(5y)7.42%
ROICexcg growth 3Y4.86%
ROICexcg growth 5Y11.24%
ROICexc growth 3Y9.78%
ROICexc growth 5Y16.58%
OM growth 3Y3.1%
OM growth 5Y2.74%
PM growth 3Y-2.72%
PM growth 5Y17.86%
GM growth 3Y3.37%
GM growth 5Y1.51%
F-Score3
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 7.89 | ||
| Debt/EBITDA | 3.41 | ||
| Cap/Depr | 58.97% | ||
| Cap/Sales | 2.78% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 64.48% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.56 | ||
| Quick Ratio | 1.87 | ||
| Altman-Z | 2.38 |
F-Score3
WACC8.49%
ROIC/WACC0.56
Cap/Depr(3y)44.14%
Cap/Depr(5y)35.75%
Cap/Sales(3y)1.91%
Cap/Sales(5y)1.64%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-19.13%
EPS 3Y2.79%
EPS 5Y4.85%
EPS Q2Q%-19.72%
EPS Next Y-1.1%
EPS Next 2Y8.41%
EPS Next 3Y10.49%
EPS Next 5Y8.21%
Revenue 1Y (TTM)-3.09%
Revenue growth 3Y1.46%
Revenue growth 5Y10.17%
Sales Q2Q%4.28%
Revenue Next Year1.84%
Revenue Next 2Y3.54%
Revenue Next 3Y3.36%
Revenue Next 5Y3.5%
EBIT growth 1Y-22.04%
EBIT growth 3Y4.61%
EBIT growth 5Y13.19%
EBIT Next Year38.51%
EBIT Next 3Y16.9%
EBIT Next 5YN/A
FCF growth 1Y-12.72%
FCF growth 3Y81.11%
FCF growth 5Y19.46%
OCF growth 1Y1.96%
OCF growth 3Y61.13%
OCF growth 5Y19.95%