QUAKER CHEMICAL CORPORATION (KWR) Stock Fundamental Analysis
USA - NYSE:KWR - US7473161070 - Common Stock
131.94 USD
+3.39 (+2.64%)
131.94 USD
0 (0%)
Overall KWR gets a fundamental rating of 5 out of 10. We evaluated KWR against 83 industry peers in the Chemicals industry. KWR has an average financial health and profitability rating. While showing a medium growth rate, KWR is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
KWR had positive earnings in the past year.
In the past year KWR had a positive cash flow from operations.
KWR had positive earnings in 4 of the past 5 years.
In the past 5 years KWR always reported a positive cash flow from operatings.
1.2 Ratios
KWR has a Return On Assets (-0.25%) which is in line with its industry peers.
Looking at the Return On Equity, with a value of -0.53%, KWR is in line with its industry, outperforming 48.19% of the companies in the same industry.
With a Return On Invested Capital value of 4.72%, KWR perfoms like the industry average, outperforming 56.63% of the companies in the same industry.
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 6.36%.
| 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
In the last couple of years the Profit Margin of KWR has grown nicely.
KWR's Operating Margin of 9.63% is in line compared to the rest of the industry. KWR outperforms 57.83% of its industry peers.
KWR's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 36.11%, KWR is doing good in the industry, outperforming 73.49% 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.
KWR has less shares outstanding than it did 1 year ago.
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 2.29. 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.
The Altman-Z score of KWR (2.29) is better than 62.65% of its industry peers.
The Debt to FCF ratio of KWR is 7.89, which is on the high side as it means it would take KWR, 7.89 years of fcf income to pay off all of its debts.
KWR's Debt to FCF ratio of 7.89 is fine compared to the rest of the industry. KWR outperforms 74.70% of its industry peers.
KWR has a Debt/Equity ratio of 0.67. This is a neutral value indicating KWR is somewhat dependend on debt financing.
KWR has a Debt to Equity ratio (0.67) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 7.89 | ||
| Altman-Z | 2.29 |
ROIC/WACC0.57
WACC8.33%
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 68.67% of the companies in the same industry.
KWR has a Quick Ratio of 1.87. This is a normal value and indicates that KWR is financially healthy and should not expect problems in meeting its short term obligations.
KWR has a better Quick ratio (1.87) than 73.49% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.56 | ||
| Quick Ratio | 1.87 |
3. Growth
3.1 Past
The earnings per share for KWR have decreased strongly by -19.13% in the last year.
KWR shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.85% yearly.
Looking at the last year, KWR shows a decrease in Revenue. The Revenue has decreased by -3.09% in the last year.
The Revenue has been growing by 10.17% on average over the past years. This is quite good.
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 7.67% on average over the next years.
Based on estimates for the next years, KWR will show a small growth in Revenue. The Revenue will grow by 3.77% on average per year.
EPS Next Y-1.95%
EPS Next 2Y7.61%
EPS Next 3Y10.02%
EPS Next 5Y7.67%
Revenue Next Year2.33%
Revenue Next 2Y3.44%
Revenue Next 3Y3.52%
Revenue Next 5Y3.77%
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
Based on the Price/Earnings ratio of 20.27, the valuation of KWR can be described as rather expensive.
KWR's Price/Earnings ratio is in line with the industry average.
KWR's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.91.
KWR is valuated correctly with a Price/Forward Earnings ratio of 15.31.
Compared to the rest of the industry, the Price/Forward Earnings ratio of KWR is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of KWR to the average of the S&P500 Index (23.30), we can say KWR is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.27 | ||
| Fwd PE | 15.31 |
4.2 Price Multiples
KWR's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, KWR is valued a bit cheaper than 69.88% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.34 | ||
| EV/EBITDA | 11.52 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)4.17
EPS Next 2Y7.61%
EPS Next 3Y10.02%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.53%, KWR has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.61, KWR has a dividend in line with its industry peers.
KWR's Dividend Yield is slightly below the S&P500 average, which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.53% |
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.
KWR has decreased its dividend recently.
Dividend Growth(5Y)5.75%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
The earnings of KWR are negative and hence is the payout ratio. KWR will probably not be able to sustain this dividend level.
KWR's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-473.62%
EPS Next 2Y7.61%
EPS Next 3Y10.02%
131.94
+3.39 (+2.64%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners87.5%
Inst Owner Change-0.28%
Ins Owners0.9%
Ins Owner Change0.22%
Market Cap2.29B
Analysts82.22
Price Target157.9 (19.68%)
Short Float %15.46%
Short Ratio14.9
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.53% |
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)2.38%
PT rev (3m)6.03%
EPS NQ rev (1m)-1.13%
EPS NQ rev (3m)-3.11%
EPS NY rev (1m)-0.86%
EPS NY rev (3m)-3.26%
Revenue NQ rev (1m)-0.07%
Revenue NQ rev (3m)0.19%
Revenue NY rev (1m)0.48%
Revenue NY rev (3m)1.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.27 | ||
| Fwd PE | 15.31 | ||
| P/S | 1.25 | ||
| P/FCF | 19.34 | ||
| P/OCF | 13.53 | ||
| P/B | 1.71 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.52 |
EPS(TTM)6.51
EY4.93%
EPS(NY)8.62
Fwd EY6.53%
FCF(TTM)6.82
FCFY5.17%
OCF(TTM)9.75
OCFY7.39%
SpS105.39
BVpS77.18
TBVpS-3.94
PEG (NY)N/A
PEG (5Y)4.17
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 | 2.29 |
F-Score3
WACC8.33%
ROIC/WACC0.57
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-1.95%
EPS Next 2Y7.61%
EPS Next 3Y10.02%
EPS Next 5Y7.67%
Revenue 1Y (TTM)-3.09%
Revenue growth 3Y1.46%
Revenue growth 5Y10.17%
Sales Q2Q%4.28%
Revenue Next Year2.33%
Revenue Next 2Y3.44%
Revenue Next 3Y3.52%
Revenue Next 5Y3.77%
EBIT growth 1Y-22.04%
EBIT growth 3Y4.61%
EBIT growth 5Y13.19%
EBIT Next Year39.59%
EBIT Next 3Y17.4%
EBIT Next 5Y12.49%
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%