INGEVITY CORP (NGVT) Stock Fundamental Analysis
NYSE:NGVT - New York Stock Exchange, Inc. - US45688C1071 - Common Stock - Currency: USD
Taking everything into account, NGVT scores 4 out of 10 in our fundamental rating. NGVT was compared to 85 industry peers in the Chemicals industry. NGVT has only an average score on both its financial health and profitability. NGVT may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
NGVT had positive earnings in the past year.
In the past year NGVT had a positive cash flow from operations.
In multiple years NGVT reported negative net income over the last 5 years.
NGVT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
NGVT has a Return On Assets of -17.21%. This is amonst the worse of the industry: NGVT underperforms 80.00% of its industry peers.
NGVT has a Return On Equity of -150.81%. This is amonst the worse of the industry: NGVT underperforms 92.94% of its industry peers.
NGVT's Return On Invested Capital of 12.56% is amongst the best of the industry. NGVT outperforms 92.94% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NGVT is above the industry average of 6.83%.
The 3 year average ROIC (10.65%) for NGVT is below the current ROIC(12.56%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -17.21% | ||
| ROE | -150.81% | ||
| ROIC | 12.56% |
ROA(3y)-4.58%
ROA(5y)-0.24%
ROE(3y)-63.66%
ROE(5y)-29.04%
ROIC(3y)10.65%
ROIC(5y)10.84%
1.3 Margins
NGVT has a Operating Margin of 21.09%. This is amongst the best in the industry. NGVT outperforms 88.24% of its industry peers.
NGVT's Operating Margin has declined in the last couple of years.
The Gross Margin of NGVT (34.69%) is better than 69.41% of its industry peers.
In the last couple of years the Gross Margin of NGVT has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.09% | ||
| PM (TTM) | N/A | ||
| GM | 34.69% |
OM growth 3Y-6.17%
OM growth 5Y-4.41%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.27%
GM growth 5Y-2.81%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so NGVT is still creating some value.
NGVT has more shares outstanding than it did 1 year ago.
The number of shares outstanding for NGVT has been reduced compared to 5 years ago.
NGVT has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.22 indicates that NGVT is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.22, NGVT is in line with its industry, outperforming 57.65% of the companies in the same industry.
The Debt to FCF ratio of NGVT is 14.65, which is on the high side as it means it would take NGVT, 14.65 years of fcf income to pay off all of its debts.
NGVT has a Debt to FCF ratio (14.65) which is in line with its industry peers.
NGVT has a Debt/Equity ratio of 5.68. This is a high value indicating a heavy dependency on external financing.
NGVT has a worse Debt to Equity ratio (5.68) than 91.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.68 | ||
| Debt/FCF | 14.65 | ||
| Altman-Z | 2.22 |
ROIC/WACC1.43
WACC8.79%
2.3 Liquidity
A Current Ratio of 2.00 indicates that NGVT has no problem at all paying its short term obligations.
NGVT has a Current ratio of 2.00. This is comparable to the rest of the industry: NGVT outperforms 51.76% of its industry peers.
A Quick Ratio of 1.08 indicates that NGVT should not have too much problems paying its short term obligations.
NGVT has a Quick ratio (1.08) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 20.90% over the past year.
The Earnings Per Share has been decreasing by -6.12% on average over the past years.
NGVT shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -17.64%.
Measured over the past years, NGVT shows a small growth in Revenue. The Revenue has been growing by 1.70% on average per year.
EPS 1Y (TTM)20.9%
EPS 3Y-11.81%
EPS 5Y-6.12%
EPS Q2Q%90.38%
Revenue 1Y (TTM)-17.64%
Revenue growth 3Y0.36%
Revenue growth 5Y1.7%
Sales Q2Q%-16.5%
3.2 Future
Based on estimates for the next years, NGVT will show a quite strong growth in Earnings Per Share. The EPS will grow by 17.18% on average per year.
NGVT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.23% yearly.
EPS Next Y21.23%
EPS Next 2Y18.67%
EPS Next 3Y17.18%
EPS Next 5YN/A
Revenue Next Year-5.89%
Revenue Next 2Y-0.73%
Revenue Next 3Y1.23%
Revenue Next 5YN/A
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 11.46, the valuation of NGVT can be described as reasonable.
85.88% of the companies in the same industry are more expensive than NGVT, based on the Price/Earnings ratio.
NGVT's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.04.
A Price/Forward Earnings ratio of 9.20 indicates a reasonable valuation of NGVT.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NGVT indicates a rather cheap valuation: NGVT is cheaper than 85.88% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 37.64, NGVT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.46 | ||
| Fwd PE | 9.2 |
4.2 Price Multiples
NGVT's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. NGVT is cheaper than 76.47% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, NGVT is valued a bit cheaper than 74.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.79 | ||
| EV/EBITDA | 7.7 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
NGVT's earnings are expected to grow with 17.18% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.54
PEG (5Y)N/A
EPS Next 2Y18.67%
EPS Next 3Y17.18%
5. Dividend
5.1 Amount
No dividends for NGVT!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
46.4
+0.64 (+1.4%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners103.19%
Inst Owner Change-0.08%
Ins Owners1.03%
Ins Owner Change24.4%
Market Cap1.69B
Analysts82
Price Target52.79 (13.77%)
Short Float %3.3%
Short Ratio4.84
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)117.25%
Min EPS beat(2)31.61%
Max EPS beat(2)202.89%
EPS beat(4)3
Avg EPS beat(4)62.07%
Min EPS beat(4)-6.05%
Max EPS beat(4)202.89%
EPS beat(8)6
Avg EPS beat(8)64.28%
EPS beat(12)8
Avg EPS beat(12)41.57%
EPS beat(16)11
Avg EPS beat(16)35.74%
Revenue beat(2)0
Avg Revenue beat(2)-4.11%
Min Revenue beat(2)-5.75%
Max Revenue beat(2)-2.47%
Revenue beat(4)0
Avg Revenue beat(4)-4.53%
Min Revenue beat(4)-6.04%
Max Revenue beat(4)-2.47%
Revenue beat(8)2
Avg Revenue beat(8)-1.58%
Revenue beat(12)4
Avg Revenue beat(12)-0.92%
Revenue beat(16)8
Avg Revenue beat(16)1.42%
PT rev (1m)0%
PT rev (3m)-11.54%
EPS NQ rev (1m)-0.64%
EPS NQ rev (3m)-9.18%
EPS NY rev (1m)0.12%
EPS NY rev (3m)-4.27%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.1%
Revenue NY rev (1m)0.22%
Revenue NY rev (3m)-2.72%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.46 | ||
| Fwd PE | 9.2 | ||
| P/S | 1.25 | ||
| P/FCF | 17.79 | ||
| P/OCF | 10.19 | ||
| P/B | 7.21 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.7 |
EPS(TTM)4.05
EY8.73%
EPS(NY)5.04
Fwd EY10.86%
FCF(TTM)2.61
FCFY5.62%
OCF(TTM)4.56
OCFY9.82%
SpS37.04
BVpS6.43
TBVpS-6.11
PEG (NY)0.54
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -17.21% | ||
| ROE | -150.81% | ||
| ROCE | 15.9% | ||
| ROIC | 12.56% | ||
| ROICexc | 13.08% | ||
| ROICexgc | 17.82% | ||
| OM | 21.09% | ||
| PM (TTM) | N/A | ||
| GM | 34.69% | ||
| FCFM | 7.04% |
ROA(3y)-4.58%
ROA(5y)-0.24%
ROE(3y)-63.66%
ROE(5y)-29.04%
ROIC(3y)10.65%
ROIC(5y)10.84%
ROICexc(3y)11.07%
ROICexc(5y)11.72%
ROICexgc(3y)17.77%
ROICexgc(5y)19.74%
ROCE(3y)13.49%
ROCE(5y)13.72%
ROICexcg growth 3Y-8.19%
ROICexcg growth 5Y-5.86%
ROICexc growth 3Y-1.67%
ROICexc growth 5Y-0.8%
OM growth 3Y-6.17%
OM growth 5Y-4.41%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.27%
GM growth 5Y-2.81%
F-Score5
Asset Turnover0.66
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.68 | ||
| Debt/FCF | 14.65 | ||
| Debt/EBITDA | 3.43 | ||
| Cap/Depr | 68.53% | ||
| Cap/Sales | 5.26% | ||
| Interest Coverage | 3.43 | ||
| Cash Conversion | 42.77% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2 | ||
| Quick Ratio | 1.08 | ||
| Altman-Z | 2.22 |
F-Score5
WACC8.79%
ROIC/WACC1.43
Cap/Depr(3y)97.35%
Cap/Depr(5y)93.69%
Cap/Sales(3y)6.85%
Cap/Sales(5y)6.95%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)20.9%
EPS 3Y-11.81%
EPS 5Y-6.12%
EPS Q2Q%90.38%
EPS Next Y21.23%
EPS Next 2Y18.67%
EPS Next 3Y17.18%
EPS Next 5YN/A
Revenue 1Y (TTM)-17.64%
Revenue growth 3Y0.36%
Revenue growth 5Y1.7%
Sales Q2Q%-16.5%
Revenue Next Year-5.89%
Revenue Next 2Y-0.73%
Revenue Next 3Y1.23%
Revenue Next 5YN/A
EBIT growth 1Y24.1%
EBIT growth 3Y-5.83%
EBIT growth 5Y-2.78%
EBIT Next Year58.8%
EBIT Next 3Y22.73%
EBIT Next 5YN/A
FCF growth 1Y-38.13%
FCF growth 3Y-35.4%
FCF growth 5Y-20.53%
OCF growth 1Y-43.5%
OCF growth 3Y-24%
OCF growth 5Y-14.15%