OLIN CORP (OLN)
US6806652052 - Common Stock
OLN gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 84 industry peers in the Chemicals industry. OLN has an average financial health and profitability rating. OLN is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
OLN had positive earnings in the past year.
OLN had a positive operating cash flow in the past year.
In multiple years OLN reported negative net income over the last 5 years.
Each year in the past 5 years OLN had a positive operating cash flow.
1.2 Ratios
OLN's Return On Assets of 7.73% is fine compared to the rest of the industry. OLN outperforms 78.57% of its industry peers.
The Return On Equity of OLN (25.95%) is better than 89.29% of its industry peers.
The Return On Invested Capital of OLN (12.65%) is better than 88.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.73% | ||
| ROE | 25.95% | ||
| ROIC | 12.65% |
ROA(3y)6.66%
ROA(5y)4.7%
ROE(3y)11.4%
ROE(5y)9.06%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 8.39%, OLN is in the better half of the industry, outperforming 72.62% of the companies in the same industry.
OLN's Profit Margin has improved in the last couple of years.
OLN has a Operating Margin of 13.81%. This is in the better half of the industry: OLN outperforms 72.62% of its industry peers.
In the last couple of years the Operating Margin of OLN has grown nicely.
Looking at the Gross Margin, with a value of 19.02%, OLN is doing worse than 66.67% of the companies in the same industry.
In the last couple of years the Gross Margin of OLN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.81% | ||
| PM (TTM) | 8.39% | ||
| GM | 19.02% |
OM growth 3Y66.34%
OM growth 5Y27.61%
PM growth 3YN/A
PM growth 5Y10.05%
GM growth 3Y28.74%
GM growth 5Y15.09%
2. Health
2.1 Basic Checks
OLN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, OLN has less shares outstanding
OLN has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, OLN has an improved debt to assets ratio.
2.2 Solvency
OLN has an Altman-Z score of 2.58. This is not the best score and indicates that OLN is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of OLN (2.58) is better than 65.48% of its industry peers.
OLN has a debt to FCF ratio of 3.83. This is a good value and a sign of high solvency as OLN would need 3.83 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 3.83, OLN is doing good in the industry, outperforming 77.38% of the companies in the same industry.
OLN has a Debt/Equity ratio of 1.16. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.16, OLN is doing worse than 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.16 | ||
| Debt/FCF | 3.83 | ||
| Altman-Z | 2.58 |
ROIC/WACC1.44
WACC8.81%
2.3 Liquidity
A Current Ratio of 1.50 indicates that OLN should not have too much problems paying its short term obligations.
OLN has a worse Current ratio (1.50) than 76.19% of its industry peers.
OLN has a Quick Ratio of 1.50. This is a bad value and indicates that OLN is not financially healthy enough and could expect problems in meeting its short term obligations.
OLN has a worse Quick ratio (0.80) than 86.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.5 | ||
| Quick Ratio | 0.8 |
3. Growth
3.1 Past
The earnings per share for OLN have decreased strongly by -46.57% in the last year.
The Earnings Per Share has been growing by 60.75% on average over the past years. This is a very strong growth
Looking at the last year, OLN shows a very negative growth in Revenue. The Revenue has decreased by -26.80% in the last year.
OLN shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.39% yearly.
EPS 1Y (TTM)-46.57%
EPS 3Y127.17%
EPS 5Y60.75%
EPS growth Q2Q-57.48%
Revenue 1Y (TTM)-26.8%
Revenue growth 3Y15.34%
Revenue growth 5Y8.39%
Revenue growth Q2Q-28.01%
3.2 Future
OLN is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -13.06% yearly.
Based on estimates for the next years, OLN will show a decrease in Revenue. The Revenue will decrease by -8.82% on average per year.
EPS Next Y-58.48%
EPS Next 2Y-33.69%
EPS Next 3Y-13.06%
EPS Next 5YN/A
Revenue Next Year-29.31%
Revenue Next 2Y-14.57%
Revenue Next 3Y-8.82%
Revenue Next 5YN/A
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.
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 10.02 indicates a reasonable valuation of OLN.
77.38% of the companies in the same industry are more expensive than OLN, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of OLN to the average of the S&P500 Index (24.54), we can say OLN is valued rather cheaply.
A Price/Forward Earnings ratio of 12.73 indicates a correct valuation of OLN.
OLN's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. OLN is cheaper than 66.67% of the companies in the same industry.
OLN's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 20.22.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.02 | ||
| Fwd PE | 12.73 |
4.2 Price Multiples
82.14% of the companies in the same industry are more expensive than OLN, based on the Enterprise Value to EBITDA ratio.
OLN's Price/Free Cash Flow ratio is rather cheap when compared to the industry. OLN is cheaper than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.39 | ||
| EV/EBITDA | 5.66 |
4.3 Compensation for Growth
OLN has a very decent profitability rating, which may justify a higher PE ratio.
OLN's earnings are expected to decrease with -13.06% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.16
EPS Next 2Y-33.69%
EPS Next 3Y-13.06%
5. Dividend
5.1 Amount
OLN has a Yearly Dividend Yield of 1.61%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.94, OLN has a dividend in line with its industry peers.
Compared to the average S&P500 Dividend Yield of 2.55, OLN is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.61% |
5.2 History
The dividend of OLN has a limited annual growth rate of 0.10%.
OLN has been paying a dividend for at least 10 years, so it has a reliable track record.
OLN has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)0.1%
Div Incr Years0
Div Non Decr Years20
5.3 Sustainability
17.12% of the earnings are spent on dividend by OLN. This is a low number and sustainable payout ratio.
DP17.12%
EPS Next 2Y-33.69%
EPS Next 3Y-13.06%
OLIN CORP
NYSE:OLN (12/11/2023, 3:21:46 PM)
After market: 49.89 0 (0%)49.89
-0.09 (-0.18%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap6.11B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.61% |
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)
Max EPS beat(2)
EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
Avg Revenue beat(16)
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 | 10.02 | ||
| Fwd PE | 12.73 | ||
| 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)N/A
PEG (5Y)0.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.73% | ||
| ROE | 25.95% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 13.81% | ||
| PM (TTM) | 8.39% | ||
| GM | 19.02% | ||
| 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 Turnover0.92
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.16 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.5 | ||
| Quick Ratio | 0.8 | ||
| 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)-46.57%
EPS 3Y127.17%
EPS 5Y
EPS growth Q2Q
EPS Next Y-58.48%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-26.8%
Revenue growth 3Y15.34%
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