QUIMICA Y MINERA CHIL-SP ADR (SQM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SQM - US8336351056 - ADR
74.06 USD
-1.04 (-1.38%)
74.06 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to SQM. SQM was compared to 83 industry peers in the Chemicals industry. SQM scores excellent on profitability, but there are some minor concerns on its financial health. SQM has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
SQM had positive earnings in the past year.
SQM had a positive operating cash flow in the past year.
Of the past 5 years SQM 4 years were profitable.
Of the past 5 years SQM 4 years had a positive operating cash flow.
1.2 Ratios
SQM has a better Return On Assets (4.47%) than 75.90% of its industry peers.
Looking at the Return On Equity, with a value of 9.55%, SQM is in the better half of the industry, outperforming 78.31% of the companies in the same industry.
With a decent Return On Invested Capital value of 6.88%, SQM is doing good in the industry, outperforming 72.29% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for SQM is significantly above the industry average of 6.10%.
The last Return On Invested Capital (6.88%) for SQM is well below the 3 year average (27.38%), which needs to be investigated, but indicates that SQM had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.47% | ||
| ROE | 9.55% | ||
| ROIC | 6.88% |
ROA(3y)16.59%
ROA(5y)12.3%
ROE(3y)36.11%
ROE(5y)26.9%
ROIC(3y)27.38%
ROIC(5y)20.03%
1.3 Margins
Looking at the Profit Margin, with a value of 12.12%, SQM belongs to the top of the industry, outperforming 89.16% of the companies in the same industry.
Looking at the Operating Margin, with a value of 21.49%, SQM belongs to the top of the industry, outperforming 87.95% of the companies in the same industry.
SQM's Operating Margin has been stable in the last couple of years.
SQM has a Gross Margin (27.69%) which is in line with its industry peers.
SQM's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.49% | ||
| PM (TTM) | 12.12% | ||
| GM | 27.69% |
OM growth 3Y-11.35%
OM growth 5Y0.83%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-8.37%
GM growth 5Y0.34%
2. Health
2.1 Basic Checks
SQM has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, SQM has about the same amount of shares outstanding.
Compared to 5 years ago, SQM has more shares outstanding
Compared to 1 year ago, SQM has a worse debt to assets ratio.
2.2 Solvency
SQM has an Altman-Z score of 3.53. This indicates that SQM is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.53, SQM belongs to the top of the industry, outperforming 85.54% of the companies in the same industry.
The Debt to FCF ratio of SQM is 71.72, which is on the high side as it means it would take SQM, 71.72 years of fcf income to pay off all of its debts.
SQM has a Debt to FCF ratio (71.72) which is in line with its industry peers.
A Debt/Equity ratio of 0.69 indicates that SQM is somewhat dependend on debt financing.
The Debt to Equity ratio of SQM (0.69) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 71.72 | ||
| Altman-Z | 3.53 |
ROIC/WACC0.47
WACC14.65%
2.3 Liquidity
SQM has a Current Ratio of 2.82. This indicates that SQM is financially healthy and has no problem in meeting its short term obligations.
SQM has a Current ratio of 2.82. This is in the better half of the industry: SQM outperforms 79.52% of its industry peers.
A Quick Ratio of 1.88 indicates that SQM should not have too much problems paying its short term obligations.
The Quick ratio of SQM (1.88) is better than 75.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.82 | ||
| Quick Ratio | 1.88 |
3. Growth
3.1 Past
SQM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 264.60%, which is quite impressive.
The Revenue has decreased by -9.24% in the past year.
Measured over the past years, SQM shows a quite strong growth in Revenue. The Revenue has been growing by 18.43% on average per year.
EPS 1Y (TTM)264.6%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%34.78%
Revenue 1Y (TTM)-9.24%
Revenue growth 3Y16.53%
Revenue growth 5Y18.43%
Sales Q2Q%8.93%
3.2 Future
SQM is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 111.02% yearly.
The Revenue is expected to grow by 12.95% on average over the next years. This is quite good.
EPS Next Y270.51%
EPS Next 2Y111.02%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.47%
Revenue Next 2Y12.95%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 39.82 indicates a quite expensive valuation of SQM.
Based on the Price/Earnings ratio, SQM is valued a bit more expensive than 63.86% of the companies in the same industry.
SQM's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 27.00.
SQM is valuated rather expensively with a Price/Forward Earnings ratio of 19.41.
SQM's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.70, SQM is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.82 | ||
| Fwd PE | 19.41 |
4.2 Price Multiples
SQM's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 322.23 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
SQM's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of SQM may justify a higher PE ratio.
SQM's earnings are expected to grow with 111.02% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.15
PEG (5Y)N/A
EPS Next 2Y111.02%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 10.90%, SQM is a good candidate for dividend investing.
SQM's Dividend Yield is rather good when compared to the industry average which is at 2.47. SQM pays more dividend than 93.98% of the companies in the same industry.
SQM's Dividend Yield is rather good when compared to the S&P500 average which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.9% |
5.2 History
The dividend of SQM decreases each year by -28.43%.
SQM has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-28.43%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1.13% of the earnings are spent on dividend by SQM. This is a low number and sustainable payout ratio.
DP1.13%
EPS Next 2Y111.02%
EPS Next 3YN/A
74.06
-1.04 (-1.38%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners0.64%
Inst Owner Change0%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap21.15B
Revenue(TTM)4.33B
Net Income(TTM)524.50M
Analysts40
Price TargetN/A
Short Float %34.47%
Short Ratio1.59
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.9% |
Yearly Dividend0.24
Dividend Growth(5Y)-28.43%
DP1.13%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-0.12%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.82 | ||
| Fwd PE | 19.41 | ||
| P/S | 4.89 | ||
| P/FCF | 322.23 | ||
| P/OCF | 20.07 | ||
| P/B | 3.85 | ||
| P/tB | 4.02 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.86
EY2.51%
EPS(NY)3.81
Fwd EY5.15%
FCF(TTM)0.23
FCFY0.31%
OCF(TTM)3.69
OCFY4.98%
SpS15.15
BVpS19.23
TBVpS18.44
PEG (NY)0.15
PEG (5Y)N/A
Graham Number28.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.47% | ||
| ROE | 9.55% | ||
| ROCE | 9.51% | ||
| ROIC | 6.88% | ||
| ROICexc | 9.11% | ||
| ROICexgc | 9.4% | ||
| OM | 21.49% | ||
| PM (TTM) | 12.12% | ||
| GM | 27.69% | ||
| FCFM | 1.52% |
ROA(3y)16.59%
ROA(5y)12.3%
ROE(3y)36.11%
ROE(5y)26.9%
ROIC(3y)27.38%
ROIC(5y)20.03%
ROICexc(3y)45.79%
ROICexc(5y)32.94%
ROICexgc(3y)47.95%
ROICexgc(5y)34.64%
ROCE(3y)37.85%
ROCE(5y)27.69%
ROICexgc growth 3Y-17.27%
ROICexgc growth 5Y-0.97%
ROICexc growth 3Y-16.33%
ROICexc growth 5Y0.11%
OM growth 3Y-11.35%
OM growth 5Y0.83%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-8.37%
GM growth 5Y0.34%
F-Score5
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 71.72 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 22.85% | ||
| Interest Coverage | -3.85 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 12.52% | ||
| Current Ratio | 2.82 | ||
| Quick Ratio | 1.88 | ||
| Altman-Z | 3.53 |
F-Score5
WACC14.65%
ROIC/WACC0.47
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)14.9%
Cap/Sales(5y)15.74%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)264.6%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%34.78%
EPS Next Y270.51%
EPS Next 2Y111.02%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-9.24%
Revenue growth 3Y16.53%
Revenue growth 5Y18.43%
Sales Q2Q%8.93%
Revenue Next Year4.47%
Revenue Next 2Y12.95%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-23.27%
EBIT growth 3Y3.31%
EBIT growth 5Y19.42%
EBIT Next Year50.63%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-85.77%
FCF growth 3Y-5.4%
FCF growth 5Y24.04%
OCF growth 1Y-31.86%
OCF growth 3Y15.72%
OCF growth 5Y24.45%
QUIMICA Y MINERA CHIL-SP ADR / SQM FAQ
What is the fundamental rating for SQM stock?
ChartMill assigns a fundamental rating of 6 / 10 to SQM.
Can you provide the valuation status for QUIMICA Y MINERA CHIL-SP ADR?
ChartMill assigns a valuation rating of 4 / 10 to QUIMICA Y MINERA CHIL-SP ADR (SQM). This can be considered as Fairly Valued.
What is the profitability of SQM stock?
QUIMICA Y MINERA CHIL-SP ADR (SQM) has a profitability rating of 7 / 10.
How financially healthy is QUIMICA Y MINERA CHIL-SP ADR?
The financial health rating of QUIMICA Y MINERA CHIL-SP ADR (SQM) is 5 / 10.
What is the earnings growth outlook for QUIMICA Y MINERA CHIL-SP ADR?
The Earnings per Share (EPS) of QUIMICA Y MINERA CHIL-SP ADR (SQM) is expected to grow by 270.51% in the next year.