SENSIENT TECHNOLOGIES CORP (SXT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SXT - US81725T1007 - Common Stock
97.49 USD
-0.16 (-0.16%)
97.49 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to SXT. SXT was compared to 81 industry peers in the Chemicals industry. While SXT has a great profitability rating, there are some minor concerns on its financial health. While showing a medium growth rate, SXT is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
SXT had positive earnings in the past year.
SXT had a positive operating cash flow in the past year.
In the past 5 years SXT has always been profitable.
In the past 5 years SXT always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of SXT (6.30%) is better than 85.19% of its industry peers.
Looking at the Return On Equity, with a value of 11.79%, SXT belongs to the top of the industry, outperforming 81.48% of the companies in the same industry.
SXT's Return On Invested Capital of 8.32% is fine compared to the rest of the industry. SXT outperforms 76.54% of its industry peers.
SXT had an Average Return On Invested Capital over the past 3 years of 8.07%. This is above the industry average of 6.07%.
The last Return On Invested Capital (8.32%) for SXT is above the 3 year average (8.07%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.3% | ||
| ROE | 11.79% | ||
| ROIC | 8.32% |
ROA(3y)5.97%
ROA(5y)6.2%
ROE(3y)11.57%
ROE(5y)11.82%
ROIC(3y)8.07%
ROIC(5y)8.29%
1.3 Margins
The Profit Margin of SXT (8.72%) is better than 80.25% of its industry peers.
SXT's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 13.88%, SXT is in the better half of the industry, outperforming 71.60% of the companies in the same industry.
In the last couple of years the Operating Margin of SXT has grown nicely.
With a decent Gross Margin value of 33.88%, SXT is doing good in the industry, outperforming 69.14% of the companies in the same industry.
In the last couple of years the Gross Margin of SXT has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.88% | ||
| PM (TTM) | 8.72% | ||
| GM | 33.88% |
OM growth 3Y-1.22%
OM growth 5Y6.81%
PM growth 3Y-2.37%
PM growth 5Y5.25%
GM growth 3Y-0.3%
GM growth 5Y0.81%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SXT is creating some value.
The number of shares outstanding for SXT has been increased compared to 1 year ago.
The number of shares outstanding for SXT has been reduced compared to 5 years ago.
The debt/assets ratio for SXT has been reduced compared to a year ago.
2.2 Solvency
SXT has an Altman-Z score of 5.09. This indicates that SXT is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.09, SXT belongs to the top of the industry, outperforming 93.83% of the companies in the same industry.
The Debt to FCF ratio of SXT is 29.99, which is on the high side as it means it would take SXT, 29.99 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 29.99, SXT perfoms like the industry average, outperforming 48.15% of the companies in the same industry.
A Debt/Equity ratio of 0.60 indicates that SXT is somewhat dependend on debt financing.
With a decent Debt to Equity ratio value of 0.60, SXT is doing good in the industry, outperforming 61.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 29.99 | ||
| Altman-Z | 5.09 |
ROIC/WACC1.01
WACC8.22%
2.3 Liquidity
SXT has a Current Ratio of 4.59. This indicates that SXT is financially healthy and has no problem in meeting its short term obligations.
SXT has a Current ratio of 4.59. This is amongst the best in the industry. SXT outperforms 92.59% of its industry peers.
SXT has a Quick Ratio of 1.79. This is a normal value and indicates that SXT is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.79, SXT is doing good in the industry, outperforming 72.84% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.59 | ||
| Quick Ratio | 1.79 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 18.82% over the past year.
The Earnings Per Share has been growing slightly by 0.34% on average over the past years.
Looking at the last year, SXT shows a small growth in Revenue. The Revenue has grown by 4.25% in the last year.
Measured over the past years, SXT shows a small growth in Revenue. The Revenue has been growing by 3.32% on average per year.
EPS 1Y (TTM)18.82%
EPS 3Y-1.4%
EPS 5Y0.34%
EPS Q2Q%20%
Revenue 1Y (TTM)4.25%
Revenue growth 3Y4.1%
Revenue growth 5Y3.32%
Sales Q2Q%4.97%
3.2 Future
SXT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.61% yearly.
SXT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.18% yearly.
EPS Next Y15.88%
EPS Next 2Y14.83%
EPS Next 3Y16.61%
EPS Next 5YN/A
Revenue Next Year3.3%
Revenue Next 2Y4.54%
Revenue Next 3Y6.18%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
SXT is valuated quite expensively with a Price/Earnings ratio of 28.59.
SXT's Price/Earnings ratio is in line with the industry average.
SXT's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.31.
SXT is valuated rather expensively with a Price/Forward Earnings ratio of 24.56.
The rest of the industry has a similar Price/Forward Earnings ratio as SXT.
SXT's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 36.59.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.59 | ||
| Fwd PE | 24.56 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SXT indicates a slightly more expensive valuation: SXT is more expensive than 72.84% of the companies listed in the same industry.
SXT's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 174.4 | ||
| EV/EBITDA | 17.06 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SXT does not grow enough to justify the current Price/Earnings ratio.
SXT has an outstanding profitability rating, which may justify a higher PE ratio.
SXT's earnings are expected to grow with 16.61% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.8
PEG (5Y)85.19
EPS Next 2Y14.83%
EPS Next 3Y16.61%
5. Dividend
5.1 Amount
SXT has a Yearly Dividend Yield of 1.76%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 4.16, SXT has a dividend in line with its industry peers.
Compared to the average S&P500 Dividend Yield of 2.40, SXT is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.76% |
5.2 History
The dividend of SXT has a limited annual growth rate of 2.28%.
SXT has been paying a dividend for at least 10 years, so it has a reliable track record.
SXT has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)2.28%
Div Incr Years0
Div Non Decr Years34
5.3 Sustainability
SXT pays out 50.00% of its income as dividend. This is a bit on the high side, but may be sustainable.
SXT's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP50%
EPS Next 2Y14.83%
EPS Next 3Y16.61%
97.49
-0.16 (-0.16%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners102.57%
Inst Owner Change-14.42%
Ins Owners1.29%
Ins Owner Change0.23%
Market Cap4.14B
Revenue(TTM)1.60B
Net Income(TTM)139.11M
Analysts80
Price Target124.44 (27.64%)
Short Float %3.15%
Short Ratio2.76
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.76% |
Yearly Dividend1.65
Dividend Growth(5Y)2.28%
DP50%
Div Incr Years0
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.69%
Min EPS beat(2)5.61%
Max EPS beat(2)5.76%
EPS beat(4)4
Avg EPS beat(4)3.94%
Min EPS beat(4)0.56%
Max EPS beat(4)5.76%
EPS beat(8)5
Avg EPS beat(8)1.41%
EPS beat(12)6
Avg EPS beat(12)0%
EPS beat(16)10
Avg EPS beat(16)0.64%
Revenue beat(2)1
Avg Revenue beat(2)-0.86%
Min Revenue beat(2)-1.74%
Max Revenue beat(2)0.01%
Revenue beat(4)2
Avg Revenue beat(4)-0.62%
Min Revenue beat(4)-1.74%
Max Revenue beat(4)0.54%
Revenue beat(8)4
Avg Revenue beat(8)-0.63%
Revenue beat(12)4
Avg Revenue beat(12)-1.21%
Revenue beat(16)5
Avg Revenue beat(16)-1%
PT rev (1m)-0.27%
PT rev (3m)0.27%
EPS NQ rev (1m)4.67%
EPS NQ rev (3m)4.67%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.1%
Revenue NQ rev (1m)0.59%
Revenue NQ rev (3m)0.42%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.59 | ||
| Fwd PE | 24.56 | ||
| P/S | 2.6 | ||
| P/FCF | 174.4 | ||
| P/OCF | 39.56 | ||
| P/B | 3.51 | ||
| P/tB | 5.67 | ||
| EV/EBITDA | 17.06 |
EPS(TTM)3.41
EY3.5%
EPS(NY)3.97
Fwd EY4.07%
FCF(TTM)0.56
FCFY0.57%
OCF(TTM)2.46
OCFY2.53%
SpS37.56
BVpS27.79
TBVpS17.19
PEG (NY)1.8
PEG (5Y)85.19
Graham Number46.17
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.3% | ||
| ROE | 11.79% | ||
| ROCE | 11.2% | ||
| ROIC | 8.32% | ||
| ROICexc | 8.5% | ||
| ROICexgc | 11.08% | ||
| OM | 13.88% | ||
| PM (TTM) | 8.72% | ||
| GM | 33.88% | ||
| FCFM | 1.49% |
ROA(3y)5.97%
ROA(5y)6.2%
ROE(3y)11.57%
ROE(5y)11.82%
ROIC(3y)8.07%
ROIC(5y)8.29%
ROICexc(3y)8.19%
ROICexc(5y)8.42%
ROICexgc(3y)10.89%
ROICexgc(5y)11.48%
ROCE(3y)10.98%
ROCE(5y)11.24%
ROICexgc growth 3Y-4.49%
ROICexgc growth 5Y6.73%
ROICexc growth 3Y-2.36%
ROICexc growth 5Y7.59%
OM growth 3Y-1.22%
OM growth 5Y6.81%
PM growth 3Y-2.37%
PM growth 5Y5.25%
GM growth 3Y-0.3%
GM growth 5Y0.81%
F-Score5
Asset Turnover0.72
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 29.99 | ||
| Debt/EBITDA | 2.52 | ||
| Cap/Depr | 132.57% | ||
| Cap/Sales | 5.07% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 37.06% | ||
| Profit Quality | 17.07% | ||
| Current Ratio | 4.59 | ||
| Quick Ratio | 1.79 | ||
| Altman-Z | 5.09 |
F-Score5
WACC8.22%
ROIC/WACC1.01
Cap/Depr(3y)133.77%
Cap/Depr(5y)124.67%
Cap/Sales(3y)5.12%
Cap/Sales(5y)4.74%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)18.82%
EPS 3Y-1.4%
EPS 5Y0.34%
EPS Q2Q%20%
EPS Next Y15.88%
EPS Next 2Y14.83%
EPS Next 3Y16.61%
EPS Next 5YN/A
Revenue 1Y (TTM)4.25%
Revenue growth 3Y4.1%
Revenue growth 5Y3.32%
Sales Q2Q%4.97%
Revenue Next Year3.3%
Revenue Next 2Y4.54%
Revenue Next 3Y6.18%
Revenue Next 5YN/A
EBIT growth 1Y15.72%
EBIT growth 3Y2.83%
EBIT growth 5Y10.36%
EBIT Next Year49.19%
EBIT Next 3Y23.91%
EBIT Next 5YN/A
FCF growth 1Y174.3%
FCF growth 3Y5.07%
FCF growth 5Y-6.64%
OCF growth 1Y0.64%
OCF growth 3Y2.67%
OCF growth 5Y-2.37%
SENSIENT TECHNOLOGIES CORP / SXT FAQ
What is the ChartMill fundamental rating of SENSIENT TECHNOLOGIES CORP (SXT) stock?
ChartMill assigns a fundamental rating of 6 / 10 to SXT.
What is the valuation status of SENSIENT TECHNOLOGIES CORP (SXT) stock?
ChartMill assigns a valuation rating of 3 / 10 to SENSIENT TECHNOLOGIES CORP (SXT). This can be considered as Overvalued.
How profitable is SENSIENT TECHNOLOGIES CORP (SXT) stock?
SENSIENT TECHNOLOGIES CORP (SXT) has a profitability rating of 8 / 10.
What is the valuation of SENSIENT TECHNOLOGIES CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for SENSIENT TECHNOLOGIES CORP (SXT) is 28.59 and the Price/Book (PB) ratio is 3.51.
Is the dividend of SENSIENT TECHNOLOGIES CORP sustainable?
The dividend rating of SENSIENT TECHNOLOGIES CORP (SXT) is 5 / 10 and the dividend payout ratio is 50%.