AIR PRODUCTS & CHEMICALS INC (APD) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:APD - US0091581068 - Common Stock
236.05 USD
-24.64 (-9.45%)
236.05 USD
0 (0%)
Taking everything into account, APD scores 3 out of 10 in our fundamental rating. APD was compared to 82 industry peers in the Chemicals industry. APD has a medium profitability rating, but doesn't score so well on its financial health evaluation. APD has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year APD was profitable.
APD had a positive operating cash flow in the past year.
Of the past 5 years APD 4 years were profitable.
Each year in the past 5 years APD had a positive operating cash flow.
1.2 Ratios
APD has a Return On Assets (-0.96%) which is comparable to the rest of the industry.
With a Return On Equity value of -2.63%, APD perfoms like the industry average, outperforming 46.34% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 6.23%, APD is in the better half of the industry, outperforming 69.51% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for APD is in line with the industry average of 6.05%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.96% | ||
| ROE | -2.63% | ||
| ROIC | 6.23% |
ROA(3y)5.3%
ROA(5y)6.4%
ROE(3y)11.97%
ROE(5y)13.72%
ROIC(3y)6.89%
ROIC(5y)7.28%
1.3 Margins
The Operating Margin of APD (23.74%) is better than 91.46% of its industry peers.
APD's Operating Margin has been stable in the last couple of years.
With a Gross Margin value of 31.41%, APD perfoms like the industry average, outperforming 59.76% of the companies in the same industry.
In the last couple of years the Gross Margin of APD has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.74% | ||
| PM (TTM) | N/A | ||
| GM | 31.41% |
OM growth 3Y7.7%
OM growth 5Y-0.94%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y5.89%
GM growth 5Y-1.48%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), APD is destroying value.
The number of shares outstanding for APD remains at a similar level compared to 1 year ago.
Compared to 5 years ago, APD has more shares outstanding
The debt/assets ratio for APD is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.51 indicates that APD 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 2.51, APD is in the better half of the industry, outperforming 75.61% of the companies in the same industry.
A Debt/Equity ratio of 1.13 is on the high side and indicates that APD has dependencies on debt financing.
APD has a Debt to Equity ratio of 1.13. This is in the lower half of the industry: APD underperforms 68.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.13 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.51 |
ROIC/WACC0.8
WACC7.8%
2.3 Liquidity
A Current Ratio of 1.38 indicates that APD should not have too much problems paying its short term obligations.
APD has a Current ratio of 1.38. This is in the lower half of the industry: APD underperforms 76.83% of its industry peers.
APD has a Quick Ratio of 1.20. This is a normal value and indicates that APD is financially healthy and should not expect problems in meeting its short term obligations.
APD has a Quick ratio (1.20) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.38 | ||
| Quick Ratio | 1.2 |
3. Growth
3.1 Past
APD shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.22%.
Measured over the past 5 years, APD shows a small growth in Earnings Per Share. The EPS has been growing by 7.07% on average per year.
The Revenue has decreased by -0.52% in the past year.
Measured over the past years, APD shows a small growth in Revenue. The Revenue has been growing by 6.33% on average per year.
EPS 1Y (TTM)-3.22%
EPS 3Y4.94%
EPS 5Y7.07%
EPS Q2Q%-4.78%
Revenue 1Y (TTM)-0.52%
Revenue growth 3Y-1.77%
Revenue growth 5Y6.33%
Sales Q2Q%-0.65%
3.2 Future
Based on estimates for the next years, APD will show a small growth in Earnings Per Share. The EPS will grow by 7.69% on average per year.
The Revenue is expected to grow by 6.92% on average over the next years.
EPS Next Y9.07%
EPS Next 2Y8.39%
EPS Next 3Y9.47%
EPS Next 5Y7.69%
Revenue Next Year3.98%
Revenue Next 2Y4.76%
Revenue Next 3Y6.19%
Revenue Next 5Y6.92%
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 stable.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 19.62 indicates a rather expensive valuation of APD.
APD's Price/Earnings ratio is in line with the industry average.
APD's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.49.
The Price/Forward Earnings ratio is 17.99, which indicates a rather expensive current valuation of APD.
APD's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.69, APD is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.62 | ||
| Fwd PE | 17.99 |
4.2 Price Multiples
APD's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. APD is more expensive than 67.07% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 16.7 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates APD does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)2.16
PEG (5Y)2.78
EPS Next 2Y8.39%
EPS Next 3Y9.47%
5. Dividend
5.1 Amount
APD has a Yearly Dividend Yield of 2.74%.
APD's Dividend Yield is a higher than the industry average which is at 3.98.
APD's Dividend Yield is comparable with the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.74% |
5.2 History
The dividend of APD is nicely growing with an annual growth rate of 7.30%!
APD has paid a dividend for at least 10 years, which is a reliable track record.
APD has decreased its dividend recently.
Dividend Growth(5Y)7.3%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
APD has negative earnings and hence a negative payout ratio. The dividend may be in danger.
The dividend of APD is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP-401.55%
EPS Next 2Y8.39%
EPS Next 3Y9.47%
236.05
-24.64 (-9.45%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners94.99%
Inst Owner Change-1.25%
Ins Owners0.03%
Ins Owner Change3.93%
Market Cap52.54B
Revenue(TTM)12.04B
Net Income(TTM)-394.50M
Analysts76.55
Price Target315.16 (33.51%)
Short Float %2.41%
Short Ratio4.12
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.74% |
Yearly Dividend7.12
Dividend Growth(5Y)7.3%
DP-401.55%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.68%
Min EPS beat(2)-0.83%
Max EPS beat(2)2.18%
EPS beat(4)1
Avg EPS beat(4)-1.26%
Min EPS beat(4)-5.81%
Max EPS beat(4)2.18%
EPS beat(8)4
Avg EPS beat(8)-0.21%
EPS beat(12)7
Avg EPS beat(12)-0.09%
EPS beat(16)9
Avg EPS beat(16)0.11%
Revenue beat(2)1
Avg Revenue beat(2)-0.33%
Min Revenue beat(2)-1.28%
Max Revenue beat(2)0.62%
Revenue beat(4)1
Avg Revenue beat(4)-0.8%
Min Revenue beat(4)-1.31%
Max Revenue beat(4)0.62%
Revenue beat(8)1
Avg Revenue beat(8)-2.42%
Revenue beat(12)2
Avg Revenue beat(12)-2.88%
Revenue beat(16)5
Avg Revenue beat(16)-0.92%
PT rev (1m)-4.56%
PT rev (3m)-5.58%
EPS NQ rev (1m)-0.63%
EPS NQ rev (3m)-1.46%
EPS NY rev (1m)0.88%
EPS NY rev (3m)0.5%
Revenue NQ rev (1m)-0.19%
Revenue NQ rev (3m)-1.63%
Revenue NY rev (1m)-0.57%
Revenue NY rev (3m)-0.59%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.62 | ||
| Fwd PE | 17.99 | ||
| P/S | 4.36 | ||
| P/FCF | N/A | ||
| P/OCF | 16.13 | ||
| P/B | 3.5 | ||
| P/tB | 3.82 | ||
| EV/EBITDA | 16.7 |
EPS(TTM)12.03
EY5.1%
EPS(NY)13.12
Fwd EY5.56%
FCF(TTM)-16.92
FCFYN/A
OCF(TTM)14.63
OCFY6.2%
SpS54.08
BVpS67.5
TBVpS61.85
PEG (NY)2.16
PEG (5Y)2.78
Graham Number135.17
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.96% | ||
| ROE | -2.63% | ||
| ROCE | 7.76% | ||
| ROIC | 6.23% | ||
| ROICexc | 6.56% | ||
| ROICexgc | 6.81% | ||
| OM | 23.74% | ||
| PM (TTM) | N/A | ||
| GM | 31.41% | ||
| FCFM | N/A |
ROA(3y)5.3%
ROA(5y)6.4%
ROE(3y)11.97%
ROE(5y)13.72%
ROIC(3y)6.89%
ROIC(5y)7.28%
ROICexc(3y)7.39%
ROICexc(5y)8.33%
ROICexgc(3y)7.7%
ROICexgc(5y)8.79%
ROCE(3y)8.6%
ROCE(5y)9.08%
ROICexgc growth 3Y-12.25%
ROICexgc growth 5Y-10.36%
ROICexc growth 3Y-11.59%
ROICexc growth 5Y-9.49%
OM growth 3Y7.7%
OM growth 5Y-0.94%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y5.89%
GM growth 5Y-1.48%
F-Score2
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.13 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.84 | ||
| Cap/Depr | 448.96% | ||
| Cap/Sales | 58.34% | ||
| Interest Coverage | 14.87 | ||
| Cash Conversion | 73.65% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.38 | ||
| Quick Ratio | 1.2 | ||
| Altman-Z | 2.51 |
F-Score2
WACC7.8%
ROIC/WACC0.8
Cap/Depr(3y)419.31%
Cap/Depr(5y)332.63%
Cap/Sales(3y)50.41%
Cap/Sales(5y)39.63%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-3.22%
EPS 3Y4.94%
EPS 5Y7.07%
EPS Q2Q%-4.78%
EPS Next Y9.07%
EPS Next 2Y8.39%
EPS Next 3Y9.47%
EPS Next 5Y7.69%
Revenue 1Y (TTM)-0.52%
Revenue growth 3Y-1.77%
Revenue growth 5Y6.33%
Sales Q2Q%-0.65%
Revenue Next Year3.98%
Revenue Next 2Y4.76%
Revenue Next 3Y6.19%
Revenue Next 5Y6.92%
EBIT growth 1Y-2.79%
EBIT growth 3Y5.8%
EBIT growth 5Y5.33%
EBIT Next Year89.09%
EBIT Next 3Y30.21%
EBIT Next 5Y19.35%
FCF growth 1Y-19.55%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-10.69%
OCF growth 3Y0.27%
OCF growth 5Y-0.05%
AIR PRODUCTS & CHEMICALS INC / APD FAQ
What is the ChartMill fundamental rating of AIR PRODUCTS & CHEMICALS INC (APD) stock?
ChartMill assigns a fundamental rating of 3 / 10 to APD.
Can you provide the valuation status for AIR PRODUCTS & CHEMICALS INC?
ChartMill assigns a valuation rating of 1 / 10 to AIR PRODUCTS & CHEMICALS INC (APD). This can be considered as Overvalued.
What is the profitability of APD stock?
AIR PRODUCTS & CHEMICALS INC (APD) has a profitability rating of 5 / 10.
Can you provide the financial health for APD stock?
The financial health rating of AIR PRODUCTS & CHEMICALS INC (APD) is 2 / 10.
Is the dividend of AIR PRODUCTS & CHEMICALS INC sustainable?
The dividend rating of AIR PRODUCTS & CHEMICALS INC (APD) is 4 / 10 and the dividend payout ratio is -401.55%.