AIR PRODUCTS & CHEMICALS INC (APD) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:APD - US0091581068 - Common Stock
263.72 USD
+2.5 (+0.96%)
263.72 USD
0 (0%)
Overall APD gets a fundamental rating of 3 out of 10. We evaluated APD against 83 industry peers in the Chemicals industry. While APD is still in line with the averages on profitability rating, there are concerns on its financial health. APD is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
APD had positive earnings in the past year.
APD had a positive operating cash flow in the past year.
APD had positive earnings in 4 of the past 5 years.
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 in line with its industry peers.
With a Return On Equity value of -2.63%, APD perfoms like the industry average, outperforming 45.78% of the companies in the same industry.
APD has a better Return On Invested Capital (6.23%) than 69.88% of its industry peers.
APD had an Average Return On Invested Capital over the past 3 years of 6.89%. This is in line with the industry average of 6.10%.
| 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 91.57% of its industry peers.
In the last couple of years the Operating Margin of APD has remained more or less at the same level.
The Gross Margin of APD (31.41%) is comparable to the rest of the industry.
APD's Gross Margin has been stable in the last couple of years.
| 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.
APD has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for APD has been increased compared to 5 years ago.
The debt/assets ratio for APD is higher compared to a year ago.
2.2 Solvency
APD has an Altman-Z score of 2.51. This is not the best score and indicates that APD is in the grey zone with still only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.51, APD is doing good in the industry, outperforming 77.11% 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 worse Debt to Equity ratio (1.13) than 68.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.13 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.51 |
ROIC/WACC0.49
WACC12.61%
2.3 Liquidity
APD has a Current Ratio of 1.38. This is a normal value and indicates that APD is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.38, APD is not doing good in the industry: 77.11% of the companies in the same industry are doing better.
A Quick Ratio of 1.20 indicates that APD should not have too much problems paying its short term obligations.
APD has a Quick ratio of 1.20. This is comparable to the rest of the industry: APD outperforms 46.99% of 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%.
The Earnings Per Share has been growing slightly by 7.07% on average over the past years.
APD shows a decrease in Revenue. In the last year, the revenue decreased by -0.52%.
APD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.33% yearly.
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
APD is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.69% yearly.
The Revenue is expected to grow by 6.92% on average over the next years.
EPS Next Y9.02%
EPS Next 2Y8.07%
EPS Next 3Y8.66%
EPS Next 5Y7.69%
Revenue Next Year3.93%
Revenue Next 2Y5.02%
Revenue Next 3Y5.96%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
APD is valuated rather expensively with a Price/Earnings ratio of 21.92.
APD's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 27.19. APD is around the same levels.
With a Price/Forward Earnings ratio of 20.11, APD is valued on the expensive side.
APD's Price/Forward Earnings ratio is in line with the industry average.
APD is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.88, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.92 | ||
| Fwd PE | 20.11 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, APD is valued a bit more expensive than 69.88% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 16.72 |
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)2.43
PEG (5Y)3.1
EPS Next 2Y8.07%
EPS Next 3Y8.66%
5. Dividend
5.1 Amount
APD has a Yearly Dividend Yield of 2.74%.
Compared to an average industry Dividend Yield of 2.36, APD pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 1.90, APD pays a bit more dividend than the S&P500 average.
| 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.
The dividend of APD decreased 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 2Y8.07%
EPS Next 3Y8.66%
263.72
+2.5 (+0.96%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners94.93%
Inst Owner Change0%
Ins Owners1.88%
Ins Owner Change2.93%
Market Cap58.70B
Revenue(TTM)12.04B
Net Income(TTM)-394.50M
Analysts74.29
Price Target300.42 (13.92%)
Short Float %2.62%
Short Ratio3.64
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)-5.2%
PT rev (3m)-9.63%
EPS NQ rev (1m)0.04%
EPS NQ rev (3m)-1.42%
EPS NY rev (1m)-0.05%
EPS NY rev (3m)0.42%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.63%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)-0.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.92 | ||
| Fwd PE | 20.11 | ||
| P/S | 4.88 | ||
| P/FCF | N/A | ||
| P/OCF | 18.02 | ||
| P/B | 3.91 | ||
| P/tB | 4.26 | ||
| EV/EBITDA | 16.72 |
EPS(TTM)12.03
EY4.56%
EPS(NY)13.11
Fwd EY4.97%
FCF(TTM)-16.92
FCFYN/A
OCF(TTM)14.63
OCFY5.55%
SpS54.08
BVpS67.5
TBVpS61.85
PEG (NY)2.43
PEG (5Y)3.1
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
WACC12.61%
ROIC/WACC0.49
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 Y9.02%
EPS Next 2Y8.07%
EPS Next 3Y8.66%
EPS Next 5Y7.69%
Revenue 1Y (TTM)-0.52%
Revenue growth 3Y-1.77%
Revenue growth 5Y6.33%
Sales Q2Q%-0.65%
Revenue Next Year3.93%
Revenue Next 2Y5.02%
Revenue Next 3Y5.96%
Revenue Next 5Y6.92%
EBIT growth 1Y-2.79%
EBIT growth 3Y5.8%
EBIT growth 5Y5.33%
EBIT Next Year89.03%
EBIT Next 3Y29.48%
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 fundamental rating for APD stock?
ChartMill assigns a fundamental rating of 3 / 10 to APD.
What is the valuation status for APD stock?
ChartMill assigns a valuation rating of 1 / 10 to AIR PRODUCTS & CHEMICALS INC (APD). This can be considered as Overvalued.
Can you provide the profitability details for AIR PRODUCTS & CHEMICALS INC?
AIR PRODUCTS & CHEMICALS INC (APD) has a profitability rating of 5 / 10.
What is the valuation of AIR PRODUCTS & CHEMICALS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for AIR PRODUCTS & CHEMICALS INC (APD) is 21.92 and the Price/Book (PB) ratio is 3.91.
Can you provide the financial health for APD stock?
The financial health rating of AIR PRODUCTS & CHEMICALS INC (APD) is 2 / 10.