AIR PRODUCTS & CHEMICALS INC (APD) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:APD - US0091581068 - Common Stock
260.69 USD
-0.93 (-0.36%)
260.69 USD
0 (0%)
Overall APD gets a fundamental rating of 3 out of 10. We evaluated APD against 82 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
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
With a Return On Assets value of -0.96%, APD perfoms like the industry average, outperforming 44.44% of the companies in the same industry.
APD has a Return On Equity of -2.63%. This is comparable to the rest of the industry: APD outperforms 45.68% of its industry peers.
Looking at the Return On Invested Capital, with a value of 6.23%, APD is in the better half of the industry, outperforming 69.14% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years 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
APD has a Operating Margin of 23.74%. This is amongst the best in the industry. APD outperforms 91.36% 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
APD has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, APD has about the same amount of shares outstanding.
Compared to 5 years ago, APD has more shares outstanding
Compared to 1 year ago, APD has a worse debt to assets ratio.
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.
With a decent Altman-Z score value of 2.51, APD is doing good in the industry, outperforming 76.54% of the companies in the same industry.
APD has a Debt/Equity ratio of 1.13. This is a high value indicating a heavy dependency on external financing.
APD has a worse Debt to Equity ratio (1.13) than 67.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.13 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.51 |
ROIC/WACC0.73
WACC8.5%
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: 77.78% of the companies in the same industry are doing better.
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.
Looking at the Quick ratio, with a value of 1.20, APD is in line with its industry, outperforming 45.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.38 | ||
| Quick Ratio | 1.2 |
3. Growth
3.1 Past
The earnings per share for APD have decreased by -3.22% in the last year.
The Earnings Per Share has been growing slightly by 7.07% on average over the past years.
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.
Based on estimates for the next years, APD will show a small growth in Revenue. The Revenue will grow by 6.92% on average per year.
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
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
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
Based on the Price/Earnings ratio of 21.67, the valuation of APD can be described as rather expensive.
Compared to the rest of the industry, the Price/Earnings ratio of APD is on the same level as its industry peers.
APD's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.49.
APD is valuated rather expensively with a Price/Forward Earnings ratio of 19.87.
The rest of the industry has a similar Price/Forward Earnings ratio as APD.
When comparing the Price/Forward Earnings ratio of APD to the average of the S&P500 Index (23.69), we can say APD is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.67 | ||
| Fwd PE | 19.87 |
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 67.90% 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)2.39
PEG (5Y)3.07
EPS Next 2Y8.39%
EPS Next 3Y9.47%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.74%, APD has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.98, APD pays a bit more dividend than its industry peers.
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.
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 2Y8.39%
EPS Next 3Y9.47%
260.69
-0.93 (-0.36%)
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 Cap58.03B
Revenue(TTM)12.04B
Net Income(TTM)-394.50M
Analysts76.55
Price Target315.16 (20.89%)
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 | 21.67 | ||
| Fwd PE | 19.87 | ||
| P/S | 4.82 | ||
| P/FCF | N/A | ||
| P/OCF | 17.82 | ||
| P/B | 3.86 | ||
| P/tB | 4.21 | ||
| EV/EBITDA | 16.7 |
EPS(TTM)12.03
EY4.61%
EPS(NY)13.12
Fwd EY5.03%
FCF(TTM)-16.92
FCFYN/A
OCF(TTM)14.63
OCFY5.61%
SpS54.08
BVpS67.5
TBVpS61.85
PEG (NY)2.39
PEG (5Y)3.07
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
WACC8.5%
ROIC/WACC0.73
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 1 / 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%.