ASHLAND INC (ASH) Stock Fundamental Analysis
USA - NYSE:ASH - US0441861046 - Common Stock
48.9 USD
+0.23 (+0.47%)
48.9 USD
0 (0%)
Overall ASH gets a fundamental rating of 4 out of 10. We evaluated ASH against 82 industry peers in the Chemicals industry. ASH has an average financial health and profitability rating. ASH has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year ASH was profitable.
ASH had positive earnings in 4 of the past 5 years.
Of the past 5 years ASH 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of ASH (-18.61%) is worse than 84.15% of its industry peers.
ASH has a worse Return On Equity (-45.53%) than 80.49% of its industry peers.
ASH has a Return On Invested Capital (3.82%) which is comparable to the rest of the industry.
ASH had an Average Return On Invested Capital over the past 3 years of 3.69%. This is below the industry average of 6.30%.
The last Return On Invested Capital (3.82%) for ASH is above the 3 year average (3.69%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -18.61% | ||
| ROE | -45.53% | ||
| ROIC | 3.82% |
ROA(3y)6.97%
ROA(5y)3.37%
ROE(3y)13.48%
ROE(5y)6.34%
ROIC(3y)3.69%
ROIC(5y)3.32%
1.3 Margins
In the last couple of years the Profit Margin of ASH has declined.
ASH has a Operating Margin of 10.86%. This is in the better half of the industry: ASH outperforms 60.98% of its industry peers.
In the last couple of years the Operating Margin of ASH has grown nicely.
The Gross Margin of ASH (33.01%) is better than 64.63% of its industry peers.
ASH's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.86% | ||
| PM (TTM) | N/A | ||
| GM | 33.01% |
OM growth 3Y-1.66%
OM growth 5Y9.22%
PM growth 3Y-8.44%
PM growth 5Y-19.4%
GM growth 3Y0.22%
GM growth 5Y1.06%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ASH is destroying value.
Compared to 1 year ago, ASH has less shares outstanding
Compared to 5 years ago, ASH has less shares outstanding
The debt/assets ratio for ASH is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 1.91 indicates that ASH is not a great score, but indicates only limited risk for bankruptcy at the moment.
ASH's Altman-Z score of 1.91 is in line compared to the rest of the industry. ASH outperforms 50.00% of its industry peers.
ASH has a Debt/Equity ratio of 0.73. This is a neutral value indicating ASH is somewhat dependend on debt financing.
The Debt to Equity ratio of ASH (0.73) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.91 |
ROIC/WACC0.49
WACC7.8%
2.3 Liquidity
A Current Ratio of 2.68 indicates that ASH has no problem at all paying its short term obligations.
ASH has a better Current ratio (2.68) than 74.39% of its industry peers.
A Quick Ratio of 1.33 indicates that ASH should not have too much problems paying its short term obligations.
ASH has a Quick ratio (1.33) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.68 | ||
| Quick Ratio | 1.33 |
3. Growth
3.1 Past
The earnings per share for ASH have decreased by -1.38% in the last year.
ASH shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.23% yearly.
Looking at the last year, ASH shows a very negative growth in Revenue. The Revenue has decreased by -11.38% in the last year.
Measured over the past years, ASH shows a decrease in Revenue. The Revenue has been decreasing by -0.33% on average per year.
EPS 1Y (TTM)-1.38%
EPS 3Y2.51%
EPS 5Y12.23%
EPS Q2Q%-30.2%
Revenue 1Y (TTM)-11.38%
Revenue growth 3Y0.03%
Revenue growth 5Y-0.33%
Sales Q2Q%-14.89%
3.2 Future
The Earnings Per Share is expected to grow by 8.57% on average over the next years. This is quite good.
Based on estimates for the next years, ASH will show a decrease in Revenue. The Revenue will decrease by -1.40% on average per year.
EPS Next Y-19.73%
EPS Next 2Y-1.19%
EPS Next 3Y4.67%
EPS Next 5Y8.57%
Revenue Next Year-13.75%
Revenue Next 2Y-6.15%
Revenue Next 3Y-2.97%
Revenue Next 5Y-1.4%
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 decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 13.70 indicates a correct valuation of ASH.
Based on the Price/Earnings ratio, ASH is valued a bit cheaper than the industry average as 71.95% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of ASH to the average of the S&P500 Index (26.19), we can say ASH is valued slightly cheaper.
The Price/Forward Earnings ratio is 11.21, which indicates a very decent valuation of ASH.
74.39% of the companies in the same industry are more expensive than ASH, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.50. ASH is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.7 | ||
| Fwd PE | 11.21 |
4.2 Price Multiples
78.05% of the companies in the same industry are more expensive than ASH, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.13 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.12
EPS Next 2Y-1.19%
EPS Next 3Y4.67%
5. Dividend
5.1 Amount
ASH has a Yearly Dividend Yield of 3.33%.
ASH's Dividend Yield is a higher than the industry average which is at 3.70.
Compared to an average S&P500 Dividend Yield of 2.33, ASH pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.33% |
5.2 History
On average, the dividend of ASH grows each year by 8.69%, which is quite nice.
ASH has paid a dividend for at least 10 years, which is a reliable track record.
ASH has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)8.69%
Div Incr Years15
Div Non Decr Years15
5.3 Sustainability
The dividend of ASH is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DPN/A
EPS Next 2Y-1.19%
EPS Next 3Y4.67%
48.9
+0.23 (+0.47%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners93.87%
Inst Owner Change-3.76%
Ins Owners0.53%
Ins Owner Change0.46%
Market Cap2.24B
Revenue(TTM)1.87B
Net Income(TTM)-860000000
Analysts77.65
Price Target64.8 (32.52%)
Short Float %4.47%
Short Ratio3.45
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.33% |
Yearly Dividend1.59
Dividend Growth(5Y)8.69%
DPN/A
Div Incr Years15
Div Non Decr Years15
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-13.65%
Min EPS beat(2)-16.19%
Max EPS beat(2)-11.11%
EPS beat(4)1
Avg EPS beat(4)6.27%
Min EPS beat(4)-16.19%
Max EPS beat(4)55.09%
EPS beat(8)4
Avg EPS beat(8)16.33%
EPS beat(12)5
Avg EPS beat(12)10.01%
EPS beat(16)7
Avg EPS beat(16)8.45%
Revenue beat(2)0
Avg Revenue beat(2)-4.71%
Min Revenue beat(2)-5.65%
Max Revenue beat(2)-3.77%
Revenue beat(4)0
Avg Revenue beat(4)-4.33%
Min Revenue beat(4)-6.51%
Max Revenue beat(4)-1.38%
Revenue beat(8)0
Avg Revenue beat(8)-3.68%
Revenue beat(12)0
Avg Revenue beat(12)-3.16%
Revenue beat(16)2
Avg Revenue beat(16)-5.33%
PT rev (1m)0.31%
PT rev (3m)-6.74%
EPS NQ rev (1m)-3.03%
EPS NQ rev (3m)-4.03%
EPS NY rev (1m)-1.22%
EPS NY rev (3m)-6.87%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)-2.38%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.7 | ||
| Fwd PE | 11.21 | ||
| P/S | 1.2 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.18 | ||
| P/tB | 3.69 | ||
| EV/EBITDA | 7.13 |
EPS(TTM)3.57
EY7.3%
EPS(NY)4.36
Fwd EY8.92%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS40.89
BVpS41.33
TBVpS13.26
PEG (NY)N/A
PEG (5Y)1.12
Graham Number57.62
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -18.61% | ||
| ROE | -45.53% | ||
| ROCE | 4.83% | ||
| ROIC | 3.82% | ||
| ROICexc | 4.02% | ||
| ROICexgc | 5.92% | ||
| OM | 10.86% | ||
| PM (TTM) | N/A | ||
| GM | 33.01% | ||
| FCFM | N/A |
ROA(3y)6.97%
ROA(5y)3.37%
ROE(3y)13.48%
ROE(5y)6.34%
ROIC(3y)3.69%
ROIC(5y)3.32%
ROICexc(3y)4.03%
ROICexc(5y)3.59%
ROICexgc(3y)7.3%
ROICexgc(5y)6.62%
ROCE(3y)4.67%
ROCE(5y)4.21%
ROICexgc growth 3Y0.9%
ROICexgc growth 5Y11.64%
ROICexc growth 3Y2.34%
ROICexc growth 5Y15.15%
OM growth 3Y-1.66%
OM growth 5Y9.22%
PM growth 3Y-8.44%
PM growth 5Y-19.4%
GM growth 3Y0.22%
GM growth 5Y1.06%
F-ScoreN/A
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.9 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.68 | ||
| Quick Ratio | 1.33 | ||
| Altman-Z | 1.91 |
F-ScoreN/A
WACC7.8%
ROIC/WACC0.49
Cap/Depr(3y)55.62%
Cap/Depr(5y)53.3%
Cap/Sales(3y)6.32%
Cap/Sales(5y)6.11%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-1.38%
EPS 3Y2.51%
EPS 5Y12.23%
EPS Q2Q%-30.2%
EPS Next Y-19.73%
EPS Next 2Y-1.19%
EPS Next 3Y4.67%
EPS Next 5Y8.57%
Revenue 1Y (TTM)-11.38%
Revenue growth 3Y0.03%
Revenue growth 5Y-0.33%
Sales Q2Q%-14.89%
Revenue Next Year-13.75%
Revenue Next 2Y-6.15%
Revenue Next 3Y-2.97%
Revenue Next 5Y-1.4%
EBIT growth 1Y14.69%
EBIT growth 3Y-1.63%
EBIT growth 5Y8.86%
EBIT Next Year57.59%
EBIT Next 3Y23.24%
EBIT Next 5YN/A
FCF growth 1Y275.34%
FCF growth 3Y-15.55%
FCF growth 5Y23.86%
OCF growth 1Y69.14%
OCF growth 3Y-9.8%
OCF growth 5Y11.27%
ASHLAND INC / ASH FAQ
Can you provide the ChartMill fundamental rating for ASHLAND INC?
ChartMill assigns a fundamental rating of 4 / 10 to ASH.
Can you provide the valuation status for ASHLAND INC?
ChartMill assigns a valuation rating of 4 / 10 to ASHLAND INC (ASH). This can be considered as Fairly Valued.
Can you provide the profitability details for ASHLAND INC?
ASHLAND INC (ASH) has a profitability rating of 4 / 10.
What is the valuation of ASHLAND INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ASHLAND INC (ASH) is 13.7 and the Price/Book (PB) ratio is 1.18.
What is the earnings growth outlook for ASHLAND INC?
The Earnings per Share (EPS) of ASHLAND INC (ASH) is expected to decline by -19.73% in the next year.