ASHLAND INC (ASH) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ASH - US0441861046 - Common Stock
59.2316 USD
-0.47 (-0.78%)
We assign a fundamental rating of 4 out of 10 to ASH. ASH was compared to 83 industry peers in the Chemicals industry. Both the profitability and the financial health of ASH get a neutral evaluation. Nothing too spectacular is happening here. While showing a medium growth rate, ASH is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
ASH had positive earnings in the past year.
In the past year ASH had a positive cash flow from operations.
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
ASH has a Return On Assets of -18.30%. This is amonst the worse of the industry: ASH underperforms 84.34% of its industry peers.
ASH has a Return On Equity of -44.33%. This is in the lower half of the industry: ASH underperforms 78.31% of its industry peers.
ASH has a Return On Invested Capital (3.77%) which is in line with its industry peers.
ASH had an Average Return On Invested Capital over the past 3 years of 3.45%. This is below the industry average of 6.09%.
The 3 year average ROIC (3.45%) for ASH is below the current ROIC(3.77%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -18.3% | ||
| ROE | -44.33% | ||
| ROIC | 3.77% |
ROA(3y)-4.11%
ROA(5y)1.18%
ROE(3y)-10.91%
ROE(5y)0.81%
ROIC(3y)3.45%
ROIC(5y)3.62%
1.3 Margins
The Operating Margin of ASH (10.96%) is better than 61.45% of its industry peers.
In the last couple of years the Operating Margin of ASH has grown nicely.
ASH has a Gross Margin of 33.00%. This is in the better half of the industry: ASH outperforms 65.06% of its industry peers.
ASH's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.96% | ||
| PM (TTM) | N/A | ||
| GM | 33% |
OM growth 3Y-6.9%
OM growth 5Y5.35%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.33%
GM growth 5Y1.71%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ASH is destroying value.
The number of shares outstanding for ASH has been reduced compared to 1 year ago.
ASH has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, ASH has a worse debt to assets ratio.
2.2 Solvency
ASH has an Altman-Z score of 2.04. This is not the best score and indicates that ASH is in the grey zone with still only limited risk for bankruptcy at the moment.
ASH has a Altman-Z score (2.04) which is comparable to the rest of the industry.
ASH has a Debt/Equity ratio of 0.73. This is a neutral value indicating ASH is somewhat dependend on debt financing.
ASH's Debt to Equity ratio of 0.73 is in line compared to the rest of the industry. ASH outperforms 48.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.04 |
ROIC/WACC0.33
WACC11.53%
2.3 Liquidity
ASH has a Current Ratio of 2.85. This indicates that ASH is financially healthy and has no problem in meeting its short term obligations.
ASH has a better Current ratio (2.85) than 81.93% of its industry peers.
A Quick Ratio of 1.51 indicates that ASH should not have too much problems paying its short term obligations.
ASH has a better Quick ratio (1.51) than 61.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.85 | ||
| Quick Ratio | 1.51 |
3. Growth
3.1 Past
The earnings per share for ASH have decreased strongly by -24.16% in the last year.
Measured over the past 5 years, ASH shows a small growth in Earnings Per Share. The EPS has been growing by 3.90% on average per year.
Looking at the last year, ASH shows a very strong growth in Revenue. The Revenue has grown by 76.88%.
Measured over the past years, ASH shows a decrease in Revenue. The Revenue has been decreasing by -1.98% on average per year.
EPS 1Y (TTM)-24.16%
EPS 3Y-16.05%
EPS 5Y3.9%
EPS Q2Q%-14.29%
Revenue 1Y (TTM)76.88%
Revenue growth 3Y-8.63%
Revenue growth 5Y-1.98%
Sales Q2Q%-8.43%
3.2 Future
Based on estimates for the next years, ASH will show a quite strong growth in Earnings Per Share. The EPS will grow by 17.84% on average per year.
The Revenue is expected to grow by 2.98% on average over the next years.
EPS Next Y17.28%
EPS Next 2Y18.46%
EPS Next 3Y17.84%
EPS Next 5YN/A
Revenue Next Year2.22%
Revenue Next 2Y2.94%
Revenue Next 3Y2.98%
Revenue Next 5YN/A
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 accelerating.
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
Based on the Price/Earnings ratio of 17.47, the valuation of ASH can be described as rather expensive.
ASH's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of ASH to the average of the S&P500 Index (26.92), we can say ASH is valued slightly cheaper.
With a Price/Forward Earnings ratio of 14.90, ASH is valued correctly.
ASH's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of ASH to the average of the S&P500 Index (23.46), we can say ASH is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.47 | ||
| Fwd PE | 14.9 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ASH is valued a bit cheaper than the industry average as 63.86% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.92 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as ASH's earnings are expected to grow with 17.84% in the coming years.
PEG (NY)1.01
PEG (5Y)4.48
EPS Next 2Y18.46%
EPS Next 3Y17.84%
5. Dividend
5.1 Amount
ASH has a Yearly Dividend Yield of 2.80%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.48, ASH pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.00, ASH pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.8% |
5.2 History
The dividend of ASH is nicely growing with an annual growth rate of 8.42%!
ASH has been paying a dividend for at least 10 years, so it has 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)8.42%
Div Incr Years15
Div Non Decr Years15
5.3 Sustainability
The earnings of ASH are negative and hence is the payout ratio. ASH will probably not be able to sustain this dividend level.
ASH's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-9%
EPS Next 2Y18.46%
EPS Next 3Y17.84%
NYSE:ASH (12/29/2025, 2:05:06 PM)
59.2316
-0.47 (-0.78%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners90.65%
Inst Owner Change-0.16%
Ins Owners0.58%
Ins Owner Change3%
Market Cap2.71B
Revenue(TTM)1.82B
Net Income(TTM)-844.00M
Analysts77.65
Price Target64.39 (8.71%)
Short Float %9.72%
Short Ratio4.99
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.8% |
Yearly Dividend1.63
Dividend Growth(5Y)8.42%
DP-9%
Div Incr Years15
Div Non Decr Years15
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-15.1%
Min EPS beat(2)-16.19%
Max EPS beat(2)-14%
EPS beat(4)1
Avg EPS beat(4)3.45%
Min EPS beat(4)-16.19%
Max EPS beat(4)55.09%
EPS beat(8)4
Avg EPS beat(8)19%
EPS beat(12)4
Avg EPS beat(12)8.65%
EPS beat(16)7
Avg EPS beat(16)7.96%
Revenue beat(2)0
Avg Revenue beat(2)-2.64%
Min Revenue beat(2)-3.77%
Max Revenue beat(2)-1.52%
Revenue beat(4)0
Avg Revenue beat(4)-4.36%
Min Revenue beat(4)-6.51%
Max Revenue beat(4)-1.52%
Revenue beat(8)0
Avg Revenue beat(8)-3.5%
Revenue beat(12)0
Avg Revenue beat(12)-3.26%
Revenue beat(16)2
Avg Revenue beat(16)-2.36%
PT rev (1m)1.77%
PT rev (3m)-0.32%
EPS NQ rev (1m)-1.54%
EPS NQ rev (3m)-42.09%
EPS NY rev (1m)-8.45%
EPS NY rev (3m)-12.38%
Revenue NQ rev (1m)0.25%
Revenue NQ rev (3m)-2.2%
Revenue NY rev (1m)0.16%
Revenue NY rev (3m)-0.58%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.47 | ||
| Fwd PE | 14.9 | ||
| P/S | 1.48 | ||
| P/FCF | N/A | ||
| P/OCF | 28.81 | ||
| P/B | 1.42 | ||
| P/tB | 4.26 | ||
| EV/EBITDA | 8.92 |
EPS(TTM)3.39
EY5.72%
EPS(NY)3.98
Fwd EY6.71%
FCF(TTM)-0.09
FCFYN/A
OCF(TTM)2.06
OCFY3.47%
SpS39.9
BVpS41.64
TBVpS13.91
PEG (NY)1.01
PEG (5Y)4.48
Graham Number56.36
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -18.3% | ||
| ROE | -44.33% | ||
| ROCE | 4.78% | ||
| ROIC | 3.77% | ||
| ROICexc | 3.98% | ||
| ROICexgc | 5.84% | ||
| OM | 10.96% | ||
| PM (TTM) | N/A | ||
| GM | 33% | ||
| FCFM | N/A |
ROA(3y)-4.11%
ROA(5y)1.18%
ROE(3y)-10.91%
ROE(5y)0.81%
ROIC(3y)3.45%
ROIC(5y)3.62%
ROICexc(3y)3.67%
ROICexc(5y)3.89%
ROICexgc(3y)6.18%
ROICexgc(5y)6.83%
ROCE(3y)4.36%
ROCE(5y)4.58%
ROICexgc growth 3Y-14.59%
ROICexgc growth 5Y4.26%
ROICexc growth 3Y-8.07%
ROICexc growth 5Y10.64%
OM growth 3Y-6.9%
OM growth 5Y5.35%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.33%
GM growth 5Y1.71%
F-Score6
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.17 | ||
| Cap/Depr | 41.35% | ||
| Cap/Sales | 5.37% | ||
| Interest Coverage | 3.7 | ||
| Cash Conversion | 21.51% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.85 | ||
| Quick Ratio | 1.51 | ||
| Altman-Z | 2.04 |
F-Score6
WACC11.53%
ROIC/WACC0.33
Cap/Depr(3y)53.76%
Cap/Depr(5y)50.24%
Cap/Sales(3y)6.54%
Cap/Sales(5y)5.86%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-24.16%
EPS 3Y-16.05%
EPS 5Y3.9%
EPS Q2Q%-14.29%
EPS Next Y17.28%
EPS Next 2Y18.46%
EPS Next 3Y17.84%
EPS Next 5YN/A
Revenue 1Y (TTM)76.88%
Revenue growth 3Y-8.63%
Revenue growth 5Y-1.98%
Sales Q2Q%-8.43%
Revenue Next Year2.22%
Revenue Next 2Y2.94%
Revenue Next 3Y2.98%
Revenue Next 5YN/A
EBIT growth 1Y107.8%
EBIT growth 3Y-14.93%
EBIT growth 5Y3.26%
EBIT Next Year97.52%
EBIT Next 3Y32.52%
EBIT Next 5YN/A
FCF growth 1Y-101.46%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-77.13%
OCF growth 3YN/A
OCF growth 5Y-14.27%
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 3 / 10 to ASHLAND INC (ASH). This can be considered as Overvalued.
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 17.47 and the Price/Book (PB) ratio is 1.42.
What is the earnings growth outlook for ASHLAND INC?
The Earnings per Share (EPS) of ASHLAND INC (ASH) is expected to grow by 17.28% in the next year.