ASHLAND INC (ASH) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ASH - US0441861046 - Common Stock
59.7 USD
+0.31 (+0.52%)
59.7 USD
0 (0%)
Overall ASH gets a fundamental rating of 4 out of 10. We evaluated ASH against 84 industry peers in the Chemicals industry. ASH has an average financial health and profitability rating. ASH has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year ASH was profitable.
ASH had a positive operating cash flow in the past year.
ASH had positive earnings in 4 of the past 5 years.
ASH had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With a Return On Assets value of -18.30%, ASH is not doing good in the industry: 83.33% of the companies in the same industry are doing better.
The Return On Equity of ASH (-44.33%) is worse than 77.38% of its industry peers.
ASH has a Return On Invested Capital (3.77%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for ASH 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
ASH has a Operating Margin of 10.96%. This is in the better half of the industry: ASH outperforms 61.90% of its industry peers.
ASH's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 33.00%, ASH is in the better half of the industry, outperforming 65.48% of the companies in the same industry.
In the last couple of years the Gross Margin of ASH has grown nicely.
| 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
ASH 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, ASH has less shares outstanding
Compared to 5 years ago, ASH has less shares outstanding
ASH has a worse debt/assets ratio than last year.
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's Altman-Z score of 2.04 is in line compared to the rest of the industry. ASH outperforms 59.52% of its industry peers.
A Debt/Equity ratio of 0.73 indicates that ASH is somewhat dependend on debt financing.
ASH has a Debt to Equity ratio (0.73) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.04 |
ROIC/WACC0.33
WACC11.54%
2.3 Liquidity
A Current Ratio of 2.85 indicates that ASH has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.85, ASH belongs to the top of the industry, outperforming 82.14% of the companies in the same industry.
A Quick Ratio of 1.51 indicates that ASH should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.51, ASH is in the better half of the industry, outperforming 60.71% of the companies in the same industry.
| 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.
ASH shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.90% yearly.
ASH shows a strong growth in Revenue. In the last year, 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.
Based on estimates for the next years, ASH will show a small growth in Revenue. The Revenue will grow by 2.98% on average per year.
EPS Next Y18.24%
EPS Next 2Y19.27%
EPS Next 3Y17.84%
EPS Next 5YN/A
Revenue Next Year2.17%
Revenue Next 2Y2.97%
Revenue Next 3Y2.98%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 17.61, ASH is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of ASH is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 26.57. ASH is valued slightly cheaper when compared to this.
ASH is valuated correctly with a Price/Forward Earnings ratio of 14.89.
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 (24.04), we can say ASH is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.61 | ||
| Fwd PE | 14.89 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ASH is valued a bit cheaper than 64.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.89 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ASH's earnings are expected to grow with 17.84% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.97
PEG (5Y)4.52
EPS Next 2Y19.27%
EPS Next 3Y17.84%
5. Dividend
5.1 Amount
ASH has a Yearly Dividend Yield of 2.80%.
Compared to an average industry Dividend Yield of 2.46, ASH pays a bit more dividend than its industry peers.
ASH's Dividend Yield is a higher than the S&P500 average which is at 1.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.8% |
5.2 History
On average, the dividend of ASH grows each year by 8.42%, which is quite nice.
ASH has paid a dividend for at least 10 years, which is a reliable track record.
ASH has not decreased their dividend for at least 10 years, which is a reliable track record.
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 2Y19.27%
EPS Next 3Y17.84%
59.7
+0.31 (+0.52%)
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 Cap2.73B
Revenue(TTM)1.82B
Net Income(TTM)-844.00M
Analysts77.65
Price TargetN/A
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)-1.93%
PT rev (3m)-3.48%
EPS NQ rev (1m)0.41%
EPS NQ rev (3m)-40.63%
EPS NY rev (1m)-7.7%
EPS NY rev (3m)-11.28%
Revenue NQ rev (1m)0.34%
Revenue NQ rev (3m)-2.11%
Revenue NY rev (1m)0.11%
Revenue NY rev (3m)-0.63%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.61 | ||
| Fwd PE | 14.89 | ||
| P/S | 1.5 | ||
| P/FCF | N/A | ||
| P/OCF | 29.04 | ||
| P/B | 1.43 | ||
| P/tB | 4.29 | ||
| EV/EBITDA | 8.89 |
EPS(TTM)3.39
EY5.68%
EPS(NY)4.01
Fwd EY6.71%
FCF(TTM)-0.09
FCFYN/A
OCF(TTM)2.06
OCFY3.44%
SpS39.9
BVpS41.64
TBVpS13.91
PEG (NY)0.97
PEG (5Y)4.52
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
WACC11.54%
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 Y18.24%
EPS Next 2Y19.27%
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 Year2.17%
Revenue Next 2Y2.97%
Revenue Next 3Y2.98%
Revenue Next 5YN/A
EBIT growth 1Y107.8%
EBIT growth 3Y-14.93%
EBIT growth 5Y3.26%
EBIT Next Year97.84%
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 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 17.61 and the Price/Book (PB) ratio is 1.43.
What is the earnings growth outlook for ASHLAND INC?
The Earnings per Share (EPS) of ASHLAND INC (ASH) is expected to grow by 18.24% in the next year.