ASHLAND INC (ASH) Stock Fundamental Analysis

USA • New York Stock Exchange • NYSE:ASH • US0441861046

60.94 USD
-0.79 (-1.28%)
Last: Jan 30, 2026, 10:20 AM
Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to ASH. ASH was compared to 83 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.


Dividend Valuation Growth Profitability Health

4

1. Profitability

1.1 Basic Checks

  • In the past year ASH was profitable.
  • In the past year ASH had a positive cash flow from operations.
  • 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.
ASH Yearly Net Income VS EBIT VS OCF VS FCFASH Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M -500M

1.2 Ratios

  • Looking at the Return On Assets, with a value of -18.30%, ASH is doing worse than 85.54% of the companies in the same industry.
  • ASH has a Return On Equity of -44.33%. This is in the lower half of the industry: ASH underperforms 79.52% of its industry peers.
  • ASH has a Return On Invested Capital of 3.77%. This is comparable to the rest of the industry: ASH outperforms 55.42% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for ASH is below the industry average of 6.11%.
  • The last Return On Invested Capital (3.77%) for ASH is above the 3 year average (3.45%), which is a sign of increasing profitability.
Industry RankSector 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%
ASH Yearly ROA, ROE, ROICASH Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 -20 -40

1.3 Margins

  • The Operating Margin of ASH (10.96%) is better than 61.45% of its industry peers.
  • ASH's Operating Margin has improved in the last couple of years.
  • 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.
  • In the last couple of years the Gross Margin of ASH has grown nicely.
Industry RankSector 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%
ASH Yearly Profit, Operating, Gross MarginsASH Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 -20 -40

5

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ASH is destroying value.
  • Compared to 1 year ago, ASH has less shares outstanding
  • ASH has less shares outstanding than it did 5 years ago.
  • ASH has a worse debt/assets ratio than last year.
ASH Yearly Shares OutstandingASH Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M
ASH Yearly Total Debt VS Total AssetsASH Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B

2.2 Solvency

  • ASH has an Altman-Z score of 2.07. 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.
  • The Altman-Z score of ASH (2.07) is comparable to the rest of the industry.
  • A Debt/Equity ratio of 0.73 indicates that ASH is somewhat dependend on debt financing.
  • Looking at the Debt to Equity ratio, with a value of 0.73, ASH is in line with its industry, outperforming 46.99% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.73
Debt/FCF N/A
Altman-Z 2.07
ROIC/WACC0.32
WACC11.7%
ASH Yearly LT Debt VS Equity VS FCFASH Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1B 2B 3B

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 80.72% 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.
  • With a decent Quick ratio value of 1.51, ASH is doing good in the industry, outperforming 61.45% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 2.85
Quick Ratio 1.51
ASH Yearly Current Assets VS Current LiabilitesASH Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B 2.5B

4

3. Growth

3.1 Past

  • ASH shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -24.16%.
  • The Earnings Per Share has been growing slightly by 3.90% on average over the past years.
  • The Revenue has grown by 76.88% in the past year. This is a very strong growth!
  • ASH shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.98% yearly.
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 17.88% on average per year.
  • ASH is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.00% yearly.
EPS Next Y17.38%
EPS Next 2Y18.07%
EPS Next 3Y17.88%
EPS Next 5YN/A
Revenue Next Year2.22%
Revenue Next 2Y2.89%
Revenue Next 3Y3%
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.
ASH Yearly Revenue VS EstimatesASH Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 1B 2B 3B 4B 5B
ASH Yearly EPS VS EstimatesASH Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2 4 6

4

4. Valuation

4.1 Price/Earnings Ratio

  • ASH is valuated rather expensively with a Price/Earnings ratio of 17.98.
  • 61.45% of the companies in the same industry are more expensive than ASH, based on the Price/Earnings ratio.
  • When comparing the Price/Earnings ratio of ASH to the average of the S&P500 Index (28.39), we can say ASH is valued slightly cheaper.
  • The Price/Forward Earnings ratio is 15.32, which indicates a correct valuation of ASH.
  • 63.86% of the companies in the same industry are more expensive than ASH, based on the Price/Forward Earnings ratio.
  • ASH is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 25.72, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 17.98
Fwd PE 15.32
ASH Price Earnings VS Forward Price EarningsASH Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • ASH's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. ASH is cheaper than 67.47% of the companies in the same industry.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 9.13
ASH Per share dataASH EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 10 20 30 40

4.3 Compensation for Growth

  • ASH's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • ASH's earnings are expected to grow with 17.88% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.03
PEG (5Y)4.61
EPS Next 2Y18.07%
EPS Next 3Y17.88%

6

5. Dividend

5.1 Amount

  • ASH has a Yearly Dividend Yield of 2.63%. Purely for dividend investing, there may be better candidates out there.
  • ASH's Dividend Yield is a higher than the industry average which is at 2.23.
  • Compared to an average S&P500 Dividend Yield of 1.82, ASH pays a bit more dividend than the S&P500 average.
Industry RankSector Rank
Dividend Yield 2.63%

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 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
ASH Yearly Dividends per shareASH Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5

5.3 Sustainability

  • ASH has negative earnings and hence a negative payout ratio. The dividend may be in danger.
  • The dividend of ASH is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-9%
EPS Next 2Y18.07%
EPS Next 3Y17.88%
ASH Yearly Income VS Free CF VS DividendASH Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M -500M

ASHLAND INC / ASH FAQ

Can you provide the ChartMill fundamental rating for ASHLAND INC?

ChartMill assigns a fundamental rating of 4 / 10 to ASH.


What is the valuation status of ASHLAND INC (ASH) stock?

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.


Can you provide the PE and PB ratios for ASH stock?

The Price/Earnings (PE) ratio for ASHLAND INC (ASH) is 17.98 and the Price/Book (PB) ratio is 1.46.


Can you provide the financial health for ASH stock?

The financial health rating of ASHLAND INC (ASH) is 5 / 10.