ADVANSIX INC (ASIX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ASIX - US00773T1016 - Common Stock
14.72 USD
+0.34 (+2.36%)
14.72 USD
0 (0%)
ASIX gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 82 industry peers in the Chemicals industry. Both the profitability and the financial health of ASIX get a neutral evaluation. Nothing too spectacular is happening here. ASIX scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
ASIX had positive earnings in the past year.
ASIX had a positive operating cash flow in the past year.
In the past 5 years ASIX has always been profitable.
In the past 5 years ASIX always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of ASIX (4.70%) is better than 78.05% of its industry peers.
ASIX's Return On Equity of 9.39% is fine compared to the rest of the industry. ASIX outperforms 78.05% of its industry peers.
ASIX has a Return On Invested Capital of 5.70%. This is in the better half of the industry: ASIX outperforms 63.41% of its industry peers.
ASIX had an Average Return On Invested Capital over the past 3 years of 9.21%. This is above the industry average of 6.13%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.7% | ||
| ROE | 9.39% | ||
| ROIC | 5.7% |
ROA(3y)5.97%
ROA(5y)6.44%
ROE(3y)12.12%
ROE(5y)14%
ROIC(3y)9.21%
ROIC(5y)10.01%
1.3 Margins
ASIX has a better Profit Margin (5.10%) than 69.51% of its industry peers.
ASIX's Profit Margin has declined in the last couple of years.
ASIX has a Operating Margin of 5.67%. This is comparable to the rest of the industry: ASIX outperforms 40.24% of its industry peers.
ASIX's Operating Margin has declined in the last couple of years.
ASIX has a worse Gross Margin (11.93%) than 80.49% of its industry peers.
In the last couple of years the Gross Margin of ASIX has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.67% | ||
| PM (TTM) | 5.1% | ||
| GM | 11.93% |
OM growth 3Y-30.05%
OM growth 5Y-6.66%
PM growth 3Y-29.49%
PM growth 5Y-1.78%
GM growth 3Y-14.76%
GM growth 5Y-2.25%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ASIX is creating some value.
The number of shares outstanding for ASIX remains at a similar level compared to 1 year ago.
Compared to 5 years ago, ASIX has less shares outstanding
ASIX has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.03 indicates that ASIX is not a great score, but indicates only limited risk for bankruptcy at the moment.
ASIX has a Altman-Z score of 2.03. This is comparable to the rest of the industry: ASIX outperforms 59.76% of its industry peers.
ASIX has a debt to FCF ratio of 8.95. This is a slightly negative value and a sign of low solvency as ASIX would need 8.95 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 8.95, ASIX is doing good in the industry, outperforming 69.51% of the companies in the same industry.
A Debt/Equity ratio of 0.29 indicates that ASIX is not too dependend on debt financing.
ASIX's Debt to Equity ratio of 0.29 is fine compared to the rest of the industry. ASIX outperforms 79.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 8.95 | ||
| Altman-Z | 2.03 |
ROIC/WACC0.66
WACC8.61%
2.3 Liquidity
A Current Ratio of 1.35 indicates that ASIX should not have too much problems paying its short term obligations.
ASIX has a worse Current ratio (1.35) than 82.93% of its industry peers.
A Quick Ratio of 0.66 indicates that ASIX may have some problems paying its short term obligations.
The Quick ratio of ASIX (0.66) is worse than 87.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.35 | ||
| Quick Ratio | 0.66 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 32.20% over the past year.
The Earnings Per Share has been growing slightly by 6.81% on average over the past years.
The Revenue has decreased by -1.05% in the past year.
ASIX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.18% yearly.
EPS 1Y (TTM)32.2%
EPS 3Y-25.91%
EPS 5Y6.81%
EPS Q2Q%-90.91%
Revenue 1Y (TTM)-1.05%
Revenue growth 3Y-3.42%
Revenue growth 5Y3.18%
Sales Q2Q%-5.96%
3.2 Future
The Earnings Per Share is expected to grow by 41.55% on average over the next years. This is a very strong growth
Based on estimates for the next years, ASIX will show a small growth in Revenue. The Revenue will grow by 2.01% on average per year.
EPS Next Y56.12%
EPS Next 2Y41.55%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-0.5%
Revenue Next 2Y2.01%
Revenue Next 3YN/A
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 6.29, the valuation of ASIX can be described as very cheap.
93.90% of the companies in the same industry are more expensive than ASIX, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 25.45, ASIX is valued rather cheaply.
A Price/Forward Earnings ratio of 3.75 indicates a rather cheap valuation of ASIX.
Based on the Price/Forward Earnings ratio, ASIX is valued cheaper than 97.56% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of ASIX to the average of the S&P500 Index (34.46), we can say ASIX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.29 | ||
| Fwd PE | 3.75 |
4.2 Price Multiples
95.12% of the companies in the same industry are more expensive than ASIX, based on the Enterprise Value to EBITDA ratio.
74.39% of the companies in the same industry are more expensive than ASIX, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.74 | ||
| EV/EBITDA | 3.74 |
4.3 Compensation for Growth
ASIX's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as ASIX's earnings are expected to grow with 41.55% in the coming years.
PEG (NY)0.11
PEG (5Y)0.92
EPS Next 2Y41.55%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.45%, ASIX is a good candidate for dividend investing.
In the last 3 months the price of ASIX has falen by -29.57%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 4.00, ASIX pays a better dividend. On top of this ASIX pays more dividend than 80.49% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.45, ASIX pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.45% |
5.2 History
ASIX has been paying a dividend for over 5 years, so it has already some track record.
ASIX has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
ASIX pays out 22.15% of its income as dividend. This is a sustainable payout ratio.
DP22.15%
EPS Next 2Y41.55%
EPS Next 3YN/A
14.72
+0.34 (+2.36%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners93.86%
Inst Owner Change-0.06%
Ins Owners3.21%
Ins Owner Change2.27%
Market Cap395.08M
Revenue(TTM)1.52B
Net Income(TTM)77.33M
Analysts82.86
Price Target21.42 (45.52%)
Short Float %3.81%
Short Ratio3.31
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.45% |
Yearly Dividend0.64
Dividend Growth(5Y)N/A
DP22.15%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.88%
Min EPS beat(2)-0.76%
Max EPS beat(2)10.52%
EPS beat(4)3
Avg EPS beat(4)41.25%
Min EPS beat(4)-0.76%
Max EPS beat(4)123.53%
EPS beat(8)5
Avg EPS beat(8)-56.65%
EPS beat(12)8
Avg EPS beat(12)-35.94%
EPS beat(16)10
Avg EPS beat(16)-25.17%
Revenue beat(2)1
Avg Revenue beat(2)-0.29%
Min Revenue beat(2)-7.25%
Max Revenue beat(2)6.66%
Revenue beat(4)2
Avg Revenue beat(4)-2.04%
Min Revenue beat(4)-13.74%
Max Revenue beat(4)6.66%
Revenue beat(8)4
Avg Revenue beat(8)-1.32%
Revenue beat(12)6
Avg Revenue beat(12)-2.49%
Revenue beat(16)9
Avg Revenue beat(16)-1.29%
PT rev (1m)-18.84%
PT rev (3m)-18.84%
EPS NQ rev (1m)-48.05%
EPS NQ rev (3m)-48.05%
EPS NY rev (1m)-15.25%
EPS NY rev (3m)-15.25%
Revenue NQ rev (1m)-9.84%
Revenue NQ rev (3m)-9.84%
Revenue NY rev (1m)-2.52%
Revenue NY rev (3m)-2.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.29 | ||
| Fwd PE | 3.75 | ||
| P/S | 0.26 | ||
| P/FCF | 14.74 | ||
| P/OCF | 2.57 | ||
| P/B | 0.48 | ||
| P/tB | 0.54 | ||
| EV/EBITDA | 3.74 |
EPS(TTM)2.34
EY15.9%
EPS(NY)3.93
Fwd EY26.68%
FCF(TTM)1
FCFY6.78%
OCF(TTM)5.74
OCFY38.97%
SpS56.45
BVpS30.69
TBVpS27.05
PEG (NY)0.11
PEG (5Y)0.92
Graham Number40.2
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.7% | ||
| ROE | 9.39% | ||
| ROCE | 6.49% | ||
| ROIC | 5.7% | ||
| ROICexc | 5.78% | ||
| ROICexgc | 6.25% | ||
| OM | 5.67% | ||
| PM (TTM) | 5.1% | ||
| GM | 11.93% | ||
| FCFM | 1.77% |
ROA(3y)5.97%
ROA(5y)6.44%
ROE(3y)12.12%
ROE(5y)14%
ROIC(3y)9.21%
ROIC(5y)10.01%
ROICexc(3y)9.46%
ROICexc(5y)10.22%
ROICexgc(3y)10.45%
ROICexgc(5y)10.9%
ROCE(3y)10.48%
ROCE(5y)11.39%
ROICexgc growth 3Y-35.6%
ROICexgc growth 5Y-7.34%
ROICexc growth 3Y-37.02%
ROICexc growth 5Y-8.61%
OM growth 3Y-30.05%
OM growth 5Y-6.66%
PM growth 3Y-29.49%
PM growth 5Y-1.78%
GM growth 3Y-14.76%
GM growth 5Y-2.25%
F-Score7
Asset Turnover0.92
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 8.95 | ||
| Debt/EBITDA | 1.48 | ||
| Cap/Depr | 166.12% | ||
| Cap/Sales | 8.39% | ||
| Interest Coverage | 12.09 | ||
| Cash Conversion | 94.74% | ||
| Profit Quality | 34.66% | ||
| Current Ratio | 1.35 | ||
| Quick Ratio | 0.66 | ||
| Altman-Z | 2.03 |
F-Score7
WACC8.61%
ROIC/WACC0.66
Cap/Depr(3y)150.48%
Cap/Depr(5y)134.95%
Cap/Sales(3y)6.8%
Cap/Sales(5y)6.19%
Profit Quality(3y)43.2%
Profit Quality(5y)61.64%
High Growth Momentum
Growth
EPS 1Y (TTM)32.2%
EPS 3Y-25.91%
EPS 5Y6.81%
EPS Q2Q%-90.91%
EPS Next Y56.12%
EPS Next 2Y41.55%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-1.05%
Revenue growth 3Y-3.42%
Revenue growth 5Y3.18%
Sales Q2Q%-5.96%
Revenue Next Year-0.5%
Revenue Next 2Y2.01%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y420.28%
EBIT growth 3Y-32.45%
EBIT growth 5Y-3.69%
EBIT Next Year232.08%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-62.04%
FCF growth 3Y-78.15%
FCF growth 5YN/A
OCF growth 1Y-6.74%
OCF growth 3Y-14.78%
OCF growth 5Y2.38%
ADVANSIX INC / ASIX FAQ
What is the fundamental rating for ASIX stock?
ChartMill assigns a fundamental rating of 5 / 10 to ASIX.
What is the valuation status of ADVANSIX INC (ASIX) stock?
ChartMill assigns a valuation rating of 9 / 10 to ADVANSIX INC (ASIX). This can be considered as Undervalued.
Can you provide the profitability details for ADVANSIX INC?
ADVANSIX INC (ASIX) has a profitability rating of 5 / 10.
What is the expected EPS growth for ADVANSIX INC (ASIX) stock?
The Earnings per Share (EPS) of ADVANSIX INC (ASIX) is expected to grow by 56.12% in the next year.
Can you provide the dividend sustainability for ASIX stock?
The dividend rating of ADVANSIX INC (ASIX) is 5 / 10 and the dividend payout ratio is 22.15%.