ADVANSIX INC (ASIX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ASIX - US00773T1016 - Common Stock
16.42 USD
+0.07 (+0.43%)
16.42 USD
0 (0%)
ASIX gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 83 industry peers in the Chemicals industry. ASIX has a medium profitability rating, but doesn't score so well on its financial health evaluation. ASIX may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year ASIX was profitable.
ASIX had a positive operating cash flow in the past year.
Each year in the past 5 years ASIX has been profitable.
In the past 5 years ASIX always reported a positive cash flow from operatings.
1.2 Ratios
ASIX has a Return On Assets of 3.11%. This is in the better half of the industry: ASIX outperforms 71.08% of its industry peers.
ASIX has a better Return On Equity (6.41%) than 72.29% of its industry peers.
ASIX has a Return On Invested Capital of 3.30%. This is comparable to the rest of the industry: ASIX outperforms 50.60% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ASIX is above the industry average of 5.95%.
The last Return On Invested Capital (3.30%) for ASIX is well below the 3 year average (9.21%), which needs to be investigated, but indicates that ASIX had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.11% | ||
| ROE | 6.41% | ||
| ROIC | 3.3% |
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 (3.52%) than 68.67% of its industry peers.
ASIX's Profit Margin has declined in the last couple of years.
The Operating Margin of ASIX (3.41%) is worse than 63.86% of its industry peers.
ASIX's Operating Margin has declined in the last couple of years.
ASIX's Gross Margin of 9.98% is on the low side compared to the rest of the industry. ASIX is outperformed by 79.52% of its industry peers.
In the last couple of years the Gross Margin of ASIX has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.41% | ||
| PM (TTM) | 3.52% | ||
| GM | 9.98% |
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.
The number of shares outstanding for ASIX has been reduced compared to 5 years ago.
Compared to 1 year ago, ASIX has a worse debt to assets ratio.
2.2 Solvency
ASIX has an Altman-Z score of 1.93. This is not the best score and indicates that ASIX is in the grey zone with still only limited risk for bankruptcy at the moment.
ASIX has a Altman-Z score (1.93) which is in line with its industry peers.
ASIX has a debt to FCF ratio of 2314.81. This is a negative value and a sign of low solvency as ASIX would need 2314.81 years to pay back of all of its debts.
ASIX has a Debt to FCF ratio of 2314.81. This is comparable to the rest of the industry: ASIX outperforms 42.17% of its industry peers.
A Debt/Equity ratio of 0.31 indicates that ASIX is not too dependend on debt financing.
ASIX has a better Debt to Equity ratio (0.31) than 79.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 2314.81 | ||
| Altman-Z | 1.93 |
ROIC/WACC0.38
WACC8.74%
2.3 Liquidity
ASIX has a Current Ratio of 1.36. This is a normal value and indicates that ASIX is financially healthy and should not expect problems in meeting its short term obligations.
ASIX has a worse Current ratio (1.36) than 79.52% of its industry peers.
ASIX has a Quick Ratio of 1.36. This is a bad value and indicates that ASIX is not financially healthy enough and could expect problems in meeting its short term obligations.
ASIX's Quick ratio of 0.74 is on the low side compared to the rest of the industry. ASIX is outperformed by 81.93% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.36 | ||
| Quick Ratio | 0.74 |
3. Growth
3.1 Past
ASIX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 32.20%, which is quite impressive.
Measured over the past 5 years, ASIX shows a small growth in Earnings Per Share. The EPS has been growing by 6.81% on average per year.
Looking at the last year, ASIX shows a decrease in Revenue. The Revenue has decreased by -5.05% in the last year.
The Revenue has been growing slightly by 3.18% on average over the past years.
EPS 1Y (TTM)32.2%
EPS 3Y-25.91%
EPS 5Y6.81%
EPS Q2Q%-90.91%
Revenue 1Y (TTM)-5.05%
Revenue growth 3Y-3.42%
Revenue growth 5Y3.18%
Sales Q2Q%-5.96%
3.2 Future
ASIX is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 41.55% yearly.
The Revenue is expected to grow by 2.01% on average over the next years.
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 7.02, the valuation of ASIX can be described as very cheap.
ASIX's Price/Earnings ratio is rather cheap when compared to the industry. ASIX is cheaper than 92.77% of the companies in the same industry.
ASIX is valuated cheaply when we compare the Price/Earnings ratio to 26.26, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 4.18, which indicates a rather cheap valuation of ASIX.
Based on the Price/Forward Earnings ratio, ASIX is valued cheaply inside the industry as 98.80% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 23.68. ASIX is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.02 | ||
| Fwd PE | 4.18 |
4.2 Price Multiples
ASIX's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. ASIX is cheaper than 93.98% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as ASIX.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4083.71 | ||
| EV/EBITDA | 5.18 |
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.
ASIX's earnings are expected to grow with 41.55% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.13
PEG (5Y)1.03
EPS Next 2Y41.55%
EPS Next 3YN/A
5. Dividend
5.1 Amount
ASIX has a Yearly Dividend Yield of 3.83%.
Compared to an average industry Dividend Yield of 2.66, ASIX pays a better dividend. On top of this ASIX pays more dividend than 81.93% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 1.87, ASIX pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.83% |
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 32.72% of its income as dividend. This is a sustainable payout ratio.
DP32.72%
EPS Next 2Y41.55%
EPS Next 3YN/A
16.42
+0.07 (+0.43%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners93.75%
Inst Owner Change-0.48%
Ins Owners3.21%
Ins Owner Change2.06%
Market Cap441.04M
Revenue(TTM)1.49B
Net Income(TTM)52.43M
Analysts82.86
Price Target21.42 (30.45%)
Short Float %5.27%
Short Ratio3.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.83% |
Yearly Dividend0.64
Dividend Growth(5Y)N/A
DP32.72%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-40.58%
Min EPS beat(2)-80.39%
Max EPS beat(2)-0.76%
EPS beat(4)2
Avg EPS beat(4)13.22%
Min EPS beat(4)-80.39%
Max EPS beat(4)123.53%
EPS beat(8)5
Avg EPS beat(8)17.71%
EPS beat(12)7
Avg EPS beat(12)-44.28%
EPS beat(16)9
Avg EPS beat(16)-31.2%
Revenue beat(2)1
Avg Revenue beat(2)-3.33%
Min Revenue beat(2)-7.25%
Max Revenue beat(2)0.58%
Revenue beat(4)2
Avg Revenue beat(4)-3.44%
Min Revenue beat(4)-13.74%
Max Revenue beat(4)6.66%
Revenue beat(8)5
Avg Revenue beat(8)0.5%
Revenue beat(12)6
Avg Revenue beat(12)-2.55%
Revenue beat(16)9
Avg Revenue beat(16)-1.71%
PT rev (1m)-25%
PT rev (3m)-39.13%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-40.69%
EPS NY rev (1m)0%
EPS NY rev (3m)-15.25%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.02 | ||
| Fwd PE | 4.18 | ||
| P/S | 0.3 | ||
| P/FCF | 4083.71 | ||
| P/OCF | 3.58 | ||
| P/B | 0.54 | ||
| P/tB | 0.61 | ||
| EV/EBITDA | 5.18 |
EPS(TTM)2.34
EY14.25%
EPS(NY)3.93
Fwd EY23.92%
FCF(TTM)0
FCFY0.02%
OCF(TTM)4.59
OCFY27.96%
SpS55.52
BVpS30.46
TBVpS26.85
PEG (NY)0.13
PEG (5Y)1.03
Graham Number40.05
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.11% | ||
| ROE | 6.41% | ||
| ROCE | 3.76% | ||
| ROIC | 3.3% | ||
| ROICexc | 3.36% | ||
| ROICexgc | 3.63% | ||
| OM | 3.41% | ||
| PM (TTM) | 3.52% | ||
| GM | 9.98% | ||
| FCFM | 0.01% |
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-Score6
Asset Turnover0.88
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 2314.81 | ||
| Debt/EBITDA | 1.94 | ||
| Cap/Depr | 158.06% | ||
| Cap/Sales | 8.26% | ||
| Interest Coverage | 6.89 | ||
| Cash Conversion | 95.71% | ||
| Profit Quality | 0.21% | ||
| Current Ratio | 1.36 | ||
| Quick Ratio | 0.74 | ||
| Altman-Z | 1.93 |
F-Score6
WACC8.74%
ROIC/WACC0.38
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)-5.05%
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 1Y-19.3%
EBIT growth 3Y-32.45%
EBIT growth 5Y-3.69%
EBIT Next Year199.51%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-99.64%
FCF growth 3Y-78.15%
FCF growth 5YN/A
OCF growth 1Y-2.91%
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 8 / 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 32.72%.