BALCHEM CORP (BCPC)
US0576652004 - Common Stock
Overall BCPC gets a fundamental rating of 6 out of 10. We evaluated BCPC against 83 industry peers in the Chemicals industry. BCPC scores excellent points on both the profitability and health parts. This is a solid base for a good stock. While showing a medium growth rate, BCPC is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year BCPC was profitable.
In the past year BCPC had a positive cash flow from operations.
In the past 5 years BCPC has always been profitable.
BCPC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 7.61%, BCPC belongs to the top of the industry, outperforming 85.54% of the companies in the same industry.
BCPC has a Return On Equity of 10.32%. This is in the better half of the industry: BCPC outperforms 69.88% of its industry peers.
With an excellent Return On Invested Capital value of 9.15%, BCPC belongs to the best of the industry, outperforming 84.34% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for BCPC is in line with the industry average of 7.24%.
The last Return On Invested Capital (9.15%) for BCPC is above the 3 year average (8.66%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.61% | ||
| ROE | 10.32% | ||
| ROIC | 9.15% |
ROA(3y)7.1%
ROA(5y)7.09%
ROE(3y)10.83%
ROE(5y)10.68%
ROIC(3y)8.66%
ROIC(5y)8.42%
1.3 Margins
Looking at the Profit Margin, with a value of 12.90%, BCPC belongs to the top of the industry, outperforming 90.36% of the companies in the same industry.
BCPC's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 18.30%, BCPC belongs to the top of the industry, outperforming 87.95% of the companies in the same industry.
In the last couple of years the Operating Margin of BCPC has remained more or less at the same level.
The Gross Margin of BCPC (34.47%) is better than 68.67% of its industry peers.
In the last couple of years the Gross Margin of BCPC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.3% | ||
| PM (TTM) | 12.9% | ||
| GM | 34.47% |
OM growth 3Y1.9%
OM growth 5Y0.1%
PM growth 3Y-0.72%
PM growth 5Y-0.74%
GM growth 3Y0.96%
GM growth 5Y0.63%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so BCPC is still creating some value.
The number of shares outstanding for BCPC remains at a similar level compared to 1 year ago.
The number of shares outstanding for BCPC remains at a similar level compared to 5 years ago.
The debt/assets ratio for BCPC has been reduced compared to a year ago.
2.2 Solvency
BCPC has an Altman-Z score of 9.67. This indicates that BCPC is financially healthy and has little risk of bankruptcy at the moment.
BCPC has a Altman-Z score of 9.67. This is amongst the best in the industry. BCPC outperforms 100.00% of its industry peers.
The Debt to FCF ratio of BCPC is 1.41, which is an excellent value as it means it would take BCPC, only 1.41 years of fcf income to pay off all of its debts.
BCPC's Debt to FCF ratio of 1.41 is amongst the best of the industry. BCPC outperforms 92.77% of its industry peers.
BCPC has a Debt/Equity ratio of 0.19. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.19, BCPC belongs to the top of the industry, outperforming 80.72% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 1.41 | ||
| Altman-Z | 9.67 |
ROIC/WACC1.02
WACC8.96%
2.3 Liquidity
A Current Ratio of 2.98 indicates that BCPC has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.98, BCPC belongs to the top of the industry, outperforming 83.13% of the companies in the same industry.
A Quick Ratio of 1.90 indicates that BCPC should not have too much problems paying its short term obligations.
BCPC's Quick ratio of 1.90 is fine compared to the rest of the industry. BCPC outperforms 74.70% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.98 | ||
| Quick Ratio | 1.9 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.53% over the past year.
The Earnings Per Share has been growing slightly by 5.73% on average over the past years.
BCPC shows a small growth in Revenue. In the last year, the Revenue has grown by 1.75%.
Measured over the past years, BCPC shows a small growth in Revenue. The Revenue has been growing by 7.46% on average per year.
EPS 1Y (TTM)5.53%
EPS 3Y6.32%
EPS 5Y5.73%
EPS Q2Q%8.65%
Revenue 1Y (TTM)1.75%
Revenue growth 3Y9.45%
Revenue growth 5Y7.46%
Sales Q2Q%4.35%
3.2 Future
BCPC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.60% yearly.
Based on estimates for the next years, BCPC will show a small growth in Revenue. The Revenue will grow by 4.35% on average per year.
EPS Next Y11.33%
EPS Next 2Y11.75%
EPS Next 3Y9.6%
EPS Next 5YN/A
Revenue Next Year2.72%
Revenue Next 2Y4.64%
Revenue Next 3Y4.35%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
BCPC is valuated quite expensively with a Price/Earnings ratio of 39.40.
68.67% of the companies in the same industry are cheaper than BCPC, based on the Price/Earnings ratio.
BCPC's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 27.73.
Based on the Price/Forward Earnings ratio of 33.21, the valuation of BCPC can be described as expensive.
Based on the Price/Forward Earnings ratio, BCPC is valued a bit more expensive than 73.49% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of BCPC to the average of the S&P500 Index (22.83), we can say BCPC is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.4 | ||
| Fwd PE | 33.21 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BCPC is valued a bit more expensive than 79.52% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of BCPC is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.11 | ||
| EV/EBITDA | 24.76 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
BCPC has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)3.48
PEG (5Y)6.88
EPS Next 2Y11.75%
EPS Next 3Y9.6%
5. Dividend
5.1 Amount
BCPC has a yearly dividend return of 0.52%, which is pretty low.
Compared to an average industry Dividend Yield of 3.28, BCPC is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.34, BCPC's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.52% |
5.2 History
On average, the dividend of BCPC grows each year by 11.23%, which is quite nice.
BCPC has been paying a dividend for at least 10 years, so it has a reliable track record.
BCPC has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)11.23%
Div Incr Years14
Div Non Decr Years25
5.3 Sustainability
BCPC pays out 21.02% of its income as dividend. This is a sustainable payout ratio.
BCPC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP21.02%
EPS Next 2Y11.75%
EPS Next 3Y9.6%
BALCHEM CORP
NASDAQ:BCPC (12/20/2024, 8:00:01 PM)
After market: 165.49 0 (0%)165.49
-1.02 (-0.61%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners90.66%
Inst Owner Change2.21%
Ins Owners0.36%
Ins Owner Change-0.11%
Market Cap5.38B
Analysts82.5
Price Target194.14 (17.31%)
Short Float %1.35%
Short Ratio3.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.52% |
Dividend Growth(5Y)11.23%
DP21.02%
Div Incr Years14
Div Non Decr Years25
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.53%
Min EPS beat(2)-0.19%
Max EPS beat(2)3.25%
EPS beat(4)3
Avg EPS beat(4)1.56%
Min EPS beat(4)-0.19%
Max EPS beat(4)3.25%
EPS beat(8)7
Avg EPS beat(8)9.66%
EPS beat(12)10
Avg EPS beat(12)10.96%
EPS beat(16)14
Avg EPS beat(16)8.96%
Revenue beat(2)0
Avg Revenue beat(2)-3.51%
Min Revenue beat(2)-4.25%
Max Revenue beat(2)-2.77%
Revenue beat(4)1
Avg Revenue beat(4)-2.6%
Min Revenue beat(4)-4.45%
Max Revenue beat(4)1.08%
Revenue beat(8)1
Avg Revenue beat(8)-3.75%
Revenue beat(12)4
Avg Revenue beat(12)-1.14%
Revenue beat(16)7
Avg Revenue beat(16)-0.4%
PT rev (1m)0.88%
PT rev (3m)0.88%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.34%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.57%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.21%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.4 | ||
| Fwd PE | 33.21 | ||
| P/S | 5.71 | ||
| P/FCF | 33.11 | ||
| P/OCF | 27.3 | ||
| P/B | 4.57 | ||
| P/tB | 24.61 | ||
| EV/EBITDA | 24.76 |
EPS(TTM)4.2
EY2.54%
EPS(NY)4.98
Fwd EY3.01%
FCF(TTM)5
FCFY3.02%
OCF(TTM)6.06
OCFY3.66%
SpS28.99
BVpS36.21
TBVpS6.72
PEG (NY)3.48
PEG (5Y)6.88
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.61% | ||
| ROE | 10.32% | ||
| ROCE | 11.59% | ||
| ROIC | 9.15% | ||
| ROICexc | 9.62% | ||
| ROICexgc | 29.89% | ||
| OM | 18.3% | ||
| PM (TTM) | 12.9% | ||
| GM | 34.47% | ||
| FCFM | 17.25% |
ROA(3y)7.1%
ROA(5y)7.09%
ROE(3y)10.83%
ROE(5y)10.68%
ROIC(3y)8.66%
ROIC(5y)8.42%
ROICexc(3y)9.26%
ROICexc(5y)9.02%
ROICexgc(3y)29%
ROICexgc(5y)27.74%
ROCE(3y)10.97%
ROCE(5y)10.67%
ROICexcg growth 3Y3.97%
ROICexcg growth 5Y0.01%
ROICexc growth 3Y-0.38%
ROICexc growth 5Y-2.54%
OM growth 3Y1.9%
OM growth 5Y0.1%
PM growth 3Y-0.72%
PM growth 5Y-0.74%
GM growth 3Y0.96%
GM growth 5Y0.63%
F-Score7
Asset Turnover0.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 1.41 | ||
| Debt/EBITDA | 1.02 | ||
| Cap/Depr | 67.55% | ||
| Cap/Sales | 3.66% | ||
| Interest Coverage | 8.48 | ||
| Cash Conversion | 88.15% | ||
| Profit Quality | 133.71% | ||
| Current Ratio | 2.98 | ||
| Quick Ratio | 1.9 | ||
| Altman-Z | 9.67 |
F-Score7
WACC8.96%
ROIC/WACC1.02
Cap/Depr(3y)80.85%
Cap/Depr(5y)74.06%
Cap/Sales(3y)4.71%
Cap/Sales(5y)4.67%
Profit Quality(3y)115.39%
Profit Quality(5y)120.94%
High Growth Momentum
Growth
EPS 1Y (TTM)5.53%
EPS 3Y6.32%
EPS 5Y5.73%
EPS Q2Q%8.65%
EPS Next Y11.33%
EPS Next 2Y11.75%
EPS Next 3Y9.6%
EPS Next 5YN/A
Revenue 1Y (TTM)1.75%
Revenue growth 3Y9.45%
Revenue growth 5Y7.46%
Sales Q2Q%4.35%
Revenue Next Year2.72%
Revenue Next 2Y4.64%
Revenue Next 3Y4.35%
Revenue Next 5YN/A
EBIT growth 1Y13.21%
EBIT growth 3Y11.52%
EBIT growth 5Y7.57%
EBIT Next Year51.71%
EBIT Next 3Y16.03%
EBIT Next 5YN/A
FCF growth 1Y79.38%
FCF growth 3Y7.72%
FCF growth 5Y8.06%
OCF growth 1Y39.35%
OCF growth 3Y6.88%
OCF growth 5Y9.13%