BALCHEM CORP (BCPC) Stock Fundamental Analysis
USA - NASDAQ:BCPC - US0576652004 - Common Stock
153.39 USD
-0.58 (-0.38%)
153.39 USD
0 (0%)
Taking everything into account, BCPC scores 7 out of 10 in our fundamental rating. BCPC was compared to 82 industry peers in the Chemicals industry. BCPC has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. BCPC is valied quite expensively at the moment, while it does show a decent growth rate. These ratings would make BCPC suitable for quality investing!
1. Profitability
1.1 Basic Checks
BCPC had positive earnings in the past year.
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 8.98%, BCPC belongs to the top of the industry, outperforming 93.90% of the companies in the same industry.
Looking at the Return On Equity, with a value of 11.50%, BCPC belongs to the top of the industry, outperforming 80.49% of the companies in the same industry.
With an excellent Return On Invested Capital value of 10.44%, BCPC belongs to the best of the industry, outperforming 87.80% of the companies in the same industry.
BCPC had an Average Return On Invested Capital over the past 3 years of 8.80%. This is above the industry average of 6.30%.
The 3 year average ROIC (8.80%) for BCPC is below the current ROIC(10.44%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.98% | ||
| ROE | 11.5% | ||
| ROIC | 10.44% |
ROA(3y)7.15%
ROA(5y)7.34%
ROE(3y)10.9%
ROE(5y)10.78%
ROIC(3y)8.8%
ROIC(5y)8.82%
1.3 Margins
BCPC has a Profit Margin of 14.72%. This is amongst the best in the industry. BCPC outperforms 95.12% of its industry peers.
In the last couple of years the Profit Margin of BCPC has grown nicely.
The Operating Margin of BCPC (20.23%) is better than 86.59% of its industry peers.
BCPC's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 35.82%, BCPC is in the better half of the industry, outperforming 70.73% of the companies in the same industry.
BCPC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.23% | ||
| PM (TTM) | 14.72% | ||
| GM | 35.82% |
OM growth 3Y6.43%
OM growth 5Y3.44%
PM growth 3Y3.85%
PM growth 5Y1.7%
GM growth 3Y5.02%
GM growth 5Y1.43%
2. Health
2.1 Basic Checks
BCPC has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for BCPC has been increased compared to 1 year ago.
BCPC has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, BCPC has an improved debt to assets ratio.
2.2 Solvency
BCPC has an Altman-Z score of 10.37. This indicates that BCPC is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of BCPC (10.37) is better than 100.00% of its industry peers.
The Debt to FCF ratio of BCPC is 0.96, which is an excellent value as it means it would take BCPC, only 0.96 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.96, BCPC belongs to the top of the industry, outperforming 96.34% of the companies in the same industry.
A Debt/Equity ratio of 0.12 indicates that BCPC is not too dependend on debt financing.
BCPC has a Debt to Equity ratio of 0.12. This is amongst the best in the industry. BCPC outperforms 90.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.96 | ||
| Altman-Z | 10.37 |
ROIC/WACC1.22
WACC8.59%
2.3 Liquidity
BCPC has a Current Ratio of 2.72. This indicates that BCPC is financially healthy and has no problem in meeting its short term obligations.
BCPC's Current ratio of 2.72 is fine compared to the rest of the industry. BCPC outperforms 75.61% of its industry peers.
BCPC has a Quick Ratio of 1.67. This is a normal value and indicates that BCPC is financially healthy and should not expect problems in meeting its short term obligations.
BCPC has a better Quick ratio (1.67) than 68.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.72 | ||
| Quick Ratio | 1.67 |
3. Growth
3.1 Past
BCPC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 18.33%, which is quite good.
The Earnings Per Share has been growing slightly by 6.55% on average over the past years.
Looking at the last year, BCPC shows a small growth in Revenue. The Revenue has grown by 7.55% in the last year.
The Revenue has been growing by 8.18% on average over the past years. This is quite good.
EPS 1Y (TTM)18.33%
EPS 3Y7.05%
EPS 5Y6.55%
EPS Q2Q%19.47%
Revenue 1Y (TTM)7.55%
Revenue growth 3Y6.08%
Revenue growth 5Y8.18%
Sales Q2Q%11.51%
3.2 Future
The Earnings Per Share is expected to grow by 13.17% on average over the next years. This is quite good.
The Revenue is expected to grow by 6.87% on average over the next years.
EPS Next Y18.77%
EPS Next 2Y13.17%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year7.43%
Revenue Next 2Y6.87%
Revenue Next 3YN/A
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 30.86, the valuation of BCPC can be described as expensive.
BCPC's Price/Earnings is on the same level as the industry average.
BCPC's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.19.
A Price/Forward Earnings ratio of 27.34 indicates a quite expensive valuation of BCPC.
Based on the Price/Forward Earnings ratio, BCPC is valued a bit more expensive than the industry average as 60.98% of the companies are valued more cheaply.
BCPC's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 22.50.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.86 | ||
| Fwd PE | 27.34 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BCPC is valued a bit more expensive than the industry average as 70.73% of the companies are valued more cheaply.
BCPC's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.81 | ||
| EV/EBITDA | 20.36 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of BCPC may justify a higher PE ratio.
A more expensive valuation may be justified as BCPC's earnings are expected to grow with 13.17% in the coming years.
PEG (NY)1.64
PEG (5Y)4.71
EPS Next 2Y13.17%
EPS Next 3YN/A
5. Dividend
5.1 Amount
BCPC has a yearly dividend return of 0.56%, which is pretty low.
BCPC's Dividend Yield is slightly below the industry average, which is at 3.70.
Compared to an average S&P500 Dividend Yield of 2.33, BCPC's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.56% |
5.2 History
On average, the dividend of BCPC grows each year by 11.02%, 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)11.02%
Div Incr Years15
Div Non Decr Years26
5.3 Sustainability
BCPC pays out 18.95% of its income as dividend. This is a sustainable payout ratio.
BCPC's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP18.95%
EPS Next 2Y13.17%
EPS Next 3YN/A
153.39
-0.58 (-0.38%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners90.92%
Inst Owner Change1.43%
Ins Owners0.44%
Ins Owner Change0.39%
Market Cap4.98B
Revenue(TTM)1.01B
Net Income(TTM)149.20M
Analysts82.5
Price Target204.68 (33.44%)
Short Float %1.35%
Short Ratio2.68
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.56% |
Yearly Dividend0.79
Dividend Growth(5Y)11.02%
DP18.95%
Div Incr Years15
Div Non Decr Years26
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.32%
Min EPS beat(2)-0.39%
Max EPS beat(2)1.03%
EPS beat(4)2
Avg EPS beat(4)-0.16%
Min EPS beat(4)-1.56%
Max EPS beat(4)1.03%
EPS beat(8)5
Avg EPS beat(8)0.7%
EPS beat(12)9
Avg EPS beat(12)6.39%
EPS beat(16)12
Avg EPS beat(16)8.18%
Revenue beat(2)2
Avg Revenue beat(2)0.81%
Min Revenue beat(2)0.06%
Max Revenue beat(2)1.56%
Revenue beat(4)2
Avg Revenue beat(4)-0.09%
Min Revenue beat(4)-1.94%
Max Revenue beat(4)1.56%
Revenue beat(8)3
Avg Revenue beat(8)-1.34%
Revenue beat(12)3
Avg Revenue beat(12)-2.53%
Revenue beat(16)6
Avg Revenue beat(16)-0.88%
PT rev (1m)0%
PT rev (3m)1.86%
EPS NQ rev (1m)-0.38%
EPS NQ rev (3m)0.39%
EPS NY rev (1m)0%
EPS NY rev (3m)0.49%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.9%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.86 | ||
| Fwd PE | 27.34 | ||
| P/S | 4.91 | ||
| P/FCF | 30.81 | ||
| P/OCF | 24.7 | ||
| P/B | 3.84 | ||
| P/tB | 15.86 | ||
| EV/EBITDA | 20.36 |
EPS(TTM)4.97
EY3.24%
EPS(NY)5.61
Fwd EY3.66%
FCF(TTM)4.98
FCFY3.25%
OCF(TTM)6.21
OCFY4.05%
SpS31.22
BVpS39.98
TBVpS9.67
PEG (NY)1.64
PEG (5Y)4.71
Graham Number66.87
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.98% | ||
| ROE | 11.5% | ||
| ROCE | 13.36% | ||
| ROIC | 10.44% | ||
| ROICexc | 10.9% | ||
| ROICexgc | 32.99% | ||
| OM | 20.23% | ||
| PM (TTM) | 14.72% | ||
| GM | 35.82% | ||
| FCFM | 15.94% |
ROA(3y)7.15%
ROA(5y)7.34%
ROE(3y)10.9%
ROE(5y)10.78%
ROIC(3y)8.8%
ROIC(5y)8.82%
ROICexc(3y)9.17%
ROICexc(5y)9.39%
ROICexgc(3y)30.05%
ROICexgc(5y)29.29%
ROCE(3y)11.26%
ROCE(5y)11.29%
ROICexgc growth 3Y4.31%
ROICexgc growth 5Y6.46%
ROICexc growth 3Y0.05%
ROICexc growth 5Y5.05%
OM growth 3Y6.43%
OM growth 5Y3.44%
PM growth 3Y3.85%
PM growth 5Y1.7%
GM growth 3Y5.02%
GM growth 5Y1.43%
F-Score8
Asset Turnover0.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.96 | ||
| Debt/EBITDA | 0.62 | ||
| Cap/Depr | 89.16% | ||
| Cap/Sales | 3.95% | ||
| Interest Coverage | 17.51 | ||
| Cash Conversion | 80.66% | ||
| Profit Quality | 108.31% | ||
| Current Ratio | 2.72 | ||
| Quick Ratio | 1.67 | ||
| Altman-Z | 10.37 |
F-Score8
WACC8.59%
ROIC/WACC1.22
Cap/Depr(3y)80.14%
Cap/Depr(5y)76.56%
Cap/Sales(3y)4.39%
Cap/Sales(5y)4.53%
Profit Quality(3y)110.66%
Profit Quality(5y)119.6%
High Growth Momentum
Growth
EPS 1Y (TTM)18.33%
EPS 3Y7.05%
EPS 5Y6.55%
EPS Q2Q%19.47%
EPS Next Y18.77%
EPS Next 2Y13.17%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)7.55%
Revenue growth 3Y6.08%
Revenue growth 5Y8.18%
Sales Q2Q%11.51%
Revenue Next Year7.43%
Revenue Next 2Y6.87%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y18.58%
EBIT growth 3Y12.89%
EBIT growth 5Y11.9%
EBIT Next Year40.84%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y37.88%
FCF growth 3Y5.93%
FCF growth 5Y8.77%
OCF growth 1Y27.59%
OCF growth 3Y4.28%
OCF growth 5Y7.89%
BALCHEM CORP / BCPC FAQ
What is the ChartMill fundamental rating of BALCHEM CORP (BCPC) stock?
ChartMill assigns a fundamental rating of 7 / 10 to BCPC.
What is the valuation status for BCPC stock?
ChartMill assigns a valuation rating of 2 / 10 to BALCHEM CORP (BCPC). This can be considered as Overvalued.
What is the profitability of BCPC stock?
BALCHEM CORP (BCPC) has a profitability rating of 9 / 10.
What are the PE and PB ratios of BALCHEM CORP (BCPC) stock?
The Price/Earnings (PE) ratio for BALCHEM CORP (BCPC) is 30.86 and the Price/Book (PB) ratio is 3.84.
How sustainable is the dividend of BALCHEM CORP (BCPC) stock?
The dividend rating of BALCHEM CORP (BCPC) is 5 / 10 and the dividend payout ratio is 18.95%.