DUPONT DE NEMOURS INC (DD) Stock Fundamental Analysis
NYSE:DD - New York Stock Exchange, Inc. - US26614N1028 - Common Stock - Currency: USD
Taking everything into account, DD scores 5 out of 10 in our fundamental rating. DD was compared to 85 industry peers in the Chemicals industry. DD has only an average score on both its financial health and profitability. DD is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year DD was profitable.
DD had a positive operating cash flow in the past year.
Of the past 5 years DD 4 years were profitable.
DD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
DD has a Return On Assets (-0.21%) which is comparable to the rest of the industry.
DD has a Return On Equity of -0.33%. This is comparable to the rest of the industry: DD outperforms 43.53% of its industry peers.
DD's Return On Invested Capital of 4.51% is in line compared to the rest of the industry. DD outperforms 50.59% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for DD is below the industry average of 6.84%.
The 3 year average ROIC (3.52%) for DD is below the current ROIC(4.51%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.21% | ||
| ROE | -0.33% | ||
| ROIC | 4.51% |
ROA(3y)5.74%
ROA(5y)5.44%
ROE(3y)8.95%
ROE(5y)8.73%
ROIC(3y)3.52%
ROIC(5y)3.04%
1.3 Margins
DD's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 17.31%, DD belongs to the top of the industry, outperforming 84.71% of the companies in the same industry.
DD's Operating Margin has improved in the last couple of years.
The Gross Margin of DD (37.26%) is better than 77.65% of its industry peers.
DD's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.31% | ||
| PM (TTM) | N/A | ||
| GM | 37.26% |
OM growth 3Y0.59%
OM growth 5Y3.81%
PM growth 3Y-52.04%
PM growth 5Y12.01%
GM growth 3Y0.02%
GM growth 5Y0.86%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DD is destroying value.
DD has less shares outstanding than it did 1 year ago.
DD has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, DD has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.00, we must say that DD is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of DD (1.00) is worse than 76.47% of its industry peers.
The Debt to FCF ratio of DD is 6.43, which is on the high side as it means it would take DD, 6.43 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 6.43, DD is doing good in the industry, outperforming 71.76% of the companies in the same industry.
DD has a Debt/Equity ratio of 0.23. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.23, DD is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 6.43 | ||
| Altman-Z | 1 |
ROIC/WACC0.54
WACC8.41%
2.3 Liquidity
A Current Ratio of 1.40 indicates that DD should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.40, DD is doing worse than 72.94% of the companies in the same industry.
A Quick Ratio of 0.91 indicates that DD may have some problems paying its short term obligations.
DD has a Quick ratio of 0.91. This is in the lower half of the industry: DD underperforms 69.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.4 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 25.66% over the past year.
The Earnings Per Share has been decreasing by -5.50% on average over the past years.
The Revenue has been growing slightly by 4.51% in the past year.
Measured over the past years, DD shows a decrease in Revenue. The Revenue has been decreasing by -4.31% on average per year.
EPS 1Y (TTM)25.66%
EPS 3Y-1.04%
EPS 5Y-5.5%
EPS Q2Q%30.38%
Revenue 1Y (TTM)4.51%
Revenue growth 3Y-0.48%
Revenue growth 5Y-4.31%
Sales Q2Q%4.61%
3.2 Future
The Earnings Per Share is expected to grow by 8.20% on average over the next years. This is quite good.
Based on estimates for the next years, DD will show a small growth in Revenue. The Revenue will grow by 4.21% on average per year.
EPS Next Y7.8%
EPS Next 2Y8.52%
EPS Next 3Y9.31%
EPS Next 5Y8.2%
Revenue Next Year3.23%
Revenue Next 2Y3.74%
Revenue Next 3Y4.13%
Revenue Next 5Y4.21%
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.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 16.58, the valuation of DD can be described as correct.
Based on the Price/Earnings ratio, DD is valued a bit cheaper than 64.71% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.21, DD is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 14.91, the valuation of DD can be described as correct.
The rest of the industry has a similar Price/Forward Earnings ratio as DD.
When comparing the Price/Forward Earnings ratio of DD to the average of the S&P500 Index (21.70), we can say DD is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.58 | ||
| Fwd PE | 14.91 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as DD.
Based on the Price/Free Cash Flow ratio, DD is valued a bit cheaper than the industry average as 62.35% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.82 | ||
| EV/EBITDA | 10.14 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of DD may justify a higher PE ratio.
PEG (NY)2.13
PEG (5Y)N/A
EPS Next 2Y8.52%
EPS Next 3Y9.31%
5. Dividend
5.1 Amount
DD has a Yearly Dividend Yield of 2.37%. Purely for dividend investing, there may be better candidates out there.
DD's Dividend Yield is a higher than the industry average which is at 3.69.
DD's Dividend Yield is comparable with the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.37% |
5.2 History
The dividend of DD decreases each year by -33.98%.
DD has paid a dividend for at least 10 years, which is a reliable track record.
DD has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-33.98%
Div Incr Years3
Div Non Decr Years4
5.3 Sustainability
The earnings of DD are negative and hence is the payout ratio. DD will probably not be able to sustain this dividend level.
DP-864%
EPS Next 2Y8.52%
EPS Next 3Y9.31%
71.45
+2.86 (+4.17%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners73.2%
Inst Owner Change3.33%
Ins Owners0.09%
Ins Owner Change3.56%
Market Cap29.90B
Analysts81.48
Price Target86.49 (21.05%)
Short Float %1.05%
Short Ratio1.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.37% |
Yearly Dividend1.5
Dividend Growth(5Y)-33.98%
DP-864%
Div Incr Years3
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.49%
Min EPS beat(2)4.98%
Max EPS beat(2)11.99%
EPS beat(4)4
Avg EPS beat(4)9.71%
Min EPS beat(4)4.98%
Max EPS beat(4)11.99%
EPS beat(8)6
Avg EPS beat(8)7.8%
EPS beat(12)10
Avg EPS beat(12)7.42%
EPS beat(16)14
Avg EPS beat(16)7.74%
Revenue beat(2)0
Avg Revenue beat(2)-2.15%
Min Revenue beat(2)-2.15%
Max Revenue beat(2)-2.14%
Revenue beat(4)1
Avg Revenue beat(4)-1.65%
Min Revenue beat(4)-3.27%
Max Revenue beat(4)0.96%
Revenue beat(8)2
Avg Revenue beat(8)-2%
Revenue beat(12)3
Avg Revenue beat(12)-1.6%
Revenue beat(16)3
Avg Revenue beat(16)-5.68%
PT rev (1m)-1.2%
PT rev (3m)-14.74%
EPS NQ rev (1m)0.2%
EPS NQ rev (3m)-4.36%
EPS NY rev (1m)0.18%
EPS NY rev (3m)-2.65%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.42%
Revenue NY rev (1m)0.09%
Revenue NY rev (3m)-0.71%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.58 | ||
| Fwd PE | 14.91 | ||
| P/S | 2.39 | ||
| P/FCF | 26.82 | ||
| P/OCF | 17.22 | ||
| P/B | 1.31 | ||
| P/tB | 18.28 | ||
| EV/EBITDA | 10.14 |
EPS(TTM)4.31
EY6.03%
EPS(NY)4.79
Fwd EY6.71%
FCF(TTM)2.66
FCFY3.73%
OCF(TTM)4.15
OCFY5.81%
SpS29.92
BVpS54.56
TBVpS3.91
PEG (NY)2.13
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.21% | ||
| ROE | -0.33% | ||
| ROCE | 6.92% | ||
| ROIC | 4.51% | ||
| ROICexc | 4.78% | ||
| ROICexgc | 16.87% | ||
| OM | 17.31% | ||
| PM (TTM) | N/A | ||
| GM | 37.26% | ||
| FCFM | 8.91% |
ROA(3y)5.74%
ROA(5y)5.44%
ROE(3y)8.95%
ROE(5y)8.73%
ROIC(3y)3.52%
ROIC(5y)3.04%
ROICexc(3y)3.85%
ROICexc(5y)3.28%
ROICexgc(3y)12.84%
ROICexgc(5y)9.92%
ROCE(3y)5.39%
ROCE(5y)4.66%
ROICexcg growth 3Y25.22%
ROICexcg growth 5Y11.83%
ROICexc growth 3Y9.23%
ROICexc growth 5Y14.61%
OM growth 3Y0.59%
OM growth 5Y3.81%
PM growth 3Y-52.04%
PM growth 5Y12.01%
GM growth 3Y0.02%
GM growth 5Y0.86%
F-Score5
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 6.43 | ||
| Debt/EBITDA | 1.58 | ||
| Cap/Depr | 51.92% | ||
| Cap/Sales | 4.96% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 51.61% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.4 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z | 1 |
F-Score5
WACC8.41%
ROIC/WACC0.54
Cap/Depr(3y)55.14%
Cap/Depr(5y)53.03%
Cap/Sales(3y)5.17%
Cap/Sales(5y)6.67%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)25.66%
EPS 3Y-1.04%
EPS 5Y-5.5%
EPS Q2Q%30.38%
EPS Next Y7.8%
EPS Next 2Y8.52%
EPS Next 3Y9.31%
EPS Next 5Y8.2%
Revenue 1Y (TTM)4.51%
Revenue growth 3Y-0.48%
Revenue growth 5Y-4.31%
Sales Q2Q%4.61%
Revenue Next Year3.23%
Revenue Next 2Y3.74%
Revenue Next 3Y4.13%
Revenue Next 5Y4.21%
EBIT growth 1Y28.13%
EBIT growth 3Y0.11%
EBIT growth 5Y-0.66%
EBIT Next Year29.61%
EBIT Next 3Y14.01%
EBIT Next 5Y11.26%
FCF growth 1Y10236.4%
FCF growth 3Y-3.02%
FCF growth 5YN/A
OCF growth 1Y140.44%
OCF growth 3Y-6.79%
OCF growth 5Y5.56%