ELKEM ASA (ELK.OL) Stock Fundamental Analysis
OSL:ELK - Euronext Oslo - NO0010816093 - Common Stock - Currency: NOK
Overall ELK gets a fundamental rating of 5 out of 10. We evaluated ELK against 67 industry peers in the Chemicals industry. ELK has an average financial health and profitability rating. ELK is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year ELK was profitable.
ELK had a positive operating cash flow in the past year.
In the past 5 years ELK has always been profitable.
Each year in the past 5 years ELK had a positive operating cash flow.
1.2 Ratios
ELK has a Return On Assets (1.44%) which is in line with its industry peers.
ELK has a Return On Equity of 2.89%. This is comparable to the rest of the industry: ELK outperforms 55.22% of its industry peers.
ELK has a Return On Invested Capital of 2.82%. This is comparable to the rest of the industry: ELK outperforms 53.73% of its industry peers.
ELK had an Average Return On Invested Capital over the past 3 years of 8.73%. This is above the industry average of 6.29%.
The 3 year average ROIC (8.73%) for ELK is well above the current ROIC(2.82%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.44% | ||
| ROE | 2.89% | ||
| ROIC | 2.82% |
ROA(3y)6.39%
ROA(5y)6.2%
ROE(3y)11.85%
ROE(5y)12.17%
ROIC(3y)8.73%
ROIC(5y)8.61%
1.3 Margins
ELK has a Profit Margin of 2.92%. This is comparable to the rest of the industry: ELK outperforms 56.72% of its industry peers.
ELK's Profit Margin has declined in the last couple of years.
ELK's Operating Margin of 7.24% is fine compared to the rest of the industry. ELK outperforms 62.69% of its industry peers.
ELK's Operating Margin has improved in the last couple of years.
ELK has a Gross Margin of 50.13%. This is in the better half of the industry: ELK outperforms 77.61% of its industry peers.
ELK's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.24% | ||
| PM (TTM) | 2.92% | ||
| GM | 50.13% |
OM growth 3Y-7.33%
OM growth 5Y22.64%
PM growth 3Y-41.92%
PM growth 5Y-6.54%
GM growth 3Y0.8%
GM growth 5Y2.02%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ELK is still creating some value.
Compared to 1 year ago, ELK has about the same amount of shares outstanding.
ELK has more shares outstanding than it did 5 years ago.
The debt/assets ratio for ELK has been reduced compared to a year ago.
2.2 Solvency
ELK has an Altman-Z score of 1.77. This is a bad value and indicates that ELK is not financially healthy and even has some risk of bankruptcy.
ELK's Altman-Z score of 1.77 is on the low side compared to the rest of the industry. ELK is outperformed by 64.18% of its industry peers.
ELK has a Debt/Equity ratio of 0.45. This is a healthy value indicating a solid balance between debt and equity.
ELK's Debt to Equity ratio of 0.45 is in line compared to the rest of the industry. ELK outperforms 50.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.77 |
ROIC/WACC0.39
WACC7.31%
2.3 Liquidity
A Current Ratio of 3.19 indicates that ELK has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 3.19, ELK belongs to the top of the industry, outperforming 88.06% of the companies in the same industry.
A Quick Ratio of 1.71 indicates that ELK should not have too much problems paying its short term obligations.
ELK's Quick ratio of 1.71 is fine compared to the rest of the industry. ELK outperforms 79.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.19 | ||
| Quick Ratio | 1.71 |
3. Growth
3.1 Past
ELK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 154.81%, which is quite impressive.
The earnings per share for ELK have been decreasing by -11.90% on average. This is quite bad
ELK shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -24.51%.
ELK shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -4.35% yearly.
EPS 1Y (TTM)154.81%
EPS 3Y-53.14%
EPS 5Y-11.9%
EPS Q2Q%52.17%
Revenue 1Y (TTM)-24.51%
Revenue growth 3Y-18.65%
Revenue growth 5Y-4.35%
Sales Q2Q%1.81%
3.2 Future
ELK is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 63.44% yearly.
The Revenue is expected to grow by 2.88% on average over the next years.
EPS Next Y57.67%
EPS Next 2Y66.99%
EPS Next 3Y63.44%
EPS Next 5YN/A
Revenue Next Year-2.05%
Revenue Next 2Y3.08%
Revenue Next 3Y2.88%
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 21.18, ELK is valued on the expensive side.
ELK's Price/Earnings ratio is a bit cheaper when compared to the industry. ELK is cheaper than 61.19% of the companies in the same industry.
When comparing the Price/Earnings ratio of ELK to the average of the S&P500 Index (27.18), we can say ELK is valued slightly cheaper.
With a Price/Forward Earnings ratio of 11.10, the valuation of ELK can be described as very reasonable.
82.09% of the companies in the same industry are more expensive than ELK, based on the Price/Forward Earnings ratio.
ELK's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 35.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.18 | ||
| Fwd PE | 11.1 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ELK indicates a rather cheap valuation: ELK is cheaper than 91.04% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.04 |
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.
ELK has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as ELK's earnings are expected to grow with 63.44% in the coming years.
PEG (NY)0.37
PEG (5Y)N/A
EPS Next 2Y66.99%
EPS Next 3Y63.44%
5. Dividend
5.1 Amount
ELK has a Yearly Dividend Yield of 1.22%. Purely for dividend investing, there may be better candidates out there.
ELK's Dividend Yield is comparable with the industry average which is at 2.99.
Compared to an average S&P500 Dividend Yield of 2.34, ELK's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.22% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y66.99%
EPS Next 3Y63.44%
OSL:ELK (7/16/2025, 10:45:16 AM)
24.15
+0.81 (+3.47%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners20.98%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap15.44B
Analysts78
Price Target24.07 (-0.33%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.22% |
Yearly Dividend6.02
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1230.8%
Min EPS beat(2)-2351.11%
Max EPS beat(2)-110.48%
EPS beat(4)1
Avg EPS beat(4)-494.3%
Min EPS beat(4)-2351.11%
Max EPS beat(4)536.49%
EPS beat(8)1
Avg EPS beat(8)-956.52%
EPS beat(12)4
Avg EPS beat(12)-629.6%
EPS beat(16)8
Avg EPS beat(16)-470.17%
Revenue beat(2)1
Avg Revenue beat(2)-0.97%
Min Revenue beat(2)-5.85%
Max Revenue beat(2)3.91%
Revenue beat(4)2
Avg Revenue beat(4)-2.86%
Min Revenue beat(4)-12.1%
Max Revenue beat(4)3.91%
Revenue beat(8)3
Avg Revenue beat(8)-4.03%
Revenue beat(12)6
Avg Revenue beat(12)-1.34%
Revenue beat(16)7
Avg Revenue beat(16)-1.4%
PT rev (1m)0%
PT rev (3m)-4.07%
EPS NQ rev (1m)-88%
EPS NQ rev (3m)-93.62%
EPS NY rev (1m)0%
EPS NY rev (3m)-29.24%
Revenue NQ rev (1m)-5.1%
Revenue NQ rev (3m)-17.44%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-4.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.18 | ||
| Fwd PE | 11.1 | ||
| P/S | 0.63 | ||
| P/FCF | N/A | ||
| P/OCF | 13.53 | ||
| P/B | 0.62 | ||
| P/tB | 0.64 | ||
| EV/EBITDA | 5.04 |
EPS(TTM)1.14
EY4.72%
EPS(NY)2.18
Fwd EY9.01%
FCF(TTM)-2.88
FCFYN/A
OCF(TTM)1.78
OCFY7.39%
SpS38.32
BVpS38.7
TBVpS37.92
PEG (NY)0.37
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.44% | ||
| ROE | 2.89% | ||
| ROCE | 3.87% | ||
| ROIC | 2.82% | ||
| ROICexc | 3.01% | ||
| ROICexgc | 3.05% | ||
| OM | 7.24% | ||
| PM (TTM) | 2.92% | ||
| GM | 50.13% | ||
| FCFM | N/A |
ROA(3y)6.39%
ROA(5y)6.2%
ROE(3y)11.85%
ROE(5y)12.17%
ROIC(3y)8.73%
ROIC(5y)8.61%
ROICexc(3y)10.76%
ROICexc(5y)10.71%
ROICexgc(3y)11.49%
ROICexgc(5y)11.66%
ROCE(3y)12.41%
ROCE(5y)12.33%
ROICexcg growth 3Y-39.97%
ROICexcg growth 5Y-3.21%
ROICexc growth 3Y-38.01%
ROICexc growth 5Y-2.06%
OM growth 3Y-7.33%
OM growth 5Y22.64%
PM growth 3Y-41.92%
PM growth 5Y-6.54%
GM growth 3Y0.8%
GM growth 5Y2.02%
F-Score7
Asset Turnover0.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.34 | ||
| Cap/Depr | 100.78% | ||
| Cap/Sales | 12.18% | ||
| Interest Coverage | 2.04 | ||
| Cash Conversion | 24.1% | ||
| Profit Quality | N/A | ||
| Current Ratio | 3.19 | ||
| Quick Ratio | 1.71 | ||
| Altman-Z | 1.77 |
F-Score7
WACC7.31%
ROIC/WACC0.39
Cap/Depr(3y)178.1%
Cap/Depr(5y)168.55%
Cap/Sales(3y)17.35%
Cap/Sales(5y)14.34%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)154.81%
EPS 3Y-53.14%
EPS 5Y-11.9%
EPS Q2Q%52.17%
EPS Next Y57.67%
EPS Next 2Y66.99%
EPS Next 3Y63.44%
EPS Next 5YN/A
Revenue 1Y (TTM)-24.51%
Revenue growth 3Y-18.65%
Revenue growth 5Y-4.35%
Sales Q2Q%1.81%
Revenue Next Year-2.05%
Revenue Next 2Y3.08%
Revenue Next 3Y2.88%
Revenue Next 5YN/A
EBIT growth 1Y424.56%
EBIT growth 3Y-24.62%
EBIT growth 5Y17.3%
EBIT Next Year214.92%
EBIT Next 3Y61.29%
EBIT Next 5YN/A
FCF growth 1Y-161.73%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-84.81%
OCF growth 3Y-25.52%
OCF growth 5Y2%