ELKEM ASA (ELK.OL) Stock Fundamental Analysis
Europe • Euronext Oslo • OSL:ELK • NO0010816093
28.6 NOK
+0.14 (+0.49%)
Last: Jan 30, 2026, 04:19 PM
Taking everything into account, ELK scores 4 out of 10 in our fundamental rating. ELK was compared to 71 industry peers in the Chemicals industry. ELK has an average financial health and profitability rating. ELK is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- ELK had negative earnings in the past year.
- In the past year ELK had a positive cash flow from operations.
- In the past 5 years ELK has always been profitable.
- ELK had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- With a Return On Assets value of -1.07%, ELK is not doing good in the industry: 70.42% of the companies in the same industry are doing better.
- The Return On Equity of ELK (-2.13%) is worse than 71.83% of its industry peers.
- ELK has a Return On Invested Capital (2.29%) which is comparable to the rest of the industry.
- The Average Return On Invested Capital over the past 3 years for ELK is in line with the industry average of 7.19%.
- The last Return On Invested Capital (2.29%) for ELK is well below the 3 year average (8.73%), which needs to be investigated, but indicates that ELK had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.07% | ||
| ROE | -2.13% | ||
| ROIC | 2.29% |
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
- In the last couple of years the Profit Margin of ELK has declined.
- ELK has a Operating Margin (8.13%) which is in line with its industry peers.
- In the last couple of years the Operating Margin of ELK has grown nicely.
- ELK's Gross Margin of 53.81% is amongst the best of the industry. ELK outperforms 80.28% of its industry peers.
- ELK's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.13% | ||
| PM (TTM) | N/A | ||
| GM | 53.81% |
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
- ELK has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- ELK has about the same amout of shares outstanding than it did 1 year ago.
- The number of shares outstanding for ELK has been increased compared to 5 years ago.
- Compared to 1 year ago, ELK has an improved debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 1.72, we must say that ELK is in the distress zone and has some risk of bankruptcy.
- ELK's Altman-Z score of 1.72 is on the low side compared to the rest of the industry. ELK is outperformed by 73.24% of its industry peers.
- A Debt/Equity ratio of 0.47 indicates that ELK is not too dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.47, ELK is in line with its industry, outperforming 47.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.72 |
ROIC/WACC0.3
WACC7.51%
2.3 Liquidity
- A Current Ratio of 3.27 indicates that ELK has no problem at all paying its short term obligations.
- ELK has a better Current ratio (3.27) than 88.73% of its industry peers.
- A Quick Ratio of 1.67 indicates that ELK should not have too much problems paying its short term obligations.
- The Quick ratio of ELK (1.67) is better than 77.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.27 | ||
| Quick Ratio | 1.67 |
3. Growth
3.1 Past
- The earnings per share for ELK have decreased strongly by -1100.00% in the last year.
- Measured over the past years, ELK shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -11.90% on average per year.
- ELK shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -46.80%.
- The Revenue has been decreasing by -4.35% on average over the past years.
EPS 1Y (TTM)-1100%
EPS 3Y-53.14%
EPS 5Y-11.9%
EPS Q2Q%-66.67%
Revenue 1Y (TTM)-46.8%
Revenue growth 3Y-18.65%
Revenue growth 5Y-4.35%
Sales Q2Q%-2.63%
3.2 Future
- The Earnings Per Share is expected to grow by 49.55% on average over the next years. This is a very strong growth
- Based on estimates for the next years, ELK will show a small growth in Revenue. The Revenue will grow by 0.27% on average per year.
EPS Next Y-185.57%
EPS Next 2Y32.5%
EPS Next 3Y49.55%
EPS Next 5YN/A
Revenue Next Year-8.51%
Revenue Next 2Y-2.48%
Revenue Next 3Y0.27%
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings Ratio is negative for ELK. In the last year negative earnings were reported.
- ELK is valuated rather expensively with a Price/Forward Earnings ratio of 20.89.
- ELK's Price/Forward Earnings ratio is in line with the industry average.
- The average S&P500 Price/Forward Earnings ratio is at 25.72. ELK is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 20.89 |
4.2 Price Multiples
- ELK's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. ELK is cheaper than 81.69% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 6.57 |
4.3 Compensation for Growth
- A more expensive valuation may be justified as ELK's earnings are expected to grow with 49.55% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y32.5%
EPS Next 3Y49.55%
5. Dividend
5.1 Amount
- ELK has a Yearly Dividend Yield of 1.02%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 2.45, ELK is paying slightly less dividend.
- With a Dividend Yield of 1.02, ELK pays less dividend than the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.02% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y32.5%
EPS Next 3Y49.55%
ELKEM ASA / ELK.OL FAQ
What is the ChartMill fundamental rating of ELKEM ASA (ELK.OL) stock?
ChartMill assigns a fundamental rating of 4 / 10 to ELK.OL.
What is the valuation status for ELK stock?
ChartMill assigns a valuation rating of 2 / 10 to ELKEM ASA (ELK.OL). This can be considered as Overvalued.
What is the profitability of ELK stock?
ELKEM ASA (ELK.OL) has a profitability rating of 5 / 10.
How financially healthy is ELKEM ASA?
The financial health rating of ELKEM ASA (ELK.OL) is 4 / 10.
Can you provide the expected EPS growth for ELK stock?
The Earnings per Share (EPS) of ELKEM ASA (ELK.OL) is expected to decline by -185.57% in the next year.