FMC CORP (FMC) Stock Fundamental Analysis
NYSE:FMC - New York Stock Exchange, Inc. - US3024913036 - Common Stock - Currency: USD
FMC gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 85 industry peers in the Chemicals industry. FMC scores excellent on profitability, but there are concerns on its financial health. FMC is not valued too expensively and it also shows a decent growth rate. Finally FMC also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
FMC had positive earnings in the past year.
FMC had a positive operating cash flow in the past year.
In the past 5 years FMC has always been profitable.
FMC had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of FMC (11.88%) is better than 98.80% of its industry peers.
FMC has a better Return On Equity (31.51%) than 97.59% of its industry peers.
FMC has a Return On Invested Capital (4.74%) which is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for FMC is above the industry average of 6.58%.
The 3 year average ROIC (10.55%) for FMC is well above the current ROIC(4.74%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.88% | ||
| ROE | 31.51% | ||
| ROIC | 4.74% |
ROA(3y)8.17%
ROA(5y)6.95%
ROE(3y)25.06%
ROE(5y)22.51%
ROIC(3y)10.55%
ROIC(5y)10.96%
1.3 Margins
FMC's Profit Margin of 34.83% is amongst the best of the industry. FMC outperforms 100.00% of its industry peers.
In the last couple of years the Profit Margin of FMC has grown nicely.
FMC's Operating Margin of 12.79% is fine compared to the rest of the industry. FMC outperforms 72.29% of its industry peers.
In the last couple of years the Operating Margin of FMC has declined.
FMC's Gross Margin of 37.43% is fine compared to the rest of the industry. FMC outperforms 75.90% of its industry peers.
In the last couple of years the Gross Margin of FMC has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.79% | ||
| PM (TTM) | 34.83% | ||
| GM | 37.43% |
OM growth 3Y-12.35%
OM growth 5Y-8.33%
PM growth 3Y35.36%
PM growth 5Y20.31%
GM growth 3Y-2.63%
GM growth 5Y-2.15%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so FMC is still creating some value.
Compared to 1 year ago, FMC has less shares outstanding
Compared to 5 years ago, FMC has less shares outstanding
Compared to 1 year ago, FMC has a worse debt to assets ratio.
2.2 Solvency
FMC has an Altman-Z score of 1.97. This is not the best score and indicates that FMC is in the grey zone with still only limited risk for bankruptcy at the moment.
FMC's Altman-Z score of 1.97 is in line compared to the rest of the industry. FMC outperforms 55.42% of its industry peers.
FMC has a debt to FCF ratio of 8.26. This is a slightly negative value and a sign of low solvency as FMC would need 8.26 years to pay back of all of its debts.
FMC has a Debt to FCF ratio (8.26) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.86 indicates that FMC is somewhat dependend on debt financing.
FMC has a Debt to Equity ratio of 0.86. This is in the lower half of the industry: FMC underperforms 62.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.86 | ||
| Debt/FCF | 8.26 | ||
| Altman-Z | 1.97 |
ROIC/WACC0.52
WACC9.12%
2.3 Liquidity
A Current Ratio of 1.48 indicates that FMC should not have too much problems paying its short term obligations.
FMC has a Current ratio of 1.48. This is in the lower half of the industry: FMC underperforms 71.08% of its industry peers.
A Quick Ratio of 1.09 indicates that FMC should not have too much problems paying its short term obligations.
FMC's Quick ratio of 1.09 is on the low side compared to the rest of the industry. FMC is outperformed by 61.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.48 | ||
| Quick Ratio | 1.09 |
3. Growth
3.1 Past
The earnings per share for FMC have decreased strongly by -45.87% in the last year.
FMC shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -9.68% yearly.
The Revenue for FMC has decreased by -16.02% in the past year. This is quite bad
FMC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.92% yearly.
EPS 1Y (TTM)-45.87%
EPS 3Y-15.21%
EPS 5Y-9.68%
EPS Q2Q%56.82%
Revenue 1Y (TTM)-16.02%
Revenue growth 3Y-1.13%
Revenue growth 5Y0.92%
Sales Q2Q%8.5%
3.2 Future
The Earnings Per Share is expected to grow by 13.73% on average over the next years. This is quite good.
Based on estimates for the next years, FMC will show a small growth in Revenue. The Revenue will grow by 5.53% on average per year.
EPS Next Y-11.28%
EPS Next 2Y8.11%
EPS Next 3Y11.84%
EPS Next 5Y13.73%
Revenue Next Year-4.95%
Revenue Next 2Y-1.38%
Revenue Next 3Y1.36%
Revenue Next 5Y5.53%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 19.65 indicates a rather expensive valuation of FMC.
The rest of the industry has a similar Price/Earnings ratio as FMC.
FMC is valuated rather cheaply when we compare the Price/Earnings ratio to 28.36, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 12.23, which indicates a correct valuation of FMC.
Based on the Price/Forward Earnings ratio, FMC is valued a bit cheaper than the industry average as 73.49% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 92.49, FMC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.65 | ||
| Fwd PE | 12.23 |
4.2 Price Multiples
FMC's Enterprise Value to EBITDA is on the same level as the industry average.
Based on the Price/Free Cash Flow ratio, FMC is valued a bit cheaper than the industry average as 74.70% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.68 | ||
| EV/EBITDA | 13.41 |
4.3 Compensation for Growth
FMC has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y8.11%
EPS Next 3Y11.84%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.11%, FMC is a good candidate for dividend investing.
FMC's Dividend Yield is rather good when compared to the industry average which is at 3.24. FMC pays more dividend than 86.75% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.28, FMC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.11% |
5.2 History
On average, the dividend of FMC grows each year by 28.23%, which is quite nice.
FMC has been paying a dividend for at least 10 years, so it has a reliable track record.
FMC has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)28.23%
Div Incr Years6
Div Non Decr Years17
5.3 Sustainability
FMC pays out 20.01% of its income as dividend. This is a sustainable payout ratio.
FMC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP20.01%
EPS Next 2Y8.11%
EPS Next 3Y11.84%
FMC CORP
NYSE:FMC (2/4/2025, 4:24:06 PM)
After market: 46.4027 -7.64 (-14.13%)54.04
-0.88 (-1.6%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners95.97%
Inst Owner Change-0.2%
Ins Owners0.38%
Ins Owner Change-0.43%
Market Cap6.75B
Analysts70
Price Target68.12 (26.05%)
Short Float %5.25%
Short Ratio4.45
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.11% |
Yearly Dividend2.33
Dividend Growth(5Y)28.23%
DP20.01%
Div Incr Years6
Div Non Decr Years17
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)21.13%
Min EPS beat(2)12.59%
Max EPS beat(2)29.66%
EPS beat(4)3
Avg EPS beat(4)12.02%
Min EPS beat(4)-1.79%
Max EPS beat(4)29.66%
EPS beat(8)5
Avg EPS beat(8)1.24%
EPS beat(12)9
Avg EPS beat(12)2.98%
EPS beat(16)12
Avg EPS beat(16)2.6%
Revenue beat(2)1
Avg Revenue beat(2)0.42%
Min Revenue beat(2)-1.01%
Max Revenue beat(2)1.85%
Revenue beat(4)1
Avg Revenue beat(4)-4.47%
Min Revenue beat(4)-9.82%
Max Revenue beat(4)1.85%
Revenue beat(8)2
Avg Revenue beat(8)-3.11%
Revenue beat(12)6
Avg Revenue beat(12)-0.75%
Revenue beat(16)8
Avg Revenue beat(16)-0.66%
PT rev (1m)-4.68%
PT rev (3m)-8.2%
EPS NQ rev (1m)-3.29%
EPS NQ rev (3m)-9.96%
EPS NY rev (1m)-1.4%
EPS NY rev (3m)-0.64%
Revenue NQ rev (1m)-2.06%
Revenue NQ rev (3m)-5.61%
Revenue NY rev (1m)-0.36%
Revenue NY rev (3m)-0.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.65 | ||
| Fwd PE | 12.23 | ||
| P/S | 1.62 | ||
| P/FCF | 13.68 | ||
| P/OCF | 11.95 | ||
| P/B | 1.46 | ||
| P/tB | 10.09 | ||
| EV/EBITDA | 13.41 |
EPS(TTM)2.75
EY5.09%
EPS(NY)4.42
Fwd EY8.18%
FCF(TTM)3.95
FCFY7.31%
OCF(TTM)4.52
OCFY8.37%
SpS33.39
BVpS36.91
TBVpS5.35
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.88% | ||
| ROE | 31.51% | ||
| ROCE | 6.18% | ||
| ROIC | 4.74% | ||
| ROICexc | 4.96% | ||
| ROICexgc | 8.69% | ||
| OM | 12.79% | ||
| PM (TTM) | 34.83% | ||
| GM | 37.43% | ||
| FCFM | 11.83% |
ROA(3y)8.17%
ROA(5y)6.95%
ROE(3y)25.06%
ROE(5y)22.51%
ROIC(3y)10.55%
ROIC(5y)10.96%
ROICexc(3y)11.26%
ROICexc(5y)11.69%
ROICexgc(3y)25.52%
ROICexgc(5y)27.22%
ROCE(3y)13.17%
ROCE(5y)13.48%
ROICexcg growth 3Y-26.89%
ROICexcg growth 5Y-17.04%
ROICexc growth 3Y-20.41%
ROICexc growth 5Y-12.15%
OM growth 3Y-12.35%
OM growth 5Y-8.33%
PM growth 3Y35.36%
PM growth 5Y20.31%
GM growth 3Y-2.63%
GM growth 5Y-2.15%
F-Score5
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.86 | ||
| Debt/FCF | 8.26 | ||
| Debt/EBITDA | 5.59 | ||
| Cap/Depr | 39.87% | ||
| Cap/Sales | 1.71% | ||
| Interest Coverage | 2.18 | ||
| Cash Conversion | 79.24% | ||
| Profit Quality | 33.96% | ||
| Current Ratio | 1.48 | ||
| Quick Ratio | 1.09 | ||
| Altman-Z | 1.97 |
F-Score5
WACC9.12%
ROIC/WACC0.52
Cap/Depr(3y)74.22%
Cap/Depr(5y)85.57%
Cap/Sales(3y)2.56%
Cap/Sales(5y)2.93%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-45.87%
EPS 3Y-15.21%
EPS 5Y-9.68%
EPS Q2Q%56.82%
EPS Next Y-11.28%
EPS Next 2Y8.11%
EPS Next 3Y11.84%
EPS Next 5Y13.73%
Revenue 1Y (TTM)-16.02%
Revenue growth 3Y-1.13%
Revenue growth 5Y0.92%
Sales Q2Q%8.5%
Revenue Next Year-4.95%
Revenue Next 2Y-1.38%
Revenue Next 3Y1.36%
Revenue Next 5Y5.53%
EBIT growth 1Y-41.83%
EBIT growth 3Y-13.34%
EBIT growth 5Y-7.49%
EBIT Next Year9.44%
EBIT Next 3Y13.05%
EBIT Next 5Y12.8%
FCF growth 1Y20.95%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y4.58%
OCF growth 3YN/A
OCF growth 5YN/A