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 has an average financial health and profitability rating. FMC has a correct valuation and a medium growth rate. FMC also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
FMC had positive earnings in the past year.
In the past year FMC had a positive cash flow from operations.
Each year in the past 5 years FMC has been profitable.
FMC had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
FMC has a Return On Assets of 2.91%. This is in the better half of the industry: FMC outperforms 65.88% of its industry peers.
The Return On Equity of FMC (7.53%) is better than 67.06% of its industry peers.
FMC has a Return On Invested Capital of 5.81%. This is in the better half of the industry: FMC outperforms 62.35% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FMC is in line with the industry average of 6.81%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.91% | ||
| ROE | 7.53% | ||
| ROIC | 5.81% |
ROA(3y)6.85%
ROA(5y)6.57%
ROE(3y)19.73%
ROE(5y)20.26%
ROIC(3y)7.9%
ROIC(5y)9.24%
1.3 Margins
FMC has a better Profit Margin (8.00%) than 80.00% of its industry peers.
FMC's Profit Margin has declined in the last couple of years.
FMC has a Operating Margin of 14.97%. This is in the better half of the industry: FMC outperforms 77.65% of its industry peers.
FMC's Operating Margin has declined in the last couple of years.
The Gross Margin of FMC (38.83%) is better than 76.47% of its industry peers.
In the last couple of years the Gross Margin of FMC has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.97% | ||
| PM (TTM) | 8% | ||
| GM | 38.83% |
OM growth 3Y-11.44%
OM growth 5Y-6.44%
PM growth 3Y-18.08%
PM growth 5Y-4.96%
GM growth 3Y-3.37%
GM growth 5Y-2.99%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), FMC is destroying value.
FMC has about the same amout of shares outstanding than it did 1 year ago.
FMC has less shares outstanding than it did 5 years ago.
FMC has a better debt/assets ratio than last year.
2.2 Solvency
FMC has a debt to FCF ratio of 5.01. This is a neutral value as FMC would need 5.01 years to pay back of all of its debts.
FMC's Debt to FCF ratio of 5.01 is fine compared to the rest of the industry. FMC outperforms 74.12% of its industry peers.
FMC has a Debt/Equity ratio of 0.67. This is a neutral value indicating FMC is somewhat dependend on debt financing.
FMC has a Debt to Equity ratio of 0.67. This is comparable to the rest of the industry: FMC outperforms 49.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 5.01 | ||
| Altman-Z | N/A |
ROIC/WACC0.65
WACC8.95%
2.3 Liquidity
A Current Ratio of 1.64 indicates that FMC should not have too much problems paying its short term obligations.
With a Current ratio value of 1.64, FMC is not doing good in the industry: 61.18% of the companies in the same industry are doing better.
A Quick Ratio of 1.24 indicates that FMC should not have too much problems paying its short term obligations.
FMC has a Quick ratio (1.24) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.24 |
3. Growth
3.1 Past
FMC shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -8.20%.
Measured over the past years, FMC shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -10.61% on average per year.
The Revenue has decreased by -5.36% in the past year.
FMC shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.63% yearly.
EPS 1Y (TTM)-8.2%
EPS 3Y-20.59%
EPS 5Y-10.61%
EPS Q2Q%67.29%
Revenue 1Y (TTM)-5.36%
Revenue growth 3Y-5.59%
Revenue growth 5Y-1.63%
Sales Q2Q%6.82%
3.2 Future
Based on estimates for the next years, FMC will show a quite strong growth in Earnings Per Share. The EPS will grow by 19.75% on average per year.
Based on estimates for the next years, FMC will show a quite strong growth in Revenue. The Revenue will grow by 8.72% on average per year.
EPS Next Y1.49%
EPS Next 2Y10.75%
EPS Next 3Y8.8%
EPS Next 5Y19.75%
Revenue Next Year-3.65%
Revenue Next 2Y1.39%
Revenue Next 3Y1.97%
Revenue Next 5Y8.72%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
Based on the Price/Earnings ratio of 11.90, the valuation of FMC can be described as reasonable.
83.53% of the companies in the same industry are more expensive than FMC, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 29.35, FMC is valued rather cheaply.
FMC is valuated reasonably with a Price/Forward Earnings ratio of 11.72.
Based on the Price/Forward Earnings ratio, FMC is valued a bit cheaper than the industry average as 76.47% of the companies are valued more expensively.
FMC's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.10.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.9 | ||
| Fwd PE | 11.72 |
4.2 Price Multiples
FMC's Price/Free Cash Flow ratio is rather cheap when compared to the industry. FMC is cheaper than 88.24% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.68 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)8
PEG (5Y)N/A
EPS Next 2Y10.75%
EPS Next 3Y8.8%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.76%, FMC is a good candidate for dividend investing.
The stock price of FMC dropped by -27.02% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
FMC's Dividend Yield is rather good when compared to the industry average which is at 3.34. FMC pays more dividend than 88.24% of the companies in the same industry.
FMC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.76% |
5.2 History
On average, the dividend of FMC grows each year by 28.29%, 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)28.29%
Div Incr Years6
Div Non Decr Years17
5.3 Sustainability
The dividend of FMC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP0%
EPS Next 2Y10.75%
EPS Next 3Y8.8%
41.29
+1.03 (+2.56%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners94.37%
Inst Owner Change0.8%
Ins Owners0.39%
Ins Owner Change12.18%
Market Cap5.15B
Analysts66.67
Price Target50.95 (23.4%)
Short Float %5.65%
Short Ratio2.58
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.76% |
Yearly Dividend2.33
Dividend Growth(5Y)28.29%
DP0%
Div Incr Years6
Div Non Decr Years17
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)20.17%
Min EPS beat(2)10.67%
Max EPS beat(2)29.66%
EPS beat(4)4
Avg EPS beat(4)15.13%
Min EPS beat(4)7.6%
Max EPS beat(4)29.66%
EPS beat(8)5
Avg EPS beat(8)2.47%
EPS beat(12)9
Avg EPS beat(12)3.32%
EPS beat(16)13
Avg EPS beat(16)3.42%
Revenue beat(2)1
Avg Revenue beat(2)-3.01%
Min Revenue beat(2)-7.88%
Max Revenue beat(2)1.85%
Revenue beat(4)1
Avg Revenue beat(4)-4.21%
Min Revenue beat(4)-9.82%
Max Revenue beat(4)1.85%
Revenue beat(8)1
Avg Revenue beat(8)-4.69%
Revenue beat(12)5
Avg Revenue beat(12)-1.58%
Revenue beat(16)8
Avg Revenue beat(16)-1.03%
PT rev (1m)-25.21%
PT rev (3m)-30.74%
EPS NQ rev (1m)-89.7%
EPS NQ rev (3m)-90.43%
EPS NY rev (1m)-20.29%
EPS NY rev (3m)-25.26%
Revenue NQ rev (1m)-18.61%
Revenue NQ rev (3m)-23.75%
Revenue NY rev (1m)-4.86%
Revenue NY rev (3m)-8.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.9 | ||
| Fwd PE | 11.72 | ||
| P/S | 1.21 | ||
| P/FCF | 7.68 | ||
| P/OCF | 7.68 | ||
| P/B | 1.14 | ||
| P/tB | 8.04 | ||
| EV/EBITDA | N/A |
EPS(TTM)3.47
EY8.4%
EPS(NY)3.52
Fwd EY8.53%
FCF(TTM)5.38
FCFY13.02%
OCF(TTM)5.38
OCFY13.02%
SpS34.01
BVpS36.12
TBVpS5.14
PEG (NY)8
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.91% | ||
| ROE | 7.53% | ||
| ROCE | 7.36% | ||
| ROIC | 5.81% | ||
| ROICexc | 6.07% | ||
| ROICexgc | 11.39% | ||
| OM | 14.97% | ||
| PM (TTM) | 8% | ||
| GM | 38.83% | ||
| FCFM | 15.81% |
ROA(3y)6.85%
ROA(5y)6.57%
ROE(3y)19.73%
ROE(5y)20.26%
ROIC(3y)7.9%
ROIC(5y)9.24%
ROICexc(3y)8.37%
ROICexc(5y)9.87%
ROICexgc(3y)17.93%
ROICexgc(5y)22.19%
ROCE(3y)10.56%
ROCE(5y)12.26%
ROICexcg growth 3Y-26.4%
ROICexcg growth 5Y-15.61%
ROICexc growth 3Y-20.96%
ROICexc growth 5Y-11.11%
OM growth 3Y-11.44%
OM growth 5Y-6.44%
PM growth 3Y-18.08%
PM growth 5Y-4.96%
GM growth 3Y-3.37%
GM growth 5Y-2.99%
F-Score4
Asset Turnover0.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 5.01 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 197.67% | ||
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.24 | ||
| Altman-Z | N/A |
F-Score4
WACC8.95%
ROIC/WACC0.65
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-8.2%
EPS 3Y-20.59%
EPS 5Y-10.61%
EPS Q2Q%67.29%
EPS Next Y1.49%
EPS Next 2Y10.75%
EPS Next 3Y8.8%
EPS Next 5Y19.75%
Revenue 1Y (TTM)-5.36%
Revenue growth 3Y-5.59%
Revenue growth 5Y-1.63%
Sales Q2Q%6.82%
Revenue Next Year-3.65%
Revenue Next 2Y1.39%
Revenue Next 3Y1.97%
Revenue Next 5Y8.72%
EBIT growth 1Y-8.19%
EBIT growth 3Y-16.39%
EBIT growth 5Y-7.96%
EBIT Next Year48.26%
EBIT Next 3Y20.87%
EBIT Next 5Y19.05%
FCF growth 1Y228.98%
FCF growth 3Y-1.74%
FCF growth 5Y14.13%
OCF growth 1Y273.68%
OCF growth 3Y-6.47%
OCF growth 5Y6.56%