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 valuation in line with the averages, but on the other hand it scores bad on growth. Finally 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.
Of the past 5 years FMC 4 years had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 2.91%, FMC is doing good in the industry, outperforming 64.71% of the companies in the same industry.
The Return On Equity of FMC (7.53%) is better than 64.71% of its industry peers.
With a Return On Invested Capital value of 5.81%, FMC perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for FMC is in line with the industry average of 7.01%.
| 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's Profit Margin of 8.00% is amongst the best of the industry. FMC outperforms 82.35% of its industry peers.
In the last couple of years the Profit Margin of FMC has declined.
FMC has a Operating Margin of 14.97%. This is in the better half of the industry: FMC outperforms 80.00% of its industry peers.
In the last couple of years the Operating Margin of FMC has declined.
Looking at the Gross Margin, with a value of 38.83%, FMC is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
FMC's Gross Margin has declined in the last couple of years.
| 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.
The number of shares outstanding for FMC remains at a similar level compared to 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
The Debt to FCF ratio of FMC is 5.01, which is a neutral value as it means it would take FMC, 5.01 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 5.01, FMC is in the better half of the industry, outperforming 75.29% of the companies in the same industry.
A Debt/Equity ratio of 0.67 indicates that FMC is somewhat dependend on debt financing.
FMC has a Debt to Equity ratio (0.67) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 5.01 | ||
| Altman-Z | N/A |
ROIC/WACC0.66
WACC8.78%
2.3 Liquidity
FMC has a Current Ratio of 1.64. This is a normal value and indicates that FMC is financially healthy and should not expect problems in meeting its short term obligations.
FMC has a Current ratio of 1.64. This is comparable to the rest of the industry: FMC outperforms 41.18% of its industry peers.
A Quick Ratio of 1.24 indicates that FMC should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.24, FMC is in line with its industry, outperforming 57.65% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.24 |
3. Growth
3.1 Past
The earnings per share for FMC have decreased by -8.20% in the last year.
The earnings per share for FMC have been decreasing by -10.61% on average. This is quite bad
Looking at the last year, FMC shows a decrease in Revenue. The Revenue has decreased by -5.36% in the last 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
The Earnings Per Share is expected to grow by 12.57% on average over the next years. This is quite good.
The Revenue is expected to grow by 6.30% on average over the next years.
EPS Next Y-0.93%
EPS Next 2Y9.27%
EPS Next 3Y10.14%
EPS Next 5Y12.57%
Revenue Next Year-3.81%
Revenue Next 2Y1.45%
Revenue Next 3Y2.62%
Revenue Next 5Y6.3%
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 10.90, which indicates a very decent valuation of FMC.
Compared to the rest of the industry, the Price/Earnings ratio of FMC indicates a somewhat cheap valuation: FMC is cheaper than 76.47% of the companies listed in the same industry.
FMC's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.29.
FMC is valuated reasonably with a Price/Forward Earnings ratio of 11.01.
Based on the Price/Forward Earnings ratio, FMC is valued a bit cheaper than the industry average as 75.29% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.08, FMC is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.9 | ||
| Fwd PE | 11.01 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, FMC is valued cheaply inside the industry as 88.24% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.04 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y9.27%
EPS Next 3Y10.14%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.13%, FMC is a good candidate for dividend investing.
In the last 3 months the price of FMC has falen by -29.18%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
FMC's Dividend Yield is rather good when compared to the industry average which is at 4.02. FMC pays more dividend than 85.88% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.52, FMC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.13% |
5.2 History
The dividend of FMC is nicely growing with an annual growth rate of 28.29%!
FMC has been paying a dividend for at least 10 years, so it has a reliable track record.
FMC has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)28.29%
Div Incr Years6
Div Non Decr Years17
5.3 Sustainability
FMC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP0%
EPS Next 2Y9.27%
EPS Next 3Y10.14%
37.84
+0.58 (+1.56%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners94.37%
Inst Owner Change0.3%
Ins Owners0.39%
Ins Owner Change12.43%
Market Cap4.73B
Analysts67.2
Price Target48.51 (28.2%)
Short Float %5.37%
Short Ratio2.18
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.13% |
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)-4.78%
PT rev (3m)-32.11%
EPS NQ rev (1m)14%
EPS NQ rev (3m)-89.49%
EPS NY rev (1m)-2.38%
EPS NY rev (3m)-26.26%
Revenue NQ rev (1m)0.15%
Revenue NQ rev (3m)-23.88%
Revenue NY rev (1m)-0.17%
Revenue NY rev (3m)-6.62%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.9 | ||
| Fwd PE | 11.01 | ||
| P/S | 1.11 | ||
| P/FCF | 7.04 | ||
| P/OCF | 7.04 | ||
| P/B | 1.05 | ||
| P/tB | 7.37 | ||
| EV/EBITDA | N/A |
EPS(TTM)3.47
EY9.17%
EPS(NY)3.44
Fwd EY9.09%
FCF(TTM)5.37
FCFY14.2%
OCF(TTM)5.37
OCFY14.2%
SpS34
BVpS36.1
TBVpS5.13
PEG (NY)N/A
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
WACC8.78%
ROIC/WACC0.66
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 Y-0.93%
EPS Next 2Y9.27%
EPS Next 3Y10.14%
EPS Next 5Y12.57%
Revenue 1Y (TTM)-5.36%
Revenue growth 3Y-5.59%
Revenue growth 5Y-1.63%
Sales Q2Q%6.82%
Revenue Next Year-3.81%
Revenue Next 2Y1.45%
Revenue Next 3Y2.62%
Revenue Next 5Y6.3%
EBIT growth 1Y-8.19%
EBIT growth 3Y-16.39%
EBIT growth 5Y-7.96%
EBIT Next Year27.58%
EBIT Next 3Y14.96%
EBIT Next 5Y14.34%
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%