FMC CORP (FMC)
US3024913036 - Common Stock
FMC gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 84 industry peers in the Chemicals industry. FMC has an excellent profitability rating, but there are concerns on its financial health. 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.
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 95.29% of its industry peers.
Looking at the Return On Equity, with a value of 31.51%, FMC belongs to the top of the industry, outperforming 95.29% of the companies in the same industry.
With a Return On Invested Capital value of 4.74%, FMC perfoms like the industry average, outperforming 54.12% of the companies in the same industry.
FMC had an Average Return On Invested Capital over the past 3 years of 10.55%. This is above the industry average of 6.50%.
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
The Profit Margin of FMC (34.83%) is better than 98.82% of its industry peers.
FMC's Profit Margin has improved in the last couple of years.
FMC has a better Operating Margin (12.79%) than 71.76% of its industry peers.
FMC's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 37.43%, FMC is in the better half of the industry, outperforming 75.29% of the companies in the same industry.
FMC's Gross Margin has declined in the last couple of years.
| 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.
FMC has less shares outstanding than it did 1 year ago.
FMC has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, FMC has a worse debt to assets ratio.
2.2 Solvency
FMC has an Altman-Z score of 2.00. 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 2.00 is in line compared to the rest of the industry. FMC outperforms 55.29% 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 of 8.26. This is comparable to the rest of the industry: FMC outperforms 55.29% of its industry peers.
FMC has a Debt/Equity ratio of 0.86. This is a neutral value indicating FMC is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.86, FMC is doing worse than 62.35% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.86 | ||
| Debt/FCF | 8.26 | ||
| Altman-Z | 2 |
ROIC/WACC0.59
WACC8.05%
2.3 Liquidity
FMC has a Current Ratio of 1.48. This is a normal value and indicates that FMC is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.48, FMC is not doing good in the industry: 74.12% of the companies in the same industry are doing better.
FMC has a Quick Ratio of 1.09. This is a normal value and indicates that FMC is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.09, FMC is not doing good in the industry: 62.35% of the companies in the same industry are doing better.
| 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.
Looking at the last year, FMC shows a very negative growth in Revenue. The Revenue has decreased by -16.02% in the last year.
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
FMC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.60% yearly.
Based on estimates for the next years, FMC will show a small growth in Revenue. The Revenue will grow by 4.64% on average per year.
EPS Next Y-9.82%
EPS Next 2Y11.91%
EPS Next 3Y14.76%
EPS Next 5Y13.6%
Revenue Next Year-4.61%
Revenue Next 2Y-0.14%
Revenue Next 3Y1.96%
Revenue Next 5Y4.64%
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
FMC is valuated rather expensively with a Price/Earnings ratio of 21.27.
FMC's Price/Earnings is on the same level as the industry average.
FMC is valuated rather cheaply when we compare the Price/Earnings ratio to 28.96, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 12.36, FMC is valued correctly.
FMC's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. FMC is cheaper than 70.59% of the companies in the same industry.
FMC is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.82, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.27 | ||
| Fwd PE | 12.36 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FMC is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, FMC is valued a bit cheaper than the industry average as 75.29% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.81 | ||
| EV/EBITDA | 14.01 |
4.3 Compensation for Growth
FMC has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as FMC's earnings are expected to grow with 14.76% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y11.91%
EPS Next 3Y14.76%
5. Dividend
5.1 Amount
FMC has a Yearly Dividend Yield of 4.18%, which is a nice return.
Compared to an average industry Dividend Yield of 2.95, FMC pays a better dividend. On top of this FMC pays more dividend than 85.88% of the companies listed in the same industry.
FMC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.23.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.18% |
5.2 History
The dividend of FMC is nicely growing with an annual growth rate of 28.23%!
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
20.01% of the earnings are spent on dividend by FMC. This is a low number and sustainable payout ratio.
FMC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP20.01%
EPS Next 2Y11.91%
EPS Next 3Y14.76%
FMC CORP
NYSE:FMC (11/22/2024, 9:37:43 AM)
58.49
+0.16 (+0.27%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap7.30B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.18% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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EPS beat(8)
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EPS beat(16)
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Revenue beat(2)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.27 | ||
| Fwd PE | 12.36 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.88% | ||
| ROE | 31.51% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 12.79% | ||
| PM (TTM) | 34.83% | ||
| GM | 37.43% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.86 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.48 | ||
| Quick Ratio | 1.09 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-45.87%
EPS 3Y-15.21%
EPS 5Y
EPS Q2Q%
EPS Next Y-9.82%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-16.02%
Revenue growth 3Y-1.13%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y