ICL GROUP LTD (ICL) Stock Fundamental Analysis
NYSE:ICL - New York Stock Exchange, Inc. - IL0002810146 - Common Stock - Currency: USD
Taking everything into account, ICL scores 5 out of 10 in our fundamental rating. ICL was compared to 85 industry peers in the Chemicals industry. ICL scores excellent on profitability, but there are some minor concerns on its financial health. ICL has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
ICL had positive earnings in the past year.
In the past year ICL had a positive cash flow from operations.
In the past 5 years ICL has always been profitable.
Each year in the past 5 years ICL had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.60%, ICL is in the better half of the industry, outperforming 68.24% of the companies in the same industry.
The Return On Equity of ICL (7.11%) is better than 62.35% of its industry peers.
With a decent Return On Invested Capital value of 6.18%, ICL is doing good in the industry, outperforming 63.53% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for ICL is significantly above the industry average of 7.05%.
The 3 year average ROIC (13.92%) for ICL is well above the current ROIC(6.18%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.6% | ||
| ROE | 7.11% | ||
| ROIC | 6.18% |
ROA(3y)9.18%
ROA(5y)6.94%
ROE(3y)19.28%
ROE(5y)15.08%
ROIC(3y)13.92%
ROIC(5y)10.85%
1.3 Margins
ICL has a better Profit Margin (5.95%) than 75.29% of its industry peers.
In the last couple of years the Profit Margin of ICL has declined.
ICL has a better Operating Margin (11.33%) than 65.88% of its industry peers.
In the last couple of years the Operating Margin of ICL has declined.
Looking at the Gross Margin, with a value of 32.98%, ICL is in the better half of the industry, outperforming 65.88% of the companies in the same industry.
ICL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.33% | ||
| PM (TTM) | 5.95% | ||
| GM | 32.98% |
OM growth 3Y-13.08%
OM growth 5Y-4.23%
PM growth 3Y-19.15%
PM growth 5Y-7.97%
GM growth 3Y-4.23%
GM growth 5Y-0.88%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ICL is creating some value.
Compared to 1 year ago, ICL has about the same amount of shares outstanding.
Compared to 5 years ago, ICL has more shares outstanding
The debt/assets ratio for ICL has been reduced compared to a year ago.
2.2 Solvency
The Debt to FCF ratio of ICL is 3.04, which is a good value as it means it would take ICL, 3.04 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 3.04, ICL belongs to the best of the industry, outperforming 87.06% of the companies in the same industry.
A Debt/Equity ratio of 0.33 indicates that ICL is not too dependend on debt financing.
ICL has a Debt to Equity ratio of 0.33. This is in the better half of the industry: ICL outperforms 70.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 3.04 | ||
| Altman-Z | N/A |
ROIC/WACC0.8
WACC7.75%
2.3 Liquidity
ICL has a Current Ratio of 1.54. This is a normal value and indicates that ICL is financially healthy and should not expect problems in meeting its short term obligations.
ICL has a Current ratio of 1.54. This is in the lower half of the industry: ICL underperforms 61.18% of its industry peers.
A Quick Ratio of 0.84 indicates that ICL may have some problems paying its short term obligations.
ICL has a worse Quick ratio (0.84) than 68.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.54 | ||
| Quick Ratio | 0.84 |
3. Growth
3.1 Past
ICL shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -33.33%.
Looking at the last year, ICL shows a decrease in Revenue. The Revenue has decreased by -8.59% in the last year.
ICL shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.35% yearly.
EPS 1Y (TTM)-33.33%
EPS 3Y-16.38%
EPS 5Y0%
EPS Q2Q%-20%
Revenue 1Y (TTM)-8.59%
Revenue growth 3Y-0.55%
Revenue growth 5Y5.35%
Sales Q2Q%-5.27%
3.2 Future
ICL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.38% yearly.
ICL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.96% yearly.
EPS Next Y15.35%
EPS Next 2Y15.01%
EPS Next 3Y10.38%
EPS Next 5YN/A
Revenue Next Year3.86%
Revenue Next 2Y3.96%
Revenue Next 3YN/A
Revenue Next 5YN/A
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 16.74, the valuation of ICL can be described as correct.
The rest of the industry has a similar Price/Earnings ratio as ICL.
When comparing the Price/Earnings ratio of ICL to the average of the S&P500 Index (27.63), we can say ICL is valued slightly cheaper.
A Price/Forward Earnings ratio of 14.51 indicates a correct valuation of ICL.
ICL's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 20.85. ICL is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.74 | ||
| Fwd PE | 14.51 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ICL indicates a somewhat cheap valuation: ICL is cheaper than 62.35% of the companies listed in the same industry.
78.82% of the companies in the same industry are more expensive than ICL, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.87 | ||
| EV/EBITDA | 7.26 |
4.3 Compensation for Growth
ICL's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of ICL may justify a higher PE ratio.
PEG (NY)1.09
PEG (5Y)N/A
EPS Next 2Y15.01%
EPS Next 3Y10.38%
5. Dividend
5.1 Amount
ICL has a Yearly Dividend Yield of 2.94%.
ICL's Dividend Yield is a higher than the industry average which is at 3.98.
ICL's Dividend Yield is comparable with the S&P500 average which is at 2.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.94% |
5.2 History
The dividend of ICL decreases each year by -1.81%.
ICL has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-1.81%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
ICL pays out 61.67% of its income as dividend. This is not a sustainable payout ratio.
DP61.67%
EPS Next 2Y15.01%
EPS Next 3Y10.38%
6.36
-0.01 (-0.16%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners23.59%
Inst Owner Change-0.47%
Ins Owners0.1%
Ins Owner ChangeN/A
Market Cap8.21B
Analysts46.67
Price Target0.05 (-99.21%)
Short Float %0.42%
Short Ratio3.29
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.94% |
Yearly Dividend0.19
Dividend Growth(5Y)-1.81%
DP61.67%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.04%
Min EPS beat(2)0.9%
Max EPS beat(2)25.18%
EPS beat(4)4
Avg EPS beat(4)11.74%
Min EPS beat(4)0.9%
Max EPS beat(4)25.18%
EPS beat(8)6
Avg EPS beat(8)11.15%
EPS beat(12)9
Avg EPS beat(12)20.36%
EPS beat(16)13
Avg EPS beat(16)23.32%
Revenue beat(2)0
Avg Revenue beat(2)-2.77%
Min Revenue beat(2)-4.13%
Max Revenue beat(2)-1.41%
Revenue beat(4)0
Avg Revenue beat(4)-3.07%
Min Revenue beat(4)-5.35%
Max Revenue beat(4)-1.41%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-1.07%
PT rev (3m)-3.74%
EPS NQ rev (1m)-0.91%
EPS NQ rev (3m)-9.17%
EPS NY rev (1m)3.03%
EPS NY rev (3m)6.05%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.74 | ||
| Fwd PE | 14.51 | ||
| P/S | 1.2 | ||
| P/FCF | 10.87 | ||
| P/OCF | 5.59 | ||
| P/B | 1.43 | ||
| P/tB | 1.69 | ||
| EV/EBITDA | 7.26 |
EPS(TTM)0.38
EY5.97%
EPS(NY)0.44
Fwd EY6.89%
FCF(TTM)0.59
FCFY9.2%
OCF(TTM)1.14
OCFY17.89%
SpS5.3
BVpS4.44
TBVpS3.76
PEG (NY)1.09
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.6% | ||
| ROE | 7.11% | ||
| ROCE | 8.62% | ||
| ROIC | 6.18% | ||
| ROICexc | 6.5% | ||
| ROICexgc | 7.24% | ||
| OM | 11.33% | ||
| PM (TTM) | 5.95% | ||
| GM | 32.98% | ||
| FCFM | 11.04% |
ROA(3y)9.18%
ROA(5y)6.94%
ROE(3y)19.28%
ROE(5y)15.08%
ROIC(3y)13.92%
ROIC(5y)10.85%
ROICexc(3y)14.73%
ROICexc(5y)11.49%
ROICexgc(3y)16.32%
ROICexgc(5y)12.74%
ROCE(3y)19.95%
ROCE(5y)15.58%
ROICexcg growth 3Y-14.77%
ROICexcg growth 5Y-1.16%
ROICexc growth 3Y-14.65%
ROICexc growth 5Y-1.5%
OM growth 3Y-13.08%
OM growth 5Y-4.23%
PM growth 3Y-19.15%
PM growth 5Y-7.97%
GM growth 3Y-4.23%
GM growth 5Y-0.88%
F-Score4
Asset Turnover0.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 3.04 | ||
| Debt/EBITDA | 1.39 | ||
| Cap/Depr | 119.63% | ||
| Cap/Sales | 10.42% | ||
| Interest Coverage | 6.35 | ||
| Cash Conversion | 107.08% | ||
| Profit Quality | 185.5% | ||
| Current Ratio | 1.54 | ||
| Quick Ratio | 0.84 | ||
| Altman-Z | N/A |
F-Score4
WACC7.75%
ROIC/WACC0.8
Cap/Depr(3y)138.38%
Cap/Depr(5y)133.57%
Cap/Sales(3y)9.41%
Cap/Sales(5y)9.89%
Profit Quality(3y)123.56%
Profit Quality(5y)409.37%
High Growth Momentum
Growth
EPS 1Y (TTM)-33.33%
EPS 3Y-16.38%
EPS 5Y0%
EPS Q2Q%-20%
EPS Next Y15.35%
EPS Next 2Y15.01%
EPS Next 3Y10.38%
EPS Next 5YN/A
Revenue 1Y (TTM)-8.59%
Revenue growth 3Y-0.55%
Revenue growth 5Y5.35%
Sales Q2Q%-5.27%
Revenue Next Year3.86%
Revenue Next 2Y3.96%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-32.08%
EBIT growth 3Y-13.56%
EBIT growth 5Y0.9%
EBIT Next Year82.26%
EBIT Next 3Y21.85%
EBIT Next 5YN/A
FCF growth 1Y-7.36%
FCF growth 3Y18.48%
FCF growth 5Y12.66%
OCF growth 1Y-7.96%
OCF growth 3Y11.29%
OCF growth 5Y8.15%