ICL GROUP LTD (ICL) Stock Fundamental Analysis
NYSE:ICL - New York Stock Exchange, Inc. - IL0002810146 - Common Stock - Currency: USD
ICL gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 85 industry peers in the Chemicals industry. ICL has an excellent profitability rating, but there are some minor concerns on its financial health. ICL has a valuation in line with the averages, but it does not seem to be growing.
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.
ICL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.33%, ICL is in the better half of the industry, outperforming 64.71% of the companies in the same industry.
Looking at the Return On Equity, with a value of 6.66%, ICL is in the better half of the industry, outperforming 65.88% of the companies in the same industry.
ICL's Return On Invested Capital of 5.98% is fine compared to the rest of the industry. ICL outperforms 62.35% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ICL is significantly above the industry average of 6.84%.
The 3 year average ROIC (13.86%) for ICL is well above the current ROIC(5.98%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.33% | ||
| ROE | 6.66% | ||
| ROIC | 5.98% |
ROA(3y)9.18%
ROA(5y)6.94%
ROE(3y)19.28%
ROE(5y)15.08%
ROIC(3y)13.86%
ROIC(5y)10.81%
1.3 Margins
ICL's Profit Margin of 5.66% is fine compared to the rest of the industry. ICL outperforms 70.59% of its industry peers.
In the last couple of years the Profit Margin of ICL has declined.
ICL's Operating Margin of 11.01% is fine compared to the rest of the industry. ICL outperforms 61.18% of its industry peers.
ICL's Operating Margin has declined in the last couple of years.
With a decent Gross Margin value of 32.87%, ICL is doing good in the industry, outperforming 61.18% of the companies in the same industry.
In the last couple of years the Gross Margin of ICL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.01% | ||
| PM (TTM) | 5.66% | ||
| GM | 32.87% |
OM growth 3Y-13.01%
OM growth 5Y-4.18%
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
ICL has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for ICL remains at a similar level compared to 1 year ago.
The number of shares outstanding for ICL has been increased compared to 5 years ago.
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 4.07, which is a neutral value as it means it would take ICL, 4.07 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 4.07, ICL belongs to the best of the industry, outperforming 85.88% of the companies in the same industry.
A Debt/Equity ratio of 0.32 indicates that ICL is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.32, ICL is in the better half of the industry, outperforming 72.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 4.07 | ||
| Altman-Z | N/A |
ROIC/WACC0.76
WACC7.88%
2.3 Liquidity
ICL has a Current Ratio of 1.47. This is a normal value and indicates that ICL is financially healthy and should not expect problems in meeting its short term obligations.
ICL's Current ratio of 1.47 is on the low side compared to the rest of the industry. ICL is outperformed by 69.41% of its industry peers.
ICL has a Quick Ratio of 1.47. This is a bad value and indicates that ICL is not financially healthy enough and could expect problems in meeting its short term obligations.
ICL has a worse Quick ratio (0.85) than 74.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.47 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
ICL shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -11.63%.
ICL shows a decrease in Revenue. In the last year, the revenue decreased by -3.48%.
Measured over the past years, ICL shows a small growth in Revenue. The Revenue has been growing by 5.35% on average per year.
EPS 1Y (TTM)-11.63%
EPS 3Y-16.38%
EPS 5Y0%
EPS Q2Q%0%
Revenue 1Y (TTM)-3.48%
Revenue growth 3Y-0.55%
Revenue growth 5Y5.35%
Sales Q2Q%1.84%
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.
The Revenue is expected to grow by 3.04% on average over the next years.
EPS Next Y15.35%
EPS Next 2Y15.01%
EPS Next 3Y10.38%
EPS Next 5YN/A
Revenue Next Year2.39%
Revenue Next 2Y3.23%
Revenue Next 3Y3.04%
Revenue Next 5YN/A
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 18.55, ICL is valued on the expensive side.
ICL's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.30, ICL is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 14.03, the valuation of ICL can be described as correct.
The rest of the industry has a similar Price/Forward Earnings ratio as ICL.
When comparing the Price/Forward Earnings ratio of ICL to the average of the S&P500 Index (21.76), we can say ICL is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.55 | ||
| Fwd PE | 14.03 |
4.2 Price Multiples
ICL's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. ICL is cheaper than 74.12% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, ICL is valued a bit cheaper than the industry average as 80.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.26 | ||
| EV/EBITDA | 8.08 |
4.3 Compensation for Growth
ICL's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
ICL has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.21
PEG (5Y)N/A
EPS Next 2Y15.01%
EPS Next 3Y10.38%
5. Dividend
5.1 Amount
ICL has a Yearly Dividend Yield of 2.57%.
Compared to an average industry Dividend Yield of 3.57, ICL pays a bit more dividend than its industry peers.
ICL's Dividend Yield is comparable with the S&P500 average which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.57% |
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
62.21% of the earnings are spent on dividend by ICL. This is not a sustainable payout ratio.
DP62.21%
EPS Next 2Y15.01%
EPS Next 3Y10.38%
7.05
-0.1 (-1.4%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners23.58%
Inst Owner Change0%
Ins Owners0.1%
Ins Owner ChangeN/A
Market Cap9.10B
Analysts48.89
Price Target0.07 (-99.01%)
Short Float %0.26%
Short Ratio2.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.57% |
Yearly Dividend0.19
Dividend Growth(5Y)-1.81%
DP62.21%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-8.67%
Min EPS beat(2)-18.25%
Max EPS beat(2)0.9%
EPS beat(4)3
Avg EPS beat(4)6.19%
Min EPS beat(4)-18.25%
Max EPS beat(4)25.18%
EPS beat(8)6
Avg EPS beat(8)8.98%
EPS beat(12)8
Avg EPS beat(12)7.78%
EPS beat(16)12
Avg EPS beat(16)19.31%
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
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)20.11%
PT rev (3m)43.2%
EPS NQ rev (1m)9.46%
EPS NQ rev (3m)-1.82%
EPS NY rev (1m)0%
EPS NY rev (3m)-2.47%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.55 | ||
| Fwd PE | 14.03 | ||
| P/S | 1.32 | ||
| P/FCF | 15.26 | ||
| P/OCF | 6.72 | ||
| P/B | 1.56 | ||
| P/tB | 1.85 | ||
| EV/EBITDA | 8.08 |
EPS(TTM)0.38
EY5.39%
EPS(NY)0.5
Fwd EY7.13%
FCF(TTM)0.46
FCFY6.55%
OCF(TTM)1.05
OCFY14.88%
SpS5.33
BVpS4.53
TBVpS3.82
PEG (NY)1.21
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.33% | ||
| ROE | 6.66% | ||
| ROCE | 8.33% | ||
| ROIC | 5.98% | ||
| ROICexc | 6.28% | ||
| ROICexgc | 7.02% | ||
| OM | 11.01% | ||
| PM (TTM) | 5.66% | ||
| GM | 32.87% | ||
| FCFM | 8.67% |
ROA(3y)9.18%
ROA(5y)6.94%
ROE(3y)19.28%
ROE(5y)15.08%
ROIC(3y)13.86%
ROIC(5y)10.81%
ROICexc(3y)14.67%
ROICexc(5y)11.45%
ROICexgc(3y)16.24%
ROICexgc(5y)12.7%
ROCE(3y)19.96%
ROCE(5y)15.59%
ROICexcg growth 3Y-15.7%
ROICexcg growth 5Y-1.81%
ROICexc growth 3Y-15.48%
ROICexc growth 5Y-2.08%
OM growth 3Y-13.01%
OM growth 5Y-4.18%
PM growth 3Y-19.15%
PM growth 5Y-7.97%
GM growth 3Y-4.23%
GM growth 5Y-0.88%
F-Score4
Asset Turnover0.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 4.07 | ||
| Debt/EBITDA | 1.37 | ||
| Cap/Depr | 126.33% | ||
| Cap/Sales | 11.03% | ||
| Interest Coverage | 6.06 | ||
| Cash Conversion | 99.78% | ||
| Profit Quality | 153.21% | ||
| Current Ratio | 1.47 | ||
| Quick Ratio | 0.85 | ||
| Altman-Z | N/A |
F-Score4
WACC7.88%
ROIC/WACC0.76
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)-11.63%
EPS 3Y-16.38%
EPS 5Y0%
EPS Q2Q%0%
EPS Next Y15.35%
EPS Next 2Y15.01%
EPS Next 3Y10.38%
EPS Next 5YN/A
Revenue 1Y (TTM)-3.48%
Revenue growth 3Y-0.55%
Revenue growth 5Y5.35%
Sales Q2Q%1.84%
Revenue Next Year2.39%
Revenue Next 2Y3.23%
Revenue Next 3Y3.04%
Revenue Next 5YN/A
EBIT growth 1Y-13.88%
EBIT growth 3Y-13.49%
EBIT growth 5Y0.95%
EBIT Next Year73.14%
EBIT Next 3Y23.84%
EBIT Next 5YN/A
FCF growth 1Y-54.22%
FCF growth 3Y18.48%
FCF growth 5Y12.66%
OCF growth 1Y-34.97%
OCF growth 3Y11.29%
OCF growth 5Y8.15%