INGREDION INC (INGR) Stock Fundamental Analysis
USA - NYSE:INGR - US4571871023 - Common Stock
124.04 USD
+0.11 (+0.09%)
124.04 USD
0 (0%)
Taking everything into account, INGR scores 7 out of 10 in our fundamental rating. INGR was compared to 89 industry peers in the Food Products industry. INGR has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. A decent growth rate in combination with a cheap valuation! Better keep an eye on INGR. These ratings would make INGR suitable for value investing!
1. Profitability
1.1 Basic Checks
INGR had positive earnings in the past year.
In the past year INGR had a positive cash flow from operations.
Each year in the past 5 years INGR has been profitable.
Each year in the past 5 years INGR had a positive operating cash flow.
1.2 Ratios
INGR has a better Return On Assets (8.69%) than 87.64% of its industry peers.
Looking at the Return On Equity, with a value of 16.11%, INGR belongs to the top of the industry, outperforming 85.39% of the companies in the same industry.
INGR's Return On Invested Capital of 12.25% is amongst the best of the industry. INGR outperforms 86.52% of its industry peers.
INGR had an Average Return On Invested Capital over the past 3 years of 10.82%. This is significantly below the industry average of 28.31%.
The 3 year average ROIC (10.82%) for INGR is below the current ROIC(12.25%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.69% | ||
| ROE | 16.11% | ||
| ROIC | 12.25% |
ROA(3y)7.87%
ROA(5y)6.07%
ROE(3y)16.94%
ROE(5y)13.28%
ROIC(3y)10.82%
ROIC(5y)9.98%
1.3 Margins
INGR has a better Profit Margin (9.24%) than 83.15% of its industry peers.
In the last couple of years the Profit Margin of INGR has grown nicely.
The Operating Margin of INGR (14.87%) is better than 84.27% of its industry peers.
In the last couple of years the Operating Margin of INGR has grown nicely.
With a Gross Margin value of 25.57%, INGR perfoms like the industry average, outperforming 59.55% of the companies in the same industry.
In the last couple of years the Gross Margin of INGR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.87% | ||
| PM (TTM) | 9.24% | ||
| GM | 25.57% |
OM growth 3Y10.37%
OM growth 5Y3.2%
PM growth 3Y72.48%
PM growth 5Y5.54%
GM growth 3Y7.68%
GM growth 5Y2.67%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so INGR is still creating some value.
Compared to 1 year ago, INGR has less shares outstanding
The number of shares outstanding for INGR has been reduced compared to 5 years ago.
INGR has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.05 indicates that INGR is not in any danger for bankruptcy at the moment.
INGR's Altman-Z score of 4.05 is amongst the best of the industry. INGR outperforms 80.90% of its industry peers.
INGR has a debt to FCF ratio of 2.23. This is a good value and a sign of high solvency as INGR would need 2.23 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 2.23, INGR belongs to the best of the industry, outperforming 84.27% of the companies in the same industry.
INGR has a Debt/Equity ratio of 0.43. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of INGR (0.43) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 2.23 | ||
| Altman-Z | 4.05 |
ROIC/WACC1.68
WACC7.3%
2.3 Liquidity
A Current Ratio of 2.78 indicates that INGR has no problem at all paying its short term obligations.
With a decent Current ratio value of 2.78, INGR is doing good in the industry, outperforming 79.78% of the companies in the same industry.
A Quick Ratio of 1.81 indicates that INGR should not have too much problems paying its short term obligations.
INGR has a Quick ratio of 1.81. This is in the better half of the industry: INGR outperforms 79.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.78 | ||
| Quick Ratio | 1.81 |
3. Growth
3.1 Past
INGR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 24.54%, which is quite impressive.
The Earnings Per Share has been growing by 9.90% on average over the past years. This is quite good.
Looking at the last year, INGR shows a decrease in Revenue. The Revenue has decreased by -5.16% in the last year.
INGR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.66% yearly.
EPS 1Y (TTM)24.54%
EPS 3Y16.87%
EPS 5Y9.9%
EPS Q2Q%0%
Revenue 1Y (TTM)-5.16%
Revenue growth 3Y2.53%
Revenue growth 5Y3.66%
Sales Q2Q%-2.4%
3.2 Future
The Earnings Per Share is expected to grow by 1.09% on average over the next years.
Based on estimates for the next years, INGR will show a small growth in Revenue. The Revenue will grow by 1.07% on average per year.
EPS Next Y9.12%
EPS Next 2Y5.7%
EPS Next 3Y4.29%
EPS Next 5Y1.09%
Revenue Next Year-0.81%
Revenue Next 2Y0.81%
Revenue Next 3Y1.44%
Revenue Next 5Y1.07%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
A Price/Earnings ratio of 10.77 indicates a reasonable valuation of INGR.
INGR's Price/Earnings ratio is rather cheap when compared to the industry. INGR is cheaper than 82.02% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.41, INGR is valued rather cheaply.
A Price/Forward Earnings ratio of 10.44 indicates a reasonable valuation of INGR.
INGR's Price/Forward Earnings ratio is rather cheap when compared to the industry. INGR is cheaper than 87.64% of the companies in the same industry.
INGR's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.77 | ||
| Fwd PE | 10.44 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of INGR indicates a somewhat cheap valuation: INGR is cheaper than 77.53% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, INGR is valued cheaper than 83.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.91 | ||
| EV/EBITDA | 6.77 |
4.3 Compensation for Growth
INGR's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
INGR has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.18
PEG (5Y)1.09
EPS Next 2Y5.7%
EPS Next 3Y4.29%
5. Dividend
5.1 Amount
INGR has a Yearly Dividend Yield of 2.59%. Purely for dividend investing, there may be better candidates out there.
INGR's Dividend Yield is a higher than the industry average which is at 5.03.
INGR's Dividend Yield is comparable with the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.59% |
5.2 History
The dividend of INGR has a limited annual growth rate of 4.40%.
INGR has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of INGR decreased recently.
Dividend Growth(5Y)4.4%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
INGR pays out 31.36% of its income as dividend. This is a sustainable payout ratio.
INGR's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP31.36%
EPS Next 2Y5.7%
EPS Next 3Y4.29%
124.04
+0.11 (+0.09%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners93.58%
Inst Owner Change-0.02%
Ins Owners0.82%
Ins Owner Change0.1%
Market Cap7.96B
Analysts76.92
Price Target150.85 (21.61%)
Short Float %3.03%
Short Ratio4.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.59% |
Yearly Dividend3.24
Dividend Growth(5Y)4.4%
DP31.36%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.78%
Min EPS beat(2)0.92%
Max EPS beat(2)20.64%
EPS beat(4)4
Avg EPS beat(4)9.44%
Min EPS beat(4)0.51%
Max EPS beat(4)20.64%
EPS beat(8)7
Avg EPS beat(8)8.85%
EPS beat(12)10
Avg EPS beat(12)10.12%
EPS beat(16)13
Avg EPS beat(16)8.14%
Revenue beat(2)0
Avg Revenue beat(2)-4.09%
Min Revenue beat(2)-4.88%
Max Revenue beat(2)-3.31%
Revenue beat(4)0
Avg Revenue beat(4)-4.95%
Min Revenue beat(4)-5.81%
Max Revenue beat(4)-3.31%
Revenue beat(8)0
Avg Revenue beat(8)-6.24%
Revenue beat(12)0
Avg Revenue beat(12)-5.7%
Revenue beat(16)3
Avg Revenue beat(16)-3.72%
PT rev (1m)0%
PT rev (3m)-1.66%
EPS NQ rev (1m)0.34%
EPS NQ rev (3m)0.31%
EPS NY rev (1m)0.64%
EPS NY rev (3m)0.79%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.07%
Revenue NY rev (1m)-1.16%
Revenue NY rev (3m)-1.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.77 | ||
| Fwd PE | 10.44 | ||
| P/S | 1.09 | ||
| P/FCF | 9.91 | ||
| P/OCF | 6.76 | ||
| P/B | 1.9 | ||
| P/tB | 2.73 | ||
| EV/EBITDA | 6.77 |
EPS(TTM)11.52
EY9.29%
EPS(NY)11.88
Fwd EY9.57%
FCF(TTM)12.51
FCFY10.09%
OCF(TTM)18.34
OCFY14.78%
SpS113.99
BVpS65.39
TBVpS45.45
PEG (NY)1.18
PEG (5Y)1.09
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.69% | ||
| ROE | 16.11% | ||
| ROCE | 16.69% | ||
| ROIC | 12.25% | ||
| ROICexc | 14.12% | ||
| ROICexgc | 18.22% | ||
| OM | 14.87% | ||
| PM (TTM) | 9.24% | ||
| GM | 25.57% | ||
| FCFM | 10.98% |
ROA(3y)7.87%
ROA(5y)6.07%
ROE(3y)16.94%
ROE(5y)13.28%
ROIC(3y)10.82%
ROIC(5y)9.98%
ROICexc(3y)11.98%
ROICexc(5y)11%
ROICexgc(3y)15.53%
ROICexgc(5y)14.43%
ROCE(3y)15.46%
ROCE(5y)14.31%
ROICexcg growth 3Y14.86%
ROICexcg growth 5Y5.37%
ROICexc growth 3Y15.04%
ROICexc growth 5Y5.66%
OM growth 3Y10.37%
OM growth 5Y3.2%
PM growth 3Y72.48%
PM growth 5Y5.54%
GM growth 3Y7.68%
GM growth 5Y2.67%
F-Score7
Asset Turnover0.94
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 2.23 | ||
| Debt/EBITDA | 1.37 | ||
| Cap/Depr | 173.95% | ||
| Cap/Sales | 5.11% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 90.33% | ||
| Profit Quality | 118.79% | ||
| Current Ratio | 2.78 | ||
| Quick Ratio | 1.81 | ||
| Altman-Z | 4.05 |
F-Score7
WACC7.3%
ROIC/WACC1.68
Cap/Depr(3y)141.49%
Cap/Depr(5y)144.09%
Cap/Sales(3y)3.9%
Cap/Sales(5y)4.35%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)24.54%
EPS 3Y16.87%
EPS 5Y9.9%
EPS Q2Q%0%
EPS Next Y9.12%
EPS Next 2Y5.7%
EPS Next 3Y4.29%
EPS Next 5Y1.09%
Revenue 1Y (TTM)-5.16%
Revenue growth 3Y2.53%
Revenue growth 5Y3.66%
Sales Q2Q%-2.4%
Revenue Next Year-0.81%
Revenue Next 2Y0.81%
Revenue Next 3Y1.44%
Revenue Next 5Y1.07%
EBIT growth 1Y20.22%
EBIT growth 3Y13.16%
EBIT growth 5Y6.97%
EBIT Next Year27.76%
EBIT Next 3Y9.67%
EBIT Next 5Y4.11%
FCF growth 1Y542.4%
FCF growth 3Y131.07%
FCF growth 5Y26.38%
OCF growth 1Y170.58%
OCF growth 3Y54.15%
OCF growth 5Y16.13%