INGREDION INC (INGR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:INGR - US4571871023 - Common Stock
107.68 USD
-0.45 (-0.42%)
107.68 USD
0 (0%)
INGR gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 87 industry peers in the Food Products industry. INGR scores excellent points on both the profitability and health parts. This is a solid base for a good stock. INGR is valued quite cheap, but it does not seem to be growing. These ratings could make INGR a good candidate for value investing.
1. Profitability
1.1 Basic Checks
INGR had positive earnings in the past year.
INGR had a positive operating cash flow in the past year.
INGR had positive earnings in each of the past 5 years.
Each year in the past 5 years INGR had a positive operating cash flow.
1.2 Ratios
The Return On Assets of INGR (8.41%) is better than 89.66% of its industry peers.
INGR has a Return On Equity of 15.55%. This is amongst the best in the industry. INGR outperforms 88.51% of its industry peers.
The Return On Invested Capital of INGR (11.85%) is better than 89.66% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for INGR is significantly below the industry average of 28.38%.
The 3 year average ROIC (10.82%) for INGR is below the current ROIC(11.85%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.41% | ||
| ROE | 15.55% | ||
| ROIC | 11.85% |
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 (9.07%) than 85.06% of its industry peers.
INGR's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 14.60%, INGR belongs to the best of the industry, outperforming 86.21% of the companies in the same industry.
INGR's Operating Margin has improved in the last couple of years.
INGR's Gross Margin of 25.43% is fine compared to the rest of the industry. INGR outperforms 62.07% of its industry peers.
In the last couple of years the Gross Margin of INGR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.6% | ||
| PM (TTM) | 9.07% | ||
| GM | 25.43% |
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
INGR 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 INGR has been reduced compared to 1 year ago.
Compared to 5 years ago, INGR has less shares outstanding
The debt/assets ratio for INGR has been reduced compared to a year ago.
2.2 Solvency
INGR has an Altman-Z score of 3.85. This indicates that INGR is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of INGR (3.85) is better than 85.06% of its industry peers.
INGR has a debt to FCF ratio of 3.29. This is a good value and a sign of high solvency as INGR would need 3.29 years to pay back of all of its debts.
INGR's Debt to FCF ratio of 3.29 is amongst the best of the industry. INGR outperforms 82.76% of its industry peers.
A Debt/Equity ratio of 0.42 indicates that INGR is not too dependend on debt financing.
INGR has a Debt to Equity ratio (0.42) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 3.29 | ||
| Altman-Z | 3.85 |
ROIC/WACC1.66
WACC7.15%
2.3 Liquidity
A Current Ratio of 2.75 indicates that INGR has no problem at all paying its short term obligations.
With an excellent Current ratio value of 2.75, INGR belongs to the best of the industry, outperforming 80.46% of the companies in the same industry.
A Quick Ratio of 1.79 indicates that INGR should not have too much problems paying its short term obligations.
INGR's Quick ratio of 1.79 is amongst the best of the industry. INGR outperforms 81.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.75 | ||
| Quick Ratio | 1.79 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 12.54% over the past year.
The Earnings Per Share has been growing by 9.90% on average over the past years. This is quite good.
INGR shows a decrease in Revenue. In the last year, the revenue decreased by -3.83%.
The Revenue has been growing slightly by 3.66% on average over the past years.
EPS 1Y (TTM)12.54%
EPS 3Y16.87%
EPS 5Y9.9%
EPS Q2Q%-9.84%
Revenue 1Y (TTM)-3.83%
Revenue growth 3Y2.53%
Revenue growth 5Y3.66%
Sales Q2Q%-2.89%
3.2 Future
The Earnings Per Share is expected to grow by 1.29% on average over the next years.
The Revenue is expected to decrease by -0.37% on average over the next years.
EPS Next Y9.05%
EPS Next 2Y6.02%
EPS Next 3Y6.06%
EPS Next 5Y1.29%
Revenue Next Year-0.89%
Revenue Next 2Y0.84%
Revenue Next 3Y1.39%
Revenue Next 5Y-0.37%
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 decreasing.
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
A Price/Earnings ratio of 9.60 indicates a reasonable valuation of INGR.
Compared to the rest of the industry, the Price/Earnings ratio of INGR indicates a rather cheap valuation: INGR is cheaper than 87.36% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of INGR to the average of the S&P500 Index (26.11), we can say INGR is valued rather cheaply.
The Price/Forward Earnings ratio is 9.01, which indicates a very decent valuation of INGR.
Based on the Price/Forward Earnings ratio, INGR is valued cheaper than 94.25% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.21. INGR is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.6 | ||
| Fwd PE | 9.01 |
4.2 Price Multiples
INGR's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. INGR is cheaper than 83.91% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, INGR is valued a bit cheaper than 77.01% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.53 | ||
| EV/EBITDA | 6.01 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of INGR may justify a higher PE ratio.
PEG (NY)1.06
PEG (5Y)0.97
EPS Next 2Y6.02%
EPS Next 3Y6.06%
5. Dividend
5.1 Amount
INGR has a Yearly Dividend Yield of 3.05%.
Compared to an average industry Dividend Yield of 5.06, INGR pays a bit more dividend than its industry peers.
INGR's Dividend Yield is a higher than the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.05% |
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.
INGR has decreased its dividend recently.
Dividend Growth(5Y)4.4%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
32.02% of the earnings are spent on dividend by INGR. This is a low number and sustainable payout ratio.
INGR's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP32.02%
EPS Next 2Y6.02%
EPS Next 3Y6.06%
107.68
-0.45 (-0.42%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners93.91%
Inst Owner Change1.1%
Ins Owners0.82%
Ins Owner Change0.3%
Market Cap6.84B
Revenue(TTM)7.26B
Net Income(TTM)659.00M
Analysts76.92
Price Target127.42 (18.33%)
Short Float %2.54%
Short Ratio2.57
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.05% |
Yearly Dividend3.24
Dividend Growth(5Y)4.4%
DP32.02%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2.85%
Min EPS beat(2)-6.61%
Max EPS beat(2)0.92%
EPS beat(4)3
Avg EPS beat(4)3.86%
Min EPS beat(4)-6.61%
Max EPS beat(4)20.64%
EPS beat(8)6
Avg EPS beat(8)5.84%
EPS beat(12)9
Avg EPS beat(12)9.16%
EPS beat(16)12
Avg EPS beat(16)6.9%
Revenue beat(2)0
Avg Revenue beat(2)-5.63%
Min Revenue beat(2)-6.39%
Max Revenue beat(2)-4.88%
Revenue beat(4)0
Avg Revenue beat(4)-5.1%
Min Revenue beat(4)-6.39%
Max Revenue beat(4)-3.31%
Revenue beat(8)0
Avg Revenue beat(8)-6.33%
Revenue beat(12)0
Avg Revenue beat(12)-6.03%
Revenue beat(16)2
Avg Revenue beat(16)-4.12%
PT rev (1m)-15.53%
PT rev (3m)-15.53%
EPS NQ rev (1m)-0.31%
EPS NQ rev (3m)-1.52%
EPS NY rev (1m)-0.51%
EPS NY rev (3m)-0.06%
Revenue NQ rev (1m)-4.86%
Revenue NQ rev (3m)-4.51%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.6 | ||
| Fwd PE | 9.01 | ||
| P/S | 0.94 | ||
| P/FCF | 12.53 | ||
| P/OCF | 7.02 | ||
| P/B | 1.61 | ||
| P/tB | 2.31 | ||
| EV/EBITDA | 6.01 |
EPS(TTM)11.22
EY10.42%
EPS(NY)11.95
Fwd EY11.1%
FCF(TTM)8.59
FCFY7.98%
OCF(TTM)15.35
OCFY14.25%
SpS114.31
BVpS66.71
TBVpS46.67
PEG (NY)1.06
PEG (5Y)0.97
Graham Number129.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.41% | ||
| ROE | 15.55% | ||
| ROCE | 16.17% | ||
| ROIC | 11.85% | ||
| ROICexc | 13.77% | ||
| ROICexgc | 17.74% | ||
| OM | 14.6% | ||
| PM (TTM) | 9.07% | ||
| GM | 25.43% | ||
| FCFM | 7.52% |
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%
ROICexgc growth 3Y14.86%
ROICexgc 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 Turnover0.93
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 3.29 | ||
| Debt/EBITDA | 1.41 | ||
| Cap/Depr | 195.89% | ||
| Cap/Sales | 5.91% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 76.23% | ||
| Profit Quality | 82.85% | ||
| Current Ratio | 2.75 | ||
| Quick Ratio | 1.79 | ||
| Altman-Z | 3.85 |
F-Score7
WACC7.15%
ROIC/WACC1.66
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)12.54%
EPS 3Y16.87%
EPS 5Y9.9%
EPS Q2Q%-9.84%
EPS Next Y9.05%
EPS Next 2Y6.02%
EPS Next 3Y6.06%
EPS Next 5Y1.29%
Revenue 1Y (TTM)-3.83%
Revenue growth 3Y2.53%
Revenue growth 5Y3.66%
Sales Q2Q%-2.89%
Revenue Next Year-0.89%
Revenue Next 2Y0.84%
Revenue Next 3Y1.39%
Revenue Next 5Y-0.37%
EBIT growth 1Y10.19%
EBIT growth 3Y13.16%
EBIT growth 5Y6.97%
EBIT Next Year26.71%
EBIT Next 3Y10.25%
EBIT Next 5Y3.58%
FCF growth 1Y40.36%
FCF growth 3Y131.07%
FCF growth 5Y26.38%
OCF growth 1Y35.6%
OCF growth 3Y54.15%
OCF growth 5Y16.13%
INGREDION INC / INGR FAQ
Can you provide the ChartMill fundamental rating for INGREDION INC?
ChartMill assigns a fundamental rating of 7 / 10 to INGR.
What is the valuation status of INGREDION INC (INGR) stock?
ChartMill assigns a valuation rating of 8 / 10 to INGREDION INC (INGR). This can be considered as Undervalued.
What is the profitability of INGR stock?
INGREDION INC (INGR) has a profitability rating of 9 / 10.
Can you provide the PE and PB ratios for INGR stock?
The Price/Earnings (PE) ratio for INGREDION INC (INGR) is 9.6 and the Price/Book (PB) ratio is 1.61.
What is the financial health of INGREDION INC (INGR) stock?
The financial health rating of INGREDION INC (INGR) is 8 / 10.