INGREDION INC (INGR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:INGR - US4571871023 - Common Stock
110.33 USD
-0.72 (-0.65%)
110.33 USD
0 (0%)
Taking everything into account, INGR scores 7 out of 10 in our fundamental rating. INGR was compared to 87 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. INGR is valued quite cheap, but it does not seem to be growing. With these ratings, INGR could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
In the past year INGR was profitable.
In the past year INGR had a positive cash flow from operations.
Each year in the past 5 years INGR has been profitable.
In the past 5 years INGR always reported a positive cash flow from operatings.
1.2 Ratios
INGR's Return On Assets of 8.41% is amongst the best of the industry. INGR outperforms 91.95% of its industry peers.
Looking at the Return On Equity, with a value of 15.55%, INGR belongs to the top of the industry, outperforming 89.66% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 11.85%, INGR belongs to the top of the industry, outperforming 91.95% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for INGR is significantly below the industry average of 28.50%.
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's Profit Margin of 9.07% is amongst the best of the industry. INGR outperforms 86.21% of its industry peers.
In the last couple of years the Profit Margin of INGR has grown nicely.
Looking at the Operating Margin, with a value of 14.60%, INGR belongs to the top of the industry, outperforming 88.51% of the companies in the same industry.
INGR's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 25.43%, INGR is in the better half of the industry, outperforming 64.37% of the companies in the same industry.
INGR's Gross Margin has improved in the last couple of years.
| 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so INGR is still creating some value.
The number of shares outstanding for INGR has been reduced compared to 1 year ago.
INGR has less shares outstanding than it did 5 years ago.
INGR has a better debt/assets ratio than last year.
2.2 Solvency
INGR has an Altman-Z score of 3.88. This indicates that INGR is financially healthy and has little risk of bankruptcy at the moment.
INGR has a Altman-Z score of 3.88. This is amongst the best in the industry. INGR outperforms 81.61% of its industry peers.
The Debt to FCF ratio of INGR is 3.29, which is a good value as it means it would take INGR, 3.29 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 3.29, INGR belongs to the best of the industry, outperforming 83.91% of the companies in the same industry.
INGR has a Debt/Equity ratio of 0.42. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.42, INGR perfoms like the industry average, outperforming 48.28% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 3.29 | ||
| Altman-Z | 3.88 |
ROIC/WACC1.64
WACC7.24%
2.3 Liquidity
A Current Ratio of 2.75 indicates that INGR has no problem at all paying its short term obligations.
The Current ratio of INGR (2.75) is better than 79.31% of its industry peers.
INGR has a Quick Ratio of 1.79. This is a normal value and indicates that INGR is financially healthy and should not expect problems in meeting its short term obligations.
INGR has a Quick ratio of 1.79. This is amongst the best in 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
INGR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 12.54%, which is quite good.
The Earnings Per Share has been growing by 9.90% on average over the past years. This is quite good.
The Revenue has decreased by -3.83% in the past year.
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 Y7.34%
EPS Next 2Y4.57%
EPS Next 3Y4.47%
EPS Next 5Y1.29%
Revenue Next Year-3.32%
Revenue Next 2Y-1.07%
Revenue Next 3Y-0.18%
Revenue Next 5Y-0.37%
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
With a Price/Earnings ratio of 9.83, the valuation of INGR can be described as very reasonable.
Based on the Price/Earnings ratio, INGR is valued cheaply inside the industry as 88.51% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 26.61, INGR is valued rather cheaply.
INGR is valuated reasonably with a Price/Forward Earnings ratio of 9.49.
Based on the Price/Forward Earnings ratio, INGR is valued cheaper than 91.95% of the companies in the same industry.
INGR is valuated cheaply when we compare the Price/Forward Earnings ratio to 24.01, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.83 | ||
| Fwd PE | 9.49 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, INGR is valued cheaper than 85.06% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, INGR is valued a bit cheaper than the industry average as 79.31% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.84 | ||
| EV/EBITDA | 6.15 |
4.3 Compensation for Growth
INGR's 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)1.34
PEG (5Y)0.99
EPS Next 2Y4.57%
EPS Next 3Y4.47%
5. Dividend
5.1 Amount
INGR has a Yearly Dividend Yield of 2.95%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.36, INGR pays a bit more dividend than its industry peers.
INGR's Dividend Yield is rather good when compared to the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.95% |
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 32.02% of its income as dividend. This is a sustainable payout ratio.
The dividend of INGR is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP32.02%
EPS Next 2Y4.57%
EPS Next 3Y4.47%
110.33
-0.72 (-0.65%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners96.47%
Inst Owner Change1.11%
Ins Owners0.83%
Ins Owner Change0.61%
Market Cap7.01B
Revenue(TTM)7.26B
Net Income(TTM)659.00M
Analysts75.38
Price Target127.42 (15.49%)
Short Float %2.63%
Short Ratio2.54
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.95% |
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)-11.88%
PT rev (3m)-15.53%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.52%
EPS NY rev (1m)-1.57%
EPS NY rev (3m)-1.63%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.51%
Revenue NY rev (1m)-2.46%
Revenue NY rev (3m)-2.53%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.83 | ||
| Fwd PE | 9.49 | ||
| P/S | 0.97 | ||
| P/FCF | 12.84 | ||
| P/OCF | 7.19 | ||
| P/B | 1.65 | ||
| P/tB | 2.36 | ||
| EV/EBITDA | 6.15 |
EPS(TTM)11.22
EY10.17%
EPS(NY)11.62
Fwd EY10.54%
FCF(TTM)8.59
FCFY7.79%
OCF(TTM)15.35
OCFY13.91%
SpS114.31
BVpS66.71
TBVpS46.67
PEG (NY)1.34
PEG (5Y)0.99
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 | 3.88 |
F-Score7
WACC7.24%
ROIC/WACC1.64
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 Y7.34%
EPS Next 2Y4.57%
EPS Next 3Y4.47%
EPS Next 5Y1.29%
Revenue 1Y (TTM)-3.83%
Revenue growth 3Y2.53%
Revenue growth 5Y3.66%
Sales Q2Q%-2.89%
Revenue Next Year-3.32%
Revenue Next 2Y-1.07%
Revenue Next 3Y-0.18%
Revenue Next 5Y-0.37%
EBIT growth 1Y10.19%
EBIT growth 3Y13.16%
EBIT growth 5Y6.97%
EBIT Next Year23.54%
EBIT Next 3Y9.29%
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 9.83 and the Price/Book (PB) ratio is 1.65.
What is the financial health of INGREDION INC (INGR) stock?
The financial health rating of INGREDION INC (INGR) is 8 / 10.