KOPPERS HOLDINGS INC (KOP) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:KOP - US50060P1066 - Common Stock
28.89 USD
-0.24 (-0.82%)
Taking everything into account, KOP scores 5 out of 10 in our fundamental rating. KOP was compared to 83 industry peers in the Chemicals industry. KOP has an average financial health and profitability rating. KOP is valued quite cheap, but it does not seem to be growing. These ratings would make KOP suitable for value investing!
1. Profitability
1.1 Basic Checks
- KOP had positive earnings in the past year.
- KOP had a positive operating cash flow in the past year.
- Each year in the past 5 years KOP has been profitable.
- In the past 5 years KOP always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of KOP (0.85%) is comparable to the rest of the industry.
- KOP has a Return On Equity of 2.95%. This is in the better half of the industry: KOP outperforms 60.24% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 8.25%, KOP is in the better half of the industry, outperforming 75.90% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for KOP is in line with the industry average of 6.11%.
- The last Return On Invested Capital (8.25%) for KOP is above the 3 year average (8.01%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.85% | ||
| ROE | 2.95% | ||
| ROIC | 8.25% |
ROA(3y)3.78%
ROA(5y)4.82%
ROE(3y)14.83%
ROE(5y)20.23%
ROIC(3y)8.01%
ROIC(5y)7.9%
1.3 Margins
- KOP has a Profit Margin (0.84%) which is comparable to the rest of the industry.
- In the last couple of years the Profit Margin of KOP has declined.
- KOP has a Operating Margin (9.86%) which is in line with its industry peers.
- In the last couple of years the Operating Margin of KOP has remained more or less at the same level.
- KOP has a Gross Margin of 21.87%. This is in the lower half of the industry: KOP underperforms 62.65% of its industry peers.
- In the last couple of years the Gross Margin of KOP has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.86% | ||
| PM (TTM) | 0.84% | ||
| GM | 21.87% |
OM growth 3Y3.42%
OM growth 5Y0.98%
PM growth 3Y-20.98%
PM growth 5Y-9.25%
GM growth 3Y0.49%
GM growth 5Y0%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), KOP is destroying value.
- KOP has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, KOP has less shares outstanding
- KOP has a worse debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 2.25 indicates that KOP is not a great score, but indicates only limited risk for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 2.25, KOP is in line with its industry, outperforming 59.04% of the companies in the same industry.
- The Debt to FCF ratio of KOP is 9.71, which is on the high side as it means it would take KOP, 9.71 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of KOP (9.71) is better than 66.27% of its industry peers.
- A Debt/Equity ratio of 1.68 is on the high side and indicates that KOP has dependencies on debt financing.
- KOP's Debt to Equity ratio of 1.68 is on the low side compared to the rest of the industry. KOP is outperformed by 78.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.68 | ||
| Debt/FCF | 9.71 | ||
| Altman-Z | 2.25 |
ROIC/WACC0.82
WACC10.04%
2.3 Liquidity
- KOP has a Current Ratio of 2.63. This indicates that KOP is financially healthy and has no problem in meeting its short term obligations.
- KOP has a better Current ratio (2.63) than 71.08% of its industry peers.
- A Quick Ratio of 1.09 indicates that KOP should not have too much problems paying its short term obligations.
- KOP has a Quick ratio (1.09) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.63 | ||
| Quick Ratio | 1.09 |
3. Growth
3.1 Past
- KOP shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.73%.
- Measured over the past 5 years, KOP shows a small growth in Earnings Per Share. The EPS has been growing by 4.48% on average per year.
- Looking at the last year, KOP shows a decrease in Revenue. The Revenue has decreased by -9.62% in the last year.
- Measured over the past years, KOP shows a small growth in Revenue. The Revenue has been growing by 5.03% on average per year.
EPS 1Y (TTM)3.73%
EPS 3Y-0.72%
EPS 5Y4.48%
EPS Q2Q%-11.68%
Revenue 1Y (TTM)-9.62%
Revenue growth 3Y7.62%
Revenue growth 5Y5.03%
Sales Q2Q%-12.45%
3.2 Future
- KOP is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.84% yearly.
- Based on estimates for the next years, KOP will show a decrease in Revenue. The Revenue will decrease by -4.55% on average per year.
EPS Next Y-2.11%
EPS Next 2Y5.84%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-10.62%
Revenue Next 2Y-4.55%
Revenue Next 3YN/A
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
- Based on the Price/Earnings ratio of 6.93, the valuation of KOP can be described as very cheap.
- Based on the Price/Earnings ratio, KOP is valued cheaply inside the industry as 93.98% of the companies are valued more expensively.
- KOP's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.25.
- KOP is valuated cheaply with a Price/Forward Earnings ratio of 6.26.
- 95.18% of the companies in the same industry are more expensive than KOP, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 25.98. KOP is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.93 | ||
| Fwd PE | 6.26 |
4.2 Price Multiples
- 90.36% of the companies in the same industry are more expensive than KOP, based on the Enterprise Value to EBITDA ratio.
- KOP's Price/Free Cash Flow ratio is rather cheap when compared to the industry. KOP is cheaper than 92.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.96 | ||
| EV/EBITDA | 5.63 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.55
EPS Next 2Y5.84%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- KOP has a Yearly Dividend Yield of 1.09%. Purely for dividend investing, there may be better candidates out there.
- KOP's Dividend Yield is comparable with the industry average which is at 2.23.
- Compared to an average S&P500 Dividend Yield of 1.82, KOP's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.09% |
5.2 History
- The dividend of KOP decreases each year by -7.49%.
- KOP has been paying a dividend for at least 10 years, so it has a reliable track record.
- The dividend of KOP decreased in the last 3 years.
Dividend Growth(5Y)-7.49%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
- 37.27% of the earnings are spent on dividend by KOP. This is a low number and sustainable payout ratio.
DP37.27%
EPS Next 2Y5.84%
EPS Next 3YN/A
KOPPERS HOLDINGS INC / KOP FAQ
What is the fundamental rating for KOP stock?
ChartMill assigns a fundamental rating of 5 / 10 to KOP.
What is the valuation status for KOP stock?
ChartMill assigns a valuation rating of 7 / 10 to KOPPERS HOLDINGS INC (KOP). This can be considered as Undervalued.
How profitable is KOPPERS HOLDINGS INC (KOP) stock?
KOPPERS HOLDINGS INC (KOP) has a profitability rating of 5 / 10.
Can you provide the PE and PB ratios for KOP stock?
The Price/Earnings (PE) ratio for KOPPERS HOLDINGS INC (KOP) is 6.93 and the Price/Book (PB) ratio is 1.04.
Can you provide the dividend sustainability for KOP stock?
The dividend rating of KOPPERS HOLDINGS INC (KOP) is 3 / 10 and the dividend payout ratio is 37.27%.