KOPPERS HOLDINGS INC (KOP) Stock Fundamental Analysis
NYSE:KOP - New York Stock Exchange, Inc. - US50060P1066 - Common Stock - Currency: USD
Taking everything into account, KOP scores 5 out of 10 in our fundamental rating. KOP was compared to 85 industry peers in the Chemicals industry. Both the profitability and the financial health of KOP get a neutral evaluation. Nothing too spectacular is happening here. KOP is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year KOP was profitable.
KOP had a positive operating cash flow in the past year.
In the past 5 years KOP has always been profitable.
In the past 5 years KOP always reported a positive cash flow from operatings.
1.2 Ratios
KOP has a Return On Assets of 1.35%. This is comparable to the rest of the industry: KOP outperforms 51.76% of its industry peers.
With a Return On Equity value of 5.12%, KOP perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
The Return On Invested Capital of KOP (8.20%) is better than 74.12% of its industry peers.
KOP had an Average Return On Invested Capital over the past 3 years of 8.01%. This is in line with the industry average of 6.83%.
The last Return On Invested Capital (8.20%) for KOP is above the 3 year average (8.01%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.35% | ||
| ROE | 5.12% | ||
| ROIC | 8.2% |
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 (1.24%) which is in line with its industry peers.
In the last couple of years the Profit Margin of KOP has declined.
KOP has a Operating Margin (9.16%) which is comparable to the rest of the industry.
KOP's Operating Margin has been stable in the last couple of years.
With a Gross Margin value of 21.07%, KOP is not doing good in the industry: 64.71% of the companies in the same industry are doing better.
KOP's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.16% | ||
| PM (TTM) | 1.24% | ||
| GM | 21.07% |
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so KOP is destroying value.
Compared to 1 year ago, KOP has less shares outstanding
Compared to 5 years ago, KOP has less shares outstanding
The debt/assets ratio for KOP is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.31 indicates that KOP is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of KOP (2.31) is better than 61.18% of its industry peers.
The Debt to FCF ratio of KOP is 22.50, which is on the high side as it means it would take KOP, 22.50 years of fcf income to pay off all of its debts.
KOP has a Debt to FCF ratio (22.50) which is in line with its industry peers.
KOP has a Debt/Equity ratio of 1.96. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.96, KOP is not doing good in the industry: 83.53% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.96 | ||
| Debt/FCF | 22.5 | ||
| Altman-Z | 2.31 |
ROIC/WACC0.88
WACC9.31%
2.3 Liquidity
A Current Ratio of 2.64 indicates that KOP has no problem at all paying its short term obligations.
KOP's Current ratio of 2.64 is fine compared to the rest of the industry. KOP outperforms 75.29% of its industry peers.
KOP has a Quick Ratio of 1.10. This is a normal value and indicates that KOP is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of KOP (1.10) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.64 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
KOP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.79%, which is quite good.
KOP shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.48% yearly.
Looking at the last year, KOP shows a decrease in Revenue. The Revenue has decreased by -4.09% in the last year.
The Revenue has been growing slightly by 5.03% on average over the past years.
EPS 1Y (TTM)8.79%
EPS 3Y-0.72%
EPS 5Y4.48%
EPS Q2Q%14.52%
Revenue 1Y (TTM)-4.09%
Revenue growth 3Y7.62%
Revenue growth 5Y5.03%
Sales Q2Q%-8.26%
3.2 Future
Based on estimates for the next years, KOP will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.40% on average per year.
The Revenue is expected to decrease by -0.30% on average over the next years.
EPS Next Y12.93%
EPS Next 2Y12.4%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-3.14%
Revenue Next 2Y-0.3%
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
With a Price/Earnings ratio of 7.68, the valuation of KOP can be described as very cheap.
92.94% of the companies in the same industry are more expensive than KOP, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.50. KOP is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 6.21, the valuation of KOP can be described as very cheap.
92.94% 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 36.44. KOP is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.68 | ||
| Fwd PE | 6.21 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, KOP is valued cheaply inside the industry as 85.88% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, KOP is valued a bit cheaper than the industry average as 78.82% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.84 | ||
| EV/EBITDA | 6.19 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as KOP's earnings are expected to grow with 12.40% in the coming years.
PEG (NY)0.59
PEG (5Y)1.72
EPS Next 2Y12.4%
EPS Next 3YN/A
5. Dividend
5.1 Amount
KOP has a yearly dividend return of 0.93%, which is pretty low.
Compared to an average industry Dividend Yield of 3.53, KOP has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.35, KOP's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.93% |
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.
KOP has decreased its dividend in the last 3 years.
Dividend Growth(5Y)-7.49%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
23.53% of the earnings are spent on dividend by KOP. This is a low number and sustainable payout ratio.
DP23.53%
EPS Next 2Y12.4%
EPS Next 3YN/A
32.34
+0.08 (+0.25%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners97.94%
Inst Owner Change-0.09%
Ins Owners4.67%
Ins Owner Change0.55%
Market Cap647.12M
Analysts85.71
Price Target57.46 (77.67%)
Short Float %3.29%
Short Ratio4.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.93% |
Yearly Dividend0.29
Dividend Growth(5Y)-7.49%
DP23.53%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2.33%
Min EPS beat(2)-17.43%
Max EPS beat(2)12.78%
EPS beat(4)3
Avg EPS beat(4)1.43%
Min EPS beat(4)-17.43%
Max EPS beat(4)12.78%
EPS beat(8)5
Avg EPS beat(8)1.38%
EPS beat(12)8
Avg EPS beat(12)5.64%
EPS beat(16)11
Avg EPS beat(16)4.47%
Revenue beat(2)0
Avg Revenue beat(2)-6.78%
Min Revenue beat(2)-7.87%
Max Revenue beat(2)-5.7%
Revenue beat(4)0
Avg Revenue beat(4)-6.01%
Min Revenue beat(4)-7.87%
Max Revenue beat(4)-5.02%
Revenue beat(8)2
Avg Revenue beat(8)-1.96%
Revenue beat(12)4
Avg Revenue beat(12)-1.2%
Revenue beat(16)5
Avg Revenue beat(16)-1.34%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)8.37%
EPS NY rev (1m)5.82%
EPS NY rev (3m)5.18%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.55%
Revenue NY rev (1m)-0.67%
Revenue NY rev (3m)-5.26%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.68 | ||
| Fwd PE | 6.21 | ||
| P/S | 0.32 | ||
| P/FCF | 14.84 | ||
| P/OCF | 5.94 | ||
| P/B | 1.3 | ||
| P/tB | 9.94 | ||
| EV/EBITDA | 6.19 |
EPS(TTM)4.21
EY13.02%
EPS(NY)5.2
Fwd EY16.09%
FCF(TTM)2.18
FCFY6.74%
OCF(TTM)5.45
OCFY16.84%
SpS102.5
BVpS24.89
TBVpS3.25
PEG (NY)0.59
PEG (5Y)1.72
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.35% | ||
| ROE | 5.12% | ||
| ROCE | 11.54% | ||
| ROIC | 8.2% | ||
| ROICexc | 8.37% | ||
| ROICexgc | 11.49% | ||
| OM | 9.16% | ||
| PM (TTM) | 1.24% | ||
| GM | 21.07% | ||
| FCFM | 2.13% |
ROA(3y)3.78%
ROA(5y)4.82%
ROE(3y)14.83%
ROE(5y)20.23%
ROIC(3y)8.01%
ROIC(5y)7.9%
ROICexc(3y)8.28%
ROICexc(5y)8.16%
ROICexgc(3y)11.62%
ROICexgc(5y)11.81%
ROCE(3y)11.26%
ROCE(5y)11.11%
ROICexcg growth 3Y4.72%
ROICexcg growth 5Y-0.94%
ROICexc growth 3Y6.46%
ROICexc growth 5Y1.75%
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%
F-Score6
Asset Turnover1.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.96 | ||
| Debt/FCF | 22.5 | ||
| Debt/EBITDA | 3.79 | ||
| Cap/Depr | 94.24% | ||
| Cap/Sales | 3.19% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 42.36% | ||
| Profit Quality | 170.98% | ||
| Current Ratio | 2.64 | ||
| Quick Ratio | 1.1 | ||
| Altman-Z | 2.31 |
F-Score6
WACC9.31%
ROIC/WACC0.88
Cap/Depr(3y)171.26%
Cap/Depr(5y)171.89%
Cap/Sales(3y)4.87%
Cap/Sales(5y)5.25%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)8.79%
EPS 3Y-0.72%
EPS 5Y4.48%
EPS Q2Q%14.52%
EPS Next Y12.93%
EPS Next 2Y12.4%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-4.09%
Revenue growth 3Y7.62%
Revenue growth 5Y5.03%
Sales Q2Q%-8.26%
Revenue Next Year-3.14%
Revenue Next 2Y-0.3%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y4.68%
EBIT growth 3Y11.3%
EBIT growth 5Y6.06%
EBIT Next Year44.2%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y400.69%
FCF growth 3YN/A
FCF growth 5Y-12.22%
OCF growth 1Y14.74%
OCF growth 3Y5.05%
OCF growth 5Y0.27%