LYONDELLBASELL INDU-CL A (LYB)
NL0009434992 - Common Stock
Taking everything into account, LYB scores 5 out of 10 in our fundamental rating. LYB was compared to 84 industry peers in the Chemicals industry. Both the profitability and the financial health of LYB get a neutral evaluation. Nothing too spectacular is happening here. LYB has a bad growth rate and is valued cheaply. These ratings could make LYB a good candidate for value investing.
1. Profitability
1.1 Basic Checks
LYB had positive earnings in the past year.
In the past year LYB had a positive cash flow from operations.
Each year in the past 5 years LYB has been profitable.
In the past 5 years LYB always reported a positive cash flow from operatings.
1.2 Ratios
LYB has a Return On Assets of 5.75%. This is amongst the best in the industry. LYB outperforms 80.95% of its industry peers.
With a decent Return On Equity value of 15.61%, LYB is doing good in the industry, outperforming 79.76% of the companies in the same industry.
The Return On Invested Capital of LYB (7.86%) is better than 78.57% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for LYB is significantly above the industry average of 6.50%.
The 3 year average ROIC (14.60%) for LYB is well above the current ROIC(7.86%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.75% | ||
| ROE | 15.61% | ||
| ROIC | 7.86% |
ROA(3y)10.55%
ROA(5y)9.36%
ROE(3y)31.46%
ROE(5y)30.87%
ROIC(3y)14.6%
ROIC(5y)12.53%
1.3 Margins
The Profit Margin of LYB (5.26%) is better than 64.29% of its industry peers.
LYB's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 7.46%, LYB perfoms like the industry average, outperforming 48.81% of the companies in the same industry.
LYB's Operating Margin has declined in the last couple of years.
LYB has a Gross Margin of 11.79%. This is in the lower half of the industry: LYB underperforms 77.38% of its industry peers.
In the last couple of years the Gross Margin of LYB has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.46% | ||
| PM (TTM) | 5.26% | ||
| GM | 11.79% |
OM growth 3Y4.04%
OM growth 5Y-8.32%
PM growth 3Y0.06%
PM growth 5Y-15.65%
GM growth 3Y1.51%
GM growth 5Y-5.08%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), LYB is creating value.
The number of shares outstanding for LYB has been reduced compared to 1 year ago.
The number of shares outstanding for LYB has been reduced compared to 5 years ago.
The debt/assets ratio for LYB has been reduced compared to a year ago.
2.2 Solvency
LYB has an Altman-Z score of 2.65. This is not the best score and indicates that LYB is in the grey zone with still only limited risk for bankruptcy at the moment.
LYB's Altman-Z score of 2.65 is fine compared to the rest of the industry. LYB outperforms 78.57% of its industry peers.
The Debt to FCF ratio of LYB is 7.09, which is on the high side as it means it would take LYB, 7.09 years of fcf income to pay off all of its debts.
LYB's Debt to FCF ratio of 7.09 is fine compared to the rest of the industry. LYB outperforms 60.71% of its industry peers.
LYB has a Debt/Equity ratio of 0.82. This is a neutral value indicating LYB is somewhat dependend on debt financing.
The Debt to Equity ratio of LYB (0.82) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 7.09 | ||
| Altman-Z | 2.65 |
ROIC/WACC1.08
WACC7.26%
2.3 Liquidity
A Current Ratio of 2.13 indicates that LYB has no problem at all paying its short term obligations.
LYB has a Current ratio (2.13) which is comparable to the rest of the industry.
LYB has a Quick Ratio of 1.25. This is a normal value and indicates that LYB is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.25, LYB perfoms like the industry average, outperforming 44.05% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.13 | ||
| Quick Ratio | 1.25 |
3. Growth
3.1 Past
The earnings per share for LYB have decreased strongly by -19.08% in the last year.
Measured over the past years, LYB shows a decrease in Earnings Per Share. The EPS has been decreasing by -4.78% on average per year.
LYB shows a decrease in Revenue. In the last year, the revenue decreased by -1.57%.
Measured over the past years, LYB shows a small growth in Revenue. The Revenue has been growing by 1.06% on average per year.
EPS 1Y (TTM)-19.08%
EPS 3Y15.71%
EPS 5Y-4.78%
EPS Q2Q%-23.58%
Revenue 1Y (TTM)-1.57%
Revenue growth 3Y13.99%
Revenue growth 5Y1.06%
Sales Q2Q%-2.85%
3.2 Future
The Earnings Per Share is expected to grow by 4.56% on average over the next years.
LYB is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.34% yearly.
EPS Next Y-19.71%
EPS Next 2Y-0.5%
EPS Next 3Y5.3%
EPS Next 5Y4.56%
Revenue Next Year-1.68%
Revenue Next 2Y-9.89%
Revenue Next 3Y-5.92%
Revenue Next 5Y-0.34%
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 11.76, the valuation of LYB can be described as very reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of LYB indicates a rather cheap valuation: LYB is cheaper than 85.71% of the companies listed in the same industry.
LYB's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.96.
A Price/Forward Earnings ratio of 9.50 indicates a reasonable valuation of LYB.
Based on the Price/Forward Earnings ratio, LYB is valued cheaply inside the industry as 85.71% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of LYB to the average of the S&P500 Index (23.82), we can say LYB is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.76 | ||
| Fwd PE | 9.5 |
4.2 Price Multiples
82.14% of the companies in the same industry are more expensive than LYB, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of LYB indicates a somewhat cheap valuation: LYB is cheaper than 69.05% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.92 | ||
| EV/EBITDA | 7.76 |
4.3 Compensation for Growth
LYB has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-0.5%
EPS Next 3Y5.3%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.49%, LYB is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.95, LYB pays a better dividend. On top of this LYB pays more dividend than 94.05% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.23, LYB pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.49% |
5.2 History
The dividend of LYB has a limited annual growth rate of 4.19%.
LYB has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.19%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
LYB pays out 78.89% of its income as dividend. This is not a sustainable payout ratio.
The dividend of LYB is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP78.89%
EPS Next 2Y-0.5%
EPS Next 3Y5.3%
LYONDELLBASELL INDU-CL A
NYSE:LYB (11/21/2024, 7:38:29 PM)
After market: 82.8 0 (0%)82.8
+0.32 (+0.39%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap26.89B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.49% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
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Revenue beat(4)
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Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.76 | ||
| Fwd PE | 9.5 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.75% | ||
| ROE | 15.61% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 7.46% | ||
| PM (TTM) | 5.26% | ||
| GM | 11.79% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.13 | ||
| Quick Ratio | 1.25 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-19.08%
EPS 3Y15.71%
EPS 5Y
EPS Q2Q%
EPS Next Y-19.71%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-1.57%
Revenue growth 3Y13.99%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y