LYONDELLBASELL INDU-CL A (LYB)
NL0009434992 - Common Stock
We assign a fundamental rating of 5 out of 10 to LYB. LYB was compared to 83 industry peers in the Chemicals industry. LYB has an average financial health and profitability rating. LYB has a bad growth rate and is valued cheaply. With these ratings, LYB could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
In the past year LYB was profitable.
In the past year LYB had a positive cash flow from operations.
In the past 5 years LYB has always been profitable.
In the past 5 years LYB always reported a positive cash flow from operatings.
1.2 Ratios
LYB has a better Return On Assets (5.75%) than 80.72% of its industry peers.
With an excellent Return On Equity value of 15.61%, LYB belongs to the best of the industry, outperforming 80.72% of the companies in the same industry.
LYB has a Return On Invested Capital of 7.86%. This is in the better half of the industry: LYB outperforms 77.11% 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 7.24%.
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
Looking at the Profit Margin, with a value of 5.26%, LYB is in the better half of the industry, outperforming 60.24% of the companies in the same industry.
In the last couple of years the Profit Margin of LYB has declined.
LYB's Operating Margin of 7.46% is in line compared to the rest of the industry. LYB outperforms 46.99% of its industry peers.
LYB's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 11.79%, LYB is not doing good in the industry: 79.52% of the companies in the same industry are doing better.
LYB's Gross Margin has declined in the last couple of years.
| 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.
Compared to 1 year ago, LYB has less shares outstanding
The number of shares outstanding for LYB has been reduced compared to 5 years ago.
Compared to 1 year ago, LYB has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.58 indicates that LYB is not a great score, but indicates only limited risk for bankruptcy at the moment.
LYB has a Altman-Z score of 2.58. This is in the better half of the industry: LYB outperforms 75.90% 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.
With a Debt to FCF ratio value of 7.09, LYB perfoms like the industry average, outperforming 57.83% of the companies in the same industry.
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 worse than 61.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 7.09 | ||
| Altman-Z | 2.58 |
ROIC/WACC1.1
WACC7.13%
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 of 2.13. This is comparable to the rest of the industry: LYB outperforms 48.19% of its industry peers.
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.
LYB's Quick ratio of 1.25 is in line compared to the rest of the industry. LYB outperforms 44.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.13 | ||
| Quick Ratio | 1.25 |
3. Growth
3.1 Past
LYB shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -19.08%.
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.
Looking at the last year, LYB shows a decrease in Revenue. The Revenue has decreased by -1.57% in the last year.
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 3.08% on average over the next years.
Based on estimates for the next years, LYB will show a decrease in Revenue. The Revenue will decrease by -4.01% on average per year.
EPS Next Y-22.88%
EPS Next 2Y-2.65%
EPS Next 3Y4.14%
EPS Next 5Y3.08%
Revenue Next Year-2.02%
Revenue Next 2Y-10.2%
Revenue Next 3Y-6.19%
Revenue Next 5Y-4.01%
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.
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
The Price/Earnings ratio is 10.44, which indicates a very decent valuation of LYB.
Based on the Price/Earnings ratio, LYB is valued cheaper than 87.95% of the companies in the same industry.
LYB is valuated cheaply when we compare the Price/Earnings ratio to 27.73, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 8.81, which indicates a very decent valuation of LYB.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LYB indicates a rather cheap valuation: LYB is cheaper than 86.75% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.83, LYB is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.44 | ||
| Fwd PE | 8.81 |
4.2 Price Multiples
83.13% of the companies in the same industry are more expensive than LYB, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, LYB is valued a bit cheaper than 67.47% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.02 | ||
| EV/EBITDA | 7.12 |
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-2.65%
EPS Next 3Y4.14%
5. Dividend
5.1 Amount
LYB has a Yearly Dividend Yield of 7.35%, which is a nice return.
The stock price of LYB dropped by -21.84% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
LYB's Dividend Yield is rather good when compared to the industry average which is at 3.28. LYB pays more dividend than 92.77% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.34, LYB pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.35% |
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
78.89% of the earnings are spent on dividend by LYB. This is not a sustainable payout ratio.
The dividend of LYB is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP78.89%
EPS Next 2Y-2.65%
EPS Next 3Y4.14%
LYONDELLBASELL INDU-CL A
NYSE:LYB (12/20/2024, 8:23:15 PM)
After market: 73.75 +0.25 (+0.34%)73.5
+0.53 (+0.73%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners73.14%
Inst Owner Change-0.94%
Ins Owners0.17%
Ins Owner Change-0.01%
Market Cap23.87B
Analysts67.59
Price Target102.06 (38.86%)
Short Float %1.66%
Short Ratio1.67
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.35% |
Dividend Growth(5Y)4.19%
DP78.89%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-3.32%
Min EPS beat(2)-5.89%
Max EPS beat(2)-0.76%
EPS beat(4)2
Avg EPS beat(4)2.29%
Min EPS beat(4)-5.89%
Max EPS beat(4)10.97%
EPS beat(8)6
Avg EPS beat(8)10.28%
EPS beat(12)8
Avg EPS beat(12)5.3%
EPS beat(16)11
Avg EPS beat(16)8.96%
Revenue beat(2)1
Avg Revenue beat(2)-1.75%
Min Revenue beat(2)-3.6%
Max Revenue beat(2)0.09%
Revenue beat(4)2
Avg Revenue beat(4)-0.65%
Min Revenue beat(4)-3.6%
Max Revenue beat(4)0.99%
Revenue beat(8)3
Avg Revenue beat(8)-1.93%
Revenue beat(12)6
Avg Revenue beat(12)-0.08%
Revenue beat(16)9
Avg Revenue beat(16)1.48%
PT rev (1m)-4.46%
PT rev (3m)-4.52%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-38.04%
EPS NY rev (1m)-3.94%
EPS NY rev (3m)-15.25%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-5.49%
Revenue NY rev (1m)-0.34%
Revenue NY rev (3m)-2.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.44 | ||
| Fwd PE | 8.81 | ||
| P/S | 0.59 | ||
| P/FCF | 15.02 | ||
| P/OCF | 7 | ||
| P/B | 1.74 | ||
| P/tB | 2.08 | ||
| EV/EBITDA | 7.12 |
EPS(TTM)7.04
EY9.58%
EPS(NY)8.34
Fwd EY11.35%
FCF(TTM)4.89
FCFY6.66%
OCF(TTM)10.49
OCFY14.28%
SpS125.43
BVpS42.23
TBVpS35.36
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.75% | ||
| ROE | 15.61% | ||
| ROCE | 9.71% | ||
| ROIC | 7.86% | ||
| ROICexc | 8.57% | ||
| ROICexgc | 9.3% | ||
| OM | 7.46% | ||
| PM (TTM) | 5.26% | ||
| GM | 11.79% | ||
| FCFM | 3.9% |
ROA(3y)10.55%
ROA(5y)9.36%
ROE(3y)31.46%
ROE(5y)30.87%
ROIC(3y)14.6%
ROIC(5y)12.53%
ROICexc(3y)15.73%
ROICexc(5y)13.41%
ROICexgc(3y)17.27%
ROICexgc(5y)14.81%
ROCE(3y)18.16%
ROCE(5y)15.62%
ROICexcg growth 3Y20.37%
ROICexcg growth 5Y-11.2%
ROICexc growth 3Y20.81%
ROICexc growth 5Y-10.44%
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%
F-Score5
Asset Turnover1.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 7.09 | ||
| Debt/EBITDA | 2.47 | ||
| Cap/Depr | 120.23% | ||
| Cap/Sales | 4.47% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 74.9% | ||
| Profit Quality | 74.22% | ||
| Current Ratio | 2.13 | ||
| Quick Ratio | 1.25 | ||
| Altman-Z | 2.58 |
F-Score5
WACC7.13%
ROIC/WACC1.1
Cap/Depr(3y)129.87%
Cap/Depr(5y)147.1%
Cap/Sales(3y)3.9%
Cap/Sales(5y)5.3%
Profit Quality(3y)124.36%
Profit Quality(5y)108.51%
High Growth Momentum
Growth
EPS 1Y (TTM)-19.08%
EPS 3Y15.71%
EPS 5Y-4.78%
EPS Q2Q%-23.58%
EPS Next Y-22.88%
EPS Next 2Y-2.65%
EPS Next 3Y4.14%
EPS Next 5Y3.08%
Revenue 1Y (TTM)-1.57%
Revenue growth 3Y13.99%
Revenue growth 5Y1.06%
Sales Q2Q%-2.85%
Revenue Next Year-2.02%
Revenue Next 2Y-10.2%
Revenue Next 3Y-6.19%
Revenue Next 5Y-4.01%
EBIT growth 1Y-13.28%
EBIT growth 3Y18.59%
EBIT growth 5Y-7.35%
EBIT Next Year22.24%
EBIT Next 3Y14.48%
EBIT Next 5Y10.96%
FCF growth 1Y-71.12%
FCF growth 3Y32.78%
FCF growth 5Y0.27%
OCF growth 1Y-55.12%
OCF growth 3Y13.23%
OCF growth 5Y-2.01%