OLIN CORP (OLN) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:OLN - US6806652052 - Common Stock
20.83 USD
-0.13 (-0.62%)
21.5 USD
+0.67 (+3.22%)
Taking everything into account, OLN scores 4 out of 10 in our fundamental rating. OLN was compared to 83 industry peers in the Chemicals industry. There are concerns on the financial health of OLN while its profitability can be described as average. OLN is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
OLN had positive earnings in the past year.
In the past year OLN had a positive cash flow from operations.
Of the past 5 years OLN 4 years were profitable.
OLN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of OLN (0.71%) is comparable to the rest of the industry.
OLN has a Return On Equity of 2.73%. This is comparable to the rest of the industry: OLN outperforms 59.04% of its industry peers.
Looking at the Return On Invested Capital, with a value of 3.27%, OLN is in line with its industry, outperforming 48.19% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for OLN is significantly above the industry average of 6.09%.
The last Return On Invested Capital (3.27%) for OLN is well below the 3 year average (11.96%), which needs to be investigated, but indicates that OLN had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.71% | ||
| ROE | 2.73% | ||
| ROIC | 3.27% |
ROA(3y)7.96%
ROA(5y)5.48%
ROE(3y)26.05%
ROE(5y)12.04%
ROIC(3y)11.96%
ROIC(5y)N/A
1.3 Margins
OLN has a Profit Margin (0.79%) which is in line with its industry peers.
OLN's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 3.83%, OLN is not doing good in the industry: 62.65% of the companies in the same industry are doing better.
In the last couple of years the Operating Margin of OLN has grown nicely.
OLN has a worse Gross Margin (9.64%) than 81.93% of its industry peers.
OLN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.83% | ||
| PM (TTM) | 0.79% | ||
| GM | 9.64% |
OM growth 3Y-36.05%
OM growth 5Y5.82%
PM growth 3Y-51.5%
PM growth 5YN/A
GM growth 3Y-23.01%
GM growth 5Y1.49%
2. Health
2.1 Basic Checks
OLN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
OLN has less shares outstanding than it did 1 year ago.
OLN has less shares outstanding than it did 5 years ago.
OLN has a worse debt/assets ratio than last year.
2.2 Solvency
OLN has an Altman-Z score of 1.81. This is not the best score and indicates that OLN is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 1.81, OLN is in line with its industry, outperforming 50.60% of the companies in the same industry.
OLN has a debt to FCF ratio of 37.32. This is a negative value and a sign of low solvency as OLN would need 37.32 years to pay back of all of its debts.
OLN has a Debt to FCF ratio (37.32) which is in line with its industry peers.
OLN has a Debt/Equity ratio of 1.52. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.52, OLN is doing worse than 74.70% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.52 | ||
| Debt/FCF | 37.32 | ||
| Altman-Z | 1.81 |
ROIC/WACC0.33
WACC10.04%
2.3 Liquidity
A Current Ratio of 1.56 indicates that OLN should not have too much problems paying its short term obligations.
OLN has a Current ratio of 1.56. This is in the lower half of the industry: OLN underperforms 68.67% of its industry peers.
A Quick Ratio of 0.89 indicates that OLN may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.89, OLN is doing worse than 69.88% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.56 | ||
| Quick Ratio | 0.89 |
3. Growth
3.1 Past
OLN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -43.20%.
Measured over the past years, OLN shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.01% on average per year.
Looking at the last year, OLN shows a small growth in Revenue. The Revenue has grown by 4.68% in the last year.
The Revenue has been growing slightly by 1.37% on average over the past years.
EPS 1Y (TTM)-43.2%
EPS 3Y-47.49%
EPS 5Y9.01%
EPS Q2Q%366.67%
Revenue 1Y (TTM)4.68%
Revenue growth 3Y-9.8%
Revenue growth 5Y1.37%
Sales Q2Q%7.78%
3.2 Future
OLN is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.00% yearly.
OLN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.40% yearly.
EPS Next Y-87.7%
EPS Next 2Y-20.63%
EPS Next 3Y6%
EPS Next 5YN/A
Revenue Next Year4.58%
Revenue Next 2Y2.99%
Revenue Next 3Y3.19%
Revenue Next 5Y5.4%
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 decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 30.19, which means the current valuation is very expensive for OLN.
The rest of the industry has a similar Price/Earnings ratio as OLN.
Compared to an average S&P500 Price/Earnings ratio of 26.51, OLN is valued at the same level.
The Price/Forward Earnings ratio is 28.26, which means the current valuation is very expensive for OLN.
Based on the Price/Forward Earnings ratio, OLN is valued a bit more expensive than 61.45% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.13. OLN is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.19 | ||
| Fwd PE | 28.26 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, OLN is valued cheaper than 81.93% of the companies in the same industry.
OLN's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. OLN is cheaper than 60.24% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.64 | ||
| EV/EBITDA | 6.66 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)3.35
EPS Next 2Y-20.63%
EPS Next 3Y6%
5. Dividend
5.1 Amount
OLN has a Yearly Dividend Yield of 3.88%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.48, OLN pays a better dividend. On top of this OLN pays more dividend than 83.13% of the companies listed in the same industry.
OLN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.88% |
5.2 History
The dividend of OLN decreases each year by -0.05%.
OLN has been paying a dividend for at least 10 years, so it has a reliable track record.
OLN has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-0.05%
Div Incr Years0
Div Non Decr Years24
5.3 Sustainability
171.83% of the earnings are spent on dividend by OLN. This is not a sustainable payout ratio.
DP171.83%
EPS Next 2Y-20.63%
EPS Next 3Y6%
20.83
-0.13 (-0.62%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners98.07%
Inst Owner Change1.96%
Ins Owners0.43%
Ins Owner Change1%
Market Cap2.38B
Revenue(TTM)6.79B
Net Income(TTM)53.60M
Analysts66.67
Price Target24 (15.22%)
Short Float %8.87%
Short Ratio3.89
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.88% |
Yearly Dividend0.8
Dividend Growth(5Y)-0.05%
DP171.83%
Div Incr Years0
Div Non Decr Years24
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)328.58%
Min EPS beat(2)275.76%
Max EPS beat(2)381.39%
EPS beat(4)4
Avg EPS beat(4)366.96%
Min EPS beat(4)159.11%
Max EPS beat(4)651.59%
EPS beat(8)6
Avg EPS beat(8)124.21%
EPS beat(12)10
Avg EPS beat(12)86.55%
EPS beat(16)13
Avg EPS beat(16)65.27%
Revenue beat(2)1
Avg Revenue beat(2)1.38%
Min Revenue beat(2)-2.21%
Max Revenue beat(2)4.97%
Revenue beat(4)3
Avg Revenue beat(4)3.18%
Min Revenue beat(4)-2.21%
Max Revenue beat(4)6.79%
Revenue beat(8)4
Avg Revenue beat(8)1.4%
Revenue beat(12)4
Avg Revenue beat(12)-1.67%
Revenue beat(16)6
Avg Revenue beat(16)-1.41%
PT rev (1m)-1.12%
PT rev (3m)-0.56%
EPS NQ rev (1m)-4.62%
EPS NQ rev (3m)-733.56%
EPS NY rev (1m)-6.74%
EPS NY rev (3m)14.95%
Revenue NQ rev (1m)-0.92%
Revenue NQ rev (3m)-5.61%
Revenue NY rev (1m)-0.48%
Revenue NY rev (3m)-2.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.19 | ||
| Fwd PE | 28.26 | ||
| P/S | 0.35 | ||
| P/FCF | 29.64 | ||
| P/OCF | 8.07 | ||
| P/B | 1.21 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.66 |
EPS(TTM)0.69
EY3.31%
EPS(NY)0.74
Fwd EY3.54%
FCF(TTM)0.7
FCFY3.37%
OCF(TTM)2.58
OCFY12.4%
SpS59.47
BVpS17.19
TBVpS-5.55
PEG (NY)N/A
PEG (5Y)3.35
Graham Number16.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.71% | ||
| ROE | 2.73% | ||
| ROCE | 4.23% | ||
| ROIC | 3.27% | ||
| ROICexc | 3.35% | ||
| ROICexgc | 5.9% | ||
| OM | 3.83% | ||
| PM (TTM) | 0.79% | ||
| GM | 9.64% | ||
| FCFM | 1.18% |
ROA(3y)7.96%
ROA(5y)5.48%
ROE(3y)26.05%
ROE(5y)12.04%
ROIC(3y)11.96%
ROIC(5y)N/A
ROICexc(3y)12.32%
ROICexc(5y)N/A
ROICexgc(3y)22.2%
ROICexgc(5y)N/A
ROCE(3y)15.44%
ROCE(5y)N/A
ROICexgc growth 3Y-32.74%
ROICexgc growth 5Y19.54%
ROICexc growth 3Y-39.51%
ROICexc growth 5Y14.17%
OM growth 3Y-36.05%
OM growth 5Y5.82%
PM growth 3Y-51.5%
PM growth 5YN/A
GM growth 3Y-23.01%
GM growth 5Y1.49%
F-Score6
Asset Turnover0.89
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.52 | ||
| Debt/FCF | 37.32 | ||
| Debt/EBITDA | 3.79 | ||
| Cap/Depr | 40.85% | ||
| Cap/Sales | 3.16% | ||
| Interest Coverage | 1.61 | ||
| Cash Conversion | 37.55% | ||
| Profit Quality | 149.63% | ||
| Current Ratio | 1.56 | ||
| Quick Ratio | 0.89 | ||
| Altman-Z | 1.81 |
F-Score6
WACC10.04%
ROIC/WACC0.33
Cap/Depr(3y)40.49%
Cap/Depr(5y)41.7%
Cap/Sales(3y)2.99%
Cap/Sales(5y)3.28%
Profit Quality(3y)190.37%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-43.2%
EPS 3Y-47.49%
EPS 5Y9.01%
EPS Q2Q%366.67%
EPS Next Y-87.7%
EPS Next 2Y-20.63%
EPS Next 3Y6%
EPS Next 5YN/A
Revenue 1Y (TTM)4.68%
Revenue growth 3Y-9.8%
Revenue growth 5Y1.37%
Sales Q2Q%7.78%
Revenue Next Year4.58%
Revenue Next 2Y2.99%
Revenue Next 3Y3.19%
Revenue Next 5Y5.4%
EBIT growth 1Y-30.39%
EBIT growth 3Y-42.31%
EBIT growth 5Y7.27%
EBIT Next Year119.12%
EBIT Next 3Y41.94%
EBIT Next 5Y37.4%
FCF growth 1Y-88.99%
FCF growth 3Y-41.52%
FCF growth 5Y5.87%
OCF growth 1Y-69.62%
OCF growth 3Y-33.88%
OCF growth 5Y-4%
OLIN CORP / OLN FAQ
What is the fundamental rating for OLN stock?
ChartMill assigns a fundamental rating of 4 / 10 to OLN.
What is the valuation status of OLIN CORP (OLN) stock?
ChartMill assigns a valuation rating of 2 / 10 to OLIN CORP (OLN). This can be considered as Overvalued.
What is the profitability of OLN stock?
OLIN CORP (OLN) has a profitability rating of 5 / 10.
What are the PE and PB ratios of OLIN CORP (OLN) stock?
The Price/Earnings (PE) ratio for OLIN CORP (OLN) is 30.19 and the Price/Book (PB) ratio is 1.21.
How financially healthy is OLIN CORP?
The financial health rating of OLIN CORP (OLN) is 3 / 10.