OLIN CORP (OLN) Stock Fundamental Analysis
USA - NYSE:OLN - US6806652052 - Common Stock
19.56 USD
-0.49 (-2.44%)
19.3 USD
-0.26 (-1.33%)
We assign a fundamental rating of 4 out of 10 to OLN. OLN was compared to 82 industry peers in the Chemicals industry. OLN has a medium profitability rating, but doesn't score so well on its financial health evaluation. OLN is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year OLN was profitable.
OLN had a positive operating cash flow in the past year.
OLN had positive earnings in 4 of the past 5 years.
In the past 5 years OLN always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.71%, OLN is in line with its industry, outperforming 48.78% of the companies in the same industry.
The Return On Equity of OLN (2.73%) is comparable to the rest of the industry.
With a Return On Invested Capital value of 3.27%, OLN perfoms like the industry average, outperforming 43.90% 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 6.23%.
The 3 year average ROIC (11.96%) for OLN is well above the current ROIC(3.27%). The reason for the recent decline needs to be investigated.
| 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 of 0.79%. This is comparable to the rest of the industry: OLN outperforms 51.22% of its industry peers.
In the last couple of years the Profit Margin of OLN has declined.
OLN's Operating Margin of 3.83% is on the low side compared to the rest of the industry. OLN is outperformed by 68.29% of its industry peers.
OLN's Operating Margin has improved in the last couple of years.
OLN has a Gross Margin of 9.64%. This is in the lower half of the industry: OLN underperforms 79.27% 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), OLN 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.
The debt/assets ratio for OLN is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.80, we must say that OLN is in the distress zone and has some risk of bankruptcy.
OLN's Altman-Z score of 1.80 is in line compared to the rest of the industry. OLN outperforms 47.56% of its industry peers.
The Debt to FCF ratio of OLN is 37.32, which is on the high side as it means it would take OLN, 37.32 years of fcf income to pay off all of its debts.
OLN has a Debt to FCF ratio (37.32) which is comparable to the rest of the industry.
A Debt/Equity ratio of 1.52 is on the high side and indicates that OLN has dependencies on debt financing.
OLN has a worse Debt to Equity ratio (1.52) than 75.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.52 | ||
| Debt/FCF | 37.32 | ||
| Altman-Z | 1.8 |
ROIC/WACC0.39
WACC8.49%
2.3 Liquidity
OLN has a Current Ratio of 1.56. This is a normal value and indicates that OLN is financially healthy and should not expect problems in meeting its short term obligations.
OLN has a Current ratio of 1.56. This is in the lower half of the industry: OLN underperforms 70.73% of its industry peers.
A Quick Ratio of 0.89 indicates that OLN may have some problems paying its short term obligations.
OLN has a worse Quick ratio (0.89) than 71.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.56 | ||
| Quick Ratio | 0.89 |
3. Growth
3.1 Past
The earnings per share for OLN have decreased strongly by -43.20% in the last year.
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.
OLN shows a small growth in Revenue. In the last year, the Revenue has grown by 4.68%.
Measured over the past years, OLN shows a small growth in Revenue. The Revenue has been growing by 1.37% on average per year.
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
Based on estimates for the next years, OLN will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.51% on average per year.
The Revenue is expected to grow by 3.57% on average over the next years.
EPS Next Y-86.82%
EPS Next 2Y-16.26%
EPS Next 3Y11.51%
EPS Next 5YN/A
Revenue Next Year5.09%
Revenue Next 2Y3.53%
Revenue Next 3Y3.57%
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.
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
With a Price/Earnings ratio of 28.35, OLN can be considered very expensive at the moment.
OLN's Price/Earnings ratio is in line with the industry average.
OLN is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.03, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 23.84, which indicates a rather expensive current valuation of OLN.
Compared to the rest of the industry, the Price/Forward Earnings ratio of OLN is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 22.27. OLN is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.35 | ||
| Fwd PE | 23.84 |
4.2 Price Multiples
81.71% of the companies in the same industry are more expensive than OLN, based on the Enterprise Value to EBITDA ratio.
OLN's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.95 | ||
| EV/EBITDA | 6.56 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)3.15
EPS Next 2Y-16.26%
EPS Next 3Y11.51%
5. Dividend
5.1 Amount
OLN has a Yearly Dividend Yield of 3.99%. Purely for dividend investing, there may be better candidates out there.
OLN's Dividend Yield is rather good when compared to the industry average which is at 4.00. OLN pays more dividend than 80.49% of the companies in the same industry.
OLN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.99% |
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
OLN pays out 171.83% of its income as dividend. This is not a sustainable payout ratio.
DP171.83%
EPS Next 2Y-16.26%
EPS Next 3Y11.51%
19.56
-0.49 (-2.44%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners97.71%
Inst Owner Change-0.56%
Ins Owners0.44%
Ins Owner Change1.1%
Market Cap2.24B
Revenue(TTM)6.79B
Net Income(TTM)53.60M
Analysts66.67
Price Target25.64 (31.08%)
Short Float %6.74%
Short Ratio3.25
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.99% |
Yearly Dividend0.8
Dividend Growth(5Y)-0.05%
DP171.83%
Div Incr Years0
Div Non Decr Years24
Ex-Date
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)6.2%
PT rev (3m)3.29%
EPS NQ rev (1m)3.88%
EPS NQ rev (3m)-53.8%
EPS NY rev (1m)-32.9%
EPS NY rev (3m)-85.84%
Revenue NQ rev (1m)-0.45%
Revenue NQ rev (3m)0.17%
Revenue NY rev (1m)-0.26%
Revenue NY rev (3m)2.81%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.35 | ||
| Fwd PE | 23.84 | ||
| P/S | 0.33 | ||
| P/FCF | 27.95 | ||
| P/OCF | 7.61 | ||
| P/B | 1.14 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.56 |
EPS(TTM)0.69
EY3.53%
EPS(NY)0.82
Fwd EY4.19%
FCF(TTM)0.7
FCFY3.58%
OCF(TTM)2.57
OCFY13.15%
SpS59.22
BVpS17.12
TBVpS-5.53
PEG (NY)N/A
PEG (5Y)3.15
Graham Number16.3
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 | 1.8 |
F-Score6
WACC8.49%
ROIC/WACC0.39
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-86.82%
EPS Next 2Y-16.26%
EPS Next 3Y11.51%
EPS Next 5YN/A
Revenue 1Y (TTM)4.68%
Revenue growth 3Y-9.8%
Revenue growth 5Y1.37%
Sales Q2Q%7.78%
Revenue Next Year5.09%
Revenue Next 2Y3.53%
Revenue Next 3Y3.57%
Revenue Next 5YN/A
EBIT growth 1Y-30.39%
EBIT growth 3Y-42.31%
EBIT growth 5Y7.27%
EBIT Next Year124.27%
EBIT Next 3Y46.84%
EBIT Next 5YN/A
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.
Can you provide the valuation status for OLIN CORP?
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.
How financially healthy is OLIN CORP?
The financial health rating of OLIN CORP (OLN) is 2 / 10.
Can you provide the dividend sustainability for OLN stock?
The dividend rating of OLIN CORP (OLN) is 5 / 10 and the dividend payout ratio is 171.83%.