OLIN CORP (OLN)
US6806652052 - Common Stock
Overall OLN gets a fundamental rating of 5 out of 10. We evaluated OLN against 83 industry peers in the Chemicals industry. OLN has an average financial health and profitability rating. OLN is valued correctly, but it does not seem to be growing.
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.
In multiple years OLN reported negative net income over the last 5 years.
In the past 5 years OLN always reported a positive cash flow from operatings.
1.2 Ratios
OLN has a Return On Assets of 2.01%. This is comparable to the rest of the industry: OLN outperforms 49.40% of its industry peers.
OLN has a Return On Equity of 7.33%. This is comparable to the rest of the industry: OLN outperforms 55.42% of its industry peers.
OLN has a Return On Invested Capital of 4.90%. This is comparable to the rest of the industry: OLN outperforms 55.42% of its industry peers.
OLN had an Average Return On Invested Capital over the past 3 years of 18.05%. This is significantly above the industry average of 7.24%.
The 3 year average ROIC (18.05%) for OLN is well above the current ROIC(4.90%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.01% | ||
| ROE | 7.33% | ||
| ROIC | 4.9% |
ROA(3y)12.56%
ROA(5y)5.17%
ROE(3y)40.56%
ROE(5y)10.87%
ROIC(3y)18.05%
ROIC(5y)N/A
1.3 Margins
OLN has a Profit Margin of 2.33%. This is comparable to the rest of the industry: OLN outperforms 43.37% of its industry peers.
OLN's Profit Margin has improved in the last couple of years.
OLN's Operating Margin of 5.76% is on the low side compared to the rest of the industry. OLN is outperformed by 62.65% of its industry peers.
OLN's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 12.08%, OLN is not doing good in the industry: 78.31% of the companies in the same industry are doing better.
OLN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.76% | ||
| PM (TTM) | 2.33% | ||
| GM | 12.08% |
OM growth 3YN/A
OM growth 5Y6.02%
PM growth 3YN/A
PM growth 5Y7.37%
GM growth 3Y37.75%
GM growth 5Y3.6%
2. Health
2.1 Basic Checks
OLN has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for OLN has been reduced compared to 1 year ago.
Compared to 5 years ago, OLN has less shares outstanding
OLN has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 1.99 indicates that OLN is not a great score, but indicates only limited risk for bankruptcy at the moment.
OLN has a Altman-Z score (1.99) which is comparable to the rest of the industry.
The Debt to FCF ratio of OLN is 5.06, which is a neutral value as it means it would take OLN, 5.06 years of fcf income to pay off all of its debts.
OLN has a better Debt to FCF ratio (5.06) than 67.47% of its industry peers.
A Debt/Equity ratio of 1.34 is on the high side and indicates that OLN has dependencies on debt financing.
The Debt to Equity ratio of OLN (1.34) is worse than 78.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.34 | ||
| Debt/FCF | 5.06 | ||
| Altman-Z | 1.99 |
ROIC/WACC0.62
WACC7.96%
2.3 Liquidity
OLN has a Current Ratio of 1.40. This is a normal value and indicates that OLN is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of OLN (1.40) is worse than 75.90% of its industry peers.
A Quick Ratio of 0.82 indicates that OLN may have some problems paying its short term obligations.
OLN's Quick ratio of 0.82 is on the low side compared to the rest of the industry. OLN is outperformed by 80.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.4 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
The earnings per share for OLN have decreased strongly by -75.50% in the last year.
OLN shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.66% yearly.
Looking at the last year, OLN shows a decrease in Revenue. The Revenue has decreased by -9.90% in the last year.
The Revenue has been decreasing by -0.33% on average over the past years.
EPS 1Y (TTM)-75.5%
EPS 3YN/A
EPS 5Y17.66%
EPS Q2Q%-116.48%
Revenue 1Y (TTM)-9.9%
Revenue growth 3Y5.87%
Revenue growth 5Y-0.33%
Sales Q2Q%-4.9%
3.2 Future
The Earnings Per Share is expected to grow by 7.70% on average over the next years.
Based on estimates for the next years, OLN will show a small growth in Revenue. The Revenue will grow by 2.34% on average per year.
EPS Next Y-73.4%
EPS Next 2Y-14.57%
EPS Next 3Y7.7%
EPS Next 5YN/A
Revenue Next Year-4.3%
Revenue Next 2Y0.88%
Revenue Next 3Y2.34%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 27.10 indicates a quite expensive valuation of OLN.
OLN's Price/Earnings is on the same level as the industry average.
OLN is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.17, which is the current average of the S&P500 Index.
OLN is valuated correctly with a Price/Forward Earnings ratio of 12.18.
Based on the Price/Forward Earnings ratio, OLN is valued a bit cheaper than the industry average as 66.27% of the companies are valued more expensively.
OLN's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.68.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.1 | ||
| Fwd PE | 12.18 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, OLN is valued cheaply inside the industry as 80.72% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, OLN is valued cheaper than 92.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.75 | ||
| EV/EBITDA | 7.37 |
4.3 Compensation for Growth
OLN has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.53
EPS Next 2Y-14.57%
EPS Next 3Y7.7%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.39%, OLN has a reasonable but not impressive dividend return.
In the last 3 months the price of OLN has falen by -24.15%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
OLN's Dividend Yield is a higher than the industry average which is at 3.35.
OLN's Dividend Yield is comparable with the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.39% |
5.2 History
The dividend of OLN decreases each year by -0.10%.
OLN has paid a dividend for at least 10 years, which is a reliable track record.
OLN has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-0.1%
Div Incr Years0
Div Non Decr Years24
5.3 Sustainability
63.20% of the earnings are spent on dividend by OLN. This is not a sustainable payout ratio.
DP63.2%
EPS Next 2Y-14.57%
EPS Next 3Y7.7%
OLIN CORP
NYSE:OLN (12/23/2024, 2:14:43 PM)
33.06
-0.39 (-1.17%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners91.1%
Inst Owner Change-1.44%
Ins Owners0.29%
Ins Owner Change0%
Market Cap3.85B
Analysts69.57
Price Target48.96 (48.09%)
Short Float %2.15%
Short Ratio1.55
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.39% |
Dividend Growth(5Y)-0.1%
DP63.2%
Div Incr Years0
Div Non Decr Years24
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-257.01%
Min EPS beat(2)-508.23%
Max EPS beat(2)-5.79%
EPS beat(4)2
Avg EPS beat(4)-118.53%
Min EPS beat(4)-508.23%
Max EPS beat(4)22.86%
EPS beat(8)6
Avg EPS beat(8)-53.65%
EPS beat(12)9
Avg EPS beat(12)-35.3%
EPS beat(16)13
Avg EPS beat(16)-20.61%
Revenue beat(2)0
Avg Revenue beat(2)-2.39%
Min Revenue beat(2)-4.75%
Max Revenue beat(2)-0.03%
Revenue beat(4)1
Avg Revenue beat(4)-0.38%
Min Revenue beat(4)-4.75%
Max Revenue beat(4)5.12%
Revenue beat(8)1
Avg Revenue beat(8)-4.09%
Revenue beat(12)3
Avg Revenue beat(12)-2.94%
Revenue beat(16)5
Avg Revenue beat(16)-1.35%
PT rev (1m)-5.66%
PT rev (3m)-5.65%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-96.96%
EPS NY rev (1m)-2.27%
EPS NY rev (3m)-42.81%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-14.49%
Revenue NY rev (1m)-0.09%
Revenue NY rev (3m)-1.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.1 | ||
| Fwd PE | 12.18 | ||
| P/S | 0.59 | ||
| P/FCF | 6.75 | ||
| P/OCF | 4.95 | ||
| P/B | 1.87 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.37 |
EPS(TTM)1.22
EY3.69%
EPS(NY)2.71
Fwd EY8.21%
FCF(TTM)4.9
FCFY14.81%
OCF(TTM)6.67
OCFY20.19%
SpS55.6
BVpS17.64
TBVpS-5.6
PEG (NY)N/A
PEG (5Y)1.53
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.01% | ||
| ROE | 7.33% | ||
| ROCE | 6.13% | ||
| ROIC | 4.9% | ||
| ROICexc | 5.09% | ||
| ROICexgc | 9.47% | ||
| OM | 5.76% | ||
| PM (TTM) | 2.33% | ||
| GM | 12.08% | ||
| FCFM | 8.81% |
ROA(3y)12.56%
ROA(5y)5.17%
ROE(3y)40.56%
ROE(5y)10.87%
ROIC(3y)18.05%
ROIC(5y)N/A
ROICexc(3y)18.57%
ROICexc(5y)N/A
ROICexgc(3y)30.02%
ROICexgc(5y)N/A
ROCE(3y)22.57%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y15.26%
ROICexc growth 3YN/A
ROICexc growth 5Y11.02%
OM growth 3YN/A
OM growth 5Y6.02%
PM growth 3YN/A
PM growth 5Y7.37%
GM growth 3Y37.75%
GM growth 5Y3.6%
F-Score4
Asset Turnover0.86
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.34 | ||
| Debt/FCF | 5.06 | ||
| Debt/EBITDA | 3.11 | ||
| Cap/Depr | 40.03% | ||
| Cap/Sales | 3.19% | ||
| Interest Coverage | 2.02 | ||
| Cash Conversion | 87.37% | ||
| Profit Quality | 378.65% | ||
| Current Ratio | 1.4 | ||
| Quick Ratio | 0.82 | ||
| Altman-Z | 1.99 |
F-Score4
WACC7.96%
ROIC/WACC0.62
Cap/Depr(3y)39.41%
Cap/Depr(5y)47.08%
Cap/Sales(3y)2.74%
Cap/Sales(5y)3.95%
Profit Quality(3y)135.4%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-75.5%
EPS 3YN/A
EPS 5Y17.66%
EPS Q2Q%-116.48%
EPS Next Y-73.4%
EPS Next 2Y-14.57%
EPS Next 3Y7.7%
EPS Next 5YN/A
Revenue 1Y (TTM)-9.9%
Revenue growth 3Y5.87%
Revenue growth 5Y-0.33%
Sales Q2Q%-4.9%
Revenue Next Year-4.3%
Revenue Next 2Y0.88%
Revenue Next 3Y2.34%
Revenue Next 5YN/A
EBIT growth 1Y-62.45%
EBIT growth 3YN/A
EBIT growth 5Y5.67%
EBIT Next Year15.28%
EBIT Next 3Y21.48%
EBIT Next 5YN/A
FCF growth 1Y-67.66%
FCF growth 3Y83.49%
FCF growth 5Y7.16%
OCF growth 1Y-61.08%
OCF growth 3Y32.55%
OCF growth 5Y1.42%