6.495 USD
-0.07 (-1.07%)
We assign a fundamental rating of 6 out of 10 to UG. UG was compared to 36 industry peers in the Personal Care Products industry. UG has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. UG has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- UG had positive earnings in the past year.
- UG had a positive operating cash flow in the past year.
- Each year in the past 5 years UG has been profitable.
- UG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- UG has a Return On Assets of 16.09%. This is amongst the best in the industry. UG outperforms 94.44% of its industry peers.
- UG has a better Return On Equity (18.52%) than 86.11% of its industry peers.
- UG has a better Return On Invested Capital (15.56%) than 83.33% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for UG is significantly above the industry average of 11.85%.
- The last Return On Invested Capital (15.56%) for UG is well below the 3 year average (26.27%), which needs to be investigated, but indicates that UG had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.09% | ||
| ROE | 18.52% | ||
| ROIC | 15.56% |
ROA(3y)22.56%
ROA(5y)26.69%
ROE(3y)25.92%
ROE(5y)31.42%
ROIC(3y)26.27%
ROIC(5y)30.33%
1.3 Margins
- UG has a Profit Margin of 19.48%. This is amongst the best in the industry. UG outperforms 97.22% of its industry peers.
- In the last couple of years the Profit Margin of UG has declined.
- With an excellent Operating Margin value of 20.65%, UG belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
- UG's Operating Margin has declined in the last couple of years.
- UG has a worse Gross Margin (50.60%) than 61.11% of its industry peers.
- In the last couple of years the Gross Margin of UG has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.65% | ||
| PM (TTM) | 19.48% | ||
| GM | 50.6% |
OM growth 3Y-9.73%
OM growth 5Y-5.49%
PM growth 3Y-7.26%
PM growth 5Y-5.28%
GM growth 3Y-3.34%
GM growth 5Y-1.9%
2. Health
2.1 Basic Checks
- UG has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- Compared to 1 year ago, UG has about the same amount of shares outstanding.
- The number of shares outstanding for UG remains at a similar level compared to 5 years ago.
- There is no outstanding debt for UG. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
- An Altman-Z score of 14.82 indicates that UG is not in any danger for bankruptcy at the moment.
- UG has a Altman-Z score of 14.82. This is amongst the best in the industry. UG outperforms 97.22% of its industry peers.
- UG has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 14.82 |
ROIC/WACC1.75
WACC8.88%
2.3 Liquidity
- A Current Ratio of 7.04 indicates that UG has no problem at all paying its short term obligations.
- With an excellent Current ratio value of 7.04, UG belongs to the best of the industry, outperforming 94.44% of the companies in the same industry.
- UG has a Quick Ratio of 6.16. This indicates that UG is financially healthy and has no problem in meeting its short term obligations.
- UG's Quick ratio of 6.16 is amongst the best of the industry. UG outperforms 94.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 7.04 | ||
| Quick Ratio | 6.16 |
3. Growth
3.1 Past
- UG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -43.76%.
- The Earnings Per Share has been decreasing by -7.41% on average over the past years.
- Looking at the last year, UG shows a very negative growth in Revenue. The Revenue has decreased by -18.29% in the last year.
- The Revenue has been decreasing by -2.18% on average over the past years.
EPS 1Y (TTM)-43.76%
EPS 3Y-11.18%
EPS 5Y-7.41%
EPS Q2Q%-69%
Revenue 1Y (TTM)-18.29%
Revenue growth 3Y-4.37%
Revenue growth 5Y-2.18%
Sales Q2Q%-26.01%
3.2 Future
- No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
- No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
- No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 15.10, UG is valued correctly.
- Compared to the rest of the industry, the Price/Earnings ratio of UG indicates a rather cheap valuation: UG is cheaper than 80.56% of the companies listed in the same industry.
- When comparing the Price/Earnings ratio of UG to the average of the S&P500 Index (27.21), we can say UG is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.1 | ||
| Fwd PE | N/A |
4.2 Price Multiples
- 83.33% of the companies in the same industry are more expensive than UG, based on the Enterprise Value to EBITDA ratio.
- 72.22% of the companies in the same industry are more expensive than UG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.18 | ||
| EV/EBITDA | 6.59 |
4.3 Compensation for Growth
- UG has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 7.82%, UG is a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 1.90, UG pays a better dividend. On top of this UG pays more dividend than 91.67% of the companies listed in the same industry.
- UG's Dividend Yield is rather good when compared to the S&P500 average which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.82% |
5.2 History
- The dividend of UG decreases each year by -11.42%.
- UG has paid a dividend for at least 10 years, which is a reliable track record.
- UG has decreased its dividend recently.
Dividend Growth(5Y)-11.42%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- 141.17% of the earnings are spent on dividend by UG. This is not a sustainable payout ratio.
- The Dividend Rate of UG has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP141.17%
EPS Next 2YN/A
EPS Next 3YN/A
UNITED GUARDIAN INC / UG FAQ
What is the fundamental rating for UG stock?
ChartMill assigns a fundamental rating of 6 / 10 to UG.
What is the valuation status of UNITED GUARDIAN INC (UG) stock?
ChartMill assigns a valuation rating of 4 / 10 to UNITED GUARDIAN INC (UG). This can be considered as Fairly Valued.
Can you provide the profitability details for UNITED GUARDIAN INC?
UNITED GUARDIAN INC (UG) has a profitability rating of 7 / 10.
How financially healthy is UNITED GUARDIAN INC?
The financial health rating of UNITED GUARDIAN INC (UG) is 9 / 10.