Air Products and Chemicals (NYSE:APD) Takes On Some Risk With Its Use Of Debt
Jun 03
U.S. Chemicals Industry Analysis
UpdatedJun 04, 2024
DataAggregated Company Financials
Companies123
- 7D-0.7%
- 3M0.4%
- 1Y10.6%
- YTD2.8%
Over the last 7 days, the Chemicals industry has remained flat. As for the the longer term, the industry is up 11% over the past 12 months. Looking forward, earnings are forecast to grow by 17% annually.
Industry Valuation and Performance
Has the U.S. Chemicals Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Tue, 04 Jun 2024 | US$826.9b | US$377.3b | US$23.4b | 25.5x | 35.3x | 2.2x |
| Thu, 02 May 2024 | US$802.6b | US$381.8b | US$26.2b | 21.4x | 30.6x | 2.1x |
| Sat, 30 Mar 2024 | US$854.5b | US$384.6b | US$25.5b | 22x | 33.5x | 2.2x |
| Mon, 26 Feb 2024 | US$811.6b | US$384.6b | US$25.5b | 19.6x | 31.8x | 2.1x |
| Wed, 24 Jan 2024 | US$791.0b | US$398.9b | US$31.7b | 20.4x | 24.9x | 2x |
| Fri, 22 Dec 2023 | US$796.8b | US$398.4b | US$31.6b | 21.7x | 25.2x | 2x |
| Sun, 19 Nov 2023 | US$762.2b | US$398.9b | US$31.7b | 18.4x | 24x | 1.9x |
| Tue, 17 Oct 2023 | US$744.9b | US$412.0b | US$31.2b | 15.2x | 23.9x | 1.8x |
| Thu, 14 Sep 2023 | US$775.9b | US$412.0b | US$31.2b | 15.2x | 24.9x | 1.9x |
| Sat, 12 Aug 2023 | US$789.2b | US$412.0b | US$31.2b | 15.3x | 25.3x | 1.9x |
| Mon, 10 Jul 2023 | US$803.3b | US$444.3b | US$39.1b | 14.5x | 20.6x | 1.8x |
| Wed, 07 Jun 2023 | US$781.6b | US$444.6b | US$39.1b | 13.2x | 20x | 1.8x |
| Fri, 05 May 2023 | US$770.7b | US$444.9b | US$39.9b | 12.7x | 19.3x | 1.7x |
| Sun, 02 Apr 2023 | US$802.1b | US$452.0b | US$42.6b | 12.7x | 18.8x | 1.8x |
| Tue, 28 Feb 2023 | US$817.1b | US$450.4b | US$40.0b | 12.9x | 20.4x | 1.8x |
| Thu, 26 Jan 2023 | US$826.8b | US$461.1b | US$43.3b | 15.4x | 19.1x | 1.8x |
| Sat, 24 Dec 2022 | US$788.2b | US$460.8b | US$43.3b | 14.1x | 18.2x | 1.7x |
| Mon, 21 Nov 2022 | US$809.0b | US$460.7b | US$43.3b | 14.8x | 18.7x | 1.8x |
| Wed, 19 Oct 2022 | US$739.3b | US$455.1b | US$45.5b | 14.5x | 16.2x | 1.6x |
| Fri, 16 Sep 2022 | US$767.4b | US$454.7b | US$45.5b | 14.3x | 16.9x | 1.7x |
| Sun, 14 Aug 2022 | US$841.1b | US$452.5b | US$45.3b | 16.9x | 18.6x | 1.9x |
| Tue, 12 Jul 2022 | US$744.9b | US$432.0b | US$44.3b | 15.6x | 16.8x | 1.7x |
| Thu, 09 Jun 2022 | US$896.0b | US$432.0b | US$44.3b | 17.5x | 20.2x | 2.1x |
| Sat, 07 May 2022 | US$851.4b | US$425.7b | US$42.8b | 18.2x | 19.9x | 2x |
| Mon, 04 Apr 2022 | US$873.8b | US$408.9b | US$39.0b | 19.3x | 22.4x | 2.1x |
| Wed, 02 Mar 2022 | US$789.8b | US$406.5b | US$41.1b | 20.2x | 19.2x | 1.9x |
| Fri, 28 Jan 2022 | US$832.7b | US$390.8b | US$38.7b | 19.9x | 21.5x | 2.1x |
| Sun, 26 Dec 2021 | US$895.7b | US$390.0b | US$38.7b | 21.5x | 23.2x | 2.3x |
| Tue, 23 Nov 2021 | US$909.0b | US$386.8b | US$38.6b | 22.7x | 23.5x | 2.4x |
| Thu, 21 Oct 2021 | US$872.1b | US$362.3b | US$32.2b | 23.9x | 27.1x | 2.4x |
| Sat, 18 Sep 2021 | US$826.9b | US$362.2b | US$32.2b | 22.4x | 25.7x | 2.3x |
| Mon, 16 Aug 2021 | US$864.6b | US$363.4b | US$32.1b | 21.9x | 26.9x | 2.4x |
Price to Earnings Ratio
26.4x
Current Industry PE
- Investors are optimistic on the American Chemicals industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 35.3x which is higher than its 3-year average PE of 27.4x.
- The industry is trading close to its 3-year average PS ratio of 2.4x.
Past Earnings Growth
- The earnings for companies in the Chemicals industry have declined 10.0% per year over the last three years.
- Meanwhile revenues have remained mostly flat.
- This means that although sales have remained flat, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.
Industry Trends
Which industries have driven the changes within the U.S. Materials industry?
| US Market | -0.61% | |
| Materials | -0.63% | |
| Chemicals | -0.74% | |
| Fertilizers and Agricultural Chemicals | 0.38% | |
| Industrial Gases | 0.29% | |
| Specialty Chemicals | -1.15% | |
| Commodity Chemicals | -2.14% | |
| Diversified Chemicals | -5.46% | |
Industry PE
- Investors are most optimistic about the Specialty Chemicals industry, which is trading close to its 3-year average PE ratio of 47.2x.
- Analysts are expecting annual earnings growth of 19.8%, which is higher than its past year's earnings growth of 6.4% per year.
Forecasted Growth
- Analysts are most optimistic on the Diversified Chemicals industry, expecting annual earnings growth of 65% over the next 5 years.
- This is better than its past earnings decline of 91% per year.
- In contrast, the Industrial Gases industry is expected to see its earnings grow by 9.3% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| APD Air Products and Chemicals | US$270.91 | 2.4% +US$1.4b | -3.2% | PE24.5x | |
| CF CF Industries Holdings | US$80.54 | 3.9% +US$553.8m | 26.1% | PE12.7x | |
| TROX Tronox Holdings | US$20.29 | 6.8% +US$205.2m | 68.9% | PS1.1x | |
| AXTA Axalta Coating Systems | US$35.87 | 2.0% +US$158.9m | 15.4% | PE32x | |
| KRO Kronos Worldwide | US$13.94 | 8.0% +US$118.5m | 60.4% | PS0.9x |
