WBAG:UMI

Stock Analysis Report

Executive Summary

Umicore S.A. operates as a materials technology and recycling company worldwide.


Snowflake Analysis

Established dividend payer with adequate balance sheet.


Similar Companies

Share Price & News

How has Umicore's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: UMI has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-3.6%

UMI

-0.6%

AT Chemicals

-1.3%

AT Market


1 Year Return

17.7%

UMI

9.5%

AT Chemicals

3.5%

AT Market

Return vs Industry: UMI exceeded the Austrian Chemicals industry which returned 9.5% over the past year.

Return vs Market: UMI exceeded the Austrian Market which returned 3.5% over the past year.


Shareholder returns

UMIIndustryMarket
7 Day-3.6%-0.6%-1.3%
30 Day3.7%2.9%0.4%
90 Day13.8%2.9%-1.2%
1 Year19.8%17.7%12.9%9.5%7.2%3.5%
3 Yearn/a18.6%7.9%27.3%15.8%
5 Yearn/a30.4%10.9%51.3%30.3%

Price Volatility Vs. Market

How volatile is Umicore's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Umicore undervalued compared to its fair value and its price relative to the market?

36.24x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: UMI (€43.32) is trading above our estimate of fair value (€16.56)

Significantly Below Fair Value: UMI is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: UMI is poor value based on its PE Ratio (36.2x) compared to the Chemicals industry average (16.3x).

PE vs Market: UMI is poor value based on its PE Ratio (36.2x) compared to the Austrian market (14.1x).


Price to Earnings Growth Ratio

PEG Ratio: UMI is poor value based on its PEG Ratio (2.4x)


Price to Book Ratio

PB vs Industry: UMI is overvalued based on its PB Ratio (4x) compared to the XE Chemicals industry average (1.6x).


Next Steps

Future Growth

How is Umicore forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?

15.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: UMI's forecast earnings growth (15.3% per year) is above the savings rate (-0.1%).

Earnings vs Market: UMI's earnings (15.3% per year) are forecast to grow faster than the Austrian market (2.3% per year).

High Growth Earnings: UMI's earnings are forecast to grow, but not significantly.

Revenue vs Market: UMI's revenue is expected to decline over the next 3 years (-36.2% per year).

High Growth Revenue: UMI's revenue is forecast to decline over the next 3 years (-36.2% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: UMI's Return on Equity is forecast to be low in 3 years time (15.6%).


Next Steps

Past Performance

How has Umicore performed over the past 5 years?

16.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: UMI has high quality earnings.

Growing Profit Margin: UMI's current net profit margins (1.6%) are lower than last year (2.3%).


Past Earnings Growth Analysis

Earnings Trend: UMI's earnings have grown by 16.2% per year over the past 5 years.

Accelerating Growth: UMI's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: UMI had negative earnings growth (-9.2%) over the past year, making it difficult to compare to the Chemicals industry average (2.5%).


Return on Equity

High ROE: UMI's Return on Equity (11.2%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Umicore's financial position?


Financial Position Analysis

Short Term Liabilities: UMI's short term assets (€4.2B) exceed its short term liabilities (€2.7B).

Long Term Liabilities: UMI's short term assets (€4.2B) exceed its long term liabilities (€1.7B).


Debt to Equity History and Analysis

Debt Level: UMI's debt to equity ratio (63.1%) is considered high.

Reducing Debt: UMI's debt to equity ratio has increased from 22.2% to 63.1% over the past 5 years.

Debt Coverage: UMI's debt is well covered by operating cash flow (28.6%).

Interest Coverage: UMI's interest payments on its debt are well covered by EBIT (9.2x coverage).


Balance Sheet

Inventory Level: UMI has a high level of physical assets or inventory.

Debt Coverage by Assets: UMI's debt is covered by short term assets (assets are 2.5x debt).


Next Steps

Dividend

What is Umicore's current dividend yield, its reliability and sustainability?

1.73%

Current Dividend Yield


Upcoming Dividend Payment

TodayFeb 23 2020Ex Dividend DateMay 05 2020Dividend Pay DateMay 07 20202 days from Ex DividendBuy in the next 71 days to receive upcoming dividend

Dividend Yield vs Market

Notable Dividend: UMI's dividend (1.73%) is higher than the bottom 25% of dividend payers in the Austrian market (1.58%).

High Dividend: UMI's dividend (1.73%) is low compared to the top 25% of dividend payers in the Austrian market (4.58%).


Stability and Growth of Payments

Stable Dividend: UMI's dividends per share have been stable in the past 10 years.

Growing Dividend: UMI's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (62.7%), UMI's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: UMI's dividends in 3 years are forecast to be well covered by earnings (44.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.2yrs

Average management tenure


CEO

Marc Grynberg (54yo)

11.3yrs

Tenure

€2,672,410

Compensation

Mr. Marc Grynberg has been the Chief Executive Officer of Umicore S.A. since November 2008 and has been its Executive Director since November 19, 2008. Mr. Grynberg serves as Chief Executive Officer of Umi ...


CEO Compensation Analysis

Compensation vs Market: Marc's total compensation ($USD2.90M) is about average for companies of similar size in the Austrian market ($USD3.59M).

Compensation vs Earnings: Marc's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Marc Grynberg
CEO & Executive Director11.3yrs€2.67m0.34% 35.3m
Filip Platteeuw
Chief Financial Officer7.3yrsno data0.016% 1.6m
Ann Steegen
Chief Technology Officer1.3yrsno datano data
Géraldine Nolens
Executive VP of Legal5.1yrsno data0.0081% 845.6k
Stephan Csoma
Executive Vice President of Recycling15.1yrsno data0.015% 1.6m
Denis Goffaux
Executive Vice-President of Energy & Surface Technologies1.8yrsno data0.021% 2.2m
Evelien Goovaerts
Head of Investor Relations0yrsno datano data
Tim Weekes
Director of Group Communications0yrsno datano data
Ignace de Ruijter
Senior Vice-President of Human Resources0yrsno datano data
Jan Vliegen
Senior Vice President of Strategic Developments Energy & Surface Technology0yrsno datano data

6.2yrs

Average Tenure

50yo

Average Age

Experienced Management: UMI's management team is seasoned and experienced (6.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Marc Grynberg
CEO & Executive Director11.3yrs€2.67m0.34% 35.3m
Eric Meurice
Independent Non-Executive Director4.8yrs€90.84k0.0015% 158.7k
Gérard Lamarche
Non-Executive Director2.8yrs€94.34k0.0013% 130.5k
Thomas Leysen
Chairman of the Board11.3yrs€212.24k0.33% 34.9m
Françoise Chombar
Independent Non-Executive Director3.8yrs€101.34k0.0011% 115.9k
Karel Vinck
Honorary Chairman0yrs€138.00kno data
Ines Kolmsee
Independent Non-Executive Director8.8yrs€125.84k0.0027% 287.1k
Marc Van Sande
Board Advisor0yrsno datano data
Mark Garrett
Independent Non-Executive Director4.8yrs€105.84k0.0015% 158.7k
Liat Ben-Zur
Independent Non-Executive Director2.8yrs€90.84k0.00070% 73.1k

4.8yrs

Average Tenure

57.5yo

Average Age

Experienced Board: UMI's board of directors are considered experienced (4.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Umicore SA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Umicore SA
  • Ticker: UMI
  • Exchange: WBAG
  • Founded: 1906
  • Industry: Specialty Chemicals
  • Sector: Materials
  • Market Cap: €10.440b
  • Shares outstanding: 240.78m
  • Website: https://www.umicore.com

Number of Employees


Location

  • Umicore SA
  • Rue du Marais 31 Broekstraat
  • Brussels
  • Brussels
  • 1000
  • Belgium

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
UMIC.FOTCPK (Pink Sheets LLC)YesBearer SharesUSUSDJan 1992
NVJPDB (Deutsche Boerse AG)YesBearer SharesDEEURJan 1992
UMIENXTBR (Euronext Brussels)YesBearer SharesBEEURJan 1992
0RUYLSE (London Stock Exchange)YesBearer SharesGBEURJan 1992
UMIBBATS-CHIXE (BATS 'Chi-X Europe')YesBearer SharesGBEURJan 1992
UMIWBAG (Wiener Boerse AG)YesBearer SharesATEURJan 1992
97432052ENXTBR (Euronext Brussels)YesBearer SharesBEEURJan 1992
UMIBBATS-CHIXE (BATS 'Chi-X Europe')YesBearer SharesGBEURJan 1992
UMI NBMV (Bolsa Mexicana de Valores)YesBearer SharesMXMXNJan 1992
NVJPETLX (Eurotlx)YesBearer SharesITEURJan 1992
UMIC.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDMar 2010

Biography

Umicore S.A. operates as a materials technology and recycling company worldwide. Its Catalysis segment produces automotive catalysts for gasoline and diesel light and heavy duty diesel applications; stationary catalysis for industrial emissions control; and precious metals-based compounds and catalysts for pharmaceutical and fine chemicals industries. The company’s Energy & Surface Technologies segment offers cobalt and specialty materials, electro-optic materials, rechargeable battery materials, and electroplating products. Its Recycling segment treats waste streams containing precious and other specialty metals from a range of industrial residues and end-of-life materials. This segment also produces precious metals-based materials for glass production, electric, and electronic applications. The company was formerly known as Union Minière du Haut Katanga and changed its name to Umicore S.A. in 2001. Umicore S.A. was founded in 1906 and is headquartered in Brussels, Belgium. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/22 23:10
End of Day Share Price2020/02/21 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.