AKE

ArkemaENXTPA:AKE Stock Report

Market Cap

€8.5b

7D

-2.5%

1Y

17.4%

Updated

19 Sep, 2021

Data

Company Financials +
AKE fundamental analysis
Snowflake Score
Valuation5/6
Future Growth0/6
Past Performance4/6
Financial Health5/6
Dividends5/6

AKE Overview

Arkema S.A. manufactures and sells specialty chemicals and advanced materials worldwide.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: AKE is less volatile than 75% of French stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: AKE's weekly volatility (3%) has been stable over the past year.


Market Performance


7 Day Return

-2.5%

AKE

-3.7%

FR Chemicals

-1.8%

FR Market


1 Year Return

17.4%

AKE

4.6%

FR Chemicals

32.8%

FR Market

Return vs Industry: AKE exceeded the French Chemicals industry which returned 4.6% over the past year.

Return vs Market: AKE underperformed the French Market which returned 32.8% over the past year.


Shareholder returns

AKEIndustryMarket
7 Day-2.5%-3.7%-1.8%
30 Day7.7%-3.8%0.3%
90 Day6.8%0.1%0.1%
1 Year20.1%17.4%6.6%4.6%36.1%32.8%
3 Year10.6%1.4%46.8%37.4%31.9%19.6%
5 Year53.4%34.8%91.9%72.0%82.1%53.6%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Arkema Fundamentals Summary

How do Arkema's earnings and revenue compare to its market cap?
AKE fundamental statistics
Market Cap€8.49b
Earnings (TTM)€1.05b
Revenue (TTM)€8.52b

8.1x

P/E Ratio

1.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AKE income statement (TTM)
Revenue€8.52b
Cost of Revenue€6.71b
Gross Profit€1.81b
Expenses€757.00m
Earnings€1.05b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Nov 10, 2021

Earnings per share (EPS)13.77
Gross Margin21.24%
Net Profit Margin12.35%
Debt/Equity Ratio49.2%

How did AKE perform over the long term?

See historical performance and comparison

Dividends

2.2%

Current Dividend Yield

18%

Payout Ratio

Valuation

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

20.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AKE (€113.1) is trading below our estimate of fair value (€142.11)

Significantly Below Fair Value: AKE is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: AKE is good value based on its PE Ratio (8.1x) compared to the French Chemicals industry average (21.1x).

PE vs Market: AKE is good value based on its PE Ratio (8.1x) compared to the French market (21.2x).


Price to Earnings Growth Ratio

PEG Ratio: AKE's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: AKE is good value based on its PB Ratio (1.5x) compared to the FR Chemicals industry average (1.6x).


Future Growth

How is Arkema forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?

-16.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AKE's earnings are forecast to decline over the next 3 years (-16.8% per year).

Earnings vs Market: AKE's earnings are forecast to decline over the next 3 years (-16.8% per year).

High Growth Earnings: AKE's earnings are forecast to decline over the next 3 years.

Revenue vs Market: AKE's revenue (2.9% per year) is forecast to grow slower than the French market (6.2% per year).

High Growth Revenue: AKE's revenue (2.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AKE's Return on Equity is forecast to be low in 3 years time (11.1%).


Past Performance

How has Arkema performed over the past 5 years?

3.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AKE has a large one-off gain of €670.0M impacting its June 30 2021 financial results.

Growing Profit Margin: AKE's current net profit margins (12.4%) are higher than last year (4.4%).


Past Earnings Growth Analysis

Earnings Trend: AKE's earnings have grown by 3.8% per year over the past 5 years.

Accelerating Growth: AKE's earnings growth over the past year (188.2%) exceeds its 5-year average (3.8% per year).

Earnings vs Industry: AKE earnings growth over the past year (188.2%) exceeded the Chemicals industry 14.8%.


Return on Equity

High ROE: AKE's Return on Equity (18.8%) is considered low.


Financial Health

How is Arkema's financial position?


Financial Position Analysis

Short Term Liabilities: AKE's short term assets (€5.2B) exceed its short term liabilities (€2.1B).

Long Term Liabilities: AKE's short term assets (€5.2B) exceed its long term liabilities (€3.9B).


Debt to Equity History and Analysis

Debt Level: AKE's debt to equity ratio (49.2%) is considered high.

Reducing Debt: AKE's debt to equity ratio has reduced from 51.4% to 49.2% over the past 5 years.

Debt Coverage: AKE's debt is well covered by operating cash flow (39.8%).

Interest Coverage: AKE's interest payments on its debt are well covered by EBIT (15.2x coverage).


Balance Sheet


Dividend

What is Arkema current dividend yield, its reliability and sustainability?

2.21%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: AKE's dividend (2.21%) is higher than the bottom 25% of dividend payers in the French market (1.27%).

High Dividend: AKE's dividend (2.21%) is low compared to the top 25% of dividend payers in the French market (3.88%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (18.2%), AKE's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: AKE's dividends in 3 years are forecast to be well covered by earnings (33% payout ratio).


Next Steps

Management

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

4.9yrs

Average management tenure


CEO

Thierry Le Henaff (58 yo)

15.5yrs

Tenure

€3,955,067

Compensation

Mr. Thierry Le Henaff has been Lead Independent Supervisory Board Member at Compagnie Générale des Établissements Michelin Société en commandite par actions since June 23, 2020. Mr. Le Henaff has been the...


CEO Compensation Analysis

Compensation vs Market: Thierry's total compensation ($USD4.64M) is above average for companies of similar size in the French market ($USD3.29M).

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


Leadership Team

Experienced Management: AKE's management team is considered experienced (4.9 years average tenure).


Board Members

Experienced Board: AKE's board of directors are considered experienced (3.3 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

Arkema S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Arkema S.A.
  • Ticker: AKE
  • Exchange: ENXTPA
  • Founded: 2003
  • Industry: Diversified Chemicals
  • Sector: Materials
  • Market Cap: €8.488b
  • Shares outstanding: 75.05m
  • Website: https://www.arkema.com

Number of Employees


Location

  • Arkema S.A.
  • 420 rue d'Estienne d'Orves
  • Cedex
  • Colombes
  • Ile-de-France
  • 92700
  • France

Listings


Biography

Arkema S.A. manufactures and sells specialty chemicals and advanced materials worldwide. It operates in three segments: Adhesive Solutions, Advanced Materials, and Coating Solutions. Its products include a...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/19 17:34
End of Day Share Price2021/09/17 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.