Darling Ingredients
Market Cap
US$4.7b
Last Updated
2020/01/21 23:38 UTC
Data Sources
Company Financials +
Executive Summary
Darling Ingredients Inc. develops, produces, and sells natural ingredients from edible and inedible bio-nutrients.
Rewards
Risk Analysis
Snowflake Analysis
Moderate growth potential with mediocre balance sheet.
Similar Companies
Share Price & News
How has Darling Ingredients's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: DAR's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
-1.3%
DAR
1.3%
US Food
0.8%
US Market
1 Year Return
36.0%
DAR
13.9%
US Food
25.1%
US Market
Return vs Industry: DAR exceeded the US Food industry which returned 13.9% over the past year.
Return vs Market: DAR exceeded the US Market which returned 24.7% over the past year.
Shareholder returns
| DAR | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.3% | 1.3% | 0.8% |
| 30 Day | 4.4% | 0.3% | 3.1% |
| 90 Day | 53.3% | 8.0% | 10.9% |
| 1 Year | 36.0%36.0% | 17.1%13.9% | 27.7%25.1% |
| 3 Year | 139.2%139.2% | 1.4%-6.7% | 51.3%41.6% |
| 5 Year | 69.0%69.0% | 42.8%25.9% | 77.2%57.6% |
Price Volatility Vs. Market
How volatile is Darling Ingredients's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Shareholders Should Look Hard At Darling Ingredients Inc.’s (NYSE:DAR) 2.0%Return On Capital2 weeks ago | Simply Wall St
Have Insiders Been Selling Darling Ingredients Inc. (NYSE:DAR) Shares?4 weeks ago | Simply Wall St
Are Darling Ingredients's (NYSE:DAR) Statutory Earnings A Good Guide To Its Underlying Profitability?Valuation
Is Darling Ingredients undervalued compared to its fair value and its price relative to the market?
43.04x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: DAR ($29.27) is trading above our estimate of fair value ($5.23)
Significantly Below Fair Value: DAR is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: DAR is poor value based on its PE Ratio (43.6x) compared to the Food industry average (25.4x).
PE vs Market: DAR is poor value based on its PE Ratio (43.6x) compared to the US market (18.9x).
Price to Earnings Growth Ratio
PEG Ratio: DAR is good value based on its PEG Ratio (0.6x)
Price to Book Ratio
PB vs Industry: DAR is good value based on its PB Ratio (2.1x) compared to the US Food industry average (2.1x).
Next Steps
Future Growth
How is Darling Ingredients forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
52.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: DAR's forecast earnings growth (67.5% per year) is above the savings rate (1.7%).
Earnings vs Market: DAR's earnings (67.5% per year) are forecast to grow faster than the US market (14.3% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: DAR's revenue (4.6% per year) is forecast to grow slower than the US market (7.5% per year).
High Growth Revenue: DAR's revenue (4.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: DAR's Return on Equity is forecast to be low in 3 years time (6.1%).
Next Steps
Past Performance
How has Darling Ingredients performed over the past 5 years?
10.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: DAR has high quality earnings.
Growing Profit Margin: DAR's current net profit margins (3.3%) are lower than last year (4.8%).
Past Earnings Growth Analysis
Earnings Trend: DAR's earnings have grown by 10.2% per year over the past 5 years.
Accelerating Growth: DAR's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: DAR had negative earnings growth (-33.6%) over the past year, making it difficult to compare to the Food industry average (-12.1%).
Return on Equity
High ROE: DAR's Return on Equity (5%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Darling Ingredients's financial position?
Financial Position Analysis
Short Term Liabilities: DAR's short term assets ($853.7M) exceed its short term liabilities ($595.9M).
Long Term Liabilities: DAR's short term assets ($853.7M) do not cover its long term liabilities ($2.0B).
Debt to Equity History and Analysis
Debt Level: DAR's debt to equity ratio (68.3%) is considered high.
Reducing Debt: DAR's debt to equity ratio has reduced from 110.1% to 68.3% over the past 5 years.
Debt Coverage: DAR's debt is well covered by operating cash flow (28.5%).
Interest Coverage: DAR's interest payments on its debt are not well covered by EBIT (1.1x coverage).
Balance Sheet
Inventory Level: DAR has a high level of physical assets or inventory.
Debt Coverage by Assets: DAR's debt is not covered by short term assets (assets are 0.5x debt).
Next Steps
Dividend
What is Darling Ingredients's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate DAR's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate DAR's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if DAR's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if DAR's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of DAR's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
What is the CEO of Darling Ingredients's salary, the management and board of directors tenure and is there insider trading?
2.7yrs
Average management tenure
CEO
Randall Stuewe (56yo)
16.9yrs
Tenure
US$5,846,278
Compensation
Mr. Randall C. Stuewe, also known as Randy, has been the Chairman and Chief Executive Officer of Darling Ingredients Inc. since February, 3, 2003. Mr. Stuewe served as the President of ConAgra Foods, Inc. ...
CEO Compensation Analysis
Compensation vs Market: Randall's total compensation ($USD5.85M) is about average for companies of similar size in the US market ($USD4.99M).
Compensation vs Earnings: Randall's compensation has been consistent with company performance over the past year.
Management Age and Tenure
2.7yrs
Average Tenure
59yo
Average Age
Experienced Management: DAR's management team is considered experienced (2.7 years average tenure).
Board Age and Tenure
4.0yrs
Average Tenure
68yo
Average Age
Experienced Board: DAR's board of directors are considered experienced (4 years average tenure).
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Member of the Board of Directors Independent Director |
| Shares | 1,000 |
| Max Price | US$19.80 |
| Entity | Individual |
| Role | Chief Executive Officer Chairman & CEO |
| Shares | 68,940 |
| Max Price | US$21.02 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Director |
| Shares | 1,000 |
| Max Price | US$21.00 |
| Entity | Individual |
| Role | Chief Executive Officer Chairman & CEO |
| Shares | 21,060 |
| Max Price | US$22.00 |
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Management Team
John Sterling (55yo)
Executive VP
- Tenure: 12.4yrs
- Compensation: US$2.04m
John Muse (70yo)
Executive VP & Chief Administrative Officer
- Tenure: 2yrs
- Compensation: US$3.23m
Randall Stuewe (56yo)
Chairman & CEO
- Tenure: 16.9yrs
- Compensation: US$5.85m
Brad Phillips (60yo)
Executive VP & CFO
- Tenure: 2yrs
- Compensation: US$1.06m
Jim Stark (58yo)
Vice President of Investor Relations
- Tenure: 0.08yrs
Melissa Gaither
Vice President of Global Communications & Sustainability
Jan van der Velden (55yo)
Executive Vice President of International Rendering & Specialties
- Tenure: 6yrs
- Compensation: US$1.69m
Rick Elrod (59yo)
Executive Vice President of Darling U.S. Rendering Operations
- Tenure: 4.8yrs
- Compensation: US$1.29m
Jos Vervoort (60yo)
Executive Vice President of Rousselot
- Tenure: 2.7yrs
- Compensation: US$1.27m
Brenda Snell (62yo)
Chief Accounting Officer
- Tenure: 2.1yrs
Board Members
Michael Rescoe (66yo)
Independent Director
- Tenure: 2.7yrs
- Compensation: US$206.50k
Cynthia Pharr Lee (70yo)
Independent Director
- Tenure: 4yrs
- Compensation: US$206.00k
Charles Macaluso (75yo)
Lead Director
- Compensation: US$316.50k
Linda Goodspeed (57yo)
Independent Director
- Tenure: 2.7yrs
- Compensation: US$208.00k
Mary Korby (74yo)
Independent Director
- Tenure: 5.3yrs
- Compensation: US$227.25k
Dirk Kloosterboer (65yo)
Director
- Tenure: 6yrs
- Compensation: US$193.98k
Randall Stuewe (56yo)
Chairman & CEO
- Tenure: 16.9yrs
- Compensation: US$5.85m
Gary Mize (68yo)
Independent Director
- Tenure: 4yrs
- Compensation: US$210.50k
Gene Ewing (70yo)
Independent Director
- Tenure: 8.7yrs
- Compensation: US$233.00k
Chuck Adair (68yo)
Independent Director
- Tenure: 2.7yrs
- Compensation: US$211.50k
Company Information
Darling Ingredients Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Darling Ingredients Inc.
- Ticker: DAR
- Exchange: NYSE
- Founded: 1882
- Industry: Agricultural Products
- Sector: Food, Beverage & Tobacco
- Market Cap: US$4.730b
- Shares outstanding: 163.71m
- Website: https://www.darlingii.com
Number of Employees
Location
- Darling Ingredients Inc.
- 5601 North MacArthur Boulevard
- Irving
- Texas
- 75038
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| DAR | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Sep 1994 |
| 43D | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Sep 1994 |
Biography
Darling Ingredients Inc. develops, produces, and sells natural ingredients from edible and inedible bio-nutrients. The company operates through three segments: Feed Ingredients, Food Ingredients, and Fuel Ingredients. It offers a range of ingredients and customized specialty solutions for customers in the pharmaceutical, food, pet food, feed, industrial, fuel, bioenergy, and fertilizer industries. The company collects and transforms various animal by-product streams into useable and specialty ingredients, such as collagen, edible fats, feed-grade fats, animal proteins and meals, plasma, pet food ingredients, organic fertilizers, yellow grease, fuel feedstock, green energy, natural casings, and hides. It also recovers and converts used cooking oil and animal fats, and residual bakery products into valuable feed and fuel ingredients. In addition, the company provides environmental services, including grease trap collection and disposal services to food service establishments. It primarily operates under the Sonac, Dar Pro, Rothsay, Rousselot, CTH, Ecoson, and Rendac brand names in North America, Europe, China, South America, Australia, and internationally. The company was formerly known as Darling International Inc. and changed its name to Darling Ingredients Inc. in May 2014. Darling Ingredients Inc. was founded in 1882 and is headquartered in Irving, Texas.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/01/21 23:38 |
| End of Day Share Price | 2020/01/21 00:00 |
| Earnings | 2019/09/28 |
| Annual Earnings | 2018/12/29 |
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.