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Ingredion

NYSE:INGR
Snowflake Description

Undervalued established dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
INGR
NYSE
$5B
Market Cap
  1. Home
  2. US
  3. Food, Beverage & Tobacco
Company description

Ingredion Incorporated, together with its subsidiaries, produces and sells starches and sweeteners for various industries. The last earnings update was 82 days ago. More info.


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INGR Share Price and Events
7 Day Returns
-1.6%
NYSE:INGR
0.7%
US Food
-0.9%
US Market
1 Year Returns
-19.4%
NYSE:INGR
2%
US Food
3.8%
US Market
INGR Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Ingredion (INGR) -1.6% -3.1% -12.7% -19.4% -40% 4.7%
US Food 0.7% 0.6% 2.7% 2% -16% 22.2%
US Market -0.9% 1.1% 1.1% 3.8% 35.5% 42.1%
1 Year Return vs Industry and Market
  • INGR underperformed the Food industry which returned 2% over the past year.
  • INGR underperformed the Market in United States of America which returned 3.8% over the past year.
Price Volatility
INGR
Industry
5yr Volatility vs Market

Value

 Is Ingredion undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Ingredion to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Ingredion.

NYSE:INGR Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 5 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.7%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:INGR
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Food Unlevered Beta Simply Wall St/ S&P Global 0.56
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.564 (1 + (1- 21%) (41.46%))
0.832
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.83
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.832 * 5.96%)
7.69%

Discounted Cash Flow Calculation for NYSE:INGR using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Ingredion is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:INGR DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 7.69%)
2020 511.50 Analyst x2 474.98
2021 537.98 Est @ 5.18% 463.89
2022 561.87 Est @ 4.44% 449.91
2023 583.95 Est @ 3.93% 434.20
2024 604.79 Est @ 3.57% 417.59
2025 624.85 Est @ 3.32% 400.63
2026 644.48 Est @ 3.14% 383.71
2027 663.93 Est @ 3.02% 367.07
2028 683.39 Est @ 2.93% 350.85
2029 703.01 Est @ 2.87% 335.15
Present value of next 10 years cash flows $4,077.98
NYSE:INGR DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $703.01 × (1 + 2.73%) ÷ (7.69% – 2.73%)
$14,563.12
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $14,563.12 ÷ (1 + 7.69%)10
$6,942.81
NYSE:INGR Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $4,077.98 + $6,942.81
$11,020.80
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $11,020.80 / 66.69
$165.26
NYSE:INGR Discount to Share Price
Calculation Result
Value per share (USD) From above. $165.26
Current discount Discount to share price of $79.03
= -1 x ($79.03 - $165.26) / $165.26
52.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Ingredion is available for.
Intrinsic value
>50%
Share price is $79.03 vs Future cash flow value of $165.26
Current Discount Checks
For Ingredion to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Ingredion's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Ingredion's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Ingredion's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Ingredion's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:INGR PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $5.80
NYSE:INGR Share Price ** NYSE (2019-07-23) in USD $79.03
United States of America Food Industry PE Ratio Median Figure of 42 Publicly-Listed Food Companies 25.9x
United States of America Market PE Ratio Median Figure of 3,083 Publicly-Listed Companies 17.8x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Ingredion.

NYSE:INGR PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:INGR Share Price ÷ EPS (both in USD)

= 79.03 ÷ 5.80

13.63x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Ingredion is good value based on earnings compared to the US Food industry average.
  • Ingredion is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Ingredion's expected growth come at a high price?
Raw Data
NYSE:INGR PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 13.63x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts
16.3%per year
United States of America Food Industry PEG Ratio Median Figure of 31 Publicly-Listed Food Companies 1.97x
United States of America Market PEG Ratio Median Figure of 2,118 Publicly-Listed Companies 1.58x

*Line of best fit is calculated by linear regression .

NYSE:INGR PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 13.63x ÷ 16.3%

0.84x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Ingredion is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Ingredion's assets?
Raw Data
NYSE:INGR PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $37.82
NYSE:INGR Share Price * NYSE (2019-07-23) in USD $79.03
United States of America Food Industry PB Ratio Median Figure of 68 Publicly-Listed Food Companies 1.98x
United States of America Market PB Ratio Median Figure of 5,249 Publicly-Listed Companies 1.78x
NYSE:INGR PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:INGR Share Price ÷ Book Value per Share (both in USD)

= 79.03 ÷ 37.82

2.09x

* Primary Listing of Ingredion.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Ingredion is overvalued based on assets compared to the US Food industry average.
X
Value checks
We assess Ingredion's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Food industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Food industry average (and greater than 0)? (1 check)
  5. Ingredion has a total score of 5/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Ingredion expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
16.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Ingredion expected to grow at an attractive rate?
  • Ingredion's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Ingredion's earnings growth is expected to exceed the United States of America market average.
  • Ingredion's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:INGR Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:INGR Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts 16.3%
NYSE:INGR Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 5 Analysts 1.9%
United States of America Food Industry Earnings Growth Rate Market Cap Weighted Average 22.2%
United States of America Food Industry Revenue Growth Rate Market Cap Weighted Average 3.2%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:INGR Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:INGR Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 6,109 1
2020-12-31 5,904 848 536 5
2019-12-31 5,804 658 459 5
NYSE:INGR Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 5,792 571 403
2018-12-31 5,841 703 443
2018-09-30 5,852 824 448
2018-06-30 5,887 819 519
2018-03-31 5,848 788 535
2017-12-31 5,832 769 519
2017-09-30 5,795 753 514
2017-06-30 5,799 807 491
2017-03-31 5,797 803 479
2016-12-31 5,704 771 485
2016-09-30 5,709 747 495
2016-06-30 5,657 704 460

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Ingredion's earnings are expected to grow by 16.3% yearly, however this is not considered high growth (20% yearly).
  • Ingredion's revenue is expected to grow by 1.9% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:INGR Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below

All data from Ingredion Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:INGR Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31
2020-12-31 7.87 7.97 7.76 2.00
2019-12-31 6.71 6.89 6.37 3.00
NYSE:INGR Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 5.80
2018-12-31 6.25
2018-09-30 6.24
2018-06-30 7.20
2018-03-31 7.43
2017-12-31 7.21
2017-09-30 7.12
2017-06-30 6.80
2017-03-31 6.62
2016-12-31 6.71
2016-09-30 6.87
2016-06-30 6.40

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Ingredion will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Ingredion's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Ingredion has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Ingredion performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Ingredion's growth in the last year to its industry (Food).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Ingredion's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.
  • Ingredion's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Ingredion's 1-year earnings growth is negative, it can't be compared to the US Food industry average.
Earnings and Revenue History
Ingredion's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Ingredion Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:INGR Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 5,792.00 403.00 601.00
2018-12-31 5,841.00 443.00 607.00
2018-09-30 5,852.00 448.00 614.00
2018-06-30 5,887.00 519.00 620.00
2018-03-31 5,848.00 535.00 616.00
2017-12-31 5,832.00 519.00 610.00
2017-09-30 5,795.00 514.00 610.00
2017-06-30 5,799.00 491.00 605.00
2017-03-31 5,797.00 479.00 591.00
2016-12-31 5,704.00 485.00 578.00
2016-09-30 5,709.00 495.00 560.00
2016-06-30 5,657.00 460.00 551.00
2016-03-31 5,651.00 448.00 551.00
2015-12-31 5,621.00 402.00 555.00
2015-09-30 5,583.90 359.20 540.40
2015-06-30 5,607.20 369.80 529.40
2015-03-31 5,640.80 366.40 522.60
2014-12-31 5,668.00 355.00 523.00
2014-09-30 5,799.10 397.60 533.50
2014-06-30 5,950.50 365.40 529.50
2014-03-31 6,101.40 357.80 530.90
2013-12-31 6,328.00 396.00 534.00
2013-09-30 6,472.80 404.20 546.20
2013-06-30 6,540.10 430.50 558.40
2013-03-31 6,541.60 444.60 553.70
2012-12-31 6,532.00 428.00 556.00
2012-09-30 6,435.40 411.30 537.40

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Ingredion has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Ingredion used its assets more efficiently than the US Food industry average last year based on Return on Assets.
  • Ingredion's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Ingredion's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Food industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Ingredion has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Ingredion's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Ingredion's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Ingredion is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Ingredion's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Ingredion's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Ingredion Company Filings, last reported 3 months ago.

NYSE:INGR Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 2,544.00 2,110.00 259.00
2018-12-31 2,408.00 2,100.00 334.00
2018-09-30 2,857.00 1,670.00 437.00
2018-06-30 2,856.00 1,674.00 365.00
2018-03-31 3,064.00 1,663.00 407.00
2017-12-31 2,917.00 1,864.00 604.00
2017-09-30 2,858.00 1,891.00 505.00
2017-06-30 2,703.00 1,957.00 454.00
2017-03-31 2,609.00 2,016.00 448.00
2016-12-31 2,595.00 1,956.00 516.00
2016-09-30 2,579.00 1,899.00 764.00
2016-06-30 2,461.00 1,836.00 507.00
2016-03-31 2,327.00 1,887.00 497.00
2015-12-31 2,180.00 1,838.00 440.00
2015-09-30 2,147.00 2,267.00 731.00
2015-06-30 2,229.00 2,212.00 677.00
2015-03-31 2,113.00 2,230.00 609.00
2014-12-31 2,207.00 1,821.00 614.00
2014-09-30 2,231.00 1,917.00 565.00
2014-06-30 2,591.00 1,770.00 592.00
2014-03-31 2,489.00 1,779.00 560.00
2013-12-31 2,429.00 1,810.00 574.00
2013-09-30 2,483.00 1,765.00 618.00
2013-06-30 2,480.00 1,810.00 569.00
2013-03-31 2,507.00 1,811.00 526.00
2012-12-31 2,459.00 1,800.00 628.00
2012-09-30 2,469.00 1,773.00 532.00
  • Ingredion's level of debt (82.9%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (71.4% vs 82.9% today).
  • Debt is well covered by operating cash flow (27.1%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 9.4x coverage).
X
Financial health checks
We assess Ingredion's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Ingredion has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
3.16%
Current annual income from Ingredion dividends. Estimated to be 3.24% next year.
If you bought $2,000 of Ingredion shares you are expected to receive $63 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Ingredion's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).
  • Ingredion's dividend is below the markets top 25% of dividend payers in United States of America (3.77%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:INGR Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
United States of America Food Industry Average Dividend Yield Market Cap Weighted Average of 30 Stocks 2.7%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2017 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.8%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:INGR Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 2.97 2.00
2020-12-31 2.53 5.00
2019-12-31 2.43 5.00
NYSE:INGR Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-05-15 2.500 3.081
2019-03-20 2.500 2.735
2018-12-14 2.500 2.660
2018-11-02 2.500 2.451
2018-11-01 2.500 2.411
2018-05-16 2.400 2.298
2018-03-21 2.400 1.951
2018-02-21 2.400 1.829
2018-02-01 2.400 1.841
2017-09-15 2.400 1.817
2017-05-17 2.000 1.666
2017-03-15 2.000 1.660
2016-12-09 2.000 1.623
2016-09-21 2.000 1.576
2016-05-18 1.800 1.394
2016-03-16 1.800 1.631
2015-12-11 1.800 1.844
2015-09-17 1.800 1.937
2015-05-20 1.680 2.000
2015-03-18 1.680 2.121
2014-12-12 1.680 2.031
2014-09-16 1.680 2.154
2014-05-23 1.680 2.174
2014-03-20 1.680 2.410
2013-12-13 1.680 2.561
2013-09-18 1.520 2.249
2013-05-15 1.520 2.297
2013-03-20 1.520 2.115
2012-12-14 1.040 1.561
2012-11-02 1.040 1.629
2012-10-25 1.040 1.698
2012-08-08 0.800 1.453
2012-05-08 0.800 1.597
2011-12-14 0.800 1.446
2011-09-21 0.640 1.377
2011-05-18 0.640 1.255
2011-03-16 0.560 1.075
2010-11-18 0.560 1.195
2010-09-15 0.560 1.391
2010-05-19 0.560 1.693
2010-03-17 0.560 1.599
2009-11-18 0.560 1.844
2009-09-21 0.560 1.929
2009-05-20 0.560 2.022
2009-03-18 0.560 2.450
2008-11-19 0.560 2.308
2008-09-17 0.560 2.232

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Ingredion's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.3x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.8x coverage).
X
Income/ dividend checks
We assess Ingredion's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Ingredion afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Ingredion has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Ingredion's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Jim Zallie
COMPENSATION $6,222,548
AGE 58
TENURE AS CEO 1.5 years
CEO Bio

Mr. James P. Zallie, also known as Jim, has been President and CEO of Ingredion Incorporated since January 1, 2018 and also has been it's Director since September 2017. Mr. Zallie served as Executive Vice President of Global Specialties at Ingredion Incorporated since February 1, 2012 until December 31, 2017 and also served as its President of Americas from January 1, 2016 until December 31, 2017. Mr. Zallie served as an Executive Vice President of Ingredion Incorporated (alternate name, Corn Products International Inc.) from October 1, 2010 to January 1, 2016 and also served as its President of EMEA and Asia-Pacific Operations from February 1, 2012 to January 5, 2014 and President of North America & EMEA from January 6, 2014 to December 31, 2015. He served as President of Global Ingredient Solutions at Ingredion Incorporated since October 1, 2010 until January 31, 2012. Mr. Zallie joined Ingredion in 2010 with the acquisition of National Starch LLC where he held various positions of increasing responsibility since 1997. Mr. Zallie was responsible for Ingredion’s operations in the Asia Pacific and Europe, Middle East and Africa regions, along with corporate-wide responsibility for global innovation and operational excellence. He served as Managing Director of National Starch at Akzo Nobel NV. He served as Group Vice President of Natural Polymers of National Starch Food Innovation, Inc. He served as Senior Corporate Vice President of Natural Polymers Group at National Starch and Chemical Company. During his tenure, Mr. Zallie has been vital to the successful execution of Ingredion’s Strategic Blueprint for Growth. He has been responsible for all four of Ingredion’s business regions as well as the global specialty portfolio that grew to 26 percent of Ingredion revenue under his leadership. He served as President and Chief Executive Officer of National Starch from January 2007 to September 30, 2010. Mr. Zallie served for National Starch for more than 27 years in various positions of increasing responsibility, first in technical, then marketing and then international business management positions. For two years, he led the transition and integration of National Starch from ownership by Imperial Chemical Industries PLC to ownership by Akzo Nobel N.V. and overseeing National Starch management's role in activities for Akzo Nobel's divestment of the business. Mr. Zallie was the architect of Ingredion Idea Labs ®, a global network of innovation centers that foster customer collaboration and drive innovation and growth. He led the integration of several key acquisitions, including Penford Foods, Kerr Concentrates and TIC Gums. He served as the Chairman of Rafhan Maize Products Co., Ltd. from April 12, 2014 to February 17, 2015 and served as its Non-Executive Director from 2011 to February 24, 2016. He was an Independent Director of Innophos Holdings Inc since September 2014 until April 1, 2018. He serves as an Independent Director of Innophos, Inc. He serves on the board of Northwestern Medicine Lake Forest Hospital. Mr. Zallie holds a B.S. degree in food science at Pennsylvania State University, and both a M.S. degree in food science and technology and an MBA degree in finance at Rutgers University.

CEO Compensation
  • Jim's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
  • Jim's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Ingredion management team in years:

1.5
Average Tenure
52
Average Age
  • The average tenure for the Ingredion management team is less than 2 years, this suggests a new team.
Management Team

Jim Zallie

TITLE
President
COMPENSATION
$6M
AGE
58
TENURE
1.5 yrs

Jim Gray

TITLE
Executive VP & CFO
COMPENSATION
$2M
AGE
52
TENURE
2.3 yrs

Jorgen Kokke

TITLE
Executive VP of Global Specialties & President of North America
COMPENSATION
$2M
AGE
50
TENURE
1.4 yrs

Ernesto Pousada

TITLE
Senior VP & President of South America
COMPENSATION
$1M
AGE
50
TENURE
1.5 yrs

Janet Bawcom

TITLE
General Counsel & Corporate Secretary
TENURE
0.3 yrs

Elizabeth Adefioye

TITLE
Senior VP & Chief Human Resources Officer
AGE
51
TENURE
1.3 yrs

Tony DeLio

TITLE
Senior VP of Corporate Strategy & Chief Innovation Officer
AGE
63
TENURE
5.5 yrs

Bob Stefansic

TITLE
Senior VP of Operating Excellence & Information Technology and Chief Supply Chain Officer
AGE
57
TENURE
5.5 yrs

Pierre Perez Landazuri

TITLE
Senior VP & President of EMEA
AGE
50
TENURE
1.5 yrs

Larry Fernandes

TITLE
Senior VP and Chief Commercial & Sustainability Officer
AGE
54
Board of Directors Tenure

Average tenure and age of the Ingredion board of directors in years:

5.9
Average Tenure
61
Average Age
  • The tenure for the Ingredion board of directors is about average.
Board of Directors

Gregory Kenny

TITLE
Non-Executive Chairman of the Board
COMPENSATION
$297K
AGE
66
TENURE
0.9 yrs

Jim Zallie

TITLE
President
COMPENSATION
$6M
AGE
58
TENURE
1.8 yrs

Victoria Reich

TITLE
Independent Director
COMPENSATION
$246K
AGE
61
TENURE
5.7 yrs

Rhonda Jordan

TITLE
Independent Director
COMPENSATION
$235K
AGE
61
TENURE
5.7 yrs

Luis Aranguren-Trellez

TITLE
Independent Director
COMPENSATION
$220K
AGE
57
TENURE
16.2 yrs

Barb Klein

TITLE
Independent Director
COMPENSATION
$220K
AGE
64
TENURE
15.3 yrs

Paul Hanrahan

TITLE
Independent Director
COMPENSATION
$228K
AGE
61
TENURE
13.3 yrs

Dwayne Wilson

TITLE
Independent Director
COMPENSATION
$220K
AGE
60
TENURE
9.2 yrs

Dave Fischer

TITLE
Independent Director
COMPENSATION
$220K
AGE
56
TENURE
6.2 yrs

Jorge Uribe

TITLE
Independent Director
COMPENSATION
$220K
AGE
63
TENURE
4 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Ingredion individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
28. May 19 Buy James Gray Individual 24. May 19 24. May 19 1,000 $78.37 $78,370
06. Dec 18 Sell Christine Castellano Individual 03. Dec 18 03. Dec 18 -6,499 $105.20 $-683,708
15. Nov 18 Sell Barbara Klein Individual 14. Nov 18 14. Nov 18 -1,775 $103.46 $-183,646
X
Management checks
We assess Ingredion's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Ingredion has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Have Insiders Been Selling Ingredion Incorporated (NYSE:INGR) Shares This Year?

So shareholders might well want to know whether insiders have been buying or selling shares in Ingredion Incorporated (NYSE:INGR). … All up, insiders sold more shares in Ingredion than they bought, over the last year. … NYSE:INGR Recent Insider Trading, July 18th 2019 Ingredion Insiders Bought Stock Recently Over the last quarter, Ingredion insiders have spent a meaningful amount on shares.

Simply Wall St -

3 Days To Buy Ingredion Incorporated (NYSE:INGR) Before The Ex-Dividend Date

Check out our latest analysis for Ingredion Dividends are typically paid out of company income, so if a company pays out more than it earned, its dividend is usually at a higher risk of being cut. … Businesses with strong growth prospects usually make the best dividend payers, because it's easier to grow dividends when earnings per share are improving. … Earnings per share growth has been modest, and it's interesting that Ingredion is paying out less than half of its earnings and more than half its cash flow to shareholders in the form of dividends.

Simply Wall St -

3 Days To Buy Ingredion Incorporated (NYSE:INGR) Before The Ex-Dividend Date

Ingredion's next dividend payment will be US$0.63 per share, on the back of last year when the company paid a total of US$2.50 to shareholders. … View our latest analysis for Ingredion Dividends are typically paid out of company income, so if a company pays out more than it earned, its dividend is usually at a higher risk of being cut. … Earnings per share have been growing at a steady rate, and Ingredion paid out less than half its profits and more than half its free cash flow as dividends over the last year.

Simply Wall St -

Should You Be Excited About Ingredion Incorporated's (NYSE:INGR) 16% Return On Equity?

The formula for return on equity is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Ingredion: 16% = US$403m ÷ US$2.5b (Based on the trailing twelve months to March 2019.) Most readers would understand what net profit is, but it’s worth explaining the concept of shareholders’ equity. … Combining Ingredion's Debt And Its 16% Return On Equity While Ingredion does have some debt, with debt to equity of just 0.83, we wouldn't say debt is excessive. … If you would prefer check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.

Simply Wall St -

Did Changing Sentiment Drive Ingredion's (NYSE:INGR) Share Price Down By 34%?

We regret to report that long term Ingredion Incorporated (NYSE:INGR) shareholders have had that experience, with the share price dropping 34% in three years, versus a market return of about 42%. … One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). … We note that for Ingredion the TSR over the last 3 years was -30%, which is better than the share price return mentioned above.

Simply Wall St -

Does The Data Make Ingredion Incorporated (NYSE:INGR) An Attractive Investment?

INGR is a notable dividend payer that has been a rockstar for income investors, currently trading at an attractive share price. … Undervalued established dividend payer INGR's share price is trading at below its true value, meaning that the market sentiment for the stock is currently bearish. … NYSE:INGR Intrinsic value, May 13th 2019 For those seeking income streams from their portfolio, INGR is a robust dividend payer as well.

Simply Wall St -

Ingredion Incorporated (NYSE:INGR): Time For A Financial Health Check

Small and large cap stocks are widely popular for a variety of reasons, however, mid-cap companies such as Ingredion Incorporated (NYSE:INGR), with a market cap of US$6.2b, often get neglected by retail investors. … Despite this, the two other categories have lagged behind the risk-adjusted returns of commonly ignored mid-cap stocks. … Note that this information is centred entirely on financial health and is a top-level understanding, so I encourage you to look further.

Simply Wall St -

Ingredion Incorporated's (NYSE:INGR) 2.7% Dividend Yield Looks Pretty Interesting

Unfortunately, one common occurrence with dividend companies is for investors to be enticed in by the seemingly attractive yield, and lose money when the company has to cut its dividend payments.. … Before you buy any stock for its dividend however, you should always remember Warren Buffett's two rules: 1) Don't lose money, and 2) Remember rule #1 … NYSE:INGR Historical Dividend Yield, April 19th 2019

Simply Wall St -

Here's What Ingredion Incorporated's (NYSE:INGR) P/E Ratio Is Telling Us

This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … Ingredion has a price to earnings ratio of 15.05, based on the last twelve months. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

Read This Before Considering Ingredion Incorporated (NYSE:INGR) For Its Upcoming US$0.63 Dividend

If you are interested in cashing in on Ingredion Incorporated's (NYSE:INGR) upcoming dividend of US$0.63 per share, you only have 2 days left to buy the shares before its ex-dividend date, 29 March 2019, in time for dividends payable on the 25 April 2019. … Whenever I am looking at a potential dividend stock investment, I always check these five metrics:? … Has it consistently paid a stable dividend without missing a payment or drastically cutting payout?

Simply Wall St -

Company Info

Description

Ingredion Incorporated, together with its subsidiaries, produces and sells starches and sweeteners for various industries. The company operates through four segments: North America, South America, Asia Pacific and Europe, and Middle East and Africa. It offers sweetener products comprising glucose syrups, high maltose syrups, high fructose corn syrups, caramel colors, dextrose, polyols, maltodextrins, glucose and syrup solids, as well as food-grade and industrial starches, and biomaterials. The company also provides animal feed products; edible corn oil; refined corn oil to packers of cooking oil and to producers of margarine, salad dressings, shortening, mayonnaise, and other foods; and corn gluten feed used as protein feed for chickens, pet food, and aquaculture. Its products are derived primarily from processing corn and other starch-based materials, such as tapioca, potato, and rice. The company serves food, beverage, paper and corrugating products, brewing, pharmaceutical, textile, and personal care industries, as well as animal feed and corn oil markets. The company was formerly known as Corn Products International, Inc. and changed its name to Ingredion Incorporated in June 2012. Ingredion Incorporated was founded in 1906 and is headquartered in Westchester, Illinois.

Details
Name: Ingredion Incorporated
INGR
Exchange: NYSE
Founded: 1906
$5,361,661,251
66,687,329
Website: http://www.ingredion.com
Address: Ingredion Incorporated
5 Westbrook Corporate Center,
Westchester,
Illinois, 60154,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE INGR Common Stock New York Stock Exchange US USD 11. Dec 1997
DB CNP Common Stock Deutsche Boerse AG DE EUR 11. Dec 1997
Number of employees
Current staff
Staff numbers
11,000
Ingredion employees.
Industry
Agricultural Products
Food, Beverage & Tobacco
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/24 01:29
End of day share price update: 2019/07/23 00:00
Last estimates confirmation: 2019/07/23
Last earnings filing: 2019/05/03
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.