Albemarle
Market Cap
US$19.1b
Last Updated
2021/05/17 22:30 UTC
Data Sources
Company Financials +
Executive Summary
Albemarle Corporation develops, manufactures, and markets engineered specialty chemicals worldwide. More Details
Rewards
Risk Analysis
Snowflake Analysis
Excellent balance sheet with reasonable growth potential and pays a dividend.
Similar Companies
Share Price & News
How has Albemarle's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ALB is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: ALB's weekly volatility (7%) has been stable over the past year.
Market Performance
7 Day Return
-1.1%
ALB
0.4%
US Chemicals
-0.6%
US Market
1 Year Return
146.8%
ALB
60.9%
US Chemicals
46.0%
US Market
Return vs Industry: ALB exceeded the US Chemicals industry which returned 68.3% over the past year.
Return vs Market: ALB exceeded the US Market which returned 50.8% over the past year.
Shareholder returns
| ALB | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.1% | 0.4% | -0.6% |
| 30 Day | 3.8% | 4.3% | -1.8% |
| 90 Day | -2.7% | 14.2% | 0.2% |
| 1 Year | 150.3%146.8% | 64.2%60.9% | 48.4%46.0% |
| 3 Year | 59.4%51.6% | 48.1%26.0% | 60.5%50.4% |
| 5 Year | 122.9%106.6% | 112.6%71.1% | 125.9%100.9% |
Long-Term Price Volatility Vs. Market
How volatile is Albemarle's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 days ago | Simply Wall St
Albemarle (NYSE:ALB) Will Pay A Dividend Of US$0.391 week ago | Simply Wall St
At US$159, Is It Time To Put Albemarle Corporation (NYSE:ALB) On Your Watch List?2 weeks ago | Simply Wall St
Are Albemarle Corporation (NYSE:ALB) Investors Paying Above The Intrinsic Value?Valuation
Is Albemarle undervalued compared to its fair value and its price relative to the market?
46.78x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: ALB ($157.79) is trading above our estimate of fair value ($150.7)
Significantly Below Fair Value: ALB is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: ALB is poor value based on its PE Ratio (46.8x) compared to the US Chemicals industry average (27.6x).
PE vs Market: ALB is poor value based on its PE Ratio (46.8x) compared to the US market (19.8x).
Price to Earnings Growth Ratio
PEG Ratio: ALB is poor value based on its PEG Ratio (1.4x)
Price to Book Ratio
PB vs Industry: ALB is overvalued based on its PB Ratio (3.2x) compared to the US Chemicals industry average (2.8x).
Future Growth
How is Albemarle forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?
34.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ALB's forecast earnings growth (34% per year) is above the savings rate (2%).
Earnings vs Market: ALB's earnings (34% per year) are forecast to grow faster than the US market (14.6% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: ALB's revenue (13.3% per year) is forecast to grow faster than the US market (9% per year).
High Growth Revenue: ALB's revenue (13.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ALB's Return on Equity is forecast to be low in 3 years time (10.4%).
Past Performance
How has Albemarle performed over the past 5 years?
3.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ALB has high quality earnings.
Growing Profit Margin: ALB's current net profit margins (11.3%) are lower than last year (14.5%).
Past Earnings Growth Analysis
Earnings Trend: ALB's earnings have grown by 3.4% per year over the past 5 years.
Accelerating Growth: ALB's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ALB had negative earnings growth (-28.1%) over the past year, making it difficult to compare to the Chemicals industry average (1.6%).
Return on Equity
High ROE: ALB's Return on Equity (7.4%) is considered low.
Financial Health
How is Albemarle's financial position?
Financial Position Analysis
Short Term Liabilities: ALB's short term assets ($2.0B) exceed its short term liabilities ($953.3M).
Long Term Liabilities: ALB's short term assets ($2.0B) do not cover its long term liabilities ($3.4B).
Debt to Equity History and Analysis
Debt Level: ALB's debt to equity ratio (33.2%) is considered satisfactory.
Reducing Debt: ALB's debt to equity ratio has reduced from 97.3% to 33.2% over the past 5 years.
Debt Coverage: ALB's debt is well covered by operating cash flow (40.7%).
Interest Coverage: ALB's interest payments on its debt are well covered by EBIT (8x coverage).
Balance Sheet
Dividend
What is Albemarle current dividend yield, its reliability and sustainability?
0.99%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: ALB's dividend (0.99%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.24%).
High Dividend: ALB's dividend (0.99%) is low compared to the top 25% of dividend payers in the US market (3.42%).
Stability and Growth of Payments
Stable Dividend: ALB's dividends per share have been stable in the past 10 years.
Growing Dividend: ALB's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (45.8%), ALB's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ALB's dividends in 3 years are forecast to be well covered by earnings (23.5% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.3yrs
Average management tenure
CEO
Jerry Masters (59 yo)
1.08yrs
Tenure
US$5,228,870
Compensation
Mr. Jerry Kent Masters, Jr., has been President, Chief Executive Officer and Chairman of Albemarle Corporation since April 20, 2020 and serves as its Director since January 12, 2015. He serves as the Chief...
CEO Compensation Analysis
Compensation vs Market: Jerry's total compensation ($USD5.23M) is below average for companies of similar size in the US market ($USD11.20M).
Compensation vs Earnings: Jerry's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
Experienced Management: ALB's management team is considered experienced (3.3 years average tenure).
Board Members
Experienced Board: ALB's board of directors are considered experienced (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 been diluted in the past year, with total shares outstanding growing by 9.8%.
Top Shareholders
Company Information
Albemarle Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Albemarle Corporation
- Ticker: ALB
- Exchange: NYSE
- Founded: 1887
- Industry: Specialty Chemicals
- Sector: Materials
- Market Cap: US$19.120b
- Shares outstanding: 116.72m
- Website: https://www.albemarle.com
Number of Employees
Location
- Albemarle Corporation
- 4250 Congress Street
- Suite 900
- Charlotte
- North Carolina
- 28209
- United States
Listings
Biography
Albemarle Corporation develops, manufactures, and markets engineered specialty chemicals worldwide. It operates through three segments: Lithium, Bromine Specialties, and Catalysts. The Lithium segment offe...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/05/17 22:30 |
| End of Day Share Price | 2021/05/17 00:00 |
| Earnings | 2021/03/31 |
| Annual Earnings | 2020/12/31 |
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.