Albemarle
Albemarle Corporation develops, manufactures, and markets engineered specialty chemicals worldwide. The last earnings update was 75 days ago. More info.
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ALB Share Price and Events
7 Day Returns
1 Year Returns
ALB Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Albemarle (ALB) | 1% | 7.1% | -7.4% | -19.5% | -15.1% | 6.2% |
| US Chemicals | -0.2% | 0.4% | -4.2% | -10.5% | 16% | 5.6% |
| US Market | -1.2% | 0.8% | 0.9% | 3.3% | 35.9% | 41.7% |
1 Year Return vs Industry and Market
- ALB underperformed the Chemicals industry which returned -10.5% over the past year.
- ALB underperformed the Market in United States of America which returned 3.3% over the past year.
ALB Value
Is Albemarle 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
Albemarle
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.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Albemarle.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 21 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 8.9% |
| 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.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year US Govt Bond Rate | 2.7% |
| Equity Risk Premium | S&P Global | 6% |
| Chemicals Unlevered Beta | Simply Wall St/ S&P Global | 0.89 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.888 (1 + (1- 21%) (25.16%)) |
1.043 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
1.04 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.043 * 5.96%) |
8.95% |
Discounted Cash Flow Calculation for NYSE:ALB using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Albemarle 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.
| Levered FCF (USD, Millions) | Source |
Present Value Discounted (@ 8.95%) |
|
|---|---|---|---|
| 2020 | -3.67 | Analyst x10 | -3.37 |
| 2021 | -11.46 | Analyst x5 | -9.66 |
| 2022 | 251.00 | Analyst x1 | 194.10 |
| 2023 | 456.99 | Est @ 82.07% | 324.38 |
| 2024 | 723.27 | Est @ 58.27% | 471.22 |
| 2025 | 1,024.20 | Est @ 41.61% | 612.48 |
| 2026 | 1,330.88 | Est @ 29.94% | 730.52 |
| 2027 | 1,620.74 | Est @ 21.78% | 816.56 |
| 2028 | 1,881.10 | Est @ 16.06% | 869.91 |
| 2029 | 2,108.04 | Est @ 12.06% | 894.80 |
| Present value of next 10 years cash flows | $4,900.93 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2029
× (1 + g) ÷ (Discount Rate – g)
= $2,108.04 × (1 + 2.73%) ÷ (8.95% – 2.73%) |
$34,833.03 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= $34,833.03 ÷ (1 + 8.95%)10 |
$14,785.50 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= $4,900.93 + $14,785.50 |
$19,686.43 |
| Equity Value per Share (USD) |
= Total value / Shares Outstanding
= $19,686.43 / 105.96 |
$185.8 |
| Calculation | Result | |
|---|---|---|
| Value per share (USD) | From above. | $185.80 |
| Current discount | Discount to share price of
$73.18
= -1 x ($73.18 - $185.80) / $185.80 |
60.6% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- Albemarle's share price is below the future cash flow value, and at a moderate discount (> 20%).
- Albemarle'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 Albemarle's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Albemarle's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2019-03-31) in USD | $6.49 |
| NYSE:ALB Share Price ** | NYSE (2019-07-22) in USD | $73.18 |
| United States of America Chemicals Industry PE Ratio | Median Figure of 67 Publicly-Listed Chemicals Companies | 18.82x |
| United States of America Market PE Ratio | Median Figure of 3,082 Publicly-Listed Companies | 17.86x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Albemarle.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = NYSE:ALB Share Price ÷ EPS (both in USD) = 73.18 ÷ 6.49 |
11.28x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Albemarle is good value based on earnings compared to the US Chemicals industry average.
- Albemarle is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does
Albemarle's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 11.28x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 21 Analysts |
9.2%per year |
| United States of America Chemicals Industry PEG Ratio | Median Figure of 49 Publicly-Listed Chemicals Companies | 1.51x |
| United States of America Market PEG Ratio | Median Figure of 2,119 Publicly-Listed Companies | 1.57x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 11.28x ÷ 9.2% |
1.22x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Albemarle is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on
Albemarle's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2019-03-31) in USD | $34.66 |
| NYSE:ALB Share Price * | NYSE (2019-07-22) in USD | $73.18 |
| United States of America Chemicals Industry PB Ratio | Median Figure of 93 Publicly-Listed Chemicals Companies | 2.1x |
| United States of America Market PB Ratio | Median Figure of 5,248 Publicly-Listed Companies | 1.79x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = NYSE:ALB Share Price ÷ Book Value per Share (both in USD) = 73.18 ÷ 34.66 |
2.11x |
* Primary Listing of Albemarle.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Albemarle is overvalued based on assets compared to the US Chemicals industry average.
Value checks
We assess Albemarle's value by looking at:- 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. )
- Is the PE ratio less than the market average, and/ or less than the Chemicals industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Chemicals industry average (and greater than 0)? (1 check) Albemarle has a total score of 4/6, 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.
ALB Future Performance
How is Albemarle expected to perform in the next 1 to 3 years based on estimates from 21 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!
Earnings growth vs Low Risk Savings
- Albemarle's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
- Albemarle's earnings growth is positive but not above the United States of America market average.
- Albemarle's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| NYSE:ALB Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 21 Analysts | 9.2% |
| NYSE:ALB Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 21 Analysts | 8.6% |
| United States of America Chemicals Industry Earnings Growth Rate | Market Cap Weighted Average | 12.2% |
| United States of America Chemicals Industry Revenue Growth Rate | Market Cap Weighted Average | 4.8% |
| 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 | 7.4% |
*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
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 21 Analyst Estimates (S&P Global) | See Below |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | ||||
| 2022-12-31 | 5,110 | 915 | 1 | |
| 2021-12-31 | 4,318 | 919 | 876 | 11 |
| 2020-12-31 | 3,963 | 900 | 715 | 21 |
| 2019-12-31 | 3,669 | 795 | 676 | 21 |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2019-03-31 | 3,385 | 480 | 695 |
| 2018-12-31 | 3,375 | 546 | 694 |
| 2018-09-30 | 3,311 | 606 | 346 |
| 2018-06-30 | 3,288 | 582 | 335 |
| 2018-03-31 | 3,172 | 343 | 135 |
| 2017-12-31 | 3,072 | 304 | 55 |
| 2017-09-30 | 2,911 | 356 | 315 |
| 2017-06-30 | 2,810 | 428 | 302 |
| 2017-03-31 | 2,742 | 645 | 282 |
| 2016-12-31 | 2,677 | 736 | 442 |
| 2016-09-30 | 2,703 | 498 | 560 |
| 2016-06-30 | 2,742 | 480 | 510 |
*GAAP earnings excluding extraordinary items.
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 21 Analyst Estimates (S&P Global) | See Below |
All data from Albemarle Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | ||||
| 2022-12-31 | ||||
| 2021-12-31 | 7.69 | 8.60 | 6.87 | 3.00 |
| 2020-12-31 | 6.61 | 7.15 | 5.56 | 8.00 |
| 2019-12-31 | 6.25 | 6.41 | 6.04 | 8.00 |
| Date (Data in USD Millions) | EPS * |
|---|---|
| 2019-03-31 | 6.49 |
| 2018-12-31 | 6.40 |
| 2018-09-30 | 3.15 |
| 2018-06-30 | 3.03 |
| 2018-03-31 | 1.22 |
| 2017-12-31 | 0.49 |
| 2017-09-30 | 2.83 |
| 2017-06-30 | 2.70 |
| 2017-03-31 | 2.51 |
| 2016-12-31 | 3.93 |
| 2016-09-30 | 4.99 |
| 2016-06-30 | 4.54 |
*GAAP earnings excluding extraordinary items.
Future performance checks
We assess Albemarle's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Albemarle 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.
ALB Past Performance
How has Albemarle 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
Past Earnings growth analysis
- Albemarle's year on year earnings growth rate has been positive over the past 5 years.
- Albemarle's 1-year earnings growth exceeds its 5-year average (413.6% vs 9.1%)
- Albemarle's earnings growth has exceeded the US Chemicals industry average in the past year (413.6% vs 5.4%).
Earnings and Revenue History
All data from Albemarle Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2019-03-31 | 3,385.39 | 695.37 | 418.56 | 64.05 |
| 2018-12-31 | 3,374.95 | 693.56 | 410.94 | 70.05 |
| 2018-09-30 | 3,311.04 | 345.60 | 405.73 | 74.68 |
| 2018-06-30 | 3,288.16 | 334.53 | 416.41 | 79.83 |
| 2018-03-31 | 3,171.54 | 135.40 | 421.12 | 81.09 |
| 2017-12-31 | 3,071.98 | 54.85 | 420.02 | 78.63 |
| 2017-09-30 | 2,910.84 | 315.33 | 431.05 | 76.71 |
| 2017-06-30 | 2,809.99 | 301.70 | 415.70 | 74.56 |
| 2017-03-31 | 2,742.06 | 281.88 | 396.10 | 77.73 |
| 2016-12-31 | 2,677.20 | 441.54 | 354.60 | 79.08 |
| 2016-09-30 | 2,703.16 | 560.28 | 302.76 | 81.85 |
| 2016-06-30 | 2,742.36 | 509.59 | 297.47 | 84.14 |
| 2016-03-31 | 2,791.33 | 468.09 | 299.42 | 85.56 |
| 2015-12-31 | 2,826.43 | 302.43 | 300.44 | 89.19 |
| 2015-09-30 | 2,702.39 | 124.13 | 396.68 | 88.72 |
| 2015-06-30 | 2,651.59 | 149.26 | 381.68 | 89.22 |
| 2015-03-31 | 2,538.02 | 189.71 | 360.68 | 89.23 |
| 2014-12-31 | 2,445.55 | 202.85 | 355.14 | 88.31 |
| 2014-09-30 | 2,486.62 | 377.12 | 182.65 | 88.20 |
| 2014-06-30 | 2,435.40 | 387.62 | 178.00 | 85.24 |
| 2014-03-31 | 2,407.52 | 385.26 | 172.72 | 84.87 |
| 2013-12-31 | 2,394.27 | 409.06 | 158.19 | 82.25 |
| 2013-09-30 | 2,442.23 | 289.97 | 310.75 | 80.09 |
| 2013-06-30 | 2,512.26 | 309.45 | 302.79 | 80.48 |
| 2013-03-31 | 2,620.31 | 279.43 | 302.80 | 79.82 |
| 2012-12-31 | 2,519.15 | 307.26 | 316.56 | 78.92 |
| 2012-09-30 | 2,765.21 | 329.09 | 324.20 | 78.78 |
*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.
- Albemarle has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- Albemarle used its assets more efficiently than the US Chemicals industry average last year based on Return on Assets.
- Albemarle has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess Albemarle's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Chemicals industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Albemarle has a total score of 5/6, 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.
ALB Health
How is Albemarle'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 Albemarle's finances.
The net worth of a company is the difference between its assets and liabilities.
- Albemarle is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Albemarle's long term commitments exceed its cash and other short term assets.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Debt is covered by short term assets, assets are 1.1x 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.
All data from Albemarle Company Filings, last reported 3 months ago.
| Date (Data in USD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2019-03-31 | 3,864.04 | 1,815.30 | 465.27 |
| 2018-12-31 | 3,759.11 | 1,705.21 | 555.32 |
| 2018-09-30 | 3,686.28 | 1,697.79 | 641.23 |
| 2018-06-30 | 3,837.28 | 1,615.41 | 908.14 |
| 2018-03-31 | 3,943.43 | 1,476.07 | 692.19 |
| 2017-12-31 | 3,817.70 | 1,837.37 | 1,137.30 |
| 2017-09-30 | 4,039.57 | 1,789.53 | 1,045.34 |
| 2017-06-30 | 3,899.79 | 1,728.58 | 1,006.95 |
| 2017-03-31 | 3,783.97 | 1,712.89 | 1,254.54 |
| 2016-12-31 | 3,942.60 | 2,369.26 | 2,269.76 |
| 2016-09-30 | 3,451.43 | 3,449.33 | 233.60 |
| 2016-06-30 | 3,306.35 | 3,513.18 | 193.66 |
| 2016-03-31 | 3,694.87 | 3,590.11 | 252.38 |
| 2015-12-31 | 3,401.31 | 3,817.16 | 213.73 |
| 2015-09-30 | 3,274.51 | 3,843.33 | 234.49 |
| 2015-06-30 | 3,315.91 | 3,990.31 | 207.24 |
| 2015-03-31 | 3,247.33 | 4,013.12 | 261.42 |
| 2014-12-31 | 1,488.64 | 2,934.13 | 2,489.77 |
| 2014-09-30 | 1,587.27 | 1,070.38 | 653.12 |
| 2014-06-30 | 1,625.09 | 1,079.77 | 515.12 |
| 2014-03-31 | 1,727.60 | 1,077.17 | 524.04 |
| 2013-12-31 | 1,742.78 | 1,078.86 | 477.24 |
| 2013-09-30 | 1,577.15 | 1,079.88 | 401.43 |
| 2013-06-30 | 1,465.39 | 1,077.21 | 314.66 |
| 2013-03-31 | 1,902.24 | 695.82 | 434.90 |
| 2012-12-31 | 1,932.01 | 699.29 | 477.70 |
| 2012-09-30 | 1,901.28 | 713.73 | 402.64 |
- Albemarle's level of debt (47.1%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has been reduced over the past 5 years (62.4% vs 47.1% today).
- Debt is well covered by operating cash flow (26.4%, greater than 20% of total debt).
- Interest payments on debt are well covered by earnings (EBIT is 14.2x coverage).
Financial health checks
We assess Albemarle's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Albemarle has a total score of 4/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- 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.
ALB Dividends
What is Albemarle'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
If you bought
$2,000 of
Albemarle
shares you are expected to receive
$40
in your first year as a dividend.
Dividend Amount
- Albemarle's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).
- Albemarle's dividend is below the markets top 25% of dividend payers in United States of America (3.78%).
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.
| 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 21 Analyst Estimates (S&P Global) | See Below |
| United States of America Chemicals Industry Average Dividend Yield | Market Cap Weighted Average of 56 Stocks | 2.2% |
| 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.
| Date (Data in $) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2023-12-31 | 1.36 | 1.00 |
| 2022-12-31 | 1.44 | 2.00 |
| 2021-12-31 | 1.51 | 9.00 |
| 2020-12-31 | 1.46 | 16.00 |
| 2019-12-31 | 1.41 | 15.00 |
| Date (Data in $) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-05-08 | 1.470 | 2.108 |
| 2019-02-26 | 1.470 | 1.781 |
| 2019-02-20 | 1.470 | 1.658 |
| 2018-10-30 | 1.340 | 1.575 |
| 2018-07-26 | 1.340 | 1.375 |
| 2018-05-08 | 1.340 | 1.401 |
| 2018-02-23 | 1.340 | 1.379 |
| 2017-11-06 | 1.280 | 1.026 |
| 2017-07-10 | 1.280 | 1.027 |
| 2017-05-11 | 1.280 | 1.165 |
| 2017-02-23 | 1.280 | 1.220 |
| 2016-11-03 | 1.220 | 1.370 |
| 2016-07-11 | 1.220 | 1.481 |
| 2016-05-10 | 1.220 | 1.543 |
| 2016-02-26 | 1.220 | 1.927 |
| 2015-10-05 | 1.160 | 2.253 |
| 2015-07-09 | 1.160 | 2.424 |
| 2015-05-05 | 1.160 | 1.946 |
| 2015-02-24 | 1.160 | 2.081 |
| 2014-10-15 | 1.100 | 1.916 |
| 2014-07-14 | 1.100 | 1.760 |
| 2014-05-14 | 1.100 | 1.559 |
| 2014-02-25 | 1.100 | 1.663 |
| 2013-10-08 | 0.960 | 1.461 |
| 2013-07-10 | 0.960 | 1.523 |
| 2013-05-07 | 0.960 | 1.493 |
| 2013-02-12 | 0.960 | 1.542 |
| 2012-10-09 | 0.800 | 1.353 |
| 2012-07-12 | 0.800 | 1.428 |
| 2012-05-09 | 0.800 | 1.335 |
| 2012-02-15 | 0.800 | 1.244 |
| 2011-10-13 | 0.700 | 1.295 |
| 2011-07-12 | 0.660 | 1.294 |
| 2011-05-11 | 0.660 | 0.973 |
| 2011-02-16 | 0.660 | 1.104 |
| 2010-10-15 | 0.560 | 1.028 |
| 2010-07-28 | 0.560 | 1.279 |
| 2010-04-19 | 0.560 | 1.330 |
| 2010-02-17 | 0.560 | 1.353 |
| 2009-10-14 | 0.500 | 1.411 |
| 2009-07-28 | 0.500 | 1.536 |
| 2009-05-13 | 0.500 | 1.875 |
| 2009-02-18 | 0.500 | 2.266 |
| 2008-10-16 | 0.480 | 2.237 |
| 2008-07-30 | 0.480 | 1.419 |
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
Albemarle's earnings are
paid
to the shareholders as a dividend.
- Dividends paid are well covered by earnings (4.7x coverage).
- Dividends after 3 years are expected to be well covered by earnings (5.1x coverage).
Income/ dividend checks
We assess Albemarle's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Albemarle afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Albemarle 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.
ALB Management
CEO
| COMPENSATION | $6,666,394 |
| AGE | 54 |
| TENURE AS CEO | 7.8 years |
CEO Bio
Mr. Luther C. Kissam IV, also known as Luke, has been the Chief Executive Officer of Albemarle Corporation September 1, 2011 and its President since March 7, 2013 also its Chairman since November 7, 2016. Mr. Kissam served as President of Albemarle Corp. since March 15, 2010 to March 1, 2012. Mr. Kissam served as Executive Vice President of Albemarle Corp. since May 2009. He served as Secretary of Albemarle Corp. from September 30, 2003 to March 15, 2010. He served as Senior Vice President of Law & Manufacturing of Albemarle Corp., from January 1, 2008 to May 2009 and served as its Executive Vice President Manufacturing and Law from May 2009 to March 15, 2010. He led Albemarle's manufacturing and law functions worldwide. Mr. Kissam joined Albemarle Corp., in October 2003 and served as Vice President, General Counsel and Corporate Secretary from that time until December 2005, when he was promoted to Senior Vice President, General Counsel and Corporate Secretary. Mr. Kissam served as Vice President, General Counsel and Secretary of Merisant Company in St. Louis, Missouri and served as an Associate General Counsel of Monsanto Company. He served as Secretary, Vice President and General Counsel of Merisant Worldwide Inc. until September 26, 2003. He has been Director of DowDuPont Inc., since June 1, 2019. He has been Inside Director of Albemarle Corporation since November 2, 2011. Mr. Kissam graduated summa cum laude with a Bachelor's degree in English from The Citadel in 1986 and graduated magna cum laude from the University of South Carolina School of Law in 1989.
CEO Compensation
- Luke's compensation has been consistent with company performance over the past year, both up more than 20%.
- Luke's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the Albemarle management team in years:
- The tenure for the Albemarle management team is about average.
Management Team
Luke Kissam
Chairman
$7M
54
7.8 yrs
Scott Tozier
Executive VP & CFO
$2M
53
8.5 yrs
Donald LaBauve
VP, Corporate Controller & Chief Accounting Officer
$668K
52
5.4 yrs
Karen Narwold
Executive VP
$2M
59
Dave Ryan
Vice President of Corporate Strategy & Investor Relations
1 yrs
DeeAnne Marlow
Chief Human Resources Officer
53
0.3 yrs
Ahmad Khalifeh
Managing Director of Middle East Office
12.2 yrs
Brian Tessin
Chief Tax Counsel & VP of Tax
2.8 yrs
Glen Merfeld
Chief Technology Officer of Lithium Business
1.3 yrs
Raphael Crawford
President of Catalysts
0.9 yrs
Board of Directors Tenure
Average tenure and age of the Albemarle board of directors in years:
- The tenure for the Albemarle board of directors is about average.
Board of Directors
Luke Kissam
Chairman
$7M
54
2.7 yrs
Bill Hernandez
Director
$251K
71
8.5 yrs
Jim O’Brien
Director
$241K
65
7 yrs
Jerry Steiner
Director
$237K
59
6 yrs
Alejandro Wolff
Director
$241K
62
4.5 yrs
Laurie Brlas
Director
$239K
61
2.1 yrs
Jerry Masters
Lead Independent Director
$269K
58
1.2 yrs
Tee Taggart
Director
$231K
71
12.4 yrs
Doug Maine
Director
$231K
70
4.5 yrs
Diarmuid O'Connell
Director
$216K
55
1.2 yrs
Who owns this company?
Recent Insider Trading
- More shares have been bought than sold by Albemarle individual insiders in the past 3 months.
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price ($) | Value ($) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 15. May 19 | Buy | DeeAnne Marlow | Individual | 13. May 19 | 13. May 19 | 1,000 | $70.85 | $70,850 | ||
| 08. Jan 19 | Sell | Karen Narwold | Individual | 04. Jan 19 | 04. Jan 19 | -1,295 | $74.76 | $-96,814 | ||
| 27. Nov 18 | Sell | Karen Narwold | Individual | 26. Nov 18 | 26. Nov 18 | -3,100 | $96.54 | $-299,274 | ||
| 06. Sep 18 | Sell | Karen Narwold | Individual | 04. Sep 18 | 04. Sep 18 | -3,100 | $97.11 | $-301,041 | ||
Management checks
We assess Albemarle's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Albemarle 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.
ALB News
Simply Wall St News
Albemarle Corporation (NYSE:ALB): The Best Of Both Worlds
Investors have the opportunity to buy into the stock to reap capital gains, if ALB's projected earnings trajectory does follow analyst consensus growth, which determines my intrinsic value of the company. … Also, relative to the rest of its peers with similar levels of earnings, ALB's share price is trading below the group's average. … Dividend Income vs Capital Gains: Does ALB return gains to shareholders through reinvesting in itself and growing earnings, or redistribute a decent portion of earnings as dividends?
Simply Wall St - – Full articleIs It Too Late To Consider Buying Albemarle Corporation (NYSE:ALB)?
Let’s take a look at Albemarle’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change. … What’s more interesting is that, Albemarle’s share price is quite volatile, which gives us more chances to buy since the share price could sink lower (or rise higher) in the future. … Buying a great company with a robust outlook at a cheap price is always a good investment, so let’s also take a look at the company's future expectations.
Simply Wall St - – Full articleDoes Albemarle Corporation (NYSE:ALB) Create Value For Shareholders?
The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Albemarle: 0.11 = US$729m ÷ (US$7.9b - US$1.3b) (Based on the trailing twelve months to March 2019.) Therefore, Albemarle has an ROCE of 11%. … Albemarle's Current Liabilities And Their Impact On Its ROCE Short term (or current) liabilities, are things like supplier invoices, overdrafts, or tax bills that need to be paid within 12 months. … The ROCE equation subtracts current liabilities from capital employed, so a company with a lot of current liabilities appears to have less capital employed, and a higher ROCE than otherwise.
Simply Wall St - – Full articleDoes Albemarle Corporation's (NYSE:ALB) P/E Ratio Signal A Buying Opportunity?
The formula for P/E is: Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS) Or for Albemarle: P/E of 9.76 = $63.3 ÷ $6.49 (Based on the trailing twelve months to March 2019.) Is A High Price-to-Earnings Ratio Good? … A higher P/E ratio means that buyers have to pay a higher price for each $1 the company has earned over the last year. … Earnings growth means that in the future the 'E' will be higher.
Simply Wall St - – Full articleHow Should Investors Feel About Albemarle Corporation's (NYSE:ALB) CEO Pay?
At the time of writing our data says that Albemarle Corporation has a market cap of US$7.2b, and is paying total annual CEO compensation of US$6.7m. … We examined companies with market caps from US$4.0b to US$12b, and discovered that the median CEO total compensation of that group was US$6.9m. … Given the total loss of 10% over three years, many shareholders in Albemarle Corporation are probably rather dissatisfied, to say the least.
Simply Wall St - – Full articleWhy Albemarle Corporation (NYSE:ALB) Is A Star In A Falling Market
Longstanding stocks such as Albemarle Corporation has fared well over time in a volatile stock market, which is why it’s my top pick to invest in. … Below I take a look at three key characteristics of what makes a strong defensive stock investment: its size, financial health and track record. … Generally, large-cap stocks are well-resourced and well-established meaning that a bear market will cause it to rejig some short-term capital allocations, but stock market volatility is hardly detrimental to its financial health and business operations.
Simply Wall St - – Full articleWhat Should You Know About The Future Of Albemarle Corporation's (NYSE:ALB)?
Help shape the future of investing tools and you could win a $250 gift card! … Since Albemarle Corporation (NYSE:ALB) released its earnings in December 2018, … the higher past 5-year average growth rate of 2.5%.
Simply Wall St - – Full articleShould Albemarle (NYSE:ALB) Be Disappointed With Their 25% Profit?
Unfortunately for shareholders, while the Albemarle Corporation (NYSE:ALB) share price is up 25% in the last five years, that's less than the market return. … By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. … During five years of share price growth, Albemarle achieved compound earnings per share (EPS) growth of 5.6% per year.
Simply Wall St - – Full articleIs Albemarle Corporation (NYSE:ALB) A Financially Sound Company?
Let’s take a look at ALB’s debt concentration and assess their financial liquidity to get an idea of their ability to fund strategic acquisitions and grow through cyclical pressures. … Remember this is a very top-level look that focuses exclusively on financial health, so I recommend a deeper analysis. … Check out our latest analysis for Albemarle
Simply Wall St - – Full articleHow Much Are Albemarle Corporation (NYSE:ALB) Insiders Taking Off The Table?
So we'll take a look at whether insiders have been buying or selling shares in Albemarle Corporation (NYSE:ALB). … However, most countries require that the company discloses such transactions to the market. … We generally tread carefully if insiders have been selling on market, even if they sold slightly above the current price
Simply Wall St - – Full articleALB Company Info
Description
Albemarle Corporation develops, manufactures, and markets engineered specialty chemicals worldwide. Its Lithium segment offers lithium compounds, including lithium carbonate, lithium hydroxide, lithium chloride, and value-added lithium specialties, as well as reagents, such as butyllithium and lithium aluminum hydride for applications in lithium batteries for consumer electronics and electric vehicles, high performance greases, thermoplastic elastomers for car tires, rubber soles, plastic bottles, catalysts for chemical reactions, organic synthesis processes, life science, pharmaceutical, and other markets. It also offers cesium products for the chemical and pharmaceutical industries; zirconium, barium, and titanium products for various pyrotechnical applications; technical services, such as the handling and use of reactive lithium products; and recycling services for lithium-containing by-products. The company’s Bromine Specialties segment offers bromine and bromine-based solutions for fire safety, chemical synthesis, mercury control, water purification, beef and poultry processing, and other industrial applications, as well as oil and gas well drilling, and completion fluids applications; and tertiary amines, biocides, disinfectants, and sanitizers. Its Catalysts segment offers performance catalyst solutions comprising hydroprocessing catalysts together with isomerization and akylation catalysts; fluidized catalytic cracking catalysts and additives; and performance catalyst solutions comprising organometallics and curatives. It serves energy storage, petroleum refining, consumer electronics, construction, automotive, lubricants, pharmaceuticals, crop protection, and custom chemistry services markets. The company was incorporated in 1993 and is headquartered in Charlotte, North Carolina.
Details
| Name: | Albemarle Corporation |
| ALB | |
| Exchange: | NYSE |
| Founded: | 1993 |
| $7,753,912,989 | |
| 105,956,723 | |
| Website: | http://www.albemarle.com |
| Address: |
Albemarle Corporation 4250 Congress Street, Suite 900, Charlotte, North Carolina, 28209, United States |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| NYSE | ALB | Common Stock | New York Stock Exchange | US | USD | 22. Feb 1994 | |
| DB | AMC | Common Stock | Deutsche Boerse AG | DE | EUR | 22. Feb 1994 | |
| LSE | 0HC7 | Common Stock | London Stock Exchange | GB | USD | 22. Feb 1994 | |
| WBAG | ALBE | Common Stock | Wiener Boerse AG | AT | EUR | 22. Feb 1994 | |
| BMV | ALB * | Common Stock | Bolsa Mexicana de Valores | MX | MXN | 22. Feb 1994 |
Number of employees
Current staff
Industry
| Specialty Chemicals | |
| Materials |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/07/22 23:31 |
| End of day share price update: | 2019/07/22 00:00 |
| Last estimates confirmation: | 2019/07/19 |
| Last earnings filing: | 2019/05/08 |
| 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.
