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AdvanSix

NYSE:ASIX
Snowflake Description

Good value with moderate growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
ASIX
NYSE
$705M
Market Cap
  1. Home
  2. US
  3. Materials
Company description

AdvanSix Inc. manufactures and sells polymer resins. The last earnings update was 78 days ago. More info.


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  • AdvanSix has significant price volatility in the past 3 months.
ASIX Share Price and Events
7 Day Returns
1.3%
NYSE:ASIX
0.3%
US Chemicals
-0.3%
US Market
1 Year Returns
-36.5%
NYSE:ASIX
-11.2%
US Chemicals
3.9%
US Market
ASIX Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
AdvanSix (ASIX) 1.3% -5.7% -18.1% -36.5% - -
US Chemicals 0.3% 1% -4.5% -11.2% 16% 5.9%
US Market -0.3% 2.3% 2.3% 3.9% 36.7% 41.8%
1 Year Return vs Industry and Market
  • ASIX underperformed the Chemicals industry which returned -11.2% over the past year.
  • ASIX underperformed the Market in United States of America which returned 3.9% over the past year.
Price Volatility
ASIX
Industry
5yr Volatility vs Market
Related Companies

Value

 Is AdvanSix 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 AdvanSix 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 AdvanSix.

NYSE:ASIX Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 3 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.6%
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:ASIX
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))
= 0.887 (1 + (1- 21%) (47.77%))
1.149
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.15
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.149 * 5.96%)
9.58%

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

The calculations below outline how an intrinsic value for AdvanSix 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:ASIX DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 9.58%)
2020 44.40 Analyst x1 40.52
2021 41.88 Est @ -5.67% 34.88
2022 40.56 Est @ -3.15% 30.83
2023 40.00 Est @ -1.39% 27.74
2024 39.94 Est @ -0.15% 25.28
2025 40.23 Est @ 0.71% 23.24
2026 40.76 Est @ 1.32% 21.48
2027 41.47 Est @ 1.74% 19.95
2028 42.31 Est @ 2.04% 18.57
2029 43.26 Est @ 2.25% 17.33
Present value of next 10 years cash flows $259.83
NYSE:ASIX DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $43.26 × (1 + 2.73%) ÷ (9.58% – 2.73%)
$648.95
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $648.95 ÷ (1 + 9.58%)10
$259.99
NYSE:ASIX Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $259.83 + $259.99
$519.82
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $519.82 / 28.36
$18.33
NYSE:ASIX Discount to Share Price
Calculation Result
Value per share (USD) From above. $18.33
Current discount Discount to share price of $24.85
= -1 x ($24.85 - $18.33) / $18.33
-35.6%

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

  • The current share price of AdvanSix is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
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 AdvanSix's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are AdvanSix's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:ASIX PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $2.51
NYSE:ASIX Share Price ** NYSE (2019-07-19) in USD $24.85
United States of America Chemicals Industry PE Ratio Median Figure of 67 Publicly-Listed Chemicals Companies 18.85x
United States of America Market PE Ratio Median Figure of 3,083 Publicly-Listed Companies 17.92x

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

** Primary Listing of AdvanSix.

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

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

= 24.85 ÷ 2.51

9.88x

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

  • AdvanSix is good value based on earnings compared to the US Chemicals industry average.
  • AdvanSix is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does AdvanSix's expected growth come at a high price?
Raw Data
NYSE:ASIX PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 9.88x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts
24.4%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 2,123 Publicly-Listed Companies 1.57x

*Line of best fit is calculated by linear regression .

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

= PE Ratio ÷ Net Income Annual Growth Rate

= 9.88x ÷ 24.4%

0.4x

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

  • AdvanSix is good value based on expected growth next year.
Price based on value of assets
What value do investors place on AdvanSix's assets?
Raw Data
NYSE:ASIX PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $14.67
NYSE:ASIX Share Price * NYSE (2019-07-19) in USD $24.85
United States of America Chemicals Industry PB Ratio Median Figure of 93 Publicly-Listed Chemicals Companies 2.11x
United States of America Market PB Ratio Median Figure of 5,248 Publicly-Listed Companies 1.8x
NYSE:ASIX PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

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

= 24.85 ÷ 14.67

1.69x

* Primary Listing of AdvanSix.

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

  • AdvanSix is good value based on assets compared to the US Chemicals industry average.
X
Value checks
We assess AdvanSix'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 Chemicals 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 Chemicals industry average (and greater than 0)? (1 check)
  5. AdvanSix 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.

Future Performance

 How is AdvanSix expected to perform in the next 1 to 3 years based on estimates from 3 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
24.4%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is AdvanSix expected to grow at an attractive rate?
  • AdvanSix's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • AdvanSix's earnings growth is expected to exceed the United States of America market average.
  • AdvanSix's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:ASIX Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:ASIX Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts 24.4%
NYSE:ASIX Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 3 Analysts 1.9%
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
Raw Data
NYSE:ASIX Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:ASIX Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 1,470 173 98 3
2019-12-31 1,389 173 59 3
NYSE:ASIX Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 1,471 171 75
2018-12-31 1,515 173 66
2018-09-30 1,499 164 118
2018-06-30 1,497 151 134
2018-03-31 1,458 147 131
2017-12-31 1,475 135 147
2017-09-30 1,364 146 50
2017-06-30 1,321 133 45
2017-03-31 1,268 141 34
2016-12-31 1,192 114 34
2016-09-30 1,248 98 74
2016-06-30 1,260 97 78

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • AdvanSix's earnings are expected to grow significantly at over 20% yearly.
  • AdvanSix'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:ASIX 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 3 Analyst Estimates (S&P Global) See Below

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

NYSE:ASIX Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 3.40 3.60 3.20 2.00
2019-12-31 2.01 2.17 1.85 2.00
NYSE:ASIX Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 2.51
2018-12-31 2.20
2018-09-30 3.88
2018-06-30 4.38
2018-03-31 4.30
2017-12-31 4.81
2017-09-30 1.63
2017-06-30 1.47
2017-03-31 1.12
2016-12-31 1.12
2016-09-30 2.43
2016-06-30 2.56

*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 AdvanSix will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess AdvanSix'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.
AdvanSix has a total score of 3/6, 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 AdvanSix 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 AdvanSix's growth in the last year to its industry (Chemicals).
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.
  • AdvanSix's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.
  • AdvanSix's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • AdvanSix's 1-year earnings growth is negative, it can't be compared to the US Chemicals industry average.
Earnings and Revenue History
AdvanSix'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 AdvanSix Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:ASIX 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 1,470.64 74.83 81.42
2018-12-31 1,514.98 66.24 81.22
2018-09-30 1,498.74 117.85 74.09
2018-06-30 1,496.75 133.64 75.08
2018-03-31 1,457.73 131.00 75.11
2017-12-31 1,475.19 146.70 72.67
2017-09-30 1,364.13 49.62 73.72
2017-06-30 1,321.42 44.80 66.36
2017-03-31 1,268.40 34.05 59.15
2016-12-31 1,191.52 34.15 53.71
2016-09-30 1,248.07 74.20 47.14
2016-06-30 1,259.99 78.15 50.06
2016-03-31 1,319.01 88.11 52.39
2015-12-31 1,329.41 63.78 52.40
2014-12-31 1,790.37 83.86 53.93
2013-12-31 1,766.59 118.75 53.42

*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.
  • AdvanSix has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • AdvanSix used its assets less efficiently than the US Chemicals industry average last year based on Return on Assets.
  • AdvanSix's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess AdvanSix'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 Chemicals 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.
AdvanSix has a total score of 1/6, 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 AdvanSix'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 AdvanSix's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • AdvanSix is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • AdvanSix's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of AdvanSix'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 1.2x 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 AdvanSix Company Filings, last reported 3 months ago.

NYSE:ASIX Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 419.24 220.00 7.80
2018-12-31 420.34 200.00 9.81
2018-09-30 408.85 200.00 20.21
2018-06-30 418.08 210.00 16.71
2018-03-31 389.83 230.00 29.35
2017-12-31 376.33 265.21 55.43
2017-09-30 302.61 265.12 39.99
2017-06-30 272.04 265.03 23.07
2017-03-31 244.34 264.93 12.03
2016-12-31 215.36 264.84 14.20
2016-09-30 237.47 308.23 37.96
2016-06-30 521.50 0.00
2016-03-31 528.37 0.00
2015-12-31 479.07 0.00
2014-12-31 416.76 0.00
2013-12-31
  • AdvanSix's level of debt (52.5%) compared to net worth is high (greater than 40%).
  • Unable to establish if AdvanSix's debt level has increased without past 5-year debt data.
  • Debt is well covered by operating cash flow (77.9%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 17.5x coverage).
X
Financial health checks
We assess AdvanSix'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. AdvanSix 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 AdvanSix'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
0%
Current annual income from AdvanSix dividends.
If you bought $2,000 of AdvanSix shares you are expected to receive $0 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?
  • Unable to evaluate AdvanSix's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate AdvanSix's dividend against the top 25% market benchmark as the company has not reported any payouts.
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:ASIX 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 3 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 3.7%

Industry and Market average data is calculated daily.

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

NYSE:ASIX Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31
2019-12-31

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

  • Unable to perform a dividend volatility check as AdvanSix has not reported any payouts.
  • Unable to verify if AdvanSix's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of AdvanSix's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as AdvanSix has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess AdvanSix'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 AdvanSix afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. AdvanSix has a total score of 0/6, 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 AdvanSix'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
Erin Kane
COMPENSATION $3,250,079
AGE 42
TENURE AS CEO 3.5 years
CEO Bio

Ms. Erin N. Kane has been a Director of Chemours Company since June 18, 2019. Ms. Kane has been the Chief Executive Officer of AdvanSix Inc. since 2016 and serves as its President. Ms. Kane served as Vice President and General Manager of Resins & Chemicals Business at Honeywell International Inc. since October 2014. She joined Honeywell in 2002 as a Six Sigma Blackbelt for Honeywell Specialty Materials. In 2004, she was named product marketing manager for Honeywell Specialty Additives. From 2006 to 2008, Ms. Kane served as Global Marketing Manager for Honeywell’s Authentication Technologies business and in 2008, she was named global marketing manager for Honeywell Resins and Chemicals. In 2011, she was named business director of chemical intermediates for Honeywell Resins and Chemicals. Prior to joining Honeywell, she held Six Sigma and process engineering positions at Elementis Specialties and Kvaerner Process. Ms. Kane served as Vice President of AdvanSix Inc and has been its Director since October 1, 2016. Ms. Kane has to the Board her extensive leadership experience as well as knowledge of AdvanSix’s business, industry, and operations/HSE. Ms. Kane holds a Bachelor's of Science degree in Chemical Engineering from Bucknell University, and also serves on the board of directors of the American Chemistry Council.

CEO Compensation
  • Erin's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Erin's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

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

3.5
Average Tenure
49
Average Age
  • The tenure for the AdvanSix management team is about average.
Management Team

Erin Kane

TITLE
CEO, President & Director
COMPENSATION
$3M
AGE
42
TENURE
3.5 yrs

Michael Preston

TITLE
CFO & Senior VP
COMPENSATION
$1M
AGE
47
TENURE
3.5 yrs

John Quitmeyer

TITLE
Senior VP
COMPENSATION
$2M
AGE
68
TENURE
3.5 yrs

Jonathan Bellamy

TITLE
Chief Human Resources Officer & Senior VP
COMPENSATION
$774K
AGE
53

Christopher Gramm

TITLE
VP & Controller
COMPENSATION
$615K
AGE
49
TENURE
2.8 yrs

Adam Kressel

TITLE
Director of Investor Relations
Board of Directors Tenure

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

2.8
Average Tenure
54
Average Age
  • The average tenure for the AdvanSix board of directors is less than 3 years, this suggests a new board.
Board of Directors

Mike Marberry

TITLE
Independent Chairman
COMPENSATION
$240K
AGE
61
TENURE
2.8 yrs

Erin Kane

TITLE
CEO, President & Director
COMPENSATION
$3M
AGE
42
TENURE
2.8 yrs

Paul Huck

TITLE
Director
COMPENSATION
$190K
AGE
69
TENURE
2.8 yrs

Sharon Spurlin

TITLE
Director
COMPENSATION
$180K
AGE
53
TENURE
2.8 yrs

Dan Sansone

TITLE
Director
COMPENSATION
$185K
AGE
67
TENURE
2.8 yrs

Darrell Hughes

TITLE
Director
COMPENSATION
$170K
AGE
54
TENURE
2.8 yrs

Todd Karran

TITLE
Director
COMPENSATION
$170K
AGE
54
TENURE
2.8 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by AdvanSix individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
21. May 19 Buy Michael Marberry Individual 20. May 19 20. May 19 3,700 $26.99 $99,863
20. May 19 Buy Daniel Sansone Individual 17. May 19 17. May 19 4,000 $27.37 $109,480
07. Dec 18 Buy Michael Marberry Individual 07. Dec 18 07. Dec 18 1,905 $26.20 $49,911
X
Management checks
We assess AdvanSix'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. AdvanSix 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

Does AdvanSix Inc. (NYSE:ASIX) Create Value For Shareholders?

To be precise, we'll consider its Return On Capital Employed (ROCE), as that will inform our view of the quality of the business. … Return On Capital Employed (ROCE): What is it? … ROCE measures the amount of pre-tax profits a company can generate from the capital employed in its business.

Simply Wall St -

Before You Buy AdvanSix Inc. (NYSE:ASIX), Consider Its Volatility

Beta is a widely used metric to measure a stock's exposure to market risk (volatility). … Before we go on, it's worth noting that Warren Buffett pointed out in his 2014 letter to shareholders that 'volatility is far from synonymous with risk.' Having said that, beta can still be rather useful. … Any stock with a beta of greater than one is considered more volatile than the market, while those with a beta below one are either less volatile or poorly correlated with the market.

Simply Wall St -

Some AdvanSix (NYSE:ASIX) Shareholders Are Down 15%

(NYSE:ASIX) shareholders should be happy to see the share price up 16% in the last quarter. … But that is minimal compensation for the share price under-performance over the last year. … 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.

Simply Wall St -

Is AdvanSix Inc. (NYSE:ASIX) A Financially Sound Company?

Investors are always looking for growth in small-cap stocks like AdvanSix Inc. … However, an important fact which most ignore is: how financially healthy is the business? … I believe these basic checks tell most of the story you need to know.

Simply Wall St -

Why AdvanSix Inc. (NYSE:ASIX) Looks Like A Quality Company

While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. … Our data shows AdvanSix has a return on equity of 29% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

What Kind Of Share Price Volatility Should You Expect For AdvanSix Inc. (NYSE:ASIX)?

Beta can be a useful tool to understand how much a stock is influenced by market risk (volatility). … To use beta as an investor, you must first understand that the overall market has a beta of one. … A stock with a beta below one is either less volatile than the market, or more volatile but not corellated with the overall market.

Simply Wall St -

Do Directors Own AdvanSix Inc. (NYSE:ASIX) Shares?

Institutions will often hold stock in bigger companies, and we expect to see insiders owning a noticeable percentage of the smaller ones. … Companies that have been privatized tend to have low insider ownership. … institutions are noticeable on the share registry.

Simply Wall St -

Why We’re Not Keen On AdvanSix Inc.’s (NYSE:ASIX) 12% Return On Capital

In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … Return On Capital Employed (ROCE): What is it? … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

AdvanSix Inc (NYSE:ASIX): Time For A Financial Health Check

However, an important fact which most ignore is: how financially healthy is the business? … So, understanding the company's financial health becomes. … Here are a few basic checks that are good enough to have a broad overview of the company’s financial strength.

Simply Wall St -

An Examination Of AdvanSix Inc (NYSE:ASIX)

AdvanSix Inc (NYSE:ASIX) is a company with exceptional fundamental characteristics. … Upon building up an investment case for a stock, we should look at various aspects. … In the case of ASIX, it.

Simply Wall St -

Company Info

Description

AdvanSix Inc. manufactures and sells polymer resins. It offers Nylon 6, a polymer resin, which is a synthetic material used to produce engineered plastics, fibers, filaments, and films. The company also provides caprolactam to manufacture polymer resins; ammonium sulfate fertilizers to distributors, farm cooperatives, and retailers; and acetone, which is used by customers in the production of adhesives, paints, coatings, solvents, herbicides, and other engineered plastic resins, as well as other intermediate chemicals, including phenol, alpha-methylstyrene, cyclohexanone, methyl ethyl ketoxime, cyclohexanol, acetaldehyde oxime, 2-pentanone oxime, sulfuric acid, ammonia, and carbon dioxide. It offers its products under the Aegis, Capra, Sulf-N, Nadone, Naxol, and EZ-Blox brands. The company sells its products directly, as well as through distributors in North America, South America, and internationally. AdvanSix Inc. was incorporated in 2016 and is headquartered in Parsippany, New Jersey.

Details
Name: AdvanSix Inc.
ASIX
Exchange: NYSE
Founded: 2016
$704,832,254
28,363,471
Website: http://www.AdvanSix.com
Address: AdvanSix Inc.
300 Kimball Drive,
Suite 101,
Parsippany,
New Jersey, 07054,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE ASIX Common Stock New York Stock Exchange US USD 15. Sep 2016
DB 960 Common Stock Deutsche Boerse AG DE EUR 15. Sep 2016
BMV ASIX * Common Stock Bolsa Mexicana de Valores MX MXN 15. Sep 2016
Number of employees
Current staff
Staff numbers
1,485
AdvanSix employees.
Industry
Commodity Chemicals
Materials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/20 00:42
End of day share price update: 2019/07/19 00:00
Last estimates confirmation: 2019/07/09
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.