NYSE:FF

Stock Analysis Report

Executive Summary

FutureFuel Corp., through its subsidiaries, manufactures and sells diversified chemical products, bio-based products, and bio-based specialty chemical products in the United States.

Risk Analysis

Earnings have declined by -9.52% per year over past 5 years

Unstable dividend track record

Profit margins (7%) are lower than last year (22.4%)



Snowflake Analysis

Flawless balance sheet unattractive dividend payer.


Similar Companies

Share Price & News

How has FutureFuel's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: FF has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.0%

FF

0.9%

US Chemicals

0.7%

US Market


1 Year Return

-28.3%

FF

1.2%

US Chemicals

18.2%

US Market

Return vs Industry: FF underperformed the US Chemicals industry which returned 1.2% over the past year.

Return vs Market: FF underperformed the US Market which returned 18.2% over the past year.


Shareholder returns

FFIndustryMarket
7 Day-2.0%0.9%0.7%
30 Day-8.7%-2.7%1.5%
90 Day-7.3%3.1%5.0%
1 Year-26.8%-28.3%16.5%1.2%20.8%18.2%
3 Year-10.9%-15.5%32.5%7.6%45.2%35.8%
5 Year14.6%-10.6%53.2%20.4%71.6%52.7%

Price Volatility Vs. Market

How volatile is FutureFuel's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is FutureFuel undervalued compared to its fair value and its price relative to the market?

27.93x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: FF ($11.59) is trading above our estimate of fair value ($7.49)

Significantly Below Fair Value: FF is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: FF is poor value based on its PE Ratio (28.7x) compared to the Chemicals industry average (20.5x).

PE vs Market: FF is poor value based on its PE Ratio (28.7x) compared to the US market (18.5x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate FF's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: FF is good value based on its PB Ratio (1.3x) compared to the US Chemicals industry average (2.2x).


Next Steps

Future Growth

How is FutureFuel forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

16.2%

Forecasted Materials industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as FutureFuel has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has FutureFuel performed over the past 5 years?

-9.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FF has high quality earnings.

Growing Profit Margin: FF's current net profit margins (7%) are lower than last year (22.4%).


Past Earnings Growth Analysis

Earnings Trend: FF's earnings have declined by -9.5% per year over the past 5 years.

Accelerating Growth: FF's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: FF had negative earnings growth (-73.7%) over the past year, making it difficult to compare to the Chemicals industry average (-17%).


Return on Equity

High ROE: FF's Return on Equity (4.4%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is FutureFuel's financial position?


Financial Position Analysis

Short Term Liabilities: FF's short term assets ($377.0M) exceed its short term liabilities ($39.7M).

Long Term Liabilities: FF's short term assets ($377.0M) exceed its long term liabilities ($39.5M).


Debt to Equity History and Analysis

Debt Level: FF is debt free.

Reducing Debt: FF has not had any debt for past 5 years.

Debt Coverage: FF has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: FF has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: FF has a high level of physical assets or inventory.

Debt Coverage by Assets: FF's debt is not covered by short term assets (assets are -1.6978120235224E+18x debt).


Next Steps

Dividend

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

2.13%

Current Dividend Yield


Upcoming Dividend Payment

Purchase FutureFuel before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company2.1%marketbottom25%1.4%markettop25%3.7%industryaverage2.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: FF's dividend (2.07%) is higher than the bottom 25% of dividend payers in the US market (1.43%).

High Dividend: FF's dividend (2.07%) is low compared to the top 25% of dividend payers in the US market (3.7%).


Stability and Growth of Payments

Stable Dividend: FF's dividend payments have been volatile in the past 10 years.

Growing Dividend: FF's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (59.5%), FF's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

4.3yrs

Average management tenure


CEO

Tony Novelly (75yo)

6.9yrs

Tenure

0

Mr. Paul Anthony Novelly, II, also known as Tony, has been an Executive Chairman of FutureFuel Corp., since August 12, 2005. Mr. Tony has been the Chairman and Chief Executive Officer at WPT GP LLC since A ...


Management Age and Tenure

4.3yrs

Average Tenure

55yo

Average Age

Experienced Management: FF's management team is considered experienced (4.3 years average tenure).


Board Age and Tenure

4.3yrs

Average Tenure

71yo

Average Age

Experienced Board: FF's board of directors are considered experienced (4.3 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$29,90506 Jun 19
Terrance Callahan Egger
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,895
Max PriceUS$10.33
SellUS$285,00021 Mar 19
Paul Flynn
EntityIndividual
Role
Senior Key Executive
Executive Vice President
Shares20,000
Max PriceUS$14.25

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Tony Novelly (75yo)

    Executive Chairman & CEO

    • Tenure: 6.9yrs
  • Sam Dortch (70yo)

    Consultant

    • Tenure: 2yrs
    • Compensation: US$323.00k
  • Tom McKinlay (55yo)

    Chief Operating Officer

    • Tenure: 2.9yrs
    • Compensation: US$472.00k
  • Rose Sparks (52yo)

    CFO, Principal Accounting Officer

    • Tenure: 0.3yrs
    • Compensation: US$331.00k
  • Jordy Federko

    Company Secretary

    • Tenure: 4.3yrs
  • Paul Flynn (52yo)

    Executive Vice President

    • Tenure: 4.3yrs
    • Compensation: US$716.00k

Board Members

  • Terry Egger (62yo)

    Independent Director

    • Tenure: 4.3yrs
    • Compensation: US$54.00k
  • Jeffrey Schwartz (70yo)

    Non-Executive Director

    • Tenure: 4.3yrs
    • Compensation: US$54.00k
  • Tony Novelly (75yo)

    Executive Chairman & CEO

    • Tenure: 6.9yrs
  • Ed Levy (81yo)

    Non-Executive Director

    • Tenure: 14.1yrs
    • Compensation: US$66.00k
  • Paul Manheim (70yo)

    Non-Executive Director

    • Tenure: 8.4yrs
    • Compensation: US$68.00k
  • Don Bedell (77yo)

    Non-Executive Director

    • Tenure: 11.8yrs
    • Compensation: US$68.00k
  • Alain Louvel (73yo)

    Non-Executive Director

    • Tenure: 1.3yrs
    • Compensation: US$54.00k
  • Dale Cole (71yo)

    Independent Director

    • Tenure: 4.3yrs
    • Compensation: US$56.00k
  • Rose Sparks (52yo)

    CFO, Principal Accounting Officer

    • Tenure: 0.3yrs
    • Compensation: US$331.00k

Company Information

FutureFuel Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: FutureFuel Corp.
  • Ticker: FF
  • Exchange: NYSE
  • Founded: 2005
  • Industry: Specialty Chemicals
  • Sector: Materials
  • Market Cap: US$492.986m
  • Shares outstanding: 43.74m
  • Website: https://www.futurefuelcorporation.com

Number of Employees


Location

  • FutureFuel Corp.
  • 8235 Forsyth Boulevard
  • 4th Floor
  • Clayton
  • Missouri
  • 63105
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FFNYSE (New York Stock Exchange)YesCommon SharesUSUSDJul 2008
3FFBST (Boerse-Stuttgart)YesCommon SharesDEEURJul 2008

Biography

FutureFuel Corp., through its subsidiaries, manufactures and sells diversified chemical products, bio-based products, and bio-based specialty chemical products in the United States. It operates in two segm ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/11 00:13
End of Day Share Price2019/12/10 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.