NYSE:FOE

Stock Analysis Report

Executive Summary

Ferro Corporation produces specialty materials in the United States and internationally.

Snowflake

Fundamentals

Good value with reasonable growth potential.

Risks

  • Ferro has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-10.0%

NYSE:FOE

-0.07%

US Chemicals

0.9%

US Market


1 Year Return

-50.2%

NYSE:FOE

-15.3%

US Chemicals

0.3%

US Market

FOE underperformed the Chemicals industry which returned -15.3% over the past year.

FOE underperformed the Market in United States of America which returned 0.3% over the past year.


Share holder returns

FOEIndustryMarket
7 Day-10.0%-0.07%0.9%
30 Day-26.9%-3.4%-1.9%
90 Day-28.2%-1.4%1.6%
1 Year-50.2%-50.2%-1.9%-15.3%2.6%0.3%
3 Year-18.5%-18.5%35.3%10.4%41.0%31.8%
5 Year-20.4%-20.4%31.3%2.7%55.2%38.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

36%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Ferro's share price is below the future cash flow value, and at a moderate discount (> 20%).

Ferro's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Ferro is good value based on earnings compared to the US Chemicals industry average.

Ferro is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

Ferro is good value based on expected growth next year.


Price Based on Value of Assets

Ferro is overvalued based on assets compared to the US Chemicals industry average.


Next Steps

Future Growth

How is Ferro expected to perform in the next 1 to 3 years based on estimates from 7 analysts?

35.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Ferro's revenue is expected to grow by 2.5% yearly, however this is not considered high growth (20% yearly).

Ferro's earnings are expected to grow significantly at over 20% yearly.

Ferro's revenue growth is positive but not above the United States of America market average.

Ferro's earnings growth is expected to exceed the United States of America market average.

Ferro's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Ferro is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).


Next Steps

Past Performance

How has Ferro performed over the past 5 years?

6.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Ferro's year on year earnings growth rate has been positive over the past 5 years.

Ferro's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Ferro's 1-year earnings growth is negative, it can't be compared to the US Chemicals industry average.


Return on Equity

Ferro has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Ferro used its assets less efficiently than the US Chemicals industry average last year based on Return on Assets.


Return on Capital Employed

Ferro's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Ferro's financial position?


Financial Position Analysis

Ferro is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Ferro's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Ferro's level of debt (228.4%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (117% vs 228.4% today).

Debt is not well covered by operating cash flow (16.1%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 3.7x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1x debt.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

Unable to evaluate Ferro's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Ferro's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Ferro has not reported any payouts.

Unable to verify if Ferro's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Ferro 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.


Next Steps

Management

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

4.9yrs

Average management tenure


CEO

Peter Thomas (63yo)

6.3yrs

Tenure

US$4,853,673

Compensation

Mr. Peter T. Thomas has been the Chief Executive Officer and President of Ferro Corporation since April 24, 2013. Mr. Thomas served as Interim Chief Executive Officer and Interim President at Ferro Corpora ...


CEO Compensation Analysis

Peter's remuneration is higher than average for companies of similar size in United States of America.

Peter's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

4.9yrs

Average Tenure

59yo

Average Age

The tenure for the Ferro management team is about average.


Board Age and Tenure

2.8yrs

Average Tenure

59.5yo

Average Age

The average tenure for the Ferro board of directors is less than 3 years, this suggests a new board.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyUS$38,32521 May 19
Allen Spizzo
EntityIndividual
Role
Member of the Board of Directors
Director
Shares2,500
Max PriceUS$15.33
BuyUS$38,77515 May 19
David Lorber
EntityIndividual
Role
Lead Director
Lead Director
Shares2,500
Max PriceUS$15.51
BuyUS$108,28015 May 19
Andrew Ross
EntityIndividual
Role
Member of the Board of Directors
Director
Shares7,000
Max PriceUS$15.47
BuyUS$270,64010 May 19
Peter Thomas
EntityIndividual
Role
Chief Executive Officer
Chairman
Shares17,000
Max PriceUS$15.92
BuyUS$39,75010 May 19
Allen Spizzo
EntityIndividual
Role
Member of the Board of Directors
Director
Shares2,500
Max PriceUS$15.90
SellUS$143,06719 Nov 18
James Barna
EntityIndividual
Role
Chief Accounting Officer
VP, Controller & Chief Accounting Officer
Shares7,500
Max PriceUS$19.08

Ownership Breakdown


Management Team

  • Mark Duesenberg (57yo)

    VP, General Counsel & Secretary

    • Tenure: 10.9yrs
    • Compensation: US$1.26m
  • Peter Thomas (63yo)

    Chairman

    • Tenure: 6.3yrs
    • Compensation: US$4.85m
  • Callahan Abood (61yo)

    Director of Corporate Communications

    • Tenure: 13.3yrs
  • Judy DeForest

    Chief Tax Officer

    • Tenure: 11.8yrs
  • Ben Schlater (43yo)

    Group VP & CFO

    • Tenure: 2.9yrs
    • Compensation: US$1.28m
  • Pepe Tortajada

    Vice President of Human Resources

    • Tenure: 3.4yrs
  • Jim Barna

    VP, Controller & Chief Accounting Officer

    • Tenure: 2.9yrs
  • Matthias Bell

    Group Vice President of Global Operations

    • Tenure: 0.6yrs
  • Kevin Grant

    Head of Investor Relations

    • Tenure: 0.0yrs

Board Members

  • Allen Spizzo (61yo)

    Director

    • Tenure: 2.8yrs
    • Compensation: US$182.69k
  • Ron Vargo (64yo)

    Director

    • Tenure: 9.7yrs
    • Compensation: US$189.45k
  • Marran J. Ogilvie (51yo)

    Director

    • Tenure: 1.8yrs
    • Compensation: US$169.45k
  • David Lorber (41yo)

    Lead Director

    • Tenure: 1.6yrs
    • Compensation: US$207.95k
  • Peter Thomas (63yo)

    Chairman

    • Tenure: 6.3yrs
    • Compensation: US$4.85m
  • Andy Ross (58yo)

    Director

    • Tenure: 2.8yrs
    • Compensation: US$169.45k

Company Information

Ferro Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ferro Corporation
  • Ticker: FOE
  • Exchange: NYSE
  • Founded: 1919
  • Industry: Specialty Chemicals
  • Sector: Materials
  • Market Cap: US$881.595m
  • Shares outstanding: 81.93m
  • Website: https://www.ferro.com

Number of Employees


Location

  • Ferro Corporation
  • 6060 Parkland Boulevard
  • Suite 250
  • Mayfield Heights
  • Ohio
  • 44124
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FOENYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1968
FR9DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1968

Biography

Ferro Corporation produces specialty materials in the United States and internationally. It operates through three segments: Performance Coatings, Performance Colors and Glass, and Color Solutions. The com ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/20 23:37
End of Day Share Price2019/08/20 00:00
Earnings2019/06/30
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.