NYSE:FUL

Stock Analysis Report

Executive Summary

H.B. Fuller Company, together with its subsidiaries, formulates, manufactures, and markets adhesives, sealants, coatings, polymers, tapes, encapsulants, and other specialty chemical products worldwide.

Snowflake

Fundamentals

Established dividend payer and good value.


Similar Companies

Share Price & News

How has H.B. Fuller's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-4.1%

NYSE:FUL

-1.9%

US Chemicals

-1.0%

US Market


1 Year Return

-25.7%

NYSE:FUL

-15.0%

US Chemicals

-0.4%

US Market

FUL underperformed the Chemicals industry which returned -15% over the past year.

FUL underperformed the Market in United States of America which returned -0.4% over the past year.


Share holder returns

FULIndustryMarket
7 Day-4.1%-1.9%-1.0%
30 Day-11.0%-4.2%-3.3%
90 Day-2.5%-1.6%0.8%
1 Year-24.7%-25.7%-1.7%-15.0%1.9%-0.4%
3 Year-4.6%-8.0%34.8%10.1%39.4%30.4%
5 Year-0.5%-6.4%31.1%2.5%54.2%37.1%

Price Volatility Vs. Market

How volatile is H.B. Fuller's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is H.B. Fuller undervalued based on future cash flows and its price relative to the stock market?

30%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

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

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


Price Based on Earnings

H.B. Fuller is good value based on earnings compared to the US Chemicals industry average.

H.B. Fuller is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

H.B. Fuller is good value based on expected growth next year.


Price Based on Value of Assets

H.B. Fuller is overvalued based on assets compared to the US Chemicals industry average.


Next Steps

Future Growth

How is H.B. Fuller expected to perform in the next 1 to 3 years based on estimates from 8 analysts?

20.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

H.B. Fuller's revenue is expected to grow by 3.4% yearly, however this is not considered high growth (20% yearly).

H.B. Fuller's earnings are expected to grow significantly at over 20% yearly.

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

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

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


Earnings per Share Growth Estimates


Future Return on Equity

H.B. Fuller is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has H.B. Fuller performed over the past 5 years?

16.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

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

H.B. Fuller's 1-year earnings growth is less than its 5-year average (15.6% vs 16.1%)

H.B. Fuller's earnings growth has exceeded the US Chemicals industry average in the past year (15.6% vs -2.4%).


Return on Equity

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


Return on Assets

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


Return on Capital Employed

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


Next Steps

Financial Health

How is H.B. Fuller's financial position?


Financial Position Analysis

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

H.B. Fuller's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

H.B. Fuller's level of debt (189.3%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (59.3% vs 189.3% today).

Debt is not well covered by operating cash flow (14%, less than 20% of total debt).

Interest payments on debt are not well covered by earnings (EBIT is 2.1x annual interest expense, ideally 3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.5x debt.


Next Steps

Dividend

What is H.B. Fuller's current dividend yield, its reliability and sustainability?

1.58%

Expected Dividend Yield


Dividend Yield and Payments Analysis

H.B. Fuller's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).

H.B. Fuller's dividend is below the markets top 25% of dividend payers in United States of America (3.84%).

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

Dividends paid are well covered by earnings (4x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (6.4x coverage).


Next Steps

Management

What is the CEO of H.B. Fuller's salary, the management and board of directors tenure and is there insider trading?

3.6yrs

Average management tenure


CEO

Jim Owens (54yo)

8.8yrs

Tenure

US$4,619,550

Compensation

Mr. James J. Owens, also known as Jim, has been the Chief Executive Officer and President of H.B. Fuller Company since November 22, 2010. Mr. Owens served as the Senior Vice President of North America Regi ...


CEO Compensation Analysis

Insufficient data for Jim to establish whether their remuneration is reasonable compared to companies of similar size in United States of America.

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


Management Age and Tenure

3.6yrs

Average Tenure

54yo

Average Age

The tenure for the H.B. Fuller management team is about average.


Board Age and Tenure

8.7yrs

Average Tenure

64yo

Average Age

The tenure for the H.B. Fuller board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

SellUS$157,09419 Feb 19
Robert Martsching
EntityIndividual
Shares3,215
Max PriceUS$48.86

Ownership Breakdown


Management Team

  • Steve Kenny (57yo)

    Senior Vice President of Emerging Markets

    • Tenure: 9.8yrs
    • Compensation: $1.09m
  • Traci Jensen (52yo)

    Senior Vice President of Global Construction Products

    • Tenure: 6.6yrs
    • Compensation: $1.16m
  • Paula Cooney (50yo)

    Vice President of Human Resources

    • Tenure: 3.3yrs
  • Jim Owens (54yo)

    President

    • Tenure: 8.8yrs
    • Compensation: $4.62m
  • Patrick Kivits (51yo)

    Senior Vice President of Europe

    • Tenure: 3.9yrs
    • Compensation: $1.06m
  • Barbara Doyle

    Vice President of Investor Relations

    • Tenure: 1.0yrs
  • Zhiwei Cai (56yo)

    Senior Vice President of Global Engineering - Adhesive segment

    • Tenure: 1.6yrs
    • Compensation: $1.49m
  • Tim Keenan (61yo)

    VP, General Counsel & Corporate Secretary

    • Tenure: 13.7yrs
    • Compensation: $598.25k
  • Abe Rezai (67yo)

    VP and Chief Technology & Innovation Officer

    • Tenure: 2.8yrs
  • John Corkrean (53yo)

    Executive VP & CFO

    • Tenure: 3.3yrs
    • Compensation: $1.21m

Board Members

  • Dante Parrini (54yo)

    Independent Director

    • Tenure: 6.9yrs
    • Compensation: $208.45k
  • Tom Handley (64yo)

    Independent Director

    • Tenure: 9.1yrs
    • Compensation: $208.51k
  • Lee Mitau (70yo)

    Independent Chairman & Presiding Director

    • Tenure: 12.7yrs
    • Compensation: $297.99k
  • Dan Florness (56yo)

    Independent Director

    • Tenure: 1.1yrs
  • Jim Owens (54yo)

    President

    • Tenure: 8.8yrs
    • Compensation: $4.62m
  • Ruth Kimmelshue

    Director

    • Tenure: 1.8yrs
  • Tessa Hilado (54yo)

    Director

    • Tenure: 5.8yrs
    • Compensation: $210.38k
  • Mike Losh (73yo)

    Independent Director

    • Tenure: 18.6yrs
    • Compensation: $200.00k
  • Bill Van Sant (80yo)

    Vice Chairman

    • Tenure: 8.6yrs
    • Compensation: $257.94k
  • John van Roden (69yo)

    Independent Director

    • Tenure: 15.7yrs
    • Compensation: $212.89k

Company Information

H.B. Fuller Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: H.B. Fuller Company
  • Ticker: FUL
  • Exchange: NYSE
  • Founded: 1887
  • Industry: specialty chemicals
  • Sector: materials
  • Market Cap: US$2.179b
  • Shares outstanding: 50.92m
  • Website: Click here

Number of Employees


Location

  • H.B. Fuller Company
  • 1200 Willow Lake Boulevard
  • PO Box 64683
  • Saint Paul
  • Minnesota
  • 55164
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FULNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1980
HB1DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1980

Biography

H.B. Fuller Company, together with its subsidiaries, formulates, manufactures, and markets adhesives, sealants, coatings, polymers, tapes, encapsulants, and other specialty chemical products worldwide. The ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/17 23:45
End of Day Share Price2019/08/16 00:00
Earnings2019/06/01
Annual Earnings2018/12/01


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.