LyondellBasell Industries
Market Cap
US$15.4b
Last Updated
2020/04/04 05:49 UTC
Data Sources
Company Financials +
Executive Summary
LyondellBasell Industries N.V. operates as a chemical company worldwide.
Rewards
Risk Analysis
Earnings are forecast to decline by an average of -0.8% per year for the next 3 years
Snowflake Analysis
Good value average dividend payer.
Similar Companies
Share Price & News
How has LyondellBasell Industries's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: LYB's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
-6.7%
LYB
-4.4%
US Chemicals
-2.0%
US Market
1 Year Return
-49.4%
LYB
-33.8%
US Chemicals
-15.1%
US Market
Return vs Industry: LYB underperformed the US Chemicals industry which returned -33.8% over the past year.
Return vs Market: LYB underperformed the US Market which returned -15.1% over the past year.
Shareholder returns
| LYB | Industry | Market | |
|---|---|---|---|
| 7 Day | -6.7% | -4.4% | -2.0% |
| 30 Day | -37.6% | -24.7% | -19.7% |
| 90 Day | -49.6% | -31.1% | -23.2% |
| 1 Year | -46.6%-49.4% | -29.5%-33.8% | -13.4%-15.1% |
| 3 Year | -40.7%-48.1% | -12.7%-29.6% | 10.9%3.7% |
| 5 Year | -37.9%-49.6% | -3.5%-24.5% | 28.4%14.4% |
Price Volatility Vs. Market
How volatile is LyondellBasell Industries's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
What Is LyondellBasell Industries's (NYSE:LYB) P/E Ratio After Its Share Price Tanked?3 weeks ago | Simply Wall St
Trade Alert: Kimberly Foley At LyondellBasell Industries N.V. (NYSE:LYB), Has Just Spent US$88k Buying Shares1 month ago | Simply Wall St
Here's How P/E Ratios Can Help Us Understand LyondellBasell Industries N.V. (NYSE:LYB)Valuation
Is LyondellBasell Industries undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: LYB ($46.1) is trading below our estimate of fair value ($115.4)
Significantly Below Fair Value: LYB is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: LYB is good value based on its PE Ratio (4.8x) compared to the Chemicals industry average (13.7x).
PE vs Market: LYB is good value based on its PE Ratio (4.8x) compared to the US market (12.4x).
Price to Earnings Growth Ratio
PEG Ratio: LYB's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: LYB is overvalued based on its PB Ratio (1.9x) compared to the US Chemicals industry average (1.3x).
Next Steps
Future Growth
How is LyondellBasell Industries forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?
-0.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: LYB's earnings are forecast to decline over the next 3 years (-0.8% per year).
Earnings vs Market: LYB's earnings are forecast to decline over the next 3 years (-0.8% per year).
High Growth Earnings: LYB's earnings are forecast to decline over the next 3 years.
Revenue vs Market: LYB's revenue is expected to decline over the next 3 years (-0.9% per year).
High Growth Revenue: LYB's revenue is forecast to decline over the next 3 years (-0.9% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: LYB's Return on Equity is forecast to be high in 3 years time (28.1%)
Next Steps
Past Performance
How has LyondellBasell Industries performed over the past 5 years?
-0.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: LYB has high quality earnings.
Growing Profit Margin: LYB's current net profit margins (9.8%) are lower than last year (12%).
Past Earnings Growth Analysis
Earnings Trend: LYB's earnings have declined by -0.3% per year over the past 5 years.
Accelerating Growth: LYB's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: LYB had negative earnings growth (-27.7%) over the past year, making it difficult to compare to the Chemicals industry average (-11.3%).
Return on Equity
High ROE: Whilst LYB's Return on Equity (41.53%) is outstanding, this metric is skewed due to their high level of debt.
Next Steps
Financial Health
How is LyondellBasell Industries's financial position?
Financial Position Analysis
Short Term Liabilities: LYB's short term assets ($9.5B) exceed its short term liabilities ($5.2B).
Long Term Liabilities: LYB's short term assets ($9.5B) do not cover its long term liabilities ($17.1B).
Debt to Equity History and Analysis
Debt Level: LYB's debt to equity ratio (148.1%) is considered high.
Reducing Debt: LYB's debt to equity ratio has increased from 83.8% to 148.1% over the past 5 years.
Debt Coverage: LYB's debt is well covered by operating cash flow (41%).
Interest Coverage: LYB's interest payments on its debt are well covered by EBIT (12.6x coverage).
Balance Sheet
Inventory Level: LYB has a high level of physical assets or inventory.
Debt Coverage by Assets: LYB's debt is not covered by short term assets (assets are 0.8x debt).
Next Steps
Dividend
What is LyondellBasell Industries's current dividend yield, its reliability and sustainability?
9.11%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: LYB's dividend (9.11%) is higher than the bottom 25% of dividend payers in the US market (2.05%).
High Dividend: LYB's dividend (9.11%) is in the top 25% of dividend payers in the US market (5.71%)
Stability and Growth of Payments
Stable Dividend: LYB has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: LYB's dividend payments have increased, but the company has only paid a dividend for 9 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (43.2%), LYB's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: LYB's dividends in 3 years are forecast to be covered by earnings (51.6% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.0yrs
Average management tenure
CEO
Bob Patel (52yo)
5.25s
Tenure
US$18,206,797
Compensation
Mr. Bhavesh V. Patel, also known as Bob, has been President, Chief Executive Officer, and Director of Schulman, Inc. since August 21, 2018. Mr. Patel has been Chief Executive Officer of LyondellBasell Indu ...
CEO Compensation Analysis
Compensation vs Market: Bob's total compensation ($USD18.21M) is above average for companies of similar size in the US market ($USD11.95M).
Compensation vs Earnings: Bob's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 5.25yrs | US$18.21m | 0.081% $12.5m | |
| Executive VP & Chief Legal Officer | 5.08yrs | US$3.42m | 0.0074% $1.1m | |
| Executive Vice President of Global Manufacturing | 1.5yrs | US$3.95m | 0.0064% $985.7k | |
| Executive VP of Advanced Polymer Solutions & Global Supply Chain | 4.83yrs | US$2.69m | 0.0039% $596.6k | |
| Executive VP & CFO | 0.42yr | no data | no data | |
| VP & Chief Accounting Officer | 2yrs | no data | no data | |
| Senior Vice President of Research & Development | 0.75yr | no data | 0.0027% $416.7k | |
| Head of Investor Relations | no data | no data | no data | |
| Senior Vice President of Human Resources | 0.50yr | no data | 0.0012% $184.5k | |
| Senior Vice President of Americas Manufacturing | 7.75yrs | no data | no data |
2.0yrs
Average Tenure
53yo
Average Age
Experienced Management: LYB's management team is considered experienced (2 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 5.25yrs | US$18.21m | 0.081% $12.5m | |
| Independent Director | 9.75yrs | US$314.48k | 0.0083% $1.3m | |
| Independent Director | 9.75yrs | US$309.30k | 0.0047% $722.7k | |
| Independent Director | 6.17yrs | US$337.11k | 0.0034% $525.9k | |
| Independent Director | 6.58yrs | US$320.48k | 0.0054% $828.8k | |
| Independent Chairman | 1.58yrs | US$612.44k | 0.0028% $436.7k | |
| Independent Director | 8.92yrs | US$310.09k | 0.013% $2.0m | |
| Independent Director | 8.92yrs | US$347.11k | 0.0053% $808.8k | |
| Independent Director | 4.83yrs | US$320.09k | 0.0011% $173.8k | |
| Independent Director | 1.42yrs | US$97.56k | 0.00041% $63.0k |
6.4yrs
Average Tenure
66yo
Average Age
Experienced Board: LYB's board of directors are considered experienced (6.4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: LYB insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
LyondellBasell Industries N.V.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: LyondellBasell Industries N.V.
- Ticker: LYB
- Exchange: NYSE
- Founded: 1955
- Industry: Commodity Chemicals
- Sector: Materials
- Market Cap: US$15.377b
- Shares outstanding: 333.55m
- Website: https://www.lyondellbasell.com
Number of Employees
Location
- LyondellBasell Industries N.V.
- 1221 McKinney Street
- Suite 300
- Houston
- Texas
- 77010
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| LYB | NYSE (New York Stock Exchange) | Yes | Class A Ordinary Shares | US | USD | Apr 2010 |
| DLY | DB (Deutsche Boerse AG) | Yes | Class A Ordinary Shares | DE | EUR | Apr 2010 |
| LYB N | BMV (Bolsa Mexicana de Valores) | Yes | Class A Ordinary Shares | MX | MXN | Apr 2010 |
| 0EDD | LSE (London Stock Exchange) | Yes | Class A Ordinary Shares | GB | USD | Apr 2010 |
Biography
LyondellBasell Industries N.V. operates as a chemical company worldwide. The company operates in six segments: Olefins and Polyolefins—Americas; Olefins and Polyolefins—Europe, Asia, International; Intermediates and Derivatives; Advanced Polymer Solutions; Refining; and Technology. It produces and markets olefins and co-products; polyethylene products, which consist of high density polyethylene, low density polyethylene, and linear low density polyethylene; and polypropylene (PP) products, such as PP homopolymers and copolymers. The company also produces and sells propylene oxide and its derivatives; oxyfuels and related products; and intermediate chemicals, such as styrene monomers, methanol products, glacial acetic acids, vinyl acetate monomers, ethylene glycol, and ethylene oxides and derivatives. In addition, it produces and markets compounds and solutions, such as polypropylene compounds, engineered plastics, masterbatches, engineered composites, colors, and powders; and advanced polymers. Further, the company refines crude oil and other crude oils of varied types and sources into gasoline, diesel, and jet fuel; develops and licenses chemical and polyolefin process technologies; and manufactures and sells polyolefin catalysts, as well as purchases and sells ethylene. LyondellBasell Industries N.V. was founded in 1955 and is headquartered in Houston, Texas.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/04 05:49 |
| End of Day Share Price | 2020/04/03 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.