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LyondellBasell Industries

Executive Summary

LyondellBasell Industries N.V. operates as a chemical company in the United States, Germany, Mexico, Italy, France, Japan, China, the Netherlands, and internationally. More Details


Snowflake Analysis

Average dividend payer and fair value.


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 is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: LYB's weekly volatility (7%) has been stable over the past year.


Market Performance


7 Day Return

-3.6%

LYB

-1.3%

US Chemicals

2.3%

US Market


1 Year Return

7.7%

LYB

22.3%

US Chemicals

23.8%

US Market

Return vs Industry: LYB underperformed the US Chemicals industry which returned 22.2% over the past year.

Return vs Market: LYB underperformed the US Market which returned 23.7% over the past year.


Shareholder returns

LYBIndustryMarket
7 Day-3.6%-1.3%2.3%
30 Day1.0%3.8%4.8%
90 Day19.0%14.6%14.5%
1 Year13.9%7.7%25.2%22.3%26.6%23.8%
3 Year-13.0%-24.7%23.0%-0.2%45.0%35.4%
5 Year46.9%17.3%114.8%66.3%126.2%101.0%

Long-Term 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

Valuation

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

33.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: LYB ($91.48) is trading below our estimate of fair value ($137.02)

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 (26x) compared to the US Chemicals industry average (32.9x).

PE vs Market: LYB is poor value based on its PE Ratio (26x) compared to the US market (21.3x).


Price to Earnings Growth Ratio

PEG Ratio: LYB is poor value based on its PEG Ratio (1.4x)


Price to Book Ratio

PB vs Industry: LYB is overvalued based on its PB Ratio (4.2x) compared to the US Chemicals industry average (2.6x).


Next Steps

Future Growth

How is LyondellBasell Industries forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?

18.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: LYB's forecast earnings growth (18.6% per year) is above the savings rate (2%).

Earnings vs Market: LYB's earnings (18.6% per year) are forecast to grow slower than the US market (21.6% per year).

High Growth Earnings: LYB's earnings are forecast to grow, but not significantly.

Revenue vs Market: LYB's revenue (9.8% per year) is forecast to grow slower than the US market (10.6% per year).

High Growth Revenue: LYB's revenue (9.8% per year) is forecast to grow slower than 20% 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 (33.5%)


Next Steps

Past Performance

How has LyondellBasell Industries performed over the past 5 years?

-8.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LYB has a large one-off loss of $698.0M impacting its September 30 2020 financial results.

Growing Profit Margin: LYB's current net profit margins (4.2%) are lower than last year (9.8%).


Past Earnings Growth Analysis

Earnings Trend: LYB's earnings have declined by 8.6% 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 (-66.2%) over the past year, making it difficult to compare to the Chemicals industry average (-16.3%).


Return on Equity

High ROE: LYB's Return on Equity (15.8%) is considered low.


Next Steps

Financial Health

How is LyondellBasell Industries's financial position?


Financial Position Analysis

Short Term Liabilities: LYB's short term assets ($10.8B) exceed its short term liabilities ($4.8B).

Long Term Liabilities: LYB's short term assets ($10.8B) do not cover its long term liabilities ($19.7B).


Debt to Equity History and Analysis

Debt Level: LYB's debt to equity ratio (200.2%) is considered high.

Reducing Debt: LYB's debt to equity ratio has increased from 113% to 200.2% over the past 5 years.

Debt Coverage: LYB's debt is well covered by operating cash flow (26.2%).

Interest Coverage: LYB's interest payments on its debt are well covered by EBIT (5.1x coverage).


Balance Sheet


Next Steps

Dividend

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

4.59%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: LYB's dividend (4.59%) is higher than the bottom 25% of dividend payers in the US market (1.38%).

High Dividend: LYB's dividend (4.59%) is in the top 25% of dividend payers in the US market (3.85%)


Stability and Growth of Payments

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

Growing Dividend: LYB's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (119.3%), LYB's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: LYB's dividends in 3 years are forecast to be well covered by earnings (41.4% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.5yrs

Average management tenure


CEO

Bob Patel (53 yo)

6yrs

Tenure

US$15,943,313

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 ($USD15.94M) is above average for companies of similar size in the US market ($USD10.57M).

Compensation vs Earnings: Bob's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Bhavesh Patel
CEO & Director6yrsUS$15.94m0.083%
$ 25.2m
Michael McMurray
Executive VP & CFO1.17yrsUS$4.82m0.0015%
$ 452.1k
Torkel Rhenman
Executive Vice President of Intermediates1.5yrsUS$2.77m0.0030%
$ 907.2k
Kenneth Lane
Executive Vice President of Global Olefins & Polyolefins1.5yrsUS$4.08m0.0024%
$ 736.2k
Jacinth Smiley
VP & Chief Accounting Officer2.75yrsno data0.00026%
$ 79.4k
James Seward
Senior Vice President of Research & Development1.5yrsno data0.0027%
$ 827.8k
Kathy VanLandingham
Chief Information Officer0.75yrno datano data
David Kinney
Head of Investor Relationsno datano datano data
Jeffrey Kaplan
Executive VP & Chief Legal Officer5.83yrsUS$3.42m0.0074%
$ 2.3m
Dale Friedrichs
Senior Vice President of Human Resources & Global Projects1.25yrsno data0.0012%
$ 366.6k
Michael VanDerSnick
Senior Vice President of Americas Manufacturing8.5yrsno datano data
Richard Roudeix
Senior Vice President of Olefins & Polyolefins5.83yrsno data0.0019%
$ 583.4k

1.5yrs

Average Tenure

55yo

Average Age

Experienced Management: LYB's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Bhavesh Patel
CEO & Director6yrsUS$15.94m0.083%
$ 25.2m
Stephen Cooper
Independent Director10.5yrsUS$321.24k0.0095%
$ 2.9m
Claire Farley
Independent Director6.92yrsUS$342.53k0.0040%
$ 1.2m
Nance Dicciani
Independent Director7.33yrsUS$354.34k0.0066%
$ 2.0m
Jacques Alfred Aigrain
Independent Chairman2.33yrsUS$685.94k0.0035%
$ 1.1m
Robin William Buchanan
Independent Director9.67yrsUS$314.55k0.013%
$ 3.9m
Jagjeet Bindra
Independent Director9.67yrsUS$332.04k0.0040%
$ 1.2m
Isabella Goren
Independent Director6.92yrsUS$332.04k0.0025%
$ 775.9k
Albert Manifold
Independent Director1.67yrsUS$257.50k0.00063%
$ 192.4k
Michael Hanley
Independent Director2.17yrsUS$339.57k0.00041%
$ 125.2k
Lincoln Benet
Independent Director5.58yrsUS$325.07k0.0014%
$ 442.9k

6.9yrs

Average Tenure

61yo

Average Age

Experienced Board: LYB's board of directors are considered experienced (6.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: LYB insiders have only sold shares 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$30.547b
  • Shares outstanding: 333.92m
  • Website: https://www.lyondellbasell.com

Number of Employees


Location

  • LyondellBasell Industries N.V.
  • 1221 McKinney Street
  • Suite 300
  • Houston
  • Texas
  • 77010
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LYBNYSE (New York Stock Exchange)YesClass A Ordinary SharesUSUSDApr 2010
DLYDB (Deutsche Boerse AG)YesClass A Ordinary SharesDEEURApr 2010
LYB NBMV (Bolsa Mexicana de Valores)YesClass A Ordinary SharesMXMXNApr 2010
0EDDLSE (London Stock Exchange)YesClass A Ordinary SharesGBUSDApr 2010
L1YB34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 2 REPR 1 SHS UNSPONBRBRLJan 2020

Biography

LyondellBasell Industries N.V. operates as a chemical company in the United States, Germany, Mexico, Italy, France, Japan, China, the Netherlands, and internationally. The company operates in six segments:...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/23 23:42
End of Day Share Price2021/01/22 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


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.