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Cabot Microelectronics

Nasdaq:CCMP
Snowflake Description

Reasonable growth potential with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CCMP
Nasdaq
$4B
Market Cap
  1. Home
  2. US
  3. Semiconductors
Company description

Cabot Microelectronics Corporation, together with its subsidiaries, develops, manufactures, and sells polishing slurries and pads used in the manufacture of advanced integrated circuit (IC) devices in the semiconductor industry in chemical mechanical planarization (CMP) process. The last earnings update was 69 days ago. More info.


Add to Portfolio Compare Print
  • Cabot Microelectronics has significant price volatility in the past 3 months.
CCMP Share Price and Events
7 Day Returns
3%
NasdaqGS:CCMP
3.5%
US Semiconductor
-0.3%
US Market
1 Year Returns
21.5%
NasdaqGS:CCMP
13.5%
US Semiconductor
7%
US Market
CCMP Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Cabot Microelectronics (CCMP) 3% 14.5% 30.3% 21.5% 202.7% 186.4%
US Semiconductor 3.5% 7.5% 24.1% 13.5% 104.3% 129.3%
US Market -0.3% 2% 8.5% 7% 37.7% 46.8%
1 Year Return vs Industry and Market
  • CCMP outperformed the Semiconductor industry which returned 13.5% over the past year.
  • CCMP outperformed the Market in United States of America which returned 7% over the past year.
Price Volatility
CCMP
Industry
5yr Volatility vs Market
Related Companies

CCMP Value

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

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Cabot Microelectronics to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Cabot Microelectronics.

NasdaqGS:CCMP Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 3 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 10.3%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGS:CCMP
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Semiconductor Unlevered Beta Simply Wall St/ S&P Global 1.14
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.136 (1 + (1- 21%) (28.47%))
1.262
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.26
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.262 * 5.96%)
10.25%

Discounted Cash Flow Calculation for NasdaqGS:CCMP using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Cabot Microelectronics is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NasdaqGS:CCMP DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 10.25%)
2019 187.25 Analyst x2 169.84
2020 238.20 Analyst x3 195.96
2021 280.00 Est @ 17.55% 208.93
2022 316.70 Est @ 13.1% 214.33
2023 348.34 Est @ 9.99% 213.83
2024 375.56 Est @ 7.81% 209.10
2025 399.17 Est @ 6.29% 201.58
2026 420.01 Est @ 5.22% 192.38
2027 438.80 Est @ 4.47% 182.29
2028 456.14 Est @ 3.95% 171.87
Present value of next 10 years cash flows $1,960.11
NasdaqGS:CCMP DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $456.14 × (1 + 2.73%) ÷ (10.25% – 2.73%)
$6,229.19
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $6,229.19 ÷ (1 + 10.25%)10
$2,347.18
NasdaqGS:CCMP Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $1,960.11 + $2,347.18
$4,307.29
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $4,307.29 / 28.96
$148.73
NasdaqGS:CCMP Discount to Share Price
Calculation Result
Value per share (USD) From above. $148.73
Current discount Discount to share price of $126.74
= -1 x ($126.74 - $148.73) / $148.73
14.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Cabot Microelectronics is available for.
Intrinsic value
15%
Share price is $126.74 vs Future cash flow value of $148.73
Current Discount Checks
For Cabot Microelectronics to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Cabot Microelectronics's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Cabot Microelectronics's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Cabot Microelectronics's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Cabot Microelectronics's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:CCMP PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $4.87
NasdaqGS:CCMP Share Price ** NasdaqGS (2019-04-18) in USD $126.74
United States of America Semiconductor Industry PE Ratio Median Figure of 69 Publicly-Listed Semiconductor Companies 20.24x
United States of America Market PE Ratio Median Figure of 3,081 Publicly-Listed Companies 18.18x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Cabot Microelectronics.

NasdaqGS:CCMP PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:CCMP Share Price ÷ EPS (both in USD)

= 126.74 ÷ 4.87

26.04x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Cabot Microelectronics is overvalued based on earnings compared to the US Semiconductor industry average.
  • Cabot Microelectronics is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Cabot Microelectronics's expected growth come at a high price?
Raw Data
NasdaqGS:CCMP PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 26.04x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts
20.1%per year
United States of America Semiconductor Industry PEG Ratio Median Figure of 64 Publicly-Listed Semiconductor Companies 1.15x
United States of America Market PEG Ratio Median Figure of 2,109 Publicly-Listed Companies 1.56x

*Line of best fit is calculated by linear regression .

NasdaqGS:CCMP PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 26.04x ÷ 20.1%

1.3x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Cabot Microelectronics is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Cabot Microelectronics's assets?
Raw Data
NasdaqGS:CCMP PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $37.12
NasdaqGS:CCMP Share Price * NasdaqGS (2019-04-18) in USD $126.74
United States of America Semiconductor Industry PB Ratio Median Figure of 107 Publicly-Listed Semiconductor Companies 2.84x
United States of America Market PB Ratio Median Figure of 5,184 Publicly-Listed Companies 1.91x
NasdaqGS:CCMP PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:CCMP Share Price ÷ Book Value per Share (both in USD)

= 126.74 ÷ 37.12

3.41x

* Primary Listing of Cabot Microelectronics.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Cabot Microelectronics is overvalued based on assets compared to the US Semiconductor industry average.
X
Value checks
We assess Cabot Microelectronics's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Semiconductor industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Semiconductor industry average (and greater than 0)? (1 check)
  5. Cabot Microelectronics has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

CCMP Future Performance

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

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
20.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Cabot Microelectronics expected to grow at an attractive rate?
  • Cabot Microelectronics's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Cabot Microelectronics's earnings growth is expected to exceed the United States of America market average.
  • Cabot Microelectronics's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:CCMP Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:CCMP Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts 20.1%
NasdaqGS:CCMP Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 3 Analysts 13.3%
United States of America Semiconductor Industry Earnings Growth Rate Market Cap Weighted Average 11.4%
United States of America Semiconductor Industry Revenue Growth Rate Market Cap Weighted Average 5.4%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.4%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGS:CCMP Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:CCMP Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-09-30 1,594 460 404 1
2022-09-30 1,478 414 356 1
2021-09-30 1,358 372 303 1
2020-09-30 1,219 300 253 3
2019-09-30 1,076 252 2
NasdaqGS:CCMP Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 672 152 126
2018-09-30 590 169 110
2018-06-30 570 155 88
2018-03-31 548 151 73
2017-12-31 524 147 61
2017-09-30 507 141 87
2017-06-30 493 127 81
2017-03-31 473 120 80
2016-12-31 453 113 70
2016-09-30 430 95 59
2016-06-30 408 82 51
2016-03-31 397 82 43

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Cabot Microelectronics's earnings are expected to grow significantly at over 20% yearly.
  • Cabot Microelectronics's revenue is expected to grow by 13.3% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGS:CCMP Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below

All data from Cabot Microelectronics Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:CCMP Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-09-30 14.05 14.05 14.05 1.00
2022-09-30 12.15 12.15 12.15 1.00
2021-09-30 10.20 10.20 10.20 1.00
2020-09-30 8.01 8.45 7.56 2.00
2019-09-30 6.12 6.65 5.58 2.00
NasdaqGS:CCMP Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 4.87
2018-09-30 4.31
2018-06-30 3.47
2018-03-31 2.88
2017-12-31 2.44
2017-09-30 3.47
2017-06-30 3.27
2017-03-31 3.26
2016-12-31 2.91
2016-09-30 2.47
2016-06-30 2.13
2016-03-31 1.76

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Cabot Microelectronics will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Cabot Microelectronics's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Cabot Microelectronics has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

CCMP Past Performance

  How has Cabot Microelectronics performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Cabot Microelectronics's growth in the last year to its industry (Semiconductor).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Cabot Microelectronics's year on year earnings growth rate has been positive over the past 5 years.
  • Cabot Microelectronics's 1-year earnings growth exceeds its 5-year average (105.6% vs 15.9%)
  • Cabot Microelectronics's earnings growth has exceeded the US Semiconductor industry average in the past year (105.6% vs 43.1%).
Earnings and Revenue History
Cabot Microelectronics's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Cabot Microelectronics Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:CCMP Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 671.92 126.44 105.86 53.84
2018-09-30 590.12 109.92 93.98 51.95
2018-06-30 570.18 88.19 94.02 53.28
2018-03-31 547.70 72.95 91.01 53.69
2017-12-31 523.90 61.50 89.09 53.55
2017-09-30 507.18 86.70 86.48 54.80
2017-06-30 493.08 80.87 82.62 55.80
2017-03-31 473.27 79.57 78.30 55.26
2016-12-31 453.33 70.44 75.30 56.10
2016-09-30 430.45 59.49 77.16 57.53
2016-06-30 407.90 51.32 75.87 57.55
2016-03-31 396.92 42.55 77.52 59.39
2015-12-31 402.53 47.16 77.94 59.59
2015-09-30 414.10 55.66 77.41 59.78
2015-06-30 430.30 59.14 75.90 59.97
2015-03-31 441.49 62.51 75.13 60.57
2014-12-31 436.09 58.81 72.60 59.80
2014-09-30 424.67 50.31 71.85 59.35
2014-06-30 424.60 49.73 72.48 60.14
2014-03-31 426.21 52.61 71.86 59.92
2013-12-31 427.11 53.55 73.64 60.63
2013-09-30 433.13 52.07 74.27 61.37
2013-06-30 427.49 48.38 72.38 60.94
2013-03-31 433.20 45.54 73.28 61.21
2012-12-31 432.07 40.11 76.56 60.20
2012-09-30 427.66 39.70 78.74 58.64
2012-06-30 426.77 38.48 80.38 57.93

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Cabot Microelectronics has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Cabot Microelectronics used its assets less efficiently than the US Semiconductor industry average last year based on Return on Assets.
  • Cabot Microelectronics's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Cabot Microelectronics's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Semiconductor industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Cabot Microelectronics has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

CCMP Health

 How is Cabot Microelectronics's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Cabot Microelectronics's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Cabot Microelectronics is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Cabot Microelectronics's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Cabot Microelectronics's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is not covered by short term assets, assets are 0.5x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Cabot Microelectronics Company Filings, last reported 3 months ago.

NasdaqGS:CCMP Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 1,008.17 1,044.83 208.88
2018-09-30 666.69 0.00 352.92
2018-06-30 634.18 0.00 310.58
2018-03-31 635.51 137.71 461.85
2017-12-31 601.67 140.72 425.68
2017-09-30 595.04 143.94 397.89
2017-06-30 575.02 147.15 363.90
2017-03-31 557.61 150.37 343.68
2016-12-31 513.36 154.68 305.71
2016-09-30 497.65 155.27 287.48
2016-06-30 458.97 158.55 243.09
2016-03-31 437.13 160.51 226.39
2015-12-31 436.11 161.88 218.12
2015-09-30 428.96 164.58 354.19
2015-06-30 417.41 166.25 338.69
2015-03-31 418.35 168.45 333.65
2014-12-31 383.05 170.63 295.43
2014-09-30 372.00 172.81 284.16
2014-06-30 364.54 175.00 265.52
2014-03-31 360.32 157.50 239.15
2013-12-31 362.61 159.69 246.46
2013-09-30 323.44 161.88 226.03
2013-06-30 302.82 166.25 201.61
2013-03-31 290.14 168.44 188.35
2012-12-31 285.13 168.44 169.62
2012-09-30 283.59 172.83 178.46
2012-06-30 269.61 175.02 166.90
  • Cabot Microelectronics's level of debt (103.6%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (44% vs 103.6% today).
  • Debt is not well covered by operating cash flow (14.5%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 45.4x coverage).
X
Financial health checks
We assess Cabot Microelectronics's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Cabot Microelectronics has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

CCMP Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.33%
Current annual income from Cabot Microelectronics dividends. Estimated to be 1.37% next year.
If you bought $2,000 of Cabot Microelectronics shares you are expected to receive $27 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Cabot Microelectronics's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.39%).
  • Cabot Microelectronics's dividend is below the markets top 25% of dividend payers in United States of America (3.62%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGS:CCMP Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
United States of America Semiconductor Industry Average Dividend Yield Market Cap Weighted Average of 32 Stocks 2.1%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2009 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGS:CCMP Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-09-30 2.20 1.00
2022-09-30 2.00 1.00
2021-09-30 1.70 2.00
2020-09-30 1.64 3.00
2019-09-30 1.61 3.00
NasdaqGS:CCMP Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-03-06 1.680 1.460
2018-12-07 1.600 1.633
2018-09-26 1.600 1.601
2018-06-12 1.600 1.423
2018-03-06 1.600 1.457
2017-12-11 0.800 0.814
2017-09-13 0.800 0.916
2017-06-06 0.800 1.085
2017-03-07 0.800 1.073
2016-12-08 0.720 1.093
2016-09-23 0.720 1.294
2016-06-07 0.720 1.526
2016-01-07 0.720 1.787

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Whilst dividend payments have been stable, Cabot Microelectronics has been paying a dividend for less than 10 years.
  • Dividend payments have increased, but Cabot Microelectronics only paid a dividend in the past 3 years.
Current Payout to shareholders
What portion of Cabot Microelectronics's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (6.3x coverage).
X
Income/ dividend checks
We assess Cabot Microelectronics's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Cabot Microelectronics afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Cabot Microelectronics has a total score of 2/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

CCMP Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
David Li
COMPENSATION $5,481,551
AGE 45
TENURE AS CEO 4.3 years
CEO Bio

Mr. David H. Li has been the Chief Executive Officer and President of Cabot Microelectronics Corporation since January 01, 2015. Mr. Li served as the Vice President of Asia Pacific Region at Cabot Microelectronics Corporation since June 2008 until December 2014. He has been Director of KMG Chemicals, Inc. since November 15, 2018. Mr. Li served as Director of Investor Relations at Cabot Microelectronics Corp. He served as Managing Director of Korea and China at Cabot Microelectronics Corp since February 2007. Previously, Mr. Li served as Global Business Director for Tungsten and Advanced Dielectrics from 2005 to February 2007 at Cabot Microelectronics Corp. Mr. Li held a variety of leadership positions for Cabot Microelectronics Corp. in operations, sourcing and investor relations from 1998 to 2005. Prior to joining Cabot Microelectronics Corp., he worked for UOP in Marketing and Process Engineering. He has been a Director of Cabot Microelectronics Corporation since January 1, 2015. Mr. Li received a B.S. in Chemical Engineering from Purdue University and an M.B.A. from Northwestern University - Kellogg School of Management.

CEO Compensation
  • David's compensation has increased by more than 20% in the past year.
  • David's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Cabot Microelectronics management team in years:

2.9
Average Tenure
48
Average Age
  • The tenure for the Cabot Microelectronics management team is about average.
Management Team

David Li

TITLE
President
COMPENSATION
$5M
AGE
45
TENURE
4.3 yrs

Scott Beamer

TITLE
VP & CFO
COMPENSATION
$3M
AGE
47
TENURE
1.3 yrs

H. Bernstein

TITLE
VP, Secretary & General Counsel
COMPENSATION
$2M
AGE
58
TENURE
18.7 yrs

Daniel Woodland

TITLE
VP & President of Electronic Materials
COMPENSATION
$2M
AGE
48
TENURE
1.5 yrs

Thomas Roman

TITLE
Principal Accounting Officer & Corporate Controller
AGE
57
TENURE
15.2 yrs

Ananth Naman

TITLE
VP of Asia Pacific Region & CTO
COMPENSATION
$2M
AGE
48
TENURE
4.3 yrs

Colleen Mumford

TITLE
Director of Investor Relations

Eleanor Thorp

TITLE
Vice President of Human Resources
AGE
44
TENURE
0.6 yrs

Jeffrey Dysard

TITLE
VP and President of Performance Materials
TENURE
0.3 yrs

Yumiko Damashek

TITLE
Vice President
AGE
62
Board of Directors Tenure

Average tenure and age of the Cabot Microelectronics board of directors in years:

4.3
Average Tenure
62
Average Age
  • The tenure for the Cabot Microelectronics board of directors is about average.
Board of Directors

Bill Noglows

TITLE
Chairman of the Board
COMPENSATION
$335K
AGE
60
TENURE
15.4 yrs

David Li

TITLE
President
COMPENSATION
$5M
AGE
45
TENURE
4.3 yrs

Barb Klein

TITLE
Director
COMPENSATION
$310K
AGE
63
TENURE
11 yrs

Rick Hill

TITLE
Director
COMPENSATION
$310K
AGE
66
TENURE
6.8 yrs

Susan Whitney

TITLE
Director
COMPENSATION
$310K
AGE
68
TENURE
4 yrs

Geoff Wild

TITLE
Director
COMPENSATION
$285K
AGE
62
TENURE
3.6 yrs

Paul Reilly

TITLE
COMPENSATION
$285K
AGE
61
TENURE
2.1 yrs
Who owns this company?
Recent Insider Trading
  • Cabot Microelectronics insiders have only sold shares in the past 3 months, but not in substantial volumes.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
22. Feb 19 Sell Jeffrey Dysard Individual 21. Feb 19 21. Feb 19 -377 $104.52 $-39,451
13. Dec 18 Sell Ananth Naman Individual 10. Dec 18 11. Dec 18 -5,438 $97.10 $-522,647
10. Dec 18 Sell Ananth Naman Individual 10. Dec 18 10. Dec 18 -1,500 $97.04 $-145,555
11. Jun 18 Sell Ananth Naman Individual 11. Jun 18 11. Jun 18 -3,034 $116.39 $-352,945
X
Management checks
We assess Cabot Microelectronics's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Cabot Microelectronics has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

CCMP News

Simply Wall St News

Is Cabot Microelectronics Corporation (NASDAQ:CCMP) Overpaying Its CEO?

First, this article will compare CEO compensation with compensation at similar sized companies. … How Does David Li's Compensation Compare With Similar Sized Companies. … Our data indicates that Cabot Microelectronics Corporation is worth US$3.7b, and total annual CEO compensation is US$5.5m.

Simply Wall St -

Did Cabot Microelectronics Corporation (NASDAQ:CCMP) Insiders Sell Shares?

So we'll take a look at whether insiders have been buying or selling shares in Cabot Microelectronics Corporation (NASDAQ:CCMP). … Cabot Microelectronics Insider Transactions Over The Last Year. … In the last year Cabot Microelectronics insiders didn't buy any company stock

Simply Wall St -

Announcing: Cabot Microelectronics (NASDAQ:CCMP) Stock Increased An Energizing 170% In The Last Three Years

For instance the Cabot Microelectronics Corporation (NASDAQ:CCMP) share price is 170% higher than it was three years ago. … During three years of share price growth, Cabot Microelectronics achieved compound earnings per share growth of 36% per year. … We don't think it is entirely coincidental that the EPS growth is reasonably close to the 39% average annual increase in the share price.

Simply Wall St -

Only 2 Days Left To Cash In On Cabot Microelectronics Corporation (NASDAQ:CCMP) Dividend

On the 30 April 2019, Cabot Microelectronics Corporation (NASDAQ:CCMP) will be paying shareholders an upcoming dividend amount of US$0.42 per share. … Investors looking for higher income-generating stocks to add to their portfolio should keep reading, as I take a deeper dive into Cabot Microelectronics's latest financial data to analyse its dividend attributes. … When assessing a stock as a potential addition to my dividend Portfolio, I look at these five areas:?

Simply Wall St -

Should You Be Tempted To Sell Cabot Microelectronics Corporation (NASDAQ:CCMP) Because Of Its P/E Ratio?

The goal of this article is to teach you how to use price to earnings ratios (P/E ratios). … We'll look at Cabot Microelectronics Corporation's (NASDAQ:CCMP) P/E ratio and reflect on what it tells us about the company's share price. … Cabot Microelectronics has a price to earnings ratio of 23.15, based on the last twelve months.

Simply Wall St -

A Closer Look At Cabot Microelectronics Corporation's (NASDAQ:CCMP) Uninspiring ROE

Our data shows Cabot Microelectronics has a return on equity of 13% for the last year. … That means that for every $1 worth of shareholders' equity, it generated $0.13 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Is Cabot Microelectronics Corporation (NASDAQ:CCMP) An Attractive Dividend Stock?

Dividends can be underrated but they form a large part of investment returns, playing an important role in compounding returns in the long run. … Cabot Microelectronics Corporation (NASDAQ:CCMP) has recently paid dividends to shareholders, and currently yields 1.6%. … Let's dig deeper into whether Cabot Microelectronics should have a place in your portfolio.

Simply Wall St -

At US$97.29, Is It Time To Put Cabot Microelectronics Corporation (NASDAQ:CCMP) On Your Watch List?

Cabot Microelectronics Corporation (NASDAQ:CCMP), which is in the semiconductor business, and is based in United States,. … As a US$2.8b market cap stock, it seems odd Cabot Microelectronics is not more well-covered by analysts. … Today I will analyse the most recent data on Cabot Microelectronics’s outlook and valuation to see if the opportunity still exists

Simply Wall St -

Top Bear Market Investment: Cabot Microelectronics Corporation (NASDAQ:CCMP)

The risk of investing in the stock market is a systematic crash. … This is the best time to buy stocks like Cabot Microelectronics Corporation at a discount. … Cabot Microelectronics Corporation, together with its subsidiaries, develops, manufactures, and sells polishing slurries and pads used in the manufacture of advanced integrated circuit (IC) devices in the semiconductor industry in chemical mechanical planarization (CMP) process

Simply Wall St -

Is Cabot Microelectronics Corporation’s (NASDAQ:CCMP) 25% ROCE Any Good?

Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … What is Return On Capital Employed (ROCE)? … Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities)

Simply Wall St -

CCMP Company Info

Description

Cabot Microelectronics Corporation, together with its subsidiaries, develops, manufactures, and sells polishing slurries and pads used in the manufacture of advanced integrated circuit (IC) devices in the semiconductor industry in chemical mechanical planarization (CMP) process. It provides CMP slurries, which are liquid solutions composed of high-purity deionized water, proprietary chemical additives, and engineered abrasives that chemically and mechanically interact with the surface material of the IC device at an atomic level; and CMP pads that are engineered polymeric materials designed to distribute and transport the slurry to the surface of the wafer and distribute it evenly across the wafer. The company’s CMP slurries are used for polishing various materials that conduct electrical signals, including tungsten, copper, tantalum, and aluminum; and various materials that are used in the production of rigid disks and magnetic heads for hard disk drives, as well as used in the dielectric insulating materials that separate conductive layers within logic and memory IC devices. It also designs and produces precision polishing and metrology systems to attain near-perfect shape and surface finish on various optical components, such as mirrors, lenses, and prisms. It serves the producers of logic IC devices or memory IC devices, and providers of IC foundry services directly, as well as through distributors. Cabot Microelectronics Corporation was founded in 1999 and is headquartered in Aurora, Illinois.

Details
Name: Cabot Microelectronics Corporation
CCMP
Exchange: NasdaqGS
Founded: 1999
$3,670,390,400
28,960,000
Website: http://www.cabotcmp.com
Address: Cabot Microelectronics Corporation
870 North Commons Drive,
Aurora,
Illinois, 60504,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS CCMP Common Stock Nasdaq Global Select US USD 04. Apr 2000
DB CTD Common Stock Deutsche Boerse AG DE EUR 04. Apr 2000
BST CTD Common Stock Boerse-Stuttgart DE EUR 04. Apr 2000
Number of employees
Current staff
Staff numbers
1,219
Cabot Microelectronics employees.
Industry
Semiconductor Equipment
Semiconductors
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/21 23:33
End of day share price update: 2019/04/18 00:00
Last estimates confirmation: 2019/04/15
Last earnings filing: 2019/02/11
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/09/30


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.