Balchem Corporation
Find Ratings ReportsBALCHEM CORP's gross profit margin for the fourth quarter of its fiscal year 2023 has increased when compared to the same period a year ago. Even though sales decreased, the net income has increased, representing an increase to the bottom line. BALCHEM CORP has average liquidity. Currently, the Quick Ratio is 1.28 which shows that technically this company has the ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year.
During the same period, stockholders' equity ("net worth") has increased by 12.33% from the same quarter last year. Together, the key liquidity measurements indicate that it is relatively unlikely that the company will face financial difficulties in the near future.
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Income Statement | Q4 FY23 | Q4 FY22 |
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Net Sales ($mil) | 228.7 | 232.53 |
EBITDA ($mil) | 51.2 | 49.33 |
EBIT ($mil) | 37.14 | 35.44 |
Net Income ($mil) | 26.65 | 21.41 |
Balance Sheet | Q4 FY23 | Q4 FY22 |
---|---|---|
Cash & Equiv. ($mil) | 64.45 | 66.56 |
Total Assets ($mil) | 1597.21 | 1624.51 |
Total Debt ($mil) | 330.33 | 460.61 |
Equity ($mil) | 1053.98 | 938.28 |
Profitability | Q4 FY23 | Q4 FY22 |
---|---|---|
Gross Profit Margin | 36.26 | 33.15 |
EBITDA Margin | 22.38 | 21.21 |
Operating Margin | 16.24 | 15.24 |
Sales Turnover | 0.58 | 0.58 |
Return on Assets | 6.79 | 6.48 |
Return on Equity | 10.3 | 11.23 |
Debt | Q4 FY23 | Q4 FY22 |
---|---|---|
Current Ratio | 2.12 | 2.4 |
Debt/Capital | 0.24 | 0.33 |
Interest Expense | 5.29 | 5.69 |
Interest Coverage | 7.02 | 6.23 |
Share Data | Q4 FY23 | Q4 FY22 |
---|---|---|
Shares outstanding (mil) | 32.26 | 32.15 |
Div / share | 0.79 | 0.71 |
EPS | 0.82 | 0.66 |
Book value / share | 32.68 | 29.18 |
Institutional Own % | n/a | n/a |
Avg Daily Volume | 114802.0 | 95217.0 |
BUY. The current P/E ratio indicates a significant discount compared to an average of 85.83 for the Chemical Manufacturing subsector and a significant premium compared to the S&P 500 average of 27.95. To use another comparison, its price-to-book ratio of 4.71 indicates valuation on par with the S&P 500 average of 4.68 and a significant discount versus the subsector average of 19.07. The price-to-sales ratio is well above the S&P 500 average, but well below the subsector average. Upon assessment of these and other key valuation criteria, BALCHEM CORP proves to trade at a discount to investment alternatives.
Price/Earnings |
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Price/Cash Flow |
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BCPC 45.97 | Peers 85.83 | BCPC 27.03 | Peers 38.76 | |||||||||||||||||||||
Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations. BCPC is trading at a significant discount to its peers. |
Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. BCPC is trading at a significant discount to its peers. |
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Price/Projected Earnings |
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Price to Earnings/Growth |
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BCPC 32.11 | Peers 18.08 | BCPC 1.67 | Peers 1.16 | |||||||||||||||||||||
Premium. A higher price-to-projected earnings ratio than its peers can signify a more expensive stock or higher future growth expectations. BCPC is trading at a significant premium to its peers. |
Premium. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. BCPC trades at a significant premium to its peers. |
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Price/Book |
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Earnings Growth |
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BCPC 4.71 | Peers 19.07 | BCPC 3.07 | Peers 12.58 | |||||||||||||||||||||
Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. BCPC is trading at a significant discount to its peers. |
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. However, BCPC is expected to significantly trail its peers on the basis of its earnings growth rate. |
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Price/Sales |
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Sales Growth |
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BCPC 5.38 | Peers 84.44 | BCPC -2.12 | Peers 42.35 | |||||||||||||||||||||
Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. BCPC is trading at a significant discount to its subsector on this measurement. |
Lower. A sales growth rate that trails the subsector implies that a company is losing market share. BCPC significantly trails its peers on the basis of sales growth. |
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