![ASH Logo](data:image/svg+xml,<svg xmlns='http://www.w3.org/2000/svg' width='18' height='18'><defs><linearGradient id="a" x1="3.349" x2="21.904" y1="3.122" y2="24.434" gradientUnits="userSpaceOnUse"><stop stop-color="%231A1E21"/><stop offset="1" stop-color="%2306060A"/></linearGradient></defs><path fill="url(%23a)" d="M0 0h18v18H0z"/><text x='50%' y='52%' dominant-baseline='middle' text-anchor='middle' font-size='5' font-family='sans-serif' fill='gray'>ASH</text></svg>)
Ashland Inc.
ASH
Wholesale-Chemicals & Allied Products
Mkt Cap
$4.989BPE
25.85Debt
$1.34BCash
$439MEV
$5.89BFCF
$340MP/E Ratio
25.85Debt
$1.34BCash
$439MEV
$5.89BFCF
$340MCharts data: {"Earnings":[{"time":"2014-09-29","value":233000000},{"time":"2015-09-29","value":309000000},{"time":"2016-09-29","value":-29000000},{"time":"2017-09-29","value":1000000},{"time":"2018-09-29","value":114000000},{"time":"2019-09-29","value":505000000},{"time":"2020-09-29","value":-508000000},{"time":"2021-09-29","value":220000000},{"time":"2022-09-29","value":927000000},{"time":"2023-09-29","value":178000000}],"Sales":[{"time":"2014-09-29","value":6121000000},{"time":"2015-09-29","value":5387000000},{"time":"2016-09-29","value":4948000000},{"time":"2017-09-29","value":3260000000},{"time":"2018-09-29","value":3743000000},{"time":"2019-09-29","value":2493000000},{"time":"2020-09-29","value":2326000000},{"time":"2021-09-29","value":2111000000},{"time":"2022-09-29","value":2391000000},{"time":"2023-09-29","value":2191000000}],"Net Margins":[{"time":"2014-09-29","value":0.03806567554321189},{"time":"2015-09-29","value":0.05736031186188974},{"time":"2016-09-29","value":-0.005860953920776071},{"time":"2017-09-29","value":0.00030674846625766873},{"time":"2018-09-29","value":0.030456852791878174},{"time":"2019-09-29","value":0.20256718812675492},{"time":"2020-09-29","value":-0.21840068787618228},{"time":"2021-09-29","value":0.10421601136901942},{"time":"2022-09-29","value":0.3877038895859473},{"time":"2023-09-29","value":0.08124144226380649}],"Assets":[{"time":"2014-09-29","value":10907000000},{"time":"2015-09-29","value":10054000000},{"time":"2016-09-29","value":9697000000},{"time":"2017-09-29","value":8618000000},{"time":"2018-09-29","value":8252000000},{"time":"2019-09-29","value":7251000000},{"time":"2020-09-29","value":6877000000},{"time":"2021-09-29","value":6612000000},{"time":"2022-09-29","value":6213000000},{"time":"2023-09-29","value":5939000000}],"Stockholders Equity":[{"time":"2014-09-29","value":3583000000},{"time":"2015-09-29","value":3037000000},{"time":"2016-09-29","value":3347000000},{"time":"2017-09-29","value":3406000000},{"time":"2018-09-29","value":3406000000},{"time":"2019-09-29","value":3571000000},{"time":"2020-09-29","value":3036000000},{"time":"2021-09-29","value":2752000000},{"time":"2022-09-29","value":3220000000},{"time":"2023-09-29","value":3097000000}],"ROE":[{"time":"2014-09-29","value":0.06502930505163271},{"time":"2015-09-29","value":0.10174514323345407},{"time":"2016-09-29","value":-0.008664475649835674},{"time":"2017-09-29","value":0.0002935995302407516},{"time":"2018-09-29","value":0.03347034644744568},{"time":"2019-09-29","value":0.14141697003640435},{"time":"2020-09-29","value":-0.1673254281949934},{"time":"2021-09-29","value":0.07994186046511628},{"time":"2022-09-29","value":0.287888198757764},{"time":"2023-09-29","value":0.05747497578301582}],"ROA":[{"time":"2014-09-29","value":0.004217475016044742},{"time":"2015-09-29","value":0.04555400835488363},{"time":"2016-09-29","value":0.03372176961946994},{"time":"2017-09-29","value":0.0164771408679508},{"time":"2018-09-29","value":0.03029568589432865},{"time":"2019-09-29","value":0.0253758102330713},{"time":"2020-09-29","value":-0.05641995055983714},{"time":"2021-09-29","value":0.030852994555353903},{"time":"2022-09-29","value":0.053597295992274266},{"time":"2023-09-29","value":0.028961104563057755}]}
Ashland Inc. provides additives and specialty ingredients worldwide. It operates through Life Sciences, Personal Care, Specialty Additives, and Intermediates segments. The Life Sciences segment offers pharmaceutical solutions, including controlled release polymers, disintegrants, tablet coatings, thickeners, solubilizers, and tablet binders; nutrition solutions, such as thickeners, stabilizers, emulsifiers, and additives; and nutraceutical solutions comprising products for weight management, joint comfort, stomach and intestinal health, sports nutrition, and general wellness, as well as custom formulation, toll processing, and particle engineering solutions. The Personal Care segment provides a range of nature-based, biodegradable, and performance ingredients; solutions for toothpastes, mouth washes and rinses, denture cleaning, and care for teeth; and household supplies nature-derived rheology ingredients, biodegradable surface wetting agents, performance encapsulates, and specialty polymers. The Specialty Additives segment offers rheology modifiers, foam control agents, surfactants and wetting agents, pH neutralizers, advanced ceramics used in catalytic converters, environmental filters, ingredients for the manufacturing of ceramic capacitors, plasma display panels and solar cells, ingredients for textile printing, thermoplastic metals, and alloys for welding. The Intermediates segment produces 1,4 butanediol and related derivatives, including n-methylpyrrolidone. It offers its products to customers in a range of consumer and industrial markets, such as architectural coatings, construction, energy, food and beverage, nutraceuticals, personal care, and pharmaceutical. The company was formerly known as Ashland Global Holdings Inc. and changed its name to Ashland Inc. in August 2022. Ashland Inc. was founded in 1924 and is headquartered in Wilmington, Delaware.
Sector
DCF
Discounted Cash Flow Valuation of Ashland Inc.
Value
Growth
%
%
Discount
%
%
Multiple
| g\r | +10% | +11% | +12% | +13% | +14% |
|---|---|---|---|---|---|
| 0% | 10 | 9 | 8 | 8 | 7 |
| +1% | 11 | 10 | 9 | 8 | 8 |
| +2% | 13 | 11 | 10 | 9 | 8 |
| +3% | 14 | 13 | 11 | 10 | 9 |
| +4% | 17 | 14 | 12 | 11 | 10 |
| Years | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | TV |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FCF | $340M | $349M | $358.2M | $367.6M | $377.3M | $387.3M | $397.5M | $408M | $418.8M | $429.8M | $441.1M | $4.411B |
| DCF | $303.5M | $270.8M | $241.7M | $215.7M | $192.5M | $171.9M | $153.4M | $136.9M | $122.2M | $109M | $1.09B | |
| Value | $3.008B | |||||||||||
In the chart Earnings are multiplied by this value.
Earnings Growth 36%
Earnings Stability -26%
Competitiveness and MOAT
High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.
| Years | 09-2015 | 09-2016 | 09-2017 | 09-2018 | 09-2019 | 09-2020 | 09-2021 | 09-2022 | 09-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Margin | 5.7% | -0.59% | 0.031% | 3% | 20% | -22% | 10% | 39% | 8.1% | 9.1% |
| ROA | 4.6% | 3.4% | 1.6% | 3% | 2.5% | -5.6% | 3.1% | 5.4% | 2.9% | 0.87% |
| ROE | 10% | -0.87% | 0.029% | 3.3% | 14% | -17% | 8% | 29% | 5.7% | 6.2% |
What is the average Net Margin?
The average Net Margin over the past 5 years is +9.8%.
What is the trend of Net Margin?
The trend of Net Margin over the past 5 years is +3.23%.
What is the average Return on Assets (ROA)?
The average ROA over the past 5 years is +1.88%.
What is the trend of Return on Assets (ROA)?
The trend of ROA over the past 5 years is +0.47%.
What is the average Return on Equity (ROE)?
The average ROE over the past 5 years is +7.21%.
What is the trend of Return on Equity (ROE)?
The trend of ROE over the past 5 years is +2.3%.
Safety & Stabiliy
Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.
| Years | 09-2015 | 09-2016 | 09-2017 | 09-2018 | 09-2019 | 09-2020 | 09-2021 | 09-2022 | 09-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Debt FCF | - | 8.12 | 50.89 | 16.11 | 22.69 | 10.67 | 5.50 | 16.05 | 10.83 | 3.94 |
| Debt Equity | 1.24 | 0.98 | 0.84 | 0.75 | 0.47 | 0.62 | 0.72 | 0.40 | 0.43 | 0.43 |
| MIN | ||||||||||
| Graham Stability | - | - | 0.58% | 100% | 100% | -250% | 100% | 100% | 84% | -250% |
What is the Debt/FCF?
The Debt/FCF trailing twelve month is 3.94.
What is the trend of Debt/FCF?
The trend of Debt/FCF over the past 5 years is -1.47.
What is the Graham’s Stability?
Graham’s Stability measure stands at -2.46.
Growth
Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.
| Years | 09-2016 | 09-2018 | 09-2020 | 09-2022 | Trend |
|---|---|---|---|---|---|
| Revenue | -11% | -10% | -2% | -8.4% | 1.8% |
| Net Income | - | 9.3% | - | -81% | -380% |
| Stockholders Equity | -1.1% | -1.9% | 0.67% | -3.8% | 0.48% |
| FCF | -15% | -4.9% | -11% | 55% | 2.1% |
What is the 5 year Revenue CAGR?
The Revenue CAGR over the past 5 years is -10.16%.
What is the trend of Revenue growth?
The trend of Revenue growth rate over the past 5 years is +1.78%.
What is the 5 year Earnings CAGR?
The Earnings CAGR over the past 5 years is +9.32%.
What is the trend of Earnings growth?
The trend of Earnings growth rate over the past 5 years is -377.57%.
What is the 5 year Equity CAGR?
The Equity CAGR over the past 5 years is -1.88%.
What is the trend of Equity growth?
The trend of Equity growth rate over the past 5 years is +0.48%.
What is the 5 year FCF CAGR?
The FCF CAGR over the past 5 years is -4.85%.
What is the trend of FCF growth?
The trend of FCF growth rate over the past 5 years is +2.13%.