What do Albemarle Company (ALB) inventory fundamentals predict?
Albemarle Company (ALB) receives a low valuation rating of 23 Buyers Observers knowledge evaluation. The proprietary rating system focuses on the underlying well being of a enterprise via evaluation of its inventory value, earnings, and charge of development. ALB is price higher than 23% of the shares based mostly on these valuation analyzes. Buyers primarily centered on purchase and maintain methods will discover the valuation rating related to their targets when making funding selections.
Metrics evaluation
ALB’s 12-month price-to-earnings (PE) ratio of 42.8 places it above the historic common of round 15. ALB is a mediocre worth at its present value as buyers pay greater than it. than its worth in relation to the corporate’s earnings. ALB’s 12-month earnings per share (EPS) of three.52 doesn’t justify what it’s presently buying and selling for available in the market. Leak PE ratios, nevertheless, don’t bear in mind an organization’s projected development charge, so some corporations have excessive PE ratios on account of excessive development which will entice buyers, although present earnings are weak.
ALB’s 12-month PEG to Development Ratio of three.69 is taken into account mediocre because the market overvalues ALB relative to the corporate’s anticipated earnings development. ALB’s PEG is derived from its ahead value / earnings ratio divided by its development charge. A PEG ratio of 1 represents an ideal correlation between earnings development and the inventory value. Because of their integration of extra elementary rules of the general well being of a enterprise and specializing in the long run moderately than the previous, PEG ratios are some of the extensively used valuation metrics by analysts. in the present day.
abstract
ALB ‘has a low valuation at its present value on account of an overvalued PEG ratio regardless of sturdy development. ALB’s PE and PEG are worse than the market common, resulting in a below-average valuation rating.
Click on right here for the total Albemarle Company (ALB) inventory quote report.