Calumet, Inc. /DE (NASDAQ: CLMT)

Sector: Basic Materials Industry: Specialty Chemicals CIK: 0002013745
Market Cap 1.77 Bn
P/B -2.55
P/E -47.57
P/S 0.44
ROIC (Qtr) 15.88
Div Yield % 0.00
Rev 1y % (Qtr) -2.04
Total Debt (Qtr) 2.30 Bn
Debt/Equity (Qtr) -3.31

About

Price action

Investment thesis

Bull case

  • Robust tangible asset base of 2.73B provides 26.34x coverage of working capital 103.80M, indicating strong operational backing.
  • Tangible assets of 2.73B provide robust 8.48x coverage of other current liabilities 322.40M, indicating strong asset backing.
  • Retained earnings of (1.54B) represent substantial 2.21x of equity (695.30M), indicating strong internal capital generation.
  • Cash position of 174.60M represents healthy 1.68x of working capital 103.80M, demonstrating strong operational liquidity.
  • Free cash flow of (75.60M) provides solid 1.63x coverage of operating expenses (46.50M), showing operational efficiency.

Bear case

  • Operating cash flow of (11M) barely covers its investment activities of 30.80M, with a coverage ratio of -0.36, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • The company's operating cash flow of (11M) shows concerning coverage of stock compensation expenses of 14.60M, with a -0.75 ratio indicating potential earnings quality issues.
  • Free cash flow of (75.60M) provides weak coverage of capital expenditures of 64.60M, with a -1.17 ratio suggesting additional external financing needs for growth initiatives.
  • Operating cash flow of (11M) provides minimal 0.27x coverage of tax expenses of (41.40M), suggesting potential tax planning inefficiencies or unsustainable tax positions.
  • Operating earnings of 147.80M show weak coverage of depreciation charges of 149M, with a 0.99 ratio indicating high capital intensity and potential reinvestment needs.

Segments Breakdown of Revenue (2024)

Segments Breakdown of Revenue (2024)

Peer comparison

Companies in the Specialty Chemicals
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 LIN Linde Plc 218.63 Bn 38.41 6.61 25.93 Bn
2 SHW Sherwin Williams Co 110.34 Bn 170.54 11.54 13.58 Bn
3 ECL Ecolab Inc. 80.35 Bn 80.18 5.93 8.67 Bn
4 APD Air Products & Chemicals, Inc. 56.37 Bn 48.29 5.86 18.31 Bn
5 PPG Ppg Industries Inc 34.00 Bn 31.05 2.58 7.91 Bn
6 LYB LyondellBasell Industries N.V. 17.46 Bn 5.03 0.49 13.22 Bn
7 DD DuPont de Nemours, Inc. 16.63 Bn 3.65 0.32 8.90 Bn
8 ALB Albemarle Corp 14.44 Bn 48.94 6.36 3.63 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 1.43 1.52
EV to Cash from Ops. EV/CFO -356.03 12.52
EV to Debt EV to Debt 1.70 13.65
EV to EBIT EV/EBIT 26.50 21.45
EV to EBITDA EV/EBITDA 11.15 14.82
EV to Free Cash Flow [EV/FCF] EV/FCF -51.80 29.24
EV to Market Cap EV to Market Cap 2.21 3.84
EV to Revenue EV/Rev 0.97 89.11
Price to Book Value [P/B] P/B -2.55 5.48
Price to Earnings [P/E] P/E -47.57 16.02
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Div Coverage (Qtr) 0.00 -5.31
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 -75.74
Dividend per Basic Share Div per Share (Qtr) 0.00 1.25
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 23.50
Interest Coverage Int. cover (Qtr) 0.65 -8.92
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) 22.36 -1.67
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 404.62 72.99
Dividend Growth (1y) % Div 1y % (Qtr) 0.00 -3.00
EBIAT Growth (1y) % EBIAT 1y % (Qtr) 1,140.41 -31.21
EBITDA Growth (1y) % EBITDA 1y % (Qtr) 196.96 51.49
EBIT Growth (1y) % EBIT 1y % (Qtr) 2,539.29 0.57
EBT Growth (1y) % EBT 1y % (Qtr) 65.48 -80.35
EPS Growth (1y) % EPS 1y % (Qtr) 84.89 -90.82
FCF Growth (1y) % FCF 1y % (Qtr) 43.46 -50.40
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 96.28 219.02
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 1.48 0.70
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.41
Cash Ratio Cash Ratio (Qtr) 0.22 1.28
Current Ratio Curr Ratio (Qtr) 1.13 3.42
Debt to Equity Ratio Debt/Equity (Qtr) -3.31 0.92
Interest Cover Ratio Int Coverage (Qtr) 0.65 -8.92
Times Interest Earned Times Interest Earned (Qtr) 0.65 -8.92
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) 7.30 -333.97
EBIT Margin % EBIT Margin % (Qtr) 3.65 -374.34
EBT Margin % EBT Margin % (Qtr) -1.94 -379.75
Gross Margin % Gross Margin % (Qtr) 8.20 29.26
Net Profit Margin % Net Margin % (Qtr) -0.90 -380.67