DuPont de Nemours, Inc. (NYSE: DD)

Sector: Basic Materials Industry: Specialty Chemicals CIK: 0001666700
Market Cap 21.19 Bn
P/B 1.52
P/E -27.20
P/S 3.09
ROIC (Qtr) 1.25
Div Yield % 2.81
Rev 1y % (Qtr) -21.18
Total Debt (Qtr) 3.19 Bn
Debt/Equity (Qtr) 0.23
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About

DuPont de Nemours, Inc., often referred to as DuPont, is a global innovation leader that operates in the chemical industry, providing diverse science and expertise to help customers advance their best ideas and deliver essential innovations in various markets, such as electronics, transportation, construction, water, healthcare, and worker safety. The company was established in 2015, following the merger of The Dow Chemical Company and E. I. du Pont de Nemours and Company, and is based in Delaware, with subsidiaries in around 50 countries and manufacturing...

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Investment thesis

Bull case

  • Strong operating cash flow of 1.41B provides robust 0.44x coverage of total debt 3.19B, indicating excellent debt servicing capability and financial flexibility.
  • Healthy cash reserves of 757M provide 12.62x coverage of short-term debt 60M, demonstrating strong liquidity position and minimal refinancing risk.
  • Strong tangible asset base of 10.72B provides 3.36x coverage of total debt 3.19B, indicating robust asset backing and low credit risk.
  • Operating cash flow of 1.41B provides exceptional 34.44x coverage of minority interest expenses 41M, showing strong core operations.
  • Operating cash flow of 1.41B provides strong 37.16x coverage of stock compensation 38M, indicating sustainable incentive practices.

Bear case

  • Operating cash flow of 1.41B barely covers its investment activities of (687M), with a coverage ratio of -2.06, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Operating cash flow of 1.41B provides thin coverage of dividend payments of (597M) with a -2.37 ratio, suggesting potential dividend sustainability issues if operational performance deteriorates.
  • Investment activities of (687M) provide weak support for R&D spending of 193M, which is -3.56x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • Cash reserves of 757M provide limited coverage of acquisition spending of (55M), which is -13.76x, suggesting aggressive expansion might strain liquidity if market conditions deteriorate.
  • Operating earnings of (364M) show weak coverage of depreciation charges of 647M, with a -0.56 ratio indicating high capital intensity and potential reinvestment needs.

Segments Breakdown of Revenue (2025)

Geographical Breakdown of Revenue (2025)

Peer comparison

Companies in the Specialty Chemicals
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 LIN Linde Plc 259.51 Bn 110.86 9.26 25.93 Bn
2 SHW Sherwin Williams Co 101.80 Bn 102.98 9.01 13.58 Bn
3 ECL Ecolab Inc. 86.78 Bn 76.91 6.25 8.67 Bn
4 APD Air Products & Chemicals, Inc. 58.65 Bn 49.06 6.08 18.14 Bn
5 PPG Ppg Industries Inc 31.75 Bn 25.73 2.06 7.91 Bn
6 DD DuPont de Nemours, Inc. 21.19 Bn -27.20 3.09 3.19 Bn
7 IFF International Flavors & Fragrances Inc 21.16 Bn -8.98 1.87 6.60 Bn
8 ALB Albemarle Corp 19.87 Bn -29.33 3.86 3.19 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 1.22 1.62
EV to Cash from Ops. EV/CFO 18.63 10.83
EV to Debt EV to Debt 8.24 16.61
EV to EBIT EV/EBIT -72.27 -61.80
EV to EBITDA EV/EBITDA 22.54 -9.02
EV to Free Cash Flow [EV/FCF] EV/FCF 24.38 6.67
EV to Market Cap EV to Market Cap 1.24 5.10
EV to Revenue EV/Rev 3.84 72.68
Price to Book Value [P/B] P/B 1.52 5.37
Price to Earnings [P/E] P/E -27.20 14.34
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Div Coverage (Qtr) -1.30 -5.46
Dividend Payout Ratio % Div Payout % (Qtr) -76.50 -74.36
Dividend per Basic Share Div per Share (Qtr) 1.43 1.27
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 55.34 9.98
Interest Coverage Int. cover (Qtr) -1.16 -9.95
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) -16.84 -1,110.27
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) -57.90 83.68
Dividend Growth (1y) % Div 1y % (Qtr) -5.92 -3.28
EBIAT Growth (1y) % EBIAT 1y % (Qtr) -142.57 -80.22
EBITDA Growth (1y) % EBITDA 1y % (Qtr) 3.83 48.27
EBIT Growth (1y) % EBIT 1y % (Qtr) -128.39 11.23
EBT Growth (1y) % EBT 1y % (Qtr) -173.91 -62.96
EPS Growth (1y) % EPS 1y % (Qtr) -211.31 -125.48
FCF Growth (1y) % FCF 1y % (Qtr) -30.92 4.34
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 6.44 193.82
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.32 0.70
Cash Payout Ratio Cash Payout (Qtr) 0.34 0.40
Cash Ratio Cash Ratio (Qtr) 0.33 1.24
Current Ratio Curr Ratio (Qtr) 2.42 3.16
Debt to Equity Ratio Debt/Equity (Qtr) 0.23 0.92
Interest Cover Ratio Int Coverage (Qtr) -1.16 -9.95
Times Interest Earned Times Interest Earned (Qtr) -1.16 -9.95
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) 4.10 -320.64
EBIT Margin % EBIT Margin % (Qtr) -5.31 -360.99
EBT Margin % EBT Margin % (Qtr) -9.88 -366.51
Gross Margin % Gross Margin % (Qtr) 34.50 29.06
Net Profit Margin % Net Margin % (Qtr) -11.40 -367.54