IMCD N.V. (IMCD) AI Stock Analysis

• Market Cap: €7.40B
• Dividend Yield: 1.72%
• Average Volume (3M): 131.91K
• Price to Earnings (P/E): 25.8
• Beta (1Y): 0.90
• Revenue Growth: 6.41%
• EPS Growth: -5.29%
• Country: NL
• Employees: 5,126
• Sector: Industrials
• Sector Strength: 91
• Industry: Chemicals - Specialty
• EPS (TTM): 1.67
• Shares Outstanding: 59,107,998
• 10 Day Avg. Volume: 112,414
• 30 Day Avg. Volume: 131,905
• PEG Ratio: -17.40
• Price to Book (P/B): 3.10
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 26.63
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: €164.57
• Price Target Upside: 31.29% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7

IMCD N.V. demonstrates solid financial performance with strong revenue growth and profitability, although there are concerns about increased leverage and declining free cash flow. Technical analysis suggests mixed signals, with the stock trading near its short-term average but lacking strong momentum. The valuation appears moderate, providing some attractiveness but not a compelling bargain. Overall, the stock is stable with room for improvement in operational efficiency and cash flow management.

IMCD N.V. Business Overview & Revenue Model

Company Description

IMCD N.V. is a Netherlands-based company specializing in the distribution of specialty chemicals and food ingredients. Operating globally, IMCD serves a wide range of industries including pharmaceuticals, personal care, coatings, and food. The company provides comprehensive market expertise, technical support, and a broad portfolio of high-quality ingredients and formulations to its clients.

How the Company Makes Money

IMCD N.V. primarily generates revenue through the distribution of specialty chemicals and food ingredients. The company acts as an intermediary between chemical manufacturers and various industry customers, earning margins on the products it distributes. IMCD leverages its extensive network of supplier relationships and technical expertise to offer value-added services such as formulation advice and market intelligence, which enhance its product offerings. By maintaining strong partnerships with leading chemical producers and focusing on niche markets, IMCD ensures a diverse revenue stream and competitive advantage in the specialty chemical distribution sector.

IMCD N.V. Financial Statement Overview

Summary

IMCD N.V. demonstrates strong revenue growth and profitability, though there is room for improvement in operational efficiency. The balance sheet reflects increased leverage, which needs careful monitoring. Cash flow analysis indicates reduced free cash flow, highlighting potential liquidity challenges. Overall, the company is financially sound but should focus on improving efficiency and managing debt levels.

Income Statement

The company has demonstrated steady revenue growth with a 6.4% increase from 2023 to 2024. Gross profit margin is strong at 25.4%, and the net profit margin is relatively healthy at 5.9%. However, there is a slight decline in EBIT margin from 9.6% in 2023 to 9.0% in 2024, indicating a potential area for operational improvement.

Balance Sheet

The debt-to-equity ratio has increased to 0.78, reflecting higher leverage, which could pose risks if not managed carefully. However, the company maintains a strong equity ratio of 45.4%, indicating a solid capital structure. Return on equity remains robust at 12.6%, reflecting effective use of shareholder funds.

Cash Flow

There is a significant decrease in free cash flow from 2023 to 2024, with a free cash flow growth rate of -33.9%. The operating cash flow to net income ratio is 1.0, indicating decent cash generation relative to net income. The decline in free cash flow suggests potential challenges in maintaining liquidity.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
4.73B	4.44B	4.60B	3.44B	2.77B
	Gross Profit
1.20B	1.12B	1.15B	836.32M	647.48M
	EBIT
425.11M	428.52M	461.73M	305.46M	191.79M
	EBITDA
589.14M	566.90M	574.63M	394.79M	258.23M
	Net Income Common Stockholders
278.24M	292.27M	313.08M	207.28M	120.13M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
522.78M	394.46M	222.00M	177.88M	169.01M
	Total Assets
4.88B	4.15B	3.64B	3.27B	2.71B
	Total Debt
1.73B	1.28B	722.60M	409.63M	691.22M
	Net Debt
1.20B	883.05M	500.60M	231.75M	522.22M
	Total Liabilities
2.66B	2.43B	1.97B	1.81B	1.45B
	Stockholders Equity
2.21B	1.72B	1.67B	1.46B	1.26B
Cash Flow		Free Cash Flow
252.76M	382.54M	277.58M	177.55M	220.04M
	Operating Cash Flow
279.21M	420.01M	298.84M	196.26M	242.37M
	Investing Cash Flow
-387.95M	-394.59M	-255.36M	-196.13M	-394.30M
	Financing Cash Flow
247.06M	216.97M	-20.00K	4.73M	240.37M

IMCD N.V. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 125.35
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NL:IMCD, the sentiment is Neutral. The current price of 125.35 is above the 20-day moving average (MA) of 119.28, above the 50-day MA of 121.91, and below the 200-day MA of 138.15, indicating a neutral trend. The MACD of 0.78 indicates Negative momentum. The RSI at 58.24 is Neutral, neither overbought nor oversold. The STOCH value of 88.42 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for NL:IMCD.

IMCD N.V. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LIGHT	76 Outperform	€2.59B	7.37	11.61%	7.55%	-5.73%	57.95%
AKZA	71 Outperform	€10.18B	21.74	10.15%	3.30%	0.31%	-11.62%
IMCD	69 Neutral	€7.40B	25.78	14.13%	1.72%	6.41%	-5.29%
HOLCO	69 Neutral	€78.29M	12.25	10.64%	3.27%	7.08%	58.76%
CRBN	69 Neutral	€1.10B	20.44	6.52%	3.20%	-10.78%	-24.58%
Sector *	64 Neutral	$4.43B	12.01	5.16%	249.23%	4.03%	-11.73%
OCI	48 Neutral	€1.60B	58.27		41.95%	-66.11%	-202.16%