Darling Ingredients, Inc.

  • Market Cap: Small Cap
  • Industry: FMCG
  • ISIN: US2372661015
USD
51.92
-0.99 (-1.87%)
  • Price Points
  • Score
  • Mojo Parameters
  • Total Return
  • News and Corporate Actions
  • Key factors
  • Shareholding
  • Financials
  • CompanyCV
stock-recommendationScore
Click here to find our call on this stock
Strong Sell
Sell
Hold
Buy
Strong Buy

Comparison

Company
Score
Quality
Valuation
Financial
Technical
McCormick & Co., Inc.
Mondelez International, Inc.
Darling Ingredients, Inc.
Ingredion, Inc.
The J. M. Smucker Co.
Kellanova
Post Holdings, Inc.
Lamb Weston Holdings, Inc.
The Hershey Co.
International Flavors & Fragrances, Inc.
Conagra Brands, Inc.

Why is Darling Ingredients, Inc. ?

1
Poor Management Efficiency with a low ROCE of 6.86%
  • The company has been able to generate a Return on Capital Employed (avg) of 6.86% signifying low profitability per unit of total capital (equity and debt)
2
Negative results in Jun 25
  • NET PROFIT(Q) At USD 19.92 MM has Fallen at -53.16%
  • OPERATING CASH FLOW(Y) Lowest at USD 823.64 MM
  • ROCE(HY) Lowest at 2.32%
3
Consistent Underperformance against the benchmark over the last 3 years
  • Along with generating -1.31% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods
stock-recommendationReal-Time Research Report

Verdict Report

How much should you hold?

  1. Overall Portfolio exposure to Darling Ingredients, Inc. should be less than 10%
  2. Overall Portfolio exposure to FMCG should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in FMCG)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Darling Ingredients, Inc. for you?

High Risk, Low Return

Absolute
Risk Adjusted
Volatility
Darling Ingredients, Inc.
61.34%
-0.06
45.43%
S&P 500
17.78%
0.70
20.15%
stock-recommendationQuality
stock-summaryManagement Risk
stock-summaryGrowth
stock-summaryCapital Structure
stock-recommendation
Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor
Value
Sales Growth (5y)
11.33%
EBIT Growth (5y)
17.71%
EBIT to Interest (avg)
4.14
Debt to EBITDA (avg)
3.53
Net Debt to Equity (avg)
0.87
Sales to Capital Employed (avg)
0.78
Tax Ratio
Tax Ratio is Negative%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
6.86%
ROE (avg)
14.10%
stock-recommendationValuation

Valuation Scorecard stock-summary

stock-recommendation
Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors stock-summary

Factor
Value
P/E Ratio
37
Industry P/E
Price to Book Value
1.16
EV to EBIT
28.96
EV to EBITDA
11.35
EV to Capital Employed
1.09
EV to Sales
1.62
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
3.75%
ROE (Latest)
3.13%
stock-recommendationTechnicals

Technical key factors

Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bullish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
No Trend
Mildly Bullish
stock-recommendation Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish  Turned 
Technical Movement
stock-recommendationFinancial Trend

Financial Trend Scorecard stock-summary

stock-recommendation
Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

16What is working for the Company
INTEREST COVERAGE RATIO(Q)

Highest at 499.41

RAW MATERIAL COST(Y)

Fallen by -13.86% (YoY

NET SALES(Q)

Highest at USD 1,709.8 MM

OPERATING PROFIT(Q)

Highest at USD 277.24 MM

PRE-TAX PROFIT(Q)

Highest at USD 110.69 MM

NET PROFIT(Q)

Highest at USD 119.77 MM

-8What is not working for the Company
OPERATING CASH FLOW(Y)

Lowest at USD 619.11 MM

ROCE(HY)

Lowest at 0%

DEBT-EQUITY RATIO (HY)

Highest at inf %

INVENTORY TURNOVER RATIO(HY)

Lowest at 0 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 0 times

Here's what is working for Darling Ingredients, Inc.

Pre-Tax Profit
At USD 110.69 MM has Grown at 304.5%
over average net sales of the previous four periods of USD 27.36 MM
MOJO Watch
Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (USD MM)

Net Profit
At USD 119.77 MM has Grown at 287.1%
over average net sales of the previous four periods of USD 30.94 MM
MOJO Watch
Near term Net Profit trend is very positive

Net Profit (USD MM)

Interest Coverage Ratio
Highest at 499.41
in the last five periods
MOJO Watch
The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Sales
Highest at USD 1,709.8 MM
in the last five periods
MOJO Watch
Near term sales trend is positive

Net Sales (USD MM)

Net Sales
At USD 1,709.8 MM has Grown at 17.02%
over average net sales of the previous four periods of USD 1,461.17 MM
MOJO Watch
Near term sales trend is positive

Net Sales (USD MM)

Operating Profit
Highest at USD 277.24 MM
in the last five periods
MOJO Watch
Near term Operating Profit trend is positive

Operating Profit (USD MM)

Pre-Tax Profit
Highest at USD 110.69 MM
in the last five periods
MOJO Watch
Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit
Highest at USD 119.77 MM
in the last five periods
MOJO Watch
Near term Net Profit trend is positive

Net Profit (USD MM)

Raw Material Cost
Fallen by -13.86% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Depreciation
Highest at USD 139.54 MM
in the last five periods
MOJO Watch
The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Darling Ingredients, Inc.

Operating Cash Flow
Lowest at USD 619.11 MM and Fallen
In each year in the last three years
MOJO Watch
The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Debt-Equity Ratio
Highest at inf %
in the last five Semi-Annual periods
MOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio
Lowest at 0 times
in the last five Semi-Annual periods
MOJO Watch
Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio
Lowest at 0 times
in the last five Semi-Annual periods
MOJO Watch
Company's pace of selling Debtors has slowed

Debtors Turnover Ratio