ScoreWhy is NewMarket Corp. ?
1
High Management Efficiency with a high ROCE of 21.74%
2
Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 10.49
3
Poor long term growth as Net Sales has grown by an annual rate of 6.17% and Operating profit at 15.60% over the last 5 years
4
Flat results in Jun 25
- ROCE(HY) Lowest at 33.61%
- OPERATING PROFIT MARGIN(Q) Lowest at 24.57 %
5
With ROCE of 25.34%, it has a very attractive valuation with a 2.89 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 43.71%, its profits have risen by 20.6% ; the PEG ratio of the company is 0.6
6
Market Beating Performance
- The stock has generated a return of 43.71% in the last 1 year, much higher than market (S&P 500) returns of 14.11%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to NewMarket Corp. should be less than 10%
- Overall Portfolio exposure to Specialty Chemicals should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Specialty Chemicals)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is NewMarket Corp. for you?
Low Risk, High Return
Absolute
Risk Adjusted
Volatility
NewMarket Corp.
22.87%
1.77
25.79%
S&P 500
22.36%
0.70
20.15%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
6.27%
EBIT Growth (5y)
11.80%
EBIT to Interest (avg)
10.49
Debt to EBITDA (avg)
1.76
Net Debt to Equity (avg)
0.58
Sales to Capital Employed (avg)
1.19
Tax Ratio
21.28%
Dividend Payout Ratio
25.31%
Pledged Shares
0
Institutional Holding
69.95%
ROCE (avg)
21.74%
ROE (avg)
32.10%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
14
Industry P/E
Price to Book Value
3.32
EV to EBIT
12.34
EV to EBITDA
10.07
EV to Capital Employed
2.58
EV to Sales
2.47
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
20.92%
ROE (Latest)
23.50%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
Bullish
No Signal
Bollinger Bands
Mildly Bearish
Sideways
Moving Averages
Mildly Bearish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend12What is working for the Company
DEBT-EQUITY RATIO
(HY)
Lowest at 46.04 %
DIVIDEND PER SHARE(HY)
Highest at USD 5.87
INTEREST COVERAGE RATIO(Q)
Highest at 2,216.65
RAW MATERIAL COST(Y)
Fallen by -2.68% (YoY
NET SALES(Q)
Highest at USD 747.09 MM
OPERATING PROFIT(Q)
Highest at USD 195.46 MM
PRE-TAX PROFIT(Q)
Highest at USD 170.34 MM
NET PROFIT(Q)
Highest at USD 133.22 MM
EPS(Q)
Highest at USD 14.54
-4What is not working for the Company
ROCE(HY)
Lowest at 25.02%
DIVIDEND PAYOUT RATIO(Y)
Lowest at 20.63%
INVENTORY TURNOVER RATIO(HY)
Lowest at 3.69 times
Here's what is working for NewMarket Corp.
Interest Coverage Ratio
Highest at 2,216.65
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Debt-Equity Ratio
Lowest at 46.04 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Dividend per share
Highest at USD 5.87 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (USD)
Net Sales
Highest at USD 747.09 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Operating Profit
Highest at USD 195.46 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Pre-Tax Profit
Highest at USD 170.34 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Net Profit
Highest at USD 133.22 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
EPS
Highest at USD 14.54
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Raw Material Cost
Fallen by -2.68% (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
Here's what is not working for NewMarket Corp.
Inventory Turnover Ratio
Lowest at 3.69 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Dividend Payout Ratio
Lowest at 20.63%
in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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