Stock Updates

Is this Large Market Cap Stock target price reasonable for NewMarket Corporation (NYSE:NEU)?

The company in question is, NewMarket Corporation (NYSE:NEU) currently with a stock price of 404.34 (0.67% today). The market cap for NewMarket Corporation is 4855.71, and is in the sector Basic Materials, and Specialty Chemicals industry. The target price for NewMarket Corporation is 440. Currently NewMarket Corporation is trading with a P/E of 19.85, and a forward P/E of 19.11. Average volume for NewMarket Corporation is 37.67 and so far today it is 6542.

Performance in the last year for NewMarket Corporation has been 7.13%. For EPS growth, NewMarket Corporation has seen a growth of 5.70%, and is looking to grow in the next year to 3.55%. More long term stats show that EPS growth has been 10.00% over the last five years and could be 4.20% for the next five years. NewMarket Corporation has seen sales growth quarter over quarter at -6.90%, with EPS growth quarter over quarter at 15.10%. The 20-day simple moving average is -4.70%, with the 200-day simple moving average coming to 1.87%.

Since the IPO date for NewMarket Corporation on the 08/06/1985, NewMarket Corporation has seen performance year to date to be 6.76%. With NewMarket Corporation trading at 404.34, the dividend yield is 1.59%, and the EPS is 20.24.

So could NewMarket Corporation, be undervalued? Well as said before P/E is 19.85. The PEG is 4.73, P/S is 2.37 and the P/B is at 10.99. The P/cash is 30.71, with P/free cash flow at 41.08.

NewMarket Corporation ability to deal with debt shows that the current ratio is 3.1, and the quick ratio is 1.9. This is with long term debt/equity at 1.21, and total debt/equity at 1.21.

In terms of margins, NewMarket Corporation has a gross margin of 33.20%, an operating margin of 17.60% and a profit margin of 11.80%.Payout ratio for NewMarket Corporation is 30.60%. Return on assets come to 18.40% with return on investment coming to 29.20%.

Insider ownership for NewMarket Corporation, is at 0.10% and institutional ownership comes to 60.30%. Outstanding shares are at 12.09. While shares float is 9.23. The float short is currently 6.13%, and short ratio is 15.02.

Disclaimer: Remember there is a risk to your investment, this is not a recommendation, nor personal advice, never invest more than you are able too loose.

About the author

Stephen Butters

Leave a Comment