Intrinsiqq
Sociedad Química y Minera de Chile S.A. ADR logoSociedad Química y Minera de Chile S.A. ADRSQM
$58.44-2.68%
Sociedad Química y Minera de Chile S.A. ADR logo

Sociedad Química y Minera de Chile S.A. ADR

SQM

$58.44

-$1.61 (-2.68%)

⊜ Compare
ProfitabilityStrong marginsGrowthModeratingCash FlowN/AValuationAttractively priced
What stands out

23.37% operating margin is above average. ROIC at 6.26%. Note that capital returns lag the margin, the business may be capital-intensive despite high margins.

What's changing

Revenue growth slowed to 1.0%, essentially flat. This is a business that needs a catalyst.

What deserves caution

Net debt of $2.01B represents 4.6x FCF, leverage limits flexibility.

Valuation context

11.6x earnings, 38.1x FCF. The multiple is below average. Either the market is pricing in deterioration you should investigate, or there's genuine value here.

Price History

+37.9%

Valuation & Multiples

Based on TTM earnings · Diluted shares

Market Cap$16.70B
EPS$5.03
P/E11.62
P/FCF38.15
EV/EBITDA6.92
FCF Yield2.6%
Div. Yield1.76%
Net Debt/FCF—
52-Week Range
$42.39$95.31

Profitability & Returns

Revenue (TTM)

$6.73B

▲ +1.0% YoY

Net Income (TTM)

$1.54B

▲ +261.1% YoY

Op. Margin

38.54%

ROIC

6.26%

▲ +1.0pp YoY

Cash Flow & Balance Sheet

FCF (FY)

$438M

▲ +44.5% YoY

Op. Cash Flow (FY)

$438M

▼ -65.7% YoY

Net Debt

$2.01B

Cash & Equiv.

$2.72B

3Y CAGR: -24.7%

3Y CAGR: -48.3%

Continue Research

Is Sociedad Química y Minera de Chile S.A. ADR (SQM) overvalued?

At a P/E of 11.6 and a price-to-free-cash-flow of 38.1, Sociedad Química y Minera de Chile S.A. ADR (SQM) trades above a two-stage DCF intrinsic value of about $25.20 per share, so at $58.44 the stock looks overvalued (56.9% above estimated intrinsic value). A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.

On quality, Sociedad Química y Minera de Chile S.A. ADR scores 21/100 on Intrinsiqq's quality scorecard (a lower-quality business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. It currently yields about 1.8%; see dividend safety for coverage and history. All figures are computed from company filings; read the full methodology, or see how the market compares in our US profitability statistics. This is analysis, not investment advice.

Frequently asked

What is Sociedad Química y Minera de Chile S.A. ADR's fair value?+

Intrinsiqq's two-stage DCF estimates an intrinsic value of about $25.20 per share for SQM, projecting its recent free cash flow forward with a growth rate that fades toward a long-run rate and discounting it back to today. Applying a 25% margin of safety gives a more conservative fair-value entry around $18.90. At today's $58.44, that puts the stock about 56.9% above estimated intrinsic value. The result is sensitive to the growth and discount-rate inputs, so it is best to run conservative, base and optimistic cases. You can adjust all of them yourself with the sliders on the DCF tab.

Is Sociedad Química y Minera de Chile S.A. ADR a high-quality business?+

Sociedad Química y Minera de Chile S.A. ADR scores 21 out of 100 on Intrinsiqq's quality score, a weighted blend of 8 metrics each scored 0 to 100, which makes it a lower-quality business on these measures. Recent fundamentals include a 38.5% operating margin and a 6.3% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from company filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.

Does Sociedad Química y Minera de Chile S.A. ADR (SQM) pay a dividend, and how much?+

Yes, Sociedad Química y Minera de Chile S.A. ADR pays a regular dividend of about $1.03 per share per year (typically in quarterly installments), a yield of roughly 1.8% at the current price. That is a payout ratio of about 19.2% of earnings, so the dividend is amply covered by earnings. A low headline yield is not the same as a weak dividend: what matters is how well earnings and free cash flow cover the payout and whether it is growing, not the percentage alone. For SQM's full payout history, growth streak and dividend-safety score, see the dividends tab.

Is Sociedad Química y Minera de Chile S.A. ADR a good stock to buy right now?+

That depends on valuation and quality together, not either alone. SQM currently trades above its estimated intrinsic value and scores 21/100 on quality (lower-quality). It also yields about 1.8%. A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from company filings, not investment advice.

Related stocks: Specialty Chemicals

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Data sourced from company filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.

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