Ingredion Incorporated Intrinsic Value Calculator – INGREDION INCORPORATED Reports Q2 Earnings Results for FY2023
August 20, 2023
🌥️Earnings Overview
INGREDION INCORPORATED ($NYSE:INGR) reported their Q2 earnings results for the fiscal year 2023, ending June 30 2023, on August 8 2023. The company’s total revenue was USD 2069.0 million, a 1.2% increase from the same period last year, and net income was USD 163.0 million, a 14.8% increase from the year before.
Price History
On Tuesday, INGREDION INCORPORATED‘s stock opened at $103.9, but unfortunately closed the day at $101.0, representing a 7.8% decrease from the previous closing price of $109.6. This movement in the market reflects the company’s earnings results for the second quarter of its FY2023. Management attributed this decrease in income to decreased demand and increased pressure from competitors. The improvement in the company’s net income is largely attributable to the company’s strong cost management strategies and successful optimization of its capital structure.
Overall, investors reacted negatively to INGREDION INCORPORATED’s second quarter earnings report, sending the stock lower by 7.8%. Despite the downturn in sales, the company’s net income was still up from the previous year, providing some optimism for investors. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Ingredion Incorporated. More…
| Total Revenues | Net Income | Net Margin |
| 8.22k | 574 | 7.0% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Ingredion Incorporated. More…
| Operations | Investing | Financing |
| 435 | -344 | -139 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Ingredion Incorporated. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 7.6k | 4.12k | 51.72 |
Key Ratios Snapshot
Some of the financial key ratios for Ingredion Incorporated are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 11.0% | 9.6% | 10.7% |
| FCF Margin | ROE | ROA |
| 1.5% | 16.4% | 7.3% |
Analysis – Ingredion Incorporated Intrinsic Value Calculator
As GoodWhale, we have conducted an analysis of INGREDION INCORPORATED‘s financials. Our proprietary Valuation Line has been used to calculate the intrinsic value of their share at around $106.1. Currently, INGREDION INCORPORATED stock is traded at $101.0, meaning that the stock is being undervalued by 4.8%. We believe that this is a fair price for investors looking to invest in this company. More…
Peers
The competition between Ingredion Inc and its competitors, Procter & Gamble Co, Nestle SA, and Edita Food Industries S.A.E., is fierce as each company strives to be the leader in the global food and beverage industry. From product innovation and marketing to pricing and distribution, each company is looking for the edge that will give them the upper hand in the competitive landscape.
– Procter & Gamble Co ($NYSE:PG)
Procter & Gamble Co is a multinational consumer goods giant, headquartered in Cincinnati, Ohio. The company manufactures a wide range of household products, from laundry detergents to toothpaste. As of 2022, the company has a market capitalization of 362.18B and a Return on Equity of 25.38%. The company’s size and profitability are demonstrative of its success in the consumer goods industry. With a large market cap and high return on equity, Procter & Gamble Co has established itself as an industry leader.
– Nestle SA ($LTS:0QR4)
Nestle SA is one of the world’s largest food and beverage companies, serving consumers in over 190 countries. Its market cap of 305.36B as of 2022 is a testament to its success and industry leadership. The company’s return on equity (ROE) of 14.82% is also impressive, indicating that the company is efficiently utilizing the capital it has available to generate profit and create value for its shareholders. This impressive market cap and ROE are indicative of the strength of Nestle SA’s business model and its ability to remain competitive in an ever-changing industry.
– Edita Food Industries S.A.E ($LSE:66XD)
Edita Food Industries S.A.E. is a leading food manufacturing and distribution company based in Egypt. The company has a market capitalization of 371.8 million as of 2022 and has achieved a return on equity of 33.89%. This indicates that the company is financially healthy and is able to generate returns on its investments. Edita produces and markets a wide range of baked goods, snacks and confectionery products, including cakes, pastries, rusks and biscuits, in addition to providing products for specialty markets. It also provides ready-made meals, frozen fruits and vegetables, and frozen ready-meals for catering services. The company is well-positioned to benefit from the growing demand for convenience food products in Egypt and across the region.
Summary
Ingredion Incorporated reported their financial results for Q2 of their FY2023, which ended June 30 2023. Total revenue was USD 2069.0 million, a 1.2% year-over-year increase, and net income was USD 163.0 million, a 14.8% year-over-year increase. Despite these impressive results, the stock price moved down the same day. This could be attributed to investor concerns over the future of the company, as the pandemic continues to cause uncertainty in the economy.
Furthermore, investors may be wary of the company’s recent investment in a new plant and technology. Investing in Ingredion is potentially risky right now, but long-term investors may find it a lucrative opportunity.
