Stock Analysis on Net

Albemarle Corp. (NYSE:ALB)

This company has been moved to the archive! The financial data has not been updated since May 3, 2023.

Enterprise Value to FCFF (EV/FCFF)

Microsoft Excel

Free Cash Flow to The Firm (FCFF)

Albemarle Corp., FCFF calculation

US$ in thousands

Microsoft Excel
12 months ended: Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
Net income attributable to Albemarle Corporation 2,689,816 123,672 375,764 533,228 693,562
Net income attributable to noncontrolling interests 125,315 76,270 70,851 71,129 45,577
Net noncash charges 507,420 32,593 438,831 229,356 (41,009)
Changes in current assets and liabilities, net of effects of acquisitions and divestitures (1,414,702) 111,722 (86,532) (114,339) (151,965)
Net cash provided by operating activities 1,907,849 344,257 798,914 719,374 546,165
Cash paid during the year for interest, net of capitalization, net of tax1 77,268 21,633 56,688 38,383 40,705
Interest capitalized on significant capital projects, net of tax2 26,093 39,000 25,962 25,459 15,787
Capital expenditures (1,261,646) (953,667) (850,477) (851,796) (699,991)
Right-of-use assets obtained in exchange for finance lease obligations (3,976) (17,096) (55,806)
Free cash flow to the firm (FCFF) 745,588 (565,873) 31,086 (124,386) (97,333)

Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).

Item Description The company
FCFF Free cash flow to the firm is the cash flow available to the Albemarle Corp. suppliers of capital after all operating expenses have been paid and necessary investments in working and fixed capital have been made. Albemarle Corp. FCFF decreased from 2020 to 2021 but then increased from 2021 to 2022 exceeding 2020 level.

Interest Paid, Net of Tax

Albemarle Corp., interest paid, net of tax calculation

US$ in thousands

Microsoft Excel
12 months ended: Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
Effective Income Tax Rate (EITR)
EITR1 16.10% 22.00% 14.60% 15.70% 18.20%
Interest Paid, Net of Tax
Cash paid during the year for interest, net of capitalization, before tax 92,095 27,734 66,379 45,532 49,762
Less: Cash paid during the year for interest, net of capitalization, tax2 14,827 6,101 9,691 7,149 9,057
Cash paid during the year for interest, net of capitalization, net of tax 77,268 21,633 56,688 38,383 40,705
Interest Costs Capitalized, Net of Tax
Interest capitalized on significant capital projects, before tax 31,100 50,000 30,400 30,200 19,300
Less: Interest capitalized on significant capital projects, tax3 5,007 11,000 4,438 4,741 3,513
Interest capitalized on significant capital projects, net of tax 26,093 39,000 25,962 25,459 15,787

Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).

1 See details »

2 2022 Calculation
Cash paid during the year for interest, net of capitalization, tax = Cash paid during the year for interest, net of capitalization × EITR
= 92,095 × 16.10% = 14,827

3 2022 Calculation
Interest capitalized on significant capital projects, tax = Interest capitalized on significant capital projects × EITR
= 31,100 × 16.10% = 5,007


Enterprise Value to FCFF Ratio, Current

Albemarle Corp., current EV/FCFF calculation, comparison to benchmarks

Microsoft Excel
Selected Financial Data (US$ in thousands)
Enterprise value (EV) 22,214,822
Free cash flow to the firm (FCFF) 745,588
Valuation Ratio
EV/FCFF 29.80
Benchmarks
EV/FCFF, Competitors1
Linde plc 40.53
EV/FCFF, Industry
Materials 39.61

Based on: 10-K (reporting date: 2022-12-31).

1 Click competitor name to see calculations.

If the company EV/FCFF is lower then the EV/FCFF of benchmark then company is relatively undervalued.
Otherwise, if the company EV/FCFF is higher then the EV/FCFF of benchmark then company is relatively overvalued.


Enterprise Value to FCFF Ratio, Historical

Albemarle Corp., historical EV/FCFF calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
Selected Financial Data (US$ in thousands)
Enterprise value (EV)1 33,896,614 24,588,783 21,240,189 11,695,034 11,082,644
Free cash flow to the firm (FCFF)2 745,588 (565,873) 31,086 (124,386) (97,333)
Valuation Ratio
EV/FCFF3 45.46 683.27
Benchmarks
EV/FCFF, Competitors4
Linde plc 31.63 23.60 34.03 44.72
EV/FCFF, Industry
Materials 32.44 18.50 26.84 67.95

Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).

1 See details »

2 See details »

3 2022 Calculation
EV/FCFF = EV ÷ FCFF
= 33,896,614 ÷ 745,588 = 45.46

4 Click competitor name to see calculations.