NEU Relative Valuation
NEU's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, NEU is overvalued; if below, it's undervalued.
Historical Valuation
NewMarket Corp (NEU) is now in the Fair zone, suggesting that its current forward PE ratio of 23.83 is considered Fairly compared with the five-year average of 16.00. The fair price of NewMarket Corp (NEU) is between 596.61 to 801.67 according to relative valuation methord.
Relative Value
Fair Zone
596.61-801.67
Current Price：763.17
Fair
23.83
PE
1Y
3Y
5Y
Trailing
Forward
13.88
EV/EBITDA
NewMarket Corp. (NEU) has a current EV/EBITDA of 13.88. The 5-year average EV/EBITDA is 4.88. The thresholds are as follows: Strongly Undervalued below -7.33, Undervalued between -7.33 and -1.23, Fairly Valued between 10.99 and -1.23, Overvalued between 10.99 and 17.09, and Strongly Overvalued above 17.09. The current Forward EV/EBITDA of 13.88 falls within the Overvalued range.
19.33
EV/EBIT
NewMarket Corp. (NEU) has a current EV/EBIT of 19.33. The 5-year average EV/EBIT is 13.71. The thresholds are as follows: Strongly Undervalued below 7.18, Undervalued between 7.18 and 10.45, Fairly Valued between 16.98 and 10.45, Overvalued between 16.98 and 20.24, and Strongly Overvalued above 20.24. The current Forward EV/EBIT of 19.33 falls within the Overvalued range.
2.89
PS
NewMarket Corp. (NEU) has a current PS of 2.89. The 5-year average PS is 1.89. The thresholds are as follows: Strongly Undervalued below 0.85, Undervalued between 0.85 and 1.37, Fairly Valued between 2.40 and 1.37, Overvalued between 2.40 and 2.92, and Strongly Overvalued above 2.92. The current Forward PS of 2.89 falls within the Overvalued range.
17.30
P/OCF
NewMarket Corp. (NEU) has a current P/OCF of 17.30. The 5-year average P/OCF is 7.92. The thresholds are as follows: Strongly Undervalued below -5.76, Undervalued between -5.76 and 1.08, Fairly Valued between 14.76 and 1.08, Overvalued between 14.76 and 21.59, and Strongly Overvalued above 21.59. The current Forward P/OCF of 17.30 falls within the Overvalued range.
21.22
P/FCF
NewMarket Corp. (NEU) has a current P/FCF of 21.22. The 5-year average P/FCF is 9.66. The thresholds are as follows: Strongly Undervalued below -7.04, Undervalued between -7.04 and 1.31, Fairly Valued between 18.01 and 1.31, Overvalued between 18.01 and 26.36, and Strongly Overvalued above 26.36. The current Forward P/FCF of 21.22 falls within the Overvalued range.
NewMarket Corp (NEU) has a current Price-to-Book (P/B) ratio of 4.24. Compared to its 3-year average P/B ratio of 4.43 , the current P/B ratio is approximately -4.29% higher. Relative to its 5-year average P/B ratio of 4.53, the current P/B ratio is about -6.31% higher. NewMarket Corp (NEU) has a Forward Free Cash Flow (FCF) yield of approximately 0.00%. Compared to its 3-year average FCF yield of 7.35%, the current FCF yield is approximately -100.00% lower. Relative to its 5-year average FCF yield of 5.57% , the current FCF yield is about -100.00% lower.
4.24
P/B
Median3y
4.43
Median5y
4.53
7.66
FCF Yield
Median3y
7.35
Median5y
5.57
Competitors Valuation Multiple
The average P/S ratio for NEU's competitors is , providing a benchmark for relative valuation. NewMarket Corp Corp (NEU) exhibits a P/S ratio of , which is NaN% above the industry average. Given its robust revenue growth of -4.78%, this premium appears unsustainable.
P/S
P/E
EV/EBITDA
EV/EBIT
P/S
Revenue Growth
Market Cap
Performance Decomposition
1Y
3Y
5Y
Market capitalization of NEU increased by 44.44% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 9.50 to 16.12.
The secondary factor is the Revenue Growth, contributed -4.78%to the performance.
Overall, the performance of NEU in the past 1 year is driven by P/E Change. Which is more unsustainable.
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FAQ
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