DuPont de Nemours, Inc. (DD) stock analysis

P/E above its 5-year median

DuPont de Nemours's P/E of 348.6 is above its own 5-year median of 19.0.

P/E above the industry

DuPont de Nemours's P/E of 348.6 is above the Chemicals and Allied Products median of 25.2.

EV/EBITDA above its 5-year median

DuPont de Nemours's EV/EBITDA of 24.8 is above its 5-year median of 20.3.

P/B above the industry

DuPont de Nemours's price-to-book of 1.54 is above the Chemicals and Allied Products median of 1.50.

Trading above fair value

The share price of $156.88 is above our fair value estimate of $98.38.

Margin of safety under 20%

The price is 59.5% above fair value, so there is no margin of safety.

Revenue growing under 10% a year

Revenue grew -19.3% a year over the last three fiscal years, short of the 10% we look for.

EPS growth over 3 years

Needs positive EPS three years ago and today.

Earnings acceleration

Needs positive net income now, a year ago and five years ago.

Growing slower than the industry

Revenue grew 3.3% over the last twelve months; the Chemicals and Allied Products median is 5.7%.

Guidance raised

DuPont de Nemours raised its Full Year 2026E Adjusted EPS outlook on Nov 3, 2026.

Gross margin improving

Gross margin was 35.1% over the last twelve months, against 33.7% a year earlier.

Return on equity under 15%

Return on equity was 0.3% over the last twelve months and averaged 8.5% over five years; we look for 15% on both.

Return on invested capital

Needs operating income and invested capital.

Return on equity below the industry

DuPont de Nemours's return on equity of 0.3% is below the Chemicals and Allied Products median of 3.7%.

Earnings over 5 years

Needs positive net income five years ago and in the latest year.

Net margin below its 5-year average

Net margin was 0.8% over the last twelve months, against a 5-year average of 20.4%.

Net margin below the industry

DuPont de Nemours's net margin of 0.8% is below the Chemicals and Allied Products median of 0.8%.

Low debt

Debt is 22.7% of shareholders' equity, under the 40% we consider low.

Debt falling against equity

Debt to equity fell from 40.5% five years ago to 22.7%.

Debt covered by cash flow

Operating cash flow over the last twelve months equals 33.3% of total debt.

Interest coverage

Interest expense is not reported separately.

Short-term assets cover short-term debts

Current assets are 2.43 times current liabilities.

Elevated bankruptcy risk

The Altman Z-score is 0.65; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

DuPont de Nemours paid dividends worth 1.5% of the share price over the last twelve months.

Yield below Treasuries

The 1.5% yield is below the 4.4% on a 1-year Treasury.

Yield below the top quarter

The top quarter of US dividend payers yield 3.8% or more; DuPont de Nemours yields 1.5%.

Dividend was cut

The dividend per share fell by more than 10% at least once in the last 10 fiscal years.

Not covered by earnings

Dividends take 758% of net income, leaving little room.

Covered by free cash flow

Dividends take 59.4% of free cash flow.