NewMarket Corp Stock Research

Market Summary

USD397.30+0.66

Market Closed

0.17%

NEU Alerts

Big jump in Earnings (Y/Y)

NEU Stock Price

NEU RSI Chart

NEU Valuation

Market Cap

3.8B

Price/Earnings (Trailing)

12.03

Price/Sales (Trailing)

1.36

EV/EBITDA

7.26

Price/Free Cashflow

24.47

NEU Price/Sales (Trailing)

NEU Profitability

EBT Margin

12.58%

Return on Equity

36.67%

Return on Assets

11.61%

Free Cashflow Yield

4.09%

NEU Fundamentals

NEU Revenue

Revenue (TTM)

2.8B

Revenue Y/Y

6.07%

Revenue Q/Q

2.96%

NEU Earnings

Earnings (TTM)

317.8M

Earnings Y/Y

64.51%

Earnings Q/Q

7.8%

Price Action

52 Week Range

280.28404.60

(Low)(High)

Last 7 days

-0.3%

Last 30 days

9.7%

Last 90 days

16.3%

Trailing 12 Months

19.6%

NEU Financial Health

Current Ratio

2.81

NEU Investor Care

Dividend Yield

2.11%

Dividend/Share (TTM)

8.4

Buy Backs (1Y)

6.13%

Diluted EPS (TTM)

32.12

Peers (Alternatives to NewMarket)

View All Peers In Detail

Name	Mkt Capsorted ascending	Revenue	Price %, 1M	Returns, 1Y	P/E	P/S	Rev 1-Yr	Inc 1-Yr
LARGE-CAP
LYB	28.4B	47.5B	-3.63%	-14.89%	9.34	0.6	-5.39%	-48.13%
PPG	26.8B	17.7B	-2.84%	6.97%	24.98	1.52	2.87%	18.13%
IFF	20.0B	12.2B	-17.08%	-39.85%	-10.71	1.63	-1.42%	-768.10%
WLK	15.1B	15.1B	2.63%	-12.32%	6.74	0.96	12.00%	-25.52%
RPM	10.3B	7.2B	1.10%	-9.03%	19.6	1.43	11.69%	17.31%
MID-CAP
OLN	6.5B	8.8B	-4.80%	-21.03%	6.01	0.75	-7.34%	-24.77%
AXTA	5.3B	5.0B	-2.58%	10.60%	26.11	1.1	10.33%	-27.28%
NEU	3.8B	2.8B	9.69%	19.63%	12.03	1.36	14.40%	76.05%
SXT	3.2B	1.5B	1.14%	-16.62%	22.49	2.2	5.41%	10.73%
GCP	2.4B	-	1.27%	44.25%	215.39	2.37	-	-
SMALL-CAP
WLKP	809.2M	1.5B	-5.00%	-19.53%	10.8	0.56	17.52%	-46.24%
FF	399.1M	427.9M	23.58%	25.62%	8.2	0.93	27.12%	91.20%
AMRS	254.1M	268.2M	-9.73%	-69.62%	-0.48	0.95	20.46%	-95.04%

Financials for NewMarket

* denotes actual numbers (not divided by Millions)
Income Statement (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2023Q1	2022Q4	2022Q3	2022Q2	2022Q1
Revenue	1.5%	2,805	2,765	2,659	2,585	2,452
Gross Profit	6.7%	683	640	568	558	541
S&GA Expenses	2.9%	149	145	144	148	145
R&D Expenses	-2.2%	137	140	143	144	144
EBITDA	20.1%	465	387	370	354	-
EBITDA Margin	15.5%	0.17*	0.15*	0.14*	0.14*	-
Earnings Before Taxes	14.9%	399	348	269	250	232
EBT Margin	24.1%	0.13*	0.10*	0.10*	0.09*	-
Interest Expenses	3.9%	37.00	35.00	35.00	35.00	37.00
Net Income	13.7%	318	280	206	195	181
Net Income Margin	30.4%	0.10*	0.08*	0.08*	0.07*	-
Free Cahsflow	375.6%	52.00	-19.03	23.00	52.00	-

* denotes actual numbers (not divided by Millions)
Balance Sheet					(In Millions)
Description	(%) Q/Q	2023Q1	2022Q4	2022Q3	2022Q2	2022Q1
Assets	-2.3%	2,351	2,407	2,337	2,331	2,282
Current Assets	-5.1%	1,132	1,192	1,174	1,161	1,114
Cash Equivalents	2.0%	70.00	69.00	72.00	79.00	85.00
Inventory	-10.3%	566	631	592	530	524
Net PPE	-0.3%	658	660	653	663	671
Liabilities	-7.0%	1,529	1,644	1,669	1,609	1,521
Current Liabilities	-15.4%	358	424	426	447	412
LT Debt, Current	NaN%	-	-	-	-	-
LT Debt, Non Current	-4.6%	958	1,004	1,009	911	841
Shareholder's Equity	7.8%	822	762	667	721	760
Retained Earnings	5.9%	883	834	816	836	845
Shares Outstanding	-0.8%	10.00	10.00	10.00	10.00	10.00

Cashflow (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2023Q1	2022Q4	2022Q3	2022Q2	2022Q1
Cashflow From Operations	94.9%	212	109	36.00	86.00	123
Cashflow From Investing	-117.5%	-55.44	316	316	305	-81.44
Cashflow From Financing	61.2%	-170	-439	-336	-462	-480
Dividend Payments	-1.5%	83.00	84.00	86.00	87.00	87.00
Buy Backs	-2.1%	203	207	260	297	241

Risks for NEU

What is the probability of a big loss on NEU?

54.2%

Probability that NewMarket stock will be more than 20% underwater in next one year

Probability that NewMarket stock will be more than 30% underwater in next one year.

Probability that NewMarket stock will be more than 40% underwater in next one year.

*Calculated based on probability distribution of losses observed in actual data in the last 5 years.

How does NEU drawdown profile look like?

Y-axis is the maximum loss one would have experienced if NewMarket was unfortunately bought at previous high price.

Drawdowns

Returns for NEU

Cumulative Returns on NEU

5.3%

10-Year Cumulative Returns

1.3%

7-Year Cumulative Returns

2.8%

5-Year Cumulative Returns

-1.0%

3-Year Cumulative Returns

What are the long-term rolling returns for NEU?

FIve years rolling returns for NewMarket.

Annualized Returns

Which funds bought or sold NEU recently?

View All Details

Datesorted ascending	Fund Name	Type	% Chg	$ Change	$ Held	% Portfolio
2023-05-23	ROYCE & ASSOCIATES LP	unchanged	-	430,960	2,919,840	0.03%
2023-05-22	PUTNAM INVESTMENTS LLC	reduced	-26.53	-45,511	283,954	-%
2023-05-22	AMERIPRISE FINANCIAL INC	reduced	-2.38	445,081	3,506,080	-%
2023-05-18	NEW YORK STATE COMMON RETIREMENT FUND	reduced	-8.62	954,000	14,195,000	0.02%
2023-05-18	JPMORGAN CHASE & CO	reduced	-0.2	2,533,020	17,359,000	-%
2023-05-17	Thrivent Financial for Lutherans	reduced	-2.59	81,000	645,000	-%
2023-05-16	Baker Avenue Asset Management, LP	unchanged	-	54.00	365	-%
2023-05-16	JANE STREET GROUP, LLC	reduced	-49.19	-200,532	295,999	-%
2023-05-16	Blue Edge Capital, LLC	unchanged	-	331,194	2,243,900	0.48%
2023-05-16	SRS Capital Advisors, Inc.	added	5.17	21,100	111,448	0.01%

Latest Funds Activity

Are funds buying NEU calls or puts?

Calls

Puts

Are funds bullish or bearish(Calls - Puts)?

Net Call Options

No. of funds that own NEU

No. of Funds

NEU Alerts

Big jump in Earnings (Y/Y)

NewMarket News

Schedule 13G FIlings of NewMarket

Date Filed	Name of Filer	Percent of Class	No. of Shares	Form Type
Feb 14, 2023	bank of america corp /de/	9.4%	928,204	SC 13G/A
Feb 14, 2023	london co of virginia	6.85%	676,173	SC 13G/A
Feb 13, 2023	floyd d. gottwald, jr. living trust	1.0%	1e+05	SC 13G/A
Feb 09, 2023	vanguard group inc	7.16%	706,908	SC 13G/A
Feb 01, 2023	blackrock inc.	6.2%	614,717	SC 13G/A
May 23, 2022	floyd d. gottwald, jr. living trust	5.0%	5	SC 13G
Feb 14, 2022	london co of virginia	6.55%	696,876	SC 13G/A
Feb 14, 2022	gottwald floyd d jr	5.6%	591,584	SC 13G/A
Feb 03, 2022	blackrock inc.	5.7%	603,287	SC 13G/A
Jan 31, 2022	bank of america corp /de/	7.2%	760,780	SC 13G/A

NEU Fair Value

NewMarket fair value in different scenarios

The table shows the Fair Value estimates for NewMarket for various scenarios. Disclaimer: These are just estimations from a model. None of the models are good at predicting the future. Please dont buy or sell stocks based on these outputs.

Fair Value	Very Pessimistic	Pessimistic	Base Case	Optimistic	Very Optimistic
Very Low Inflation	296.16 -25.46%	349.94 -11.92%	552.43 39.05%	703.60 77.10%	839.82 111.38%
Current Inflation	275.01 -30.78%	321.14 -19.17%	493.07 24.11%	619.75 55.99%	733.53 84.63%
Very High Inflation	248.62 -37.42%	285.84 -28.05%	422.87 6.44%	522.15 31.42%	610.94 53.77%

Historical NewMarket Fair Value Estimates

Very Pessimistic Case

Pessimistic Case

Fair Value

Optimistic Case

Very Optimistic Case

Closing Stock Price

Recent SEC filings of NewMarket

View All Filings

Date Filed	Form Type	Document
Apr 27, 2023	8-K	Current Report
Apr 27, 2023	10-Q	Quarterly Report
Apr 26, 2023	8-K	Current Report
Mar 10, 2023	DEFA14A	DEFA14A
Mar 10, 2023	DEF 14A	DEF 14A
Mar 10, 2023	ARS	ARS
Mar 02, 2023	3/A	Insider Trading
Feb 27, 2023	4	Insider Trading
Feb 27, 2023	4	Insider Trading
Feb 27, 2023	4	Insider Trading

Latest Insider Trading transactions for NEU

Filter Transactions

Datesorted ascending	Name	Buy/Sell	$ Value	Avg. Price	# Shares	Title
2023-02-23	GOTTWALD THOMAS E	acquired	-	-	1,175	chairman, president & ceo
2023-02-23	Paliotti Brian D	sold (taxes)	-84,373	338	-249	president afton chemical corp
2023-02-23	Hazelgrove Bruce R III	acquired	-	-	825	evp & cao
2023-02-23	Hazelgrove Bruce R III	sold (taxes)	-84,373	338	-249	evp & cao
2023-02-23	Paliotti Brian D	acquired	-	-	825	president afton chemical corp
2023-02-23	GOTTWALD THOMAS E	sold (taxes)	-123,341	338	-364	chairman, president & ceo
2023-02-22	GOTTWALD THOMAS E	gifted	-	-	297	chairman, president & ceo
2023-02-22	GOTTWALD THOMAS E	gifted	-	-	198	chairman, president & ceo

About NewMarket

Thomas E. Gottwald

www.newmarket.com

2100

NewMarket Corporation, through its subsidiaries, engages in the petroleum additives business. The company offers lubricant additives for use in various vehicle and industrial applications, including engine oils, transmission fluids, off-road powertrain and hydraulic systems, gear oils, hydraulic oils, turbine oils, and other applications where metal-to-metal moving parts are utilized; engine oil additives designed for passenger cars, motorcycles, on and off-road heavy duty commercial equipment, locomotives, and engines in ocean-going vessels; driveline additives designed for products, such as transmission fluids, axle fluids, and off-road powertrain fluids; and industrial additives designed for products for industrial applications consisting of hydraulic fluids, grease, industrial gear fluids, and industrial specialty applications, such as turbine oils. It also provides fuel additives that are used to enhance the oil refining process and the performance of gasoline, diesel, biofuels, and other fuels to industry, government, original equipment manufacturers, and individual customers. In addition, the company engages in the antiknock compounds business, as well as contracted manufacturing and services activities; and owns and manages a real property in Virginia. It operates in North America, Latin America, the Asia Pacific, Europe, the Middle East, Africa, and India. NewMarket Corporation was founded in 1887 and is headquartered in Richmond, Virginia.

NEU Income Statement

2023-03-31

Consolidated Statements Of Income - USD ($) $ in Thousands	3 Months Ended
Consolidated Statements Of Income - USD ($) $ in Thousands	Mar. 31, 2023	Mar. 31, 2022
Income Statement [Abstract]
Net sales	$ 702,789	$ 662,552
Cost of goods sold	504,745	507,389
Gross profit	198,044	155,163
Selling, general, and administrative expenses	39,847	35,622
Research, development, and testing expenses	33,156	36,251
Operating profit	125,041	83,290
Interest and financing expenses, net	10,773	9,406
Loss on early extinguishment of debt	0	7,545
Other income (expense), net	10,880	7,168
Income before income tax expense	125,148	73,507
Income tax expense	27,565	14,189
Net income	$ 97,583	$ 59,318
Earnings per share - basic (in dollars per share)	$ 10.09	$ 5.75
Earnings per share - diluted (in dollars per share)	10.09	5.75
Cash dividends declared per share (in dollars per share)	$ 2.10	$ 2.10

NEU Balance Sheet

2023-03-31

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents	$ 70,115	$ 68,712
Trade and other accounts receivable, less allowance for credit losses	457,203	453,692
Inventories	566,136	631,383
Prepaid expenses and other current assets	38,107	38,338
Total current assets	1,131,561	1,192,125
Property, plant, and equipment, net	658,092	659,998
Intangibles (net of amortization) and goodwill	125,754	126,069
Prepaid pension cost	310,753	302,584
Operating lease right-of-use assets, net	60,350	62,417
Deferred charges and other assets	64,261	63,625
Total assets	2,350,771	2,406,818
Current liabilities:
Accounts payable	212,277	273,289
Accrued expenses	72,336	89,508
Dividends payable	17,861	17,850
Income taxes payable	35,248	16,109
Operating lease liabilities	14,948	15,569
Other current liabilities	5,826	11,562
Total current liabilities	358,496	423,887
Long-term debt	957,958	1,003,737
Operating lease liabilities-noncurrent	45,588	46,968
Other noncurrent liabilities	166,929	169,819
Total liabilities	1,528,971	1,644,411
Commitments and contingencies (Note 9)
Shareholders’ equity:
Common stock and paid-in capital (with no par value; authorized shares - 80,000,000; issued and outstanding shares - 9,625,959 at March 31, 2023 and 9,702,147 at December 31, 2022)	0	0
Accumulated other comprehensive loss	(61,551)	(71,995)
Retained earnings	883,351	834,402
Total shareholders' equity	821,800	762,407
Total liabilities and shareholders’ equity	$ 2,350,771	$ 2,406,818