Brenntag AG (BNTGY) AI Stock Analysis

• Market Cap: $7.73B
• Dividend Yield: 4.45%
• Average Volume (3M): 2.99K
• Price to Earnings (P/E): 16.9
• Beta (1Y): 0.75
• Revenue Growth: -0.73%
• EPS Growth: -29.18%
• Country: US
• Employees: 18,122
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 0.07
• Shares Outstanding: 721,926,800
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 2,990
• PEG Ratio: -0.72
• Price to Book (P/B): 1.77
• Price to Sales (P/S): 0.51
• P/FCF Ratio: 14.81
• Enterprise Value/Market Cap: 1.68
• Enterprise Value/Revenue: 0.81
• Enterprise Value/Gross Profit: 3.24
• Enterprise Value/Ebitda: 9.98
• 1Y Price Target: $12.80
• Price Target Upside: 9.12% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): 0.8
• Revenue Forecast (FY): $18.24B

• Rating: 58 Neutral
• Price Target: $11.50 ▼(-1.96% Downside)

Brenntag AG's overall stock score reflects stable financial performance and a reasonable valuation, but is weighed down by bearish technical indicators and a cautious outlook from the earnings call. The company's strong balance sheet and dividend yield are positives, but challenges in revenue growth and market conditions pose risks.

Brenntag AG Business Overview & Revenue Model

Company Description

Brenntag AG (BNTGY) is a global leader in chemical distribution, serving a wide range of industries including pharmaceuticals, food and beverage, agriculture, and personal care. The company operates through two main segments: Brenntag Essentials, which focuses on the distribution of industrial and specialty chemicals, and Brenntag Specialties, which provides tailored solutions and products for specific applications. Brenntag operates a vast network of warehouses and distribution centers, enabling efficient logistics and supply chain management, and is dedicated to offering value-added services such as blending, repackaging, and technical support.

How the Company Makes Money

Brenntag AG generates revenue primarily through the distribution of chemicals and related products. The company's revenue model is based on the sale of a broad portfolio of industrial and specialty chemicals, which are sourced from a diverse range of suppliers and sold to various end markets. Key revenue streams include direct sales to customers across multiple sectors, as well as value-added services that enhance customer offerings. Significant partnerships with major chemical manufacturers allow Brenntag to secure favorable terms and expand its product range, while its extensive logistics network ensures efficient delivery and inventory management, contributing to overall profitability. Additionally, the company's focus on innovation and customer-specific solutions helps to foster long-term relationships and repeat business, further bolstering its revenue generation capabilities.

Brenntag AG Financial Statement Overview

Summary

Brenntag AG shows stable financial performance with strong profitability and balance sheet management. Despite challenges in revenue growth, the company maintains solid margins and effective cash flow management. The low leverage and strong return on equity are positive, but attention to revenue growth is necessary.

Income Statement

Brenntag AG's income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) data indicates a slight decline in revenue growth rate, which is concerning. However, the company maintains stable gross and net profit margins, suggesting operational efficiency. The EBIT and EBITDA margins are consistent, reflecting steady profitability despite revenue challenges.

Balance Sheet

The balance sheet of Brenntag AG is relatively strong, with a low debt-to-equity ratio in the TTM period, indicating prudent financial management. The return on equity remains healthy, showcasing effective use of shareholder funds. The equity ratio is stable, reflecting a solid financial position with manageable leverage.

Cash Flow

Cash flow analysis reveals positive trends, with a slight growth in free cash flow and a healthy operating cash flow to net income ratio. The free cash flow to net income ratio is robust, indicating efficient cash generation relative to profits. However, the growth rate of free cash flow has slowed, which could be a potential area of concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	16.00B	16.24B	16.82B	19.43B	14.38B	11.78B
Gross Profit	4.01B	4.03B	4.02B	4.32B	3.38B	2.77B
EBITDA	1.30B	1.33B	1.51B	1.70B	1.03B	995.90M
Net Income	423.00M	536.20M	714.90M	886.80M	448.30M	466.50M
Balance Sheet
Total Assets	10.79B	11.67B	10.34B	11.37B	10.20B	8.14B
Cash, Cash Equivalents and Short-Term Investments	531.70M	763.30M	576.90M	1.05B	705.00M	726.30M
Total Debt	551.90M	3.38B	2.40B	2.93B	2.66B	2.02B
Total Liabilities	6.55B	6.91B	5.98B	6.57B	6.20B	4.53B
Stockholders Equity	4.21B	4.73B	4.30B	4.75B	3.91B	3.55B
Cash Flow
Free Cash Flow	586.10M	564.40M	1.34B	689.50M	189.30M	1.02B
Operating Cash Flow	907.80M	906.60M	1.66B	956.70M	388.60M	1.22B
Investing Cash Flow	-523.00M	-749.00M	-558.30M	-401.40M	-608.50M	-224.10M
Financing Cash Flow	-495.00M	23.00M	-1.55B	-225.80M	174.10M	-735.60M

Brenntag AG Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 11.73
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BNTGY, the sentiment is Negative. The current price of 11.73 is above the 20-day moving average (MA) of 11.29, above the 50-day MA of 11.72, and below the 200-day MA of 12.72, indicating a bearish trend. The MACD of -0.29 indicates Positive momentum. The RSI at 31.66 is Neutral, neither overbought nor oversold. The STOCH value of 6.92 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BNTGY.

Brenntag AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EMN	67 Neutral	$6.80B	9.94	12.24%	5.42%	-3.33%	-19.59%
PPG	67 Neutral	$21.36B	16.99	16.31%	2.86%	-12.98%	-11.34%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
BNTGY	58 Neutral	$7.73B	16.92	9.47%	4.45%	-0.73%	-29.18%
ALB	53 Neutral	$10.74B	―	-0.21%	1.68%	-23.92%	90.47%
AVTR	53 Neutral	$7.72B	―	-1.48%	―	-3.59%	-126.16%
WLK	47 Neutral	$8.27B	―	-9.48%	3.24%	-5.32%	-1108.29%

Brenntag AG Corporate Events

Brenntag AG Earnings Call: Strategic Moves Amid Financial Challenges

Brenntag AG’s latest earnings call painted a complex picture of strategic achievements overshadowed by financial challenges. The company highlighted its strategic expansions and sustainability accolades, but these were tempered by a notable decline in financial performance, impairments, and a reduction in full-year guidance. The sentiment was a mix of optimism for strategic initiatives and caution due to market challenges.

Brenntag AG Reports Challenging H1 2025 Results

Brenntag AG is a global leader in chemical and ingredients distribution, providing a wide range of industrial and specialty chemicals and services through its divisions, Brenntag Essentials and Brenntag Specialties. The company operates across more than 70 countries, connecting chemical industry customers and suppliers.