Ingredion (INGR) AI Stock Analysis

• Market Cap: $8.14B
• Dividend Yield: 2.5%
• Average Volume (3M): 457.65K
• Price to Earnings (P/E): 12.4
• Beta (1Y): 0.38
• Revenue Growth: -5.16%
• EPS Growth: 4.95%
• Country: US
• Employees: 11,000
• Sector: Consumer Defensive
• Sector Strength: 67
• Industry: Packaged Foods
• EPS (TTM): 2.87
• Shares Outstanding: 64,180,890
• 10 Day Avg. Volume: 541,763
• 30 Day Avg. Volume: 457,646
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.21
• Enterprise Value/Revenue: 1.34
• Enterprise Value/Gross Profit: 5.18
• Enterprise Value/Ebitda: 7.92
• 1Y Price Target: $150.00
• Price Target Upside: 17.28% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5

• Rating: 75 Outperform
• Price Target: $142.00 ▲(11.02% Upside)

Ingredion's strong financial performance and valuation underpin its attractiveness, despite technical weaknesses. The earnings call highlights operational successes and challenges, balancing the cautious optimism. Corporate governance events further support its stability, leading to an overall solid stock score.

Positive Factors

Balance Sheet and M&A

Strong balance sheet should support earnings growth via M&A and upside to share repurchase expectations.

Earnings Guidance

Management has raised its adjusted EPS guidance by approximately 5% following solid 3Q results, supporting an increase in the price target.

Operational Efficiency

The company's new approach to pricing, better manufacturing spending, and improved raw material procurement have led to expanded gross margins.

Negative Factors

Sales Decline

Despite decreases in sales, the company started the year with solid outperformance on profitability and expanding margins.

Valuation Concerns

Market Perform rating is reiterated owing to valuation sensitivity.

Valuation Sensitivity

Reiterate Market Perform owing to valuation sensitivity, though constructive on INGR’s outlook supported by ongoing volume recovery, lower corn prices, internal cost savings, organic growth projects, and ample cash for buybacks and M&A.

Ingredion Business Overview & Revenue Model

Company Description

Ingredion Incorporated, together with its subsidiaries, produces and sells starches and sweeteners for various industries. It operates through four segments: North America; South America; Asia-Pacific; and Europe, Middle East and Africa. The company offers sweetener products comprising glucose syrups, high maltose syrups, high fructose corn syrups, caramel colors, dextrose, polyols, maltodextrins, and glucose syrup solids, as well as food-grade and industrial starches, biomaterials, and nutrition ingredients. It also provides edible corn oil; refined corn oil to packers of cooking oil and to producers of margarine, salad dressings, shortening, mayonnaise, and other foods; and corn gluten feed used as protein feed for chickens, pet food, and aquaculture, as well as fruit and vegetable products, such as concentrates, purees and essences, pulse proteins, and hydrocolloids systems and blends. The company's products are derived primarily from processing corn and other starch-based materials, such as tapioca, potato, and rice. It serves food, beverage, brewing, and animal nutrition industries. The company was formerly known as Corn Products International, Inc. and changed its name to Ingredion Incorporated in June 2012. Ingredion Incorporated was founded in 1906 and is headquartered in Westchester, Illinois.

How the Company Makes Money

Ingredion generates revenue primarily through the sale of its ingredient products to food and beverage manufacturers, pharmaceutical companies, and industrial clients. The company's key revenue streams include starches, which are used in a variety of food applications for thickening and stabilizing; sweeteners, including high fructose corn syrup and other sugar substitutes; and texturizers, which enhance the texture and mouthfeel of food products. Ingredion also offers specialty ingredients that cater to specific dietary needs and trends, such as gluten-free and organic products. The company benefits from strategic partnerships with major food brands and manufacturers, which help to secure long-term contracts and consistent demand for its products. Additionally, Ingredion's focus on innovation and research and development allows it to create new products that meet evolving consumer preferences, further driving its revenue growth.

Ingredion Financial Statement Overview

Summary

Ingredion presents a robust financial position with strong profitability and cash generation capabilities. While revenue has seen a decline, operational efficiencies have improved margins. The balance sheet is healthy with moderate leverage, and cash flow metrics highlight excellent liquidity and financial flexibility. Continued focus on revenue growth and debt management will enhance long-term stability.

Income Statement

Ingredion's income statement shows a strong gross profit margin of 25.8% for TTM, indicating efficient production and cost management. The net profit margin is healthy at 8.5% for TTM, demonstrating solid profitability. While revenue decreased from $8.16 billion in 2023 to $7.36 billion in TTM, the EBIT and EBITDA margins improved to 14.1% and 16.2% respectively, reflecting operational efficiency despite revenue contraction.

Balance Sheet

The balance sheet indicates a manageable debt-to-equity ratio of 0.44 for TTM, reflecting moderate leverage. Return on Equity (ROE) is robust at 15.6% for TTM, showcasing effective use of equity to generate profits. The equity ratio stands at 53.8%, signifying a strong capital structure with a higher proportion of equity. However, the slight increase in total debt and reduced cash reserves highlight the need for careful debt management.

Cash Flow

Cash flow is strong, with a high operating cash flow to net income ratio of 2.08 for TTM, indicating excellent cash generation from operations. Free cash flow improved to $976 million, showing a significant recovery from previous years. The free cash flow to net income ratio is an impressive 1.55, underscoring efficient cash management and the potential for future investments or debt reduction.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.36B	7.43B	8.16B	7.95B	6.89B	5.99B
Gross Profit	1.90B	1.79B	1.75B	1.49B	1.33B	1.27B
EBITDA	1.24B	1.18B	1.17B	978.00M	543.00M	801.00M
Net Income	628.00M	647.00M	643.00M	492.00M	117.00M	348.00M
Balance Sheet
Total Assets	7.47B	7.44B	7.64B	7.56B	7.00B	6.86B
Cash, Cash Equivalents and Short-Term Investments	846.00M	1.01B	409.00M	239.00M	332.00M	665.00M
Total Debt	1.78B	2.04B	2.40B	2.48B	2.05B	2.32B
Total Liabilities	3.42B	3.55B	4.05B	4.30B	3.77B	3.79B
Stockholders Equity	4.02B	3.86B	3.54B	3.19B	3.14B	2.98B
Cash Flow
Free Cash Flow	976.00M	1.14B	741.00M	-148.00M	92.00M	496.00M
Operating Cash Flow	1.30B	1.44B	1.06B	152.00M	392.00M	829.00M
Investing Cash Flow	-358.00M	-47.00M	-329.00M	-320.00M	-335.00M	-571.00M
Financing Cash Flow	-532.00M	-765.00M	-569.00M	103.00M	-373.00M	143.00M

Ingredion Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 127.90
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For INGR, the sentiment is Negative. The current price of 127.9 is below the 20-day moving average (MA) of 130.00, below the 50-day MA of 133.89, and below the 200-day MA of 134.27, indicating a bearish trend. The MACD of -2.31 indicates Positive momentum. The RSI at 39.21 is Neutral, neither overbought nor oversold. The STOCH value of 36.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for INGR.

Ingredion Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BRFS	76 Outperform	$5.94B	8.45	23.47%	2.48%	3.82%	―
INGR	75 Outperform	$8.14B	12.38	17.11%	2.50%	-5.16%	4.95%
POST	75 Outperform	$5.81B	18.58	9.23%	―	0.80%	10.43%
CPB	64 Neutral	$9.57B	21.21	11.67%	4.73%	8.65%	-38.57%
Sector *	63 Neutral	$21.01B	14.53	-7.26%	3.13%	3.36%	-7.91%
DAR	61 Neutral	$4.92B	47.65	2.32%	―	-6.25%	-71.35%
JJSF	61 Neutral	$2.20B	26.28	8.79%	2.85%	0.50%	-4.46%

Ingredion Corporate Events

Ingredion Stockholders Approve Key Proposals at Annual Meeting

On May 21, 2025, Ingredion Incorporated held its annual meeting of stockholders where three key proposals were voted on. The stockholders elected all 11 nominees to the Board of Directors for a one-year term, approved the executive compensation on an advisory basis, and ratified KPMG LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025. These decisions reflect continued support for the company’s leadership and financial oversight.

The most recent analyst rating on (INGR) stock is a Hold with a $147.00 price target. To see the full list of analyst forecasts on Ingredion stock, see the INGR Stock Forecast page.