Ingredion (INGR) AI Stock Analysis

• Market Cap: $8.24B
• Dividend Yield: 2.49%
• Average Volume (3M): 452.41K
• Price to Earnings (P/E): 12.5
• Beta (1Y): 0.38
• Revenue Growth: -5.16%
• EPS Growth: 4.95%
• Country: US
• Employees: 11,000
• Sector: Consumer Defensive
• Sector Strength: 45
• Industry: Packaged Foods
• EPS (TTM): 2.87
• Shares Outstanding: 64,180,890
• 10 Day Avg. Volume: 460,234
• 30 Day Avg. Volume: 452,407
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.19
• Enterprise Value/Revenue: 1.35
• Enterprise Value/Gross Profit: 5.26
• Enterprise Value/Ebitda: 8.22
• 1Y Price Target: $152.00
• Price Target Upside: 18.37% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4

• Rating: 69 Neutral
• Price Target: $138.00 ▲(7.47% Upside)

Ingredion's overall stock score is driven by its solid financial performance and attractive valuation, which are offset by bearish technical indicators and some operational challenges highlighted in the earnings call. The company's strategic initiatives and strong corporate governance provide a foundation for potential recovery and growth.

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 (NYSE: INGR) is a global ingredient solutions company that processes corn, tapioca, and other starches and sweeteners to produce a wide range of food and industrial ingredients. Headquartered in Westchester, Illinois, Ingredion operates in various sectors, including food and beverages, pharmaceuticals, and industrial applications. The company offers a diverse portfolio of products including starches, sweeteners, texturizers, and nutrition ingredients, serving customers in over 120 countries.

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 demonstrates solid financial performance with strong profitability and operational efficiency. The company has improved margins and maintains a healthy balance sheet. However, negative revenue growth and declining free cash flow growth in the TTM period pose potential risks.

Income Statement

Ingredion's income statement shows a stable gross profit margin over the years, with a slight improvement in the TTM period. The net profit margin has also improved, indicating better cost management. However, the revenue growth rate is negative in the TTM period, suggesting a decline in sales. The EBIT and EBITDA margins have shown consistent improvement, indicating operational efficiency.

Balance Sheet

The balance sheet reflects a healthy debt-to-equity ratio, which has improved in the TTM period, indicating reduced leverage. Return on equity remains strong, showing effective use of equity to generate profits. The equity ratio is stable, suggesting a balanced capital structure. However, the company should continue to monitor its debt levels to maintain financial stability.

Cash Flow

Cash flow analysis reveals a decline in free cash flow growth in the TTM period, which is a concern. The operating cash flow to net income ratio is strong, indicating good cash generation relative to net income. However, the free cash flow to net income ratio has decreased, suggesting challenges in converting earnings into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.32B	7.43B	8.16B	7.95B	6.89B	5.99B
Gross Profit	1.87B	1.79B	1.75B	1.49B	1.33B	1.27B
EBITDA	1.20B	1.18B	1.17B	982.00M	542.00M	800.00M
Net Income	676.00M	647.00M	643.00M	492.00M	117.00M	348.00M
Balance Sheet
Total Assets	7.78B	7.44B	7.64B	7.56B	7.00B	6.86B
Cash, Cash Equivalents and Short-Term Investments	868.00M	1.01B	409.00M	239.00M	332.00M	665.00M
Total Debt	1.79B	2.04B	2.40B	2.68B	2.25B	2.37B
Total Liabilities	3.50B	3.55B	3.99B	4.30B	3.77B	3.79B
Stockholders Equity	4.25B	3.86B	3.59B	3.19B	3.14B	2.98B
Cash Flow
Free Cash Flow	803.00M	1.14B	741.00M	-148.00M	92.00M	496.00M
Operating Cash Flow	1.18B	1.44B	1.06B	152.00M	392.00M	829.00M
Investing Cash Flow	-387.00M	-47.00M	-329.00M	-320.00M	-335.00M	-571.00M
Financing Cash Flow	-443.00M	-765.00M	-569.00M	103.00M	-373.00M	143.00M

Ingredion Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 128.41
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For INGR, the sentiment is Neutral. The current price of 128.41 is above the 20-day moving average (MA) of 127.53, below the 50-day MA of 130.95, and below the 200-day MA of 133.30, indicating a neutral trend. The MACD of -0.49 indicates Negative momentum. The RSI at 48.23 is Neutral, neither overbought nor oversold. The STOCH value of 37.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for INGR.

Ingredion Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PPC	79 Outperform	$10.52B	8.53	33.13%	―	2.06%	63.27%
BRFS	78 Outperform	$6.09B	9.50	21.17%	2.39%	-1.19%	78.79%
POST	75 Outperform	$5.88B	18.54	9.23%	―	0.80%	10.43%
INGR	69 Neutral	$8.24B	12.53	17.11%	2.49%	-5.16%	4.95%
JJSF	68 Neutral	$2.12B	25.40	8.79%	2.86%	0.50%	-4.46%
DAR	66 Neutral	$5.07B	49.11	2.32%	―	-6.25%	-71.35%
Sector *	63 Neutral	$20.52B	14.80	-2.68%	3.09%	1.95%	-4.76%

Ingredion Corporate Events

Ingredion Enters New Revolving Credit Agreement

Ingredion Incorporated announced that on August 27, 2025, it entered into a new Revolving Credit Agreement with JPMorgan Chase Bank, N.A. and J.P. Morgan SE, replacing its previous agreement from June 30, 2021. The new agreement terminates the previous credit facility, which was set to mature on June 30, 2026, potentially impacting the company’s financial flexibility and stakeholder relations.