Ingevity (NGVT) AI Stock Analysis

• Market Cap: $1.65B
• Dividend Yield: N/A
• Average Volume (3M): 206.53K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.57
• Revenue Growth: -17.68%
• EPS Growth: -214.32%
• Country: US
• Employees: 1,600
• Sector: Basic Materials
• Sector Strength: 71
• Industry: Chemicals - Specialty
• EPS (TTM): 0.99
• Shares Outstanding: 36,464,880
• 10 Day Avg. Volume: 231,093
• 30 Day Avg. Volume: 206,535
• PEG Ratio: 0.15
• Price to Book (P/B): 3.85
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 15.76
• Enterprise Value/Market Cap: 2.48
• Enterprise Value/Revenue: 0.71
• Enterprise Value/Gross Profit: 8.76
• Enterprise Value/Ebitda: -3.04
• 1Y Price Target: $47.00
• Price Target Upside: 3.66% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 55 Neutral
• Price Target: $48.00 ▲(5.87%Upside)

Ingevity's overall stock score reflects significant financial challenges and valuation concerns, partially offset by positive technical indicators and strong operational execution highlighted in the earnings call. The company's ability to manage leverage and improve profitability will be crucial for future performance.

Positive Factors

Earnings Growth

NGVT has reached a positive inflection point in its turnaround with earnings growth and a significant jump in free cash flow.

Strategic Review

The strategic review of NGVT's PC business could unlock value and drive upside, presenting a positive risk/reward scenario.

Negative Factors

Guidance Reduction

NGVT lowered its full-year guidance on lower global auto production expectations.

Trade Risks

Management widened the full year guidance range due to trade war and incremental risks tied to tariffs on auto production.

Ingevity Business Overview & Revenue Model

Company Description

Ingevity Corporation manufactures and sells specialty chemicals and activated carbon materials in North America, the Asia Pacific, Europe, the Middle East, Africa, and South America. The company operates through two segments, Performance Materials and Performance Chemicals. The Performance Materials segment engineers, manufactures, and sells hardwood-based and chemically activated carbon products primarily for use in gasoline vapor emission control systems in cars, motorcycles, trucks, and boats. This segment also produces other activated carbon products for use in various applications, including food, water, beverage, and chemical purification. The Performance Chemicals segment comprises of pavement technologies, industrial specialties, and engineered polymers. It manufactures products derived from crude tall oil and lignin extracted from the kraft pulping process, as well as caprolactone monomers and derivatives derived from cyclohexanone and hydrogen peroxide. This segment's products are used in various applications comprising warm mix paving, pavement preservation, pavement reconstruction and recycling, oil well service additives, oil production, and downstream applications; and adhesives, agrochemical dispersants, lubricants, printing inks, industrial intermediates and oilfield, coatings, resins, elastomers, bioplastics, and medical devices. Ingevity Corporation was founded in 1964 and is headquartered in North Charleston, South Carolina.

How the Company Makes Money

Ingevity makes money by producing and selling specialty chemicals and performance materials to a diverse set of industries. Its revenue model is primarily based on the sale of products such as activated carbon, which is used in automotive emissions control systems, and specialty chemicals used in oilfield applications, adhesives, and lubricants. The company benefits from long-term contracts and partnerships with key customers in the automotive and industrial sectors, which provide stable and recurring revenue streams. Additionally, Ingevity's innovative product offerings and commitment to sustainability contribute to its competitive positioning and ability to capture market share in the chemicals and materials industry.

Ingevity Financial Statement Overview

Summary

Ingevity faces significant financial challenges with declining revenues and high leverage. Despite positive free cash flow, the company shows negative net income and a high debt-to-equity ratio, indicating financial strain.

Income Statement

Ingevity's income statement reveals significant challenges, with a decline in total revenue from $1.69 billion in 2023 to $1.35 billion TTM and a net loss of $353.8 million TTM. The gross profit margin stands at 34.06% TTM, indicating some cost efficiency. However, the net profit margin is deeply negative, reflecting ongoing profitability issues. Despite a decent EBIT margin of 21.01% TTM, the company's revenue growth has been inconsistent, showing a negative trend in the latest period.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio of 5.94 TTM, indicating significant leverage. The equity ratio is low at 11.41% TTM, suggesting potential balance sheet vulnerabilities. Return on equity is negative due to losses, highlighting profitability challenges. Overall, the company's financial structure is strained, with high leverage and low equity levels.

Cash Flow

Ingevity's cash flow statement offers a mixed picture. The operating cash flow to net income ratio is negative due to substantial net losses, but free cash flow is positive at $95.1 million TTM, indicating some cash generation ability. Free cash flow growth has been positive compared to the annual period of 2024, but the company's cash flow performance remains inconsistent.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.35B	1.41B	1.69B	1.67B	1.39B	1.22B
Gross Profit	468.40M	454.70M	471.90M	541.00M	480.60M	465.50M
EBITDA	-240.20M	-329.50M	399.50M	456.30M	417.30M	397.80M
Net Income	-353.80M	-430.30M	-5.40M	211.60M	118.10M	181.40M
Balance Sheet
Total Assets	2.06B	2.02B	2.62B	2.74B	2.47B	2.33B
Cash, Cash Equivalents and Short-Term Investments	71.50M	68.00M	95.90M	76.70M	275.40M	257.70M
Total Debt	1.44B	1.45B	1.53B	1.53B	1.25B	1.34B
Total Liabilities	1.82B	1.83B	1.99B	2.04B	1.80B	1.69B
Stockholders Equity	234.60M	195.20M	631.40M	698.30M	673.80M	642.10M
Cash Flow
Free Cash Flow	95.10M	51.00M	95.30M	170.60M	189.20M	246.50M
Operating Cash Flow	166.10M	128.60M	205.10M	313.10M	293.00M	352.40M
Investing Cash Flow	-74.70M	-79.50M	-77.30M	-553.90M	-140.60M	-110.60M
Financing Cash Flow	-104.60M	-70.20M	-99.90M	48.10M	-133.10M	-50.20M

Ingevity Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 45.34
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NGVT, the sentiment is Positive. The current price of 45.34 is above the 20-day moving average (MA) of 43.04, above the 50-day MA of 40.76, and above the 200-day MA of 41.43, indicating a bullish trend. The MACD of 1.14 indicates Negative momentum. The RSI at 70.20 is Negative, neither overbought nor oversold. The STOCH value of 88.38 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NGVT.

Ingevity Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PRM	73 Outperform	$2.27B	19.64	11.76%	―	70.16%	―
SCL	63 Neutral	$1.30B	23.48	4.65%	2.60%	-0.16%	47.70%
Sector *	62 Neutral	$10.27B	9.83	-0.18%	2.87%	2.21%	-32.50%
NGVT	55 Neutral	$1.65B	―	-88.14%	―	-17.68%	-214.32%
IOSP	55 Neutral	$2.21B	83.78	2.21%	1.89%	-7.91%	-81.73%
MTX	48 Neutral	$1.88B	11.37	-1.45%	0.74%	-3.82%	-126.04%
CC	45 Neutral	$1.94B	62.83	4.66%	2.71%	-0.68%	―

Ingevity Corporate Events

Ingevity Announces Departure of Key Executive

On July 1, 2025, Ingevity Corporation announced the departure of S. Edward Woodcock, Executive Vice President and President of the Performance Materials segment, after a 37-year tenure. Woodcock played a crucial role in the growth of Ingevity’s activated carbon business, particularly in automotive emissions capture, and positioned the segment for future growth in hybrid and electric vehicle battery markets. The company has initiated a search for his successor, with interim management by Andrew Fox and Jonathan MacIver. Despite this leadership change, Ingevity maintains its previously disclosed full-year guidance, indicating stability in its operations.

The most recent analyst rating on (NGVT) stock is a Buy with a $47.00 price target. To see the full list of analyst forecasts on Ingevity stock, see the NGVT Stock Forecast page.

Ingevity Expands Board, Elects New Chair

On April 30, 2025, Ingevity Corporation’s Board of Directors expanded from nine to eleven members, electing Mr. David H. Li and Mr. F. David Segal to fill the new positions. Mr. Bruce D. Hoechner was elected as Chair of the Board for a two-year term. The company’s 2025 Annual Meeting of Stockholders also took place, where stockholders voted on various proposals, including the election of nine director nominees and the approval of the 2025 Omnibus Incentive Plan.