Yara International (YARIY) AI Stock Analysis

• Market Cap: $9.65B
• Dividend Yield: 1.28%
• Average Volume (3M): 13.35K
• Price to Earnings (P/E): 34.4
• Beta (1Y): 0.54
• Revenue Growth: -2.88%
• EPS Growth: N/A
• Country: US
• Employees: 16,624
• Sector: Basic Materials
• Sector Strength: 68
• Industry: Agricultural Inputs
• EPS (TTM): 0.51
• Shares Outstanding: 509,451,260
• 10 Day Avg. Volume: 2,989
• 30 Day Avg. Volume: 13,346
• PEG Ratio: 0.03
• Price to Book (P/B): 0.64
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.72
• Enterprise Value/Market Cap: 0.92
• Enterprise Value/Revenue: 0.16
• Enterprise Value/Gross Profit: 2.32
• Enterprise Value/Ebitda: 1.28
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 60 Neutral
• Price Target: $19.50 ▼(-0.31%Downside)

Yara International's overall stock score is driven by a stable financial position and strong cash flow generation. However, technical analysis indicates potential overbought conditions, and the stock appears overvalued based on its P/E ratio. These factors suggest caution, as the stock may face short-term volatility or a price correction.

Yara International Business Overview & Revenue Model

Company Description

Yara International ASA provides environmental and industrial solutions in Norway, European Union, Europe, Africa, Asia, North and Latin America, Australia, and New Zealand. The company offers nitrogen-based fertilizers, including urea, urea ammonium nitrate, calcium ammonium nitrate, ammonium nitrate, and ammonium sulfate; compound fertilizers that contain plant nutrients, such as nitrogen, phosphorus, and potassium; and blended products, as well as foliar and fertigation solutions through micronutrients. It also offers farmer centric solutions; solutions for farming, such as crop monitoring, variable rate fertilization, N-Tester BT, and Driving Mode, a mobile app; N-Sensor, a tractor-mounted tool that allows growers to measure a crop's nitrogen requirement; CheckIT, a smartphone app using a library of crop photographs to give a simple and fast identification of nutrient deficiencies; TankmixIT, an app used to check for the physical compatibility when tank mixing; and Tankmix.com, an online service providing advice on the physical mixing characteristics of Yara's foliar products with agrochemicals. The company sells its products under YaraBela, YaraLiva, YaraMila, YaraRega, YaraTera, YaraVera, and YaraVita brands name. Yara International ASA was founded in 1905 and is headquartered in Oslo, Norway.

How the Company Makes Money

Yara International generates revenue primarily through the sale of mineral fertilizers to agricultural producers worldwide. The company's key revenue streams include the direct sale of nitrogen-based fertilizers like urea, nitrates, and ammonia, as well as specialty fertilizers tailored to specific crops and regional needs. Yara also offers digital farming services that provide actionable insights and recommendations to farmers, enhancing their crop management practices. Additionally, the company earns income from its industrial solutions, which include products and technologies aimed at reducing emissions and improving air quality, thus catering to environmental regulations and sustainable practices. Strategic partnerships and joint ventures further bolster Yara's market presence and revenue potential, allowing them to expand their reach and innovate in sustainable agricultural practices.

Yara International Financial Statement Overview

Summary

Yara International exhibits a steady financial position with moderate profitability and strong cash flow generation. The income statement reveals moderate profitability with a Gross Profit Margin of 27.1% and a Net Profit Margin of 2.05%. The balance sheet reflects stability with a Debt-to-Equity Ratio of 0.54, and the cash flow statement shows strong cash conversion and significant improvement in free cash generation.

Income Statement

Yara International's income statement reveals moderate profitability with a Gross Profit Margin of approximately 27.1% for TTM (Trailing-Twelve-Months) and a Net Profit Margin of 2.05%. While the company demonstrates consistent revenue, recent results show a decline from 2023 to TTM. The EBIT Margin stands at 5.85%, and the EBITDA Margin is 12.62%, indicating operational profitability, albeit with room for improvement. Revenue growth was negative compared to prior periods, signaling potential challenges in revenue generation.

Balance Sheet

The balance sheet of Yara International reflects a stable equity base with a Debt-to-Equity Ratio of 0.54, suggesting moderate leverage. The Return on Equity (ROE) for TTM is 3.86%, which is relatively low but stable. The Equity Ratio is 47.9%, indicating a fairly balanced capital structure. Overall, the balance sheet is stable, but there's a need for improved asset utilization and profitability to enhance shareholder returns.

Cash Flow

Yara International's cash flow statement shows a strong Operating Cash Flow to Net Income Ratio of 5.37, highlighting effective cash conversion. The Free Cash Flow to Net Income Ratio is 1.76, suggesting good cash generation relative to net income. The Free Cash Flow Growth Rate from the previous year is 106.45%, indicating significant improvement in free cash generation. This robust cash flow performance provides financial flexibility and supports ongoing operations.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
14.13B	13.81B	15.43B	23.90B	16.62B	11.59B
	Gross Profit
3.83B	3.68B	3.34B	6.55B	4.48B	3.57B
	EBIT
827.00M	686.00M	392.00M	3.83B	1.59B	903.00M
	EBITDA
1.78B	1.41B	1.47B	4.74B	2.58B	1.91B
	Net Income Common Stockholders
290.00M	14.00M	48.00M	2.78B	449.00M	691.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
326.00M	232.00M	447.00M	908.00M	350.00M	1.33B
	Total Assets
15.67B	14.99B	16.03B	17.98B	17.27B	16.61B
	Total Debt
4.09B	4.05B	4.23B	4.22B	4.33B	4.29B
	Net Debt
3.77B	3.73B	3.78B	3.31B	3.98B	2.96B
	Total Liabilities
8.15B	7.99B	8.46B	9.38B	10.15B	8.38B
	Stockholders Equity
7.51B	6.99B	7.55B	8.59B	7.10B	8.14B
Cash Flow		Free Cash Flow
512.00M	248.00M	1.15B	1.47B	597.00M	1.31B
	Operating Cash Flow
1.56B	1.29B	2.29B	2.39B	1.41B	2.05B
	Investing Cash Flow
-1.03B	-1.08B	-1.20B	-509.00M	-874.00M	248.00M
	Financing Cash Flow
-512.00M	-401.00M	-1.52B	-1.23B	-1.50B	-1.23B

Yara International Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 19.56
• 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 YARIY, the sentiment is Positive. The current price of 19.56 is above the 20-day moving average (MA) of 18.25, above the 50-day MA of 16.55, and above the 200-day MA of 15.09, indicating a bullish trend. The MACD of 0.62 indicates Negative momentum. The RSI at 73.41 is Negative, neither overbought nor oversold. The STOCH value of 100.36 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for YARIY.

Yara International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ICL	73 Outperform	$8.38B	21.46	6.70%	2.63%	-3.48%	-18.34%
YARIY	60 Neutral	$9.65B	34.36	3.89%	1.28%	-2.88%	―
Sector *	51 Neutral	$2.04B	-1.23	-21.09%	3.96%	2.90%	-30.45%
ENFY		$16.44M	―	-26.30%	―	―	―
FMC	72 Outperform	$5.49B	16.88	8.81%	5.36%	1.45%	-70.85%
MOS	69 Neutral	$10.97B	30.86	3.09%	2.54%	-13.37%	-50.63%
SMG	57 Neutral	$3.68B	122.10	4.98%	4.14%	0.75%	―