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Sociedad Química y Minera de Chile S.A. (SQM) Stock Verdict & Ratings | Investment Bastion

Stock Verdict·Updated 1d ago

Sociedad Química y Minera de Chile S.A.

SQMMarket cap $19BPrice $66.2

Country🇨🇱Chile

SectorMaterials

IndustryChemicals

Mines and processes lithium, iodine, and specialty fertilizers from Chile's Atacama Desert salt flats. Controls one of the world's richest lithium deposits, making it a critical supplier for the electric vehicle battery boom.

In Bastion Portfolios?

52W Return+53%Global Market +16%?

01Key Ratings

How does this stock score across Bastion factors?

Growth

Historical Revenue

Rev CAGR (3y)-25%1

Revenue Forecast

Rev CAGR (1y)+84%10

Rev CAGR (3y)+21%9

Rev CAGR (5y)+15%9

Earnings Forecast

EPS Growth Y+1+259%10

EPS Growth Y+2-9%3

EPS Growth Y+3+4%5

Quality

Margins

EBIT Margin39%9

Net Income Margin21%8

Free Cash Flow Margin29%9

Debt

Net Debt/EBITDA0.37

Efficiency

ROE24%8

ROA11%9

Earnings Stability55

GEAR+VERY STRONG98

Overall rating across all five factors

Value

Price Multiples

P/E Ratio (Forward)89

P/E Ratio (Forward 3y)98

P/BV3.05

EV Multiples

EV/EBITDA Fwd59

EV/EBIT Fwd610

Yield

Free Cash Flow Yield10.4%9

Dividend Yield5.5%10

Momentum

Short term

1 month return-12%2

3 month return-9%4

YTD return-2%4

Mid term

Price vs 52wHigh69%3

1 year return+55%9

Long term

3 year return+26%4

5 year return+48%6

Risk Shield

Price Risk

Beta0.67

Volatility48%3

Free Cash Flow

Free Cash Flow Margin29%9

Free Cash Flow Yield10.4%9

Quality

ROCE22%9

Earnings Stability55

Net Debt/EBITDA0.37

02Growth

Is it actually growing, and how fast?

SQMSociedad Química y Minera de Chile S.A.

Revenue FY25$4.6B

GROWTH RATING↗

STRONG79 / 100

REVENUE GROWTH▾SCORE

Revenue, last 3Y, CAGR-25%1

Revenue, next 1Y+84%10

Revenue, next 3Y, CAGR+21%9

Revenue, next 5Y, CAGR+15%9

EARNINGS FORECAST▾SCORE

EPS growth, FY26E+259%10

EPS growth, FY27E-9%3

EPS growth, FY28E+4%5

GROWTH ASSESSMENT

STRENGTHS

It out-grows 79% of companies worldwide.

Revenue is set to grow 21%/yr over the next 3 years, ahead of most of the market.9/10

After shrinking over the last 3 years, revenue is set to grow 21%/yr from here.

The runway holds up: revenue is set to grow 15%/yr over five years.9/10

WATCH

Earnings are set to grow slower than sales (EPS about 4%/yr vs revenue 21%/yr), so margins are under pressure. One year dips: EPS falls 9% in year 2.

WEAKNESSES

Revenue fell 25%/yr over the last 3 years, behind 90% of companies worldwide.1/10

BOTTOM LINE

Reaccelerating Grower

A top-tier grower that's turning around. The one thing to watch: revenue has shrunk over the past 3 years.

03Price Momentum

Is the market behind it right now?

SQMSociedad Química y Minera de Chile S.A.

Total return Current213%

Price return Current131%

MOMENTUM RATING↗

WEAK33 / 100

SHORT-TERM RETURNS▾SCORE

1-month return-12%2

3-month return-9%4

YTD return-2%4

MID & LONG-TERM▾SCORE

% of 52-week high69%3

1-year return+55%9

3-year return+26%4

5-year return+48%6

MOMENTUM ASSESSMENT

STRENGTHS

None flagged.

WATCH

Average long-term results. Multi-year returns are middling (+26% over three years and +48% over five), roughly average for the market.

It's up 55% over the past year, but 31% below its 52-week high. That is a touch ahead of the market.

Returns sit at the market level over three months (-9%) and so far this year (-2%).

WEAKNESSES

The stock is underperforming over the past month (-12%).

BOTTOM LINE

Falling Knife

Returns rank poorly over both the short and long run, and the price is still falling. Momentum is firmly negative — catching this is a bet against the tape, not with it. Wait for a base to form. The one thing to watch: the stock is underperforming over the past month.

04Value

Are you paying a fair price for it?

Stop guessing on SQM. Get the full investment case.

Premium

$20.75/month

Billed annually at $249/year $348

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Loading charts…

02Growth

Is it actually growing, and how fast?

SQMSociedad Química y Minera de Chile S.A.

Revenue FY25$4.6B

GROWTH RATING↗

STRONG79 / 100

REVENUE GROWTH▾SCORE

Revenue, last 3Y, CAGR-25%1

Revenue, next 1Y+84%10

Revenue, next 3Y, CAGR+21%9

Revenue, next 5Y, CAGR+15%9

EARNINGS FORECAST▾SCORE

EPS growth, FY26E+259%10

EPS growth, FY27E-9%3

EPS growth, FY28E+4%5

GROWTH ASSESSMENT

STRENGTHS

It out-grows 79% of companies worldwide.

Revenue is set to grow 21%/yr over the next 3 years, ahead of most of the market.9/10

After shrinking over the last 3 years, revenue is set to grow 21%/yr from here.

The runway holds up: revenue is set to grow 15%/yr over five years.9/10

WATCH

Earnings are set to grow slower than sales (EPS about 4%/yr vs revenue 21%/yr), so margins are under pressure. One year dips: EPS falls 9% in year 2.

WEAKNESSES

Revenue fell 25%/yr over the last 3 years, behind 90% of companies worldwide.1/10

BOTTOM LINE

Reaccelerating Grower

A top-tier grower that's turning around. The one thing to watch: revenue has shrunk over the past 3 years.

03Price Momentum

Is the market behind it right now?

SQMSociedad Química y Minera de Chile S.A.

Total return Current213%

Price return Current131%

MOMENTUM RATING↗

WEAK33 / 100

SHORT-TERM RETURNS▾SCORE

1-month return-12%2

3-month return-9%4

YTD return-2%4

MID & LONG-TERM▾SCORE

% of 52-week high69%3

1-year return+55%9

3-year return+26%4

5-year return+48%6

MOMENTUM ASSESSMENT

STRENGTHS

None flagged.

WATCH

Average long-term results. Multi-year returns are middling (+26% over three years and +48% over five), roughly average for the market.

It's up 55% over the past year, but 31% below its 52-week high. That is a touch ahead of the market.

Returns sit at the market level over three months (-9%) and so far this year (-2%).

WEAKNESSES

The stock is underperforming over the past month (-12%).

BOTTOM LINE

Falling Knife

04Value

Are you paying a fair price for it?

Stop guessing on SQM. Get the full investment case.

Premium

$20.75/month

Billed annually at $249/year $348

✓
Stock VerdictValuation and investment strategy for 4,000+ stocks. Days of hedge fund analyst research, done in 2 minutes.
✓
RadarFind your next investment idea: top-ranked stocks across all 9 Bastion strategies.
✓
Portfolio ManagerCheck if Bastion algorithms added the stock you care about to their portfolios.

Secure via Stripe

Trusted by 1,000+ investors in our community