Financial Analysis: Akzo Nobel (AKZOD) & Its Competitors

Insider and Institutional Ownership

0.2% of Akzo Nobel shares are held by institutional investors. Comparatively, 47.5% of shares of all “Chemicals” companies are held by institutional investors. 14.2% of shares of all “Chemicals” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Volatility and Risk

Akzo Nobel has a beta of 0.76, indicating that its share price is 24% less volatile than the S&P 500. Comparatively, Akzo Nobel’s rivals have a beta of 1.24, indicating that their average share price is 24% more volatile than the S&P 500.

Valuation & Earnings

This table compares Akzo Nobel and its rivals revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Akzo Nobel	$10.86 billion	$940.40 million	15.24
Akzo Nobel Competitors	$6.60 billion	$217.41 million	-11.56

Akzo Nobel has higher revenue and earnings than its rivals. Akzo Nobel is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares Akzo Nobel and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Akzo Nobel	9.76%	9.43%	3.69%
Akzo Nobel Competitors	-119.32%	-12.78%	-2.00%

Dividends

Akzo Nobel pays an annual dividend of $0.25 per share and has a dividend yield of 1.0%. Akzo Nobel pays out 15.6% of its earnings in the form of a dividend. As a group, “Chemicals” companies pay a dividend yield of 3.2% and pay out 103.8% of their earnings in the form of a dividend.

Summary

Akzo Nobel beats its rivals on 7 of the 11 factors compared.

Akzo Nobel Company Profile

Akzo Nobel N.V. operates as a paints and coatings company in the Netherlands and internationally. The company operates through Decorative Paints and Performance Coatings segments. It provides decorative paints, including paints, lacquers, and varnishes; mixing machines, color concepts, and training courses for the building and renovation industry; and specialty coatings for metal, wood, and other building materials. The company offers its decorative paints under the Alba, Astral, Bruguer, Coral, Dulux, Flexa, Inca, Levis, Marshall, Nordsjo, Sadolin, Sikkens, and Vivechrome brands. It also offers performance coatings to protect and enhance ships, cars, aircraft, yachts, architectural components, consumer goods, and oil and gas facilities. The company was formerly known as Akzo NV and changed its name to Akzo Nobel N.V. in 1994. Akzo Nobel N.V. was founded in 1646 and is headquartered in Amsterdam, the Netherlands.