Cabot Corp. (CBT) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+69.0%

$128.66

vs $76.12 price

Levered DCF

$247.38

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

3.17

Safe zone

Rating

B+

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	12.53×	16.46×	8.89×	17.5×	11.5×	-9.1×	16.97×	-33.56×
P/B	2.63×	4.26×	3.03×	4×	3×	2.95×	2.67×	3.28×
P/S	1.1×	1.52×	0.97×	0.83×	0.83×	0.78×	0.8×	1.17×
EV / EBITDA	6.35×	9.43×	7.22×	9.15×	6.38×	17.36×	7.7×	14.29×
Gross margin	25.3%	24.0%	21.3%	20.5%	23.4%	19.1%	20.5%	24.1%
Operating margin	16.7%	15.4%	13.4%	9.0%	13.3%	0.8%	9.2%	4.8%
Net margin	8.9%	9.5%	11.3%	4.8%	7.3%	-9.1%	4.7%	-3.5%
Current ratio	1.61×	2.08×	1.98×	1.65×	1.24×	1.85×	2.02×	1.46×
Debt / equity	0.78×	0.93×	1.08×	1.7×	1.32×	1.74×	1.07×	0.87×
Interest coverage	8.17×	7.58×	5.84×	6.95×	9.27×	0.4×	5.19×	2.89×
Dividend yield	2.4%	1.5%	2.3%	2.3%	2.8%	3.9%	3.0%	2.1%
Payout ratio	29.0%	24.5%	19.8%	40.2%	32.0%	-33.6%	51.0%	-70.8%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	21.4%	26.7%	35.2%	23.3%	26.4%	-34.4%	15.7%	-9.8%
Return on invested capital	13.0%	16.1%	17.7%	9.9%	12.2%	0.9%	9.1%	-3.9%
Return on assets	8.7%	10.2%	12.3%	5.9%	7.6%	-8.6%	5.2%	-3.5%
Free cash flow yield	9.6%	7.4%	9.2%	-3.1%	2.2%	8.7%	5.1%	1.8%
Earnings yield	8.1%	6.3%	11.6%	5.8%	8.8%	-11.7%	5.9%	-3.0%
Enterprise value	$5B	$7.2B	$4.9B	$4.9B	$3.9B	$3.1B	$3.6B	$4.6B
Net debt / EBITDA	1.21×	1.45×	1.64×	2.46×	1.75×	5.92×	1.94×	2.56×
Cash conversion cycle (days)	72	74	82	85	75	66	68	81