ALPEK, S.A.B. de C.V. (ALPEKA.MX) stock analysis

In our weekly check, ALPEK, S.A.B. de C.V. is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 9 pass, warnings: 11, red flags: 5.

About ALPEK, S.A.B. de C.V.

ALPEK, S.A.B. de C.V. is a Basic Materials company (Chemicals - Specialty) based in Mexico, listed on MEX as ALPEKA.MX.

What our checks show for ALPEKA.MX

Red flags

• The net margin fell by 2 points over 5 years, to 2.9%: the company keeps less of each sale as profit.
• The gross margin fell by 3.4 points, to 12.4%: costs are rising faster than prices.
• Revenue fell 14.5% a year over the last 3 years.
• The net margin is only 2.9%: little room if costs rise.
• The stock has fallen as much as 78% from a peak. Would you have held through that?

Warning signs

• Net debt is 2.2x a year of EBITDA (debt/equity 1.3). That limits room in a downturn and raises refinancing risk.
• Operating profit covers interest only 3.4 times: a weak year could make the payments hard.
• Analysts expect earnings per share to shrink about 5.6% a year.
• Analysts expect only about 1% a year of growth in revenue.
• Analysts expect the net margin to shrink by 0.4 points from today's 2.9%.
• Earnings per share fell 34.1% a year over the last 3 years.
• Net profit fell 34.4% a year over the last 3 years.
• Free cash flow is only 4% of revenue.
• A small company (market value $1.54 billion): usually riskier and followed by fewer analysts.
• The price swings a lot: 36.4% annual volatility. Expect large ups and downs.
• The stock is still below its previous peak.

Strengths

• Operating cash flow is 2.01x net profit: the profit arrives as real cash.
• The dividend takes 17% of profit: there is a cushion.
• The price is 7.4 times earnings (P/E), reasonable for its growth.
• Beta 0.05: the stock usually moves less than the market.
• Actively traded: about 10.9 million shares a day.
• Pay in shares is only 0% of free cash flow.

Similar companies

SIKA.SW · PPG · DSFIR.AS · GIVN.SW · IFF · EMSN.SW

Questions

What grade does ALPEK, S.A.B. de C.V. (ALPEKA.MX) have?

In our weekly check, ALPEK, S.A.B. de C.V. is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 9 pass, warnings: 11, red flags: 5. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of ALPEKA.MX stock?

This week's biggest flags for ALPEK, S.A.B. de C.V.: Margins falling, Gross margin falling, Weak revenue growth. In total 16 of 25 checks show a warning or a red flag.

What does ALPEK, S.A.B. de C.V. do?

ALPEK, S.A.B. de C.V. is a Basic Materials company (Chemicals - Specialty) based in Mexico, listed on MEX as ALPEKA.MX.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-11-07

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