BALCHEM CORP

BCPCdata completeness 75%17 fiscal years on file
The thesis, from the filings

BALCHEM CORP earns about 11% on invested capital, comfortably above its ~9% cost of capital, with a roughly flat share count — a real edge showing up in the numbers. The estimate methods put fair value between $34.5 and $72.2 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$799M1$942.4M2$922.4M3$953.7M3$1.04B3
Net income$96.1M4$105.4M5$108.5M6$128.5M6$154.8M6
Operating cash flow$160.5M7$138.5M8$183.8M9$182M9$216.6M9
Capital expenditure$36.1M10$49.1M10
Free cash flow (derived)$124.4M7$89.5M8
Total debt
Cash & equivalents$103.2M11$66.6M12$64.4M13$49.5M14$74.6M14
Diluted shares32.7M32.4M32.4M32.7M32.6M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$385.66
your share of equity
Profit it earned you last year
$47.49
Free cash flow it threw off
Debt you’d be carrying

10 shares is a claim on $385.66 of net worth that earned you $47.49 last year.

iii. Is this a good business?
Moat signal · return on invested capital
11% avg · 5y
FY21 12%FY22 11%FY23 9%FY24 12%FY25 13%

It earned about 11% on invested capital against a ~9% cost of capital — comfortably above the cost of funding, a moderate advantage.

seeing a moat in the numbers →
Management signal · capital allocation
−0% shares · 5y

Share count is roughly flat over 5 years — little dilution, little buyback.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0

The 3 estimate methods that apply put fair value between $34.5 and $72.2 a share. They rest on different assumptions, so where they diverge is the story; the Graham Number is a stricter floor, not a target.

DCF · Growth Exit 10Y
$72.2
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth5.0%
  • fcfBase$118.4M
DCF · Growth Exit 5Y
$66.74
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth5.0%
  • fcfBase$118.4M
Earnings Power Value
$34.5
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$108.5M
  • growthAssumed0.0%
Graham Number
$64.2
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

v. The price question — last, on purpose
Is today’s price fair?
See live price ↗
Type a price. The ledger answers.
Or set your own belief
FCF growth, next 5 years5.0%
Discount rate (WACC)8.93%
Terminal growth2.5%
At your growth, a share is worth $66.74
The three cases
Bear0.0%$54.18
Base5.0%$66.74
Bull10.0%$81.77

Bear/base/bull growth = 0% / filed history / history + 5pp. Type a price to see the return each case implies.

Default growth 5.0%= this company’s own filed history (median-to-median FCF CAGR, clamped 0–20%). Your adjustments are recorded anonymously. They become the “what do owners actually believe” dataset.

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0001628280-24-005397 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0001628280-25-007202 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2023-12-31 · accession 0000009326-26-000007 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 10-K · period ending 2021-12-31 · accession 0001628280-24-005397 (NetIncomeLoss)
  5. 10-K · period ending 2022-12-31 · accession 0001628280-25-007202 (NetIncomeLoss)
  6. 10-K · period ending 2023-12-31 · accession 0000009326-26-000007 (NetIncomeLoss)
  7. 10-K · period ending 2021-12-31 · accession 0001628280-24-005397 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-12-31 · accession 0001628280-25-007202 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-12-31 · accession 0000009326-26-000007 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-12-31 · accession 0001628280-23-005074 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2021-12-31 · accession 0001628280-23-005074 (CashAndCashEquivalentsAtCarryingValue)
  12. 10-K · period ending 2022-12-31 · accession 0001628280-24-005397 (CashAndCashEquivalentsAtCarryingValue)
  13. 10-K · period ending 2023-12-31 · accession 0001628280-25-007202 (CashAndCashEquivalentsAtCarryingValue)
  14. 10-K · period ending 2024-12-31 · accession 0000009326-26-000007 (CashAndCashEquivalentsAtCarryingValue)