MeritValue

SENSIENT TECHNOLOGIES CORP

SXTdata completeness 100%18 fiscal years on file
The thesis, from the filings

SENSIENT TECHNOLOGIES CORP earns about 7% on invested capital, with a roughly flat share count. The applicable estimate puts fair value near $30.33 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$1.38B1$1.44B2$1.46B3$1.56B3$1.61B3
Net income$118.7M4$140.9M5$93.4M6$124.7M6$134.5M6
Operating cash flow$145.2M7$12.1M8$169.7M9$157.2M9$127.8M9
Capital expenditure$60.8M10$79.3M11$87.9M12$59.2M12$89.4M12
Free cash flow (derived)$84.4M7−$67.3M8$81.8M9$97.9M9$38.4M9
Total debt$520.6M13$651.2M14$1.3B15$1.25B16$1.42B16
Cash & equivalents$25.7M17$20.9M18$28.9M19$26.6M20$36.5M20
Diluted shares42.3M42.2M42.2M42.4M42.6M

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
$280.2
your share of equity
Profit it earned you last year
$31.57
Free cash flow it threw off
$9.02
Debt you’d be carrying
$333.15

10 shares is a claim on $280.2 of net worth that earned you $31.57 and generated $9.02 of cash last year, against $333.15 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
7% avg · 5y
FY21 9%FY22 9%FY23 5%FY24 6%FY25 6%

It earned an average 7% on invested capital over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+1% shares · 5y

Share count is roughly flat over 5 years — little dilution, little buyback. Total debt has risen 173% over the same window.

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
DCF · Growth Exit 10Y
not applicable
negative equity value — refusing to publish per-share figure
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth0.0%
  • fcfBase$81.8M
DCF · Growth Exit 5Y
not applicable
negative equity value — refusing to publish per-share figure
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth0.0%
  • fcfBase$81.8M
Earnings Power Value
$30.33
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$124.7M
  • growthAssumed0.0%
Graham Number
$44.63
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0001140361-24-008963 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0001140361-25-005084 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2023-12-31 · accession 0001140361-26-005311 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 10-K · period ending 2021-12-31 · accession 0001140361-24-008963 (NetIncomeLoss)
  5. 10-K · period ending 2022-12-31 · accession 0001140361-25-005084 (NetIncomeLoss)
  6. 10-K · period ending 2023-12-31 · accession 0001140361-26-005311 (NetIncomeLoss)
  7. 10-K · period ending 2021-12-31 · accession 0001140361-24-008963 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-12-31 · accession 0001140361-25-005084 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-12-31 · accession 0001140361-26-005311 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-12-31 · accession 0001140361-24-008963 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2022-12-31 · accession 0001140361-25-005084 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 10-K · period ending 2023-12-31 · accession 0001140361-26-005311 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 10-K · period ending 2021-12-31 · accession 0001140361-23-007579 (LongTermDebtNoncurrent)
  14. 10-K · period ending 2022-12-31 · accession 0001140361-24-008963 (LongTermDebtNoncurrent)
  15. 10-K · period ending 2023-12-31 · accession 0001140361-25-005084 (LongTermDebtNoncurrent)
  16. 10-K · period ending 2024-12-31 · accession 0001140361-26-005311 (LongTermDebtNoncurrent)
  17. 10-K · period ending 2021-12-31 · accession 0001140361-23-007579 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2022-12-31 · accession 0001140361-24-008963 (CashAndCashEquivalentsAtCarryingValue)
  19. 10-K · period ending 2023-12-31 · accession 0001140361-25-005084 (CashAndCashEquivalentsAtCarryingValue)
  20. 10-K · period ending 2024-12-31 · accession 0001140361-26-005311 (CashAndCashEquivalentsAtCarryingValue)