Balchem Corporation Common Stock (BCPC)

FairStock Score: 47/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

Balchem is a specialty ingredients business selling into nutrition, food, pharmaceuticals, animal health, and sterilization. That can be a decent place to be: small, recurring, regulated demand, switching costs, and a broad customer base. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $284.0M, net income $44.6M, and diluted EPS $1.39. For FY2025, the year ended 2025-12-31, revenue was $1.0B, net income $154.8M, and diluted EPS $4.75, versus FY2024, the year ended 2024-12-31, revenue $953.7M, net income $128.5M, and diluted EPS $3.93. The trend is forward, but not rapid. Financial health is a real strength: D/E 0.13, FairStock's Altman Z 9.34, FairStock's Piotroski 6/9, and free cash flow of $176.0M. Still, FairStock's ROCE 8.23% and ROE 12.79% are only moderate for a specialty chemical company. The moat seems modest rather than wide; ingredients can be differentiated, but the economics do not scream pricing power. At the 2026-10-13 close of $169.72, FairStock shows P/E 33.41, P/B 4.16, PEG 3.83, EV/EBITDA 21.22, FCF yield 3.3%, Graham Number $67.62, and a margin of safety of -150.99%. That is a demanding price against earnings, book value, and cash flow. FairStock classifies it as CYCLICAL—Specialty Chemicals because earnings follow the economic cycle. A low beta of 0.81 and low debt help, but the margin of safety at this price is negative. I would want either faster profit growth or a lower price before calling it a bargain.

In plain English: Balchem makes specialty ingredients for food, nutrition, pharmaceuticals, animal health, and similar markets. It is a profitable business with little debt and modestly rising sales and earnings. At the recent price, the shares look expensive compared with the company's current earnings and asset value, so the market is paying a high price for steady but not fast growth.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q4 2025 10-K (period ended 2025-12-31) · fiscal Q3 2025 10-K (period ended 2025-09-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer