Stock fact sheet · data as of
Sociedad Química y Minera de Chile S.A. (SQM): fair value, margin of safety and Wheel Score
Ticker symbol SQM · Basic Materials · Chemicals - Specialty · Chile · ADR · Value Income
SQM is an American depositary share (ADR): the US listing of Sociedad Química y Minera de Chile S.A., whose own shares trade on its home exchange. It trades in dollars during US hours; currency moves and the home country's rules also affect it, and the depositary bank charges a small yearly fee.
Is SQM undervalued?
SQM closed at 57.56 on 5 Nov 2026, 13% below the GLS average fair value of 66.32 from 9 models (3 of them above the price). That is a moderate margin of safety: the stock passes the "below fair value" Wheel Trade Filter, with room for a bigger discount on the Value part.
There is a wide gap between DCF (8.79) and 10 Cap (210.16). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
Ranked against every other company we cover, SQM is clearly cheaper than it is fast-growing, so the nightly engine files it under Value (value score 48, growth score 22, out of 100). It also carries the Income tag (Income = a dividend yield of 4% or more).
Nine valuation models for SQM
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 8.79 | -85% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 49.00 | -15% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 77.59 | +35% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 19.24 | -67% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 14.08 | -76% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 210.16 | +265% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 129.49 | +125% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 35.09 | -39% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 53.44 | -7% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -2.35 | -104% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 92.50 | +61% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Sociedad Química y Minera de Chile S.A. scores 6 of 9 on the Piotroski F-score: a middling result that passes the "Piotroski 6 or more" Wheel Trade Filter. Some of the nine tests on profitability, leverage and efficiency are failed, so the accounts are worth a look before selling a put on the name. On durability SQM scores 5.9/10 on the GLS Moat - a middle reading; the Moat Score tab on the Quote page's Financials view shows which of the four parts hold it back.
Returns on capital are moderate - ROIC 5.6%, ROE 10.3%, ROA 4.0% - with debt at 0.85 times equity and a free-cash-flow yield of 11.7%.
The dividend yield is high at 4.13% (payout ratio 24%). A yield this size is often the market's way of pricing a risk to the payout, so the health score and cash flow matter more than usual. Revenue comes mainly from Lithium and Derivatives 50%, Iodine And Derivatives 23%, Specialty plant nutrition 22% (fiscal year FY2025).
Institutional ownership scores 2/10, insider activity 5/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 6 / 9 | ROIC | 5.6% |
|---|---|---|---|
| GLS Moat | 5.9 / 10 | ROE | 10.3% |
| Debt / equity | 0.85 | ROA | 4.0% |
| Free-cash-flow yield | 11.7% | Payout ratio | 24% |
| Institutions | 2 / 10 | Insiders · Congress | 5 · 5 / 10 |
Wheel Score 44: Weak
With a Wheel Score of 44 Sociedad Química y Minera de Chile S.A. sits in the Weak band. It fails filter 5, can repay its debt - 3.3 years to repay its debt (over 3); Red Flags (fair) is its weakest part.
Implied volatility is 45% on the near-the-money contracts 20-60 days out - inside the 35-60% sweet spot the Wheel Score rewards most: enough premium to be worth selling, not so much that the risk is unpaid. Chain open interest is 9,447 contracts across all expiries - enough for the wheel at normal size.
Volume runs at 1.3M shares a day on a market cap of $16.4B, with a beta of 1.13; the Stability part of the Wheel Score rates that good.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Passes | Listed options with 1,000+ contracts of open interest and 100+ traded a day |
| 2 | A real business, not a gamble | Passes | Profitable over the last twelve months - not a speculative stock, fund or note |
| 3 | Below fair value | Passes | Trading below the nine-model average fair value (margin of safety above 0) |
| 4 | Financially healthy | Passes | Piotroski F-score 6 or more out of 9 (a company with no score on file passes) |
| 5 | Can repay its debt | Fails | 3.3 years to repay its debt (over 3) |
| 6 | No serious red flags | Passes | Red Flags score 60 or more out of 100 (earnings, margins, debt, analysts, filings and price checked the same way for every stock) |
| 7 | A premium worth selling | Passes | Implied volatility 25-80% (enough premium, not a lottery ticket) |
| 8 | Big enough | Passes | Market cap $1 billion or more |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Fair | 13% below fair value | |
| Premium | Strong | implied volatility 45% | |
| Moat | Fair | moat 5.9/10 | |
| Health | Good | Piotroski 6/9 | |
| Red Flags | Fair | Red Flags score 70/100 | |
| Option trading | Fair | 1,362 contracts a day, 9,447 open interest | |
| Stability | Good | beta 1.13, $16.4B company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
Sociedad Química y Minera de Chile S.A. reports earnings on 17 Nov 2026 (after the close) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.
No analyst upgrades or downgrades were recorded in the last 30 days.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Chemicals - Specialty
The 12 companies below are the closest to Sociedad Química y Minera de Chile S.A. by market cap within the Chemicals - Specialty industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| RPM RPM International Inc. | 109.05 | 94.12 | -16% | 36Weak | $13.9B |
| LYB LyondellBasell Industries N.V. | 62.96 | 78.35 | +20% | 53Fair | $20.4B |
| IFF International Flavors & Fragrances Inc. | 87.67 | 24.93 | -252% | 31Weak | $22.4B |
| ALB Albemarle Corporation | 94.97 | 108.03 | +12% | 78Good | $11.2B |
| PPG PPG Industries, Inc. | 127.27 | 113.68 | -12% | 38Weak | $28.1B |
| SOLS Solstice Advanced Materials Inc. | 57.70 | 66.43 | +13% | 47Weak | $9.2B |
| WLK Westlake Corporation | 67.90 | 64.66 | -5% | 33Weak | $8.7B |
| ESI Element Solutions Inc | 33.44 | 14.06 | -138% | 35Weak | $8.1B |
| AXTA Axalta Coating Systems Ltd. | 37.45 | 47.41 | +21% | 45Weak | $8.0B |
| EMN Eastman Chemical Company | 67.61 | 72.53 | +7% | 41Weak | $7.7B |
| NEU NewMarket Corporation | 725.11 | 1,258.36 | +42% | 83Good | $6.7B |
| BCPC Balchem Corp | 182.58 | 85.49 | -114% | 30Weak | $5.8B |
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Start free See the Sunday ScanQuestions about SQM
Is SQM undervalued right now?
By the GLS models, moderately: at 57.56 the stock trades 13% below the average fair value of 66.32 (data as of 5 Nov 2026).
What is the Wheel Score of SQM and what does it mean?
SQM scores 44 out of 100 (Weak) - it fails Wheel Trade Filter 5. The Wheel Score ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned - in two parts: the 9 pass/fail Wheel Trade Filters (busy options, a real business, below fair value, Piotroski 6 or more, debt it can repay, a Red Flags score of 60 or more, implied volatility of 25-80%, a $1 billion company, $5 a share) and a ranking of how strongly a stock passes on value, premium, moat, health, red flags, option trading and stability. A stock that fails any filter stays under 70; 70-84 is Good, 85 and above is Prime. The Sunday Scan is the top 10 that pass, sorted by Wheel Score.
What is the GLS fair value for SQM?
66.32 per share as of 5 Nov 2026 - the simple average of the 9 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Sociedad Química y Minera de Chile S.A. report earnings next?
The next earnings report is due on 17 Nov 2026 (after the close), 12 days from the data date of 5 Nov 2026. The Calendars page lists every upcoming report with its time of day.
Does SQM have listed options, and how liquid are they?
Yes. The nightly snapshot found 90 listed contracts with 9,447 open interest across all expiries and implied volatility of 45% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.
Is SQM an ADR?
Yes. SQM is an American depositary share (ADR): the US listing of Sociedad Química y Minera de Chile S.A., whose own shares trade on its home exchange. It trades in dollars during US hours; currency moves and the home country's rules also affect it, and the depositary bank charges a small yearly fee.