<div id="readability-page-1"><div><ul> <li>If you are wondering whether Ingredion is offering good value at its current share price, it helps to break its valuation into a few clear checks rather than relying on headlines alone.</li> <li>The stock last closed at US$114.98, with returns of 4.7% year to date but an 8.6% decline over the past year. This can leave investors unsure whether the recent performance reflects opportunity or rising risk.</li> <li>Recent news around Ingredion has focused on its position in the food ingredients space and how it is responding to shifts in consumer demand and input costs. This context can shape how investors think about its earnings resilience and what they are willing to pay for the stock.</li> <li>On our framework, Ingredion currently records a valuation score of 5/6, with one point added for each of the six checks where the company appears undervalued. Next, we will look at how different valuation approaches arrive at that score, before finishing with an even broader way to think about what the market is pricing in.</li> </ul> <p>Find out why Ingredion's -8.6% return over the last year is lagging behind its peers.</p> <h3>Approach 1: Ingredion Discounted Cash Flow (DCF) Analysis</h3> <p>A Discounted Cash Flow model projects a company’s future cash flows and then discounts those back to today’s value using an appropriate rate, aiming to estimate what the entire business might be worth right now.</p> <p>For Ingredion, the model used is a 2 Stage Free Cash Flow to Equity approach, based on cash flow projections. The latest twelve month free cash flow is about $614.2 million, and Simply Wall St uses analyst estimates where available, then extrapolates further cash flows. For example, projected free cash flow for 2024 is $778 million, and the ten year path includes estimates such as $601.8 million in 2026 and $722.4 million in 2035, all in $ terms and discounted back to today.</p> <p>On this basis, the DCF model points to an estimated intrinsic value of about $240.60 per share. Compared with the recent share price of $114.98, the model indicates the stock is around 52.2% undervalued.</p> <p><strong>Result: UNDERVALUED</strong></p> <p>Our Discounted Cash Flow (DCF) analysis suggests Ingredion is undervalued by 52.2%. Track this in your watchlist or portfolio, or discover 49 more high quality undervalued stocks.</p> <figure><img height="476" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/1a7f8cd8-9cac-4ccd-a420-f17108d97801/chart/dcf/query-ZGF0ZT0yMDI2LTAzLTA0?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="746" original-src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/1a7f8cd8-9cac-4ccd-a420-f17108d97801/chart/dcf/query-ZGF0ZT0yMDI2LTAzLTA0"/><figcaption>INGR Discounted Cash Flow as at Mar 2026</figcaption></figure> <p>Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Ingredion.</p> <h3>Approach 2: Ingredion Price vs Earnings</h3> <p>For a profitable company like Ingredion, the P/E ratio is a useful way to relate what you pay for each share to the earnings that support it. It gives you a quick sense of how many years of current earnings the market is pricing into the stock.</p> <p>In general, higher growth expectations and lower perceived risk can justify a higher P/E, while slower growth or higher risk usually align with a lower P/E. Ingredion currently trades on a P/E of 9.93x, compared with the Food industry average of 24.58x and a peer group average of 53.64x, so it sits well below those broad benchmarks.</p> <p>Simply Wall St also calculates a proprietary “Fair Ratio” for Ingredion of 16.86x. This is the P/E level suggested by factors such as its earnings growth profile, industry, profit margins, market cap and risk characteristics. This makes it more tailored than a simple comparison to the industry or peers, which do not adjust for these company specific features. Compared with the Fair Ratio, Ingredion’s current P/E of 9.93x appears undervalued on this metric.</p> <p><strong>Result: UNDERVALUED</strong></p> <figure><img height="476" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/1a7f8cd8-9cac-4ccd-a420-f17108d97801/chart/pe-multiple-vs-industry/query-ZGF0ZT0yMDI2LTAzLTA0?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="746" original-src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/1a7f8cd8-9cac-4ccd-a420-f17108d97801/chart/pe-multiple-vs-industry/query-ZGF0ZT0yMDI2LTAzLTA0"/><figcaption>NYSE:INGR P/E Ratio as at Mar 2026</figcaption></figure> <p>P/E ratios tell one story, but what if the real opportunity lies elsewhere? Start investing in legacies, not executives. Discover our 18 top founder-led companies.</p> <h3>Upgrade Your Decision Making: Choose your Ingredion Narrative</h3> <p>Earlier we mentioned that there is an even better way to understand valuation. On Simply Wall St’s Community page you can use Narratives to set your own story for Ingredion, link that story to your assumptions for future revenue, earnings and margins, see a fair value that updates as new news or earnings arrive, and then compare that fair value with the current price. This helps you decide whether Ingredion looks attractive to you at today’s level, and whether you lean toward the higher fair value of US$168 or the lower fair value of US$140 within the current analyst range.</p> <p>Do you think there's more to the story for Ingredion? Head over to our Community to see what others are saying!</p> <figure><img height="476" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/1a7f8cd8-9cac-4ccd-a420-f17108d97801/chart/quote-price/query-ZGF0ZT0yMDI2LTAzLTA0?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="746" original-src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/1a7f8cd8-9cac-4ccd-a420-f17108d97801/chart/quote-price/query-ZGF0ZT0yMDI2LTAzLTA0"/><figcaption>NYSE:INGR 1-Year Stock Price Chart</figcaption></figure> <p><em> This article by Simply Wall St is general in nature. <strong>We provide commentary based on historical data     and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice.</strong> It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your     financial situation. We aim to bring you long-term focused analysis driven by fundamental data.     Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.     Simply Wall St has no position in any stocks mentioned.</em></p><div><h3><strong>New: </strong>AI Stock Screener &amp; Alerts</h3><p>Our new AI Stock Screener scans the market every day to uncover opportunities.</p><div><p>• Dividend Powerhouses (3%+ Yield)<br/>• Undervalued Small Caps with Insider Buying<br/>• High growth Tech and AI Companies</p><p>Or build your own from over 50 metrics.</p></div><p>Explore Now for Free</p></div></div></div>

INGR

<p>Ingredion's stock is currently priced at $114.98, reflecting a 4.7% year-to-date return but an 8.6% decline over the past year. Analysts suggest the stock is undervalued, with a Discounted Cash Flow model indicating an intrinsic value of $240.60 per share, suggesting a 52.2% undervaluation. Additionally, Ingredion's P/E ratio of 9.93x is significantly lower than the industry average of 24.58x, further indicating undervaluation. Investors are encouraged to consider these metrics when evaluating the stock's potential.</p>

Is Ingredion (INGR) Pricing Reflect Earnings Strength After 1-Year Share Price Pullback