NN GROUP NV (2NN.DE) Stock Fundamental Analysis
FRA:2NN - Deutsche Boerse Ag - NL0010773842 - Common Stock - Currency: EUR
2NN gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 32 industry peers in the Insurance industry. The financial health of 2NN is average, but there are quite some concerns on its profitability. 2NN is not valued too expensively and it also shows a decent growth rate. 2NN also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
2NN had positive earnings in the past year.
2NN had a negative operating cash flow in the past year.
Each year in the past 5 years 2NN has been profitable.
The reported operating cash flow has been mixed in the past 5 years: 2NN reported negative operating cash flow in multiple years.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.57%, 2NN is doing worse than 80.00% of the companies in the same industry.
2NN has a Return On Equity of 5.51%. This is amonst the worse of the industry: 2NN underperforms 86.67% of its industry peers.
2NN has a Return On Invested Capital of 0.27%. This is amonst the worse of the industry: 2NN underperforms 80.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 2NN is in line with the industry average of 2.08%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.57% | ||
| ROE | 5.51% | ||
| ROIC | 0.27% |
ROA(3y)0.86%
ROA(5y)0.81%
ROE(3y)7.37%
ROE(5y)6.55%
ROIC(3y)0.43%
ROIC(5y)0.62%
1.3 Margins
2NN has a Profit Margin of 9.26%. This is comparable to the rest of the industry: 2NN outperforms 60.00% of its industry peers.
In the last couple of years the Profit Margin of 2NN has grown nicely.
The Operating Margin of 2NN (5.44%) is worse than 83.33% of its industry peers.
In the last couple of years the Operating Margin of 2NN has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.44% | ||
| PM (TTM) | 9.26% | ||
| GM | N/A |
OM growth 3Y-19.44%
OM growth 5Y-10.55%
PM growth 3Y1.96%
PM growth 5Y8.52%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
2NN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for 2NN has been reduced compared to 1 year ago.
2NN has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, 2NN has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.11, we must say that 2NN is in the distress zone and has some risk of bankruptcy.
2NN has a Altman-Z score of 0.11. This is in the better half of the industry: 2NN outperforms 73.33% of its industry peers.
A Debt/Equity ratio of 0.58 indicates that 2NN is somewhat dependend on debt financing.
2NN has a Debt to Equity ratio of 0.58. This is comparable to the rest of the industry: 2NN outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.11 |
ROIC/WACC0.04
WACC6.35%
2.3 Liquidity
2NN has a Current Ratio of 1.87. This is a normal value and indicates that 2NN is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.87, 2NN belongs to the top of the industry, outperforming 90.00% of the companies in the same industry.
A Quick Ratio of 1.87 indicates that 2NN should not have too much problems paying its short term obligations.
2NN's Quick ratio of 1.87 is amongst the best of the industry. 2NN outperforms 90.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.87 | ||
| Quick Ratio | 1.87 |
3. Growth
3.1 Past
2NN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 176.75%, which is quite impressive.
2NN shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.10% yearly.
The Revenue has grown by 18.39% in the past year. This is quite good.
Measured over the past years, 2NN shows a decrease in Revenue. The Revenue has been decreasing by -6.79% on average per year.
EPS 1Y (TTM)176.75%
EPS 3Y-11.66%
EPS 5Y5.1%
EPS Q2Q%9.92%
Revenue 1Y (TTM)18.39%
Revenue growth 3Y-16.93%
Revenue growth 5Y-6.79%
Sales Q2Q%3.98%
3.2 Future
Based on estimates for the next years, 2NN will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.87% on average per year.
2NN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.76% yearly.
EPS Next Y15%
EPS Next 2Y11.88%
EPS Next 3Y9.2%
EPS Next 5Y9.87%
Revenue Next Year-6.22%
Revenue Next 2Y-2.24%
Revenue Next 3Y-0.76%
Revenue Next 5Y0.76%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 10.17 indicates a reasonable valuation of 2NN.
2NN's Price/Earnings ratio is a bit cheaper when compared to the industry. 2NN is cheaper than 73.33% of the companies in the same industry.
When comparing the Price/Earnings ratio of 2NN to the average of the S&P500 Index (28.47), we can say 2NN is valued rather cheaply.
2NN is valuated cheaply with a Price/Forward Earnings ratio of 6.24.
90.00% of the companies in the same industry are more expensive than 2NN, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 92.74, 2NN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.17 | ||
| Fwd PE | 6.24 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as 2NN.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 21.18 |
4.3 Compensation for Growth
2NN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.68
PEG (5Y)2
EPS Next 2Y11.88%
EPS Next 3Y9.2%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 7.59%, 2NN is a good candidate for dividend investing.
2NN's Dividend Yield is rather good when compared to the industry average which is at 5.01. 2NN pays more dividend than 90.00% of the companies in the same industry.
2NN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.59% |
5.2 History
The dividend of 2NN has a limited annual growth rate of 4.13%.
Dividend Growth(5Y)4.13%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
43.43% of the earnings are spent on dividend by 2NN. This is a bit on the high side, but may be sustainable.
The dividend of 2NN is growing, but earnings are growing more, so the dividend growth is sustainable.
DP43.43%
EPS Next 2Y11.88%
EPS Next 3Y9.2%
NN GROUP NV
FRA:2NN (2/4/2025, 7:00:00 PM)
43.11
-0.46 (-1.06%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners48.45%
Inst Owner ChangeN/A
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap12.29B
Analysts76.15
Price Target51.42 (19.28%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.59% |
Yearly Dividend1.54
Dividend Growth(5Y)4.13%
DP43.43%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-0.19%
PT rev (3m)-0.85%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)-3.74%
EPS NY rev (3m)-5.67%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-4.54%
Revenue NY rev (3m)-4.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.17 | ||
| Fwd PE | 6.24 | ||
| P/S | 0.98 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.58 | ||
| P/tB | 0.62 | ||
| EV/EBITDA | 21.18 |
EPS(TTM)4.24
EY9.84%
EPS(NY)6.91
Fwd EY16.02%
FCF(TTM)-1.46
FCFYN/A
OCF(TTM)-1.31
OCFYN/A
SpS44.14
BVpS74.13
TBVpS69.73
PEG (NY)0.68
PEG (5Y)2
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.57% | ||
| ROE | 5.51% | ||
| ROCE | 0.34% | ||
| ROIC | 0.27% | ||
| ROICexc | 0.28% | ||
| ROICexgc | 0.36% | ||
| OM | 5.44% | ||
| PM (TTM) | 9.26% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)0.86%
ROA(5y)0.81%
ROE(3y)7.37%
ROE(5y)6.55%
ROIC(3y)0.43%
ROIC(5y)0.62%
ROICexc(3y)0.44%
ROICexc(5y)0.64%
ROICexgc(3y)0.56%
ROICexgc(5y)0.83%
ROCE(3y)0.53%
ROCE(5y)0.77%
ROICexcg growth 3Y-28.33%
ROICexcg growth 5Y-14.58%
ROICexc growth 3Y-28.38%
ROICexc growth 5Y-15.42%
OM growth 3Y-19.44%
OM growth 5Y-10.55%
PM growth 3Y1.96%
PM growth 5Y8.52%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 14.61 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.63 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.87 | ||
| Quick Ratio | 1.87 | ||
| Altman-Z | 0.11 |
F-Score6
WACC6.35%
ROIC/WACC0.04
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)176.75%
EPS 3Y-11.66%
EPS 5Y5.1%
EPS Q2Q%9.92%
EPS Next Y15%
EPS Next 2Y11.88%
EPS Next 3Y9.2%
EPS Next 5Y9.87%
Revenue 1Y (TTM)18.39%
Revenue growth 3Y-16.93%
Revenue growth 5Y-6.79%
Sales Q2Q%3.98%
Revenue Next Year-6.22%
Revenue Next 2Y-2.24%
Revenue Next 3Y-0.76%
Revenue Next 5Y0.76%
EBIT growth 1Y564.08%
EBIT growth 3Y-33.08%
EBIT growth 5Y-16.63%
EBIT Next Year-1.69%
EBIT Next 3Y-0.37%
EBIT Next 5YN/A
FCF growth 1Y94.88%
FCF growth 3Y-79.26%
FCF growth 5YN/A
OCF growth 1Y95.38%
OCF growth 3Y-79.31%
OCF growth 5YN/A