CNH INDUSTRIAL NV (CNH) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:CNH • NL0010545661
10.76 USD
-0.09 (-0.83%)
At close: Jan 30, 2026
10.711 USD
-0.05 (-0.46%)
After Hours: 1/30/2026, 8:04:00 PM
Taking everything into account, CNH scores 4 out of 10 in our fundamental rating. CNH was compared to 132 industry peers in the Machinery industry. While CNH is still in line with the averages on profitability rating, there are concerns on its financial health. CNH is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- CNH had positive earnings in the past year.
- In the past year CNH had a positive cash flow from operations.
- Of the past 5 years CNH 4 years were profitable.
- In the past 5 years CNH always reported a positive cash flow from operatings.
1.2 Ratios
- With a Return On Assets value of 1.38%, CNH is not doing good in the industry: 62.88% of the companies in the same industry are doing better.
- Looking at the Return On Equity, with a value of 7.72%, CNH is in line with its industry, outperforming 53.79% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 6.11%, CNH is in line with its industry, outperforming 48.48% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for CNH is in line with the industry average of 10.18%.
- The last Return On Invested Capital (6.11%) for CNH is well below the 3 year average (11.39%), which needs to be investigated, but indicates that CNH had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.38% | ||
| ROE | 7.72% | ||
| ROIC | 6.11% |
ROA(3y)4.39%
ROA(5y)3.13%
ROE(3y)25.03%
ROE(5y)18.1%
ROIC(3y)11.39%
ROIC(5y)8.98%
1.3 Margins
- Looking at the Profit Margin, with a value of 3.35%, CNH is in line with its industry, outperforming 44.70% of the companies in the same industry.
- In the last couple of years the Profit Margin of CNH has grown nicely.
- CNH's Operating Margin of 17.04% is fine compared to the rest of the industry. CNH outperforms 79.55% of its industry peers.
- In the last couple of years the Operating Margin of CNH has grown nicely.
- Looking at the Gross Margin, with a value of 32.19%, CNH is in line with its industry, outperforming 53.79% of the companies in the same industry.
- In the last couple of years the Gross Margin of CNH has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.04% | ||
| PM (TTM) | 3.35% | ||
| GM | 32.19% |
OM growth 3Y4.76%
OM growth 5Y12.67%
PM growth 3Y-10.76%
PM growth 5Y4.4%
GM growth 3Y5.77%
GM growth 5Y8.01%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CNH is still creating some value.
- CNH has less shares outstanding than it did 1 year ago.
- The number of shares outstanding for CNH has been reduced compared to 5 years ago.
- The debt/assets ratio for CNH is higher compared to a year ago.
2.2 Solvency
- CNH has an Altman-Z score of 1.30. This is a bad value and indicates that CNH is not financially healthy and even has some risk of bankruptcy.
- CNH has a Altman-Z score of 1.30. This is in the lower half of the industry: CNH underperforms 77.27% of its industry peers.
- CNH has a debt to FCF ratio of 13.40. This is a negative value and a sign of low solvency as CNH would need 13.40 years to pay back of all of its debts.
- The Debt to FCF ratio of CNH (13.40) is worse than 61.36% of its industry peers.
- A Debt/Equity ratio of 3.51 is on the high side and indicates that CNH has dependencies on debt financing.
- CNH has a worse Debt to Equity ratio (3.51) than 87.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.51 | ||
| Debt/FCF | 13.4 | ||
| Altman-Z | 1.3 |
ROIC/WACC0.74
WACC8.27%
2.3 Liquidity
- A Current Ratio of 1.69 indicates that CNH should not have too much problems paying its short term obligations.
- With a Current ratio value of 1.69, CNH is not doing good in the industry: 65.15% of the companies in the same industry are doing better.
- CNH has a Quick Ratio of 1.69. This is a bad value and indicates that CNH is not financially healthy enough and could expect problems in meeting its short term obligations.
- The Quick ratio of CNH (0.58) is worse than 87.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.69 | ||
| Quick Ratio | 0.58 |
3. Growth
3.1 Past
- The earnings per share for CNH have decreased strongly by -63.50% in the last year.
- The Earnings Per Share has been growing slightly by 5.29% on average over the past years.
- Looking at the last year, CNH shows a very negative growth in Revenue. The Revenue has decreased by -18.10% in the last year.
- CNH shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -6.71% yearly.
EPS 1Y (TTM)-63.5%
EPS 3Y-6.6%
EPS 5Y5.29%
EPS Q2Q%-66.67%
Revenue 1Y (TTM)-18.1%
Revenue growth 3Y0.58%
Revenue growth 5Y-6.71%
Sales Q2Q%-5.48%
3.2 Future
- CNH is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.74% yearly.
- The Revenue is expected to grow by 0.38% on average over the next years.
EPS Next Y-58.19%
EPS Next 2Y-28.85%
EPS Next 3Y-6.68%
EPS Next 5Y5.74%
Revenue Next Year-8.11%
Revenue Next 2Y-4.45%
Revenue Next 3Y0.04%
Revenue Next 5Y0.38%
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 21.52, the valuation of CNH can be described as rather expensive.
- CNH's Price/Earnings ratio is a bit cheaper when compared to the industry. CNH is cheaper than 69.70% of the companies in the same industry.
- When comparing the Price/Earnings ratio of CNH to the average of the S&P500 Index (28.32), we can say CNH is valued slightly cheaper.
- The Price/Forward Earnings ratio is 19.32, which indicates a rather expensive current valuation of CNH.
- Based on the Price/Forward Earnings ratio, CNH is valued a bit cheaper than 63.64% of the companies in the same industry.
- CNH is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 25.57, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.52 | ||
| Fwd PE | 19.32 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, CNH is valued cheaply inside the industry as 80.30% of the companies are valued more expensively.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of CNH indicates a rather cheap valuation: CNH is cheaper than 96.97% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.63 | ||
| EV/EBITDA | 10.47 |
4.3 Compensation for Growth
- CNH has a very decent profitability rating, which may justify a higher PE ratio.
- A cheap valuation may be justified as CNH's earnings are expected to decrease with -6.68% in the coming years.
PEG (NY)N/A
PEG (5Y)4.07
EPS Next 2Y-28.85%
EPS Next 3Y-6.68%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 2.30%, CNH has a reasonable but not impressive dividend return.
- CNH's Dividend Yield is rather good when compared to the industry average which is at 1.01. CNH pays more dividend than 89.39% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.83, CNH pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.3% |
5.2 History
- The dividend of CNH is nicely growing with an annual growth rate of 17.97%!
- CNH has been paying a dividend for over 5 years, so it has already some track record.
- CNH has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)17.97%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
- 55.11% of the earnings are spent on dividend by CNH. This is a bit on the high side, but may be sustainable.
- CNH's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP55.11%
EPS Next 2Y-28.85%
EPS Next 3Y-6.68%
CNH INDUSTRIAL NV / CNH FAQ
Can you provide the ChartMill fundamental rating for CNH INDUSTRIAL NV?
ChartMill assigns a fundamental rating of 4 / 10 to CNH.
What is the valuation status of CNH INDUSTRIAL NV (CNH) stock?
ChartMill assigns a valuation rating of 5 / 10 to CNH INDUSTRIAL NV (CNH). This can be considered as Fairly Valued.
Can you provide the profitability details for CNH INDUSTRIAL NV?
CNH INDUSTRIAL NV (CNH) has a profitability rating of 6 / 10.
Can you provide the financial health for CNH stock?
The financial health rating of CNH INDUSTRIAL NV (CNH) is 2 / 10.
What is the expected EPS growth for CNH INDUSTRIAL NV (CNH) stock?
The Earnings per Share (EPS) of CNH INDUSTRIAL NV (CNH) is expected to decline by -58.19% in the next year.