NASDAQ INC (NAQ.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:NAQ - US6311031081 - Common Stock
83.18 EUR
-1.09 (-1.29%)
We assign a fundamental rating of 5 out of 10 to NAQ. NAQ was compared to 118 industry peers in the Capital Markets industry. NAQ scores excellent on profitability, but there are some minor concerns on its financial health. NAQ has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- In the past year NAQ was profitable.
- In the past year NAQ had a positive cash flow from operations.
- Each year in the past 5 years NAQ has been profitable.
- In the past 5 years NAQ always reported a positive cash flow from operatings.
1.2 Ratios
- Looking at the Return On Assets, with a value of 5.30%, NAQ is in the better half of the industry, outperforming 77.12% of the companies in the same industry.
- NAQ has a Return On Equity of 13.52%. This is in the better half of the industry: NAQ outperforms 72.03% of its industry peers.
- NAQ has a better Return On Invested Capital (7.71%) than 79.66% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for NAQ is in line with the industry average of 8.65%.
- The last Return On Invested Capital (7.71%) for NAQ is above the 3 year average (7.46%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.3% | ||
| ROE | 13.52% | ||
| ROIC | 7.71% |
ROA(3y)4.12%
ROA(5y)4.69%
ROE(3y)12.69%
ROE(5y)14.23%
ROIC(3y)7.46%
ROIC(5y)7.97%
1.3 Margins
- The Profit Margin of NAQ (19.89%) is better than 62.71% of its industry peers.
- NAQ's Profit Margin has declined in the last couple of years.
- NAQ's Operating Margin of 28.43% is fine compared to the rest of the industry. NAQ outperforms 67.80% of its industry peers.
- In the last couple of years the Operating Margin of NAQ has remained more or less at the same level.
- NAQ has a Gross Margin of 62.26%. This is in the better half of the industry: NAQ outperforms 70.34% of its industry peers.
- NAQ's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.43% | ||
| PM (TTM) | 19.89% | ||
| GM | 62.26% |
OM growth 3Y-0.88%
OM growth 5Y0.46%
PM growth 3Y-9.2%
PM growth 5Y-3.63%
GM growth 3Y2.64%
GM growth 5Y1.1%
2. Health
2.1 Basic Checks
- The number of shares outstanding for NAQ remains at a similar level compared to 1 year ago.
- The number of shares outstanding for NAQ has been increased compared to 5 years ago.
- The debt/assets ratio for NAQ has been reduced compared to a year ago.
2.2 Solvency
- NAQ has an Altman-Z score of 2.74. This is not the best score and indicates that NAQ is in the grey zone with still only limited risk for bankruptcy at the moment.
- The Altman-Z score of NAQ (2.74) is better than 80.51% of its industry peers.
- The Debt to FCF ratio of NAQ is 4.34, which is a neutral value as it means it would take NAQ, 4.34 years of fcf income to pay off all of its debts.
- NAQ's Debt to FCF ratio of 4.34 is fine compared to the rest of the industry. NAQ outperforms 77.12% of its industry peers.
- A Debt/Equity ratio of 0.72 indicates that NAQ is somewhat dependend on debt financing.
- NAQ has a Debt to Equity ratio (0.72) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 4.34 | ||
| Altman-Z | 2.74 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
- NAQ has a Current Ratio of 0.99. This is a bad value and indicates that NAQ is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a decent Current ratio value of 0.99, NAQ is doing good in the industry, outperforming 61.02% of the companies in the same industry.
- A Quick Ratio of 0.99 indicates that NAQ may have some problems paying its short term obligations.
- NAQ has a better Quick ratio (0.99) than 61.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.99 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 17.99% over the past year.
- Measured over the past years, NAQ shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.09% on average per year.
- The Revenue has grown by 16.44% in the past year. This is quite good.
- NAQ shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.67% yearly.
EPS 1Y (TTM)17.99%
EPS 3Y3.77%
EPS 5Y11.09%
EPS Q2Q%18.92%
Revenue 1Y (TTM)16.44%
Revenue growth 3Y7.93%
Revenue growth 5Y11.67%
Sales Q2Q%14.75%
3.2 Future
- NAQ is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.93% yearly.
- NAQ is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.56% yearly.
EPS Next Y23.92%
EPS Next 2Y18.09%
EPS Next 3Y15.87%
EPS Next 5Y13.93%
Revenue Next Year11.62%
Revenue Next 2Y9.99%
Revenue Next 3Y9.29%
Revenue Next 5Y7.56%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 29.81 indicates a quite expensive valuation of NAQ.
- NAQ's Price/Earnings ratio is in line with the industry average.
- NAQ's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.25.
- NAQ is valuated rather expensively with a Price/Forward Earnings ratio of 24.84.
- NAQ's Price/Forward Earnings is on the same level as the industry average.
- When comparing the Price/Forward Earnings ratio of NAQ to the average of the S&P500 Index (25.98), we can say NAQ is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.81 | ||
| Fwd PE | 24.84 |
4.2 Price Multiples
- NAQ's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. NAQ is cheaper than 66.10% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, NAQ is valued a bit cheaper than 70.34% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.58 | ||
| EV/EBITDA | 21.88 |
4.3 Compensation for Growth
- NAQ's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The decent profitability rating of NAQ may justify a higher PE ratio.
- NAQ's earnings are expected to grow with 15.87% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.25
PEG (5Y)2.69
EPS Next 2Y18.09%
EPS Next 3Y15.87%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.09%, NAQ has a reasonable but not impressive dividend return.
- NAQ's Dividend Yield is comparable with the industry average which is at 3.08.
- Compared to the average S&P500 Dividend Yield of 1.82, NAQ is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.09% |
5.2 History
- The dividend of NAQ is nicely growing with an annual growth rate of 8.85%!
Dividend Growth(5Y)8.85%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- 36.06% of the earnings are spent on dividend by NAQ. This is a low number and sustainable payout ratio.
- NAQ's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP36.06%
EPS Next 2Y18.09%
EPS Next 3Y15.87%
NASDAQ INC / NAQ.DE FAQ
What is the ChartMill fundamental rating of NASDAQ INC (NAQ.DE) stock?
ChartMill assigns a fundamental rating of 5 / 10 to NAQ.DE.
What is the valuation status for NAQ stock?
ChartMill assigns a valuation rating of 4 / 10 to NASDAQ INC (NAQ.DE). This can be considered as Fairly Valued.
What is the profitability of NAQ stock?
NASDAQ INC (NAQ.DE) has a profitability rating of 7 / 10.
What is the financial health of NASDAQ INC (NAQ.DE) stock?
The financial health rating of NASDAQ INC (NAQ.DE) is 4 / 10.
Is the dividend of NASDAQ INC sustainable?
The dividend rating of NASDAQ INC (NAQ.DE) is 5 / 10 and the dividend payout ratio is 36.06%.