243.96 USD
+0.82 (+0.34%)
243.96 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to NDSN. NDSN was compared to 132 industry peers in the Machinery industry. While NDSN belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. NDSN is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
NDSN had positive earnings in the past year.
In the past year NDSN had a positive cash flow from operations.
NDSN had positive earnings in each of the past 5 years.
Each year in the past 5 years NDSN had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.19%, NDSN is in the better half of the industry, outperforming 75.76% of the companies in the same industry.
Looking at the Return On Equity, with a value of 15.92%, NDSN is in the better half of the industry, outperforming 75.76% of the companies in the same industry.
NDSN has a Return On Invested Capital of 11.29%. This is in the better half of the industry: NDSN outperforms 77.27% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NDSN is in line with the industry average of 10.27%.
The last Return On Invested Capital (11.29%) for NDSN is above the 3 year average (10.93%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.19% | ||
| ROE | 15.92% | ||
| ROIC | 11.29% |
ROA(3y)8.42%
ROA(5y)10.13%
ROE(3y)16.87%
ROE(5y)18.81%
ROIC(3y)10.93%
ROIC(5y)13.3%
1.3 Margins
Looking at the Profit Margin, with a value of 17.35%, NDSN belongs to the top of the industry, outperforming 93.18% of the companies in the same industry.
In the last couple of years the Profit Margin of NDSN has grown nicely.
NDSN has a better Operating Margin (25.94%) than 97.73% of its industry peers.
NDSN's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 55.16%, NDSN belongs to the best of the industry, outperforming 95.45% of the companies in the same industry.
NDSN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.94% | ||
| PM (TTM) | 17.35% | ||
| GM | 55.16% |
OM growth 3Y-1.46%
OM growth 5Y4.72%
PM growth 3Y-4.31%
PM growth 5Y8.09%
GM growth 3Y0.05%
GM growth 5Y0.69%
2. Health
2.1 Basic Checks
NDSN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
NDSN has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, NDSN has less shares outstanding
Compared to 1 year ago, NDSN has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.91 indicates that NDSN is not in any danger for bankruptcy at the moment.
NDSN has a better Altman-Z score (4.91) than 73.48% of its industry peers.
The Debt to FCF ratio of NDSN is 3.04, which is a good value as it means it would take NDSN, 3.04 years of fcf income to pay off all of its debts.
NDSN has a Debt to FCF ratio of 3.04. This is in the better half of the industry: NDSN outperforms 69.70% of its industry peers.
NDSN has a Debt/Equity ratio of 0.56. This is a neutral value indicating NDSN is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.56, NDSN is in line with its industry, outperforming 44.70% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 3.04 | ||
| Altman-Z | 4.91 |
ROIC/WACC1.22
WACC9.26%
2.3 Liquidity
NDSN has a Current Ratio of 1.64. This is a normal value and indicates that NDSN is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.64, NDSN is not doing good in the industry: 67.42% of the companies in the same industry are doing better.
A Quick Ratio of 1.05 indicates that NDSN should not have too much problems paying its short term obligations.
NDSN's Quick ratio of 1.05 is on the low side compared to the rest of the industry. NDSN is outperformed by 62.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.05 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.13% over the past year.
NDSN shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 13.32% yearly.
The Revenue has been growing slightly by 3.78% in the past year.
Measured over the past years, NDSN shows a small growth in Revenue. The Revenue has been growing by 5.65% on average per year.
EPS 1Y (TTM)5.13%
EPS 3Y2.78%
EPS 5Y13.32%
EPS Q2Q%8.99%
Revenue 1Y (TTM)3.78%
Revenue growth 3Y2.53%
Revenue growth 5Y5.65%
Sales Q2Q%0.99%
3.2 Future
The Earnings Per Share is expected to grow by 10.58% on average over the next years. This is quite good.
Based on estimates for the next years, NDSN will show a quite strong growth in Revenue. The Revenue will grow by 8.64% on average per year.
EPS Next Y12.17%
EPS Next 2Y9.9%
EPS Next 3Y9.71%
EPS Next 5Y10.58%
Revenue Next Year3.78%
Revenue Next 2Y4.35%
Revenue Next 3Y5.27%
Revenue Next 5Y8.64%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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
NDSN is valuated rather expensively with a Price/Earnings ratio of 23.82.
The rest of the industry has a similar Price/Earnings ratio as NDSN.
The average S&P500 Price/Earnings ratio is at 26.77. NDSN is around the same levels.
With a Price/Forward Earnings ratio of 21.24, NDSN is valued on the expensive side.
The rest of the industry has a similar Price/Forward Earnings ratio as NDSN.
When comparing the Price/Forward Earnings ratio of NDSN to the average of the S&P500 Index (23.35), we can say NDSN is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.82 | ||
| Fwd PE | 21.24 |
4.2 Price Multiples
NDSN's Enterprise Value to EBITDA is on the same level as the industry average.
Based on the Price/Free Cash Flow ratio, NDSN is valued a bit cheaper than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.73 | ||
| EV/EBITDA | 17.79 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates NDSN does not grow enough to justify the current Price/Earnings ratio.
NDSN has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.96
PEG (5Y)1.79
EPS Next 2Y9.9%
EPS Next 3Y9.71%
5. Dividend
5.1 Amount
NDSN has a Yearly Dividend Yield of 1.35%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 0.98, NDSN pays a bit more dividend than its industry peers.
NDSN's Dividend Yield is slightly below the S&P500 average, which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.35% |
5.2 History
The dividend of NDSN is nicely growing with an annual growth rate of 15.71%!
NDSN has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)15.71%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
NDSN pays out 36.96% of its income as dividend. This is a sustainable payout ratio.
NDSN's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP36.96%
EPS Next 2Y9.9%
EPS Next 3Y9.71%
243.96
+0.82 (+0.34%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners78.37%
Inst Owner Change-1.98%
Ins Owners0.28%
Ins Owner Change2.26%
Market Cap13.71B
Revenue(TTM)2.79B
Net Income(TTM)484.47M
Analysts75.56
Price Target276.57 (13.37%)
Short Float %2.83%
Short Ratio3.61
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.35% |
Yearly Dividend3.17
Dividend Growth(5Y)15.71%
DP36.96%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.47%
Min EPS beat(2)1.44%
Max EPS beat(2)1.49%
EPS beat(4)3
Avg EPS beat(4)0.07%
Min EPS beat(4)-3.19%
Max EPS beat(4)1.49%
EPS beat(8)6
Avg EPS beat(8)1.52%
EPS beat(12)8
Avg EPS beat(12)1.19%
EPS beat(16)12
Avg EPS beat(16)1.73%
Revenue beat(2)1
Avg Revenue beat(2)-1.33%
Min Revenue beat(2)-3.2%
Max Revenue beat(2)0.54%
Revenue beat(4)1
Avg Revenue beat(4)-2.23%
Min Revenue beat(4)-5.61%
Max Revenue beat(4)0.54%
Revenue beat(8)1
Avg Revenue beat(8)-2.01%
Revenue beat(12)1
Avg Revenue beat(12)-2.08%
Revenue beat(16)2
Avg Revenue beat(16)-1.69%
PT rev (1m)5.33%
PT rev (3m)5.74%
EPS NQ rev (1m)-0.1%
EPS NQ rev (3m)1.27%
EPS NY rev (1m)1.62%
EPS NY rev (3m)1.78%
Revenue NQ rev (1m)-0.62%
Revenue NQ rev (3m)-0.59%
Revenue NY rev (1m)-0.64%
Revenue NY rev (3m)-0.8%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.82 | ||
| Fwd PE | 21.24 | ||
| P/S | 4.91 | ||
| P/FCF | 20.73 | ||
| P/OCF | 19.06 | ||
| P/B | 4.5 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.79 |
EPS(TTM)10.24
EY4.2%
EPS(NY)11.49
Fwd EY4.71%
FCF(TTM)11.77
FCFY4.82%
OCF(TTM)12.8
OCFY5.25%
SpS49.68
BVpS54.17
TBVpS-16.78
PEG (NY)1.96
PEG (5Y)1.79
Graham Number111.71
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.19% | ||
| ROE | 15.92% | ||
| ROCE | 14.04% | ||
| ROIC | 11.29% | ||
| ROICexc | 11.53% | ||
| ROICexgc | 54.72% | ||
| OM | 25.94% | ||
| PM (TTM) | 17.35% | ||
| GM | 55.16% | ||
| FCFM | 23.68% |
ROA(3y)8.42%
ROA(5y)10.13%
ROE(3y)16.87%
ROE(5y)18.81%
ROIC(3y)10.93%
ROIC(5y)13.3%
ROICexc(3y)11.18%
ROICexc(5y)13.96%
ROICexgc(3y)48.22%
ROICexgc(5y)55.49%
ROCE(3y)13.59%
ROCE(5y)16.53%
ROICexgc growth 3Y-12.63%
ROICexgc growth 5Y8.87%
ROICexc growth 3Y-16.78%
ROICexc growth 5Y0.37%
OM growth 3Y-1.46%
OM growth 5Y4.72%
PM growth 3Y-4.31%
PM growth 5Y8.09%
GM growth 3Y0.05%
GM growth 5Y0.69%
F-Score7
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 3.04 | ||
| Debt/EBITDA | 1.93 | ||
| Cap/Depr | 38.57% | ||
| Cap/Sales | 2.08% | ||
| Interest Coverage | 7.34 | ||
| Cash Conversion | 82.21% | ||
| Profit Quality | 136.46% | ||
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.05 | ||
| Altman-Z | 4.91 |
F-Score7
WACC9.26%
ROIC/WACC1.22
Cap/Depr(3y)38.93%
Cap/Depr(5y)41.02%
Cap/Sales(3y)1.93%
Cap/Sales(5y)1.88%
Profit Quality(3y)122.05%
Profit Quality(5y)113.57%
High Growth Momentum
Growth
EPS 1Y (TTM)5.13%
EPS 3Y2.78%
EPS 5Y13.32%
EPS Q2Q%8.99%
EPS Next Y12.17%
EPS Next 2Y9.9%
EPS Next 3Y9.71%
EPS Next 5Y10.58%
Revenue 1Y (TTM)3.78%
Revenue growth 3Y2.53%
Revenue growth 5Y5.65%
Sales Q2Q%0.99%
Revenue Next Year3.78%
Revenue Next 2Y4.35%
Revenue Next 3Y5.27%
Revenue Next 5Y8.64%
EBIT growth 1Y7.46%
EBIT growth 3Y1.03%
EBIT growth 5Y10.64%
EBIT Next Year27.03%
EBIT Next 3Y12.56%
EBIT Next 5Y13.18%
FCF growth 1Y34.43%
FCF growth 3Y12.71%
FCF growth 5Y7.91%
OCF growth 1Y29.3%
OCF growth 3Y11.91%
OCF growth 5Y7.44%
NORDSON CORP / NDSN FAQ
Can you provide the ChartMill fundamental rating for NORDSON CORP?
ChartMill assigns a fundamental rating of 6 / 10 to NDSN.
What is the valuation status of NORDSON CORP (NDSN) stock?
ChartMill assigns a valuation rating of 3 / 10 to NORDSON CORP (NDSN). This can be considered as Overvalued.
What is the profitability of NDSN stock?
NORDSON CORP (NDSN) has a profitability rating of 8 / 10.
What is the expected EPS growth for NORDSON CORP (NDSN) stock?
The Earnings per Share (EPS) of NORDSON CORP (NDSN) is expected to grow by 12.17% in the next year.
Can you provide the dividend sustainability for NDSN stock?
The dividend rating of NORDSON CORP (NDSN) is 5 / 10 and the dividend payout ratio is 36.96%.