NEXANS SA (NEX.PA) Stock Fundamental Analysis
Europe - EPA:NEX - FR0000044448 - Common Stock
125.9 EUR
+7 (+5.89%)
Taking everything into account, NEX scores 5 out of 10 in our fundamental rating. NEX was compared to 61 industry peers in the Electrical Equipment industry. While NEX has a great profitability rating, there are quite some concerns on its financial health. NEX is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year NEX was profitable.
In the past year NEX had a positive cash flow from operations.
In the past 5 years NEX has always been profitable.
Each year in the past 5 years NEX had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 5.88%, NEX is doing good in the industry, outperforming 77.05% of the companies in the same industry.
The Return On Equity of NEX (25.22%) is better than 88.52% of its industry peers.
Looking at the Return On Invested Capital, with a value of 9.23%, NEX is in the better half of the industry, outperforming 77.05% of the companies in the same industry.
NEX had an Average Return On Invested Capital over the past 3 years of 10.24%. This is in line with the industry average of 10.39%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.88% | ||
| ROE | 25.22% | ||
| ROIC | 9.23% |
ROA(3y)3.61%
ROA(5y)3.05%
ROE(3y)14.42%
ROE(5y)12.2%
ROIC(3y)10.24%
ROIC(5y)8.63%
1.3 Margins
NEX has a Profit Margin of 5.29%. This is in the better half of the industry: NEX outperforms 73.77% of its industry peers.
In the last couple of years the Profit Margin of NEX has grown nicely.
NEX's Operating Margin of 6.23% is fine compared to the rest of the industry. NEX outperforms 60.66% of its industry peers.
NEX's Operating Margin has improved in the last couple of years.
NEX has a worse Gross Margin (13.03%) than 85.25% of its industry peers.
In the last couple of years the Gross Margin of NEX has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.23% | ||
| PM (TTM) | 5.29% | ||
| GM | 13.03% |
OM growth 3Y17.44%
OM growth 5Y12.24%
PM growth 3Y13.65%
PM growth 5YN/A
GM growth 3Y9.03%
GM growth 5Y3.3%
2. Health
2.1 Basic Checks
NEX has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for NEX remains at a similar level compared to 1 year ago.
The number of shares outstanding for NEX has been increased compared to 5 years ago.
The debt/assets ratio for NEX is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.11 indicates that NEX is not a great score, but indicates only limited risk for bankruptcy at the moment.
NEX has a Altman-Z score (2.11) which is in line with its industry peers.
The Debt to FCF ratio of NEX is 3.52, which is a good value as it means it would take NEX, 3.52 years of fcf income to pay off all of its debts.
NEX's Debt to FCF ratio of 3.52 is fine compared to the rest of the industry. NEX outperforms 75.41% of its industry peers.
A Debt/Equity ratio of 1.09 is on the high side and indicates that NEX has dependencies on debt financing.
NEX's Debt to Equity ratio of 1.09 is on the low side compared to the rest of the industry. NEX is outperformed by 83.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 3.52 | ||
| Altman-Z | 2.11 |
ROIC/WACC1.22
WACC7.56%
2.3 Liquidity
A Current Ratio of 1.28 indicates that NEX should not have too much problems paying its short term obligations.
NEX has a Current ratio of 1.28. This is in the lower half of the industry: NEX underperforms 60.66% of its industry peers.
NEX has a Quick Ratio of 1.28. This is a bad value and indicates that NEX is not financially healthy enough and could expect problems in meeting its short term obligations.
NEX has a Quick ratio of 0.96. This is comparable to the rest of the industry: NEX outperforms 57.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.28 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 75.70% over the past year.
NEX shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.66% yearly.
Looking at the last year, NEX shows a very negative growth in Revenue. The Revenue has decreased by -24.94% in the last year.
Measured over the past years, NEX shows a small growth in Revenue. The Revenue has been growing by 4.88% on average per year.
EPS 1Y (TTM)75.7%
EPS 3Y5.94%
EPS 5Y17.66%
EPS Q2Q%95.87%
Revenue 1Y (TTM)-24.94%
Revenue growth 3Y5.04%
Revenue growth 5Y4.88%
Sales Q2Q%11.17%
3.2 Future
The Earnings Per Share is expected to grow by 10.66% on average over the next years. This is quite good.
NEX is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.27% yearly.
EPS Next Y19.23%
EPS Next 2Y7.99%
EPS Next 3Y9.98%
EPS Next 5Y10.66%
Revenue Next Year0.09%
Revenue Next 2Y0.35%
Revenue Next 3Y1.44%
Revenue Next 5Y-0.27%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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
The Price/Earnings ratio is 11.09, which indicates a very decent valuation of NEX.
Based on the Price/Earnings ratio, NEX is valued cheaply inside the industry as 96.72% of the companies are valued more expensively.
NEX's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.51.
Based on the Price/Forward Earnings ratio of 15.06, the valuation of NEX can be described as correct.
Based on the Price/Forward Earnings ratio, NEX is valued a bit cheaper than 78.69% of the companies in the same industry.
NEX's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.98.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.09 | ||
| Fwd PE | 15.06 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NEX is valued cheaply inside the industry as 90.16% of the companies are valued more expensively.
NEX's Price/Free Cash Flow ratio is rather cheap when compared to the industry. NEX is cheaper than 88.52% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.29 | ||
| EV/EBITDA | 5.81 |
4.3 Compensation for Growth
NEX's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
NEX has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.58
PEG (5Y)0.63
EPS Next 2Y7.99%
EPS Next 3Y9.98%
5. Dividend
5.1 Amount
NEX has a Yearly Dividend Yield of 2.12%. Purely for dividend investing, there may be better candidates out there.
NEX's Dividend Yield is rather good when compared to the industry average which is at 1.99. NEX pays more dividend than 88.52% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, NEX has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.12% |
5.2 History
The dividend of NEX is nicely growing with an annual growth rate of 46.60%!
Dividend Growth(5Y)46.6%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
NEX pays out 24.11% of its income as dividend. This is a sustainable payout ratio.
NEX's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP24.11%
EPS Next 2Y7.99%
EPS Next 3Y9.98%
EPA:NEX (11/19/2025, 3:10:15 PM)
125.9
+7 (+5.89%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners53.17%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap5.51B
Revenue(TTM)9.02B
Net Income(TTM)477.00M
Analysts71.58
Price Target136.68 (8.56%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.12% |
Yearly Dividend2.34
Dividend Growth(5Y)46.6%
DP24.11%
Div Incr Years6
Div Non Decr Years6
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)-1.11%
PT rev (3m)5.51%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)2.21%
EPS NY rev (3m)11.12%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-1.79%
Revenue NY rev (3m)-2.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.09 | ||
| Fwd PE | 15.06 | ||
| P/S | 0.61 | ||
| P/FCF | 9.29 | ||
| P/OCF | 5.85 | ||
| P/B | 2.91 | ||
| P/tB | 4.71 | ||
| EV/EBITDA | 5.81 |
EPS(TTM)11.35
EY9.02%
EPS(NY)8.36
Fwd EY6.64%
FCF(TTM)13.56
FCFY10.77%
OCF(TTM)21.51
OCFY17.09%
SpS206.17
BVpS43.23
TBVpS26.75
PEG (NY)0.58
PEG (5Y)0.63
Graham Number105.07
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.88% | ||
| ROE | 25.22% | ||
| ROCE | 13.49% | ||
| ROIC | 9.23% | ||
| ROICexc | 16.89% | ||
| ROICexgc | 23.9% | ||
| OM | 6.23% | ||
| PM (TTM) | 5.29% | ||
| GM | 13.03% | ||
| FCFM | 6.58% |
ROA(3y)3.61%
ROA(5y)3.05%
ROE(3y)14.42%
ROE(5y)12.2%
ROIC(3y)10.24%
ROIC(5y)8.63%
ROICexc(3y)15.8%
ROICexc(5y)13.35%
ROICexgc(3y)21.36%
ROICexgc(5y)17.57%
ROCE(3y)14.84%
ROCE(5y)12.68%
ROICexgc growth 3Y12.26%
ROICexgc growth 5Y14.43%
ROICexc growth 3Y8.04%
ROICexc growth 5Y11.49%
OM growth 3Y17.44%
OM growth 5Y12.24%
PM growth 3Y13.65%
PM growth 5YN/A
GM growth 3Y9.03%
GM growth 5Y3.3%
F-Score7
Asset Turnover1.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 3.52 | ||
| Debt/EBITDA | 2.43 | ||
| Cap/Depr | 122.54% | ||
| Cap/Sales | 3.86% | ||
| Interest Coverage | 6.53 | ||
| Cash Conversion | 111.23% | ||
| Profit Quality | 124.32% | ||
| Current Ratio | 1.28 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | 2.11 |
F-Score7
WACC7.56%
ROIC/WACC1.22
Cap/Depr(3y)193.81%
Cap/Depr(5y)168.26%
Cap/Sales(3y)4.27%
Cap/Sales(5y)3.96%
Profit Quality(3y)129.14%
Profit Quality(5y)154.21%
High Growth Momentum
Growth
EPS 1Y (TTM)75.7%
EPS 3Y5.94%
EPS 5Y17.66%
EPS Q2Q%95.87%
EPS Next Y19.23%
EPS Next 2Y7.99%
EPS Next 3Y9.98%
EPS Next 5Y10.66%
Revenue 1Y (TTM)-24.94%
Revenue growth 3Y5.04%
Revenue growth 5Y4.88%
Sales Q2Q%11.17%
Revenue Next Year0.09%
Revenue Next 2Y0.35%
Revenue Next 3Y1.44%
Revenue Next 5Y-0.27%
EBIT growth 1Y-23.43%
EBIT growth 3Y23.36%
EBIT growth 5Y17.71%
EBIT Next Year54.93%
EBIT Next 3Y20.05%
EBIT Next 5Y13.92%
FCF growth 1Y47.15%
FCF growth 3Y26.31%
FCF growth 5Y52.43%
OCF growth 1Y30.15%
OCF growth 3Y24.35%
OCF growth 5Y20.84%
NEXANS SA / NEX.PA FAQ
What is the fundamental rating for NEX stock?
ChartMill assigns a fundamental rating of 5 / 10 to NEX.PA.
Can you provide the valuation status for NEXANS SA?
ChartMill assigns a valuation rating of 8 / 10 to NEXANS SA (NEX.PA). This can be considered as Undervalued.
What is the profitability of NEX stock?
NEXANS SA (NEX.PA) has a profitability rating of 7 / 10.
What is the valuation of NEXANS SA based on its PE and PB ratios?
The Price/Earnings (PE) ratio for NEXANS SA (NEX.PA) is 11.09 and the Price/Book (PB) ratio is 2.91.
Can you provide the dividend sustainability for NEX stock?
The dividend rating of NEXANS SA (NEX.PA) is 6 / 10 and the dividend payout ratio is 24.11%.