NEXANS SA (NEX.PA) Stock Fundamental Analysis
Europe - EPA:NEX - FR0000044448 - Common Stock
133.1 EUR
+3.3 (+2.54%)
We assign a fundamental rating of 5 out of 10 to NEX. NEX was compared to 60 industry peers in the Electrical Equipment industry. NEX scores excellent on profitability, but there are some minor concerns on its financial health. NEX has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
NEX had positive earnings in the past year.
In the past year NEX had a positive cash flow from operations.
In the past 5 years NEX has always been profitable.
NEX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
NEX's Return On Assets of 5.88% is amongst the best of the industry. NEX outperforms 81.67% of its industry peers.
NEX's Return On Equity of 25.22% is amongst the best of the industry. NEX outperforms 93.33% of its industry peers.
NEX's Return On Invested Capital of 9.23% is fine compared to the rest of the industry. NEX outperforms 73.33% of its industry peers.
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 9.28%.
| 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
The Profit Margin of NEX (5.29%) is better than 71.67% of its industry peers.
NEX's Profit Margin has improved in the last couple of years.
NEX has a Operating Margin of 6.23%. This is in the better half of the industry: NEX outperforms 63.33% of its industry peers.
NEX's Operating Margin has improved in the last couple of years.
NEX has a Gross Margin of 13.03%. This is amonst the worse of the industry: NEX underperforms 85.00% of its industry peers.
NEX's Gross Margin has improved in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), NEX is creating some value.
The number of shares outstanding for NEX remains at a similar level compared to 1 year ago.
Compared to 5 years ago, NEX has more shares outstanding
The debt/assets ratio for NEX is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.15 indicates that NEX is not a great score, but indicates only limited risk for bankruptcy at the moment.
NEX has a Altman-Z score of 2.15. This is in the better half of the industry: NEX outperforms 63.33% of 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.
Looking at the Debt to FCF ratio, with a value of 3.52, NEX belongs to the top of the industry, outperforming 81.67% of the companies in the same industry.
NEX has a Debt/Equity ratio of 1.09. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.09, NEX is not doing good in the industry: 76.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 3.52 | ||
| Altman-Z | 2.15 |
ROIC/WACC1.37
WACC6.75%
2.3 Liquidity
NEX has a Current Ratio of 1.28. This is a normal value and indicates that NEX is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of NEX (1.28) is comparable to the rest of the industry.
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.
Looking at the Quick ratio, with a value of 0.96, NEX is in line with its industry, outperforming 60.00% of the companies in the same industry.
| 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 38.68% over the past year.
Measured over the past years, NEX shows a quite strong growth in Earnings Per Share. The EPS has been growing by 17.66% on average per year.
The Revenue for NEX has decreased by -24.94% in the past year. This is quite bad
The Revenue has been growing slightly by 4.88% on average over the past years.
EPS 1Y (TTM)38.68%
EPS 3Y5.94%
EPS 5Y17.66%
EPS Q2Q%114.71%
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 10.24% on average over the next years. This is quite good.
Based on estimates for the next years, NEX will show a decrease in Revenue. The Revenue will decrease by -0.25% on average per year.
EPS Next Y17.38%
EPS Next 2Y7.65%
EPS Next 3Y9.68%
EPS Next 5Y10.24%
Revenue Next Year0.65%
Revenue Next 2Y0.44%
Revenue Next 3Y1.45%
Revenue Next 5Y-0.25%
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 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 18.56, which indicates a rather expensive current valuation of NEX.
Compared to the rest of the industry, the Price/Earnings ratio of NEX indicates a rather cheap valuation: NEX is cheaper than 81.67% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of NEX to the average of the S&P500 Index (27.20), we can say NEX is valued slightly cheaper.
With a Price/Forward Earnings ratio of 16.02, NEX is valued correctly.
75.00% of the companies in the same industry are more expensive than NEX, based on the Price/Forward Earnings ratio.
NEX is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.70, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.56 | ||
| Fwd PE | 16.02 |
4.2 Price Multiples
NEX's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. NEX is cheaper than 83.33% of the companies in the same industry.
NEX's Price/Free Cash Flow ratio is rather cheap when compared to the industry. NEX is cheaper than 86.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.82 | ||
| EV/EBITDA | 6.38 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of NEX may justify a higher PE ratio.
PEG (NY)1.07
PEG (5Y)1.05
EPS Next 2Y7.65%
EPS Next 3Y9.68%
5. Dividend
5.1 Amount
NEX has a Yearly Dividend Yield of 1.99%.
Compared to an average industry Dividend Yield of 2.59, NEX pays a better dividend. On top of this NEX pays more dividend than 83.33% of the companies listed in the same industry.
NEX's Dividend Yield is comparable with the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.99% |
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 2Y7.65%
EPS Next 3Y9.68%
EPA:NEX (9/18/2025, 5:36:15 PM)
133.1
+3.3 (+2.54%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners54.33%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap5.82B
Analysts73.68
Price Target137.7 (3.46%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.99% |
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)6.3%
PT rev (3m)16.07%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)9.39%
EPS NY rev (3m)9.39%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-2.05%
Revenue NY rev (3m)-2.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.56 | ||
| Fwd PE | 16.02 | ||
| P/S | 0.65 | ||
| P/FCF | 9.82 | ||
| P/OCF | 6.19 | ||
| P/B | 3.08 | ||
| P/tB | 4.98 | ||
| EV/EBITDA | 6.38 |
EPS(TTM)7.17
EY5.39%
EPS(NY)8.31
Fwd EY6.24%
FCF(TTM)13.56
FCFY10.19%
OCF(TTM)21.51
OCFY16.16%
SpS206.17
BVpS43.23
TBVpS26.75
PEG (NY)1.07
PEG (5Y)1.05
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%
ROICexcg growth 3Y12.26%
ROICexcg 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 | 2.15 |
F-Score7
WACC6.75%
ROIC/WACC1.37
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)38.68%
EPS 3Y5.94%
EPS 5Y17.66%
EPS Q2Q%114.71%
EPS Next Y17.38%
EPS Next 2Y7.65%
EPS Next 3Y9.68%
EPS Next 5Y10.24%
Revenue 1Y (TTM)-24.94%
Revenue growth 3Y5.04%
Revenue growth 5Y4.88%
Sales Q2Q%11.17%
Revenue Next Year0.65%
Revenue Next 2Y0.44%
Revenue Next 3Y1.45%
Revenue Next 5Y-0.25%
EBIT growth 1Y-23.43%
EBIT growth 3Y23.36%
EBIT growth 5Y17.71%
EBIT Next Year50.2%
EBIT Next 3Y20.88%
EBIT Next 5Y14.42%
FCF growth 1Y47.15%
FCF growth 3Y26.31%
FCF growth 5Y52.43%
OCF growth 1Y30.15%
OCF growth 3Y24.35%
OCF growth 5Y20.84%