NEXANS SA (NEX.PA) Stock Fundamental Analysis
Europe - EPA:NEX - FR0000044448 - Common Stock
120.4 EUR
-1.4 (-1.15%)
Taking everything into account, NEX scores 5 out of 10 in our fundamental rating. NEX was compared to 57 industry peers in the Electrical Equipment industry. While NEX belongs to the best of the industry regarding profitability, there are 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
NEX had positive earnings in the past year.
NEX had a positive operating cash flow in the past year.
Each year in the past 5 years NEX has been profitable.
NEX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of NEX (5.88%) is better than 82.46% of its industry peers.
Looking at the Return On Equity, with a value of 25.22%, NEX belongs to the top of the industry, outperforming 91.23% of the companies in the same industry.
With a decent Return On Invested Capital value of 9.23%, NEX is doing good in the industry, outperforming 78.95% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for NEX is in line with the industry average of 10.00%.
| 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
Looking at the Profit Margin, with a value of 5.29%, NEX is in the better half of the industry, outperforming 78.95% of the companies in the same industry.
NEX's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 6.23%, NEX is doing good in the industry, outperforming 64.91% of the companies in the same industry.
NEX's Operating Margin has improved in the last couple of years.
NEX has a worse Gross Margin (13.03%) than 85.96% 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
NEX has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
NEX has about the same amout of shares outstanding than it did 1 year ago.
NEX has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, NEX has a worse debt to assets ratio.
2.2 Solvency
NEX has an Altman-Z score of 2.12. This is not the best score and indicates that NEX is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.12, NEX is in the better half of the industry, outperforming 61.40% of the companies in the same industry.
NEX has a debt to FCF ratio of 3.52. This is a good value and a sign of high solvency as NEX would need 3.52 years to pay back of all of its debts.
NEX's Debt to FCF ratio of 3.52 is fine compared to the rest of the industry. NEX outperforms 78.95% of its industry peers.
NEX has a Debt/Equity ratio of 1.09. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.09, NEX is doing worse than 82.46% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 3.52 | ||
| Altman-Z | 2.12 |
ROIC/WACC1.29
WACC7.17%
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.
Looking at the Current ratio, with a value of 1.28, NEX is doing worse than 61.40% of the companies in the same industry.
A Quick Ratio of 0.96 indicates that NEX may have some problems paying its short term obligations.
With a Quick ratio value of 0.96, NEX perfoms like the industry average, outperforming 56.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.28 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
NEX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 75.70%, which is quite impressive.
The Earnings Per Share has been growing by 17.66% on average over the past years. This is quite good.
NEX shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -24.94%.
NEX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.88% yearly.
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 10.43% 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 -0.29% yearly.
EPS Next Y16.66%
EPS Next 2Y8.64%
EPS Next 3Y10.4%
EPS Next 5Y10.43%
Revenue Next Year1.91%
Revenue Next 2Y1.11%
Revenue Next 3Y1.98%
Revenue Next 5Y-0.29%
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
A Price/Earnings ratio of 10.61 indicates a reasonable valuation of NEX.
96.49% of the companies in the same industry are more expensive than NEX, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of NEX to the average of the S&P500 Index (26.03), we can say NEX is valued rather cheaply.
NEX is valuated correctly with a Price/Forward Earnings ratio of 14.23.
NEX's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. NEX is cheaper than 78.95% of the companies in the same industry.
NEX is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.27, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.61 | ||
| Fwd PE | 14.23 |
4.2 Price Multiples
NEX's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. NEX is cheaper than 87.72% of the companies in the same industry.
89.47% of the companies in the same industry are more expensive than NEX, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.88 | ||
| EV/EBITDA | 5.96 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of NEX may justify a higher PE ratio.
PEG (NY)0.64
PEG (5Y)0.6
EPS Next 2Y8.64%
EPS Next 3Y10.4%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.14%, NEX has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.16, NEX pays a better dividend. On top of this NEX pays more dividend than 89.47% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, NEX has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.14% |
5.2 History
On average, the dividend of NEX grows each year by 46.60%, which is quite nice.
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.
The dividend of NEX is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP24.11%
EPS Next 2Y8.64%
EPS Next 3Y10.4%
EPA:NEX (11/4/2025, 7:00:00 PM)
120.4
-1.4 (-1.15%)
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 Cap5.27B
Revenue(TTM)9.02B
Net Income(TTM)477.00M
Analysts73.68
Price Target136.68 (13.52%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.14% |
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)-0.74%
PT rev (3m)13.33%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)8.72%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.56%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.61 | ||
| Fwd PE | 14.23 | ||
| P/S | 0.58 | ||
| P/FCF | 8.88 | ||
| P/OCF | 5.6 | ||
| P/B | 2.78 | ||
| P/tB | 4.5 | ||
| EV/EBITDA | 5.96 |
EPS(TTM)11.35
EY9.43%
EPS(NY)8.46
Fwd EY7.03%
FCF(TTM)13.56
FCFY11.26%
OCF(TTM)21.51
OCFY17.87%
SpS206.17
BVpS43.23
TBVpS26.75
PEG (NY)0.64
PEG (5Y)0.6
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 | 2.12 |
F-Score7
WACC7.17%
ROIC/WACC1.29
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 Y16.66%
EPS Next 2Y8.64%
EPS Next 3Y10.4%
EPS Next 5Y10.43%
Revenue 1Y (TTM)-24.94%
Revenue growth 3Y5.04%
Revenue growth 5Y4.88%
Sales Q2Q%11.17%
Revenue Next Year1.91%
Revenue Next 2Y1.11%
Revenue Next 3Y1.98%
Revenue Next 5Y-0.29%
EBIT growth 1Y-23.43%
EBIT growth 3Y23.36%
EBIT growth 5Y17.71%
EBIT Next Year54.93%
EBIT Next 3Y20.05%
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%
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 10.61 and the Price/Book (PB) ratio is 2.78.
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%.