NATIONAL GRID PLC-SP ADR (NGG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NGG - US6362744095 - ADR
77.35 USD
-0.42 (-0.54%)
77.35 USD
0 (0%)
Overall NGG gets a fundamental rating of 4 out of 10. We evaluated NGG against 26 industry peers in the Multi-Utilities industry. NGG scores excellent on profitability, but there are concerns on its financial health. NGG has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year NGG was profitable.
NGG had a positive operating cash flow in the past year.
Each year in the past 5 years NGG has been profitable.
Each year in the past 5 years NGG had a positive operating cash flow.
1.2 Ratios
NGG has a Return On Assets of 2.77%. This is amongst the best in the industry. NGG outperforms 80.77% of its industry peers.
NGG's Return On Equity of 7.72% is on the low side compared to the rest of the industry. NGG is outperformed by 69.23% of its industry peers.
With a decent Return On Invested Capital value of 4.11%, NGG is doing good in the industry, outperforming 61.54% of the companies in the same industry.
NGG had an Average Return On Invested Capital over the past 3 years of 4.25%. This is in line with the industry average of 3.94%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.77% | ||
| ROE | 7.72% | ||
| ROIC | 4.11% |
ROA(3y)4.49%
ROA(5y)3.68%
ROE(3y)13.91%
ROE(5y)11.98%
ROIC(3y)4.25%
ROIC(5y)4.02%
1.3 Margins
NGG has a Profit Margin of 16.43%. This is amongst the best in the industry. NGG outperforms 92.31% of its industry peers.
NGG's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 29.57%, NGG belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
NGG's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 87.92%, NGG belongs to the top of the industry, outperforming 92.31% of the companies in the same industry.
NGG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.57% | ||
| PM (TTM) | 16.43% | ||
| GM | 87.92% |
OM growth 3Y9.26%
OM growth 5Y3.21%
PM growth 3Y7.01%
PM growth 5Y12.68%
GM growth 3Y1.78%
GM growth 5Y0.92%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so NGG is destroying value.
NGG has more shares outstanding than it did 1 year ago.
NGG has more shares outstanding than it did 5 years ago.
NGG has a better debt/assets ratio than last year.
2.2 Solvency
NGG has an Altman-Z score of 1.38. This is a bad value and indicates that NGG is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.38, NGG belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
A Debt/Equity ratio of 1.14 is on the high side and indicates that NGG has dependencies on debt financing.
The Debt to Equity ratio of NGG (1.14) is better than 84.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.38 |
ROIC/WACC0.59
WACC6.93%
2.3 Liquidity
A Current Ratio of 0.97 indicates that NGG may have some problems paying its short term obligations.
With a decent Current ratio value of 0.97, NGG is doing good in the industry, outperforming 61.54% of the companies in the same industry.
A Quick Ratio of 0.90 indicates that NGG may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.90, NGG belongs to the top of the industry, outperforming 80.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.97 | ||
| Quick Ratio | 0.9 |
3. Growth
3.1 Past
The earnings per share for NGG have decreased by -7.56% in the last year.
NGG shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.68% yearly.
The Revenue has decreased by -9.52% in the past year.
NGG shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.80% yearly.
EPS 1Y (TTM)-7.56%
EPS 3Y9.11%
EPS 5Y7.68%
EPS Q2Q%6.05%
Revenue 1Y (TTM)-9.52%
Revenue growth 3Y0.21%
Revenue growth 5Y4.8%
Sales Q2Q%-11.25%
3.2 Future
The Earnings Per Share is expected to grow by 7.98% on average over the next years.
Based on estimates for the next years, NGG will show a small growth in Revenue. The Revenue will grow by 7.80% on average per year.
EPS Next Y9.16%
EPS Next 2Y10.83%
EPS Next 3Y8.82%
EPS Next 5Y7.98%
Revenue Next Year-6.7%
Revenue Next 2Y2.06%
Revenue Next 3Y4.14%
Revenue Next 5Y7.8%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
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
Based on the Price/Earnings ratio of 15.32, the valuation of NGG can be described as correct.
Based on the Price/Earnings ratio, NGG is valued a bit cheaper than the industry average as 69.23% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 26.51, NGG is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 12.76, the valuation of NGG can be described as correct.
NGG's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. NGG is cheaper than 69.23% of the companies in the same industry.
NGG is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.13, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.32 | ||
| Fwd PE | 12.76 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NGG is valued a bit more expensive than 61.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.46 |
4.3 Compensation for Growth
NGG's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of NGG may justify a higher PE ratio.
PEG (NY)1.67
PEG (5Y)2
EPS Next 2Y10.83%
EPS Next 3Y8.82%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.88%, NGG has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 4.62, NGG is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.00, NGG pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.88% |
5.2 History
The dividend of NGG is nicely growing with an annual growth rate of 10.55%!
NGG has paid a dividend for at least 10 years, which is a reliable track record.
NGG has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)10.55%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
56.13% of the earnings are spent on dividend by NGG. This is a bit on the high side, but may be sustainable.
NGG's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP56.13%
EPS Next 2Y10.83%
EPS Next 3Y8.82%
77.35
-0.42 (-0.54%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners61.85%
Inst Owner Change0.49%
Ins Owners0.1%
Ins Owner ChangeN/A
Market Cap76.75B
Revenue(TTM)17.48B
Net Income(TTM)2.87B
Analysts78.33
Price Target81.8 (5.75%)
Short Float %0.15%
Short Ratio2.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.88% |
Yearly Dividend2.39
Dividend Growth(5Y)10.55%
DP56.13%
Div Incr Years3
Div Non Decr Years3
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)0.95%
PT rev (3m)0.13%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)1.73%
EPS NY rev (3m)1.01%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.18%
Revenue NY rev (3m)-1.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.32 | ||
| Fwd PE | 12.76 | ||
| P/S | 3.25 | ||
| P/FCF | N/A | ||
| P/OCF | 7.2 | ||
| P/B | 1.53 | ||
| P/tB | 2.35 | ||
| EV/EBITDA | 12.46 |
EPS(TTM)5.05
EY6.53%
EPS(NY)6.06
Fwd EY7.84%
FCF(TTM)-2.56
FCFYN/A
OCF(TTM)10.74
OCFY13.88%
SpS23.78
BVpS50.58
TBVpS32.88
PEG (NY)1.67
PEG (5Y)2
Graham Number75.81
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.77% | ||
| ROE | 7.72% | ||
| ROCE | 5.47% | ||
| ROIC | 4.11% | ||
| ROICexc | 4.29% | ||
| ROICexgc | 5.01% | ||
| OM | 29.57% | ||
| PM (TTM) | 16.43% | ||
| GM | 87.92% | ||
| FCFM | N/A |
ROA(3y)4.49%
ROA(5y)3.68%
ROE(3y)13.91%
ROE(5y)11.98%
ROIC(3y)4.25%
ROIC(5y)4.02%
ROICexc(3y)4.48%
ROICexc(5y)4.23%
ROICexgc(3y)5.3%
ROICexgc(5y)5%
ROCE(3y)5.75%
ROCE(5y)5.44%
ROICexgc growth 3Y-2.54%
ROICexgc growth 5Y-0.66%
ROICexc growth 3Y-0.77%
ROICexc growth 5Y-1.18%
OM growth 3Y9.26%
OM growth 5Y3.21%
PM growth 3Y7.01%
PM growth 5Y12.68%
GM growth 3Y1.78%
GM growth 5Y0.92%
F-Score5
Asset Turnover0.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.5 | ||
| Cap/Depr | 387.71% | ||
| Cap/Sales | 55.95% | ||
| Interest Coverage | 2.7 | ||
| Cash Conversion | 102.64% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.97 | ||
| Quick Ratio | 0.9 | ||
| Altman-Z | 1.38 |
F-Score5
WACC6.93%
ROIC/WACC0.59
Cap/Depr(3y)361.46%
Cap/Depr(5y)334.74%
Cap/Sales(3y)40%
Cap/Sales(5y)37.08%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-7.56%
EPS 3Y9.11%
EPS 5Y7.68%
EPS Q2Q%6.05%
EPS Next Y9.16%
EPS Next 2Y10.83%
EPS Next 3Y8.82%
EPS Next 5Y7.98%
Revenue 1Y (TTM)-9.52%
Revenue growth 3Y0.21%
Revenue growth 5Y4.8%
Sales Q2Q%-11.25%
Revenue Next Year-6.7%
Revenue Next 2Y2.06%
Revenue Next 3Y4.14%
Revenue Next 5Y7.8%
EBIT growth 1Y-1.73%
EBIT growth 3Y9.49%
EBIT growth 5Y8.16%
EBIT Next Year54.73%
EBIT Next 3Y25.13%
EBIT Next 5Y18.91%
FCF growth 1Y-629.77%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y8.99%
OCF growth 3Y2.21%
OCF growth 5Y7.68%
NATIONAL GRID PLC-SP ADR / NGG FAQ
What is the fundamental rating for NGG stock?
ChartMill assigns a fundamental rating of 4 / 10 to NGG.
Can you provide the valuation status for NATIONAL GRID PLC-SP ADR?
ChartMill assigns a valuation rating of 4 / 10 to NATIONAL GRID PLC-SP ADR (NGG). This can be considered as Fairly Valued.
What is the profitability of NGG stock?
NATIONAL GRID PLC-SP ADR (NGG) has a profitability rating of 7 / 10.
What are the PE and PB ratios of NATIONAL GRID PLC-SP ADR (NGG) stock?
The Price/Earnings (PE) ratio for NATIONAL GRID PLC-SP ADR (NGG) is 15.32 and the Price/Book (PB) ratio is 1.53.
What is the financial health of NATIONAL GRID PLC-SP ADR (NGG) stock?
The financial health rating of NATIONAL GRID PLC-SP ADR (NGG) is 3 / 10.