NOVO NORDISK A/S-B (NOV.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:NOV - DK0062498333 - Common Stock
51.18 EUR
+0.46 (+0.91%)
We assign a fundamental rating of 6 out of 10 to NOV. NOV was compared to 53 industry peers in the Pharmaceuticals industry. While NOV has a great profitability rating, there are some minor concerns on its financial health. NOV is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
NOV had positive earnings in the past year.
In the past year NOV had a positive cash flow from operations.
In the past 5 years NOV has always been profitable.
Each year in the past 5 years NOV had a positive operating cash flow.
1.2 Ratios
The Return On Assets of NOV (20.26%) is better than 98.11% of its industry peers.
Looking at the Return On Equity, with a value of 61.08%, NOV belongs to the top of the industry, outperforming 94.34% of the companies in the same industry.
NOV has a Return On Invested Capital of 38.03%. This is amongst the best in the industry. NOV outperforms 98.11% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NOV is significantly above the industry average of 14.02%.
The 3 year average ROIC (50.29%) for NOV is well above the current ROIC(38.03%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.26% | ||
| ROE | 61.08% | ||
| ROIC | 38.03% |
ROA(3y)23.77%
ROA(5y)24.99%
ROE(3y)71.81%
ROE(5y)69.89%
ROIC(3y)50.29%
ROIC(5y)49.64%
1.3 Margins
With an excellent Profit Margin value of 32.88%, NOV belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
NOV's Profit Margin has improved in the last couple of years.
NOV has a better Operating Margin (42.03%) than 94.34% of its industry peers.
NOV's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 82.05%, NOV belongs to the best of the industry, outperforming 84.91% of the companies in the same industry.
NOV's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 42.03% | ||
| PM (TTM) | 32.88% | ||
| GM | 82.05% |
OM growth 3Y4.3%
OM growth 5Y1.69%
PM growth 3Y0.84%
PM growth 5Y1.73%
GM growth 3Y0.72%
GM growth 5Y0.24%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), NOV is creating value.
NOV has less shares outstanding than it did 1 year ago.
NOV has more shares outstanding than it did 5 years ago.
NOV has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.76 indicates that NOV is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.76, NOV is in the better half of the industry, outperforming 69.81% of the companies in the same industry.
NOV has a debt to FCF ratio of 1.66. This is a very positive value and a sign of high solvency as it would only need 1.66 years to pay back of all of its debts.
The Debt to FCF ratio of NOV (1.66) is better than 88.68% of its industry peers.
NOV has a Debt/Equity ratio of 0.52. This is a neutral value indicating NOV is somewhat dependend on debt financing.
The Debt to Equity ratio of NOV (0.52) is better than 64.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 1.66 | ||
| Altman-Z | 4.76 |
ROIC/WACC6.21
WACC6.12%
2.3 Liquidity
NOV has a Current Ratio of 0.78. This is a bad value and indicates that NOV is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.78, NOV is not doing good in the industry: 84.91% of the companies in the same industry are doing better.
NOV has a Quick Ratio of 0.78. This is a bad value and indicates that NOV is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.57, NOV is doing worse than 79.25% of the companies in the same industry.
The current and quick ratio evaluation for NOV is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.57 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.05% over the past year.
Measured over the past years, NOV shows a very strong growth in Earnings Per Share. The EPS has been growing by 22.54% on average per year.
The Revenue has grown by 16.64% in the past year. This is quite good.
NOV shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 18.94% yearly.
EPS 1Y (TTM)10.05%
EPS 3Y29.71%
EPS 5Y22.54%
EPS Q2Q%-26.47%
Revenue 1Y (TTM)16.64%
Revenue growth 3Y27.29%
Revenue growth 5Y18.94%
Sales Q2Q%5.14%
3.2 Future
The Earnings Per Share is expected to grow by 5.49% on average over the next years.
NOV is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.10% yearly.
EPS Next Y4.79%
EPS Next 2Y0.88%
EPS Next 3Y2.8%
EPS Next 5Y5.49%
Revenue Next Year7.98%
Revenue Next 2Y4.04%
Revenue Next 3Y4.95%
Revenue Next 5Y6.1%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last 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
With a Price/Earnings ratio of 16.40, NOV is valued correctly.
NOV's Price/Earnings ratio is a bit cheaper when compared to the industry. NOV is cheaper than 69.81% of the companies in the same industry.
When comparing the Price/Earnings ratio of NOV to the average of the S&P500 Index (27.19), we can say NOV is valued slightly cheaper.
A Price/Forward Earnings ratio of 16.60 indicates a correct valuation of NOV.
Based on the Price/Forward Earnings ratio, NOV is valued a bit cheaper than 64.15% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.92, NOV is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.4 | ||
| Fwd PE | 16.6 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NOV is valued a bit cheaper than the industry average as 62.26% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NOV is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.88 | ||
| EV/EBITDA | 11.36 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates NOV does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of NOV may justify a higher PE ratio.
PEG (NY)3.43
PEG (5Y)0.73
EPS Next 2Y0.88%
EPS Next 3Y2.8%
5. Dividend
5.1 Amount
NOV does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
FRA:NOV (1/12/2026, 3:44:02 PM)
51.18
+0.46 (+0.91%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners33.25%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap227.42B
Revenue(TTM)315.60B
Net Income(TTM)103.77B
Analysts71.88
Price Target54.95 (7.37%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly Dividend1.33
Dividend Growth(5Y)16.56%
DP49.88%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-4.09%
Min EPS beat(2)-7.04%
Max EPS beat(2)-1.15%
EPS beat(4)2
Avg EPS beat(4)0.81%
Min EPS beat(4)-7.04%
Max EPS beat(4)7.46%
EPS beat(8)5
Avg EPS beat(8)1.75%
EPS beat(12)8
Avg EPS beat(12)1.59%
EPS beat(16)11
Avg EPS beat(16)1.6%
Revenue beat(2)0
Avg Revenue beat(2)-1.81%
Min Revenue beat(2)-3.19%
Max Revenue beat(2)-0.44%
Revenue beat(4)1
Avg Revenue beat(4)0.55%
Min Revenue beat(4)-3.19%
Max Revenue beat(4)6.95%
Revenue beat(8)3
Avg Revenue beat(8)0.61%
Revenue beat(12)6
Avg Revenue beat(12)0.51%
Revenue beat(16)9
Avg Revenue beat(16)0.77%
PT rev (1m)-1.84%
PT rev (3m)-15.31%
EPS NQ rev (1m)-1.77%
EPS NQ rev (3m)-9.84%
EPS NY rev (1m)-0.49%
EPS NY rev (3m)-4.03%
Revenue NQ rev (1m)-0.02%
Revenue NQ rev (3m)-8.7%
Revenue NY rev (1m)-0.48%
Revenue NY rev (3m)-2.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.4 | ||
| Fwd PE | 16.6 | ||
| P/S | 5.38 | ||
| P/FCF | 27.88 | ||
| P/OCF | 13.73 | ||
| P/B | 10 | ||
| P/tB | 26.84 | ||
| EV/EBITDA | 11.36 |
EPS(TTM)3.12
EY6.1%
EPS(NY)3.08
Fwd EY6.02%
FCF(TTM)1.84
FCFY3.59%
OCF(TTM)3.73
OCFY7.28%
SpS9.51
BVpS5.12
TBVpS1.91
PEG (NY)3.43
PEG (5Y)0.73
Graham Number18.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.26% | ||
| ROE | 61.08% | ||
| ROCE | 47.73% | ||
| ROIC | 38.03% | ||
| ROICexc | 43.08% | ||
| ROICexgc | 76.17% | ||
| OM | 42.03% | ||
| PM (TTM) | 32.88% | ||
| GM | 82.05% | ||
| FCFM | 19.31% |
ROA(3y)23.77%
ROA(5y)24.99%
ROE(3y)71.81%
ROE(5y)69.89%
ROIC(3y)50.29%
ROIC(5y)49.64%
ROICexc(3y)60.7%
ROICexc(5y)59.32%
ROICexgc(3y)124.92%
ROICexgc(5y)112.44%
ROCE(3y)63.71%
ROCE(5y)65.35%
ROICexgc growth 3Y-1.28%
ROICexgc growth 5Y0.46%
ROICexc growth 3Y-2.16%
ROICexc growth 5Y-9.95%
OM growth 3Y4.3%
OM growth 5Y1.69%
PM growth 3Y0.84%
PM growth 5Y1.73%
GM growth 3Y0.72%
GM growth 5Y0.24%
F-Score4
Asset Turnover0.62
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 1.66 | ||
| Debt/EBITDA | 0.58 | ||
| Cap/Depr | 290.66% | ||
| Cap/Sales | 19.91% | ||
| Interest Coverage | 53.02 | ||
| Cash Conversion | 80.23% | ||
| Profit Quality | 58.73% | ||
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.57 | ||
| Altman-Z | 4.76 |
F-Score4
WACC6.12%
ROIC/WACC6.21
Cap/Depr(3y)294.05%
Cap/Depr(5y)277.71%
Cap/Sales(3y)14.25%
Cap/Sales(5y)13.08%
Profit Quality(3y)89.38%
Profit Quality(5y)87.75%
High Growth Momentum
Growth
EPS 1Y (TTM)10.05%
EPS 3Y29.71%
EPS 5Y22.54%
EPS Q2Q%-26.47%
EPS Next Y4.79%
EPS Next 2Y0.88%
EPS Next 3Y2.8%
EPS Next 5Y5.49%
Revenue 1Y (TTM)16.64%
Revenue growth 3Y27.29%
Revenue growth 5Y18.94%
Sales Q2Q%5.14%
Revenue Next Year7.98%
Revenue Next 2Y4.04%
Revenue Next 3Y4.95%
Revenue Next 5Y6.1%
EBIT growth 1Y6.92%
EBIT growth 3Y32.76%
EBIT growth 5Y20.94%
EBIT Next Year18.56%
EBIT Next 3Y8.09%
EBIT Next 5Y8.99%
FCF growth 1Y-21.68%
FCF growth 3Y13.52%
FCF growth 5Y14.4%
OCF growth 1Y16.27%
OCF growth 3Y30.05%
OCF growth 5Y20.93%
NOVO NORDISK A/S-B / NOV.DE FAQ
What is the fundamental rating for NOV stock?
ChartMill assigns a fundamental rating of 6 / 10 to NOV.DE.
Can you provide the valuation status for NOVO NORDISK A/S-B?
ChartMill assigns a valuation rating of 5 / 10 to NOVO NORDISK A/S-B (NOV.DE). This can be considered as Fairly Valued.
What is the profitability of NOV stock?
NOVO NORDISK A/S-B (NOV.DE) has a profitability rating of 9 / 10.
Can you provide the expected EPS growth for NOV stock?
The Earnings per Share (EPS) of NOVO NORDISK A/S-B (NOV.DE) is expected to grow by 4.79% in the next year.
Is the dividend of NOVO NORDISK A/S-B sustainable?
The dividend rating of NOVO NORDISK A/S-B (NOV.DE) is 0 / 10 and the dividend payout ratio is 49.88%.