NOVO NORDISK A/S-B (NOV.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:NOV - DK0062498333 - Common Stock
40.87 EUR
-0.63 (-1.52%)
Taking everything into account, NOV scores 7 out of 10 in our fundamental rating. NOV was compared to 53 industry peers in the Pharmaceuticals industry. NOV has an excellent profitability rating, but there are some minor concerns on its financial health. NOV has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year NOV was profitable.
In the past year NOV had a positive cash flow from operations.
NOV had positive earnings in each of the past 5 years.
Each year in the past 5 years NOV had a positive operating cash flow.
1.2 Ratios
NOV has a Return On Assets of 20.26%. This is amongst the best in the industry. NOV outperforms 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's Return On Invested Capital of 38.03% is amongst the best of the industry. NOV outperforms 98.11% of its industry peers.
NOV had an Average Return On Invested Capital over the past 3 years of 50.29%. This is significantly above the industry average of 13.94%.
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.
In the last couple of years the Profit Margin of NOV has grown nicely.
With an excellent Operating Margin value of 42.03%, NOV belongs to the best of the industry, outperforming 94.34% of the companies in the same industry.
In the last couple of years the Operating Margin of NOV has grown nicely.
The Gross Margin of NOV (82.05%) is better than 84.91% of its industry peers.
In the last couple of years the Gross Margin of NOV has remained more or less at the same level.
| 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.
The number of shares outstanding for NOV has been reduced compared to 1 year ago.
NOV has more shares outstanding than it did 5 years ago.
The debt/assets ratio for NOV is higher compared to a year ago.
2.2 Solvency
NOV has an Altman-Z score of 4.23. This indicates that NOV is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 4.23, NOV is doing good in the industry, outperforming 60.38% of the companies in the same industry.
The Debt to FCF ratio of NOV is 1.66, which is an excellent value as it means it would take NOV, only 1.66 years of fcf income to pay off all of its debts.
NOV has a Debt to FCF ratio of 1.66. This is amongst the best in the industry. NOV outperforms 90.57% 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.
With a decent Debt to Equity ratio value of 0.52, NOV is doing good in the industry, outperforming 60.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 1.66 | ||
| Altman-Z | 4.23 |
ROIC/WACC6.15
WACC6.18%
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.
NOV's Current ratio of 0.78 is on the low side compared to the rest of the industry. NOV is outperformed by 84.91% of its industry peers.
A Quick Ratio of 0.57 indicates that NOV may have some problems paying its short term obligations.
NOV's Quick ratio of 0.57 is on the low side compared to the rest of the industry. NOV is outperformed by 84.91% of its industry peers.
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
NOV shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.05%, which is quite good.
NOV shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.68% yearly.
Looking at the last year, NOV shows a quite strong growth in Revenue. The Revenue has grown by 16.64% in the last year.
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 3Y2.95%
EPS 5Y6.68%
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 6.93% on average over the next years.
Based on estimates for the next years, NOV will show a small growth in Revenue. The Revenue will grow by 7.05% on average per year.
EPS Next Y5.3%
EPS Next 2Y2.73%
EPS Next 3Y4.42%
EPS Next 5Y6.93%
Revenue Next Year8.5%
Revenue Next 2Y5.13%
Revenue Next 3Y5.85%
Revenue Next 5Y7.05%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
NOV is valuated correctly with a Price/Earnings ratio of 13.10.
Based on the Price/Earnings ratio, NOV is valued a bit cheaper than the industry average as 75.47% of the companies are valued more expensively.
NOV's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.43.
With a Price/Forward Earnings ratio of 12.79, NOV is valued correctly.
73.58% of the companies in the same industry are more expensive than NOV, based on the Price/Forward Earnings ratio.
NOV is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.66, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.1 | ||
| Fwd PE | 12.79 |
4.2 Price Multiples
NOV's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. NOV is cheaper than 77.36% of the companies in the same industry.
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 | 22.26 | ||
| EV/EBITDA | 9.37 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
NOV has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.47
PEG (5Y)1.96
EPS Next 2Y2.73%
EPS Next 3Y4.42%
5. Dividend
5.1 Amount
NOV has a Yearly Dividend Yield of 3.64%.
The stock price of NOV dropped by -20.07% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
NOV's Dividend Yield is rather good when compared to the industry average which is at 1.83. NOV pays more dividend than 81.13% of the companies in the same industry.
NOV's Dividend Yield is rather good when compared to the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.64% |
5.2 History
On average, the dividend of NOV grows each year by 16.56%, which is quite nice.
Dividend Growth(5Y)16.56%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
49.88% of the earnings are spent on dividend by NOV. This is a bit on the high side, but may be sustainable.
The dividend of NOV is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP49.88%
EPS Next 2Y2.73%
EPS Next 3Y4.42%
FRA:NOV (12/17/2025, 1:42:40 PM)
40.87
-0.63 (-1.52%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners36.01%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap181.60B
Revenue(TTM)315.60B
Net Income(TTM)103.77B
Analysts71.88
Price Target55.98 (36.97%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.64% |
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)-8.63%
PT rev (3m)-17.82%
EPS NQ rev (1m)-5.5%
EPS NQ rev (3m)-8.21%
EPS NY rev (1m)-0.41%
EPS NY rev (3m)-5.54%
Revenue NQ rev (1m)-7.57%
Revenue NQ rev (3m)-8.68%
Revenue NY rev (1m)-1.32%
Revenue NY rev (3m)-1.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.1 | ||
| Fwd PE | 12.79 | ||
| P/S | 4.3 | ||
| P/FCF | 22.26 | ||
| P/OCF | 10.96 | ||
| P/B | 7.99 | ||
| P/tB | 21.43 | ||
| EV/EBITDA | 9.37 |
EPS(TTM)3.12
EY7.63%
EPS(NY)3.2
Fwd EY7.82%
FCF(TTM)1.84
FCFY4.49%
OCF(TTM)3.73
OCFY9.12%
SpS9.51
BVpS5.12
TBVpS1.91
PEG (NY)2.47
PEG (5Y)1.96
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 | 4.23 |
F-Score4
WACC6.18%
ROIC/WACC6.15
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 3Y2.95%
EPS 5Y6.68%
EPS Q2Q%-26.47%
EPS Next Y5.3%
EPS Next 2Y2.73%
EPS Next 3Y4.42%
EPS Next 5Y6.93%
Revenue 1Y (TTM)16.64%
Revenue growth 3Y27.29%
Revenue growth 5Y18.94%
Sales Q2Q%5.14%
Revenue Next Year8.5%
Revenue Next 2Y5.13%
Revenue Next 3Y5.85%
Revenue Next 5Y7.05%
EBIT growth 1Y6.92%
EBIT growth 3Y32.76%
EBIT growth 5Y20.94%
EBIT Next Year19.06%
EBIT Next 3Y9.34%
EBIT Next 5Y9.17%
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 7 / 10 to NOV.DE.
What is the valuation status for NOV stock?
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.
What is the valuation of NOVO NORDISK A/S-B based on its PE and PB ratios?
The Price/Earnings (PE) ratio for NOVO NORDISK A/S-B (NOV.DE) is 13.1 and the Price/Book (PB) ratio is 7.99.
How financially healthy is NOVO NORDISK A/S-B?
The financial health rating of NOVO NORDISK A/S-B (NOV.DE) is 6 / 10.