NORSKE SKOG ASA (NSKOG.OL) Stock Fundamental Analysis
OSL:NSKOG - Oslo Bors ASA - NO0010861115 - Common Stock - Currency: NOK
Taking everything into account, NSKOG scores 3 out of 10 in our fundamental rating. NSKOG was compared to 9 industry peers in the Paper & Forest Products industry. There are concerns on the financial health of NSKOG while its profitability can be described as average. NSKOG has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
NSKOG had positive earnings in the past year.
NSKOG had a positive operating cash flow in the past year.
In multiple years NSKOG reported negative net income over the last 5 years.
Of the past 5 years NSKOG 4 years had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.66%, NSKOG is in line with its industry, outperforming 42.86% of the companies in the same industry.
NSKOG has a Return On Equity (4.01%) which is in line with its industry peers.
NSKOG's Return On Invested Capital of 6.47% is in line compared to the rest of the industry. NSKOG outperforms 57.14% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NSKOG is above the industry average of 7.32%.
The 3 year average ROIC (11.72%) for NSKOG is well above the current ROIC(6.47%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.66% | ||
| ROE | 4.01% | ||
| ROIC | 6.47% |
ROA(3y)6.06%
ROA(5y)2.79%
ROE(3y)13.25%
ROE(5y)3.69%
ROIC(3y)11.72%
ROIC(5y)9.83%
1.3 Margins
NSKOG has a Profit Margin (2.24%) which is comparable to the rest of the industry.
NSKOG's Profit Margin has declined in the last couple of years.
NSKOG's Operating Margin of 8.03% is in line compared to the rest of the industry. NSKOG outperforms 57.14% of its industry peers.
In the last couple of years the Operating Margin of NSKOG has grown nicely.
NSKOG's Gross Margin of 37.10% is in line compared to the rest of the industry. NSKOG outperforms 57.14% of its industry peers.
In the last couple of years the Gross Margin of NSKOG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.03% | ||
| PM (TTM) | 2.24% | ||
| GM | 37.1% |
OM growth 3Y108.12%
OM growth 5Y25.74%
PM growth 3YN/A
PM growth 5Y-19.49%
GM growth 3Y-4.16%
GM growth 5Y-1.2%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), NSKOG is creating value.
NSKOG has less shares outstanding than it did 1 year ago.
The number of shares outstanding for NSKOG has been increased compared to 5 years ago.
NSKOG has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.96, we must say that NSKOG is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.96, NSKOG is doing worse than 71.43% of the companies in the same industry.
NSKOG has a Debt/Equity ratio of 0.76. This is a neutral value indicating NSKOG is somewhat dependend on debt financing.
NSKOG has a Debt to Equity ratio of 0.76. This is in the lower half of the industry: NSKOG underperforms 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.96 |
ROIC/WACC1.2
WACC5.4%
2.3 Liquidity
NSKOG has a Current Ratio of 1.59. This is a normal value and indicates that NSKOG is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of NSKOG (1.59) is comparable to the rest of the industry.
NSKOG has a Quick Ratio of 1.03. This is a normal value and indicates that NSKOG is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.03, NSKOG perfoms like the industry average, outperforming 57.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.59 | ||
| Quick Ratio | 1.03 |
3. Growth
3.1 Past
The earnings per share for NSKOG have decreased strongly by -76.04% in the last year.
The earnings per share for NSKOG have been decreasing by -22.20% on average. This is quite bad
Looking at the last year, NSKOG shows a very negative growth in Revenue. The Revenue has decreased by -13.95% in the last year.
NSKOG shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.39% yearly.
EPS 1Y (TTM)-76.04%
EPS 3YN/A
EPS 5Y-22.2%
EPS Q2Q%-149%
Revenue 1Y (TTM)-13.95%
Revenue growth 3Y8.71%
Revenue growth 5Y-1.39%
Sales Q2Q%8.51%
3.2 Future
Based on estimates for the next years, NSKOG will show a very negative growth in Earnings Per Share. The EPS will decrease by -16.75% on average per year.
NSKOG is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.68% yearly.
EPS Next Y-132.23%
EPS Next 2Y-48.03%
EPS Next 3Y-53.51%
EPS Next 5Y-16.75%
Revenue Next Year-6.02%
Revenue Next 2Y10.26%
Revenue Next 3Y9.24%
Revenue Next 5Y8.68%
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 accelerating.
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 5.30, the valuation of NSKOG can be described as very cheap.
NSKOG's Price/Earnings ratio is rather cheap when compared to the industry. NSKOG is cheaper than 85.71% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.47, NSKOG is valued rather cheaply.
The Forward Price/Earnings Ratio is negative for NSKOG. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.3 | ||
| Fwd PE | N/A |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A cheap valuation may be justified as NSKOG's earnings are expected to decrease with -53.51% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-48.03%
EPS Next 3Y-53.51%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.65%, NSKOG has a reasonable but not impressive dividend return.
NSKOG's Dividend Yield is comparable with the industry average which is at 4.17.
Compared to the average S&P500 Dividend Yield of 2.28, NSKOG is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.65% |
5.2 History
The dividend of NSKOG decreases each year by -52.50%.
Dividend Growth(5Y)-52.5%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
23.17% of the earnings are spent on dividend by NSKOG. This is a low number and sustainable payout ratio.
NSKOG's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP23.17%
EPS Next 2Y-48.03%
EPS Next 3Y-53.51%
NORSKE SKOG ASA
OSL:NSKOG (2/5/2025, 12:13:31 PM)
23.46
-0.16 (-0.68%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners27.52%
Inst Owner ChangeN/A
Ins Owners20.62%
Ins Owner ChangeN/A
Market Cap1.99B
Analysts81.82
Price Target26.01 (10.87%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.65% |
Yearly Dividend0
Dividend Growth(5Y)-52.5%
DP23.17%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1508.27%
Min EPS beat(2)-3470.39%
Max EPS beat(2)453.85%
EPS beat(4)2
Avg EPS beat(4)-751.14%
Min EPS beat(4)-3470.39%
Max EPS beat(4)453.85%
EPS beat(8)4
Avg EPS beat(8)343.42%
EPS beat(12)7
Avg EPS beat(12)253.49%
EPS beat(16)10
Avg EPS beat(16)197.12%
Revenue beat(2)0
Avg Revenue beat(2)-15.62%
Min Revenue beat(2)-19.57%
Max Revenue beat(2)-11.67%
Revenue beat(4)0
Avg Revenue beat(4)-14.9%
Min Revenue beat(4)-19.57%
Max Revenue beat(4)-11.67%
Revenue beat(8)0
Avg Revenue beat(8)-11.94%
Revenue beat(12)2
Avg Revenue beat(12)-8.62%
Revenue beat(16)4
Avg Revenue beat(16)-6.6%
PT rev (1m)-16.39%
PT rev (3m)-20.31%
EPS NQ rev (1m)-137.14%
EPS NQ rev (3m)-137.14%
EPS NY rev (1m)26.19%
EPS NY rev (3m)26.19%
Revenue NQ rev (1m)-2.08%
Revenue NQ rev (3m)-2.08%
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)-0.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.3 | ||
| Fwd PE | N/A | ||
| P/S | 0.18 | ||
| P/FCF | N/A | ||
| P/OCF | 2.14 | ||
| P/B | 0.32 | ||
| P/tB | 0.33 | ||
| EV/EBITDA | N/A |
EPS(TTM)4.43
EY18.88%
EPS(NY)-2.56
Fwd EYN/A
FCF(TTM)-11.4
FCFYN/A
OCF(TTM)10.95
OCFY46.68%
SpS129.63
BVpS72.28
TBVpS72.14
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.66% | ||
| ROE | 4.01% | ||
| ROCE | 7.44% | ||
| ROIC | 6.47% | ||
| ROICexc | 7.48% | ||
| ROICexgc | 7.49% | ||
| OM | 8.03% | ||
| PM (TTM) | 2.24% | ||
| GM | 37.1% | ||
| FCFM | N/A |
ROA(3y)6.06%
ROA(5y)2.79%
ROE(3y)13.25%
ROE(5y)3.69%
ROIC(3y)11.72%
ROIC(5y)9.83%
ROICexc(3y)15.38%
ROICexc(5y)12.45%
ROICexgc(3y)15.41%
ROICexgc(5y)12.49%
ROCE(3y)13.48%
ROCE(5y)11.3%
ROICexcg growth 3Y79.27%
ROICexcg growth 5Y7.98%
ROICexc growth 3Y79.9%
ROICexc growth 5Y8.09%
OM growth 3Y108.12%
OM growth 5Y25.74%
PM growth 3YN/A
PM growth 5Y-19.49%
GM growth 3Y-4.16%
GM growth 5Y-1.2%
F-Score5
Asset Turnover0.74
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 17.24% | ||
| Interest Coverage | 3.82 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.59 | ||
| Quick Ratio | 1.03 | ||
| Altman-Z | 0.96 |
F-Score5
WACC5.4%
ROIC/WACC1.2
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-76.04%
EPS 3YN/A
EPS 5Y-22.2%
EPS Q2Q%-149%
EPS Next Y-132.23%
EPS Next 2Y-48.03%
EPS Next 3Y-53.51%
EPS Next 5Y-16.75%
Revenue 1Y (TTM)-13.95%
Revenue growth 3Y8.71%
Revenue growth 5Y-1.39%
Sales Q2Q%8.51%
Revenue Next Year-6.02%
Revenue Next 2Y10.26%
Revenue Next 3Y9.24%
Revenue Next 5Y8.68%
EBIT growth 1Y-53.26%
EBIT growth 3Y126.25%
EBIT growth 5Y23.99%
EBIT Next Year-1.34%
EBIT Next 3Y20.21%
EBIT Next 5Y20.93%
FCF growth 1Y-1511.67%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-42.41%
OCF growth 3YN/A
OCF growth 5YN/A