NUTRIEN LTD (NTR.CA) Stock Fundamental Analysis
TSX:NTR - Toronto Stock Exchange - CA67077M1086 - Common Stock - Currency: CAD
Overall NTR gets a fundamental rating of 5 out of 10. We evaluated NTR against 29 industry peers in the Chemicals industry. NTR scores excellent on profitability, but there are some minor concerns on its financial health. NTR has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
NTR had positive earnings in the past year.
In the past year NTR had a positive cash flow from operations.
NTR had positive earnings in each of the past 5 years.
In the past 5 years NTR always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 0.99%, NTR is doing good in the industry, outperforming 75.86% of the companies in the same industry.
The Return On Equity of NTR (2.19%) is better than 75.86% of its industry peers.
With a decent Return On Invested Capital value of 4.05%, NTR is doing good in the industry, outperforming 72.41% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for NTR is in line with the industry average of 7.51%.
The 3 year average ROIC (8.32%) for NTR is well above the current ROIC(4.05%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.99% | ||
| ROE | 2.19% | ||
| ROIC | 4.05% |
ROA(3y)5.91%
ROA(5y)5%
ROE(3y)12.48%
ROE(5y)10.56%
ROIC(3y)8.32%
ROIC(5y)7.08%
1.3 Margins
NTR's Profit Margin of 2.05% is fine compared to the rest of the industry. NTR outperforms 75.86% of its industry peers.
In the last couple of years the Profit Margin of NTR has declined.
NTR has a better Operating Margin (10.64%) than 72.41% of its industry peers.
In the last couple of years the Operating Margin of NTR has grown nicely.
The Gross Margin of NTR (28.47%) is better than 86.21% of its industry peers.
In the last couple of years the Gross Margin of NTR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.64% | ||
| PM (TTM) | 2.05% | ||
| GM | 28.47% |
OM growth 3Y-13.8%
OM growth 5Y1.85%
PM growth 3Y-38.9%
PM growth 5Y-12.08%
GM growth 3Y-4.64%
GM growth 5Y1.41%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), NTR is creating some value.
NTR has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, NTR has less shares outstanding
NTR has a worse debt/assets ratio than last year.
2.2 Solvency
NTR has an Altman-Z score of 1.62. This is a bad value and indicates that NTR is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.62, NTR perfoms like the industry average, outperforming 58.62% of the companies in the same industry.
The Debt to FCF ratio of NTR is 17.12, which is on the high side as it means it would take NTR, 17.12 years of fcf income to pay off all of its debts.
NTR has a better Debt to FCF ratio (17.12) than 75.86% of its industry peers.
A Debt/Equity ratio of 0.55 indicates that NTR is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.55, NTR is in the better half of the industry, outperforming 62.07% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 17.12 | ||
| Altman-Z | 1.62 |
ROIC/WACC0.54
WACC7.49%
2.3 Liquidity
A Current Ratio of 1.22 indicates that NTR should not have too much problems paying its short term obligations.
NTR has a Current ratio (1.22) which is comparable to the rest of the industry.
NTR has a Quick Ratio of 1.22. This is a bad value and indicates that NTR is not financially healthy enough and could expect problems in meeting its short term obligations.
NTR has a Quick ratio of 0.59. This is comparable to the rest of the industry: NTR outperforms 41.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.22 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
The earnings per share for NTR have decreased strongly by -15.09% in the last year.
NTR shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.65% yearly.
Looking at the last year, NTR shows a decrease in Revenue. The Revenue has decreased by -9.37% in the last year.
Measured over the past years, NTR shows a small growth in Revenue. The Revenue has been growing by 5.28% on average per year.
EPS 1Y (TTM)-15.09%
EPS 3Y-17.44%
EPS 5Y10.65%
EPS Q2Q%-76.09%
Revenue 1Y (TTM)-9.37%
Revenue growth 3Y-2.14%
Revenue growth 5Y5.28%
Sales Q2Q%-5.38%
3.2 Future
The Earnings Per Share is expected to grow by 3.40% on average over the next years.
NTR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.47% yearly.
EPS Next Y9.38%
EPS Next 2Y8.36%
EPS Next 3Y4.39%
EPS Next 5Y3.4%
Revenue Next Year2.18%
Revenue Next 2Y2.33%
Revenue Next 3Y1.92%
Revenue Next 5Y1.47%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
With a Price/Earnings ratio of 19.31, NTR is valued on the expensive side.
89.66% of the companies in the same industry are more expensive than NTR, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.41, NTR is valued a bit cheaper.
A Price/Forward Earnings ratio of 14.82 indicates a correct valuation of NTR.
Based on the Price/Forward Earnings ratio, NTR is valued cheaply inside the industry as 86.21% of the companies are valued more expensively.
NTR's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 35.19.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.31 | ||
| Fwd PE | 14.82 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NTR indicates a rather cheap valuation: NTR is cheaper than 82.76% of the companies listed in the same industry.
86.21% of the companies in the same industry are more expensive than NTR, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.64 | ||
| EV/EBITDA | 8.09 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates NTR does not grow enough to justify the current Price/Earnings ratio.
NTR has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.06
PEG (5Y)1.81
EPS Next 2Y8.36%
EPS Next 3Y4.39%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.74%, NTR has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 5.95, NTR pays a bit more dividend than its industry peers.
NTR's Dividend Yield is rather good when compared to the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.74% |
5.2 History
The dividend of NTR has a limited annual growth rate of 2.94%.
NTR has been paying a dividend for over 5 years, so it has already some track record.
NTR has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)2.94%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
NTR pays out 201.90% of its income as dividend. This is not a sustainable payout ratio.
The dividend of NTR is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP201.9%
EPS Next 2Y8.36%
EPS Next 3Y4.39%
TSX:NTR (7/11/2025, 7:00:00 PM)
83.44
+0.31 (+0.37%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners73.92%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap40.77B
Analysts75.38
Price Target64.46 (-22.75%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.74% |
Yearly Dividend2.95
Dividend Growth(5Y)2.94%
DP201.9%
Div Incr Years6
Div Non Decr Years6
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-38.09%
Min EPS beat(2)-64.42%
Max EPS beat(2)-11.77%
EPS beat(4)1
Avg EPS beat(4)-21.87%
Min EPS beat(4)-64.42%
Max EPS beat(4)4.79%
EPS beat(8)2
Avg EPS beat(8)-21.12%
EPS beat(12)3
Avg EPS beat(12)-21.26%
EPS beat(16)5
Avg EPS beat(16)-15.34%
Revenue beat(2)0
Avg Revenue beat(2)-6.17%
Min Revenue beat(2)-6.9%
Max Revenue beat(2)-5.44%
Revenue beat(4)0
Avg Revenue beat(4)-6.42%
Min Revenue beat(4)-8.9%
Max Revenue beat(4)-4.44%
Revenue beat(8)2
Avg Revenue beat(8)-4.3%
Revenue beat(12)3
Avg Revenue beat(12)-4.13%
Revenue beat(16)6
Avg Revenue beat(16)-1.93%
PT rev (1m)0.11%
PT rev (3m)6.42%
EPS NQ rev (1m)0.06%
EPS NQ rev (3m)4.26%
EPS NY rev (1m)0%
EPS NY rev (3m)1.8%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.87%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.41%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.31 | ||
| Fwd PE | 14.82 | ||
| P/S | 1.16 | ||
| P/FCF | 34.64 | ||
| P/OCF | 10.12 | ||
| P/B | 1.24 | ||
| P/tB | 2.92 | ||
| EV/EBITDA | 8.09 |
EPS(TTM)4.32
EY5.18%
EPS(NY)5.63
Fwd EY6.75%
FCF(TTM)2.41
FCFY2.89%
OCF(TTM)8.24
OCFY9.88%
SpS72.03
BVpS67.41
TBVpS28.57
PEG (NY)2.06
PEG (5Y)1.81
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.99% | ||
| ROE | 2.19% | ||
| ROCE | 6.75% | ||
| ROIC | 4.05% | ||
| ROICexc | 4.14% | ||
| ROICexgc | 6.17% | ||
| OM | 10.64% | ||
| PM (TTM) | 2.05% | ||
| GM | 28.47% | ||
| FCFM | 3.34% |
ROA(3y)5.91%
ROA(5y)5%
ROE(3y)12.48%
ROE(5y)10.56%
ROIC(3y)8.32%
ROIC(5y)7.08%
ROICexc(3y)8.52%
ROICexc(5y)7.24%
ROICexgc(3y)13.15%
ROICexgc(5y)11.34%
ROCE(3y)13.7%
ROCE(5y)11.6%
ROICexcg growth 3Y-18.54%
ROICexcg growth 5Y4.74%
ROICexc growth 3Y-17.04%
ROICexc growth 5Y5.87%
OM growth 3Y-13.8%
OM growth 5Y1.85%
PM growth 3Y-38.9%
PM growth 5Y-12.08%
GM growth 3Y-4.64%
GM growth 5Y1.41%
F-Score5
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 17.12 | ||
| Debt/EBITDA | 2.62 | ||
| Cap/Depr | 88.74% | ||
| Cap/Sales | 8.1% | ||
| Interest Coverage | 3.69 | ||
| Cash Conversion | 57.91% | ||
| Profit Quality | 163% | ||
| Current Ratio | 1.22 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | 1.62 |
F-Score5
WACC7.49%
ROIC/WACC0.54
Cap/Depr(3y)112.14%
Cap/Depr(5y)101.14%
Cap/Sales(3y)7.97%
Cap/Sales(5y)7.55%
Profit Quality(3y)156.44%
Profit Quality(5y)184.5%
High Growth Momentum
Growth
EPS 1Y (TTM)-15.09%
EPS 3Y-17.44%
EPS 5Y10.65%
EPS Q2Q%-76.09%
EPS Next Y9.38%
EPS Next 2Y8.36%
EPS Next 3Y4.39%
EPS Next 5Y3.4%
Revenue 1Y (TTM)-9.37%
Revenue growth 3Y-2.14%
Revenue growth 5Y5.28%
Sales Q2Q%-5.38%
Revenue Next Year2.18%
Revenue Next 2Y2.33%
Revenue Next 3Y1.92%
Revenue Next 5Y1.47%
EBIT growth 1Y-14.97%
EBIT growth 3Y-15.65%
EBIT growth 5Y7.22%
EBIT Next Year87.09%
EBIT Next 3Y23.25%
EBIT Next 5Y14.2%
FCF growth 1Y-82.38%
FCF growth 3Y-13.08%
FCF growth 5Y-4.89%
OCF growth 1Y-59.8%
OCF growth 3Y-3.11%
OCF growth 5Y-0.72%