NUTRIEN LTD (NTR) Stock Fundamental Analysis
USA - NYSE:NTR - CA67077M1086 - Common Stock
59.37 USD
+0.5 (+0.85%)
59.37 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to NTR. NTR was compared to 82 industry peers in the Chemicals industry. While NTR is still in line with the averages on profitability rating, there are concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on NTR.
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.
Each year in the past 5 years NTR has been profitable.
NTR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 3.49%, NTR is doing good in the industry, outperforming 68.29% of the companies in the same industry.
NTR has a better Return On Equity (7.20%) than 69.51% of its industry peers.
NTR has a Return On Invested Capital (4.86%) which is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for NTR is above the industry average of 6.09%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.49% | ||
| ROE | 7.2% | ||
| ROIC | 4.86% |
ROA(3y)5.91%
ROA(5y)5%
ROE(3y)12.48%
ROE(5y)10.56%
ROIC(3y)8.34%
ROIC(5y)7.09%
1.3 Margins
With a decent Profit Margin value of 6.79%, NTR is doing good in the industry, outperforming 74.39% of the companies in the same industry.
NTR's Profit Margin has declined in the last couple of years.
With a decent Operating Margin value of 12.63%, NTR is doing good in the industry, outperforming 68.29% of the companies in the same industry.
In the last couple of years the Operating Margin of NTR has grown nicely.
Looking at the Gross Margin, with a value of 30.20%, NTR is in line with its industry, outperforming 54.88% of the companies in the same industry.
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 | 12.63% | ||
| PM (TTM) | 6.79% | ||
| GM | 30.2% |
OM growth 3Y-13.46%
OM growth 5Y2.09%
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so NTR is still creating some value.
Compared to 1 year ago, NTR has less shares outstanding
NTR has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, NTR has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.79, we must say that NTR is in the distress zone and has some risk of bankruptcy.
NTR has a Altman-Z score of 1.79. This is comparable to the rest of the industry: NTR outperforms 50.00% of its industry peers.
The Debt to FCF ratio of NTR is 6.46, which is on the high side as it means it would take NTR, 6.46 years of fcf income to pay off all of its debts.
NTR has a better Debt to FCF ratio (6.46) than 75.61% of its industry peers.
NTR has a Debt/Equity ratio of 0.53. This is a neutral value indicating NTR is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.53, NTR is in the better half of the industry, outperforming 67.07% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | 6.46 | ||
| Altman-Z | 1.79 |
ROIC/WACC0.67
WACC7.23%
2.3 Liquidity
NTR has a Current Ratio of 1.41. This is a normal value and indicates that NTR is financially healthy and should not expect problems in meeting its short term obligations.
NTR has a Current ratio of 1.41. This is in the lower half of the industry: NTR underperforms 75.61% of its industry peers.
NTR has a Quick Ratio of 1.41. 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's Quick ratio of 0.89 is on the low side compared to the rest of the industry. NTR is outperformed by 70.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.41 | ||
| Quick Ratio | 0.89 |
3. Growth
3.1 Past
NTR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 13.48%, which is quite good.
Measured over the past years, NTR shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.65% on average per year.
The Revenue has been growing slightly by 0.25% in the past 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)13.48%
EPS 3Y-17.44%
EPS 5Y10.65%
EPS Q2Q%148.72%
Revenue 1Y (TTM)0.25%
Revenue growth 3Y-2.14%
Revenue growth 5Y5.28%
Sales Q2Q%18.13%
3.2 Future
Based on estimates for the next years, NTR will show a small growth in Earnings Per Share. The EPS will grow by 1.51% on average per year.
The Revenue is expected to grow by 0.65% on average over the next years.
EPS Next Y32.62%
EPS Next 2Y14.92%
EPS Next 3Y7.79%
EPS Next 5Y1.51%
Revenue Next Year2.53%
Revenue Next 2Y1.92%
Revenue Next 3Y1.15%
Revenue Next 5Y0.65%
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 decreasing.
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 14.70, NTR is valued correctly.
NTR's Price/Earnings ratio is a bit cheaper when compared to the industry. NTR is cheaper than 68.29% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.89. NTR is valued slightly cheaper when compared to this.
NTR is valuated correctly with a Price/Forward Earnings ratio of 12.84.
64.63% of the companies in the same industry are more expensive than NTR, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 34.59. NTR is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.7 | ||
| Fwd PE | 12.84 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NTR is valued a bit cheaper than 76.83% of the companies in the same industry.
80.49% 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 | 13.15 | ||
| EV/EBITDA | 6.92 |
4.3 Compensation for Growth
NTR's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
NTR has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.45
PEG (5Y)1.38
EPS Next 2Y14.92%
EPS Next 3Y7.79%
5. Dividend
5.1 Amount
NTR has a Yearly Dividend Yield of 3.76%. Purely for dividend investing, there may be better candidates out there.
NTR's Dividend Yield is a higher than the industry average which is at 4.00.
Compared to an average S&P500 Dividend Yield of 2.44, NTR pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.76% |
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.
The dividend of NTR decreased recently.
Dividend Growth(5Y)2.94%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
NTR pays out 58.76% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of NTR is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP58.76%
EPS Next 2Y14.92%
EPS Next 3Y7.79%
59.37
+0.5 (+0.85%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners71.84%
Inst Owner Change0.02%
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap28.85B
Revenue(TTM)26.62B
Net Income(TTM)1.81B
Analysts72.59
Price Target48.14 (-18.92%)
Short Float %1.06%
Short Ratio1.97
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.76% |
Yearly Dividend2.15
Dividend Growth(5Y)2.94%
DP58.76%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.52%
Min EPS beat(2)1.54%
Max EPS beat(2)9.5%
EPS beat(4)2
Avg EPS beat(4)-16.28%
Min EPS beat(4)-64.42%
Max EPS beat(4)9.5%
EPS beat(8)4
Avg EPS beat(8)-12.79%
EPS beat(12)4
Avg EPS beat(12)-17.34%
EPS beat(16)6
Avg EPS beat(16)-15.18%
Revenue beat(2)1
Avg Revenue beat(2)1.42%
Min Revenue beat(2)-3.35%
Max Revenue beat(2)6.19%
Revenue beat(4)1
Avg Revenue beat(4)-2.38%
Min Revenue beat(4)-6.9%
Max Revenue beat(4)6.19%
Revenue beat(8)2
Avg Revenue beat(8)-3.33%
Revenue beat(12)4
Avg Revenue beat(12)-3.06%
Revenue beat(16)5
Avg Revenue beat(16)-2.25%
PT rev (1m)-0.13%
PT rev (3m)-1.18%
EPS NQ rev (1m)3.74%
EPS NQ rev (3m)4.51%
EPS NY rev (1m)1.54%
EPS NY rev (3m)21.25%
Revenue NQ rev (1m)-0.35%
Revenue NQ rev (3m)1.43%
Revenue NY rev (1m)0.17%
Revenue NY rev (3m)0.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.7 | ||
| Fwd PE | 12.84 | ||
| P/S | 1.08 | ||
| P/FCF | 13.15 | ||
| P/OCF | 6.95 | ||
| P/B | 1.15 | ||
| P/tB | 2.56 | ||
| EV/EBITDA | 6.92 |
EPS(TTM)4.04
EY6.8%
EPS(NY)4.62
Fwd EY7.79%
FCF(TTM)4.52
FCFY7.61%
OCF(TTM)8.55
OCFY14.4%
SpS54.8
BVpS51.69
TBVpS23.24
PEG (NY)0.45
PEG (5Y)1.38
Graham Number68.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.49% | ||
| ROE | 7.2% | ||
| ROCE | 8.09% | ||
| ROIC | 4.86% | ||
| ROICexc | 4.93% | ||
| ROICexgc | 7.23% | ||
| OM | 12.63% | ||
| PM (TTM) | 6.79% | ||
| GM | 30.2% | ||
| FCFM | 8.24% |
ROA(3y)5.91%
ROA(5y)5%
ROE(3y)12.48%
ROE(5y)10.56%
ROIC(3y)8.34%
ROIC(5y)7.09%
ROICexc(3y)8.53%
ROICexc(5y)7.25%
ROICexgc(3y)13.18%
ROICexgc(5y)11.36%
ROCE(3y)13.73%
ROCE(5y)11.62%
ROICexgc growth 3Y-18.22%
ROICexgc growth 5Y4.99%
ROICexc growth 3Y-16.71%
ROICexc growth 5Y6.12%
OM growth 3Y-13.46%
OM growth 5Y2.09%
PM growth 3Y-38.9%
PM growth 5Y-12.08%
GM growth 3Y-4.64%
GM growth 5Y1.41%
F-Score8
Asset Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | 6.46 | ||
| Debt/EBITDA | 2.31 | ||
| Cap/Depr | 81.9% | ||
| Cap/Sales | 7.36% | ||
| Interest Coverage | 4.41 | ||
| Cash Conversion | 72.18% | ||
| Profit Quality | 121.28% | ||
| Current Ratio | 1.41 | ||
| Quick Ratio | 0.89 | ||
| Altman-Z | 1.79 |
F-Score8
WACC7.23%
ROIC/WACC0.67
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)13.48%
EPS 3Y-17.44%
EPS 5Y10.65%
EPS Q2Q%148.72%
EPS Next Y32.62%
EPS Next 2Y14.92%
EPS Next 3Y7.79%
EPS Next 5Y1.51%
Revenue 1Y (TTM)0.25%
Revenue growth 3Y-2.14%
Revenue growth 5Y5.28%
Sales Q2Q%18.13%
Revenue Next Year2.53%
Revenue Next 2Y1.92%
Revenue Next 3Y1.15%
Revenue Next 5Y0.65%
EBIT growth 1Y19.73%
EBIT growth 3Y-15.31%
EBIT growth 5Y7.48%
EBIT Next Year98.5%
EBIT Next 3Y24.26%
EBIT Next 5Y13.41%
FCF growth 1Y-22.69%
FCF growth 3Y-13.08%
FCF growth 5Y-4.89%
OCF growth 1Y-26.52%
OCF growth 3Y-3.11%
OCF growth 5Y-0.72%
NUTRIEN LTD / NTR FAQ
What is the ChartMill fundamental rating of NUTRIEN LTD (NTR) stock?
ChartMill assigns a fundamental rating of 5 / 10 to NTR.
What is the valuation status of NUTRIEN LTD (NTR) stock?
ChartMill assigns a valuation rating of 7 / 10 to NUTRIEN LTD (NTR). This can be considered as Undervalued.
How profitable is NUTRIEN LTD (NTR) stock?
NUTRIEN LTD (NTR) has a profitability rating of 6 / 10.
What are the PE and PB ratios of NUTRIEN LTD (NTR) stock?
The Price/Earnings (PE) ratio for NUTRIEN LTD (NTR) is 14.7 and the Price/Book (PB) ratio is 1.15.
Is the dividend of NUTRIEN LTD sustainable?
The dividend rating of NUTRIEN LTD (NTR) is 5 / 10 and the dividend payout ratio is 58.76%.