NVE CORP (NVEC)
US6294452064 - Common Stock
NVEC gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 108 industry peers in the Semiconductors & Semiconductor Equipment industry. Both the health and profitability get an excellent rating, making NVEC a very profitable company, without any liquidiy or solvency issues. NVEC is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
NVEC had positive earnings in the past year.
NVEC had a positive operating cash flow in the past year.
NVEC had positive earnings in each of the past 5 years.
In the past 5 years NVEC always reported a positive cash flow from operatings.
1.2 Ratios
NVEC has a Return On Assets of 24.47%. This is amongst the best in the industry. NVEC outperforms 99.07% of its industry peers.
NVEC has a better Return On Equity (24.86%) than 88.89% of its industry peers.
NVEC has a Return On Invested Capital of 22.32%. This is amongst the best in the industry. NVEC outperforms 94.44% of its industry peers.
NVEC had an Average Return On Invested Capital over the past 3 years of 25.47%. This is significantly above the industry average of 11.05%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 24.47% | ||
| ROE | 24.86% | ||
| ROIC | 22.32% |
ROA(3y)26.63%
ROA(5y)22.86%
ROE(3y)27.46%
ROE(5y)23.5%
ROIC(3y)25.47%
ROIC(5y)21.56%
1.3 Margins
With an excellent Profit Margin value of 58.88%, NVEC belongs to the best of the industry, outperforming 99.07% of the companies in the same industry.
In the last couple of years the Profit Margin of NVEC has remained more or less at the same level.
The Operating Margin of NVEC (63.24%) is better than 100.00% of its industry peers.
In the last couple of years the Operating Margin of NVEC has remained more or less at the same level.
NVEC has a better Gross Margin (81.68%) than 98.15% of its industry peers.
In the last couple of years the Gross Margin of NVEC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 63.24% | ||
| PM (TTM) | 58.88% | ||
| GM | 81.68% |
OM growth 3Y1.39%
OM growth 5Y0.65%
PM growth 3Y1.65%
PM growth 5Y0.95%
GM growth 3Y-1.42%
GM growth 5Y-0.77%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), NVEC is creating some value.
NVEC has more shares outstanding than it did 1 year ago.
The number of shares outstanding for NVEC has been increased compared to 5 years ago.
There is no outstanding debt for NVEC. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
An Altman-Z score of 225.61 indicates that NVEC is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 225.61, NVEC belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
NVEC has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 225.61 |
ROIC/WACC1.51
WACC14.76%
2.3 Liquidity
A Current Ratio of 36.32 indicates that NVEC has no problem at all paying its short term obligations.
NVEC has a better Current ratio (36.32) than 100.00% of its industry peers.
NVEC has a Quick Ratio of 28.36. This indicates that NVEC is financially healthy and has no problem in meeting its short term obligations.
NVEC's Quick ratio of 28.36 is amongst the best of the industry. NVEC outperforms 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 36.32 | ||
| Quick Ratio | 28.36 |
3. Growth
3.1 Past
NVEC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -25.47%.
The Earnings Per Share has been growing slightly by 3.43% on average over the past years.
NVEC shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -24.28%.
The Revenue has been growing slightly by 2.40% on average over the past years.
EPS 1Y (TTM)-25.47%
EPS 3Y13.5%
EPS 5Y3.43%
EPS Q2Q%-15.11%
Revenue 1Y (TTM)-24.28%
Revenue growth 3Y11.73%
Revenue growth 5Y2.4%
Sales Q2Q%-5.21%
3.2 Future
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 22.09 indicates a rather expensive valuation of NVEC.
Based on the Price/Earnings ratio, NVEC is valued a bit cheaper than 77.78% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.96, NVEC is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.09 | ||
| Fwd PE | N/A |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NVEC indicates a somewhat cheap valuation: NVEC is cheaper than 72.22% of the companies listed in the same industry.
NVEC's Price/Free Cash Flow ratio is rather cheap when compared to the industry. NVEC is cheaper than 80.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.71 | ||
| EV/EBITDA | 19.01 |
4.3 Compensation for Growth
NVEC has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)6.45
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.23%, NVEC is a good candidate for dividend investing.
NVEC's Dividend Yield is rather good when compared to the industry average which is at 2.37. NVEC pays more dividend than 96.30% of the companies in the same industry.
NVEC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.23.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.23% |
5.2 History
The dividend of NVEC decreases each year by -0.11%.
NVEC has been paying a dividend for at least 10 years, so it has a reliable track record.
As NVEC did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)-0.11%
Div Incr Years0
Div Non Decr Years7
5.3 Sustainability
NVEC pays out 119.96% of its income as dividend. This is not a sustainable payout ratio.
DP119.96%
EPS Next 2YN/A
EPS Next 3YN/A
NVE CORP
NASDAQ:NVEC (11/21/2024, 8:00:02 PM)
Premarket: 76.3 -2.12 (-2.7%)78.42
+2.84 (+3.76%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
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Market Cap378.77M
Analysts
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Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.23% |
Dividend Growth(5Y)
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Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.09 | ||
| Fwd PE | N/A | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
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FCF(TTM)
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OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)6.45
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 24.47% | ||
| ROE | 24.86% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 63.24% | ||
| PM (TTM) | 58.88% | ||
| GM | 81.68% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 36.32 | ||
| Quick Ratio | 28.36 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-25.47%
EPS 3Y13.5%
EPS 5Y
EPS Q2Q%
EPS Next YN/A
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-24.28%
Revenue growth 3Y11.73%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
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EBIT growth 3Y
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