NAVIGATOR HOLDINGS LTD (NVGS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NVGS - MHY621321089 - Common Stock
18.535 USD
+0.11 (+0.62%)
We assign a fundamental rating of 5 out of 10 to NVGS. NVGS was compared to 207 industry peers in the Oil, Gas & Consumable Fuels industry. While NVGS is still in line with the averages on profitability rating, there are concerns on its financial health. NVGS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- NVGS had positive earnings in the past year.
- In the past year NVGS had a positive cash flow from operations.
- The reported net income has been mixed in the past 5 years: NVGS reported negative net income in multiple years.
- NVGS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 4.49%, NVGS is in the better half of the industry, outperforming 61.35% of the companies in the same industry.
- Looking at the Return On Equity, with a value of 8.45%, NVGS is in line with its industry, outperforming 55.07% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 5.05%, NVGS is in line with its industry, outperforming 44.44% of the companies in the same industry.
- NVGS had an Average Return On Invested Capital over the past 3 years of 4.52%. This is significantly below the industry average of 21.94%.
- The last Return On Invested Capital (5.05%) for NVGS is above the 3 year average (4.52%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.49% | ||
| ROE | 8.45% | ||
| ROIC | 5.05% |
ROA(3y)3.4%
ROA(5y)1.75%
ROE(3y)6.2%
ROE(5y)3.16%
ROIC(3y)4.52%
ROIC(5y)3.59%
1.3 Margins
- NVGS's Profit Margin of 17.85% is fine compared to the rest of the industry. NVGS outperforms 71.98% of its industry peers.
- NVGS has a Operating Margin (22.58%) which is in line with its industry peers.
- In the last couple of years the Operating Margin of NVGS has grown nicely.
- NVGS's Gross Margin of 52.98% is fine compared to the rest of the industry. NVGS outperforms 62.32% of its industry peers.
- In the last couple of years the Gross Margin of NVGS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.58% | ||
| PM (TTM) | 17.85% | ||
| GM | 52.98% |
OM growth 3Y18.39%
OM growth 5Y18.49%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y8.07%
GM growth 5Y5.08%
2. Health
2.1 Basic Checks
- NVGS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- The number of shares outstanding for NVGS has been reduced compared to 1 year ago.
- Compared to 5 years ago, NVGS has more shares outstanding
- The debt/assets ratio for NVGS is higher compared to a year ago.
2.2 Solvency
- NVGS has an Altman-Z score of 1.39. This is a bad value and indicates that NVGS is not financially healthy and even has some risk of bankruptcy.
- NVGS has a Altman-Z score (1.39) which is comparable to the rest of the industry.
- NVGS has a debt to FCF ratio of 26.63. This is a negative value and a sign of low solvency as NVGS would need 26.63 years to pay back of all of its debts.
- The Debt to FCF ratio of NVGS (26.63) is comparable to the rest of the industry.
- A Debt/Equity ratio of 0.62 indicates that NVGS is somewhat dependend on debt financing.
- NVGS has a Debt to Equity ratio (0.62) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 26.63 | ||
| Altman-Z | 1.39 |
ROIC/WACC0.62
WACC8.12%
2.3 Liquidity
- A Current Ratio of 1.18 indicates that NVGS should not have too much problems paying its short term obligations.
- The Current ratio of NVGS (1.18) is comparable to the rest of the industry.
- A Quick Ratio of 1.14 indicates that NVGS should not have too much problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 1.14, NVGS is in line with its industry, outperforming 57.97% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.18 | ||
| Quick Ratio | 1.14 |
3. Growth
3.1 Past
- NVGS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 36.28%, which is quite impressive.
- NVGS shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 50.06% yearly.
- The Revenue has been growing slightly by 2.46% in the past year.
- Measured over the past years, NVGS shows a quite strong growth in Revenue. The Revenue has been growing by 13.46% on average per year.
EPS 1Y (TTM)36.28%
EPS 3Y50.06%
EPS 5YN/A
EPS Q2Q%92.31%
Revenue 1Y (TTM)2.46%
Revenue growth 3Y11.71%
Revenue growth 5Y13.46%
Sales Q2Q%7.95%
3.2 Future
- The Earnings Per Share is expected to grow by 1.04% on average over the next years.
- NVGS is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -1.40% yearly.
EPS Next Y28.4%
EPS Next 2Y21.94%
EPS Next 3Y11.69%
EPS Next 5Y1.04%
Revenue Next Year6.42%
Revenue Next 2Y3.56%
Revenue Next 3Y1.65%
Revenue Next 5Y-1.4%
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
- The Price/Earnings ratio is 12.04, which indicates a correct valuation of NVGS.
- 73.43% of the companies in the same industry are more expensive than NVGS, based on the Price/Earnings ratio.
- The average S&P500 Price/Earnings ratio is at 27.30. NVGS is valued rather cheaply when compared to this.
- A Price/Forward Earnings ratio of 10.13 indicates a reasonable valuation of NVGS.
- Based on the Price/Forward Earnings ratio, NVGS is valued a bit cheaper than 77.78% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 24.32. NVGS is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.04 | ||
| Fwd PE | 10.13 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as NVGS.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of NVGS is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.67 | ||
| EV/EBITDA | 7.45 |
4.3 Compensation for Growth
- NVGS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- NVGS has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.42
PEG (5Y)N/A
EPS Next 2Y21.94%
EPS Next 3Y11.69%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.53%, NVGS has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 3.75, NVGS has a dividend in line with its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, NVGS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.53% |
5.2 History
- NVGS has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- NVGS pays out 13.24% of its income as dividend. This is a sustainable payout ratio.
DP13.24%
EPS Next 2Y21.94%
EPS Next 3Y11.69%
NAVIGATOR HOLDINGS LTD / NVGS FAQ
Can you provide the ChartMill fundamental rating for NAVIGATOR HOLDINGS LTD?
ChartMill assigns a fundamental rating of 5 / 10 to NVGS.
What is the valuation status of NAVIGATOR HOLDINGS LTD (NVGS) stock?
ChartMill assigns a valuation rating of 7 / 10 to NAVIGATOR HOLDINGS LTD (NVGS). This can be considered as Undervalued.
How profitable is NAVIGATOR HOLDINGS LTD (NVGS) stock?
NAVIGATOR HOLDINGS LTD (NVGS) has a profitability rating of 6 / 10.
What are the PE and PB ratios of NAVIGATOR HOLDINGS LTD (NVGS) stock?
The Price/Earnings (PE) ratio for NAVIGATOR HOLDINGS LTD (NVGS) is 12.04 and the Price/Book (PB) ratio is 0.99.
What is the earnings growth outlook for NAVIGATOR HOLDINGS LTD?
The Earnings per Share (EPS) of NAVIGATOR HOLDINGS LTD (NVGS) is expected to grow by 28.4% in the next year.