NAVIGATOR HOLDINGS LTD (NVGS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NVGS - MHY621321089 - Common Stock
18.39 USD
-0.03 (-0.16%)
18.39 USD
0 (0%)
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. There are concerns on the financial health of NVGS while its profitability can be described as average. NVGS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- NVGS had positive earnings in the past year.
- NVGS had a positive operating cash flow in the past year.
- In multiple years NVGS reported negative net income over the last 5 years.
- Each year in the past 5 years NVGS had a positive operating cash flow.
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.
- The Return On Equity of NVGS (8.45%) is comparable to the rest of the industry.
- NVGS has a Return On Invested Capital (5.05%) which is in line with its industry peers.
- 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's Operating Margin of 22.58% is in line compared to the rest of the industry. NVGS outperforms 59.90% of its industry peers.
- In the last couple of years the Operating Margin of NVGS has grown nicely.
- The Gross Margin of NVGS (52.98%) is better than 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
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so NVGS is destroying value.
- Compared to 1 year ago, NVGS has less shares outstanding
- The number of shares outstanding for NVGS has been increased compared to 5 years ago.
- The debt/assets ratio for NVGS is higher compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 1.39, we must say that NVGS is in the distress zone and has some risk of bankruptcy.
- The Altman-Z score of NVGS (1.39) is comparable to the rest of the industry.
- The Debt to FCF ratio of NVGS is 26.63, which is on the high side as it means it would take NVGS, 26.63 years of fcf income to pay off all of its debts.
- NVGS's Debt to FCF ratio of 26.63 is in line compared to the rest of the industry. NVGS outperforms 43.48% of its industry peers.
- NVGS has a Debt/Equity ratio of 0.62. This is a neutral value indicating NVGS is somewhat dependend on debt financing.
- NVGS has a Debt to Equity ratio of 0.62. This is comparable to the rest of the industry: NVGS outperforms 41.06% of 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
- NVGS has a Current Ratio of 1.18. This is a normal value and indicates that NVGS is financially healthy and should not expect problems in meeting its short term obligations.
- NVGS has a Current ratio (1.18) which is comparable to the rest of the industry.
- NVGS has a Quick Ratio of 1.14. This is a normal value and indicates that NVGS is financially healthy and should not expect problems in meeting its short term obligations.
- NVGS has a Quick ratio of 1.14. This is comparable to the rest of the industry: NVGS outperforms 57.97% of its industry peers.
| 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.
- Measured over the past years, NVGS shows a very strong growth in Earnings Per Share. The EPS has been growing by 50.06% on average per year.
- NVGS shows a small growth in Revenue. In the last year, the Revenue has grown by 2.46%.
- 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.
- The Revenue is expected to decrease by -1.40% on average over the next years.
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
- With a Price/Earnings ratio of 11.94, the valuation of NVGS can be described as very reasonable.
- NVGS's Price/Earnings ratio is a bit cheaper when compared to the industry. NVGS is cheaper than 73.43% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.21. NVGS is valued rather cheaply when compared to this.
- The Price/Forward Earnings ratio is 10.06, which indicates a very decent valuation of NVGS.
- 77.78% of the companies in the same industry are more expensive than NVGS, based on the Price/Forward Earnings ratio.
- NVGS's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.26.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.94 | ||
| Fwd PE | 10.06 |
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 | 34.4 | ||
| EV/EBITDA | 7.45 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The decent profitability rating of NVGS 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
- NVGS has a Yearly Dividend Yield of 1.52%.
- NVGS's Dividend Yield is comparable with the industry average which is at 3.75.
- 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 | 1.52% |
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
- 13.24% of the earnings are spent on dividend by NVGS. This is a low number and 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 6 / 10 to NAVIGATOR HOLDINGS LTD (NVGS). This can be considered as Fairly Valued.
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 11.94 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.