334.58 USD
-2.06 (-0.61%)
334.83 USD
+0.25 (+0.07%)
NVMI gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 112 industry peers in the Semiconductors & Semiconductor Equipment industry. While NVMI has a great profitability rating, there are some minor concerns on its financial health. NVMI is not overvalued while it is showing excellent growth. This is an interesting combination. These ratings could make NVMI a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
NVMI had positive earnings in the past year.
In the past year NVMI had a positive cash flow from operations.
In the past 5 years NVMI has always been profitable.
In the past 5 years NVMI always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of NVMI (10.62%) is better than 81.25% of its industry peers.
Looking at the Return On Equity, with a value of 20.93%, NVMI belongs to the top of the industry, outperforming 87.50% of the companies in the same industry.
NVMI has a better Return On Invested Capital (10.78%) than 83.04% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NVMI is above the industry average of 10.82%.
The 3 year average ROIC (15.19%) for NVMI is well above the current ROIC(10.78%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.62% | ||
| ROE | 20.93% | ||
| ROIC | 10.78% |
ROA(3y)13.16%
ROA(5y)11.67%
ROE(3y)20.62%
ROE(5y)18.88%
ROIC(3y)15.19%
ROIC(5y)14.49%
1.3 Margins
NVMI has a better Profit Margin (28.73%) than 87.50% of its industry peers.
NVMI's Profit Margin has improved in the last couple of years.
NVMI has a Operating Margin of 29.11%. This is amongst the best in the industry. NVMI outperforms 89.29% of its industry peers.
NVMI's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 57.10%, NVMI belongs to the best of the industry, outperforming 80.36% of the companies in the same industry.
In the last couple of years the Gross Margin of NVMI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.11% | ||
| PM (TTM) | 28.73% | ||
| GM | 57.1% |
OM growth 3Y1.07%
OM growth 5Y11.5%
PM growth 3Y6.9%
PM growth 5Y11.79%
GM growth 3Y0.58%
GM growth 5Y1.23%
2. Health
2.1 Basic Checks
NVMI has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for NVMI has been increased compared to 1 year ago.
The number of shares outstanding for NVMI has been increased compared to 5 years ago.
NVMI has a better debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of NVMI is 3.57, which is a good value as it means it would take NVMI, 3.57 years of fcf income to pay off all of its debts.
NVMI has a better Debt to FCF ratio (3.57) than 62.50% of its industry peers.
NVMI has a Debt/Equity ratio of 0.62. This is a neutral value indicating NVMI is somewhat dependend on debt financing.
NVMI has a worse Debt to Equity ratio (0.62) than 72.32% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 3.57 | ||
| Altman-Z | N/A |
ROIC/WACC0.9
WACC11.96%
2.3 Liquidity
NVMI has a Current Ratio of 4.58. This indicates that NVMI is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of NVMI (4.58) is better than 68.75% of its industry peers.
NVMI has a Quick Ratio of 4.00. This indicates that NVMI is financially healthy and has no problem in meeting its short term obligations.
NVMI has a Quick ratio of 4.00. This is in the better half of the industry: NVMI outperforms 74.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.58 | ||
| Quick Ratio | 4 |
3. Growth
3.1 Past
NVMI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 39.02%, which is quite impressive.
The Earnings Per Share has been growing by 33.09% on average over the past years. This is a very strong growth
Looking at the last year, NVMI shows a very strong growth in Revenue. The Revenue has grown by 39.37%.
NVMI shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 24.49% yearly.
EPS 1Y (TTM)39.02%
EPS 3Y20.27%
EPS 5Y33.09%
EPS Q2Q%24.14%
Revenue 1Y (TTM)39.37%
Revenue growth 3Y17.35%
Revenue growth 5Y24.49%
Sales Q2Q%25.5%
3.2 Future
The Earnings Per Share is expected to grow by 16.41% on average over the next years. This is quite good.
NVMI is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 20.65% yearly.
EPS Next Y32.48%
EPS Next 2Y21.13%
EPS Next 3Y17.07%
EPS Next 5Y16.41%
Revenue Next Year32.27%
Revenue Next 2Y20.44%
Revenue Next 3Y17.89%
Revenue Next 5Y20.65%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 39.46, NVMI can be considered very expensive at the moment.
Based on the Price/Earnings ratio, NVMI is valued a bit cheaper than 66.96% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.29. NVMI is valued rather expensively when compared to this.
A Price/Forward Earnings ratio of 34.14 indicates a quite expensive valuation of NVMI.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NVMI is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.51, NVMI is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.46 | ||
| Fwd PE | 34.14 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NVMI indicates a somewhat cheap valuation: NVMI is cheaper than 63.39% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, NVMI is valued a bit cheaper than the industry average as 72.32% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 43.14 | ||
| EV/EBITDA | 34.07 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
NVMI has an outstanding profitability rating, which may justify a higher PE ratio.
NVMI's earnings are expected to grow with 17.07% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.21
PEG (5Y)1.19
EPS Next 2Y21.13%
EPS Next 3Y17.07%
5. Dividend
5.1 Amount
NVMI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
334.58
-2.06 (-0.61%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners77.85%
Inst Owner Change111.51%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap9.92B
Revenue(TTM)852.72M
Net Income(TTM)245.02M
Analysts84.29
Price Target358.21 (7.06%)
Short Float %4.36%
Short Ratio3.87
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.56%
Min EPS beat(2)-1.51%
Max EPS beat(2)4.63%
EPS beat(4)3
Avg EPS beat(4)2.71%
Min EPS beat(4)-1.51%
Max EPS beat(4)4.63%
EPS beat(8)7
Avg EPS beat(8)5.48%
EPS beat(12)11
Avg EPS beat(12)6.12%
EPS beat(16)15
Avg EPS beat(16)6.42%
Revenue beat(2)1
Avg Revenue beat(2)-0.28%
Min Revenue beat(2)-0.89%
Max Revenue beat(2)0.34%
Revenue beat(4)2
Avg Revenue beat(4)0.35%
Min Revenue beat(4)-0.89%
Max Revenue beat(4)2.39%
Revenue beat(8)6
Avg Revenue beat(8)1.47%
Revenue beat(12)8
Avg Revenue beat(12)1.09%
Revenue beat(16)11
Avg Revenue beat(16)1.16%
PT rev (1m)13.05%
PT rev (3m)22.03%
EPS NQ rev (1m)-0.18%
EPS NQ rev (3m)2.56%
EPS NY rev (1m)0.94%
EPS NY rev (3m)1.35%
Revenue NQ rev (1m)-0.23%
Revenue NQ rev (3m)1.56%
Revenue NY rev (1m)0.7%
Revenue NY rev (3m)0.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.46 | ||
| Fwd PE | 34.14 | ||
| P/S | 11.63 | ||
| P/FCF | 43.14 | ||
| P/OCF | 39.06 | ||
| P/B | 8.47 | ||
| P/tB | 9.61 | ||
| EV/EBITDA | 34.07 |
EPS(TTM)8.48
EY2.53%
EPS(NY)9.8
Fwd EY2.93%
FCF(TTM)7.76
FCFY2.32%
OCF(TTM)8.57
OCFY2.56%
SpS28.76
BVpS39.49
TBVpS34.8
PEG (NY)1.21
PEG (5Y)1.19
Graham Number86.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.62% | ||
| ROE | 20.93% | ||
| ROCE | 12.46% | ||
| ROIC | 10.78% | ||
| ROICexc | 23.76% | ||
| ROICexgc | 28.08% | ||
| OM | 29.11% | ||
| PM (TTM) | 28.73% | ||
| GM | 57.1% | ||
| FCFM | 26.97% |
ROA(3y)13.16%
ROA(5y)11.67%
ROE(3y)20.62%
ROE(5y)18.88%
ROIC(3y)15.19%
ROIC(5y)14.49%
ROICexc(3y)32.48%
ROICexc(5y)43.28%
ROICexgc(3y)41.09%
ROICexgc(5y)54.3%
ROCE(3y)17.55%
ROCE(5y)16.75%
ROICexgc growth 3Y-25.15%
ROICexgc growth 5Y16.57%
ROICexc growth 3Y-24.52%
ROICexc growth 5Y15.8%
OM growth 3Y1.07%
OM growth 5Y11.5%
PM growth 3Y6.9%
PM growth 5Y11.79%
GM growth 3Y0.58%
GM growth 5Y1.23%
F-Score5
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 3.57 | ||
| Debt/EBITDA | 2.72 | ||
| Cap/Depr | 118.17% | ||
| Cap/Sales | 2.82% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 94.58% | ||
| Profit Quality | 93.85% | ||
| Current Ratio | 4.58 | ||
| Quick Ratio | 4 | ||
| Altman-Z | N/A |
F-Score5
WACC11.96%
ROIC/WACC0.9
Cap/Depr(3y)117.01%
Cap/Depr(5y)96.11%
Cap/Sales(3y)3.2%
Cap/Sales(5y)2.63%
Profit Quality(3y)88.91%
Profit Quality(5y)103.24%
High Growth Momentum
Growth
EPS 1Y (TTM)39.02%
EPS 3Y20.27%
EPS 5Y33.09%
EPS Q2Q%24.14%
EPS Next Y32.48%
EPS Next 2Y21.13%
EPS Next 3Y17.07%
EPS Next 5Y16.41%
Revenue 1Y (TTM)39.37%
Revenue growth 3Y17.35%
Revenue growth 5Y24.49%
Sales Q2Q%25.5%
Revenue Next Year32.27%
Revenue Next 2Y20.44%
Revenue Next 3Y17.89%
Revenue Next 5Y20.65%
EBIT growth 1Y49.76%
EBIT growth 3Y18.61%
EBIT growth 5Y38.8%
EBIT Next Year45.44%
EBIT Next 3Y23.85%
EBIT Next 5YN/A
FCF growth 1Y83.23%
FCF growth 3Y19.59%
FCF growth 5Y62.24%
OCF growth 1Y77.01%
OCF growth 3Y21.15%
OCF growth 5Y42.03%
NOVA LTD / NVMI FAQ
What is the ChartMill fundamental rating of NOVA LTD (NVMI) stock?
ChartMill assigns a fundamental rating of 7 / 10 to NVMI.
What is the valuation status of NOVA LTD (NVMI) stock?
ChartMill assigns a valuation rating of 4 / 10 to NOVA LTD (NVMI). This can be considered as Fairly Valued.
How profitable is NOVA LTD (NVMI) stock?
NOVA LTD (NVMI) has a profitability rating of 9 / 10.
How financially healthy is NOVA LTD?
The financial health rating of NOVA LTD (NVMI) is 5 / 10.