NVP SPA (NVP.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:NVP - IT0005390783 - Common Stock
4.08 EUR
-0.02 (-0.49%)
Taking everything into account, NVP scores 4 out of 10 in our fundamental rating. NVP was compared to 68 industry peers in the Media industry. There are concerns on the financial health of NVP while its profitability can be described as average. NVP is growing strongly while it is still valued neutral. This is a good combination!
1. Profitability
1.1 Basic Checks
- In the past year NVP was profitable.
- In the past year NVP had a positive cash flow from operations.
- NVP had positive earnings in 4 of the past 5 years.
- Of the past 5 years NVP 4 years had a positive operating cash flow.
1.2 Ratios
- NVP has a Return On Assets (1.05%) which is comparable to the rest of the industry.
- NVP has a Return On Equity (4.13%) which is comparable to the rest of the industry.
- The Return On Invested Capital of NVP (5.72%) is comparable to the rest of the industry.
- The Average Return On Invested Capital over the past 3 years for NVP is below the industry average of 7.53%.
- The last Return On Invested Capital (5.72%) for NVP is above the 3 year average (4.30%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.05% | ||
| ROE | 4.13% | ||
| ROIC | 5.72% |
ROA(3y)1.1%
ROA(5y)-0.15%
ROE(3y)4.01%
ROE(5y)-0.11%
ROIC(3y)4.3%
ROIC(5y)N/A
1.3 Margins
- With a Profit Margin value of 2.00%, NVP perfoms like the industry average, outperforming 52.31% of the companies in the same industry.
- NVP's Profit Margin has declined in the last couple of years.
- Looking at the Operating Margin, with a value of 8.76%, NVP is in the better half of the industry, outperforming 64.62% of the companies in the same industry.
- In the last couple of years the Operating Margin of NVP has declined.
- NVP's Gross Margin of 63.39% is fine compared to the rest of the industry. NVP outperforms 61.54% of its industry peers.
- In the last couple of years the Gross Margin of NVP has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.76% | ||
| PM (TTM) | 2% | ||
| GM | 63.39% |
OM growth 3YN/A
OM growth 5Y-3.17%
PM growth 3YN/A
PM growth 5Y-14.04%
GM growth 3Y3.68%
GM growth 5Y-2.39%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), NVP is destroying value.
- NVP has about the same amout of shares outstanding than it did 1 year ago.
- Compared to 1 year ago, NVP has a worse debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 0.84, we must say that NVP is in the distress zone and has some risk of bankruptcy.
- With a Altman-Z score value of 0.84, NVP is not doing good in the industry: 70.77% of the companies in the same industry are doing better.
- NVP has a Debt/Equity ratio of 1.12. This is a high value indicating a heavy dependency on external financing.
- NVP has a worse Debt to Equity ratio (1.12) than 61.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.12 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.84 |
ROIC/WACC0.83
WACC6.91%
2.3 Liquidity
- NVP has a Current Ratio of 0.47. This is a bad value and indicates that NVP is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 0.47, NVP is doing worse than 83.08% of the companies in the same industry.
- NVP has a Quick Ratio of 0.47. This is a bad value and indicates that NVP is not financially healthy enough and could expect problems in meeting its short term obligations.
- The Quick ratio of NVP (0.47) is worse than 81.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.47 | ||
| Quick Ratio | 0.47 |
3. Growth
3.1 Past
- The earnings per share for NVP have decreased strongly by -14.41% in the last year.
- NVP shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 19.04% yearly.
- NVP shows a strong growth in Revenue. In the last year, the Revenue has grown by 37.67%.
- NVP shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 42.85% yearly.
EPS 1Y (TTM)-14.41%
EPS 3YN/A
EPS 5Y19.04%
EPS Q2Q%-33.33%
Revenue 1Y (TTM)37.67%
Revenue growth 3Y62.87%
Revenue growth 5Y42.85%
Sales Q2Q%18.84%
3.2 Future
- The Earnings Per Share is expected to grow by 49.38% on average over the next years. This is a very strong growth
- Based on estimates for the next years, NVP will show a very strong growth in Revenue. The Revenue will grow by 20.42% on average per year.
EPS Next Y9.09%
EPS Next 2Y53.74%
EPS Next 3Y49.38%
EPS Next 5YN/A
Revenue Next Year29.76%
Revenue Next 2Y23.76%
Revenue Next 3Y20.42%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 51.00, NVP can be considered very expensive at the moment.
- NVP's Price/Earnings ratio is in line with the industry average.
- NVP is valuated expensively when we compare the Price/Earnings ratio to 28.60, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 10.36 indicates a reasonable valuation of NVP.
- 67.69% of the companies in the same industry are more expensive than NVP, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 25.83. NVP is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 51 | ||
| Fwd PE | 10.36 |
4.2 Price Multiples
- 63.08% of the companies in the same industry are more expensive than NVP, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.51 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates NVP does not grow enough to justify the current Price/Earnings ratio.
- NVP's earnings are expected to grow with 49.38% in the coming years. This may justify a more expensive valuation.
PEG (NY)5.61
PEG (5Y)2.68
EPS Next 2Y53.74%
EPS Next 3Y49.38%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.74%, NVP is not a good candidate for dividend investing.
- NVP's Dividend Yield is comparable with the industry average which is at 3.08.
- With a Dividend Yield of 0.74, NVP pays less dividend than the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.74% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
DPN/A
EPS Next 2Y53.74%
EPS Next 3Y49.38%
NVP SPA / NVP.MI FAQ
Can you provide the ChartMill fundamental rating for NVP SPA?
ChartMill assigns a fundamental rating of 3 / 10 to NVP.MI.
What is the valuation status for NVP stock?
ChartMill assigns a valuation rating of 3 / 10 to NVP SPA (NVP.MI). This can be considered as Overvalued.
What is the profitability of NVP stock?
NVP SPA (NVP.MI) has a profitability rating of 4 / 10.
How financially healthy is NVP SPA?
The financial health rating of NVP SPA (NVP.MI) is 0 / 10.