NVENT ELECTRIC PLC (NVT) Stock Fundamental Analysis
USA - NYSE:NVT - IE00BDVJJQ56 - Common Stock
101.52 USD
-4.22 (-3.99%)
101.251 USD
-0.27 (-0.26%)
Taking everything into account, NVT scores 6 out of 10 in our fundamental rating. NVT was compared to 91 industry peers in the Electrical Equipment industry. While NVT has a great profitability rating, there are some minor concerns on its financial health. NVT is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year NVT was profitable.
NVT had a positive operating cash flow in the past year.
NVT had positive earnings in 4 of the past 5 years.
Each year in the past 5 years NVT had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 8.91%, NVT belongs to the best of the industry, outperforming 87.91% of the companies in the same industry.
Looking at the Return On Equity, with a value of 16.62%, NVT belongs to the top of the industry, outperforming 89.01% of the companies in the same industry.
With a decent Return On Invested Capital value of 7.89%, NVT is doing good in the industry, outperforming 76.92% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for NVT is below the industry average of 10.42%.
The 3 year average ROIC (7.53%) for NVT is below the current ROIC(7.89%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.91% | ||
| ROE | 16.62% | ||
| ROIC | 7.89% |
ROA(3y)7.43%
ROA(5y)5.41%
ROE(3y)14.31%
ROE(5y)10.38%
ROIC(3y)7.53%
ROIC(5y)7.06%
1.3 Margins
NVT has a Profit Margin of 16.85%. This is amongst the best in the industry. NVT outperforms 92.31% of its industry peers.
In the last couple of years the Profit Margin of NVT has grown nicely.
With an excellent Operating Margin value of 16.16%, NVT belongs to the best of the industry, outperforming 90.11% of the companies in the same industry.
In the last couple of years the Operating Margin of NVT has grown nicely.
NVT's Gross Margin of 38.55% is amongst the best of the industry. NVT outperforms 87.91% of its industry peers.
NVT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.16% | ||
| PM (TTM) | 16.85% | ||
| GM | 38.55% |
OM growth 3Y7.21%
OM growth 5Y2.51%
PM growth 3Y-0.12%
PM growth 5Y1.79%
GM growth 3Y1.68%
GM growth 5Y0.47%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), NVT is destroying value.
Compared to 1 year ago, NVT has about the same amount of shares outstanding.
NVT has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, NVT has a worse debt to assets ratio.
2.2 Solvency
NVT has a debt to FCF ratio of 3.94. This is a good value and a sign of high solvency as NVT would need 3.94 years to pay back of all of its debts.
NVT's Debt to FCF ratio of 3.94 is fine compared to the rest of the industry. NVT outperforms 75.82% of its industry peers.
NVT has a Debt/Equity ratio of 0.44. This is a healthy value indicating a solid balance between debt and equity.
NVT has a Debt to Equity ratio (0.44) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 3.94 | ||
| Altman-Z | N/A |
ROIC/WACC0.86
WACC9.14%
2.3 Liquidity
NVT has a Current Ratio of 1.57. This is a normal value and indicates that NVT is financially healthy and should not expect problems in meeting its short term obligations.
NVT has a Current ratio (1.57) which is in line with its industry peers.
A Quick Ratio of 1.11 indicates that NVT should not have too much problems paying its short term obligations.
NVT's Quick ratio of 1.11 is in line compared to the rest of the industry. NVT outperforms 54.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.57 | ||
| Quick Ratio | 1.11 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 1.00% over the past year.
NVT shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.44% yearly.
NVT shows a small growth in Revenue. In the last year, the Revenue has grown by 5.31%.
Measured over the past years, NVT shows a small growth in Revenue. The Revenue has been growing by 6.40% on average per year.
EPS 1Y (TTM)1%
EPS 3Y12.76%
EPS 5Y9.44%
EPS Q2Q%44.44%
Revenue 1Y (TTM)5.31%
Revenue growth 3Y6.88%
Revenue growth 5Y6.4%
Sales Q2Q%34.78%
3.2 Future
Based on estimates for the next years, NVT will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.48% on average per year.
The Revenue is expected to grow by 9.03% on average over the next years. This is quite good.
EPS Next Y19.04%
EPS Next 2Y18.24%
EPS Next 3Y15.1%
EPS Next 5Y11.48%
Revenue Next Year21.35%
Revenue Next 2Y16.94%
Revenue Next 3Y13.65%
Revenue Next 5Y9.03%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 33.50 indicates a quite expensive valuation of NVT.
NVT's Price/Earnings ratio is a bit cheaper when compared to the industry. NVT is cheaper than 72.53% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.07, NVT is valued a bit more expensive.
The Price/Forward Earnings ratio is 25.84, which means the current valuation is very expensive for NVT.
Based on the Price/Forward Earnings ratio, NVT is valued a bit cheaper than the industry average as 71.43% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.08, NVT is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.5 | ||
| Fwd PE | 25.84 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NVT is valued a bit cheaper than 71.43% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NVT indicates a somewhat cheap valuation: NVT is cheaper than 73.63% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 40.44 | ||
| EV/EBITDA | 23.11 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of NVT may justify a higher PE ratio.
A more expensive valuation may be justified as NVT's earnings are expected to grow with 15.10% in the coming years.
PEG (NY)1.76
PEG (5Y)3.55
EPS Next 2Y18.24%
EPS Next 3Y15.1%
5. Dividend
5.1 Amount
NVT has a yearly dividend return of 0.76%, which is pretty low.
NVT's Dividend Yield is rather good when compared to the industry average which is at 3.56. NVT pays more dividend than 84.62% of the companies in the same industry.
With a Dividend Yield of 0.76, NVT pays less dividend than the S&P500 average, which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.76% |
5.2 History
The dividend of NVT has a limited annual growth rate of 2.02%.
NVT has been paying a dividend for over 5 years, so it has already some track record.
NVT has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)2.02%
Div Incr Years1
Div Non Decr Years6
5.3 Sustainability
NVT pays out 21.56% of its income as dividend. This is a sustainable payout ratio.
The dividend of NVT is growing, but earnings are growing more, so the dividend growth is sustainable.
DP21.56%
EPS Next 2Y18.24%
EPS Next 3Y15.1%
101.52
-4.22 (-3.99%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners103.49%
Inst Owner Change-4.37%
Ins Owners0.79%
Ins Owner Change0.29%
Market Cap16.34B
Revenue(TTM)3.58B
Net Income(TTM)603.00M
Analysts83.53
Price Target105.96 (4.37%)
Short Float %1.68%
Short Ratio1.28
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.76% |
Yearly Dividend0.77
Dividend Growth(5Y)2.02%
DP21.56%
Div Incr Years1
Div Non Decr Years6
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.91%
Min EPS beat(2)1.94%
Max EPS beat(2)7.88%
EPS beat(4)2
Avg EPS beat(4)2.01%
Min EPS beat(4)-1.51%
Max EPS beat(4)7.88%
EPS beat(8)4
Avg EPS beat(8)-0.54%
EPS beat(12)7
Avg EPS beat(12)2.62%
EPS beat(16)11
Avg EPS beat(16)3.84%
Revenue beat(2)2
Avg Revenue beat(2)4.29%
Min Revenue beat(2)3.74%
Max Revenue beat(2)4.85%
Revenue beat(4)3
Avg Revenue beat(4)1.68%
Min Revenue beat(4)-3.13%
Max Revenue beat(4)4.85%
Revenue beat(8)4
Avg Revenue beat(8)-1.31%
Revenue beat(12)6
Avg Revenue beat(12)-1.02%
Revenue beat(16)10
Avg Revenue beat(16)1.01%
PT rev (1m)4.62%
PT rev (3m)8.63%
EPS NQ rev (1m)1.55%
EPS NQ rev (3m)4.4%
EPS NY rev (1m)0.69%
EPS NY rev (3m)6.74%
Revenue NQ rev (1m)2.62%
Revenue NQ rev (3m)3.32%
Revenue NY rev (1m)0.98%
Revenue NY rev (3m)6.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.5 | ||
| Fwd PE | 25.84 | ||
| P/S | 4.57 | ||
| P/FCF | 40.44 | ||
| P/OCF | 33.55 | ||
| P/B | 4.5 | ||
| P/tB | N/A | ||
| EV/EBITDA | 23.11 |
EPS(TTM)3.03
EY2.98%
EPS(NY)3.93
Fwd EY3.87%
FCF(TTM)2.51
FCFY2.47%
OCF(TTM)3.03
OCFY2.98%
SpS22.23
BVpS22.55
TBVpS-6.01
PEG (NY)1.76
PEG (5Y)3.55
Graham Number39.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.91% | ||
| ROE | 16.62% | ||
| ROCE | 9.98% | ||
| ROIC | 7.89% | ||
| ROICexc | 8.06% | ||
| ROICexgc | 42.7% | ||
| OM | 16.16% | ||
| PM (TTM) | 16.85% | ||
| GM | 38.55% | ||
| FCFM | 11.29% |
ROA(3y)7.43%
ROA(5y)5.41%
ROE(3y)14.31%
ROE(5y)10.38%
ROIC(3y)7.53%
ROIC(5y)7.06%
ROICexc(3y)7.87%
ROICexc(5y)7.32%
ROICexgc(3y)34.73%
ROICexgc(5y)37%
ROCE(3y)9.53%
ROCE(5y)8.93%
ROICexgc growth 3Y-20.8%
ROICexgc growth 5Y-13.31%
ROICexc growth 3Y1.13%
ROICexc growth 5Y1.61%
OM growth 3Y7.21%
OM growth 5Y2.51%
PM growth 3Y-0.12%
PM growth 5Y1.79%
GM growth 3Y1.68%
GM growth 5Y0.47%
F-Score6
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 3.94 | ||
| Debt/EBITDA | 2.05 | ||
| Cap/Depr | 43.23% | ||
| Cap/Sales | 2.32% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 63.21% | ||
| Profit Quality | 67% | ||
| Current Ratio | 1.57 | ||
| Quick Ratio | 1.11 | ||
| Altman-Z | N/A |
F-Score6
WACC9.14%
ROIC/WACC0.86
Cap/Depr(3y)47.03%
Cap/Depr(5y)43.3%
Cap/Sales(3y)2.23%
Cap/Sales(5y)2.06%
Profit Quality(3y)113.07%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1%
EPS 3Y12.76%
EPS 5Y9.44%
EPS Q2Q%44.44%
EPS Next Y19.04%
EPS Next 2Y18.24%
EPS Next 3Y15.1%
EPS Next 5Y11.48%
Revenue 1Y (TTM)5.31%
Revenue growth 3Y6.88%
Revenue growth 5Y6.4%
Sales Q2Q%34.78%
Revenue Next Year21.35%
Revenue Next 2Y16.94%
Revenue Next 3Y13.65%
Revenue Next 5Y9.03%
EBIT growth 1Y-6.56%
EBIT growth 3Y14.59%
EBIT growth 5Y9.07%
EBIT Next Year40.33%
EBIT Next 3Y18.51%
EBIT Next 5Y13.77%
FCF growth 1Y-4.36%
FCF growth 3Y19.46%
FCF growth 5Y13.85%
OCF growth 1Y0.12%
OCF growth 3Y19.87%
OCF growth 5Y13.84%
NVENT ELECTRIC PLC / NVT FAQ
Can you provide the ChartMill fundamental rating for NVENT ELECTRIC PLC?
ChartMill assigns a fundamental rating of 6 / 10 to NVT.
What is the valuation status of NVENT ELECTRIC PLC (NVT) stock?
ChartMill assigns a valuation rating of 5 / 10 to NVENT ELECTRIC PLC (NVT). This can be considered as Fairly Valued.
Can you provide the profitability details for NVENT ELECTRIC PLC?
NVENT ELECTRIC PLC (NVT) has a profitability rating of 8 / 10.
How financially healthy is NVENT ELECTRIC PLC?
The financial health rating of NVENT ELECTRIC PLC (NVT) is 4 / 10.
Can you provide the dividend sustainability for NVT stock?
The dividend rating of NVENT ELECTRIC PLC (NVT) is 5 / 10 and the dividend payout ratio is 21.56%.