NVENT ELECTRIC PLC (NVT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NVT - IE00BDVJJQ56 - Common Stock
107.42 USD
+0.31 (+0.29%)
107.42 USD
0 (0%)
Overall NVT gets a fundamental rating of 6 out of 10. We evaluated NVT against 90 industry peers in the Electrical Equipment industry. While NVT belongs to the best of the industry regarding profitability, 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.
In the past year NVT had a positive cash flow from operations.
NVT had positive earnings in 4 of the past 5 years.
In the past 5 years NVT always reported a positive cash flow from operatings.
1.2 Ratios
NVT's Return On Assets of 8.90% is amongst the best of the industry. NVT outperforms 87.78% of its industry peers.
NVT has a Return On Equity of 16.60%. This is amongst the best in the industry. NVT outperforms 87.78% of its industry peers.
With a decent Return On Invested Capital value of 7.92%, NVT is doing good in the industry, outperforming 76.67% 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 9.93%.
The last Return On Invested Capital (7.92%) for NVT is above the 3 year average (7.52%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.9% | ||
| ROE | 16.6% | ||
| ROIC | 7.92% |
ROA(3y)7.43%
ROA(5y)5.41%
ROE(3y)14.31%
ROE(5y)10.38%
ROIC(3y)7.52%
ROIC(5y)7.06%
1.3 Margins
With an excellent Profit Margin value of 16.83%, NVT belongs to the best of the industry, outperforming 92.22% of the companies in the same industry.
In the last couple of years the Profit Margin of NVT has grown nicely.
NVT has a better Operating Margin (16.24%) than 90.00% of its industry peers.
In the last couple of years the Operating Margin of NVT has grown nicely.
The Gross Margin of NVT (38.55%) is better than 86.67% of its industry peers.
In the last couple of years the Gross Margin of NVT has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.24% | ||
| PM (TTM) | 16.83% | ||
| GM | 38.55% |
OM growth 3Y7.21%
OM growth 5Y2.51%
PM growth 3Y-0.14%
PM growth 5Y1.78%
GM growth 3Y1.68%
GM growth 5Y0.47%
2. Health
2.1 Basic Checks
NVT 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 NVT remains at a similar level compared to 1 year ago.
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
An Altman-Z score of 4.55 indicates that NVT is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.55, NVT is in the better half of the industry, outperforming 75.56% of the companies in the same industry.
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 76.67% of its industry peers.
A Debt/Equity ratio of 0.44 indicates that NVT is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.44, NVT perfoms like the industry average, outperforming 48.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 3.94 | ||
| Altman-Z | 4.55 |
ROIC/WACC0.82
WACC9.62%
2.3 Liquidity
A Current Ratio of 1.57 indicates that NVT should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.57, NVT is in line with its industry, outperforming 44.44% of the companies in the same industry.
NVT has a Quick Ratio of 1.11. 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 Quick ratio (1.11) which is in line with 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.
Measured over the past years, NVT shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.44% on average per year.
The Revenue has been growing slightly by 5.31% in the past year.
The Revenue has been growing slightly by 6.40% on average over the past years.
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 12.53% on average per year.
Based on estimates for the next years, NVT will show a quite strong growth in Revenue. The Revenue will grow by 9.93% on average per year.
EPS Next Y19.6%
EPS Next 2Y19.78%
EPS Next 3Y17.68%
EPS Next 5Y12.53%
Revenue Next Year22.55%
Revenue Next 2Y18.51%
Revenue Next 3Y15.28%
Revenue Next 5Y9.93%
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 accelerating.
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
The Price/Earnings ratio is 35.45, which means the current valuation is very expensive for NVT.
Based on the Price/Earnings ratio, NVT is valued a bit cheaper than 73.33% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.34. NVT is valued slightly more expensive when compared to this.
NVT is valuated quite expensively with a Price/Forward Earnings ratio of 26.65.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NVT indicates a somewhat cheap valuation: NVT is cheaper than 71.11% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.56. NVT is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.45 | ||
| Fwd PE | 26.65 |
4.2 Price Multiples
71.11% of the companies in the same industry are more expensive than NVT, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, NVT is valued a bit cheaper than the industry average as 71.11% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 42.88 | ||
| EV/EBITDA | 24.25 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
NVT has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as NVT's earnings are expected to grow with 17.68% in the coming years.
PEG (NY)1.81
PEG (5Y)3.76
EPS Next 2Y19.78%
EPS Next 3Y17.68%
5. Dividend
5.1 Amount
With a yearly dividend of 0.74%, NVT is not a good candidate for dividend investing.
NVT's Dividend Yield is rather good when compared to the industry average which is at 3.08. NVT pays more dividend than 85.56% of the companies in the same industry.
With a Dividend Yield of 0.74, NVT pays less dividend than the S&P500 average, which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.74% |
5.2 History
The dividend of NVT has a limited annual growth rate of 1.99%.
NVT has been paying a dividend for over 5 years, so it has already some track record.
As NVT did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)1.99%
Div Incr Years1
Div Non Decr Years6
5.3 Sustainability
21.58% of the earnings are spent on dividend by NVT. This is a low number and sustainable payout ratio.
The dividend of NVT is growing, but earnings are growing more, so the dividend growth is sustainable.
DP21.58%
EPS Next 2Y19.78%
EPS Next 3Y17.68%
107.42
+0.31 (+0.29%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners98.55%
Inst Owner Change-4.51%
Ins Owners0.8%
Ins Owner Change0.26%
Market Cap17.33B
Revenue(TTM)3.58B
Net Income(TTM)602.40M
Analysts83.33
Price Target122.05 (13.62%)
Short Float %1.93%
Short Ratio1.4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.74% |
Yearly Dividend0.77
Dividend Growth(5Y)1.99%
DP21.58%
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)15.19%
PT rev (3m)24.37%
EPS NQ rev (1m)-0.04%
EPS NQ rev (3m)2.29%
EPS NY rev (1m)0.47%
EPS NY rev (3m)1.84%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.65%
Revenue NY rev (1m)0.99%
Revenue NY rev (3m)2.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.45 | ||
| Fwd PE | 26.65 | ||
| P/S | 4.84 | ||
| P/FCF | 42.88 | ||
| P/OCF | 35.61 | ||
| P/B | 4.78 | ||
| P/tB | N/A | ||
| EV/EBITDA | 24.25 |
EPS(TTM)3.03
EY2.82%
EPS(NY)4.03
Fwd EY3.75%
FCF(TTM)2.5
FCFY2.33%
OCF(TTM)3.02
OCFY2.81%
SpS22.18
BVpS22.49
TBVpS-5.99
PEG (NY)1.81
PEG (5Y)3.76
Graham Number39.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.9% | ||
| ROE | 16.6% | ||
| ROCE | 10.03% | ||
| ROIC | 7.92% | ||
| ROICexc | 8.1% | ||
| ROICexgc | 42.88% | ||
| OM | 16.24% | ||
| PM (TTM) | 16.83% | ||
| GM | 38.55% | ||
| FCFM | 11.29% |
ROA(3y)7.43%
ROA(5y)5.41%
ROE(3y)14.31%
ROE(5y)10.38%
ROIC(3y)7.52%
ROIC(5y)7.06%
ROICexc(3y)7.87%
ROICexc(5y)7.32%
ROICexgc(3y)34.72%
ROICexgc(5y)36.99%
ROCE(3y)9.52%
ROCE(5y)8.93%
ROICexgc growth 3Y-20.81%
ROICexgc growth 5Y-13.31%
ROICexc growth 3Y1.13%
ROICexc growth 5Y1.61%
OM growth 3Y7.21%
OM growth 5Y2.51%
PM growth 3Y-0.14%
PM growth 5Y1.78%
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 | 2.04 | ||
| Cap/Depr | 43.02% | ||
| Cap/Sales | 2.31% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 62.97% | ||
| Profit Quality | 67.1% | ||
| Current Ratio | 1.57 | ||
| Quick Ratio | 1.11 | ||
| Altman-Z | 4.55 |
F-Score6
WACC9.62%
ROIC/WACC0.82
Cap/Depr(3y)47.03%
Cap/Depr(5y)43.3%
Cap/Sales(3y)2.23%
Cap/Sales(5y)2.06%
Profit Quality(3y)113.11%
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 Y19.6%
EPS Next 2Y19.78%
EPS Next 3Y17.68%
EPS Next 5Y12.53%
Revenue 1Y (TTM)5.31%
Revenue growth 3Y6.88%
Revenue growth 5Y6.4%
Sales Q2Q%34.78%
Revenue Next Year22.55%
Revenue Next 2Y18.51%
Revenue Next 3Y15.28%
Revenue Next 5Y9.93%
EBIT growth 1Y-6.12%
EBIT growth 3Y14.59%
EBIT growth 5Y9.07%
EBIT Next Year43.35%
EBIT Next 3Y22.89%
EBIT Next 5Y14.84%
FCF growth 1Y-4.31%
FCF growth 3Y19.46%
FCF growth 5Y13.85%
OCF growth 1Y0.08%
OCF growth 3Y19.88%
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 4 / 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 5 / 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 21.58%.