NVENT ELECTRIC PLC (NVT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NVT - IE00BDVJJQ56 - Common Stock
108.87 USD
+1.45 (+1.35%)
108.87 USD
0 (0%)
NVT gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 90 industry peers in the Electrical Equipment industry. NVT has an excellent profitability rating, but there are some minor concerns on its financial health. NVT has a decent growth rate and is not valued too expensively.
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.
Each year in the past 5 years NVT had a positive operating cash flow.
1.2 Ratios
NVT has a better Return On Assets (8.90%) than 87.78% of its industry peers.
Looking at the Return On Equity, with a value of 16.60%, NVT belongs to the top of the industry, outperforming 87.78% of the companies in the same industry.
NVT has a Return On Invested Capital of 7.92%. This is in the better half of the industry: NVT outperforms 76.67% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NVT is below the industry average of 9.93%.
The 3 year average ROIC (7.52%) for NVT is below the current ROIC(7.92%), indicating increased profibility in the last year.
| 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
NVT has a better Profit Margin (16.83%) than 92.22% of its industry peers.
NVT's Profit Margin has improved in the last couple of years.
The Operating Margin of NVT (16.24%) is better than 90.00% of its industry peers.
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 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), NVT 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.
NVT has a worse debt/assets ratio than last year.
2.2 Solvency
NVT has an Altman-Z score of 4.56. This indicates that NVT is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of NVT (4.56) is better than 75.56% of its industry peers.
The Debt to FCF ratio of NVT is 3.94, which is a good value as it means it would take NVT, 3.94 years of fcf income to pay off all of its debts.
NVT has a better Debt to FCF ratio (3.94) than 76.67% 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.
The Debt to Equity ratio of NVT (0.44) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 3.94 | ||
| Altman-Z | 4.56 |
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.
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 50.00% 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.
The Earnings Per Share has been growing by 9.44% on average over the past years. This is quite good.
The Revenue has been growing slightly by 5.31% in the past year.
NVT shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.40% yearly.
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.
NVT is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.93% yearly.
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 35.93, which means the current valuation is very expensive for NVT.
NVT's Price/Earnings ratio is a bit cheaper when compared to the industry. NVT is cheaper than 73.33% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.59. NVT is valued slightly more expensive when compared to this.
With a Price/Forward Earnings ratio of 27.01, NVT can be considered very expensive at the moment.
NVT's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. NVT is cheaper than 71.11% of the companies in the same industry.
NVT is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.80, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.93 | ||
| Fwd PE | 27.01 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NVT is valued a bit cheaper than 71.11% 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 71.11% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 43.46 | ||
| EV/EBITDA | 24.32 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates NVT does not grow enough to justify the current Price/Earnings ratio.
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)1.83
PEG (5Y)3.81
EPS Next 2Y19.78%
EPS Next 3Y17.68%
5. Dividend
5.1 Amount
NVT has a yearly dividend return of 0.74%, which is pretty low.
Compared to an average industry Dividend Yield of 3.08, NVT pays a better dividend. On top of this NVT pays more dividend than 85.56% of the companies listed 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.
NVT has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)1.99%
Div Incr Years1
Div Non Decr Years6
5.3 Sustainability
NVT pays out 21.58% 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.
DP21.58%
EPS Next 2Y19.78%
EPS Next 3Y17.68%
108.87
+1.45 (+1.35%)
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 Cap17.57B
Revenue(TTM)3.58B
Net Income(TTM)602.40M
Analysts83.33
Price Target122.05 (12.11%)
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 | 35.93 | ||
| Fwd PE | 27.01 | ||
| P/S | 4.91 | ||
| P/FCF | 43.46 | ||
| P/OCF | 36.09 | ||
| P/B | 4.84 | ||
| P/tB | N/A | ||
| EV/EBITDA | 24.32 |
EPS(TTM)3.03
EY2.78%
EPS(NY)4.03
Fwd EY3.7%
FCF(TTM)2.5
FCFY2.3%
OCF(TTM)3.02
OCFY2.77%
SpS22.18
BVpS22.49
TBVpS-5.99
PEG (NY)1.83
PEG (5Y)3.81
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 | 4.56 |
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%.