NVENT ELECTRIC PLC (NVT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NVT - IE00BDVJJQ56 - Common Stock
107.72 USD
-0.55 (-0.51%)
107.72 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 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
NVT had positive earnings in the past year.
NVT had a positive operating cash flow in the past year.
Of the past 5 years NVT 4 years were profitable.
NVT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
NVT has a Return On Assets of 8.90%. This is amongst the best in the industry. NVT outperforms 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.
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.
The Average Return On Invested Capital over the past 3 years 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
NVT's Profit Margin of 16.83% is amongst the best of the industry. NVT outperforms 92.22% of its industry peers.
In the last couple of years the Profit Margin of NVT has grown nicely.
Looking at the Operating Margin, with a value of 16.24%, NVT belongs to the top of the industry, outperforming 90.00% of the companies in the same industry.
NVT's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 38.55%, NVT belongs to the best of the industry, outperforming 86.67% of the companies in the same industry.
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.
NVT has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, NVT has less shares outstanding
Compared to 1 year ago, NVT has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.57 indicates that NVT is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.57, 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 has a Debt to FCF ratio of 3.94. This is in the better half 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.
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 | 4.57 |
ROIC/WACC0.86
WACC9.25%
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's Current ratio of 1.57 is in line compared to the rest of the industry. NVT outperforms 44.44% of its industry peers.
A Quick Ratio of 1.11 indicates that NVT should not have too much problems paying 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.
Looking at the last year, NVT shows a small growth in Revenue. The Revenue has grown by 5.31% in the last year.
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
The Earnings Per Share is expected to grow by 12.53% on average over the next years. This is quite good.
The Revenue is expected to grow by 9.93% on average over the next years. This is quite good.
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
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 35.55 indicates a quite expensive valuation of NVT.
73.33% of the companies in the same industry are more expensive than NVT, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.49. NVT is valued slightly more expensive when compared to this.
The Price/Forward Earnings ratio is 26.72, which means the current valuation is very expensive for NVT.
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.
When comparing the Price/Forward Earnings ratio of NVT to the average of the S&P500 Index (23.69), we can say NVT is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.55 | ||
| Fwd PE | 26.72 |
4.2 Price Multiples
NVT's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. NVT is cheaper than 71.11% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, NVT is valued a bit cheaper than 71.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 43 | ||
| EV/EBITDA | 24.38 |
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.
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 17.68% in the coming years.
PEG (NY)1.81
PEG (5Y)3.77
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.
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.
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
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%
107.72
-0.55 (-0.51%)
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 Cap17.38B
Revenue(TTM)3.58B
Net Income(TTM)602.40M
Analysts83.33
Price Target122.05 (13.3%)
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 | 35.55 | ||
| Fwd PE | 26.72 | ||
| P/S | 4.86 | ||
| P/FCF | 43 | ||
| P/OCF | 35.71 | ||
| P/B | 4.79 | ||
| P/tB | N/A | ||
| EV/EBITDA | 24.38 |
EPS(TTM)3.03
EY2.81%
EPS(NY)4.03
Fwd EY3.74%
FCF(TTM)2.5
FCFY2.33%
OCF(TTM)3.02
OCFY2.8%
SpS22.18
BVpS22.49
TBVpS-5.99
PEG (NY)1.81
PEG (5Y)3.77
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 | 4.57 |
F-Score6
WACC9.25%
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)113.11%
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%.