NEXANS SA (NXS.DE) Stock Fundamental Analysis
FRA:NXS - Deutsche Boerse Ag - FR0000044448 - Common Stock - Currency: EUR
NXS gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 59 industry peers in the Electrical Equipment industry. NXS scores excellent on profitability, but there are concerns on its financial health. NXS is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
NXS had positive earnings in the past year.
In the past year NXS had a positive cash flow from operations.
Each year in the past 5 years NXS has been profitable.
NXS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
NXS has a Return On Assets of 3.64%. This is in the better half of the industry: NXS outperforms 70.00% of its industry peers.
With an excellent Return On Equity value of 15.38%, NXS belongs to the best of the industry, outperforming 85.00% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 9.94%, NXS belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.64% | ||
| ROE | 15.38% | ||
| ROIC | 9.94% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
NXS's Profit Margin of 3.26% is fine compared to the rest of the industry. NXS outperforms 68.33% of its industry peers.
In the last couple of years the Profit Margin of NXS has grown nicely.
NXS has a better Operating Margin (6.39%) than 63.33% of its industry peers.
NXS's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 13.73%, NXS is not doing good in the industry: 71.67% of the companies in the same industry are doing better.
NXS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.39% | ||
| PM (TTM) | 3.26% | ||
| GM | 13.73% |
OM growth 3Y17.44%
OM growth 5Y12.24%
PM growth 3Y13.65%
PM growth 5YN/A
GM growth 3Y9.03%
GM growth 5Y3.3%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so NXS is still creating some value.
There is no outstanding debt for NXS. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
NXS has a debt to FCF ratio of 4.90. This is a neutral value as NXS would need 4.90 years to pay back of all of its debts.
NXS's Debt to FCF ratio of 4.90 is fine compared to the rest of the industry. NXS outperforms 68.33% of its industry peers.
A Debt/Equity ratio of 0.94 indicates that NXS is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.94, NXS is doing worse than 76.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.94 | ||
| Debt/FCF | 4.9 | ||
| Altman-Z | N/A |
ROIC/WACC1.27
WACC7.82%
2.3 Liquidity
NXS has a Current Ratio of 1.20. This is a normal value and indicates that NXS is financially healthy and should not expect problems in meeting its short term obligations.
NXS has a worse Current ratio (1.20) than 66.67% of its industry peers.
A Quick Ratio of 0.84 indicates that NXS may have some problems paying its short term obligations.
NXS has a Quick ratio (0.84) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.2 | ||
| Quick Ratio | 0.84 |
3. Growth
3.1 Past
NXS shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -22.37%.
Measured over the past years, NXS shows a quite strong growth in Earnings Per Share. The EPS has been growing by 19.21% on average per year.
The Revenue for NXS has decreased by -27.57% in the past year. This is quite bad
The Revenue has been growing slightly by 4.88% on average over the past years.
EPS 1Y (TTM)-22.37%
EPS 3Y19.21%
EPS 5YN/A
EPS Q2Q%-53.81%
Revenue 1Y (TTM)-27.57%
Revenue growth 3Y5.04%
Revenue growth 5Y4.88%
Sales Q2Q%14.31%
3.2 Future
Based on estimates for the next years, NXS will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.29% on average per year.
NXS is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.35% yearly.
EPS Next Y5.95%
EPS Next 2Y10.01%
EPS Next 3Y12.13%
EPS Next 5Y9.29%
Revenue Next Year2.53%
Revenue Next 2Y3.66%
Revenue Next 3Y3.95%
Revenue Next 5Y-0.35%
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 15.35, which indicates a correct valuation of NXS.
75.00% of the companies in the same industry are more expensive than NXS, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 29.35, NXS is valued a bit cheaper.
NXS is valuated correctly with a Price/Forward Earnings ratio of 12.21.
73.33% of the companies in the same industry are more expensive than NXS, based on the Price/Forward Earnings ratio.
NXS is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.10, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.35 | ||
| Fwd PE | 12.21 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NXS indicates a rather cheap valuation: NXS is cheaper than 81.67% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, NXS is valued cheaply inside the industry as 85.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.54 | ||
| EV/EBITDA | 6.35 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
NXS has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as NXS's earnings are expected to grow with 12.13% in the coming years.
PEG (NY)2.58
PEG (5Y)N/A
EPS Next 2Y10.01%
EPS Next 3Y12.13%
5. Dividend
5.1 Amount
NXS has a Yearly Dividend Yield of 2.43%.
NXS's Dividend Yield is rather good when compared to the industry average which is at 2.91. NXS pays more dividend than 85.00% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.33, NXS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.43% |
5.2 History
The dividend of NXS is nicely growing with an annual growth rate of 22.94%!
Dividend Growth(5Y)22.94%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
NXS pays out 36.56% of its income as dividend. This is a sustainable payout ratio.
NXS's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP36.56%
EPS Next 2Y10.01%
EPS Next 3Y12.13%
FRA:NXS (3/7/2025, 7:00:00 PM)
95.2
-7.8 (-7.57%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners56.63%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap4.17B
Analysts71.58
Price Target121.49 (27.62%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.43% |
Yearly Dividend2.14
Dividend Growth(5Y)22.94%
DP36.56%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0.83%
PT rev (3m)-5.46%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)1.43%
EPS NY rev (3m)-6.51%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-1.84%
Revenue NY rev (3m)-1.92%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.35 | ||
| Fwd PE | 12.21 | ||
| P/S | 0.49 | ||
| P/FCF | 10.54 | ||
| P/OCF | 5.39 | ||
| P/B | 2.3 | ||
| P/tB | 4.07 | ||
| EV/EBITDA | 6.35 |
EPS(TTM)6.2
EY6.51%
EPS(NY)7.8
Fwd EY8.19%
FCF(TTM)9.03
FCFY9.48%
OCF(TTM)17.67
OCFY18.56%
SpS195.34
BVpS41.46
TBVpS23.41
PEG (NY)2.58
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.64% | ||
| ROE | 15.38% | ||
| ROCE | 13.45% | ||
| ROIC | 9.94% | ||
| ROICexc | 14.39% | ||
| ROICexgc | 20.04% | ||
| OM | 6.39% | ||
| PM (TTM) | 3.26% | ||
| GM | 13.73% | ||
| FCFM | 4.62% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y17.44%
OM growth 5Y12.24%
PM growth 3Y13.65%
PM growth 5YN/A
GM growth 3Y9.03%
GM growth 5Y3.3%
F-Score6
Asset Turnover1.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.94 | ||
| Debt/FCF | 4.9 | ||
| Debt/EBITDA | 2.24 | ||
| Cap/Depr | 174.19% | ||
| Cap/Sales | 4.42% | ||
| Interest Coverage | 8.67 | ||
| Cash Conversion | 101.31% | ||
| Profit Quality | 141.58% | ||
| Current Ratio | 1.2 | ||
| Quick Ratio | 0.84 | ||
| Altman-Z | N/A |
F-Score6
WACC7.82%
ROIC/WACC1.27
Cap/Depr(3y)193.81%
Cap/Depr(5y)168.26%
Cap/Sales(3y)4.27%
Cap/Sales(5y)3.96%
Profit Quality(3y)129.14%
Profit Quality(5y)154.21%
High Growth Momentum
Growth
EPS 1Y (TTM)-22.37%
EPS 3Y19.21%
EPS 5YN/A
EPS Q2Q%-53.81%
EPS Next Y5.95%
EPS Next 2Y10.01%
EPS Next 3Y12.13%
EPS Next 5Y9.29%
Revenue 1Y (TTM)-27.57%
Revenue growth 3Y5.04%
Revenue growth 5Y4.88%
Sales Q2Q%14.31%
Revenue Next Year2.53%
Revenue Next 2Y3.66%
Revenue Next 3Y3.95%
Revenue Next 5Y-0.35%
EBIT growth 1Y-19.11%
EBIT growth 3Y23.36%
EBIT growth 5Y17.71%
EBIT Next Year52.11%
EBIT Next 3Y23.72%
EBIT Next 5Y8.25%
FCF growth 1Y21.54%
FCF growth 3Y26.31%
FCF growth 5Y52.43%
OCF growth 1Y10.11%
OCF growth 3Y24.35%
OCF growth 5Y20.84%