CNH INDUSTRIAL NV (CNHI) Stock Fundamental Analysis
USA - NYSE:CNHI - NL0010545661 - Common Stock
11.45 USD
-0.07 (-0.61%)
11.4013 USD
-0.05 (-0.43%)
Overall CNHI gets a fundamental rating of 4 out of 10. We evaluated CNHI against 130 industry peers in the Machinery industry. CNHI scores excellent on profitability, but there are concerns on its financial health. CNHI has a valuation in line with the averages, but it does not seem to be growing. Finally CNHI also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year CNHI was profitable.
CNHI had a positive operating cash flow in the past year.
CNHI had positive earnings in 4 of the past 5 years.
In the past 5 years CNHI always reported a positive cash flow from operatings.
1.2 Ratios
CNHI's Return On Assets of 5.01% is in line compared to the rest of the industry. CNHI outperforms 59.23% of its industry peers.
With an excellent Return On Equity value of 28.79%, CNHI belongs to the best of the industry, outperforming 90.77% of the companies in the same industry.
CNHI has a better Return On Invested Capital (10.21%) than 70.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CNHI is in line with the industry average of 10.25%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.01% | ||
| ROE | 28.79% | ||
| ROIC | 10.21% |
ROA(3y)4.58%
ROA(5y)2.81%
ROE(3y)27.98%
ROE(5y)16.77%
ROIC(3y)10.87%
ROIC(5y)7.89%
1.3 Margins
CNHI has a Profit Margin of 9.48%. This is in the better half of the industry: CNHI outperforms 71.54% of its industry peers.
CNHI's Profit Margin has improved in the last couple of years.
CNHI's Operating Margin of 20.14% is amongst the best of the industry. CNHI outperforms 90.00% of its industry peers.
CNHI's Operating Margin has improved in the last couple of years.
The Gross Margin of CNHI (32.04%) is better than 61.54% of its industry peers.
CNHI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.14% | ||
| PM (TTM) | 9.48% | ||
| GM | 32.04% |
OM growth 3Y70.97%
OM growth 5Y23.85%
PM growth 3YN/A
PM growth 5Y15.86%
GM growth 3Y24.71%
GM growth 5Y11%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CNHI is still creating some value.
CNHI has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, CNHI has less shares outstanding
The debt/assets ratio for CNHI is higher compared to a year ago.
2.2 Solvency
A Debt/Equity ratio of 3.49 is on the high side and indicates that CNHI has dependencies on debt financing.
CNHI has a Debt to Equity ratio of 3.49. This is amonst the worse of the industry: CNHI underperforms 93.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.49 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACC1.54
WACC6.65%
2.3 Liquidity
A Current Ratio of 0.97 indicates that CNHI may have some problems paying its short term obligations.
CNHI has a Current ratio of 0.97. This is amonst the worse of the industry: CNHI underperforms 89.23% of its industry peers.
CNHI has a Quick Ratio of 0.97. This is a bad value and indicates that CNHI is not financially healthy enough and could expect problems in meeting its short term obligations.
CNHI has a Quick ratio of 0.35. This is amonst the worse of the industry: CNHI underperforms 93.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.97 | ||
| Quick Ratio | 0.35 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.03% over the past year.
The Earnings Per Share has been growing by 16.41% on average over the past years. This is quite good.
Looking at the last year, CNHI shows a small growth in Revenue. The Revenue has grown by 0.10% in the last year.
Measured over the past years, CNHI shows a decrease in Revenue. The Revenue has been decreasing by -3.65% on average per year.
EPS 1Y (TTM)9.03%
EPS 3Y82.79%
EPS 5Y16.41%
EPS Q2Q%-5.71%
Revenue 1Y (TTM)0.1%
Revenue growth 3Y18.87%
Revenue growth 5Y-3.65%
Sales Q2Q%-9.81%
3.2 Future
Based on estimates for the next years, CNHI will show a decrease in Earnings Per Share. The EPS will decrease by -0.20% on average per year.
The Revenue is expected to grow by 4.42% on average over the next years.
EPS Next Y-12.33%
EPS Next 2Y-5.28%
EPS Next 3Y-1.79%
EPS Next 5Y-0.2%
Revenue Next Year-11.03%
Revenue Next 2Y-5.94%
Revenue Next 3Y-1.35%
Revenue Next 5Y4.42%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 6.78 indicates a rather cheap valuation of CNHI.
CNHI's Price/Earnings ratio is rather cheap when compared to the industry. CNHI is cheaper than 94.62% of the companies in the same industry.
CNHI is valuated cheaply when we compare the Price/Earnings ratio to 25.56, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 7.46 indicates a rather cheap valuation of CNHI.
Based on the Price/Forward Earnings ratio, CNHI is valued cheaper than 95.38% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.62, CNHI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.78 | ||
| Fwd PE | 7.46 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CNHI is valued cheaper than 89.23% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.18 |
4.3 Compensation for Growth
The decent profitability rating of CNHI may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.41
EPS Next 2Y-5.28%
EPS Next 3Y-1.79%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.10%, CNHI is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.87, CNHI pays a better dividend. On top of this CNHI pays more dividend than 97.69% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, CNHI pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.1% |
5.2 History
On average, the dividend of CNHI grows each year by 17.96%, which is quite nice.
CNHI has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)17.96%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
CNHI pays out 23.54% of its income as dividend. This is a sustainable payout ratio.
DP23.54%
EPS Next 2Y-5.28%
EPS Next 3Y-1.79%
11.45
-0.07 (-0.61%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners66.17%
Inst Owner Change-1.88%
Ins OwnersN/A
Ins Owner Change0%
Market Cap14.40B
Revenue(TTM)24.16B
Net Income(TTM)2.29B
Analysts74.17
Price Target15.26 (33.28%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.1% |
Yearly Dividend0.41
Dividend Growth(5Y)17.96%
DP23.54%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)10.64%
Min EPS beat(2)-2.64%
Max EPS beat(2)23.92%
EPS beat(4)2
Avg EPS beat(4)5.58%
Min EPS beat(4)-4.26%
Max EPS beat(4)23.92%
EPS beat(8)5
Avg EPS beat(8)8.73%
EPS beat(12)9
Avg EPS beat(12)17.04%
EPS beat(16)13
Avg EPS beat(16)59.04%
Revenue beat(2)1
Avg Revenue beat(2)4.68%
Min Revenue beat(2)-0.04%
Max Revenue beat(2)9.4%
Revenue beat(4)1
Avg Revenue beat(4)1.99%
Min Revenue beat(4)-0.73%
Max Revenue beat(4)9.4%
Revenue beat(8)5
Avg Revenue beat(8)5.44%
Revenue beat(12)6
Avg Revenue beat(12)21.87%
Revenue beat(16)9
Avg Revenue beat(16)22.73%
PT rev (1m)-4.23%
PT rev (3m)-2.27%
EPS NQ rev (1m)-10.1%
EPS NQ rev (3m)-11.92%
EPS NY rev (1m)-5.19%
EPS NY rev (3m)-3.03%
Revenue NQ rev (1m)-3.76%
Revenue NQ rev (3m)-5.45%
Revenue NY rev (1m)-1.75%
Revenue NY rev (3m)-3.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.78 | ||
| Fwd PE | 7.46 | ||
| P/S | 0.6 | ||
| P/FCF | N/A | ||
| P/OCF | 34.45 | ||
| P/B | 1.81 | ||
| P/tB | 4.66 | ||
| EV/EBITDA | 7.18 |
EPS(TTM)1.69
EY14.76%
EPS(NY)1.53
Fwd EY13.4%
FCF(TTM)-0.67
FCFYN/A
OCF(TTM)0.33
OCFY2.9%
SpS19.22
BVpS6.33
TBVpS2.45
PEG (NY)N/A
PEG (5Y)0.41
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.01% | ||
| ROE | 28.79% | ||
| ROCE | 13.6% | ||
| ROIC | 10.21% | ||
| ROICexc | 11.23% | ||
| ROICexgc | 14.85% | ||
| OM | 20.14% | ||
| PM (TTM) | 9.48% | ||
| GM | 32.04% | ||
| FCFM | N/A |
ROA(3y)4.58%
ROA(5y)2.81%
ROE(3y)27.98%
ROE(5y)16.77%
ROIC(3y)10.87%
ROIC(5y)7.89%
ROICexc(3y)13.08%
ROICexc(5y)9.6%
ROICexgc(3y)21.77%
ROICexgc(5y)15.39%
ROCE(3y)14.48%
ROCE(5y)10.51%
ROICexgc growth 3Y80.95%
ROICexgc growth 5Y15.73%
ROICexc growth 3Y83.39%
ROICexc growth 5Y16.26%
OM growth 3Y70.97%
OM growth 5Y23.85%
PM growth 3YN/A
PM growth 5Y15.86%
GM growth 3Y24.71%
GM growth 5Y11%
F-ScoreN/A
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.49 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.12 | ||
| Cap/Depr | 224.82% | ||
| Cap/Sales | 5.21% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 7.7% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.97 | ||
| Quick Ratio | 0.35 | ||
| Altman-Z | N/A |
F-ScoreN/A
WACC6.65%
ROIC/WACC1.54
Cap/Depr(3y)191.9%
Cap/Depr(5y)146.15%
Cap/Sales(3y)6.5%
Cap/Sales(5y)5.81%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)9.03%
EPS 3Y82.79%
EPS 5Y16.41%
EPS Q2Q%-5.71%
EPS Next Y-12.33%
EPS Next 2Y-5.28%
EPS Next 3Y-1.79%
EPS Next 5Y-0.2%
Revenue 1Y (TTM)0.1%
Revenue growth 3Y18.87%
Revenue growth 5Y-3.65%
Sales Q2Q%-9.81%
Revenue Next Year-11.03%
Revenue Next 2Y-5.94%
Revenue Next 3Y-1.35%
Revenue Next 5Y4.42%
EBIT growth 1Y64.87%
EBIT growth 3Y103.24%
EBIT growth 5Y19.33%
EBIT Next Year-0.4%
EBIT Next 3Y1.17%
EBIT Next 5Y-0.44%
FCF growth 1Y-143.37%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-82.54%
OCF growth 3Y-36.11%
OCF growth 5Y-14%
CNH INDUSTRIAL NV / CNHI FAQ
What is the fundamental rating for CNHI stock?
ChartMill assigns a fundamental rating of 4 / 10 to CNHI.
Can you provide the valuation status for CNH INDUSTRIAL NV?
ChartMill assigns a valuation rating of 6 / 10 to CNH INDUSTRIAL NV (CNHI). This can be considered as Fairly Valued.
How profitable is CNH INDUSTRIAL NV (CNHI) stock?
CNH INDUSTRIAL NV (CNHI) has a profitability rating of 7 / 10.
What is the valuation of CNH INDUSTRIAL NV based on its PE and PB ratios?
The Price/Earnings (PE) ratio for CNH INDUSTRIAL NV (CNHI) is 6.78 and the Price/Book (PB) ratio is 1.81.
Can you provide the dividend sustainability for CNHI stock?
The dividend rating of CNH INDUSTRIAL NV (CNHI) is 7 / 10 and the dividend payout ratio is 23.54%.