NEXANS SA (NEX.PA) Stock Fundamental Analysis
Europe - EPA:NEX - FR0000044448 - Common Stock
120.8 EUR
-0.3 (-0.25%)
We assign a fundamental rating of 6 out of 10 to NEX. NEX was compared to 58 industry peers in the Electrical Equipment industry. NEX has an excellent profitability rating, but there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on NEX.
1. Profitability
1.1 Basic Checks
NEX had positive earnings in the past year.
In the past year NEX had a positive cash flow from operations.
NEX had positive earnings in each of the past 5 years.
Each year in the past 5 years NEX had a positive operating cash flow.
1.2 Ratios
NEX has a better Return On Assets (5.88%) than 82.76% of its industry peers.
NEX has a better Return On Equity (25.22%) than 91.38% of its industry peers.
Looking at the Return On Invested Capital, with a value of 9.23%, NEX is in the better half of the industry, outperforming 75.86% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for NEX is in line with the industry average of 9.86%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.88% | ||
| ROE | 25.22% | ||
| ROIC | 9.23% |
ROA(3y)3.61%
ROA(5y)3.05%
ROE(3y)14.42%
ROE(5y)12.2%
ROIC(3y)10.24%
ROIC(5y)8.63%
1.3 Margins
Looking at the Profit Margin, with a value of 5.29%, NEX is in the better half of the industry, outperforming 75.86% of the companies in the same industry.
NEX's Profit Margin has improved in the last couple of years.
NEX has a Operating Margin of 6.23%. This is in the better half of the industry: NEX outperforms 65.52% of its industry peers.
In the last couple of years the Operating Margin of NEX has grown nicely.
NEX has a Gross Margin of 13.03%. This is amonst the worse of the industry: NEX underperforms 86.21% of its industry peers.
In the last couple of years the Gross Margin of NEX has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.23% | ||
| PM (TTM) | 5.29% | ||
| GM | 13.03% |
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), NEX is creating some value.
Compared to 1 year ago, NEX has about the same amount of shares outstanding.
Compared to 5 years ago, NEX has more shares outstanding
NEX has a worse debt/assets ratio than last year.
2.2 Solvency
NEX has an Altman-Z score of 2.12. This is not the best score and indicates that NEX is in the grey zone with still only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.12, NEX is doing good in the industry, outperforming 62.07% of the companies in the same industry.
NEX has a debt to FCF ratio of 3.52. This is a good value and a sign of high solvency as NEX would need 3.52 years to pay back of all of its debts.
NEX's Debt to FCF ratio of 3.52 is fine compared to the rest of the industry. NEX outperforms 79.31% of its industry peers.
A Debt/Equity ratio of 1.09 is on the high side and indicates that NEX has dependencies on debt financing.
NEX has a worse Debt to Equity ratio (1.09) than 79.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 3.52 | ||
| Altman-Z | 2.12 |
ROIC/WACC1.29
WACC7.13%
2.3 Liquidity
NEX has a Current Ratio of 1.28. This is a normal value and indicates that NEX is financially healthy and should not expect problems in meeting its short term obligations.
NEX's Current ratio of 1.28 is in line compared to the rest of the industry. NEX outperforms 43.10% of its industry peers.
NEX has a Quick Ratio of 1.28. This is a bad value and indicates that NEX is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.96, NEX is in line with its industry, outperforming 58.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.28 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 75.70% over the past year.
NEX shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.66% yearly.
NEX shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -24.94%.
NEX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.88% yearly.
EPS 1Y (TTM)75.7%
EPS 3Y5.94%
EPS 5Y17.66%
EPS Q2Q%95.87%
Revenue 1Y (TTM)-24.94%
Revenue growth 3Y5.04%
Revenue growth 5Y4.88%
Sales Q2Q%11.17%
3.2 Future
Based on estimates for the next years, NEX will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.43% on average per year.
The Revenue is expected to decrease by -0.29% on average over the next years.
EPS Next Y16.66%
EPS Next 2Y8.64%
EPS Next 3Y10.4%
EPS Next 5Y10.43%
Revenue Next Year1.91%
Revenue Next 2Y1.11%
Revenue Next 3Y1.98%
Revenue Next 5Y-0.29%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
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
With a Price/Earnings ratio of 10.64, the valuation of NEX can be described as very reasonable.
Based on the Price/Earnings ratio, NEX is valued cheaply inside the industry as 94.83% of the companies are valued more expensively.
NEX's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.08.
A Price/Forward Earnings ratio of 14.28 indicates a correct valuation of NEX.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NEX indicates a somewhat cheap valuation: NEX is cheaper than 77.59% of the companies listed in the same industry.
NEX's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.09.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.64 | ||
| Fwd PE | 14.28 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NEX indicates a rather cheap valuation: NEX is cheaper than 87.93% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NEX indicates a rather cheap valuation: NEX is cheaper than 87.93% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.91 | ||
| EV/EBITDA | 5.93 |
4.3 Compensation for Growth
NEX's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of NEX may justify a higher PE ratio.
PEG (NY)0.64
PEG (5Y)0.6
EPS Next 2Y8.64%
EPS Next 3Y10.4%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.12%, NEX has a reasonable but not impressive dividend return.
NEX's Dividend Yield is rather good when compared to the industry average which is at 2.07. NEX pays more dividend than 86.21% of the companies in the same industry.
NEX's Dividend Yield is comparable with the S&P500 average which is at 2.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.12% |
5.2 History
On average, the dividend of NEX grows each year by 46.60%, which is quite nice.
Dividend Growth(5Y)46.6%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
NEX pays out 24.11% of its income as dividend. This is a sustainable payout ratio.
NEX's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP24.11%
EPS Next 2Y8.64%
EPS Next 3Y10.4%
EPA:NEX (10/28/2025, 4:01:17 PM)
120.8
-0.3 (-0.25%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners53.17%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap5.28B
Revenue(TTM)9.02B
Net Income(TTM)477.00M
Analysts73.68
Price Target138.21 (14.41%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.12% |
Yearly Dividend2.34
Dividend Growth(5Y)46.6%
DP24.11%
Div Incr Years6
Div Non Decr Years6
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)0.37%
PT rev (3m)14.6%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)8.72%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)1.25%
Revenue NY rev (3m)-1.56%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.64 | ||
| Fwd PE | 14.28 | ||
| P/S | 0.59 | ||
| P/FCF | 8.91 | ||
| P/OCF | 5.62 | ||
| P/B | 2.79 | ||
| P/tB | 4.52 | ||
| EV/EBITDA | 5.93 |
EPS(TTM)11.35
EY9.4%
EPS(NY)8.46
Fwd EY7%
FCF(TTM)13.56
FCFY11.22%
OCF(TTM)21.51
OCFY17.81%
SpS206.17
BVpS43.23
TBVpS26.75
PEG (NY)0.64
PEG (5Y)0.6
Graham Number105.07
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.88% | ||
| ROE | 25.22% | ||
| ROCE | 13.49% | ||
| ROIC | 9.23% | ||
| ROICexc | 16.89% | ||
| ROICexgc | 23.9% | ||
| OM | 6.23% | ||
| PM (TTM) | 5.29% | ||
| GM | 13.03% | ||
| FCFM | 6.58% |
ROA(3y)3.61%
ROA(5y)3.05%
ROE(3y)14.42%
ROE(5y)12.2%
ROIC(3y)10.24%
ROIC(5y)8.63%
ROICexc(3y)15.8%
ROICexc(5y)13.35%
ROICexgc(3y)21.36%
ROICexgc(5y)17.57%
ROCE(3y)14.84%
ROCE(5y)12.68%
ROICexgc growth 3Y12.26%
ROICexgc growth 5Y14.43%
ROICexc growth 3Y8.04%
ROICexc growth 5Y11.49%
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-Score7
Asset Turnover1.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 3.52 | ||
| Debt/EBITDA | 2.43 | ||
| Cap/Depr | 122.54% | ||
| Cap/Sales | 3.86% | ||
| Interest Coverage | 6.53 | ||
| Cash Conversion | 111.23% | ||
| Profit Quality | 124.32% | ||
| Current Ratio | 1.28 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | 2.12 |
F-Score7
WACC7.13%
ROIC/WACC1.29
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)75.7%
EPS 3Y5.94%
EPS 5Y17.66%
EPS Q2Q%95.87%
EPS Next Y16.66%
EPS Next 2Y8.64%
EPS Next 3Y10.4%
EPS Next 5Y10.43%
Revenue 1Y (TTM)-24.94%
Revenue growth 3Y5.04%
Revenue growth 5Y4.88%
Sales Q2Q%11.17%
Revenue Next Year1.91%
Revenue Next 2Y1.11%
Revenue Next 3Y1.98%
Revenue Next 5Y-0.29%
EBIT growth 1Y-23.43%
EBIT growth 3Y23.36%
EBIT growth 5Y17.71%
EBIT Next Year54.93%
EBIT Next 3Y20.05%
EBIT Next 5Y14.42%
FCF growth 1Y47.15%
FCF growth 3Y26.31%
FCF growth 5Y52.43%
OCF growth 1Y30.15%
OCF growth 3Y24.35%
OCF growth 5Y20.84%
NEXANS SA / NEX.PA FAQ
What is the fundamental rating for NEX stock?
ChartMill assigns a fundamental rating of 6 / 10 to NEX.PA.
Can you provide the valuation status for NEXANS SA?
ChartMill assigns a valuation rating of 8 / 10 to NEXANS SA (NEX.PA). This can be considered as Undervalued.
What is the profitability of NEX stock?
NEXANS SA (NEX.PA) has a profitability rating of 7 / 10.
What is the valuation of NEXANS SA based on its PE and PB ratios?
The Price/Earnings (PE) ratio for NEXANS SA (NEX.PA) is 10.64 and the Price/Book (PB) ratio is 2.79.
Can you provide the dividend sustainability for NEX stock?
The dividend rating of NEXANS SA (NEX.PA) is 6 / 10 and the dividend payout ratio is 24.11%.