NEXANS SA (NEX.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:NEX - FR0000044448 - Common Stock
126 EUR
-1.7 (-1.33%)
We assign a fundamental rating of 6 out of 10 to NEX. NEX was compared to 66 industry peers in the Electrical Equipment industry. NEX has an excellent profitability rating, but there are some minor concerns on its financial health. NEX scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year NEX was profitable.
NEX had a positive operating cash flow in the past year.
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's Return On Assets of 5.88% is fine compared to the rest of the industry. NEX outperforms 78.79% of its industry peers.
NEX has a Return On Equity of 25.22%. This is amongst the best in the industry. NEX outperforms 92.42% of its industry peers.
NEX has a Return On Invested Capital of 9.23%. This is in the better half of the industry: NEX outperforms 77.27% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NEX is in line with the industry average of 9.83%.
| 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
NEX's Profit Margin of 5.29% is fine compared to the rest of the industry. NEX outperforms 72.73% of its industry peers.
In the last couple of years the Profit Margin of NEX has grown nicely.
NEX's Operating Margin of 6.23% is in line compared to the rest of the industry. NEX outperforms 59.09% of its industry peers.
In the last couple of years the Operating Margin of NEX has grown nicely.
NEX's Gross Margin of 13.03% is on the low side compared to the rest of the industry. NEX is outperformed by 86.36% of its industry peers.
NEX's Gross Margin has improved in the last couple of years.
| 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.
The number of shares outstanding for NEX has been increased compared to 5 years ago.
Compared to 1 year ago, NEX has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.14 indicates that NEX is not a great score, but indicates only limited risk for bankruptcy at the moment.
NEX's Altman-Z score of 2.14 is in line compared to the rest of the industry. NEX outperforms 57.58% of its industry peers.
The Debt to FCF ratio of NEX is 3.52, which is a good value as it means it would take NEX, 3.52 years of fcf income to pay off all of its debts.
NEX has a Debt to FCF ratio of 3.52. This is amongst the best in the industry. NEX outperforms 80.30% of its industry peers.
NEX has a Debt/Equity ratio of 1.09. This is a high value indicating a heavy dependency on external financing.
NEX's Debt to Equity ratio of 1.09 is on the low side compared to the rest of the industry. NEX is outperformed by 80.30% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 3.52 | ||
| Altman-Z | 2.14 |
ROIC/WACC1.16
WACC7.98%
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.
Looking at the Current ratio, with a value of 1.28, NEX is in line with its industry, outperforming 40.91% of the companies in the same industry.
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.
NEX has a Quick ratio of 0.96. This is comparable to the rest of the industry: NEX outperforms 57.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.28 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
NEX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 75.70%, which is quite impressive.
The Earnings Per Share has been growing by 17.66% on average over the past years. This is quite good.
NEX shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -24.94%.
The Revenue has been growing slightly by 4.88% on average over the past years.
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
The Earnings Per Share is expected to grow by 10.66% on average over the next years. This is quite good.
Based on estimates for the next years, NEX will show a decrease in Revenue. The Revenue will decrease by -0.26% on average per year.
EPS Next Y19.15%
EPS Next 2Y7.84%
EPS Next 3Y9.88%
EPS Next 5Y10.66%
Revenue Next Year0.07%
Revenue Next 2Y0.28%
Revenue Next 3Y1.4%
Revenue Next 5Y-0.26%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 11.10, the valuation of NEX can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of NEX indicates a rather cheap valuation: NEX is cheaper than 93.94% of the companies listed in the same industry.
NEX's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.76.
NEX is valuated correctly with a Price/Forward Earnings ratio of 15.11.
Based on the Price/Forward Earnings ratio, NEX is valued cheaply inside the industry as 80.30% of the companies are valued more expensively.
NEX is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.96, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.1 | ||
| Fwd PE | 15.11 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NEX is valued cheaper than 86.36% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, NEX is valued cheaper than 87.88% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.29 | ||
| EV/EBITDA | 6.18 |
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.
NEX has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.58
PEG (5Y)0.63
EPS Next 2Y7.84%
EPS Next 3Y9.88%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.00%, NEX has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.23, NEX pays a better dividend. On top of this NEX pays more dividend than 87.88% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.31, NEX has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2% |
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
24.11% of the earnings are spent on dividend by NEX. This is a low number and sustainable payout ratio.
The dividend of NEX is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP24.11%
EPS Next 2Y7.84%
EPS Next 3Y9.88%
EPA:NEX (12/11/2025, 7:00:00 PM)
126
-1.7 (-1.33%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners65.99%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap5.51B
Revenue(TTM)9.02B
Net Income(TTM)477.00M
Analysts71.58
Price Target137.77 (9.34%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2% |
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)0.8%
PT rev (3m)1.01%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.07%
EPS NY rev (3m)1.51%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)-0.62%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.1 | ||
| Fwd PE | 15.11 | ||
| P/S | 0.61 | ||
| P/FCF | 9.29 | ||
| P/OCF | 5.86 | ||
| P/B | 2.91 | ||
| P/tB | 4.71 | ||
| EV/EBITDA | 6.18 |
EPS(TTM)11.35
EY9.01%
EPS(NY)8.34
Fwd EY6.62%
FCF(TTM)13.56
FCFY10.76%
OCF(TTM)21.51
OCFY17.07%
SpS206.17
BVpS43.23
TBVpS26.75
PEG (NY)0.58
PEG (5Y)0.63
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 | 2.14 |
F-Score7
WACC7.98%
ROIC/WACC1.16
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 Y19.15%
EPS Next 2Y7.84%
EPS Next 3Y9.88%
EPS Next 5Y10.66%
Revenue 1Y (TTM)-24.94%
Revenue growth 3Y5.04%
Revenue growth 5Y4.88%
Sales Q2Q%11.17%
Revenue Next Year0.07%
Revenue Next 2Y0.28%
Revenue Next 3Y1.4%
Revenue Next 5Y-0.26%
EBIT growth 1Y-23.43%
EBIT growth 3Y23.36%
EBIT growth 5Y17.71%
EBIT Next Year53.46%
EBIT Next 3Y19.76%
EBIT Next 5Y13.92%
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 5 / 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 11.1 and the Price/Book (PB) ratio is 2.91.
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%.