NEXANS SA (NEX.PA) Stock Fundamental Analysis
Europe - EPA:NEX - FR0000044448 - Common Stock
121 EUR
+0.3 (+0.25%)
Taking everything into account, NEX scores 6 out of 10 in our fundamental rating. NEX was compared to 61 industry peers in the Electrical Equipment industry. NEX scores excellent on profitability, but there are some minor concerns on its financial health. NEX may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
NEX had positive earnings in the past year.
NEX had a positive operating cash flow in the past year.
NEX had positive earnings in each of the past 5 years.
NEX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
NEX's Return On Assets of 5.88% is amongst the best of the industry. NEX outperforms 81.97% of its industry peers.
Looking at the Return On Equity, with a value of 25.22%, NEX belongs to the top of the industry, outperforming 90.16% of the companies in the same industry.
NEX has a Return On Invested Capital of 9.23%. This is in the better half of the industry: NEX outperforms 75.41% of its industry peers.
NEX had an Average Return On Invested Capital over the past 3 years of 10.24%. This is in line with the industry average of 9.35%.
| 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
The Profit Margin of NEX (5.29%) is better than 75.41% of its industry peers.
In the last couple of years the Profit Margin of NEX has grown nicely.
Looking at the Operating Margin, with a value of 6.23%, NEX is in the better half of the industry, outperforming 65.57% of the companies in the same industry.
In the last couple of years the Operating Margin of NEX has grown nicely.
NEX has a worse Gross Margin (13.03%) than 83.61% 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
NEX has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
NEX has about the same amout of shares outstanding than it did 1 year ago.
NEX has more shares outstanding than it did 5 years ago.
NEX has a worse debt/assets ratio than last year.
2.2 Solvency
NEX has an Altman-Z score of 2.11. 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 2.11, NEX is doing good in the industry, outperforming 60.66% 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 has a better Debt to FCF ratio (3.52) than 77.05% 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.
With a Debt to Equity ratio value of 1.09, NEX is not doing good in the industry: 81.97% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 3.52 | ||
| Altman-Z | 2.11 |
ROIC/WACC1.25
WACC7.41%
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.
With a Current ratio value of 1.28, NEX perfoms like the industry average, outperforming 42.62% of the companies in the same industry.
A Quick Ratio of 0.96 indicates that NEX may have some problems paying its short term obligations.
NEX has a Quick ratio of 0.96. This is comparable to the rest of the industry: NEX outperforms 57.38% 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.
NEX shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.66% yearly.
Looking at the last year, NEX shows a very negative growth in Revenue. The Revenue has decreased by -24.94% in the last year.
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
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.
Based on estimates for the next years, NEX will show a decrease in Revenue. The Revenue will decrease by -0.29% on average per year.
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.
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
A Price/Earnings ratio of 10.66 indicates a reasonable valuation of NEX.
Compared to the rest of the industry, the Price/Earnings ratio of NEX indicates a rather cheap valuation: NEX is cheaper than 93.44% of the companies listed in the same industry.
NEX is valuated cheaply when we compare the Price/Earnings ratio to 27.69, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 14.30 indicates a correct valuation of NEX.
Based on the Price/Forward Earnings ratio, NEX is valued cheaply inside the industry as 80.33% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 23.18. NEX is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.66 | ||
| Fwd PE | 14.3 |
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 86.89% of the companies listed in the same industry.
NEX's Price/Free Cash Flow ratio is rather cheap when compared to the industry. NEX is cheaper than 88.52% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.93 | ||
| EV/EBITDA | 5.9 |
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)0.64
PEG (5Y)0.6
EPS Next 2Y8.64%
EPS Next 3Y10.4%
5. Dividend
5.1 Amount
NEX has a Yearly Dividend Yield of 2.13%.
NEX's Dividend Yield is rather good when compared to the industry average which is at 2.00. NEX pays more dividend than 86.89% of the companies in the same industry.
NEX's Dividend Yield is comparable with the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.13% |
5.2 History
The dividend of NEX is nicely growing with an annual growth rate of 46.60%!
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.
The dividend of NEX is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP24.11%
EPS Next 2Y8.64%
EPS Next 3Y10.4%
EPA:NEX (10/20/2025, 7:00:00 PM)
121
+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 Cap5.29B
Analysts73.68
Price Target138.21 (14.22%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.13% |
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)16.5%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.62%
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 | 10.66 | ||
| Fwd PE | 14.3 | ||
| P/S | 0.59 | ||
| P/FCF | 8.93 | ||
| P/OCF | 5.62 | ||
| P/B | 2.8 | ||
| P/tB | 4.52 | ||
| EV/EBITDA | 5.9 |
EPS(TTM)11.35
EY9.38%
EPS(NY)8.46
Fwd EY6.99%
FCF(TTM)13.56
FCFY11.2%
OCF(TTM)21.51
OCFY17.78%
SpS206.17
BVpS43.23
TBVpS26.75
PEG (NY)0.64
PEG (5Y)0.6
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%
ROICexcg growth 3Y12.26%
ROICexcg 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 | 2.11 |
F-Score7
WACC7.41%
ROIC/WACC1.25
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%