NEW FORTRESS ENERGY INC (NFE)
US6443931000 - Common Stock
Taking everything into account, NFE scores 4 out of 10 in our fundamental rating. NFE was compared to 213 industry peers in the Oil, Gas & Consumable Fuels industry. While NFE is still in line with the averages on profitability rating, there are concerns on its financial health. NFE is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
NFE had positive earnings in the past year.
In the past year NFE had a positive cash flow from operations.
In multiple years NFE reported negative net income over the last 5 years.
In multiple years NFE reported negative operating cash flow during the last 5 years.
1.2 Ratios
The Return On Assets of NFE (4.15%) is comparable to the rest of the industry.
Looking at the Return On Equity, with a value of 25.54%, NFE is in the better half of the industry, outperforming 74.18% of the companies in the same industry.
NFE has a Return On Invested Capital (8.00%) which is comparable to the rest of the industry.
NFE had an Average Return On Invested Capital over the past 3 years of 7.94%. This is significantly below the industry average of 44.22%.
The last Return On Invested Capital (8.00%) for NFE is above the 3 year average (7.94%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.15% | ||
| ROE | 25.54% | ||
| ROIC | 8% |
ROA(3y)3.05%
ROA(5y)-0.68%
ROE(3y)17.97%
ROE(5y)-7.11%
ROIC(3y)7.94%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 17.89%, NFE is in line with its industry, outperforming 57.28% of the companies in the same industry.
Looking at the Operating Margin, with a value of 36.52%, NFE is in the better half of the industry, outperforming 69.48% of the companies in the same industry.
NFE's Gross Margin of 65.61% is fine compared to the rest of the industry. NFE outperforms 69.48% of its industry peers.
In the last couple of years the Gross Margin of NFE has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 36.52% | ||
| PM (TTM) | 17.89% | ||
| GM | 65.61% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y14.67%
GM growth 5Y36.42%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), NFE is creating some value.
NFE has less shares outstanding than it did 1 year ago.
NFE has more shares outstanding than it did 5 years ago.
NFE has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.88, we must say that NFE is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.88, NFE is not doing good in the industry: 61.03% of the companies in the same industry are doing better.
NFE has a Debt/Equity ratio of 3.91. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 3.91, NFE is not doing good in the industry: 88.26% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.91 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.88 |
ROIC/WACC1.51
WACC5.29%
2.3 Liquidity
A Current Ratio of 0.66 indicates that NFE may have some problems paying its short term obligations.
NFE's Current ratio of 0.66 is on the low side compared to the rest of the industry. NFE is outperformed by 81.22% of its industry peers.
NFE has a Quick Ratio of 0.66. This is a bad value and indicates that NFE is not financially healthy enough and could expect problems in meeting its short term obligations.
NFE has a worse Quick ratio (0.54) than 83.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.66 | ||
| Quick Ratio | 0.54 |
3. Growth
3.1 Past
NFE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 226.25%, which is quite impressive.
NFE shows a small growth in Revenue. In the last year, the Revenue has grown by 3.36%.
Measured over the past years, NFE shows a very strong growth in Revenue. The Revenue has been growing by 84.69% on average per year.
EPS 1Y (TTM)226.25%
EPS 3YN/A
EPS 5YN/A
EPS growth Q2Q-25.56%
Revenue 1Y (TTM)3.36%
Revenue growth 3Y74.82%
Revenue growth 5Y84.69%
Revenue growth Q2Q19.21%
3.2 Future
The Earnings Per Share is expected to grow by 16.83% on average over the next years. This is quite good.
NFE is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 15.76% yearly.
EPS Next Y36.38%
EPS Next 2Y16.06%
EPS Next 3Y20.99%
EPS Next 5Y16.83%
Revenue Next Year51.88%
Revenue Next 2Y36.97%
Revenue Next 3Y33.27%
Revenue Next 5Y15.76%
3.3 Evolution
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 10.17 indicates a reasonable valuation of NFE.
Based on the Price/Earnings ratio, NFE is valued a bit cheaper than 61.50% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.91, NFE is valued rather cheaply.
With a Price/Forward Earnings ratio of 6.94, the valuation of NFE can be described as very cheap.
NFE's Price/Forward Earnings ratio is rather cheap when compared to the industry. NFE is cheaper than 82.16% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.51, NFE is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.17 | ||
| Fwd PE | 6.94 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NFE is valued a bit more expensive than the industry average as 69.95% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.81 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as NFE's earnings are expected to grow with 20.99% in the coming years.
PEG (NY)0.28
PEG (5Y)N/A
EPS Next 2Y16.06%
EPS Next 3Y20.99%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.51%, NFE has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 5.87, NFE is paying slightly less dividend.
Compared to the average S&P500 Dividend Yield of 2.34, NFE is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.51% |
5.2 History
NFE has been paying a dividend for over 5 years, so it has already some track record.
NFE has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years3
5.3 Sustainability
NFE pays out 23.58% of its income as dividend. This is a sustainable payout ratio.
DP23.58%
EPS Next 2Y16.06%
EPS Next 3Y20.99%
NEW FORTRESS ENERGY INC
NASDAQ:NFE (5/15/2024, 7:00:03 PM)
Premarket: 26.7 +0.15 (+0.56%)26.55
-2.31 (-8%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap5.44B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.51% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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Revenue beat(2)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.17 | ||
| Fwd PE | 6.94 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.28
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.15% | ||
| ROE | 25.54% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 36.52% | ||
| PM (TTM) | 17.89% | ||
| GM | 65.61% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.91 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.66 | ||
| Quick Ratio | 0.54 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)226.25%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y36.38%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)3.36%
Revenue growth 3Y74.82%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y