NORSK HYDRO ASA (NHY.OL) Stock Fundamental Analysis
Europe - Euronext Oslo - OSL:NHY - NO0005052605 - Common Stock
75.01 NOK
+0.37 (+0.5%)
NHY gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 36 industry peers in the Metals & Mining industry. While NHY belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on NHY. Finally NHY also has an excellent dividend rating. These ratings could make NHY a good candidate for value and dividend investing.
1. Profitability
1.1 Basic Checks
NHY had positive earnings in the past year.
In the past year NHY had a positive cash flow from operations.
NHY had positive earnings in each of the past 5 years.
NHY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
NHY has a Return On Assets of 5.35%. This is in the better half of the industry: NHY outperforms 63.89% of its industry peers.
Looking at the Return On Equity, with a value of 10.81%, NHY is in the better half of the industry, outperforming 63.89% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 10.71%, NHY belongs to the top of the industry, outperforming 88.89% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for NHY is in line with the industry average of 7.87%.
The last Return On Invested Capital (10.71%) for NHY is above the 3 year average (9.64%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.35% | ||
| ROE | 10.81% | ||
| ROIC | 10.72% |
ROA(3y)5.56%
ROA(5y)4.96%
ROE(3y)10.95%
ROE(5y)9.96%
ROIC(3y)9.64%
ROIC(5y)8.3%
1.3 Margins
NHY's Profit Margin of 5.09% is fine compared to the rest of the industry. NHY outperforms 61.11% of its industry peers.
NHY's Profit Margin has declined in the last couple of years.
NHY's Operating Margin of 10.58% is in line compared to the rest of the industry. NHY outperforms 58.33% of its industry peers.
In the last couple of years the Operating Margin of NHY has grown nicely.
Looking at the Gross Margin, with a value of 37.48%, NHY is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
In the last couple of years the Gross Margin of NHY has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.58% | ||
| PM (TTM) | 5.09% | ||
| GM | 37.48% |
OM growth 3Y-9.93%
OM growth 5Y63.9%
PM growth 3Y-29.53%
PM growth 5YN/A
GM growth 3Y-3.53%
GM growth 5Y0.88%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so NHY is still creating some value.
The number of shares outstanding for NHY has been reduced compared to 1 year ago.
The number of shares outstanding for NHY has been reduced compared to 5 years ago.
Compared to 1 year ago, NHY has an improved debt to assets ratio.
2.2 Solvency
NHY has an Altman-Z score of 2.92. This is not the best score and indicates that NHY is in the grey zone with still only limited risk for bankruptcy at the moment.
NHY has a Altman-Z score of 2.92. This is in the better half of the industry: NHY outperforms 61.11% of its industry peers.
The Debt to FCF ratio of NHY is 3.69, which is a good value as it means it would take NHY, 3.69 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.69, NHY is in the better half of the industry, outperforming 69.44% of the companies in the same industry.
NHY has a Debt/Equity ratio of 0.28. This is a healthy value indicating a solid balance between debt and equity.
NHY's Debt to Equity ratio of 0.28 is in line compared to the rest of the industry. NHY outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 3.69 | ||
| Altman-Z | 2.92 |
ROIC/WACC1.1
WACC9.76%
2.3 Liquidity
NHY has a Current Ratio of 1.91. This is a normal value and indicates that NHY is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of NHY (1.91) is comparable to the rest of the industry.
A Quick Ratio of 1.25 indicates that NHY should not have too much problems paying its short term obligations.
NHY has a Quick ratio (1.25) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.91 | ||
| Quick Ratio | 1.25 |
3. Growth
3.1 Past
NHY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 39.85%, which is quite impressive.
The Earnings Per Share has been growing by 53.39% on average over the past years. This is a very strong growth
NHY shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.49%.
NHY shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.34% yearly.
EPS 1Y (TTM)39.85%
EPS 3Y-9.89%
EPS 5Y53.39%
EPS Q2Q%-31.54%
Revenue 1Y (TTM)10.49%
Revenue growth 3Y10.81%
Revenue growth 5Y6.34%
Sales Q2Q%0.91%
3.2 Future
NHY is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 18.05% yearly.
Based on estimates for the next years, NHY will show a small growth in Revenue. The Revenue will grow by 0.52% on average per year.
EPS Next Y27.33%
EPS Next 2Y18.84%
EPS Next 3Y14.79%
EPS Next 5Y18.05%
Revenue Next Year3.02%
Revenue Next 2Y1.03%
Revenue Next 3Y2.16%
Revenue Next 5Y0.52%
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 13.79, the valuation of NHY can be described as correct.
NHY's Price/Earnings ratio is a bit cheaper when compared to the industry. NHY is cheaper than 75.00% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.59. NHY is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 11.80, which indicates a very decent valuation of NHY.
75.00% of the companies in the same industry are more expensive than NHY, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 23.80. NHY is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.79 | ||
| Fwd PE | 11.8 |
4.2 Price Multiples
NHY's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. NHY is cheaper than 94.44% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NHY indicates a rather cheap valuation: NHY is cheaper than 91.67% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.8 | ||
| EV/EBITDA | 4.52 |
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.
The decent profitability rating of NHY may justify a higher PE ratio.
A more expensive valuation may be justified as NHY's earnings are expected to grow with 14.79% in the coming years.
PEG (NY)0.5
PEG (5Y)0.26
EPS Next 2Y18.84%
EPS Next 3Y14.79%
5. Dividend
5.1 Amount
NHY has a Yearly Dividend Yield of 3.04%. Purely for dividend investing, there may be better candidates out there.
NHY's Dividend Yield is rather good when compared to the industry average which is at 2.61. NHY pays more dividend than 80.56% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.31, NHY pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.04% |
5.2 History
The dividend of NHY is nicely growing with an annual growth rate of 14.41%!
Dividend Growth(5Y)14.41%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
40.44% of the earnings are spent on dividend by NHY. This is a bit on the high side, but may be sustainable.
The dividend of NHY is growing, but earnings are growing more, so the dividend growth is sustainable.
DP40.44%
EPS Next 2Y18.84%
EPS Next 3Y14.79%
OSL:NHY (12/11/2025, 11:44:08 AM)
75.01
+0.37 (+0.5%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners44.07%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap148.41B
Revenue(TTM)215.81B
Net Income(TTM)10.99B
Analysts69.09
Price Target75.02 (0.01%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.04% |
Yearly Dividend2.51
Dividend Growth(5Y)14.41%
DP40.44%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-11.09%
Min EPS beat(2)-20.21%
Max EPS beat(2)-1.96%
EPS beat(4)0
Avg EPS beat(4)-21.26%
Min EPS beat(4)-38.73%
Max EPS beat(4)-1.96%
EPS beat(8)0
Avg EPS beat(8)-19.06%
EPS beat(12)2
Avg EPS beat(12)-19.33%
EPS beat(16)5
Avg EPS beat(16)-9.81%
Revenue beat(2)2
Avg Revenue beat(2)2.72%
Min Revenue beat(2)2.09%
Max Revenue beat(2)3.36%
Revenue beat(4)4
Avg Revenue beat(4)3.27%
Min Revenue beat(4)2.09%
Max Revenue beat(4)5.34%
Revenue beat(8)5
Avg Revenue beat(8)1.53%
Revenue beat(12)7
Avg Revenue beat(12)1.32%
Revenue beat(16)10
Avg Revenue beat(16)3.12%
PT rev (1m)0.52%
PT rev (3m)8.8%
EPS NQ rev (1m)-11.13%
EPS NQ rev (3m)-19.25%
EPS NY rev (1m)2.74%
EPS NY rev (3m)-1.43%
Revenue NQ rev (1m)0.43%
Revenue NQ rev (3m)0.25%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.79 | ||
| Fwd PE | 11.8 | ||
| P/S | 0.69 | ||
| P/FCF | 14.8 | ||
| P/OCF | 6.77 | ||
| P/B | 1.46 | ||
| P/tB | 1.58 | ||
| EV/EBITDA | 4.52 |
EPS(TTM)5.44
EY7.25%
EPS(NY)6.35
Fwd EY8.47%
FCF(TTM)5.07
FCFY6.76%
OCF(TTM)11.08
OCFY14.77%
SpS109.08
BVpS51.38
TBVpS47.48
PEG (NY)0.5
PEG (5Y)0.26
Graham Number79.31
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.35% | ||
| ROE | 10.81% | ||
| ROCE | 13.92% | ||
| ROIC | 10.72% | ||
| ROICexc | 12.55% | ||
| ROICexgc | 13.28% | ||
| OM | 10.58% | ||
| PM (TTM) | 5.09% | ||
| GM | 37.48% | ||
| FCFM | 4.65% |
ROA(3y)5.56%
ROA(5y)4.96%
ROE(3y)10.95%
ROE(5y)9.96%
ROIC(3y)9.64%
ROIC(5y)8.3%
ROICexc(3y)11.87%
ROICexc(5y)10.38%
ROICexgc(3y)12.76%
ROICexgc(5y)11.22%
ROCE(3y)12.54%
ROCE(5y)10.82%
ROICexgc growth 3Y-10.73%
ROICexgc growth 5Y69.35%
ROICexc growth 3Y-9.94%
ROICexc growth 5Y70.51%
OM growth 3Y-9.93%
OM growth 5Y63.9%
PM growth 3Y-29.53%
PM growth 5YN/A
GM growth 3Y-3.53%
GM growth 5Y0.88%
F-Score8
Asset Turnover1.05
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 3.69 | ||
| Debt/EBITDA | 0.86 | ||
| Cap/Depr | 111.84% | ||
| Cap/Sales | 5.51% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 65.51% | ||
| Profit Quality | 91.23% | ||
| Current Ratio | 1.91 | ||
| Quick Ratio | 1.25 | ||
| Altman-Z | 2.92 |
F-Score8
WACC9.76%
ROIC/WACC1.1
Cap/Depr(3y)113.19%
Cap/Depr(5y)94.53%
Cap/Sales(3y)6.11%
Cap/Sales(5y)5.44%
Profit Quality(3y)114.82%
Profit Quality(5y)160.97%
High Growth Momentum
Growth
EPS 1Y (TTM)39.85%
EPS 3Y-9.89%
EPS 5Y53.39%
EPS Q2Q%-31.54%
EPS Next Y27.33%
EPS Next 2Y18.84%
EPS Next 3Y14.79%
EPS Next 5Y18.05%
Revenue 1Y (TTM)10.49%
Revenue growth 3Y10.81%
Revenue growth 5Y6.34%
Sales Q2Q%0.91%
Revenue Next Year3.02%
Revenue Next 2Y1.03%
Revenue Next 3Y2.16%
Revenue Next 5Y0.52%
EBIT growth 1Y83%
EBIT growth 3Y-0.19%
EBIT growth 5Y74.29%
EBIT Next Year80.17%
EBIT Next 3Y25.5%
EBIT Next 5YN/A
FCF growth 1Y-29.93%
FCF growth 3Y-41.66%
FCF growth 5Y-15.47%
OCF growth 1Y-19.74%
OCF growth 3Y2%
OCF growth 5Y3.91%
NORSK HYDRO ASA / NHY.OL FAQ
What is the fundamental rating for NHY stock?
ChartMill assigns a fundamental rating of 6 / 10 to NHY.OL.
Can you provide the valuation status for NORSK HYDRO ASA?
ChartMill assigns a valuation rating of 8 / 10 to NORSK HYDRO ASA (NHY.OL). This can be considered as Undervalued.
Can you provide the profitability details for NORSK HYDRO ASA?
NORSK HYDRO ASA (NHY.OL) has a profitability rating of 7 / 10.
What is the financial health of NORSK HYDRO ASA (NHY.OL) stock?
The financial health rating of NORSK HYDRO ASA (NHY.OL) is 6 / 10.
Can you provide the dividend sustainability for NHY stock?
The dividend rating of NORSK HYDRO ASA (NHY.OL) is 7 / 10 and the dividend payout ratio is 40.44%.