NORSK HYDRO ASA (NHY.OL) Stock Fundamental Analysis
Europe - OSL:NHY - NO0005052605 - Common Stock
67.94 NOK
+0.56 (+0.83%)
NHY gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 40 industry peers in the Metals & Mining industry. While NHY has a great profitability rating, there are some minor concerns on its financial health. NHY is valued quite cheap, while showing a decent growth score. This is a good combination! These ratings could make NHY a good candidate for value 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.
In the past 5 years NHY has always been profitable.
NHY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.72%, NHY is in the better half of the industry, outperforming 67.50% of the companies in the same industry.
The Return On Equity of NHY (9.66%) is better than 62.50% of its industry peers.
With an excellent Return On Invested Capital value of 11.08%, NHY belongs to the best of the industry, outperforming 85.00% 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 7.80%.
The last Return On Invested Capital (11.08%) for NHY is above the 3 year average (9.64%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.72% | ||
| ROE | 9.66% | ||
| ROIC | 11.08% |
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 has a Profit Margin of 4.45%. This is comparable to the rest of the industry: NHY outperforms 57.50% of its industry peers.
NHY's Profit Margin has declined in the last couple of years.
NHY's Operating Margin of 10.86% is in line compared to the rest of the industry. NHY outperforms 57.50% of its industry peers.
NHY's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 37.76%, NHY is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
NHY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.86% | ||
| PM (TTM) | 4.45% | ||
| GM | 37.76% |
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), NHY is 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.
The debt/assets ratio for NHY has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.84 indicates that NHY is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.84, NHY is in the better half of the industry, outperforming 67.50% of the companies in the same industry.
The Debt to FCF ratio of NHY is 3.65, which is a good value as it means it would take NHY, 3.65 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.65, NHY is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
NHY has a Debt/Equity ratio of 0.30. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.30, NHY is in line with its industry, outperforming 45.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 3.65 | ||
| Altman-Z | 2.84 |
ROIC/WACC1.25
WACC8.83%
2.3 Liquidity
A Current Ratio of 1.92 indicates that NHY should not have too much problems paying its short term obligations.
NHY's Current ratio of 1.92 is in line compared to the rest of the industry. NHY outperforms 57.50% of its industry peers.
NHY has a Quick Ratio of 1.27. This is a normal value and indicates that NHY is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of NHY (1.27) is better than 65.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.92 | ||
| Quick Ratio | 1.27 |
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
The Revenue has been growing slightly by 5.17% in the past year.
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)5.17%
Revenue growth 3Y10.81%
Revenue growth 5Y6.34%
Sales Q2Q%0.91%
3.2 Future
Based on estimates for the next years, NHY will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.80% on average per year.
NHY is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.46% yearly.
EPS Next Y31.93%
EPS Next 2Y21.11%
EPS Next 3Y16.05%
EPS Next 5Y16.8%
Revenue Next Year2.2%
Revenue Next 2Y0.96%
Revenue Next 3Y2.08%
Revenue Next 5Y-0.46%
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.
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
A Price/Earnings ratio of 12.49 indicates a correct valuation of NHY.
Based on the Price/Earnings ratio, NHY is valued a bit cheaper than 77.50% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.03. NHY is valued rather cheaply when compared to this.
NHY is valuated reasonably with a Price/Forward Earnings ratio of 10.29.
Based on the Price/Forward Earnings ratio, NHY is valued a bit cheaper than 72.50% of the companies in the same industry.
NHY is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.27, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.49 | ||
| Fwd PE | 10.29 |
4.2 Price Multiples
NHY's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. NHY is cheaper than 97.50% 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 87.50% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.08 | ||
| EV/EBITDA | 4.21 |
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 16.05% in the coming years.
PEG (NY)0.39
PEG (5Y)0.23
EPS Next 2Y21.11%
EPS Next 3Y16.05%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.35%, NHY has a reasonable but not impressive dividend return.
NHY's Dividend Yield is rather good when compared to the industry average which is at 2.61. NHY pays more dividend than 82.50% of the companies in the same industry.
NHY's Dividend Yield is a higher than the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.35% |
5.2 History
On average, the dividend of NHY grows each year by 14.41%, which is quite nice.
Dividend Growth(5Y)14.41%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
NHY pays out 46.35% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of NHY is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP46.35%
EPS Next 2Y21.11%
EPS Next 3Y16.05%
OSL:NHY (11/5/2025, 4:26:15 PM)
67.94
+0.56 (+0.83%)
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 Cap134.42B
Revenue(TTM)203.64B
Net Income(TTM)9.59B
Analysts71.43
Price Target74.64 (9.86%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.35% |
Yearly Dividend2.51
Dividend Growth(5Y)14.41%
DP46.35%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-13.05%
Min EPS beat(2)-24.14%
Max EPS beat(2)-1.96%
EPS beat(4)0
Avg EPS beat(4)-17.32%
Min EPS beat(4)-38.73%
Max EPS beat(4)-1.96%
EPS beat(8)0
Avg EPS beat(8)-24.31%
EPS beat(12)3
Avg EPS beat(12)-11.74%
EPS beat(16)6
Avg EPS beat(16)-8.44%
Revenue beat(2)2
Avg Revenue beat(2)2.19%
Min Revenue beat(2)2.09%
Max Revenue beat(2)2.3%
Revenue beat(4)3
Avg Revenue beat(4)2.08%
Min Revenue beat(4)-1.4%
Max Revenue beat(4)5.34%
Revenue beat(8)4
Avg Revenue beat(8)0.93%
Revenue beat(12)7
Avg Revenue beat(12)1.6%
Revenue beat(16)9
Avg Revenue beat(16)2.84%
PT rev (1m)8.24%
PT rev (3m)14.89%
EPS NQ rev (1m)-13.9%
EPS NQ rev (3m)-11.64%
EPS NY rev (1m)0%
EPS NY rev (3m)-5.92%
Revenue NQ rev (1m)2%
Revenue NQ rev (3m)0.57%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.49 | ||
| Fwd PE | 10.29 | ||
| P/S | 0.62 | ||
| P/FCF | 13.08 | ||
| P/OCF | 5.88 | ||
| P/B | 1.35 | ||
| P/tB | 1.47 | ||
| EV/EBITDA | 4.21 |
EPS(TTM)5.44
EY8.01%
EPS(NY)6.6
Fwd EY9.71%
FCF(TTM)5.2
FCFY7.65%
OCF(TTM)11.56
OCFY17.02%
SpS108.85
BVpS50.17
TBVpS46.18
PEG (NY)0.39
PEG (5Y)0.23
Graham Number78.36
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.72% | ||
| ROE | 9.66% | ||
| ROCE | 14.39% | ||
| ROIC | 11.08% | ||
| ROICexc | 12.93% | ||
| ROICexgc | 13.71% | ||
| OM | 10.86% | ||
| PM (TTM) | 4.45% | ||
| GM | 37.76% | ||
| FCFM | 4.77% |
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 Turnover1.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 3.65 | ||
| Debt/EBITDA | 0.88 | ||
| Cap/Depr | 119.4% | ||
| Cap/Sales | 5.85% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 67.39% | ||
| Profit Quality | 107.17% | ||
| Current Ratio | 1.92 | ||
| Quick Ratio | 1.27 | ||
| Altman-Z | 2.84 |
F-Score8
WACC8.83%
ROIC/WACC1.25
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 Y31.93%
EPS Next 2Y21.11%
EPS Next 3Y16.05%
EPS Next 5Y16.8%
Revenue 1Y (TTM)5.17%
Revenue growth 3Y10.81%
Revenue growth 5Y6.34%
Sales Q2Q%0.91%
Revenue Next Year2.2%
Revenue Next 2Y0.96%
Revenue Next 3Y2.08%
Revenue Next 5Y-0.46%
EBIT growth 1Y188.56%
EBIT growth 3Y-0.19%
EBIT growth 5Y74.29%
EBIT Next Year81.74%
EBIT Next 3Y25.28%
EBIT Next 5YN/A
FCF growth 1Y-35.35%
FCF growth 3Y-41.66%
FCF growth 5Y-15.47%
OCF growth 1Y-18.99%
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 6 / 10 and the dividend payout ratio is 46.35%.