NORSK HYDRO ASA (NHY.OL) Stock Fundamental Analysis
Europe - OSL:NHY - NO0005052605 - Common Stock
68.64 NOK
+0.38 (+0.56%)
Overall NHY gets a fundamental rating of 6 out of 10. We evaluated NHY against 42 industry peers in the Metals & Mining industry. NHY has an excellent profitability rating, but there are some minor concerns on its financial health. NHY may be a bit undervalued, certainly considering the very reasonable score on growth This makes NHY very considerable for value investing!
1. Profitability
1.1 Basic Checks
NHY had positive earnings in the past year.
NHY had a positive operating cash flow in the past year.
Each year in the past 5 years NHY has been profitable.
Each year in the past 5 years NHY had a positive operating cash flow.
1.2 Ratios
The Return On Assets of NHY (4.72%) is better than 71.43% of its industry peers.
Looking at the Return On Equity, with a value of 9.66%, NHY is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
NHY has a better Return On Invested Capital (11.08%) than 90.48% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NHY is in line with the industry average of 7.74%.
The 3 year average ROIC (9.64%) for NHY is below the current ROIC(11.08%), indicating increased profibility in the last year.
| 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
Looking at the Profit Margin, with a value of 4.45%, NHY is in line with its industry, outperforming 59.52% of the companies in the same industry.
In the last couple of years the Profit Margin of NHY has declined.
NHY has a Operating Margin (10.86%) which is comparable to the rest of the industry.
NHY's Operating Margin has improved in the last couple of years.
NHY has a better Gross Margin (37.76%) than 64.29% of its industry peers.
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so NHY is still creating some value.
Compared to 1 year ago, NHY has less shares outstanding
NHY has less shares outstanding than it did 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 2.85 indicates that NHY is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.85, NHY is doing good in the industry, outperforming 69.05% 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.
The Debt to FCF ratio of NHY (3.65) is better than 71.43% of its industry peers.
NHY has a Debt/Equity ratio of 0.30. This is a healthy value indicating a solid balance between debt and equity.
NHY has a Debt to Equity ratio (0.30) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 3.65 | ||
| Altman-Z | 2.85 |
ROIC/WACC1.22
WACC9.1%
2.3 Liquidity
A Current Ratio of 1.92 indicates that NHY should not have too much problems paying its short term obligations.
NHY has a Current ratio of 1.92. This is in the better half of the industry: NHY outperforms 61.90% 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 69.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.92 | ||
| Quick Ratio | 1.27 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 39.36% over the past year.
NHY shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 53.39% yearly.
NHY shows a small growth in Revenue. In the last year, the Revenue has grown by 5.17%.
The Revenue has been growing slightly by 6.34% on average over the past years.
EPS 1Y (TTM)39.36%
EPS 3Y-9.89%
EPS 5Y53.39%
EPS Q2Q%-32.82%
Revenue 1Y (TTM)5.17%
Revenue growth 3Y10.81%
Revenue growth 5Y6.34%
Sales Q2Q%2.92%
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 16.80% yearly.
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
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
NHY is valuated correctly with a Price/Earnings ratio of 12.66.
Compared to the rest of the industry, the Price/Earnings ratio of NHY indicates a somewhat cheap valuation: NHY is cheaper than 76.19% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of NHY to the average of the S&P500 Index (27.08), we can say NHY is valued rather cheaply.
With a Price/Forward Earnings ratio of 10.40, the valuation of NHY can be described as very reasonable.
73.81% of the companies in the same industry are more expensive than NHY, based on the Price/Forward Earnings ratio.
NHY is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.09, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.66 | ||
| Fwd PE | 10.4 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NHY is valued cheaper than 97.62% 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 88.10% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.21 | ||
| EV/EBITDA | 4.26 |
4.3 Compensation for Growth
NHY's 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.
NHY's earnings are expected to grow with 16.05% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.4
PEG (5Y)0.24
EPS Next 2Y21.11%
EPS Next 3Y16.05%
5. Dividend
5.1 Amount
NHY has a Yearly Dividend Yield of 3.17%. 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 83.33% of the companies in the same industry.
NHY's Dividend Yield is a higher than the S&P500 average which is at 2.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.17% |
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
NHY pays out 46.35% of its income as dividend. This is a bit on the high side, but may be sustainable.
NHY's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP46.35%
EPS Next 2Y21.11%
EPS Next 3Y16.05%
OSL:NHY (10/28/2025, 4:25:30 PM)
68.64
+0.38 (+0.56%)
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 Cap135.80B
Revenue(TTM)203.64B
Net Income(TTM)9.59B
Analysts71.43
Price Target69.56 (1.34%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.17% |
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)0.89%
PT rev (3m)7.09%
EPS NQ rev (1m)-10.31%
EPS NQ rev (3m)-6.36%
EPS NY rev (1m)0%
EPS NY rev (3m)-5.92%
Revenue NQ rev (1m)2.73%
Revenue NQ rev (3m)0.75%
Revenue NY rev (1m)0.43%
Revenue NY rev (3m)0.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.66 | ||
| Fwd PE | 10.4 | ||
| P/S | 0.63 | ||
| P/FCF | 13.21 | ||
| P/OCF | 5.94 | ||
| P/B | 1.37 | ||
| P/tB | 1.49 | ||
| EV/EBITDA | 4.26 |
EPS(TTM)5.42
EY7.9%
EPS(NY)6.6
Fwd EY9.62%
FCF(TTM)5.2
FCFY7.57%
OCF(TTM)11.56
OCFY16.85%
SpS108.85
BVpS50.17
TBVpS46.18
PEG (NY)0.4
PEG (5Y)0.24
Graham Number78.22
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 | 2.85 |
F-Score8
WACC9.1%
ROIC/WACC1.22
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)39.36%
EPS 3Y-9.89%
EPS 5Y53.39%
EPS Q2Q%-32.82%
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%2.92%
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%.