NISOURCE INC - NI 7 3/4 03/01/24 (NIMC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NIMC - US65473P1214
99.69 USD
-1.62 (-1.6%)
100.11 USD
+0.42 (+0.42%)
NIMC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 26 industry peers in the Multi-Utilities industry. NIMC has a medium profitability rating, but doesn't score so well on its financial health evaluation. While showing a medium growth rate, NIMC is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
NIMC had positive earnings in the past year.
NIMC had a positive operating cash flow in the past year.
1.2 Ratios
The Return On Assets of NIMC (2.40%) is comparable to the rest of the industry.
With a Return On Equity value of 9.25%, NIMC perfoms like the industry average, outperforming 40.74% of the companies in the same industry.
NIMC has a Return On Invested Capital of 4.21%. This is amongst the best in the industry. NIMC outperforms 81.48% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NIMC is in line with the industry average of 3.94%.
The last Return On Invested Capital (4.21%) for NIMC is above the 3 year average (3.94%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.4% | ||
| ROE | 9.25% | ||
| ROIC | 4.21% |
ROA(3y)1.55%
ROA(5y)1.16%
ROE(3y)5.42%
ROE(5y)4.12%
ROIC(3y)3.94%
ROIC(5y)3.52%
1.3 Margins
NIMC has a better Profit Margin (11.52%) than 66.67% of its industry peers.
In the last couple of years the Profit Margin of NIMC has grown nicely.
NIMC's Operating Margin of 22.44% is amongst the best of the industry. NIMC outperforms 85.19% of its industry peers.
In the last couple of years the Operating Margin of NIMC has remained more or less at the same level.
NIMC has a Gross Margin of 67.39%. This is in the better half of the industry: NIMC outperforms 66.67% of its industry peers.
NIMC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.44% | ||
| PM (TTM) | 11.52% | ||
| GM | 67.39% |
OM growth 3Y-7.46%
OM growth 5Y0.87%
PM growth 3Y26.68%
PM growth 5Y37.17%
GM growth 3Y-3.23%
GM growth 5Y-1.47%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), NIMC is destroying value.
The number of shares outstanding for NIMC has been increased compared to 1 year ago.
The debt/assets ratio for NIMC is higher compared to a year ago.
2.2 Solvency
NIMC has an Altman-Z score of 1.39. This is a bad value and indicates that NIMC is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of NIMC (1.39) is better than 100.00% of its industry peers.
A Debt/Equity ratio of 1.83 is on the high side and indicates that NIMC has dependencies on debt financing.
NIMC has a worse Debt to Equity ratio (1.83) than 77.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.83 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.39 |
ROIC/WACC0.56
WACC7.54%
2.3 Liquidity
A Current Ratio of 0.41 indicates that NIMC may have some problems paying its short term obligations.
NIMC's Current ratio of 0.41 is on the low side compared to the rest of the industry. NIMC is outperformed by 96.30% of its industry peers.
A Quick Ratio of 0.29 indicates that NIMC may have some problems paying its short term obligations.
NIMC has a Quick ratio of 0.29. This is amonst the worse of the industry: NIMC underperforms 96.30% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.41 | ||
| Quick Ratio | 0.29 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.44% over the past year.
The Earnings Per Share has been growing slightly by 3.97% on average over the past years.
The Revenue has been growing slightly by 4.20% in the past year.
NIMC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.72% yearly.
EPS 1Y (TTM)15.44%
EPS 3Y3.65%
EPS 5Y3.97%
EPS Q2Q%90%
Revenue 1Y (TTM)4.2%
Revenue growth 3Y3.95%
Revenue growth 5Y3.72%
Sales Q2Q%-5.7%
3.2 Future
Based on estimates for the next years, NIMC will show a small growth in Earnings Per Share. The EPS will grow by 8.00% on average per year.
The Revenue is expected to grow by 6.37% on average over the next years.
EPS Next Y11.15%
EPS Next 2Y9.32%
EPS Next 3Y8.78%
EPS Next 5Y8%
Revenue Next Year9.33%
Revenue Next 2Y7.23%
Revenue Next 3Y6.8%
Revenue Next 5Y6.37%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 63.50, which means the current valuation is very expensive for NIMC.
Based on the Price/Earnings ratio, NIMC is valued more expensive than 92.59% of the companies in the same industry.
NIMC is valuated expensively when we compare the Price/Earnings ratio to 27.00, which is the current average of the S&P500 Index.
NIMC is valuated quite expensively with a Price/Forward Earnings ratio of 56.75.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NIMC indicates a rather expensive valuation: NIMC more expensive than 96.30% of the companies listed in the same industry.
NIMC is valuated expensively when we compare the Price/Forward Earnings ratio to 23.70, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 63.5 | ||
| Fwd PE | 56.75 |
4.2 Price Multiples
92.59% of the companies in the same industry are cheaper than NIMC, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 24.1 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
NIMC has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)5.7
PEG (5Y)16
EPS Next 2Y9.32%
EPS Next 3Y8.78%
5. Dividend
5.1 Amount
NIMC has a Yearly Dividend Yield of 3.78%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 4.62, NIMC pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 1.94, NIMC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.78% |
5.2 History
The dividend of NIMC is nicely growing with an annual growth rate of 9.01%!
NIMC has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)9.01%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
NIMC pays out 69.08% of its income as dividend. This is not a sustainable payout ratio.
NIMC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP69.08%
EPS Next 2Y9.32%
EPS Next 3Y8.78%
NISOURCE INC - NI 7 3/4 03/01/24
NYSE:NIMC (11/30/2023, 8:14:03 PM)
After market: 100.11 +0.42 (+0.42%)99.69
-1.62 (-1.6%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst OwnersN/A
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap41.21B
Revenue(TTM)5.79B
Net Income(TTM)666.90M
Analysts85.71
Price Target117.79 (18.16%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.78% |
Yearly Dividend1.07
Dividend Growth(5Y)9.01%
DP69.08%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.97%
Min EPS beat(2)1.1%
Max EPS beat(2)16.84%
EPS beat(4)3
Avg EPS beat(4)4.61%
Min EPS beat(4)-0.55%
Max EPS beat(4)16.84%
EPS beat(8)4
Avg EPS beat(8)-0.12%
EPS beat(12)6
Avg EPS beat(12)0.6%
EPS beat(16)9
Avg EPS beat(16)18.05%
Revenue beat(2)0
Avg Revenue beat(2)-6.66%
Min Revenue beat(2)-8.02%
Max Revenue beat(2)-5.3%
Revenue beat(4)2
Avg Revenue beat(4)2.09%
Min Revenue beat(4)-8.02%
Max Revenue beat(4)19.45%
Revenue beat(8)5
Avg Revenue beat(8)2.3%
Revenue beat(12)5
Avg Revenue beat(12)-2.53%
Revenue beat(16)5
Avg Revenue beat(16)-5.28%
PT rev (1m)-2.44%
PT rev (3m)-0.46%
EPS NQ rev (1m)3.77%
EPS NQ rev (3m)1.11%
EPS NY rev (1m)0.47%
EPS NY rev (3m)0.59%
Revenue NQ rev (1m)-0.98%
Revenue NQ rev (3m)-6.49%
Revenue NY rev (1m)0.33%
Revenue NY rev (3m)-0.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 63.5 | ||
| Fwd PE | 56.75 | ||
| P/S | 7.12 | ||
| P/FCF | N/A | ||
| P/OCF | 21.59 | ||
| P/B | 5.71 | ||
| P/tB | 7.2 | ||
| EV/EBITDA | 24.1 |
EPS(TTM)1.57
EY1.57%
EPS(NY)1.76
Fwd EY1.76%
FCF(TTM)-1.98
FCFYN/A
OCF(TTM)4.62
OCFY4.63%
SpS14
BVpS17.44
TBVpS13.85
PEG (NY)5.7
PEG (5Y)16
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.4% | ||
| ROE | 9.25% | ||
| ROCE | 5.54% | ||
| ROIC | 4.21% | ||
| ROICexc | 4.22% | ||
| ROICexgc | 4.47% | ||
| OM | 22.44% | ||
| PM (TTM) | 11.52% | ||
| GM | 67.39% | ||
| FCFM | N/A |
ROA(3y)1.55%
ROA(5y)1.16%
ROE(3y)5.42%
ROE(5y)4.12%
ROIC(3y)3.94%
ROIC(5y)3.52%
ROICexc(3y)3.96%
ROICexc(5y)3.54%
ROICexgc(3y)4.24%
ROICexgc(5y)3.8%
ROCE(3y)4.96%
ROCE(5y)4.49%
ROICexgc growth 3Y-8.73%
ROICexgc growth 5Y-2.06%
ROICexc growth 3Y-8.4%
ROICexc growth 5Y-1.1%
OM growth 3Y-7.46%
OM growth 5Y0.87%
PM growth 3Y26.68%
PM growth 5Y37.17%
GM growth 3Y-3.23%
GM growth 5Y-1.47%
F-Score5
Asset Turnover0.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.83 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.11 | ||
| Cap/Depr | 314.55% | ||
| Cap/Sales | 47.12% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 88.14% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.41 | ||
| Quick Ratio | 0.29 | ||
| Altman-Z | 1.39 |
F-Score5
WACC7.54%
ROIC/WACC0.56
Cap/Depr(3y)269.97%
Cap/Depr(5y)279.51%
Cap/Sales(3y)40.25%
Cap/Sales(5y)39.02%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)15.44%
EPS 3Y3.65%
EPS 5Y3.97%
EPS Q2Q%90%
EPS Next Y11.15%
EPS Next 2Y9.32%
EPS Next 3Y8.78%
EPS Next 5Y8%
Revenue 1Y (TTM)4.2%
Revenue growth 3Y3.95%
Revenue growth 5Y3.72%
Sales Q2Q%-5.7%
Revenue Next Year9.33%
Revenue Next 2Y7.23%
Revenue Next 3Y6.8%
Revenue Next 5Y6.37%
EBIT growth 1Y20.26%
EBIT growth 3Y-3.81%
EBIT growth 5Y4.62%
EBIT Next Year76.04%
EBIT Next 3Y29.12%
EBIT Next 5Y21.31%
FCF growth 1Y-16.23%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y61.15%
OCF growth 3Y-3.8%
OCF growth 5Y13.68%
NISOURCE INC - NI 7 3/4 03/01/24 / NIMC FAQ
What is the ChartMill fundamental rating of NISOURCE INC - NI 7 3/4 03/01/24 (NIMC) stock?
ChartMill assigns a fundamental rating of 4 / 10 to NIMC.
What is the valuation status for NIMC stock?
ChartMill assigns a valuation rating of 1 / 10 to NISOURCE INC - NI 7 3/4 03/01/24 (NIMC). This can be considered as Overvalued.
What is the profitability of NIMC stock?
NISOURCE INC - NI 7 3/4 03/01/24 (NIMC) has a profitability rating of 7 / 10.
How financially healthy is NISOURCE INC - NI 7 3/4 03/01/24?
The financial health rating of NISOURCE INC - NI 7 3/4 03/01/24 (NIMC) is 1 / 10.
Can you provide the dividend sustainability for NIMC stock?
The dividend rating of NISOURCE INC - NI 7 3/4 03/01/24 (NIMC) is 4 / 10 and the dividend payout ratio is 69.08%.