NISOURCE INC - NI 7 3/4 03/01/24 (NIMC) Stock Fundamental Analysis
USA - NYSE:NIMC - US65473P1214
99.69 USD
-1.62 (-1.6%)
100.11 USD
+0.42 (+0.42%)
Taking everything into account, NIMC scores 4 out of 10 in our fundamental rating. NIMC was compared to 26 industry peers in the Multi-Utilities industry. While NIMC belongs to the best of the industry regarding profitability, there are concerns on its financial health. NIMC is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year NIMC was profitable.
NIMC had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: NIMC reported negative net income in multiple years.
In the past 5 years NIMC always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 2.40%, NIMC perfoms like the industry average, outperforming 48.15% of the companies in the same industry.
NIMC has a Return On Equity of 9.25%. This is comparable to the rest of the industry: NIMC outperforms 40.74% of its industry peers.
NIMC's Return On Invested Capital of 4.21% is amongst the best of 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 3.84%.
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 Profit Margin of 11.52%. This is in the better half of the industry: NIMC outperforms 66.67% of its industry peers.
NIMC's Profit Margin has improved in the last couple of years.
NIMC has a Operating Margin of 22.44%. This is amongst the best in the industry. NIMC outperforms 85.19% of its industry peers.
NIMC's Operating Margin has been stable in the last couple of years.
With a decent Gross Margin value of 67.39%, NIMC is doing good in the industry, outperforming 66.67% of the companies in the same industry.
In the last couple of years the Gross Margin of NIMC has remained more or less at the same level.
| 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.
Compared to 1 year ago, NIMC has a worse debt to assets ratio.
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 Debt to Equity ratio of 1.83. This is in the lower half of the industry: NIMC underperforms 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 has a Current ratio of 0.41. This is amonst the worse of the industry: NIMC underperforms 96.30% of its industry peers.
NIMC has a Quick Ratio of 0.41. This is a bad value and indicates that NIMC is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of NIMC (0.29) is worse than 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.
Measured over the past 5 years, NIMC shows a small growth in Earnings Per Share. The EPS has been growing by 3.97% on average per year.
NIMC shows a small growth in Revenue. In the last year, the Revenue has grown by 4.20%.
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
The Earnings Per Share is expected to grow by 8.00% on average over the next years.
Based on estimates for the next years, NIMC will show a small growth in Revenue. The Revenue will grow by 6.37% on average per year.
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
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 63.50 indicates a quite expensive valuation of NIMC.
Compared to the rest of the industry, the Price/Earnings ratio of NIMC indicates a rather expensive valuation: NIMC more expensive than 92.59% of the companies listed in the same industry.
NIMC's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.19.
A Price/Forward Earnings ratio of 56.75 indicates a quite expensive valuation of NIMC.
NIMC's Price/Forward Earnings ratio is rather expensive when compared to the industry. NIMC is more expensive than 96.30% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.50, NIMC is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 63.5 | ||
| Fwd PE | 56.75 |
4.2 Price Multiples
NIMC's Enterprise Value to EBITDA ratio is rather expensive when compared to the industry. NIMC is more expensive than 92.59% of the companies in the same industry.
| 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 NIMC does not grow enough to justify the current Price/Earnings ratio.
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%.
NIMC's Dividend Yield is a higher than the industry average which is at 3.69.
NIMC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.33.
| 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 paid a dividend for less than 5 years, so there is no long track record yet.
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 of NISOURCE INC - NI 7 3/4 03/01/24 (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.
Can you provide the expected EPS growth for NIMC stock?
The Earnings per Share (EPS) of NISOURCE INC - NI 7 3/4 03/01/24 (NIMC) is expected to grow by 11.15% in the next year.
Is the dividend of NISOURCE INC - NI 7 3/4 03/01/24 sustainable?
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%.