NL INDUSTRIES (NL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NL - US6291564077 - Common Stock
6.32 USD
+0.15 (+2.43%)
Taking everything into account, NL scores 5 out of 10 in our fundamental rating. NL was compared to 80 industry peers in the Commercial Services & Supplies industry. While NL has a great health rating, its profitability is only average at the moment. NL has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- In the past year NL was profitable.
- NL had a negative operating cash flow in the past year.
- Of the past 5 years NL 4 years were profitable.
- Each year in the past 5 years NL had a positive operating cash flow.
1.2 Ratios
- NL has a Return On Assets (1.94%) which is in line with its industry peers.
- NL has a Return On Equity of 2.58%. This is comparable to the rest of the industry: NL outperforms 53.75% of its industry peers.
- NL has a Return On Invested Capital of 4.10%. This is comparable to the rest of the industry: NL outperforms 50.00% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for NL is significantly below the industry average of 10.54%.
- The 3 year average ROIC (2.83%) for NL is below the current ROIC(4.10%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.94% | ||
| ROE | 2.58% | ||
| ROIC | 4.1% |
ROA(3y)5.59%
ROA(5y)5.61%
ROE(3y)8.39%
ROE(5y)8.8%
ROIC(3y)2.83%
ROIC(5y)2.22%
1.3 Margins
- Looking at the Profit Margin, with a value of 6.10%, NL is in the better half of the industry, outperforming 73.75% of the companies in the same industry.
- NL's Profit Margin has improved in the last couple of years.
- NL's Operating Margin of 14.43% is amongst the best of the industry. NL outperforms 85.00% of its industry peers.
- NL's Operating Margin has been stable in the last couple of years.
- NL has a Gross Margin (29.65%) which is in line with its industry peers.
- NL's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.43% | ||
| PM (TTM) | 6.1% | ||
| GM | 29.65% |
OM growth 3Y12.25%
OM growth 5Y-0.9%
PM growth 3Y8.2%
PM growth 5Y17.27%
GM growth 3Y-2.23%
GM growth 5Y-2.03%
2. Health
2.1 Basic Checks
- NL has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- NL has about the same amout of shares outstanding than it did 1 year ago.
- NL has about the same amout of shares outstanding than it did 5 years ago.
- NL has a better debt/assets ratio than last year.
2.2 Solvency
- NL has an Altman-Z score of 3.05. This indicates that NL is financially healthy and has little risk of bankruptcy at the moment.
- NL has a Altman-Z score of 3.05. This is in the better half of the industry: NL outperforms 67.50% of its industry peers.
- NL has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
- Looking at the Debt to Equity ratio, with a value of 0.00, NL belongs to the top of the industry, outperforming 85.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.05 |
ROIC/WACC0.46
WACC8.83%
2.3 Liquidity
- A Current Ratio of 4.96 indicates that NL has no problem at all paying its short term obligations.
- The Current ratio of NL (4.96) is better than 90.00% of its industry peers.
- NL has a Quick Ratio of 4.08. This indicates that NL is financially healthy and has no problem in meeting its short term obligations.
- With an excellent Quick ratio value of 4.08, NL belongs to the best of the industry, outperforming 90.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.96 | ||
| Quick Ratio | 4.08 |
3. Growth
3.1 Past
- The earnings per share for NL have decreased strongly by -83.35% in the last year.
- Measured over the past years, NL shows a very strong growth in Earnings Per Share. The EPS has been growing by 21.03% on average per year.
- NL shows a small growth in Revenue. In the last year, the Revenue has grown by 5.52%.
- Measured over the past years, NL shows a small growth in Revenue. The Revenue has been growing by 3.28% on average per year.
EPS 1Y (TTM)-83.35%
EPS 3Y9.44%
EPS 5Y21.03%
EPS Q2Q%-121.85%
Revenue 1Y (TTM)5.52%
Revenue growth 3Y1.2%
Revenue growth 5Y3.28%
Sales Q2Q%18.81%
3.2 Future
- NL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.50% yearly.
- Based on estimates for the next years, NL will show a small growth in Revenue. The Revenue will grow by 2.47% on average per year.
EPS Next Y16.22%
EPS Next 2Y11.5%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year2.5%
Revenue Next 2Y2.47%
Revenue Next 3YN/A
Revenue Next 5YN/A
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
- With a Price/Earnings ratio of 19.15, NL is valued on the expensive side.
- Based on the Price/Earnings ratio, NL is valued a bit cheaper than 73.75% of the companies in the same industry.
- When comparing the Price/Earnings ratio of NL to the average of the S&P500 Index (27.30), we can say NL is valued slightly cheaper.
- Based on the Price/Forward Earnings ratio of 6.67, the valuation of NL can be described as very cheap.
- 93.75% of the companies in the same industry are more expensive than NL, based on the Price/Forward Earnings ratio.
- NL's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.04.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.15 | ||
| Fwd PE | 6.67 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NL indicates a somewhat cheap valuation: NL is cheaper than 80.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.51 |
4.3 Compensation for Growth
- NL's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.18
PEG (5Y)0.91
EPS Next 2Y11.5%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 6.26%, NL is a good candidate for dividend investing.
- NL's Dividend Yield is rather good when compared to the industry average which is at 0.88. NL pays more dividend than 98.75% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.92, NL pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.26% |
5.2 History
- NL has paid a dividend for at least 10 years, which is a reliable track record.
- NL has decreased its dividend recently.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- NL pays out 282.22% of its income as dividend. This is not a sustainable payout ratio.
DP282.22%
EPS Next 2Y11.5%
EPS Next 3YN/A
NYSE:NL (1/14/2026, 10:38:05 AM)
6.32
+0.15 (+2.43%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)11-06 2025-11-06/amc
Earnings (Next)03-04 2026-03-04/amc
Inst Owners12.6%
Inst Owner Change0%
Ins Owners0.34%
Ins Owner Change0%
Market Cap308.80M
Revenue(TTM)159.00M
Net Income(TTM)9.70M
Analysts37.78
Price Target6.12 (-3.16%)
Short Float %1.41%
Short Ratio3.92
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.26% |
Yearly Dividend0.75
Dividend Growth(5Y)N/A
DP282.22%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-131.21%
Min EPS beat(2)-167.54%
Max EPS beat(2)-94.89%
EPS beat(4)1
Avg EPS beat(4)-60.1%
Min EPS beat(4)-167.54%
Max EPS beat(4)55.71%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.15 | ||
| Fwd PE | 6.67 | ||
| P/S | 1.94 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.82 | ||
| P/tB | 0.89 | ||
| EV/EBITDA | 7.51 |
EPS(TTM)0.33
EY5.22%
EPS(NY)0.95
Fwd EY14.99%
FCF(TTM)-0.55
FCFYN/A
OCF(TTM)-0.48
OCFYN/A
SpS3.25
BVpS7.68
TBVpS7.13
PEG (NY)1.18
PEG (5Y)0.91
Graham Number7.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.94% | ||
| ROE | 2.58% | ||
| ROCE | 4.93% | ||
| ROIC | 4.1% | ||
| ROICexc | 5.25% | ||
| ROICexgc | 5.68% | ||
| OM | 14.43% | ||
| PM (TTM) | 6.1% | ||
| GM | 29.65% | ||
| FCFM | N/A |
ROA(3y)5.59%
ROA(5y)5.61%
ROE(3y)8.39%
ROE(5y)8.8%
ROIC(3y)2.83%
ROIC(5y)2.22%
ROICexc(3y)4.05%
ROICexc(5y)3.14%
ROICexgc(3y)4.37%
ROICexgc(5y)3.38%
ROCE(3y)3.41%
ROCE(5y)2.67%
ROICexgc growth 3Y24.57%
ROICexgc growth 5Y7%
ROICexc growth 3Y23.73%
ROICexc growth 5Y6.65%
OM growth 3Y12.25%
OM growth 5Y-0.9%
PM growth 3Y8.2%
PM growth 5Y17.27%
GM growth 3Y-2.23%
GM growth 5Y-2.03%
F-Score3
Asset Turnover0.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.02 | ||
| Cap/Depr | 91.71% | ||
| Cap/Sales | 2.13% | ||
| Interest Coverage | 43.12 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 4.96 | ||
| Quick Ratio | 4.08 | ||
| Altman-Z | 3.05 |
F-Score3
WACC8.83%
ROIC/WACC0.46
Cap/Depr(3y)53.25%
Cap/Depr(5y)62.47%
Cap/Sales(3y)1.3%
Cap/Sales(5y)1.66%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-83.35%
EPS 3Y9.44%
EPS 5Y21.03%
EPS Q2Q%-121.85%
EPS Next Y16.22%
EPS Next 2Y11.5%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)5.52%
Revenue growth 3Y1.2%
Revenue growth 5Y3.28%
Sales Q2Q%18.81%
Revenue Next Year2.5%
Revenue Next 2Y2.47%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y81.88%
EBIT growth 3Y13.6%
EBIT growth 5Y2.35%
EBIT Next Year62.5%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-193.87%
FCF growth 3Y21.38%
FCF growth 5Y-0.05%
OCF growth 1Y-178.36%
OCF growth 3Y13.26%
OCF growth 5Y-1.37%
NL INDUSTRIES / NL FAQ
What is the fundamental rating for NL stock?
ChartMill assigns a fundamental rating of 5 / 10 to NL.
What is the valuation status of NL INDUSTRIES (NL) stock?
ChartMill assigns a valuation rating of 5 / 10 to NL INDUSTRIES (NL). This can be considered as Fairly Valued.
What is the profitability of NL stock?
NL INDUSTRIES (NL) has a profitability rating of 5 / 10.
What are the PE and PB ratios of NL INDUSTRIES (NL) stock?
The Price/Earnings (PE) ratio for NL INDUSTRIES (NL) is 19.15 and the Price/Book (PB) ratio is 0.82.
Can you provide the dividend sustainability for NL stock?
The dividend rating of NL INDUSTRIES (NL) is 5 / 10 and the dividend payout ratio is 282.22%.