NIELSEN HOLDINGS PLC (NLSN) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NLSN - GB00BWFY5505 - Common Stock
27.98 USD
+0.01 (+0.04%)
27.99 USD
+0.01 (+0.04%)
We assign a fundamental rating of 2 out of 10 to NLSN. NLSN was compared to 88 industry peers in the Professional Services industry. Both the profitability and financial health of NLSN have multiple concerns. NLSN is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- In the past year NLSN was profitable.
- In the past year NLSN had a positive cash flow from operations.
1.2 Ratios
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.86% | ||
| ROE | 15.26% | ||
| ROIC | 6.42% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- NLSN's Profit Margin has improved in the last couple of years.
- In the last couple of years the Operating Margin of NLSN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.51% | ||
| PM (TTM) | 14.99% | ||
| GM | N/A |
OM growth 3Y28.76%
OM growth 5Y6.33%
PM growth 3YN/A
PM growth 5Y43.28%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- NLSN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- The number of shares outstanding for NLSN has been increased compared to 1 year ago.
- The debt/assets ratio for NLSN has been reduced compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 1.46, we must say that NLSN is in the distress zone and has some risk of bankruptcy.
- The Debt to FCF ratio of NLSN is 8.68, which is on the high side as it means it would take NLSN, 8.68 years of fcf income to pay off all of its debts.
- A Debt/Equity ratio of 1.61 is on the high side and indicates that NLSN has dependencies on debt financing.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.61 | ||
| Debt/FCF | 8.68 | ||
| Altman-Z | 1.46 |
ROIC/WACC0.88
WACC7.27%
2.3 Liquidity
- A Current Ratio of 2.04 indicates that NLSN has no problem at all paying its short term obligations.
- NLSN has a Quick Ratio of 2.04. This indicates that NLSN is financially healthy and has no problem in meeting its short term obligations.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.04 | ||
| Quick Ratio | 2.04 |
3. Growth
3.1 Past
- NLSN shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -2.15%.
- The Earnings Per Share has been decreasing by -6.84% on average over the past years.
- The Revenue for NLSN has decreased by -28.72% in the past year. This is quite bad
- The Revenue for NLSN have been decreasing by -11.12% on average. This is quite bad
EPS 1Y (TTM)-2.15%
EPS 3Y23.97%
EPS 5Y-6.84%
EPS Q2Q%6.98%
Revenue 1Y (TTM)-28.72%
Revenue growth 3Y-18.71%
Revenue growth 5Y-11.12%
Sales Q2Q%2.44%
3.2 Future
- NLSN is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.62% yearly.
- NLSN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.21% yearly.
EPS Next Y6.17%
EPS Next 2Y5.15%
EPS Next 3Y6.05%
EPS Next 5Y5.62%
Revenue Next Year2.38%
Revenue Next 2Y3.15%
Revenue Next 3Y3.41%
Revenue Next 5Y3.21%
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
- With a Price/Earnings ratio of 15.37, NLSN is valued correctly.
- The average S&P500 Price/Earnings ratio is at 26.94. NLSN is valued slightly cheaper when compared to this.
- Based on the Price/Forward Earnings ratio of 13.98, the valuation of NLSN can be described as correct.
- The average S&P500 Price/Forward Earnings ratio is at 23.94. NLSN is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.37 | ||
| Fwd PE | 13.98 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.56 | ||
| EV/EBITDA | 11.18 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates NLSN does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)2.49
PEG (5Y)N/A
EPS Next 2Y5.15%
EPS Next 3Y6.05%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.86%, NLSN is not a good candidate for dividend investing.
- With a Dividend Yield of 0.86, NLSN pays less dividend than the S&P500 average, which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.86% |
5.2 History
- The dividend of NLSN decreases each year by -44.32%.
- NLSN has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-44.32%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
- NLSN pays out 16.23% of its income as dividend. This is a sustainable payout ratio.
DP16.23%
EPS Next 2Y5.15%
EPS Next 3Y6.05%
27.98
+0.01 (+0.04%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)07-27 2022-07-27/bmo
Earnings (Next)11-04 2022-11-04/bmo
Inst Owners0.01%
Inst Owner Change0%
Ins Owners10.9%
Ins Owner Change0%
Market Cap10.07B
Revenue(TTM)3.54B
Net Income(TTM)530.00M
Analysts71.43
Price Target28.56 (2.07%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.86% |
Yearly Dividend0.24
Dividend Growth(5Y)-44.32%
DP16.23%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.58%
Min EPS beat(2)6.72%
Max EPS beat(2)10.45%
EPS beat(4)4
Avg EPS beat(4)16.96%
Min EPS beat(4)6.72%
Max EPS beat(4)26.96%
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)0
Avg Revenue beat(2)-2.28%
Min Revenue beat(2)-2.35%
Max Revenue beat(2)-2.21%
Revenue beat(4)0
Avg Revenue beat(4)-1.93%
Min Revenue beat(4)-2.41%
Max Revenue beat(4)-0.73%
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)N/A
PT rev (3m)N/A
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.37 | ||
| Fwd PE | 13.98 | ||
| P/S | 2.85 | ||
| P/FCF | 15.56 | ||
| P/OCF | 10.25 | ||
| P/B | 2.9 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.18 |
EPS(TTM)1.82
EY6.5%
EPS(NY)2
Fwd EY7.15%
FCF(TTM)1.8
FCFY6.43%
OCF(TTM)2.73
OCFY9.75%
SpS9.82
BVpS9.65
TBVpS-15.24
PEG (NY)2.49
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.86% | ||
| ROE | 15.26% | ||
| ROCE | N/A | ||
| ROIC | 6.42% | ||
| ROICexc | N/A | ||
| ROICexgc | 51.61% | ||
| OM | 23.51% | ||
| PM (TTM) | 14.99% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y4.08%
ROICexgc growth 5Y-0.34%
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y28.76%
OM growth 5Y6.33%
PM growth 3YN/A
PM growth 5Y43.28%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.61 | ||
| Debt/FCF | 8.68 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 64.92% | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 122.08% | ||
| Current Ratio | 2.04 | ||
| Quick Ratio | 2.04 | ||
| Altman-Z | 1.46 |
F-Score6
WACC7.27%
ROIC/WACC0.88
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-2.15%
EPS 3Y23.97%
EPS 5Y-6.84%
EPS Q2Q%6.98%
EPS Next Y6.17%
EPS Next 2Y5.15%
EPS Next 3Y6.05%
EPS Next 5Y5.62%
Revenue 1Y (TTM)-28.72%
Revenue growth 3Y-18.71%
Revenue growth 5Y-11.12%
Sales Q2Q%2.44%
Revenue Next Year2.38%
Revenue Next 2Y3.15%
Revenue Next 3Y3.41%
Revenue Next 5Y3.21%
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y6.59%
FCF growth 3Y-15.47%
FCF growth 5Y-17.74%
OCF growth 1Y-12.94%
OCF growth 3Y-14.3%
OCF growth 5Y-12.47%
NIELSEN HOLDINGS PLC / NLSN FAQ
What is the ChartMill fundamental rating of NIELSEN HOLDINGS PLC (NLSN) stock?
ChartMill assigns a fundamental rating of 4 / 10 to NLSN.
What is the valuation status for NLSN stock?
ChartMill assigns a valuation rating of 3 / 10 to NIELSEN HOLDINGS PLC (NLSN). This can be considered as Overvalued.
What is the profitability of NLSN stock?
NIELSEN HOLDINGS PLC (NLSN) has a profitability rating of 4 / 10.
How financially healthy is NIELSEN HOLDINGS PLC?
The financial health rating of NIELSEN HOLDINGS PLC (NLSN) is 4 / 10.
What is the earnings growth outlook for NIELSEN HOLDINGS PLC?
The Earnings per Share (EPS) of NIELSEN HOLDINGS PLC (NLSN) is expected to grow by 6.17% in the next year.