NOMURA HOLDINGS INC-SPON ADR (NMR)
US65535H2085 - ADR
We assign a fundamental rating of 3 out of 10 to NMR. NMR was compared to 212 industry peers in the Capital Markets industry. Both the profitability and financial health of NMR have multiple concerns. NMR is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year NMR was profitable.
In the past year NMR had a positive cash flow from operations.
Of the past 5 years NMR 4 years were profitable.
NMR had negative operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.21%, NMR is doing worse than 73.68% of the companies in the same industry.
NMR has a Return On Equity of 3.55%. This is in the lower half of the industry: NMR underperforms 70.33% of its industry peers.
The Return On Invested Capital of NMR (0.26%) is worse than 78.95% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NMR is significantly below the industry average of 10.67%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.21% | ||
| ROE | 3.55% | ||
| ROIC | 0.26% |
ROA(3y)0.29%
ROA(5y)0.23%
ROE(3y)4.51%
ROE(5y)3.58%
ROIC(3y)0.32%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of NMR (3.10%) is worse than 70.81% of its industry peers.
NMR's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 5.44%, NMR is not doing good in the industry: 80.38% of the companies in the same industry are doing better.
NMR's Operating Margin has declined in the last couple of years.
The Gross Margin of NMR (38.38%) is worse than 69.86% of its industry peers.
NMR's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.44% | ||
| PM (TTM) | 3.1% | ||
| GM | 38.38% |
OM growth 3Y-22.1%
OM growth 5Y-18.42%
PM growth 3Y-30.5%
PM growth 5Y-19.62%
GM growth 3Y-6.62%
GM growth 5Y-6.68%
2. Health
2.1 Basic Checks
The number of shares outstanding for NMR has been reduced compared to 1 year ago.
NMR has less shares outstanding than it did 5 years ago.
NMR has a worse debt/assets ratio than last year.
2.2 Solvency
NMR has an Altman-Z score of -0.34. This is a bad value and indicates that NMR is not financially healthy and even has some risk of bankruptcy.
NMR's Altman-Z score of -0.34 is on the low side compared to the rest of the industry. NMR is outperformed by 87.56% of its industry peers.
NMR has a debt to FCF ratio of 86.73. This is a negative value and a sign of low solvency as NMR would need 86.73 years to pay back of all of its debts.
NMR has a Debt to FCF ratio of 86.73. This is comparable to the rest of the industry: NMR outperforms 41.15% of its industry peers.
A Debt/Equity ratio of 10.87 is on the high side and indicates that NMR has dependencies on debt financing.
NMR's Debt to Equity ratio of 10.87 is on the low side compared to the rest of the industry. NMR is outperformed by 89.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 10.87 | ||
| Debt/FCF | 86.73 | ||
| Altman-Z | -0.34 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.21 indicates that NMR may have some problems paying its short term obligations.
The Current ratio of NMR (0.21) is worse than 81.82% of its industry peers.
A Quick Ratio of 0.21 indicates that NMR may have some problems paying its short term obligations.
NMR has a worse Quick ratio (0.21) than 81.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.21 | ||
| Quick Ratio | 0.21 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 0.59% over the past year.
NMR shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -13.34% yearly.
The Revenue has grown by 77.07% in the past year. This is a very strong growth!
NMR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.75% yearly.
EPS 1Y (TTM)0.59%
EPS 3Y-23.06%
EPS 5Y-13.34%
EPS growth Q2Q-26.98%
Revenue 1Y (TTM)77.07%
Revenue growth 3Y8.4%
Revenue growth 5Y4.75%
Revenue growth Q2Q39.92%
3.2 Future
Based on estimates for the next years, NMR will show a very strong growth in Earnings Per Share. The EPS will grow by 34.26% on average per year.
The Revenue is expected to grow by 1.20% on average over the next years.
EPS Next Y77.13%
EPS Next 2Y50.34%
EPS Next 3Y34.26%
EPS Next 5YN/A
Revenue Next Year0.41%
Revenue Next 2Y1.35%
Revenue Next 3Y1.2%
Revenue Next 5YN/A
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 21.56, which indicates a rather expensive current valuation of NMR.
Compared to the rest of the industry, the Price/Earnings ratio of NMR indicates a slightly more expensive valuation: NMR is more expensive than 66.99% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 28.28. NMR is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio of 11.95, the valuation of NMR can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NMR is on the same level as its industry peers.
NMR's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 20.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.56 | ||
| Fwd PE | 11.95 |
4.2 Price Multiples
NMR's Enterprise Value to EBITDA is on the same level as the industry average.
Based on the Price/Free Cash Flow ratio, NMR is valued cheaper than 83.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.37 | ||
| EV/EBITDA | 38.08 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
NMR's earnings are expected to grow with 34.26% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.28
PEG (5Y)N/A
EPS Next 2Y50.34%
EPS Next 3Y34.26%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.62%, NMR has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 7.27, NMR is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.41, NMR has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.62% |
5.2 History
The dividend of NMR decreases each year by -1.28%.
NMR has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of NMR decreased recently.
Dividend Growth(5Y)-1.28%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
51.65% of the earnings are spent on dividend by NMR. This is a bit on the high side, but may be sustainable.
DP51.65%
EPS Next 2Y50.34%
EPS Next 3Y34.26%
NOMURA HOLDINGS INC-SPON ADR
NYSE:NMR (5/3/2024, 7:08:51 PM)
After market: 5.82 0 (0%)5.82
+0.08 (+1.39%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap17.08B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.62% |
Dividend Growth(5Y)
DP
Div Incr Years
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Ex-Date
Surprises & Revisions
EPS beat(2)
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EPS beat(8)
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EPS beat(16)
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Revenue NQ rev (1m)
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Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.56 | ||
| Fwd PE | 11.95 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.28
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.21% | ||
| ROE | 3.55% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 5.44% | ||
| PM (TTM) | 3.1% | ||
| GM | 38.38% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 10.87 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.21 | ||
| Quick Ratio | 0.21 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)0.59%
EPS 3Y-23.06%
EPS 5Y
EPS growth Q2Q
EPS Next Y77.13%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)77.07%
Revenue growth 3Y8.4%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
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