NOKIA CORP-SPON ADR (NOK) Stock Fundamental Analysis
USA - NYSE:NOK - US6549022043 - ADR
7.33 USD
-0.44 (-5.66%)
7.1301 USD
-0.2 (-2.73%)
Taking everything into account, NOK scores 5 out of 10 in our fundamental rating. NOK was compared to 48 industry peers in the Communications Equipment industry. Both the profitability and the financial health of NOK get a neutral evaluation. Nothing too spectacular is happening here. NOK has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
NOK had positive earnings in the past year.
In the past year NOK had a positive cash flow from operations.
NOK had positive earnings in 4 of the past 5 years.
In the past 5 years NOK always reported a positive cash flow from operatings.
1.2 Ratios
NOK's Return On Assets of 2.57% is fine compared to the rest of the industry. NOK outperforms 62.50% of its industry peers.
Looking at the Return On Equity, with a value of 4.74%, NOK is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
NOK has a Return On Invested Capital (2.86%) which is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for NOK is significantly below the industry average of 12.95%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.57% | ||
| ROE | 4.74% | ||
| ROIC | 2.86% |
ROA(3y)4.94%
ROA(5y)2.38%
ROE(3y)9.78%
ROE(5y)3.69%
ROIC(3y)4.03%
ROIC(5y)4.01%
1.3 Margins
With a decent Profit Margin value of 4.70%, NOK is doing good in the industry, outperforming 66.67% of the companies in the same industry.
NOK's Profit Margin has improved in the last couple of years.
NOK has a better Operating Margin (6.02%) than 66.67% of its industry peers.
NOK's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 43.88%, NOK is doing good in the industry, outperforming 60.42% of the companies in the same industry.
NOK's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.02% | ||
| PM (TTM) | 4.7% | ||
| GM | 43.88% |
OM growth 3Y-3.28%
OM growth 5Y14.2%
PM growth 3Y-3.13%
PM growth 5Y194.44%
GM growth 3Y5.04%
GM growth 5Y5.25%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so NOK is destroying value.
The number of shares outstanding for NOK has been reduced compared to 1 year ago.
NOK has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, NOK has an improved debt to assets ratio.
2.2 Solvency
NOK has an Altman-Z score of 2.75. This is not the best score and indicates that NOK is in the grey zone with still only limited risk for bankruptcy at the moment.
NOK has a Altman-Z score (2.75) which is in line with its industry peers.
NOK has a debt to FCF ratio of 3.16. This is a good value and a sign of high solvency as NOK would need 3.16 years to pay back of all of its debts.
NOK has a Debt to FCF ratio (3.16) which is comparable to the rest of the industry.
NOK has a Debt/Equity ratio of 0.16. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.16, NOK perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 3.16 | ||
| Altman-Z | 2.75 |
ROIC/WACC0.4
WACC7.22%
2.3 Liquidity
NOK has a Current Ratio of 1.48. This is a normal value and indicates that NOK is financially healthy and should not expect problems in meeting its short term obligations.
NOK has a worse Current ratio (1.48) than 72.92% of its industry peers.
A Quick Ratio of 1.23 indicates that NOK should not have too much problems paying its short term obligations.
NOK's Quick ratio of 1.23 is on the low side compared to the rest of the industry. NOK is outperformed by 64.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.48 | ||
| Quick Ratio | 1.23 |
3. Growth
3.1 Past
NOK shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by 0.00%.
Measured over the past years, NOK shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.14% on average per year.
The Revenue has been growing slightly by 3.04% in the past year.
Measured over the past years, NOK shows a decrease in Revenue. The Revenue has been decreasing by -3.79% on average per year.
EPS 1Y (TTM)0%
EPS 3Y1.77%
EPS 5Y11.14%
EPS Q2Q%0%
Revenue 1Y (TTM)3.04%
Revenue growth 3Y-4.69%
Revenue growth 5Y-3.79%
Sales Q2Q%11.6%
3.2 Future
Based on estimates for the next years, NOK will show a decrease in Earnings Per Share. The EPS will decrease by -1.04% on average per year.
Based on estimates for the next years, NOK will show a small growth in Revenue. The Revenue will grow by 2.53% on average per year.
EPS Next Y-30.06%
EPS Next 2Y-6.46%
EPS Next 3Y-1.18%
EPS Next 5Y-1.04%
Revenue Next Year3.32%
Revenue Next 2Y3.45%
Revenue Next 3Y3.06%
Revenue Next 5Y2.53%
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 decreasing.
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 19.81, which indicates a rather expensive current valuation of NOK.
NOK's Price/Earnings ratio is a bit cheaper when compared to the industry. NOK is cheaper than 70.83% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.76. NOK is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 18.10, NOK is valued on the expensive side.
Based on the Price/Forward Earnings ratio, NOK is valued a bit cheaper than the industry average as 68.75% of the companies are valued more expensively.
NOK is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.63, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.81 | ||
| Fwd PE | 18.1 |
4.2 Price Multiples
75.00% of the companies in the same industry are more expensive than NOK, based on the Enterprise Value to EBITDA ratio.
64.58% of the companies in the same industry are more expensive than NOK, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.32 | ||
| EV/EBITDA | 14.45 |
4.3 Compensation for Growth
NOK has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.78
EPS Next 2Y-6.46%
EPS Next 3Y-1.18%
5. Dividend
5.1 Amount
NOK has a Yearly Dividend Yield of 2.57%.
NOK's Dividend Yield is rather good when compared to the industry average which is at 3.53. NOK pays more dividend than 87.50% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.31, NOK has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.57% |
5.2 History
The dividend of NOK has a limited annual growth rate of 5.44%.
NOK has been paying a dividend for at least 10 years, so it has a reliable track record.
NOK has decreased its dividend in the last 3 years.
Dividend Growth(5Y)5.44%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
81.90% of the earnings are spent on dividend by NOK. This is not a sustainable payout ratio.
NOK's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP81.9%
EPS Next 2Y-6.46%
EPS Next 3Y-1.18%
7.33
-0.44 (-5.66%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners36.69%
Inst Owner Change-0.53%
Ins Owners0.1%
Ins Owner ChangeN/A
Market Cap39.43B
Revenue(TTM)19.75B
Net Income(TTM)928.00M
Analysts71.67
Price Target5.87 (-19.92%)
Short Float %0.88%
Short Ratio1.26
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.57% |
Yearly Dividend0.16
Dividend Growth(5Y)5.44%
DP81.9%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-4.03%
Min EPS beat(2)-24.77%
Max EPS beat(2)16.71%
EPS beat(4)2
Avg EPS beat(4)-1.21%
Min EPS beat(4)-27.18%
Max EPS beat(4)30.42%
EPS beat(8)4
Avg EPS beat(8)-0.71%
EPS beat(12)5
Avg EPS beat(12)-3.87%
EPS beat(16)9
Avg EPS beat(16)-1.37%
Revenue beat(2)1
Avg Revenue beat(2)-3.52%
Min Revenue beat(2)-7.83%
Max Revenue beat(2)0.79%
Revenue beat(4)2
Avg Revenue beat(4)-2.39%
Min Revenue beat(4)-7.83%
Max Revenue beat(4)1.17%
Revenue beat(8)2
Avg Revenue beat(8)-6.37%
Revenue beat(12)3
Avg Revenue beat(12)-5.91%
Revenue beat(16)4
Avg Revenue beat(16)-4.64%
PT rev (1m)-2.64%
PT rev (3m)-1.16%
EPS NQ rev (1m)-6.95%
EPS NQ rev (3m)-22.3%
EPS NY rev (1m)0%
EPS NY rev (3m)-15.55%
Revenue NQ rev (1m)-0.64%
Revenue NQ rev (3m)-3.49%
Revenue NY rev (1m)-0.17%
Revenue NY rev (3m)-2.97%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.81 | ||
| Fwd PE | 18.1 | ||
| P/S | 1.72 | ||
| P/FCF | 26.32 | ||
| P/OCF | 17.81 | ||
| P/B | 1.73 | ||
| P/tB | 2.81 | ||
| EV/EBITDA | 14.45 |
EPS(TTM)0.37
EY5.05%
EPS(NY)0.4
Fwd EY5.52%
FCF(TTM)0.28
FCFY3.8%
OCF(TTM)0.41
OCFY5.62%
SpS4.27
BVpS4.23
TBVpS2.61
PEG (NY)N/A
PEG (5Y)1.78
Graham Number5.94
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.57% | ||
| ROE | 4.74% | ||
| ROCE | 4.51% | ||
| ROIC | 2.86% | ||
| ROICexc | 3.72% | ||
| ROICexgc | 5.91% | ||
| OM | 6.02% | ||
| PM (TTM) | 4.7% | ||
| GM | 43.88% | ||
| FCFM | 6.52% |
ROA(3y)4.94%
ROA(5y)2.38%
ROE(3y)9.78%
ROE(5y)3.69%
ROIC(3y)4.03%
ROIC(5y)4.01%
ROICexc(3y)5.79%
ROICexc(5y)5.89%
ROICexgc(3y)8.68%
ROICexgc(5y)9.27%
ROCE(3y)6.35%
ROCE(5y)6.32%
ROICexgc growth 3Y-10.42%
ROICexgc growth 5Y11%
ROICexc growth 3Y-8.64%
ROICexc growth 5Y12.18%
OM growth 3Y-3.28%
OM growth 5Y14.2%
PM growth 3Y-3.13%
PM growth 5Y194.44%
GM growth 3Y5.04%
GM growth 5Y5.25%
F-Score7
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 3.16 | ||
| Debt/EBITDA | 1.39 | ||
| Cap/Depr | 57.04% | ||
| Cap/Sales | 3.12% | ||
| Interest Coverage | 5.45 | ||
| Cash Conversion | 83.95% | ||
| Profit Quality | 138.79% | ||
| Current Ratio | 1.48 | ||
| Quick Ratio | 1.23 | ||
| Altman-Z | 2.75 |
F-Score7
WACC7.22%
ROIC/WACC0.4
Cap/Depr(3y)53.08%
Cap/Depr(5y)50.54%
Cap/Sales(3y)2.6%
Cap/Sales(5y)2.5%
Profit Quality(3y)92.93%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0%
EPS 3Y1.77%
EPS 5Y11.14%
EPS Q2Q%0%
EPS Next Y-30.06%
EPS Next 2Y-6.46%
EPS Next 3Y-1.18%
EPS Next 5Y-1.04%
Revenue 1Y (TTM)3.04%
Revenue growth 3Y-4.69%
Revenue growth 5Y-3.79%
Sales Q2Q%11.6%
Revenue Next Year3.32%
Revenue Next 2Y3.45%
Revenue Next 3Y3.06%
Revenue Next 5Y2.53%
EBIT growth 1Y-26.89%
EBIT growth 3Y-7.82%
EBIT growth 5Y9.88%
EBIT Next Year10.01%
EBIT Next 3Y12.49%
EBIT Next 5Y8.23%
FCF growth 1Y288.3%
FCF growth 3Y-0.72%
FCF growth 5YN/A
OCF growth 1Y13500%
OCF growth 3Y-1.71%
OCF growth 5Y44.92%
NOKIA CORP-SPON ADR / NOK FAQ
Can you provide the ChartMill fundamental rating for NOKIA CORP-SPON ADR?
ChartMill assigns a fundamental rating of 5 / 10 to NOK.
What is the valuation status of NOKIA CORP-SPON ADR (NOK) stock?
ChartMill assigns a valuation rating of 4 / 10 to NOKIA CORP-SPON ADR (NOK). This can be considered as Fairly Valued.
Can you provide the profitability details for NOKIA CORP-SPON ADR?
NOKIA CORP-SPON ADR (NOK) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for NOK stock?
The Price/Earnings (PE) ratio for NOKIA CORP-SPON ADR (NOK) is 19.81 and the Price/Book (PB) ratio is 1.73.
What is the financial health of NOKIA CORP-SPON ADR (NOK) stock?
The financial health rating of NOKIA CORP-SPON ADR (NOK) is 5 / 10.