NOKIA CORP-SPON ADR (NOK) Stock Fundamental Analysis
USA - NYSE:NOK - US6549022043 - ADR
6.97 USD
+0.13 (+1.9%)
6.94 USD
-0.03 (-0.43%)
Overall NOK gets a fundamental rating of 5 out of 10. We evaluated NOK against 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 is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year NOK was profitable.
In the past year NOK had a positive cash flow from operations.
Of the past 5 years NOK 4 years were profitable.
NOK had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.57%, NOK is in the better half of the industry, outperforming 64.58% of the companies in the same industry.
Looking at the Return On Equity, with a value of 4.74%, NOK is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
The Return On Invested Capital of NOK (2.86%) is comparable to the rest of the industry.
NOK had an Average Return On Invested Capital over the past 3 years of 4.03%. This is significantly below the industry average of 13.01%.
| 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
NOK has a Profit Margin of 4.70%. This is in the better half of the industry: NOK outperforms 66.67% of its industry peers.
NOK's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 6.02%, NOK is in the better half of the industry, outperforming 64.58% of the companies in the same industry.
In the last couple of years the Operating Margin of NOK has grown nicely.
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.
In the last couple of years the Gross Margin of NOK has grown nicely.
| 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.
NOK has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, NOK has less shares outstanding
The debt/assets ratio for NOK has been reduced compared to a year ago.
2.2 Solvency
NOK has an Altman-Z score of 2.62. 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.
The Altman-Z score of NOK (2.62) is better than 60.42% of its industry peers.
The Debt to FCF ratio of NOK is 3.16, which is a good value as it means it would take NOK, 3.16 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of NOK (3.16) 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.
The Debt to Equity ratio of NOK (0.16) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 3.16 | ||
| Altman-Z | 2.62 |
ROIC/WACC0.4
WACC7.2%
2.3 Liquidity
A Current Ratio of 1.48 indicates that NOK should not have too much problems paying its short term obligations.
NOK's Current ratio of 1.48 is on the low side compared to the rest of the industry. NOK is outperformed by 68.75% of its industry peers.
A Quick Ratio of 1.23 indicates that NOK should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.23, NOK is not doing good in the industry: 60.42% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.48 | ||
| Quick Ratio | 1.23 |
3. Growth
3.1 Past
The earnings per share for NOK have decreased by 0.00% in the last year.
The Earnings Per Share has been growing by 11.14% on average over the past years. This is quite good.
NOK shows a small growth in Revenue. In the last year, the Revenue has grown by 3.04%.
The Revenue has been decreasing by -3.79% on average over the past years.
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
The Earnings Per Share is expected to grow by 0.30% on average over the next years.
The Revenue is expected to grow by 3.15% on average over the next years.
EPS Next Y-30.14%
EPS Next 2Y-5.39%
EPS Next 3Y-0.4%
EPS Next 5Y0.3%
Revenue Next Year3.74%
Revenue Next 2Y3.74%
Revenue Next 3Y3.4%
Revenue Next 5Y3.15%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
NOK is valuated rather expensively with a Price/Earnings ratio of 18.84.
NOK's Price/Earnings ratio is a bit cheaper when compared to the industry. NOK is cheaper than 72.92% of the companies in the same industry.
When comparing the Price/Earnings ratio of NOK to the average of the S&P500 Index (26.28), we can say NOK is valued slightly cheaper.
With a Price/Forward Earnings ratio of 16.91, NOK is valued correctly.
Based on the Price/Forward Earnings ratio, NOK is valued a bit cheaper than the industry average as 72.92% of the companies are valued more expensively.
NOK's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 33.61.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.84 | ||
| Fwd PE | 16.91 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NOK is valued a bit cheaper than 72.92% of the companies in the same industry.
68.75% 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 | 25.16 | ||
| EV/EBITDA | 12.89 |
4.3 Compensation for Growth
The decent profitability rating of NOK may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.69
EPS Next 2Y-5.39%
EPS Next 3Y-0.4%
5. Dividend
5.1 Amount
NOK has a Yearly Dividend Yield of 2.35%.
NOK's Dividend Yield is rather good when compared to the industry average which is at 3.24. NOK pays more dividend than 87.50% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.36, NOK has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.35% |
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
NOK pays out 81.90% of its income as dividend. This is not a sustainable payout ratio.
NOK's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP81.9%
EPS Next 2Y-5.39%
EPS Next 3Y-0.4%
6.97
+0.13 (+1.9%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners36.69%
Inst Owner Change4.75%
Ins Owners0.1%
Ins Owner ChangeN/A
Market Cap37.49B
Revenue(TTM)19.75B
Net Income(TTM)928.00M
Analysts70
Price Target5.93 (-14.92%)
Short Float %0.88%
Short Ratio1.26
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.35% |
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)9.44%
PT rev (3m)11.55%
EPS NQ rev (1m)-0.68%
EPS NQ rev (3m)2.97%
EPS NY rev (1m)1.93%
EPS NY rev (3m)-14.08%
Revenue NQ rev (1m)-1.14%
Revenue NQ rev (3m)-1.26%
Revenue NY rev (1m)0.41%
Revenue NY rev (3m)-0.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.84 | ||
| Fwd PE | 16.91 | ||
| P/S | 1.64 | ||
| P/FCF | 25.16 | ||
| P/OCF | 17.02 | ||
| P/B | 1.65 | ||
| P/tB | 2.68 | ||
| EV/EBITDA | 12.89 |
EPS(TTM)0.37
EY5.31%
EPS(NY)0.41
Fwd EY5.91%
FCF(TTM)0.28
FCFY3.98%
OCF(TTM)0.41
OCFY5.88%
SpS4.25
BVpS4.21
TBVpS2.6
PEG (NY)N/A
PEG (5Y)1.69
Graham Number5.92
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 | 2.62 |
F-Score7
WACC7.2%
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-30.14%
EPS Next 2Y-5.39%
EPS Next 3Y-0.4%
EPS Next 5Y0.3%
Revenue 1Y (TTM)3.04%
Revenue growth 3Y-4.69%
Revenue growth 5Y-3.79%
Sales Q2Q%11.6%
Revenue Next Year3.74%
Revenue Next 2Y3.74%
Revenue Next 3Y3.4%
Revenue Next 5Y3.15%
EBIT growth 1Y-26.89%
EBIT growth 3Y-7.82%
EBIT growth 5Y9.88%
EBIT Next Year10.01%
EBIT Next 3Y12.49%
EBIT Next 5Y9.54%
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 5 / 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 18.84 and the Price/Book (PB) ratio is 1.65.
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.