NOS SGPS (NOS.LS) Stock Fundamental Analysis
ELI:NOS - Euronext Lisbon - PTZON0AM0006 - Common Stock - Currency: EUR
Overall NOS gets a fundamental rating of 5 out of 10. We evaluated NOS against 32 industry peers in the Diversified Telecommunication Services industry. NOS scores excellent on profitability, but there are concerns on its financial health. NOS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
NOS had positive earnings in the past year.
NOS had a positive operating cash flow in the past year.
In the past 5 years NOS has always been profitable.
In the past 5 years NOS always reported a positive cash flow from operatings.
1.2 Ratios
NOS has a better Return On Assets (8.10%) than 96.88% of its industry peers.
The Return On Equity of NOS (25.22%) is better than 96.88% of its industry peers.
Looking at the Return On Invested Capital, with a value of 9.31%, NOS belongs to the top of the industry, outperforming 84.38% of the companies in the same industry.
NOS had an Average Return On Invested Capital over the past 3 years of 7.84%. This is in line with the industry average of 7.75%.
The last Return On Invested Capital (9.31%) for NOS is above the 3 year average (7.84%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.1% | ||
| ROE | 25.22% | ||
| ROIC | 9.31% |
ROA(3y)6.6%
ROA(5y)5.43%
ROE(3y)21.67%
ROE(5y)17.95%
ROIC(3y)7.84%
ROIC(5y)7.63%
1.3 Margins
NOS has a better Profit Margin (16.05%) than 93.75% of its industry peers.
In the last couple of years the Profit Margin of NOS has grown nicely.
NOS has a Operating Margin (15.90%) which is in line with its industry peers.
In the last couple of years the Operating Margin of NOS has remained more or less at the same level.
NOS has a Gross Margin of 71.47%. This is in the better half of the industry: NOS outperforms 75.00% of its industry peers.
NOS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.9% | ||
| PM (TTM) | 16.05% | ||
| GM | 71.47% |
OM growth 3Y3.9%
OM growth 5Y1.36%
PM growth 3Y16.78%
PM growth 5Y10.28%
GM growth 3Y2.11%
GM growth 5Y0.6%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so NOS is still creating some value.
The number of shares outstanding for NOS remains at a similar level compared to 1 year ago.
The number of shares outstanding for NOS has been reduced compared to 5 years ago.
The debt/assets ratio for NOS has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.29, we must say that NOS is in the distress zone and has some risk of bankruptcy.
NOS has a Altman-Z score (1.29) which is comparable to the rest of the industry.
The Debt to FCF ratio of NOS is 3.47, which is a good value as it means it would take NOS, 3.47 years of fcf income to pay off all of its debts.
NOS's Debt to FCF ratio of 3.47 is amongst the best of the industry. NOS outperforms 90.63% of its industry peers.
A Debt/Equity ratio of 1.21 is on the high side and indicates that NOS has dependencies on debt financing.
NOS has a worse Debt to Equity ratio (1.21) than 68.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.21 | ||
| Debt/FCF | 3.47 | ||
| Altman-Z | 1.29 |
ROIC/WACC1.47
WACC6.34%
2.3 Liquidity
NOS has a Current Ratio of 0.67. This is a bad value and indicates that NOS is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of NOS (0.67) is worse than 65.63% of its industry peers.
A Quick Ratio of 0.62 indicates that NOS may have some problems paying its short term obligations.
NOS has a worse Quick ratio (0.62) than 65.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.67 | ||
| Quick Ratio | 0.62 |
3. Growth
3.1 Past
NOS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 51.43%, which is quite impressive.
The Earnings Per Share has been growing by 14.44% on average over the past years. This is quite good.
Looking at the last year, NOS shows a small growth in Revenue. The Revenue has grown by 6.19% in the last year.
NOS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.07% yearly.
EPS 1Y (TTM)51.43%
EPS 3Y23.41%
EPS 5Y14.44%
EPS Q2Q%40%
Revenue 1Y (TTM)6.19%
Revenue growth 3Y5.85%
Revenue growth 5Y3.07%
Sales Q2Q%8.13%
3.2 Future
The Earnings Per Share is expected to decrease by -14.69% on average over the next years. This is quite bad
Based on estimates for the next years, NOS will show a small growth in Revenue. The Revenue will grow by 0.22% on average per year.
EPS Next Y-41.95%
EPS Next 2Y-24.14%
EPS Next 3Y-14.79%
EPS Next 5Y-14.69%
Revenue Next Year3.54%
Revenue Next 2Y2.68%
Revenue Next 3Y1.34%
Revenue Next 5Y0.22%
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.
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 7.28, which indicates a rather cheap valuation of NOS.
Compared to the rest of the industry, the Price/Earnings ratio of NOS indicates a rather cheap valuation: NOS is cheaper than 93.75% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of NOS to the average of the S&P500 Index (26.35), we can say NOS is valued rather cheaply.
The Price/Forward Earnings ratio is 12.54, which indicates a correct valuation of NOS.
Based on the Price/Forward Earnings ratio, NOS is valued a bit cheaper than 65.63% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.20. NOS is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.28 | ||
| Fwd PE | 12.54 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NOS indicates a rather cheap valuation: NOS is cheaper than 96.88% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.46 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The excellent profitability rating of NOS may justify a higher PE ratio.
NOS's earnings are expected to decrease with -14.79% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.5
EPS Next 2Y-24.14%
EPS Next 3Y-14.79%
5. Dividend
5.1 Amount
NOS has a Yearly Dividend Yield of 9.14%, which is a nice return.
Compared to an average industry Dividend Yield of 4.30, NOS pays a better dividend. On top of this NOS pays more dividend than 100.00% of the companies listed in the same industry.
NOS's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.14% |
5.2 History
The dividend of NOS decreases each year by -0.01%.
Dividend Growth(5Y)-0.01%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
65.73% of the earnings are spent on dividend by NOS. This is not a sustainable payout ratio.
NOS's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP65.73%
EPS Next 2Y-24.14%
EPS Next 3Y-14.79%
ELI:NOS (5/28/2025, 4:40:53 PM)
3.858
+0.03 (+0.73%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners16.07%
Inst Owner ChangeN/A
Ins Owners0.27%
Ins Owner ChangeN/A
Market Cap1.99B
Analysts54.74
Price Target4 (3.68%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.14% |
Yearly Dividend0.35
Dividend Growth(5Y)-0.01%
DP65.73%
Div Incr Years1
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1338.25%
Min EPS beat(2)4.22%
Max EPS beat(2)2672.28%
EPS beat(4)4
Avg EPS beat(4)721.67%
Min EPS beat(4)4.22%
Max EPS beat(4)2672.28%
EPS beat(8)6
Avg EPS beat(8)382.25%
EPS beat(12)9
Avg EPS beat(12)309.49%
EPS beat(16)12
Avg EPS beat(16)239.43%
Revenue beat(2)2
Avg Revenue beat(2)1.39%
Min Revenue beat(2)1.08%
Max Revenue beat(2)1.7%
Revenue beat(4)3
Avg Revenue beat(4)0.87%
Min Revenue beat(4)-0.08%
Max Revenue beat(4)1.7%
Revenue beat(8)5
Avg Revenue beat(8)0.07%
Revenue beat(12)8
Avg Revenue beat(12)0.42%
Revenue beat(16)10
Avg Revenue beat(16)0.6%
PT rev (1m)-0.23%
PT rev (3m)1.15%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0.41%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0.98%
Revenue NY rev (3m)2.88%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.28 | ||
| Fwd PE | 12.54 | ||
| P/S | 1.17 | ||
| P/FCF | 4.46 | ||
| P/OCF | 2.2 | ||
| P/B | 1.84 | ||
| P/tB | N/A | ||
| EV/EBITDA | N/A |
EPS(TTM)0.53
EY13.74%
EPS(NY)0.31
Fwd EY7.97%
FCF(TTM)0.86
FCFY22.42%
OCF(TTM)1.75
OCFY45.45%
SpS3.29
BVpS2.1
TBVpS-0.13
PEG (NY)N/A
PEG (5Y)0.5
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.1% | ||
| ROE | 25.22% | ||
| ROCE | 10.51% | ||
| ROIC | 9.31% | ||
| ROICexc | 9.34% | ||
| ROICexgc | 16.91% | ||
| OM | 15.9% | ||
| PM (TTM) | 16.05% | ||
| GM | 71.47% | ||
| FCFM | 26.27% |
ROA(3y)6.6%
ROA(5y)5.43%
ROE(3y)21.67%
ROE(5y)17.95%
ROIC(3y)7.84%
ROIC(5y)7.63%
ROICexc(3y)7.88%
ROICexc(5y)7.76%
ROICexgc(3y)14.7%
ROICexgc(5y)14.69%
ROCE(3y)8.86%
ROCE(5y)8.63%
ROICexcg growth 3Y2.8%
ROICexcg growth 5Y3.18%
ROICexc growth 3Y7.04%
ROICexc growth 5Y2.64%
OM growth 3Y3.9%
OM growth 5Y1.36%
PM growth 3Y16.78%
PM growth 5Y10.28%
GM growth 3Y2.11%
GM growth 5Y0.6%
F-Score7
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.21 | ||
| Debt/FCF | 3.47 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 26.99% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 163.66% | ||
| Current Ratio | 0.67 | ||
| Quick Ratio | 0.62 | ||
| Altman-Z | 1.29 |
F-Score7
WACC6.34%
ROIC/WACC1.47
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)28.72%
Cap/Sales(5y)33.66%
Profit Quality(3y)131.24%
Profit Quality(5y)127.18%
High Growth Momentum
Growth
EPS 1Y (TTM)51.43%
EPS 3Y23.41%
EPS 5Y14.44%
EPS Q2Q%40%
EPS Next Y-41.95%
EPS Next 2Y-24.14%
EPS Next 3Y-14.79%
EPS Next 5Y-14.69%
Revenue 1Y (TTM)6.19%
Revenue growth 3Y5.85%
Revenue growth 5Y3.07%
Sales Q2Q%8.13%
Revenue Next Year3.54%
Revenue Next 2Y2.68%
Revenue Next 3Y1.34%
Revenue Next 5Y0.22%
EBIT growth 1Y12.03%
EBIT growth 3Y9.97%
EBIT growth 5Y4.47%
EBIT Next Year148.63%
EBIT Next 3Y35.27%
EBIT Next 5Y24.73%
FCF growth 1Y60.16%
FCF growth 3Y149.07%
FCF growth 5Y14.29%
OCF growth 1Y23.97%
OCF growth 3Y8.56%
OCF growth 5Y6.27%