128.7 USD
+4.42 (+3.56%)
128.09 USD
-0.61 (-0.47%)
Overall NOVT gets a fundamental rating of 5 out of 10. We evaluated NOVT against 124 industry peers in the Electronic Equipment, Instruments & Components industry. NOVT scores excellent on profitability, but there are some minor concerns on its financial health. NOVT is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year NOVT was profitable.
In the past year NOVT had a positive cash flow from operations.
NOVT had positive earnings in each of the past 5 years.
Each year in the past 5 years NOVT had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.51%, NOVT is in the better half of the industry, outperforming 62.90% of the companies in the same industry.
Looking at the Return On Equity, with a value of 6.59%, NOVT is in the better half of the industry, outperforming 62.10% of the companies in the same industry.
The Return On Invested Capital of NOVT (7.59%) is better than 75.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NOVT is in line with the industry average of 9.00%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.51% | ||
| ROE | 6.59% | ||
| ROIC | 7.59% |
ROA(3y)5.51%
ROA(5y)5.15%
ROE(3y)10.75%
ROE(5y)10.25%
ROIC(3y)8.83%
ROIC(5y)7.95%
1.3 Margins
NOVT's Profit Margin of 5.50% is fine compared to the rest of the industry. NOVT outperforms 70.16% of its industry peers.
In the last couple of years the Profit Margin of NOVT has remained more or less at the same level.
NOVT has a Operating Margin of 12.40%. This is in the better half of the industry: NOVT outperforms 79.03% of its industry peers.
NOVT's Operating Margin has improved in the last couple of years.
NOVT has a Gross Margin of 44.80%. This is in the better half of the industry: NOVT outperforms 76.61% of its industry peers.
NOVT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.4% | ||
| PM (TTM) | 5.5% | ||
| GM | 44.8% |
OM growth 3Y4.07%
OM growth 5Y2.66%
PM growth 3Y-1.74%
PM growth 5Y0.71%
GM growth 3Y1.49%
GM growth 5Y1.19%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), NOVT is destroying value.
NOVT has more shares outstanding than it did 1 year ago.
The number of shares outstanding for NOVT has been increased compared to 5 years ago.
Compared to 1 year ago, NOVT has a worse debt to assets ratio.
2.2 Solvency
NOVT has an Altman-Z score of 5.33. This indicates that NOVT is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.33, NOVT is in the better half of the industry, outperforming 72.58% of the companies in the same industry.
NOVT has a debt to FCF ratio of 4.43. This is a neutral value as NOVT would need 4.43 years to pay back of all of its debts.
NOVT has a better Debt to FCF ratio (4.43) than 64.52% of its industry peers.
A Debt/Equity ratio of 0.56 indicates that NOVT is somewhat dependend on debt financing.
NOVT has a worse Debt to Equity ratio (0.56) than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 4.43 | ||
| Altman-Z | 5.33 |
ROIC/WACC0.79
WACC9.57%
2.3 Liquidity
A Current Ratio of 2.51 indicates that NOVT has no problem at all paying its short term obligations.
NOVT has a Current ratio (2.51) which is in line with its industry peers.
NOVT has a Quick Ratio of 1.54. This is a normal value and indicates that NOVT is financially healthy and should not expect problems in meeting its short term obligations.
NOVT's Quick ratio of 1.54 is in line compared to the rest of the industry. NOVT outperforms 45.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.51 | ||
| Quick Ratio | 1.54 |
3. Growth
3.1 Past
NOVT shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.10%.
NOVT shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.45% yearly.
The Revenue has been growing slightly by 4.07% in the past year.
The Revenue has been growing by 8.68% on average over the past years. This is quite good.
EPS 1Y (TTM)6.1%
EPS 3Y5.54%
EPS 5Y7.45%
EPS Q2Q%2.35%
Revenue 1Y (TTM)4.07%
Revenue growth 3Y10.33%
Revenue growth 5Y8.68%
Sales Q2Q%1.4%
3.2 Future
Based on estimates for the next years, NOVT will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.73% on average per year.
Based on estimates for the next years, NOVT will show a small growth in Revenue. The Revenue will grow by 5.67% on average per year.
EPS Next Y8.07%
EPS Next 2Y9.99%
EPS Next 3Y10.73%
EPS Next 5YN/A
Revenue Next Year2.8%
Revenue Next 2Y4.76%
Revenue Next 3Y5.67%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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 41.12, which means the current valuation is very expensive for NOVT.
NOVT's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 27.00. NOVT is valued rather expensively when compared to this.
The Price/Forward Earnings ratio is 34.54, which means the current valuation is very expensive for NOVT.
The rest of the industry has a similar Price/Forward Earnings ratio as NOVT.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.70, NOVT is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.12 | ||
| Fwd PE | 34.54 |
4.2 Price Multiples
NOVT's Enterprise Value to EBITDA ratio is in line with the industry average.
NOVT's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. NOVT is cheaper than 64.52% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 44.88 | ||
| EV/EBITDA | 27.88 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of NOVT may justify a higher PE ratio.
PEG (NY)5.09
PEG (5Y)5.52
EPS Next 2Y9.99%
EPS Next 3Y10.73%
5. Dividend
5.1 Amount
No dividends for NOVT!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
128.7
+4.42 (+3.56%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners102.56%
Inst Owner Change-0.01%
Ins Owners1.01%
Ins Owner Change2.9%
Market Cap4.60B
Revenue(TTM)960.31M
Net Income(TTM)52.82M
Analysts80
Price Target158.61 (23.24%)
Short Float %6.74%
Short Ratio3.59
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.02%
Min EPS beat(2)1.6%
Max EPS beat(2)4.44%
EPS beat(4)4
Avg EPS beat(4)4.56%
Min EPS beat(4)1.6%
Max EPS beat(4)7.75%
EPS beat(8)6
Avg EPS beat(8)5.44%
EPS beat(12)10
Avg EPS beat(12)6.49%
EPS beat(16)14
Avg EPS beat(16)6.68%
Revenue beat(2)0
Avg Revenue beat(2)-0.97%
Min Revenue beat(2)-1.21%
Max Revenue beat(2)-0.72%
Revenue beat(4)0
Avg Revenue beat(4)-1.69%
Min Revenue beat(4)-2.87%
Max Revenue beat(4)-0.72%
Revenue beat(8)0
Avg Revenue beat(8)-1.38%
Revenue beat(12)1
Avg Revenue beat(12)-1.08%
Revenue beat(16)5
Avg Revenue beat(16)-0.43%
PT rev (1m)0%
PT rev (3m)5.66%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-5.32%
EPS NY rev (1m)0%
EPS NY rev (3m)0.1%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.26%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.12 | ||
| Fwd PE | 34.54 | ||
| P/S | 4.8 | ||
| P/FCF | 44.88 | ||
| P/OCF | 39.42 | ||
| P/B | 5.75 | ||
| P/tB | N/A | ||
| EV/EBITDA | 27.88 |
EPS(TTM)3.13
EY2.43%
EPS(NY)3.73
Fwd EY2.9%
FCF(TTM)2.87
FCFY2.23%
OCF(TTM)3.26
OCFY2.54%
SpS26.84
BVpS22.4
TBVpS-1.1
PEG (NY)5.09
PEG (5Y)5.52
Graham Number39.72
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.51% | ||
| ROE | 6.59% | ||
| ROCE | 9.03% | ||
| ROIC | 7.59% | ||
| ROICexc | 8.14% | ||
| ROICexgc | 25.72% | ||
| OM | 12.4% | ||
| PM (TTM) | 5.5% | ||
| GM | 44.8% | ||
| FCFM | 10.69% |
ROA(3y)5.51%
ROA(5y)5.15%
ROE(3y)10.75%
ROE(5y)10.25%
ROIC(3y)8.83%
ROIC(5y)7.95%
ROICexc(3y)9.75%
ROICexc(5y)8.94%
ROICexgc(3y)29.5%
ROICexgc(5y)29.04%
ROCE(3y)10.5%
ROCE(5y)9.46%
ROICexgc growth 3Y0.54%
ROICexgc growth 5Y2%
ROICexc growth 3Y8.22%
ROICexc growth 5Y0.49%
OM growth 3Y4.07%
OM growth 5Y2.66%
PM growth 3Y-1.74%
PM growth 5Y0.71%
GM growth 3Y1.49%
GM growth 5Y1.19%
F-Score5
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 4.43 | ||
| Debt/EBITDA | 2.51 | ||
| Cap/Depr | 23.99% | ||
| Cap/Sales | 1.48% | ||
| Interest Coverage | 4.73 | ||
| Cash Conversion | 65.52% | ||
| Profit Quality | 194.25% | ||
| Current Ratio | 2.51 | ||
| Quick Ratio | 1.54 | ||
| Altman-Z | 5.33 |
F-Score5
WACC9.57%
ROIC/WACC0.79
Cap/Depr(3y)36.85%
Cap/Depr(5y)36.81%
Cap/Sales(3y)2.12%
Cap/Sales(5y)2.19%
Profit Quality(3y)151.34%
Profit Quality(5y)178.76%
High Growth Momentum
Growth
EPS 1Y (TTM)6.1%
EPS 3Y5.54%
EPS 5Y7.45%
EPS Q2Q%2.35%
EPS Next Y8.07%
EPS Next 2Y9.99%
EPS Next 3Y10.73%
EPS Next 5YN/A
Revenue 1Y (TTM)4.07%
Revenue growth 3Y10.33%
Revenue growth 5Y8.68%
Sales Q2Q%1.4%
Revenue Next Year2.8%
Revenue Next 2Y4.76%
Revenue Next 3Y5.67%
Revenue Next 5YN/A
EBIT growth 1Y1.33%
EBIT growth 3Y14.82%
EBIT growth 5Y11.57%
EBIT Next Year34%
EBIT Next 3Y16.52%
EBIT Next 5YN/A
FCF growth 1Y-1.15%
FCF growth 3Y23.74%
FCF growth 5Y21.91%
OCF growth 1Y-4.02%
OCF growth 3Y18.77%
OCF growth 5Y20.19%
NOVANTA INC / NOVT FAQ
What is the fundamental rating for NOVT stock?
ChartMill assigns a fundamental rating of 5 / 10 to NOVT.
What is the valuation status of NOVANTA INC (NOVT) stock?
ChartMill assigns a valuation rating of 2 / 10 to NOVANTA INC (NOVT). This can be considered as Overvalued.
Can you provide the profitability details for NOVANTA INC?
NOVANTA INC (NOVT) has a profitability rating of 7 / 10.
What are the PE and PB ratios of NOVANTA INC (NOVT) stock?
The Price/Earnings (PE) ratio for NOVANTA INC (NOVT) is 41.12 and the Price/Book (PB) ratio is 5.75.
What is the earnings growth outlook for NOVANTA INC?
The Earnings per Share (EPS) of NOVANTA INC (NOVT) is expected to grow by 8.07% in the next year.