NVE CORP (NVEC)
US6294452064 - Common Stock
We assign a fundamental rating of 7 out of 10 to NVEC. NVEC was compared to 107 industry peers in the Semiconductors & Semiconductor Equipment industry. NVEC scores excellent points on both the profitability and health parts. This is a solid base for a good stock. NVEC has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year NVEC was profitable.
NVEC had a positive operating cash flow in the past year.
In the past 5 years NVEC has always been profitable.
Each year in the past 5 years NVEC had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 31.84%, NVEC belongs to the top of the industry, outperforming 99.06% of the companies in the same industry.
With an excellent Return On Equity value of 32.33%, NVEC belongs to the best of the industry, outperforming 89.62% of the companies in the same industry.
With an excellent Return On Invested Capital value of 29.14%, NVEC belongs to the best of the industry, outperforming 98.11% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for NVEC is significantly above the industry average of 11.07%.
The 3 year average ROIC (22.48%) for NVEC is below the current ROIC(29.14%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 31.84% | ||
| ROE | 32.33% | ||
| ROIC | 29.14% |
ROA(3y)23.45%
ROA(5y)21.2%
ROE(3y)24.25%
ROE(5y)21.78%
ROIC(3y)22.48%
ROIC(5y)19.98%
1.3 Margins
NVEC's Profit Margin of 60.63% is amongst the best of the industry. NVEC outperforms 99.06% of its industry peers.
In the last couple of years the Profit Margin of NVEC has grown nicely.
The Operating Margin of NVEC (65.78%) is better than 100.00% of its industry peers.
In the last couple of years the Operating Margin of NVEC has grown nicely.
NVEC's Gross Margin of 78.70% is amongst the best of the industry. NVEC outperforms 96.23% of its industry peers.
NVEC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 65.78% | ||
| PM (TTM) | 60.63% | ||
| GM | 78.7% |
OM growth 3Y3.17%
OM growth 5Y1.64%
PM growth 3Y1.23%
PM growth 5Y4.95%
GM growth 3Y-0.76%
GM growth 5Y-0.02%
2. Health
2.1 Basic Checks
NVEC has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
NVEC has about the same amout of shares outstanding than it did 1 year ago.
NVEC has about the same amout of shares outstanding than it did 5 years ago.
NVEC has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 229.67 indicates that NVEC is not in any danger for bankruptcy at the moment.
NVEC has a Altman-Z score of 229.67. This is amongst the best in the industry. NVEC outperforms 100.00% of its industry peers.
There is no outstanding debt for NVEC. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 229.67 |
ROIC/WACC2.5
WACC11.65%
2.3 Liquidity
A Current Ratio of 36.08 indicates that NVEC has no problem at all paying its short term obligations.
With an excellent Current ratio value of 36.08, NVEC belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
NVEC has a Quick Ratio of 27.01. This indicates that NVEC is financially healthy and has no problem in meeting its short term obligations.
NVEC's Quick ratio of 27.01 is amongst the best of the industry. NVEC outperforms 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 36.08 | ||
| Quick Ratio | 27.01 |
3. Growth
3.1 Past
NVEC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.68%, which is quite good.
NVEC shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.45% yearly.
The Revenue has grown by 10.37% in the past year. This is quite good.
NVEC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.08% yearly.
EPS 1Y (TTM)17.68%
EPS 3Y16.14%
EPS 5Y10.45%
EPS growth Q2Q-1.14%
Revenue 1Y (TTM)10.37%
Revenue growth 3Y14.61%
Revenue growth 5Y5.08%
Revenue growth Q2Q-8.7%
3.2 Future
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 17.80, the valuation of NVEC can be described as rather expensive.
Based on the Price/Earnings ratio, NVEC is valued a bit cheaper than the industry average as 79.25% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 25.20. NVEC is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.8 | ||
| Fwd PE | N/A |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NVEC is valued a bit cheaper than 78.30% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NVEC indicates a rather cheap valuation: NVEC is cheaper than 85.85% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.75 | ||
| EV/EBITDA | 15.05 |
4.3 Compensation for Growth
The excellent profitability rating of NVEC may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.7
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
NVEC has a Yearly Dividend Yield of 4.96%, which is a nice return.
NVEC's Dividend Yield is rather good when compared to the industry average which is at 2.10. NVEC pays more dividend than 97.17% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, NVEC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.96% |
5.2 History
The dividend of NVEC decreases each year by -0.05%.
NVEC has paid a dividend for at least 10 years, which is a reliable track record.
As NVEC did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)-0.05%
Div Incr Years0
Div Non Decr Years7
5.3 Sustainability
NVEC pays out 89.75% of its income as dividend. This is not a sustainable payout ratio.
DP89.75%
EPS Next 2YN/A
EPS Next 3YN/A
NVE CORP
NASDAQ:NVEC (4/25/2024, 7:08:29 PM)
After market: 79.37 0 (0%)79.37
-1.01 (-1.26%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap383.36M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.96% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.8 | ||
| Fwd PE | N/A | ||
| 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)N/A
PEG (5Y)1.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 31.84% | ||
| ROE | 32.33% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 65.78% | ||
| PM (TTM) | 60.63% | ||
| GM | 78.7% | ||
| 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 Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 36.08 | ||
| Quick Ratio | 27.01 | ||
| 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)17.68%
EPS 3Y16.14%
EPS 5Y
EPS growth Q2Q
EPS Next YN/A
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)10.37%
Revenue growth 3Y14.61%
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
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y