NOVA LTD (NVMI) Stock Fundamental Analysis
USA - NASDAQ:NVMI - IL0010845571 - Common Stock
307.59 USD
-6.43 (-2.05%)
320 USD
+12.41 (+4.03%)
Overall NVMI gets a fundamental rating of 7 out of 10. We evaluated NVMI against 112 industry peers in the Semiconductors & Semiconductor Equipment industry. NVMI has an excellent profitability rating, but there are some minor concerns on its financial health. NVMI is growing strongly while it is still valued neutral. This is a good combination! These ratings could make NVMI a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
In the past year NVMI was profitable.
In the past year NVMI had a positive cash flow from operations.
NVMI had positive earnings in each of the past 5 years.
In the past 5 years NVMI always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of NVMI (15.31%) is better than 90.18% of its industry peers.
NVMI has a better Return On Equity (21.42%) than 88.39% of its industry peers.
The Return On Invested Capital of NVMI (17.09%) is better than 91.96% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NVMI is above the industry average of 11.11%.
The 3 year average ROIC (15.19%) for NVMI is below the current ROIC(17.09%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.31% | ||
| ROE | 21.42% | ||
| ROIC | 17.09% |
ROA(3y)13.16%
ROA(5y)11.67%
ROE(3y)20.62%
ROE(5y)18.88%
ROIC(3y)15.19%
ROIC(5y)14.49%
1.3 Margins
NVMI has a Profit Margin of 29.10%. This is amongst the best in the industry. NVMI outperforms 90.18% of its industry peers.
In the last couple of years the Profit Margin of NVMI has grown nicely.
NVMI has a Operating Margin of 28.94%. This is amongst the best in the industry. NVMI outperforms 89.29% of its industry peers.
In the last couple of years the Operating Margin of NVMI has grown nicely.
The Gross Margin of NVMI (57.10%) is better than 81.25% of its industry peers.
NVMI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.94% | ||
| PM (TTM) | 29.1% | ||
| GM | 57.1% |
OM growth 3Y1.07%
OM growth 5Y11.5%
PM growth 3Y6.9%
PM growth 5Y11.79%
GM growth 3Y0.58%
GM growth 5Y1.23%
2. Health
2.1 Basic Checks
NVMI has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
NVMI has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, NVMI has more shares outstanding
The debt/assets ratio for NVMI has been reduced compared to a year ago.
2.2 Solvency
NVMI has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.73 | ||
| Altman-Z | N/A |
ROIC/WACC1.49
WACC11.45%
2.3 Liquidity
NVMI has a Current Ratio of 2.57. This indicates that NVMI is financially healthy and has no problem in meeting its short term obligations.
NVMI has a Current ratio (2.57) which is in line with its industry peers.
NVMI has a Quick Ratio of 2.05. This indicates that NVMI is financially healthy and has no problem in meeting its short term obligations.
NVMI's Quick ratio of 2.05 is in line compared to the rest of the industry. NVMI outperforms 52.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.57 | ||
| Quick Ratio | 2.05 |
3. Growth
3.1 Past
NVMI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 39.02%, which is quite impressive.
NVMI shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 33.09% yearly.
NVMI shows a strong growth in Revenue. In the last year, the Revenue has grown by 29.83%.
Measured over the past years, NVMI shows a very strong growth in Revenue. The Revenue has been growing by 24.49% on average per year.
EPS 1Y (TTM)39.02%
EPS 3Y20.27%
EPS 5Y33.09%
EPS Q2Q%24.14%
Revenue 1Y (TTM)29.83%
Revenue growth 3Y17.35%
Revenue growth 5Y24.49%
Sales Q2Q%25.5%
3.2 Future
NVMI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.41% yearly.
Based on estimates for the next years, NVMI will show a quite strong growth in Revenue. The Revenue will grow by 16.26% on average per year.
EPS Next Y31.25%
EPS Next 2Y19.37%
EPS Next 3Y15.78%
EPS Next 5Y16.41%
Revenue Next Year31.35%
Revenue Next 2Y18.8%
Revenue Next 3Y16.78%
Revenue Next 5Y16.26%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 36.27, NVMI can be considered very expensive at the moment.
Based on the Price/Earnings ratio, NVMI is valued a bit cheaper than 69.64% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.06, NVMI is valued a bit more expensive.
A Price/Forward Earnings ratio of 32.31 indicates a quite expensive valuation of NVMI.
NVMI's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 32.73, NVMI is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.27 | ||
| Fwd PE | 32.31 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NVMI is valued a bit cheaper than 61.61% of the companies in the same industry.
67.86% of the companies in the same industry are more expensive than NVMI, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 44.26 | ||
| EV/EBITDA | 32.93 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of NVMI may justify a higher PE ratio.
NVMI's earnings are expected to grow with 15.78% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.16
PEG (5Y)1.1
EPS Next 2Y19.37%
EPS Next 3Y15.78%
5. Dividend
5.1 Amount
NVMI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
307.59
-6.43 (-2.05%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners77.19%
Inst Owner Change-3.56%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap9.12B
Revenue(TTM)672.40M
Net Income(TTM)234.87M
Analysts84.29
Price Target316.85 (3.01%)
Short Float %4.79%
Short Ratio3.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)3.94%
Min EPS beat(2)3.26%
Max EPS beat(2)4.63%
EPS beat(4)4
Avg EPS beat(4)3.51%
Min EPS beat(4)1.68%
Max EPS beat(4)4.63%
EPS beat(8)8
Avg EPS beat(8)7.01%
EPS beat(12)12
Avg EPS beat(12)6.54%
EPS beat(16)16
Avg EPS beat(16)8.01%
Revenue beat(2)1
Avg Revenue beat(2)-0.05%
Min Revenue beat(2)-0.44%
Max Revenue beat(2)0.34%
Revenue beat(4)3
Avg Revenue beat(4)1.1%
Min Revenue beat(4)-0.44%
Max Revenue beat(4)2.39%
Revenue beat(8)7
Avg Revenue beat(8)1.91%
Revenue beat(12)8
Avg Revenue beat(12)1.14%
Revenue beat(16)12
Avg Revenue beat(16)1.68%
PT rev (1m)6.88%
PT rev (3m)17.89%
EPS NQ rev (1m)0.31%
EPS NQ rev (3m)2.86%
EPS NY rev (1m)-0.21%
EPS NY rev (3m)1.66%
Revenue NQ rev (1m)0.25%
Revenue NQ rev (3m)2.6%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)1.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.27 | ||
| Fwd PE | 32.31 | ||
| P/S | 11.3 | ||
| P/FCF | 44.26 | ||
| P/OCF | 39.7 | ||
| P/B | 8.32 | ||
| P/tB | 9.55 | ||
| EV/EBITDA | 32.93 |
EPS(TTM)8.48
EY2.76%
EPS(NY)9.52
Fwd EY3.09%
FCF(TTM)6.95
FCFY2.26%
OCF(TTM)7.75
OCFY2.52%
SpS27.22
BVpS36.98
TBVpS32.22
PEG (NY)1.16
PEG (5Y)1.1
Graham Number84
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.31% | ||
| ROE | 21.42% | ||
| ROCE | 19.75% | ||
| ROIC | 17.09% | ||
| ROICexc | 32.3% | ||
| ROICexgc | 41.7% | ||
| OM | 28.94% | ||
| PM (TTM) | 29.1% | ||
| GM | 57.1% | ||
| FCFM | 25.53% |
ROA(3y)13.16%
ROA(5y)11.67%
ROE(3y)20.62%
ROE(5y)18.88%
ROIC(3y)15.19%
ROIC(5y)14.49%
ROICexc(3y)32.48%
ROICexc(5y)43.28%
ROICexgc(3y)41.09%
ROICexgc(5y)54.3%
ROCE(3y)17.55%
ROCE(5y)16.75%
ROICexgc growth 3Y-25.15%
ROICexgc growth 5Y16.57%
ROICexc growth 3Y-24.52%
ROICexc growth 5Y15.8%
OM growth 3Y1.07%
OM growth 5Y11.5%
PM growth 3Y6.9%
PM growth 5Y11.79%
GM growth 3Y0.58%
GM growth 5Y1.23%
F-Score7
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.73 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 124.23% | ||
| Cap/Sales | 2.93% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 90.94% | ||
| Profit Quality | 87.74% | ||
| Current Ratio | 2.57 | ||
| Quick Ratio | 2.05 | ||
| Altman-Z | N/A |
F-Score7
WACC11.45%
ROIC/WACC1.49
Cap/Depr(3y)117.01%
Cap/Depr(5y)96.11%
Cap/Sales(3y)3.2%
Cap/Sales(5y)2.63%
Profit Quality(3y)88.91%
Profit Quality(5y)103.24%
High Growth Momentum
Growth
EPS 1Y (TTM)39.02%
EPS 3Y20.27%
EPS 5Y33.09%
EPS Q2Q%24.14%
EPS Next Y31.25%
EPS Next 2Y19.37%
EPS Next 3Y15.78%
EPS Next 5Y16.41%
Revenue 1Y (TTM)29.83%
Revenue growth 3Y17.35%
Revenue growth 5Y24.49%
Sales Q2Q%25.5%
Revenue Next Year31.35%
Revenue Next 2Y18.8%
Revenue Next 3Y16.78%
Revenue Next 5Y16.26%
EBIT growth 1Y55.1%
EBIT growth 3Y18.61%
EBIT growth 5Y38.8%
EBIT Next Year43.75%
EBIT Next 3Y20.51%
EBIT Next 5YN/A
FCF growth 1Y88.37%
FCF growth 3Y19.59%
FCF growth 5Y62.24%
OCF growth 1Y78.48%
OCF growth 3Y21.15%
OCF growth 5Y42.03%
NOVA LTD / NVMI FAQ
What is the ChartMill fundamental rating of NOVA LTD (NVMI) stock?
ChartMill assigns a fundamental rating of 7 / 10 to NVMI.
What is the valuation status of NOVA LTD (NVMI) stock?
ChartMill assigns a valuation rating of 4 / 10 to NOVA LTD (NVMI). This can be considered as Fairly Valued.
How profitable is NOVA LTD (NVMI) stock?
NOVA LTD (NVMI) has a profitability rating of 9 / 10.
How financially healthy is NOVA LTD?
The financial health rating of NOVA LTD (NVMI) is 6 / 10.