NXP SEMICONDUCTORS NV (NXPI) Stock Fundamental Analysis
NASDAQ:NXPI - Nasdaq - NL0009538784 - Common Stock - Currency: USD
Overall NXPI gets a fundamental rating of 6 out of 10. We evaluated NXPI against 110 industry peers in the Semiconductors & Semiconductor Equipment industry. While NXPI belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. NXPI is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year NXPI was profitable.
NXPI had a positive operating cash flow in the past year.
Each year in the past 5 years NXPI has been profitable.
Each year in the past 5 years NXPI had a positive operating cash flow.
1.2 Ratios
The Return On Assets of NXPI (9.38%) is better than 80.00% of its industry peers.
Looking at the Return On Equity, with a value of 25.33%, NXPI belongs to the top of the industry, outperforming 90.00% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 13.98%, NXPI belongs to the top of the industry, outperforming 86.36% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for NXPI is above the industry average of 11.17%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.38% | ||
| ROE | 25.33% | ||
| ROIC | 13.98% |
ROA(3y)11.26%
ROA(5y)8.6%
ROE(3y)32.37%
ROE(5y)25.27%
ROIC(3y)15.3%
ROIC(5y)11.89%
1.3 Margins
NXPI's Profit Margin of 19.16% is amongst the best of the industry. NXPI outperforms 81.82% of its industry peers.
In the last couple of years the Profit Margin of NXPI has grown nicely.
Looking at the Operating Margin, with a value of 29.01%, NXPI belongs to the top of the industry, outperforming 89.09% of the companies in the same industry.
NXPI's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 56.82%, NXPI is in the better half of the industry, outperforming 78.18% of the companies in the same industry.
In the last couple of years the Gross Margin of NXPI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.01% | ||
| PM (TTM) | 19.16% | ||
| GM | 56.82% |
OM growth 3Y8.01%
OM growth 5Y30.06%
PM growth 3Y5.57%
PM growth 5Y48.69%
GM growth 3Y1.46%
GM growth 5Y1.92%
2. Health
2.1 Basic Checks
NXPI has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, NXPI has less shares outstanding
NXPI has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, NXPI has an improved debt to assets ratio.
2.2 Solvency
NXPI has an Altman-Z score of 3.08. This indicates that NXPI is financially healthy and has little risk of bankruptcy at the moment.
With a Altman-Z score value of 3.08, NXPI perfoms like the industry average, outperforming 48.18% of the companies in the same industry.
The Debt to FCF ratio of NXPI is 6.84, which is on the high side as it means it would take NXPI, 6.84 years of fcf income to pay off all of its debts.
NXPI has a Debt to FCF ratio (6.84) which is comparable to the rest of the industry.
NXPI has a Debt/Equity ratio of 1.10. This is a high value indicating a heavy dependency on external financing.
NXPI's Debt to Equity ratio of 1.10 is on the low side compared to the rest of the industry. NXPI is outperformed by 87.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.1 | ||
| Debt/FCF | 6.84 | ||
| Altman-Z | 3.08 |
ROIC/WACC1.38
WACC10.15%
2.3 Liquidity
NXPI has a Current Ratio of 2.08. This indicates that NXPI is financially healthy and has no problem in meeting its short term obligations.
NXPI has a worse Current ratio (2.08) than 72.73% of its industry peers.
NXPI has a Quick Ratio of 1.47. This is a normal value and indicates that NXPI is financially healthy and should not expect problems in meeting its short term obligations.
NXPI has a Quick ratio of 1.47. This is in the lower half of the industry: NXPI underperforms 71.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.08 | ||
| Quick Ratio | 1.47 |
3. Growth
3.1 Past
The earnings per share for NXPI have decreased strongly by -11.43% in the last year.
The Earnings Per Share has been growing by 11.51% on average over the past years. This is quite good.
Looking at the last year, NXPI shows a decrease in Revenue. The Revenue has decreased by -7.21% in the last year.
NXPI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.28% yearly.
EPS 1Y (TTM)-11.43%
EPS 3Y6.96%
EPS 5Y11.51%
EPS Q2Q%-18.52%
Revenue 1Y (TTM)-7.21%
Revenue growth 3Y4.47%
Revenue growth 5Y7.28%
Sales Q2Q%-9.31%
3.2 Future
The Earnings Per Share is expected to grow by 13.74% on average over the next years. This is quite good.
NXPI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.18% yearly.
EPS Next Y-10.95%
EPS Next 2Y3.07%
EPS Next 3Y8.51%
EPS Next 5Y13.74%
Revenue Next Year-5.77%
Revenue Next 2Y1.44%
Revenue Next 3Y4.54%
Revenue Next 5Y7.18%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 16.85, NXPI is valued correctly.
NXPI's Price/Earnings ratio is rather cheap when compared to the industry. NXPI is cheaper than 83.64% of the companies in the same industry.
NXPI is valuated rather cheaply when we compare the Price/Earnings ratio to 26.60, which is the current average of the S&P500 Index.
NXPI is valuated correctly with a Price/Forward Earnings ratio of 15.13.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NXPI indicates a somewhat cheap valuation: NXPI is cheaper than 78.18% of the companies listed in the same industry.
NXPI's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.43.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.85 | ||
| Fwd PE | 15.13 |
4.2 Price Multiples
74.55% of the companies in the same industry are more expensive than NXPI, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NXPI indicates a somewhat cheap valuation: NXPI is cheaper than 70.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.96 | ||
| EV/EBITDA | 13.59 |
4.3 Compensation for Growth
NXPI has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.46
EPS Next 2Y3.07%
EPS Next 3Y8.51%
5. Dividend
5.1 Amount
NXPI has a Yearly Dividend Yield of 1.92%. Purely for dividend investing, there may be better candidates out there.
NXPI's Dividend Yield is rather good when compared to the industry average which is at 2.41. NXPI pays more dividend than 88.18% of the companies in the same industry.
NXPI's Dividend Yield is comparable with the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.92% |
5.2 History
On average, the dividend of NXPI grows each year by 29.57%, which is quite nice.
NXPI has been paying a dividend for over 5 years, so it has already some track record.
As NXPI did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)29.57%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
NXPI pays out 43.84% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of NXPI is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP43.84%
EPS Next 2Y3.07%
EPS Next 3Y8.51%
210.08
-0.28 (-0.13%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners98.09%
Inst Owner Change-1.43%
Ins Owners0.14%
Ins Owner Change-0.08%
Market Cap53.07B
Analysts80
Price Target237.51 (13.06%)
Short Float %2.29%
Short Ratio1.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.92% |
Yearly Dividend4.06
Dividend Growth(5Y)29.57%
DP43.84%
Div Incr Years5
Div Non Decr Years5
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.14%
Min EPS beat(2)-0.63%
Max EPS beat(2)0.36%
EPS beat(4)1
Avg EPS beat(4)-0.94%
Min EPS beat(4)-2.15%
Max EPS beat(4)0.36%
EPS beat(8)5
Avg EPS beat(8)0.01%
EPS beat(12)8
Avg EPS beat(12)0.71%
EPS beat(16)12
Avg EPS beat(16)1.42%
Revenue beat(2)0
Avg Revenue beat(2)-1.77%
Min Revenue beat(2)-1.8%
Max Revenue beat(2)-1.74%
Revenue beat(4)0
Avg Revenue beat(4)-1.86%
Min Revenue beat(4)-2.02%
Max Revenue beat(4)-1.74%
Revenue beat(8)1
Avg Revenue beat(8)-1.34%
Revenue beat(12)2
Avg Revenue beat(12)-1.02%
Revenue beat(16)2
Avg Revenue beat(16)-1.05%
PT rev (1m)-7.71%
PT rev (3m)-10.8%
EPS NQ rev (1m)-0.43%
EPS NQ rev (3m)-0.89%
EPS NY rev (1m)-2.52%
EPS NY rev (3m)-2.87%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-1.34%
Revenue NY rev (3m)-4.3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.85 | ||
| Fwd PE | 15.13 | ||
| P/S | 4.31 | ||
| P/FCF | 30.96 | ||
| P/OCF | 21.26 | ||
| P/B | 5.69 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.59 |
EPS(TTM)12.47
EY5.94%
EPS(NY)13.89
Fwd EY6.61%
FCF(TTM)6.78
FCFY3.23%
OCF(TTM)9.88
OCFY4.7%
SpS48.78
BVpS36.9
TBVpS-5.53
PEG (NY)N/A
PEG (5Y)1.46
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.38% | ||
| ROE | 25.33% | ||
| ROCE | 16.76% | ||
| ROIC | 13.98% | ||
| ROICexc | 17.19% | ||
| ROICexgc | 45.01% | ||
| OM | 29.01% | ||
| PM (TTM) | 19.16% | ||
| GM | 56.82% | ||
| FCFM | 13.91% |
ROA(3y)11.26%
ROA(5y)8.6%
ROE(3y)32.37%
ROE(5y)25.27%
ROIC(3y)15.3%
ROIC(5y)11.89%
ROICexc(3y)18.83%
ROICexc(5y)14.48%
ROICexgc(3y)56.5%
ROICexgc(5y)46.83%
ROCE(3y)18.35%
ROCE(5y)14.25%
ROICexcg growth 3Y-7.93%
ROICexcg growth 5Y21.44%
ROICexc growth 3Y7.55%
ROICexc growth 5Y38.24%
OM growth 3Y8.01%
OM growth 5Y30.06%
PM growth 3Y5.57%
PM growth 5Y48.69%
GM growth 3Y1.46%
GM growth 5Y1.92%
F-Score5
Asset Turnover0.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.1 | ||
| Debt/FCF | 6.84 | ||
| Debt/EBITDA | 2.29 | ||
| Cap/Depr | 86.99% | ||
| Cap/Sales | 6.35% | ||
| Interest Coverage | 14.53 | ||
| Cash Conversion | 55.79% | ||
| Profit Quality | 72.6% | ||
| Current Ratio | 2.08 | ||
| Quick Ratio | 1.47 | ||
| Altman-Z | 3.08 |
F-Score5
WACC10.15%
ROIC/WACC1.38
Cap/Depr(3y)94.61%
Cap/Depr(5y)76.79%
Cap/Sales(3y)7.94%
Cap/Sales(5y)7.66%
Profit Quality(3y)87.1%
Profit Quality(5y)829.04%
High Growth Momentum
Growth
EPS 1Y (TTM)-11.43%
EPS 3Y6.96%
EPS 5Y11.51%
EPS Q2Q%-18.52%
EPS Next Y-10.95%
EPS Next 2Y3.07%
EPS Next 3Y8.51%
EPS Next 5Y13.74%
Revenue 1Y (TTM)-7.21%
Revenue growth 3Y4.47%
Revenue growth 5Y7.28%
Sales Q2Q%-9.31%
Revenue Next Year-5.77%
Revenue Next 2Y1.44%
Revenue Next 3Y4.54%
Revenue Next 5Y7.18%
EBIT growth 1Y-5.6%
EBIT growth 3Y12.83%
EBIT growth 5Y39.53%
EBIT Next Year8.78%
EBIT Next 3Y11.83%
EBIT Next 5Y9.61%
FCF growth 1Y-30.86%
FCF growth 3Y-3.86%
FCF growth 5Y1.78%
OCF growth 1Y-32.01%
OCF growth 3Y-3.3%
OCF growth 5Y3.23%