CNH Industrial Valuation
Is CNHI undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
5/6Valuation Score 5/6
Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of CNHI when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: CNHI (€10.34) is trading below our estimate of fair value (€13.41)
Significantly Below Fair Value: CNHI is trading below fair value by more than 20%.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for CNHI?
Key metric: As CNHI is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.
| What is CNHI's PE Ratio? | |
|---|---|
| PE Ratio | 7.8x |
| Earnings | US$1.75b |
| Market Cap | US$13.61b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 1.8x |
| Enterprise Value/EBITDA | 15.3x |
| PEG Ratio | -41.6x |
Price to Earnings Ratio vs Peers
How does CNHI's PE Ratio compare to its peers?
| Company | Forward PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 11.8x | ||
ANDR Andritz | 10.3x | 8.8% | €5.2b |
STR Strabag | 7.2x | -5.6% | €4.6b |
6326 Kubota | 8.8x | 3.5% | JP¥2.2t |
TTC Toro | 21x | 7.4% | US$8.3b |
CNHI CNH Industrial | 7.8x | -0.2% | €13.6b |
Price-To-Earnings vs Peers: CNHI is good value based on its Price-To-Earnings Ratio (7.8x) compared to the peer average (11.8x).
Price to Earnings Ratio vs Industry
How does CNHI's PE Ratio compare vs other companies in the European Machinery Industry?
| 3 Companies | Price / Earnings | Estimated Growth | Market Cap |
|---|---|---|---|
| 3 Companies | Estimated Growth | Market Cap | |
|---|---|---|---|
Price-To-Earnings vs Industry: CNHI is good value based on its Price-To-Earnings Ratio (7.8x) compared to the European Machinery industry average (17.5x).
Price to Earnings Ratio vs Fair Ratio
What is CNHI's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 7.8x |
| Fair PE Ratio | 11.3x |
Price-To-Earnings vs Fair Ratio: CNHI is good value based on its Price-To-Earnings Ratio (7.8x) compared to the estimated Fair Price-To-Earnings Ratio (11.3x).
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
| Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
|---|---|---|---|---|---|---|---|
| Current | €10.47 | €12.58 +20.2% | 16.4% | €16.69 | €9.27 | n/a | 19 |
| Oct ’25 | €10.02 | €12.29 +22.7% | 16.6% | €16.11 | €8.95 | n/a | 20 |
| Sep ’25 | €9.24 | €12.55 +35.9% | 16.5% | €16.24 | €9.02 | n/a | 19 |
| Aug ’25 | €9.49 | €13.44 +41.6% | 13.5% | €16.68 | €9.27 | n/a | 19 |
| Jul ’25 | €9.16 | €14.14 +54.4% | 11.5% | €16.85 | €11.24 | n/a | 19 |
| Jun ’25 | €9.55 | €13.75 +44.0% | 11.3% | €16.41 | €11.06 | n/a | 18 |
| May ’25 | €10.71 | €14.32 +33.7% | 9.7% | €16.90 | €12.20 | n/a | 18 |
| Apr ’25 | €11.98 | €14.02 +17.1% | 9.7% | €16.48 | €11.63 | n/a | 18 |
| Mar ’25 | €11.04 | €13.98 +26.7% | 10.5% | €17.58 | €11.75 | n/a | 18 |
| Feb ’25 | €11.21 | €13.76 +22.8% | 19.2% | €23.00 | €10.58 | n/a | 19 |
| Jan ’25 | €11.13 | €14.52 +30.5% | 19.6% | €22.93 | €10.55 | n/a | 16 |
| Dec ’24 | €10.22 | €14.55 +42.4% | 19.8% | €22.99 | €10.57 | n/a | 15 |
| Nov ’24 | €10.37 | €16.50 +59.2% | 24.0% | €29.27 | €13.22 | €10.47 | 14 |
| Oct ’24 | €11.57 | €17.14 +48.2% | 21.2% | €29.51 | €13.33 | €10.02 | 15 |
| Sep ’24 | €12.75 | €16.97 +33.1% | 19.5% | €28.41 | €14.21 | €9.24 | 16 |
| Aug ’24 | €13.22 | €17.11 +29.5% | 19.1% | €28.19 | €14.10 | €9.49 | 15 |
| Jul ’24 | €13.20 | €17.81 +35.0% | 18.1% | €28.52 | €14.47 | €9.16 | 15 |
| Jun ’24 | €12.26 | €18.03 +47.1% | 17.5% | €28.81 | €14.62 | €9.55 | 16 |
| May ’24 | €12.74 | €17.75 +39.3% | 17.0% | €28.28 | €14.69 | €10.71 | 17 |
| Apr ’24 | €14.12 | €17.99 +27.4% | 17.1% | €28.58 | €14.84 | €11.98 | 17 |
| Mar ’24 | €15.48 | €18.38 +18.7% | 17.1% | €29.22 | €15.18 | €11.04 | 17 |
| Feb ’24 | €16.31 | €17.76 +8.9% | 17.5% | €28.53 | €14.16 | €11.21 | 17 |
| Jan ’24 | €15.06 | €16.82 +11.8% | 10.8% | €19.78 | €13.36 | €11.13 | 16 |
| Dec ’23 | €15.63 | €16.20 +3.7% | 9.4% | €18.29 | €13.48 | €10.22 | 15 |
| Nov ’23 | €13.03 | €15.79 +21.2% | 10.6% | €18.25 | €12.31 | €10.37 | 14 |
Analyst Forecast: Target price is less than 20% higher than the current share price.
Discover undervalued companies
SGL Carbon
€542.3m
Engages in the manufacture and sale of special graphite, carbon fibers, and composite products in Germany, rest of Europe, the United States, China, rest of Asia, and internationally.
SGL
€4.45
7D
-5.2%
1Y
-27.3%
Andritz
€5.2b
Provides plants, equipment, and services for pulp and paper industry, metalworking and steel industries, hydropower stations, and solid/liquid separation in the municipal and industrial sectors in Europe, North America, South America, China, Asia, and internationally.
ANDR
€51.95
7D
-2.3%
1Y
5.2%
Heidelberger Druckmaschinen
€287.9m
Manufactures, sells, and deals in printing presses and other print media industry products in Europe, the Middle East, Africa, the Asia Pacific, and the Americas.
HDD
€0.94
7D
-5.3%
1Y
-27.3%