WBAG:NZYM

Stock Analysis Report

Executive Summary

Novozymes A/S produces and sells industrial enzymes and microorganisms worldwide.

Rewards

Earnings are forecast to grow 4.33% per year

Pays a reliable dividend of 1.4%

Risk Analysis

No risks detected for NZYM from our risk checks.


Snowflake Analysis

Excellent balance sheet with reasonable growth potential and pays a dividend.


Similar Companies

Share Price & News

How has Novozymes's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: NZYM has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.1%

NZYM

-0.6%

AT Chemicals

-1.3%

AT Market


1 Year Return

22.3%

NZYM

9.5%

AT Chemicals

3.5%

AT Market

Return vs Industry: NZYM exceeded the Austrian Chemicals industry which returned 9.5% over the past year.

Return vs Market: NZYM exceeded the Austrian Market which returned 3.5% over the past year.


Shareholder returns

NZYMIndustryMarket
7 Day-1.1%-0.6%-1.3%
30 Day6.5%2.9%0.4%
90 Day17.5%2.9%-1.2%
1 Year24.4%22.3%12.9%9.5%7.2%3.5%
3 Yearn/a18.6%7.9%27.3%15.8%
5 Yearn/a30.4%10.9%51.3%30.3%

Price Volatility Vs. Market

How volatile is Novozymes's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Novozymes undervalued compared to its fair value and its price relative to the market?

33.9x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: NZYM (€50) is trading above our estimate of fair value (€33.88)

Significantly Below Fair Value: NZYM is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: NZYM is poor value based on its PE Ratio (33.9x) compared to the Chemicals industry average (16.3x).

PE vs Market: NZYM is poor value based on its PE Ratio (33.9x) compared to the Austrian market (14.1x).


Price to Earnings Growth Ratio

PEG Ratio: NZYM is poor value based on its PEG Ratio (7.8x)


Price to Book Ratio

PB vs Industry: NZYM is overvalued based on its PB Ratio (9.2x) compared to the XE Chemicals industry average (1.6x).


Next Steps

Future Growth

How is Novozymes forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

4.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NZYM's forecast earnings growth (4.3% per year) is above the savings rate (-0.1%).

Earnings vs Market: NZYM's earnings (4.3% per year) are forecast to grow faster than the Austrian market (2.3% per year).

High Growth Earnings: NZYM's earnings are forecast to grow, but not significantly.

Revenue vs Market: NZYM's revenue (4.7% per year) is forecast to grow faster than the Austrian market (2.7% per year).

High Growth Revenue: NZYM's revenue (4.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: NZYM's Return on Equity is forecast to be high in 3 years time (31%)


Next Steps

Past Performance

How has Novozymes performed over the past 5 years?

4.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NZYM has high quality earnings.

Growing Profit Margin: NZYM's current net profit margins (21.9%) are lower than last year (22.4%).


Past Earnings Growth Analysis

Earnings Trend: NZYM's earnings have grown by 4.3% per year over the past 5 years.

Accelerating Growth: NZYM's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: NZYM had negative earnings growth (-2.2%) over the past year, making it difficult to compare to the Chemicals industry average (2.5%).


Return on Equity

High ROE: NZYM's Return on Equity (27.5%) is considered high.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Novozymes's financial position?


Financial Position Analysis

Short Term Liabilities: NZYM's short term assets (DKK7.1B) exceed its short term liabilities (DKK4.7B).

Long Term Liabilities: NZYM's short term assets (DKK7.1B) exceed its long term liabilities (DKK4.2B).


Debt to Equity History and Analysis

Debt Level: NZYM's debt to equity ratio (35.6%) is considered satisfactory.

Reducing Debt: NZYM's debt to equity ratio has increased from 15.9% to 35.6% over the past 5 years.

Debt Coverage: NZYM's debt is well covered by operating cash flow (78.2%).

Interest Coverage: NZYM earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: NZYM has a high level of physical assets or inventory.

Debt Coverage by Assets: NZYM's debt is covered by short term assets (assets are 1.7x debt).


Next Steps

Dividend

What is Novozymes's current dividend yield, its reliability and sustainability?

1.40%

Current Dividend Yield


Upcoming Dividend Payment

Purchase Novozymes before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company1.4%marketbottom25%1.6%markettop25%4.6%industryaverage3.0%forecastin3Years1.6%

Current dividend yield vs market & industry

Notable Dividend: NZYM's dividend (1.4%) isn’t notable compared to the bottom 25% of dividend payers in the Austrian market (1.58%).

High Dividend: NZYM's dividend (1.4%) is low compared to the top 25% of dividend payers in the Austrian market (4.58%).


Stability and Growth of Payments

Stable Dividend: NZYM's dividends per share have been stable in the past 10 years.

Growing Dividend: NZYM's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (47.5%), NZYM's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: NZYM's dividends in 3 years are forecast to be covered by earnings (50.2% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.0yrs

Average management tenure


CEO

Ester Baiget 0

0

Ms. Ester Baiget serves as Chief Executive Officer at Novozymes A/S Since February 1, 2020 and its President since 2020. She serves as the EMEA Commercial Director for Dow Elastomers, Electrical and Teleco ...


Leadership Team

NamePositionTenureCompensationOwnership
Lars Green
Executive VP & CFO0.4yrsø4.20m0.00035% DKK49.6k
Thomas Videbaek
Exectuive VP & COO of Research0yrsø10.50mno data
Andrew Fordyce
Executive Vice President of Food & Beverages4yrsø7.50m0.0012% DKK175.7k
Anders Lund
Executive Vice President of Household Care & Technical Industries4yrsø7.70m0.000050% DKK7.1k
Tina Fanø
Executive Vice President of Agriculture & Bioenergy4yrsø7.60m0.0036% DKK510.0k
Ester Baiget
President & CEO0yrsno datano data
Tobias Bjorklund
Head of Investor Relations0yrsno datano data
Tue Micheelsen
Vice President of Global Sales & Marketing0yrsno datano data
Pedro Fernandes
Head of Corporate Affairs & Sustainability - Novozymes Latin America0yrsno datano data
Sebastian Søderberg
VP and Head of New Business Development - Incubations & Acquisitions0yrsno datano data

4.0yrs

Average Tenure

52yo

Average Age

Experienced Management: NZYM's management team is considered experienced (4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Mathias Uhlén
Independent Director13.1yrsø500.00k0.00023% DKK32.6k
Lars Køppler
Employee Representative Director10.1yrsø500.00k0.00013% DKK18.4k
Agnete Raaschou-Nielsen
Independent Vice Chairman0yrsø1.35m0.00015% DKK21.2k
Jørgen Rasmussen
Independent Chairman3yrsø1.75m0.00071% DKK100.6k
Kim Stratton
Independent Director3yrsø750.00kno data
Kasim Kutay
Director3yrsø500.00kno data
Lena Holskov
Employee Representative Director7yrsø500.00k0.00039% DKK55.2k
Anders Knudsen
Employee Representative Director7yrsø500.00k0.00013% DKK18.4k

7.0yrs

Average Tenure

58.5yo

Average Age

Experienced Board: NZYM's board of directors are considered experienced (7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Novozymes A/S's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Novozymes A/S
  • Ticker: NZYM
  • Exchange: WBAG
  • Founded: 1925
  • Industry: Specialty Chemicals
  • Sector: Materials
  • Market Cap: ø105.880b
  • Listing Market Cap: ø14.166b
  • Shares outstanding: 282.35m
  • Website: https://www.novozymes.com

Number of Employees


Location

  • Novozymes A/S
  • Krogshoejvej 36
  • Bagsvaerd
  • Capital Region of Denmark
  • 2880
  • Denmark

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NVZM.FOTCPK (Pink Sheets LLC)YesSeries B SharesUSUSDNov 2000
NZM2DB (Deutsche Boerse AG)YesSeries B SharesDEEURNov 2000
NZYM BCPSE (OMX Nordic Exchange Copenhagen)YesSeries B SharesDKDKKNov 2000
0Q4ULSE (London Stock Exchange)YesSeries B SharesGBDKKNov 2000
NZYMBCBATS-CHIXE (BATS 'Chi-X Europe')YesSeries B SharesGBDKKNov 2000
NZYMBSWX (SIX Swiss Exchange)YesSeries B SharesCHCHFNov 2000
NZYMWBAG (Wiener Boerse AG)YesSeries B SharesATEURNov 2000
NZYM NBMV (Bolsa Mexicana de Valores)YesSeries B SharesMXMXNNov 2000
NVZM.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDFeb 2003

Biography

Novozymes A/S produces and sells industrial enzymes and microorganisms worldwide. The company offers agriculture solutions, including crop production, and animal health and nutrition solutions; liquefaction, saccharifaction, fermentation, lignecellulosic hydrolysis, and process enhancement solutions for bioenergy; baking, beverages, dairy, starch, and protein ingredients for the food and beverage industry; and laundry, dishwashing, hand washing, and cleaning solutions for the household care industry. It also provides wastewater solutions, such as additives, biogas production, industrial bio cleaning, compound removal, odor control, and system start-up solutions; and textile solutions comprising denim finishing and abrasion, biopreparation, biopolishing bleach clean-up, and desizing solutions. In addition, the company offers forest products that include bleach boosting, deinking, fiber modification, effluent control, pitch and stickies control, and starch modification products; and leather solutions, which comprise biopreparation, degreasing, and re-bating. Further, it provides pharmaceutical solutions, including lipases, immobilized lipases, and proteases for biocatalysis; and rTrypsin for cell culture. Novozymes A/S has a strategic collaboration with Boehringer Ingelheim Animal Health for the research, development, production, marketing, and sale of a portfolio of probiotic products; and development agreement with CARBIOS to produce enzyme for recycling of pet-plastics and fibers. The company was founded in 1925 and is headquartered in Bagsvaerd, Denmark. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/22 22:47
End of Day Share Price2020/02/21 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.