company background image
NKT

NKT CPSE:NKT Stock Report

Last Price

kr.320.80

Market Cap

kr.13.8b

7D

5.4%

1Y

14.4%

Updated

27 Jun, 2022

Data

Company Financials +
NKT fundamental analysis
Snowflake Score
Valuation4/6
Future Growth4/6
Past Performance2/6
Financial Health5/6
Dividends0/6

NKT Stock Overview

NKT A/S develops, manufactures, and markets cables, accessories, and solutions worldwide.

NKT Competitors

Price History & Performance

Summary of all time highs, changes and price drops for NKT
Historical stock prices
Current Share Pricekr.320.80
52 Week Highkr.347.60
52 Week Lowkr.215.60
Beta1.72
1 Month Change-2.55%
3 Month Change1.71%
1 Year Change14.41%
3 Year Change208.46%
5 Year Change-38.78%
Change since IPO351.83%

Recent News & Updates

Jun 14
Are Investors Undervaluing NKT A/S (CPH:NKT) By 33%?

Are Investors Undervaluing NKT A/S (CPH:NKT) By 33%?

Today we will run through one way of estimating the intrinsic value of NKT A/S ( CPH:NKT ) by projecting its future...

May 26
NKT's (CPH:NKT) Earnings Are Of Questionable Quality

NKT's (CPH:NKT) Earnings Are Of Questionable Quality

Despite posting some strong earnings, the market for NKT A/S' ( CPH:NKT ) stock hasn't moved much. Our analysis...

Shareholder Returns

NKTDK ElectricalDK Market
7D5.4%1.6%4.8%
1Y14.4%-28.2%-1.2%

Return vs Industry: NKT exceeded the Danish Electrical industry which returned -28.2% over the past year.

Return vs Market: NKT exceeded the Danish Market which returned -1.2% over the past year.

Price Volatility

Is NKT's price volatile compared to industry and market?
NKT volatility
NKT Average Weekly Movement7.1%
Electrical Industry Average Movement6.7%
Market Average Movement6.4%
10% most volatile stocks in DK Market10.9%
10% least volatile stocks in DK Market3.5%

Stable Share Price: NKT is not significantly more volatile than the rest of Danish stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: NKT's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
18914,420Alexander Karahttps://www.nkt.com

NKT A/S develops, manufactures, and markets cables, accessories, and solutions worldwide. It operates through Solutions, Applications, Service & Accessories, and NKT Photonics segments. It offers high voltage cable solutions, including high voltage onshore and offshore AC and DC, city, and dynamic cables; medium voltage and universal cables; and low voltage building wires, flexible cables and conduits, control cables, 1 kV cables, and telecom energy cables.

NKT Fundamentals Summary

How do NKT's earnings and revenue compare to its market cap?
NKT fundamental statistics
Market Cap€1.85b
Earnings (TTM)€9.20m
Revenue (TTM)€2.03b

201.2x

P/E Ratio

0.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
NKT income statement (TTM)
Revenue€2.03b
Cost of Revenue€1.34b
Gross Profit€695.40m
Other Expenses€686.20m
Earnings€9.20m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Aug 17, 2022

Earnings per share (EPS)0.21
Gross Margin34.23%
Net Profit Margin0.45%
Debt/Equity Ratio18.8%

How did NKT perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is NKT undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for NKT?

Other financial metrics that can be useful for relative valuation.

NKT key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1x
Enterprise Value/EBITDA23.3x
PEG Ratio3.2x

Price to Sales Ratio vs Peers

How does NKT's PS Ratio compare to its peers?

NKT PS Ratio vs Peers
The above table shows the PS ratio for NKT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average0.7x
FLS FLSmidth
0.6x6.8%kr.10.7b
ROCK B Rockwool
1.5x4.3%kr.38.3b
PAAL B Per Aarsleff Holding
0.3x3.6%kr.4.4b
SOLAR B Solar
0.4x3.2%kr.4.7b
NKT NKT
0.9x11.1%kr.13.8b

Price-To-Sales vs Peers: NKT is expensive based on its Price-To-Sales Ratio (0.9x) compared to the peer average (0.7x).


Price to Earnings Ratio vs Industry

How does NKT's PE Ratio compare vs other companies in the European Electrical Industry?

Price-To-Sales vs Industry: NKT is good value based on its Price-To-Sales Ratio (0.9x) compared to the European Electrical industry average (1.8x)


Price to Sales Ratio vs Fair Ratio

What is NKT's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

NKT PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.9x
Fair PS Ratio1.6x

Price-To-Sales vs Fair Ratio: NKT is good value based on its Price-To-Sales Ratio (0.9x) compared to the estimated Fair Price-To-Sales Ratio (1.6x).


Share Price vs Fair Value

What is the Fair Price of NKT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: NKT (DKK320.8) is trading below our estimate of fair value (DKK469.63)

Significantly Below Fair Value: NKT is trading below fair value by more than 20%.


Price to Earnings Growth Ratio

PEG Ratio: NKT is poor value based on its PEG Ratio (3.2x)


Discover undervalued companies

Future Growth

How is NKT forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


62.4%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NKT's forecast earnings growth (62.4% per year) is above the savings rate (0.09%).

Earnings vs Market: NKT's earnings (62.4% per year) are forecast to grow faster than the Danish market (9.3% per year).

High Growth Earnings: NKT's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: NKT's revenue (11.1% per year) is forecast to grow faster than the Danish market (6.4% per year).

High Growth Revenue: NKT's revenue (11.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: NKT's Return on Equity is forecast to be low in 3 years time (6.6%).


Discover growth companies

Past Performance

How has NKT performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-13.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: NKT has a large one-off gain of €22.1M impacting its March 31 2022 financial results.

Growing Profit Margin: NKT became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: NKT has become profitable over the past 5 years, growing earnings by -13% per year.

Accelerating Growth: NKT has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: NKT has become profitable in the last year, making it difficult to compare its past year earnings growth to the Electrical industry (26.1%).


Return on Equity

High ROE: NKT's Return on Equity (1.4%) is considered low.


Discover strong past performing companies

Financial Health

How is NKT's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: NKT's short term assets (€1.2B) exceed its short term liabilities (€1.1B).

Long Term Liabilities: NKT's short term assets (€1.2B) exceed its long term liabilities (€362.0M).


Debt to Equity History and Analysis

Debt Level: NKT's net debt to equity ratio (9%) is considered satisfactory.

Reducing Debt: NKT's debt to equity ratio has reduced from 66.9% to 18.8% over the past 5 years.

Debt Coverage: NKT's debt is well covered by operating cash flow (80.8%).

Interest Coverage: NKT's interest payments on its debt are not well covered by EBIT (0.7x coverage).


Balance Sheet


Discover healthy companies

Dividend

What is NKT current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


0.70%

Forecast Dividend Yield

Dividend Yield vs Market

Notable Dividend: Unable to evaluate NKT's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate NKT's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if NKT's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if NKT's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: NKT is not paying a notable dividend for the Danish market.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as NKT has not reported any payouts.


Discover strong dividend paying companies

Management

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

2.2yrs

Average management tenure


CEO

Alexander Kara (60 yo)

2.83yrs

Tenure

€2,215,200

Compensation

Mr. Alexander Kara is Chief Executive Officer and President at NKT A/S since August 1, 2019. He is an internationally experienced executive in the power distribution industry, with in-depth market knowledg...


CEO Compensation Analysis

Compensation vs Market: Alexander's total compensation ($USD2.35M) is about average for companies of similar size in the Danish market ($USD1.98M).

Compensation vs Earnings: Alexander's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: NKT's management team is considered experienced (2.2 years average tenure).


Board Members

Experienced Board: NKT's board of directors are considered experienced (4.4 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

NKT A/S's employee growth, exchange listings and data sources


Key Information

  • Name: NKT A/S
  • Ticker: NKT
  • Exchange: CPSE
  • Founded: 1891
  • Industry: Electrical Components and Equipment
  • Sector: Capital Goods
  • Implied Market Cap: kr.13.775b
  • Shares outstanding: 42.94m
  • Website: https://www.nkt.com

Number of Employees


Location

  • NKT A/S
  • Vibeholms AllE 20
  • Brøndby
  • Capital Region of Denmark
  • 2605
  • Denmark

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/27 00:00
End of Day Share Price2022/06/27 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.