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Neste Oyj

HLSE:NESTE
Snowflake Description

Flawless balance sheet average dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
NESTE
HLSE
€24B
Market Cap
  1. Home
  2. FI
  3. Energy
Company description

Neste Oyj provides renewable and oil products in Finland and other Nordic countries, Baltic Rim, other European countries, North and South America, and internationally. The last earnings update was 85 days ago. More info.


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NESTE Share Price and Events
7 Day Returns
0.6%
HLSE:NESTE
-3.3%
Europe Oil and Gas
-0.3%
FI Market
1 Year Returns
37%
HLSE:NESTE
-0.3%
Europe Oil and Gas
-4%
FI Market
NESTE Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Neste Oyj (NESTE) 0.6% 4.2% -4.7% 37% 196.1% 568.1%
Europe Oil and Gas -3.3% -0.9% -2.6% -0.3% 25.4% 6%
FI Market -0.3% -0.1% -3.6% -4% 14.5% 24.8%
1 Year Return vs Industry and Market
  • NESTE outperformed the Oil and Gas industry which returned -0.3% over the past year.
  • NESTE outperformed the Market in Finland which returned -4% over the past year.
Price Volatility
NESTE
Industry
5yr Volatility vs Market
Related Companies

Value

 Is Neste Oyj undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Neste Oyj to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Neste Oyj.

HLSE:NESTE Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 17 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 6.9%
Perpetual Growth Rate 10-Year FI Government Bond Rate 0.5%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for HLSE:NESTE
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year FI Govt Bond Rate 0.5%
Equity Risk Premium S&P Global 6.5%
Oil and Gas Unlevered Beta Simply Wall St/ S&P Global 0.92
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.919 (1 + (1- 20%) (5.83%))
0.975
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.97
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.54% + (0.975 * 6.51%)
6.89%

Discounted Cash Flow Calculation for HLSE:NESTE using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Neste Oyj is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

HLSE:NESTE DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (EUR, Millions) Source Present Value
Discounted (@ 6.89%)
2020 982.61 Analyst x10 919.31
2021 1,111.78 Analyst x9 973.16
2022 1,487.67 Analyst x3 1,218.30
2023 1,798.00 Analyst x1 1,377.60
2024 2,038.82 Est @ 13.39% 1,461.49
2025 2,233.28 Est @ 9.54% 1,497.76
2026 2,386.00 Est @ 6.84% 1,497.10
2027 2,504.08 Est @ 4.95% 1,469.99
2028 2,594.88 Est @ 3.63% 1,425.17
2029 2,664.95 Est @ 2.7% 1,369.37
Present value of next 10 years cash flows €13,209.25
HLSE:NESTE DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= €2,664.95 × (1 + 0.54%) ÷ (6.89% – 0.54%)
€42,227.49
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= €42,227.49 ÷ (1 + 6.89%)10
€21,698.35
HLSE:NESTE Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= €13,209.25 + €21,698.35
€34,907.60
Equity Value per Share
(EUR)
= Total value / Shares Outstanding
= €34,907.60 / 767.66
€45.47
HLSE:NESTE Discount to Share Price
Calculation Result
Value per share (EUR) From above. €45.47
Current discount Discount to share price of €30.69
= -1 x (€30.69 - €45.47) / €45.47
32.5%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Neste Oyj is available for.
Intrinsic value
33%
Share price is €30.69 vs Future cash flow value of €45.47
Current Discount Checks
For Neste Oyj to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Neste Oyj's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Neste Oyj's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Neste Oyj's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Neste Oyj's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
HLSE:NESTE PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in EUR €0.94
HLSE:NESTE Share Price ** HLSE (2019-07-19) in EUR €30.69
Europe Oil and Gas Industry PE Ratio Median Figure of 90 Publicly-Listed Oil and Gas Companies 9.52x
Finland Market PE Ratio Median Figure of 107 Publicly-Listed Companies 21.32x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Neste Oyj.

HLSE:NESTE PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= HLSE:NESTE Share Price ÷ EPS (both in EUR)

= 30.69 ÷ 0.94

32.53x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Neste Oyj is overvalued based on earnings compared to the Europe Oil and Gas industry average.
  • Neste Oyj is overvalued based on earnings compared to the Finland market.
Price based on expected Growth
Does Neste Oyj's expected growth come at a high price?
Raw Data
HLSE:NESTE PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 32.53x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 17 Analysts
8.7%per year
Europe Oil and Gas Industry PEG Ratio Median Figure of 56 Publicly-Listed Oil and Gas Companies 0.84x
Finland Market PEG Ratio Median Figure of 92 Publicly-Listed Companies 1.82x

*Line of best fit is calculated by linear regression .

HLSE:NESTE PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 32.53x ÷ 8.7%

3.74x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Neste Oyj is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Neste Oyj's assets?
Raw Data
HLSE:NESTE PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in EUR €6.43
HLSE:NESTE Share Price * HLSE (2019-07-19) in EUR €30.69
Europe Oil and Gas Industry PB Ratio Median Figure of 186 Publicly-Listed Oil and Gas Companies 0.82x
Finland Market PB Ratio Median Figure of 142 Publicly-Listed Companies 1.95x
HLSE:NESTE PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= HLSE:NESTE Share Price ÷ Book Value per Share (both in EUR)

= 30.69 ÷ 6.43

4.78x

* Primary Listing of Neste Oyj.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Neste Oyj is overvalued based on assets compared to the Europe Oil and Gas industry average.
X
Value checks
We assess Neste Oyj's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Oil and Gas industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Oil and Gas industry average (and greater than 0)? (1 check)
  5. Neste Oyj has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Neste Oyj expected to perform in the next 1 to 3 years based on estimates from 17 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
8.7%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Neste Oyj expected to grow at an attractive rate?
  • Neste Oyj's earnings growth is expected to exceed the low risk savings rate of 0.5%.
Growth vs Market Checks
  • Neste Oyj's earnings growth is positive but not above the Finland market average.
  • Neste Oyj's revenue growth is positive but not above the Finland market average.
Annual Growth Rates Comparison
Raw Data
HLSE:NESTE Future Growth Rates Data Sources
Data Point Source Value (per year)
HLSE:NESTE Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 17 Analysts 8.7%
HLSE:NESTE Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 17 Analysts 1.1%
Europe Oil and Gas Industry Earnings Growth Rate Market Cap Weighted Average 5.8%
Europe Oil and Gas Industry Revenue Growth Rate Market Cap Weighted Average 2.5%
Finland Market Earnings Growth Rate Market Cap Weighted Average 13.9%
Finland Market Revenue Growth Rate Market Cap Weighted Average 2%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
HLSE:NESTE Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 17 Analyst Estimates (S&P Global) See Below
All numbers in EUR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
HLSE:NESTE Future Estimates Data
Date (Data in EUR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 17,059 2,419 1,800 1
2022-12-31 14,521 2,124 1,550 3
2021-12-31 15,377 1,897 1,532 12
2020-12-31 14,867 1,844 1,476 15
2019-12-31 15,108 1,578 1,332 15
HLSE:NESTE Past Financials Data
Date (Data in EUR Millions) Revenue Cash Flow Net Income *
2019-03-31 13,606 1,229 724
2018-12-31 13,466 1,452 778
2018-09-30 12,535 1,369 894
2018-06-30 11,880 1,511 992
2018-03-31 12,290 1,373 1,058
2017-12-31 11,732 1,094 911
2017-09-30 10,720 1,044 927
2017-06-30 10,525 860 912
2017-03-31 10,173 1,120 926
2016-12-31 9,408 1,193 939
2016-09-30 8,966 1,178 886
2016-06-30 8,956 1,294 762

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Neste Oyj's earnings are expected to grow by 8.7% yearly, however this is not considered high growth (20% yearly).
  • Neste Oyj's revenue is expected to grow by 1.1% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
HLSE:NESTE Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 17 Analyst Estimates (S&P Global) See Below

All data from Neste Oyj Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

HLSE:NESTE Future Estimates Data
Date (Data in EUR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 2.35 2.35 2.35 1.00
2022-12-31 2.02 2.21 1.83 2.00
2021-12-31 1.99 2.29 1.71 6.00
2020-12-31 1.88 2.26 1.56 9.00
2019-12-31 1.73 1.91 1.64 9.00
HLSE:NESTE Past Financials Data
Date (Data in EUR Millions) EPS *
2019-03-31 0.94
2018-12-31 1.01
2018-09-30 1.16
2018-06-30 1.29
2018-03-31 1.38
2017-12-31 1.19
2017-09-30 1.21
2017-06-30 1.19
2017-03-31 1.21
2016-12-31 1.22
2016-09-30 1.16
2016-06-30 0.99

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Neste Oyj is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Neste Oyj's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Neste Oyj has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Neste Oyj performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Neste Oyj's growth in the last year to its industry (Oil and Gas).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Neste Oyj has delivered over 20% year on year earnings growth in the past 5 years.
  • Neste Oyj's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Neste Oyj's 1-year earnings growth is negative, it can't be compared to the Europe Oil and Gas industry average.
Earnings and Revenue History
Neste Oyj's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Neste Oyj Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

HLSE:NESTE Past Revenue, Cash Flow and Net Income Data
Date (Data in EUR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 13,606.00 724.00 447.00
2018-12-31 13,466.00 778.00 449.00
2018-09-30 12,535.00 894.00 391.00
2018-06-30 11,880.00 992.00 386.00
2018-03-31 12,290.00 1,058.00 426.00
2017-12-31 11,732.00 911.00 419.00
2017-09-30 10,720.00 927.00 366.00
2017-06-30 10,525.00 912.00 359.00
2017-03-31 10,173.00 926.00 357.00
2016-12-31 9,408.00 939.00 349.00
2016-09-30 8,966.00 886.00 349.00
2016-06-30 8,956.00 762.00 352.00
2016-03-31 8,632.00 591.00 353.00
2015-12-31 9,070.00 558.00 351.00
2015-09-30 9,982.00 328.00 370.00
2015-06-30 10,804.00 215.00 363.00
2015-03-31 12,303.00 212.00 355.00
2014-12-31 13,069.00 57.00 360.00
2014-09-30 14,155.00 272.00 358.00
2014-06-30 14,939.00 450.00 367.00
2014-03-31 14,806.00 501.00 374.00
2013-12-31 15,554.00 523.00 376.00
2013-09-30 15,924.00 347.00 435.00
2013-06-30 15,806.00 285.00 426.00
2013-03-31 16,151.00 82.00 419.00
2012-12-31 16,407.00 157.00 415.00
2012-09-30 16,300.00 117.00 401.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Neste Oyj has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Neste Oyj used its assets more efficiently than the Europe Oil and Gas industry average last year based on Return on Assets.
  • Neste Oyj has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Neste Oyj's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Oil and Gas industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Neste Oyj has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Neste Oyj's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Neste Oyj's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Neste Oyj is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Neste Oyj's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Neste Oyj's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 3.1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Neste Oyj Company Filings, last reported 3 months ago.

HLSE:NESTE Past Debt and Equity Data
Date (Data in EUR Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 4,936.00 1,373.00 1,291.00
2018-12-31 4,630.00 1,039.00 1,210.00
2018-09-30 4,494.00 1,158.00 999.00
2018-06-30 4,315.00 1,150.00 886.00
2018-03-31 4,670.00 1,196.00 1,004.00
2017-12-31 4,338.00 1,095.00 783.00
2017-09-30 4,120.00 1,169.00 496.00
2017-06-30 3,898.00 1,171.00 222.00
2017-03-31 3,987.00 1,230.00 511.00
2016-12-31 3,755.00 1,383.00 788.00
2016-09-30 3,530.00 1,486.00 523.00
2016-06-30 3,301.00 1,790.00 679.00
2016-03-31 3,095.00 1,817.00 594.00
2015-12-31 3,104.00 1,777.00 601.00
2015-09-30 2,865.00 1,933.00 339.00
2015-06-30 2,747.00 2,253.00 397.00
2015-03-31 2,826.00 2,275.00 561.00
2014-12-31 2,659.00 1,732.00 247.00
2014-09-30 2,769.00 1,980.00 176.00
2014-06-30 2,786.00 1,841.00 269.00
2014-03-31 2,941.00 1,695.00 168.00
2013-12-31 2,924.00 1,606.00 506.00
2013-09-30 2,758.00 1,914.00 92.00
2013-06-30 2,557.00 1,972.00 175.00
2013-03-31 2,578.00 2,213.00 174.00
2012-12-31 2,540.00 2,169.00 409.00
2012-09-30 2,548.00 2,590.00 367.00
  • Neste Oyj's level of debt (27.8%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (57.7% vs 27.8% today).
  • Debt is well covered by operating cash flow (89.5%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 32.6x coverage).
X
Financial health checks
We assess Neste Oyj's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Neste Oyj has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.48%
Current annual income from Neste Oyj dividends. Estimated to be 3.17% next year.
If you bought €2,000 of Neste Oyj shares you are expected to receive €50 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Neste Oyj's pays a higher dividend yield than the bottom 25% of dividend payers in Finland (2.3%).
  • Neste Oyj's dividend is below the markets top 25% of dividend payers in Finland (5.21%).
Upcoming dividend payment

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

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
HLSE:NESTE Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 17 Analyst Estimates (S&P Global) See Below
Europe Oil and Gas Industry Average Dividend Yield Market Cap Weighted Average of 56 Stocks 5.7%
Finland Market Average Dividend Yield Market Cap Weighted Average of 100 Stocks 4.4%
Finland Minimum Threshold Dividend Yield 10th Percentile 1.5%
Finland Bottom 25% Dividend Yield 25th Percentile 2.3%
Finland Top 25% Dividend Yield 75th Percentile 5.2%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

HLSE:NESTE Future Dividends Estimate Data
Date (Data in €) Dividend per Share (annual) Avg. No. Analysts
2023-12-31 1.26 3.00
2022-12-31 1.09 4.00
2021-12-31 1.01 16.00
2020-12-31 0.97 18.00
2019-12-31 0.87 18.00
HLSE:NESTE Past Annualized Dividends Data
Date (Data in €) Dividend per share (annual) Avg. Yield (%)
2019-04-02 0.760 2.485
2018-02-07 0.567 2.435
2017-04-05 0.433 3.192
2016-03-07 0.333 2.970
2016-02-04 0.333 3.600
2015-03-03 0.217 2.699
2015-02-04 0.217 2.854
2014-02-04 0.217 4.055
2013-02-05 0.127 2.965
2012-08-02 0.117 3.581
2012-02-03 0.117 4.045
2011-02-04 0.117 3.739
2010-04-15 0.083 2.102
2009-02-05 0.267 7.233

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Neste Oyj's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.2x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (2x coverage).
X
Income/ dividend checks
We assess Neste Oyj's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.5%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Neste Oyj afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Neste Oyj has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Neste Oyj's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Peter Z. Vanacker
COMPENSATION €900,040
AGE 53
TENURE AS CEO 0.7 years
CEO Bio

Mr. Peter Z. E. Vanacker has been President, CEO and Chairman of Executive Board at Neste Oyj since November 1, 2018. He served as the Chief Executive Officer of CABB Group Gmbh from April 2015 to August 27, 2018. Mr. Vanacker served as Chief Executive Officer and Member of The Executive Board of Treofan Holdings GmbH. He focused on the areas of Commercial Operations for the Packaging, Labels, Tobacco and Electronics Businesses, Innovation, Corporate Development, Communications, and Legal Affairs & Patents. He served as the Chief Executive Officer of Treofan Germany GmbH & Co. KG (also known as Treofan Group) since September 1, 2012. Mr. Vanacker served as the Head of Industrial Marketing and Innovation at Bayer MaterialScience LLC since July 1, 2011. In this role, he was responsible for driving industrial marketing and innovation at BMS, and lead its development business activities in functional films and carbon nanotubes, among others. He served as Head of Industrial Marketing & Innovation at Bayer MaterialScience AG since July 1, 2011. He served as the Head of Polyurethanes Business of Bayer MaterialScience LLC. He served as the Head of Polyurethanes Business Unit of Bayer MaterialScience AG from 2004 to July 2011. He joined Bayer N.V. in 1990, as Technical Account Manager for Polyurethanes in Belgium, The Netherlands and Luxembourg. In 1994, he transferred to Bayer in Germany as Sales Manager for the global elastomers business and since 1996, he served as Head of Marketing for the electrical encapsulation segment and specialty raw materials. Mr. Vanacker served as Head of Polyurethanes for the South American market for Bayer. He transferred to the USA in 2001 and served as Vice President, Polyurethanes Specialties for the NAFTA region for Bayer. Mr. Vanacker served as Senior Vice President and Head of the Polymer Solutions Division in the Americas region for Bayer since 2002. He served as Head of the Europe, Middle East and Africa (EMEA) region of the former subgroup Bayer Polymers since 2003. Mr. Vanacker holds MS degree in Chemical Engineering and Polymers Engineering from the University of Gent and a Master's in Business Administration from the European Institute of Higher Education (EHSAL) in Brussels.

CEO Compensation
  • Insufficient data for Peter Z. to compare compensation growth.
  • Peter Z.'s remuneration is about average for companies of similar size in Finland.
Management Team Tenure

Average tenure and age of the Neste Oyj management team in years:

7
Average Tenure
53
Average Age
  • The average tenure for the Neste Oyj management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Peter Z. Vanacker

TITLE
President
COMPENSATION
€900K
AGE
53
TENURE
0.7 yrs

Jyrki Mäki-Kala

TITLE
CFO & Member of the Executive Board
AGE
58
TENURE
6.2 yrs

Hannele Jakosuo-Jansson

TITLE
Senior VP of Human Resources & Safety and Member of the Executive Board
AGE
53
TENURE
13.5 yrs

Matti Lehmus

TITLE
Executive Vice President of the Renewables Platform
AGE
45
TENURE
10.5 yrs

Simo Honkanen

TITLE
Senior VP of Sustainability
AGE
61
TENURE
10.5 yrs

Lars Lindfors

TITLE
Senior VP of Technology & Member of Executive Board
AGE
55
TENURE
10.5 yrs

Panu Kopra

TITLE
Executive VP of Marketing & Services and Member of Executive Board
AGE
47
TENURE
3.2 yrs

Christian Ståhlberg

TITLE
General Counsel & Member of the Executive Board
AGE
45
TENURE
2 yrs

Tommi Tuovila

TITLE
Chief Information Officer
TENURE
6.3 yrs

Juha-Pekka Kekäläinen

TITLE
Vice President of Investor Relations
AGE
57
TENURE
7.8 yrs
Board of Directors Tenure

Average tenure and age of the Neste Oyj board of directors in years:

3.3
Average Tenure
60.5
Average Age
  • The tenure for the Neste Oyj board of directors is about average.
Board of Directors

Matti Kähkönen

TITLE
Chairman of the Board
COMPENSATION
€77K
AGE
63
TENURE
1.3 yrs

Marco Wirén

TITLE
Vice Chair
COMPENSATION
€55K
AGE
53
TENURE
0.3 yrs

Anne Kalmari

TITLE
Chairman of Stakeholder Advisory Panel

Timo Harakka

TITLE
Vice Chairman of Stakeholder Advisory Panel

Willem Jan Antoon Schoeber

TITLE
Independent Non-Executive Director
COMPENSATION
€61K
AGE
71
TENURE
6.3 yrs

Jean Baptiste Renard

TITLE
Independent Non-Executive Director
COMPENSATION
€61K
AGE
58
TENURE
5.3 yrs

Pekka Haavisto

TITLE
Member of Stakeholder Advisory Panel

Teuvo Hakkarainen

TITLE
Member of Stakeholder Advisory Panel

Harri Jaskari

TITLE
Member of Stakeholder Advisory Panel

Sanna Lauslahti

TITLE
Member of Stakeholder Advisory Panel
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
X
Management checks
We assess Neste Oyj's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Neste Oyj has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Neste Oyj (HEL:NESTE): What Are The Future Prospects?

Since Neste Oyj (HEL:NESTE) released its earnings in March 2019, analysts seem highly optimistic, as a 90% rise in profits is expected in the upcoming year, relative to the previous 5-year average growth rate of 23%. … To reduce the year-on-year volatility of analyst earnings forecast, I've inserted a line of best fit through the expected earnings figures to determine the annual growth rate from the slope of the line. … HLSE:NESTE Past and Future Earnings, July 16th 2019 From the current net income level of €778m and the final forecast of €1.6b by 2022, the annual rate of growth for NESTE’s earnings is 8.4%.

Simply Wall St -

Is Neste Oyj (HEL:NESTE) A Great Dividend Stock?

It's positive to see that Neste Oyj's dividend is covered by both profits and cash flow, since this is generally a sign that the dividend is sustainable, and a lower payout ratio usually suggests a greater margin of safety before the dividend gets cut. … For the purpose of this article, we only scrutinise the last decade of Neste Oyj's dividend payments. … Neste Oyj's is paying out more than half its income as dividends, but at least the dividend is covered by both reported earnings and cashflow.

Simply Wall St -

Is Neste Oyj (HEL:NESTE) As Strong As Its Balance Sheet Indicates?

Check out our latest analysis for Neste Oyj Does NESTE Produce Much Cash Relative To Its Debt? … Additionally, NESTE has produced €1.2b in operating cash flow in the last twelve months, resulting in an operating cash to total debt ratio of 90%, meaning that NESTE’s current level of operating cash is high enough to cover debt. … At the current liabilities level of €2.1b, it seems that the business has been able to meet these obligations given the level of current assets of €4.3b, with a current ratio of 2.05x.

Simply Wall St -

How Much Of Neste Oyj (HEL:NESTE) Do Institutions Own?

Our analysis of the ownership of the company, below, shows that institutional investors have bought into the company. … View our latest analysis for Neste Oyj HLSE:NESTE Ownership Summary, May 28th 2019 What Does The Institutional Ownership Tell Us About Neste Oyj? … We can see that Neste Oyj does have institutional investors; and they hold 21% of the stock.

Simply Wall St -

Despite Its High P/E Ratio, Is Neste Oyj (HEL:NESTE) Still Undervalued?

We'll apply a basic P/E ratio analysis to Neste Oyj's (HEL:NESTE), to help you decide if the stock is worth further research. … View our latest analysis for Neste Oyj How Do I Calculate Neste Oyj's Price To Earnings Ratio? … The formula for P/E is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for Neste Oyj: P/E of 32.6 = €30.75 ÷ €0.94 (Based on the trailing twelve months to March 2019.) Is A High Price-to-Earnings Ratio Good?

Simply Wall St -

Neste Oyj (HEL:NESTE): How To Win In A Volatile Market

Help shape the future of investing tools and you could win a $250 gift card! … The risk of investing in the stock market is a systematic crash. … Neste Oyj provides renewable and oil products in Finland and other Nordic countries, Baltic Rim, other European countries, North and South America, and internationally.

Simply Wall St -

Estimating The Fair Value Of Neste Oyj (HEL:NESTE)

by taking the expected future cash flows and discounting them to today's value. … I will use the Discounted Cash Flow (DCF) model! … If you want to learn more about discounted cash flow, the rationale behind this calculation can be read in detail in the Simply Wall St analysis model?

Simply Wall St -

What Can We Make Of Neste Oyj’s (HEL:NESTE) High Return On Capital?

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … What is Return On Capital Employed (ROCE)? … The formula for calculating the return on capital employed is:

Simply Wall St -

Neste Oyj (HEL:NESTE): Immense Growth Potential?

The most recent earnings update Neste Oyj's (HEL:NESTE) released in December 2018a … showed

Simply Wall St -

Is Neste Oyj (HEL:NESTE) An Attractive Dividend Stock?

A sizeable part of portfolio returns can be produced by dividend stocks due to their contribution to compounding returns in the long run. … Historically, Neste Oyj (HEL:NESTE) has been paying a dividend to shareholders. … Let's dig deeper into whether Neste Oyj should have a place in your portfolio.

Simply Wall St -

Company Info

Description

Neste Oyj provides renewable and oil products in Finland and other Nordic countries, Baltic Rim, other European countries, North and South America, and internationally. The company operates in four segments: Renewable Products, Oil Products, Marketing & Services, and Others. The Renewable Products segment produces, markets, and sells renewable diesel, renewable jet fuels and solutions, and renewable solvents, as well as raw material for bioplastics to retailers; wholesale customers, such as professional transportation companies and municipalities, fleets, and chemical industry producers; and brand owners and oil companies. The Oil Products segment produces, markets, and sells diesel fuel, gasoline, aviation and marine fuels, light and heavy fuel oils, base oils, gasoline components, small engine gasoline, solvents, liquid gases, and bitumen. It serves oil and petrochemicals companies; and companies marketing oil, fuels, lubricants, and other special products. The Marketing & Services segment markets and sells petroleum products and associated services to private motorists, industry, transport companies, farmers, and heating oil customers through a network of 800 service station, as well as direct sales. The Others segment offers engineering and technology solutions. The company was formerly known as Neste Oil Oyj and changed its name to Neste Oyj in June 2015. Neste Oyj was founded in 1948 and is headquartered in Espoo, Finland.

Details
Name: Neste Oyj
NESTE
Exchange: HLSE
Founded: 1948
€23,559,429,267
767,658,171
Website: http://www.neste.com
Address: Neste Oyj
Keilaranta 21,
PO Box 95,
Espoo,
Uusimaa, 00095,
Finland
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
HLSE NESTE Ordinary Shares OMX Nordic Exchange Helsinki FI EUR 18. Apr 2005
OTCPK NTOI.F Ordinary Shares Pink Sheets LLC US USD 18. Apr 2005
DB NEF Ordinary Shares Deutsche Boerse AG DE EUR 18. Apr 2005
LSE 0O46 Ordinary Shares London Stock Exchange GB EUR 18. Apr 2005
BATS-CHIXE NESTEH Ordinary Shares BATS 'Chi-X Europe' GB EUR 18. Apr 2005
OTCPK NTOI.Y UNSPONSORD ADR Pink Sheets LLC US USD 20. Oct 2008
Number of employees
Current staff
Staff numbers
5,506
Neste Oyj employees.
Industry
Oil and Gas Refining and Marketing
Energy
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/20 20:54
End of day share price update: 2019/07/19 00:00
Last estimates confirmation: 2019/07/19
Last earnings filing: 2019/04/26
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.