Market Cap
US$12.0b
Last Updated
2020/10/20 00:47 UTC
Data Sources
Company Financials +
Executive Summary
Nordson Corporation engineers, manufactures, and markets products and systems to dispense, apply, and control adhesives, coatings, polymers, sealants, biomaterials, and other fluids worldwide. More Details
Rewards
Risk Analysis
Snowflake Analysis
Adequate balance sheet with proven track record.
Similar Companies
Share Price & News
How has Nordson's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: NDSN has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
2.0%
NDSN
0.1%
US Machinery
-2.4%
US Market
1 Year Return
35.5%
NDSN
13.8%
US Machinery
18.2%
US Market
Return vs Industry: NDSN exceeded the US Machinery industry which returned 16% over the past year.
Return vs Market: NDSN exceeded the US Market which returned 19.5% over the past year.
Shareholder returns
| NDSN | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.0% | 0.1% | -2.4% |
| 30 Day | 8.0% | 3.8% | 4.2% |
| 90 Day | 7.5% | 13.8% | 6.3% |
| 1 Year | 36.7%35.5% | 16.7%13.8% | 20.9%18.2% |
| 3 Year | 69.9%65.0% | 24.0%15.1% | 41.2%31.8% |
| 5 Year | 216.5%200.5% | 109.2%85.8% | 84.8%63.9% |
Price Volatility Vs. Market
How volatile is Nordson's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 months ago | Simply Wall St
Why Nordson Corporation (NASDAQ:NDSN) Is A Top Dividend Stock7 months ago | Simply Wall St
A Sliding Share Price Has Us Looking At Nordson Corporation's (NASDAQ:NDSN) P/E Ratio7 months ago | Simply Wall St
Does Nordson (NASDAQ:NDSN) Deserve A Spot On Your Watchlist?Valuation
Is Nordson undervalued compared to its fair value and its price relative to the market?
35.8x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: NDSN ($207.33) is trading above our estimate of fair value ($181.82)
Significantly Below Fair Value: NDSN is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: NDSN is poor value based on its PE Ratio (35.8x) compared to the US Machinery industry average (25.7x).
PE vs Market: NDSN is poor value based on its PE Ratio (35.8x) compared to the US market (19x).
Price to Earnings Growth Ratio
PEG Ratio: NDSN is poor value based on its PEG Ratio (2.6x)
Price to Book Ratio
PB vs Industry: NDSN is overvalued based on its PB Ratio (6.8x) compared to the US Machinery industry average (2.4x).
Next Steps
Future Growth
How is Nordson forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
13.7%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NDSN's forecast earnings growth (13.7% per year) is above the savings rate (2.2%).
Earnings vs Market: NDSN's earnings (13.7% per year) are forecast to grow slower than the US market (22.1% per year).
High Growth Earnings: NDSN's earnings are forecast to grow, but not significantly.
Revenue vs Market: NDSN's revenue (7.5% per year) is forecast to grow slower than the US market (10% per year).
High Growth Revenue: NDSN's revenue (7.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: NDSN's Return on Equity is forecast to be high in 3 years time (24.2%)
Next Steps
Past Performance
How has Nordson performed over the past 5 years?
9.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NDSN has high quality earnings.
Growing Profit Margin: NDSN's current net profit margins (15.5%) are higher than last year (14.8%).
Past Earnings Growth Analysis
Earnings Trend: NDSN's earnings have grown by 9.3% per year over the past 5 years.
Accelerating Growth: NDSN's earnings growth over the past year (3.9%) is below its 5-year average (9.3% per year).
Earnings vs Industry: NDSN earnings growth over the past year (3.9%) exceeded the Machinery industry -13.1%.
Return on Equity
High ROE: NDSN's Return on Equity (18.9%) is considered low.
Next Steps
Financial Health
How is Nordson's financial position?
Financial Position Analysis
Short Term Liabilities: NDSN's short term assets ($1.1B) exceed its short term liabilities ($347.2M).
Long Term Liabilities: NDSN's short term assets ($1.1B) do not cover its long term liabilities ($1.7B).
Debt to Equity History and Analysis
Debt Level: NDSN's debt to equity ratio (71.5%) is considered high.
Reducing Debt: NDSN's debt to equity ratio has reduced from 114.2% to 71.5% over the past 5 years.
Debt Coverage: NDSN's debt is well covered by operating cash flow (36.1%).
Interest Coverage: NDSN's interest payments on its debt are well covered by EBIT (12.8x coverage).
Balance Sheet
Next Steps
Dividend
What is Nordson current dividend yield, its reliability and sustainability?
0.75%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: NDSN's dividend (0.75%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.62%).
High Dividend: NDSN's dividend (0.75%) is low compared to the top 25% of dividend payers in the US market (4.66%).
Stability and Growth of Payments
Stable Dividend: NDSN is not paying a notable dividend for the US market, therefore no need to check if payments are stable.
Growing Dividend: NDSN is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: NDSN is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of NDSN's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.8yrs
Average management tenure
CEO
Naga Nagarajan (57 yo)
1.17yrs
Tenure
US$2,161,323
Compensation
Mr. Sundaram Nagarajan, also known as Naga, has been the President, Director and Chief Executive Officer of Nordson Corporation since August 1, 2019. Mr. Nagarajan served as an Executive Vice President of ...
CEO Compensation Analysis
Compensation vs Market: Naga's total compensation ($USD2.16M) is below average for companies of similar size in the US market ($USD11.20M).
Compensation vs Earnings: Insufficient data to compare Naga's compensation with company performance.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 1.17yrs | US$2.16m | 0.049% $ 5.9m | |
| Executive Vice President | 8.75yrs | US$3.19m | 0.098% $ 11.8m | |
| Executive Vice President | 5.75yrs | US$2.05m | 0.042% $ 5.0m | |
| Executive Vice President | 7.75yrs | US$2.52m | 0.11% $ 13.0m | |
| Executive VP & CFO | 0.25yr | no data | 0.011% $ 1.3m | |
| Executive Vice President of Human Resources & Information Systems | 17.08yrs | no data | 0.051% $ 6.2m | |
| Vice President of Investor Relations & Corporate Communications | 2.5yrs | no data | no data | |
| Executive VP | 2.75yrs | no data | 0.013% $ 1.6m | |
| Vice President of Corporate Development | 10.75yrs | no data | no data | |
| Executive Vice President of Continuous Improvement | 2.67yrs | no data | 0.089% $ 10.8m | |
| Executive Vice President | 5.75yrs | no data | 0.026% $ 3.1m | |
| Executive Vice President | 3.75yrs | no data | 0.013% $ 1.6m |
4.8yrs
Average Tenure
54yo
Average Age
Experienced Management: NDSN's management team is considered experienced (4.8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 1.17yrs | US$2.16m | 0.049% $ 5.9m | |
| Independent Director | 8.67yrs | US$232.83k | 0.021% $ 2.5m | |
| Independent Director | 10.67yrs | US$250.91k | no data | |
| Independent Director | 19.25yrs | US$290.23k | no data | |
| Independent Chairman | 2.67yrs | US$332.89k | 0.0046% $ 559.5k | |
| Independent Director | 19.25yrs | US$242.57k | 0.029% $ 3.5m | |
| Independent Director | 11.5yrs | US$235.97k | 0.023% $ 2.7m | |
| Independent Director | 10.67yrs | US$221.52k | 0.027% $ 3.3m | |
| Independent Director | 8.67yrs | US$230.49k | no data | |
| Independent Director | 0.92yr | no data | 0.0017% $ 207.0k |
9.7yrs
Average Tenure
62.5yo
Average Age
Experienced Board: NDSN's board of directors are considered experienced (9.7 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: NDSN insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Nordson Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Nordson Corporation
- Ticker: NDSN
- Exchange: NasdaqGS
- Founded: 1935
- Industry: Industrial Machinery
- Sector: Capital Goods
- Market Cap: US$12.032b
- Shares outstanding: 58.03m
- Website: https://www.nordson.com
Number of Employees
Location
- Nordson Corporation
- 28601 Clemens Road
- Westlake
- Ohio
- 44145
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| NDSN | NasdaqGS (Nasdaq Global Select) | Yes | Common Shares | US | USD | Dec 1979 |
| ND1 | DB (Deutsche Boerse AG) | Yes | Common Shares | DE | EUR | Dec 1979 |
Biography
Nordson Corporation engineers, manufactures, and markets products and systems to dispense, apply, and control adhesives, coatings, polymers, sealants, biomaterials, and other fluids worldwide. Its Adhesive ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/10/20 00:47 |
| End of Day Share Price | 2020/10/19 00:00 |
| Earnings | 2020/07/31 |
| Annual Earnings | 2019/10/31 |
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.