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CNHI

CNH Industrial NYSE:CNHI Stock Report

Last Price

US$11.43

Market Cap

US$15.4b

7D

-3.1%

1Y

-32.2%

Updated

28 Sep, 2022

Data

Company Financials +
CNHI fundamental analysis
Snowflake Score
Valuation5/6
Future Growth2/6
Past Performance5/6
Financial Health4/6
Dividends2/6

CNHI Stock Overview

CNH Industrial N.V. designs, produces, markets, sells, and finances agricultural and construction equipment, trucks, commercial vehicles, buses, and specialty vehicles in North America, Europe, South America, and internationally.

CNH Industrial Competitors

Price History & Performance

Summary of all time highs, changes and price drops for CNH Industrial
Historical stock prices
Current Share PriceUS$11.43
52 Week HighUS$19.69
52 Week LowUS$10.60
Beta1.75
1 Month Change-9.29%
3 Month Change-1.38%
1 Year Change-32.21%
3 Year Change17.84%
5 Year Change-6.24%
Change since IPO-8.56%

Recent News & Updates

Sep 26
A Look At The Intrinsic Value Of CNH Industrial N.V. (NYSE:CNHI)

A Look At The Intrinsic Value Of CNH Industrial N.V. (NYSE:CNHI)

In this article we are going to estimate the intrinsic value of CNH Industrial N.V. ( NYSE:CNHI ) by taking the...

Sep 19

CNH Industrial commences a first tranche of its $300M share buyback

CNH Industrial (NYSE:CNHI) notifies that it is launching a first tranche of $50M share buyback in the framework of its $300M share buyback program previously announced on July 29, 2022. The program is intended to last until the earlier of the completion of the purchases up to $300M or October 12, 2023. Funded by the company’s liquidity, the buyback is intended to optimize the capital structure of the company and allow the company to meet the obligations arising from the existing equity incentive plans. The program follows the €100M share buyback program, which was completed on September 14, 2022.

Sep 12
Is It Too Late To Consider Buying CNH Industrial N.V. (NYSE:CNHI)?

Is It Too Late To Consider Buying CNH Industrial N.V. (NYSE:CNHI)?

Let's talk about the popular CNH Industrial N.V. ( NYSE:CNHI ). The company's shares saw a decent share price growth in...

Sep 07

CNH Industrial announces future senior leadership team change

CNH Industrial (NYSE:CNHI) has announced that Brad Crews, President North America, has indicated his intention to retire. During 2023, Brad will focus on a new role, supporting Derek Neilson, President Agriculture, by spearheading various strategic initiatives. Mr. Crews will retain his current responsibilities until his replacement as President, North America, is announced.

Shareholder Returns

CNHIUS MachineryUS Market
7D-3.1%-2.5%-2.0%
1Y-32.2%-17.4%-20.3%

Return vs Industry: CNHI underperformed the US Machinery industry which returned -19.9% over the past year.

Return vs Market: CNHI underperformed the US Market which returned -22.1% over the past year.

Price Volatility

Is CNHI's price volatile compared to industry and market?
CNHI volatility
CNHI Average Weekly Movement5.9%
Machinery Industry Average Movement5.4%
Market Average Movement6.9%
10% most volatile stocks in US Market15.8%
10% least volatile stocks in US Market2.8%

Stable Share Price: CNHI is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: CNHI's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
184271,895Scott Winehttps://www.cnhindustrial.com

CNH Industrial N.V. designs, produces, markets, sells, and finances agricultural and construction equipment, trucks, commercial vehicles, buses, and specialty vehicles in North America, Europe, South America, and internationally. It operates through five segments: Agriculture, Construction, Commercial and Specialty Vehicles, Powertrain, and Financial. The Agriculture segment provides farm machinery and implements that include two-and four-wheel drive tractors, crawler tractors, combines, cotton pickers, grape and sugar cane harvesters, hay and forage equipment, planting and seeding equipment, soil preparation and cultivation implements, and material handling equipment under the New Holland Agriculture, Case IH, STEYR, Miller, Kongskilde, Överum, K-Line, and JF brands.

CNH Industrial Fundamentals Summary

How do CNH Industrial's earnings and revenue compare to its market cap?
CNHI fundamental statistics
Market CapUS$15.41b
Earnings (TTM)US$1.75b
Revenue (TTM)US$34.89b

8.8x

P/E Ratio

0.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CNHI income statement (TTM)
RevenueUS$34.89b
Cost of RevenueUS$26.97b
Gross ProfitUS$6.45b
Other ExpensesUS$4.69b
EarningsUS$1.75b

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

Nov 08, 2022

Earnings per share (EPS)1.30
Gross Margin18.48%
Net Profit Margin5.03%
Debt/Equity Ratio358.7%

How did CNHI perform over the long term?

See historical performance and comparison

Dividends

2.4%

Current Dividend Yield

25%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

CNHI 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/EBITDA9.6x
PEG Ratio1.8x

Price to Earnings Ratio vs Peers

How does CNHI's PE Ratio compare to its peers?

CNHI PE Ratio vs Peers
The above table shows the PE ratio for CNHI vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average19.9x
TTC Toro
23.7x13.6%US$9.2b
AGCO AGCO
9.2x5.4%US$7.3b
DE Deere
16.9x4.8%US$104.4b
LNN Lindsay
29.8x16.2%US$1.6b
CNHI CNH Industrial
8.8x5.0%US$15.4b

Price-To-Earnings vs Peers: CNHI is good value based on its Price-To-Earnings Ratio (8.8x) compared to the peer average (19.9x).


Price to Earnings Ratio vs Industry

How does CNHI's PE Ratio compare vs other companies in the US Machinery Industry?

Price-To-Earnings vs Industry: CNHI is good value based on its Price-To-Earnings Ratio (8.8x) compared to the US Machinery industry average (18.2x)


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.

CNHI PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio8.8x
Fair PE Ratio21.2x

Price-To-Earnings vs Fair Ratio: CNHI is good value based on its Price-To-Earnings Ratio (8.8x) compared to the estimated Fair Price-To-Earnings Ratio (21.2x).


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 ($11.43) is trading below our estimate of fair value ($12.34)

Significantly Below Fair Value: CNHI is trading below fair value, but not by a significant amount.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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Future Growth

How is CNH Industrial forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


5.0%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CNHI's forecast earnings growth (5% per year) is above the savings rate (1.9%).

Earnings vs Market: CNHI's earnings (5% per year) are forecast to grow slower than the US market (14.8% per year).

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

Revenue vs Market: CNHI's revenue (0.07% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: CNHI's revenue (0.07% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CNHI's Return on Equity is forecast to be high in 3 years time (27.3%)


Discover growth companies

Past Performance

How has CNH Industrial performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


13.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CNHI has high quality earnings.

Growing Profit Margin: CNHI's current net profit margins (5%) are higher than last year (0.3%).


Past Earnings Growth Analysis

Earnings Trend: CNHI's earnings have grown by 13.6% per year over the past 5 years.

Accelerating Growth: CNHI's earnings growth over the past year (2301.4%) exceeds its 5-year average (13.6% per year).

Earnings vs Industry: CNHI earnings growth over the past year (2301.4%) exceeded the Machinery industry 9.4%.


Return on Equity

High ROE: Whilst CNHI's Return on Equity (30.31%) is high, this metric is skewed due to their high level of debt.


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Financial Health

How is CNH Industrial's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: CNHI's short term assets ($26.3B) exceed its short term liabilities ($6.7B).

Long Term Liabilities: CNHI's short term assets ($26.3B) exceed its long term liabilities ($23.1B).


Debt to Equity History and Analysis

Debt Level: CNHI's net debt to equity ratio (314.7%) is considered high.

Reducing Debt: CNHI's debt to equity ratio has reduced from 569% to 358.7% over the past 5 years.

Debt Coverage: CNHI's debt is not well covered by operating cash flow (7.4%).

Interest Coverage: CNHI's interest payments on its debt are well covered by EBIT (16.9x coverage).


Balance Sheet


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Dividend

What is CNH Industrial current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


2.35%

Current Dividend Yield

Dividend Yield vs Market

CNH Industrial Dividend Yield vs Market
How does CNH Industrial dividend yield compare to the market?
SegmentDividend Yield
Company (CNH Industrial)2.4%
Market Bottom 25% (US)1.6%
Market Top 25% (US)4.6%
Industry Average (Machinery)2.0%
Analyst forecast in 3 Years (CNH Industrial)2.9%

Notable Dividend: CNHI's dividend (2.35%) is higher than the bottom 25% of dividend payers in the US market (1.67%).

High Dividend: CNHI's dividend (2.35%) is low compared to the top 25% of dividend payers in the US market (4.69%).


Stability and Growth of Payments

Stable Dividend: CNHI has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: CNHI's dividend payments have increased, but the company has only paid a dividend for 8 years.


Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (24.6%), CNHI's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: CNHI is paying a dividend but the company has no free cash flows.


Discover strong dividend paying companies

Management

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

1.7yrs

Average management tenure


CEO

Scott Wine (55 yo)

1.42yrs

Tenure

US$21,804,878

Compensation

Mr. Scott Wellington Wine has been Chief Executive Officer of CNH Industrial N.V. since January 4, 2021 and serves as its Director since April 2021. Mr. Wine has been an Independent Director at U.S. Bancor...


CEO Compensation Analysis

Scott Wine's Compensation vs CNH Industrial Earnings
How has Scott Wine's remuneration changed compared to CNH Industrial's earnings?
DateTotal Comp.SalaryCompany Earnings
Jun 30 2022n/an/a

US$2b

Mar 31 2022n/an/a

US$2b

Dec 31 2021US$22mUS$2m

US$2b

Compensation vs Market: Scott's total compensation ($USD21.80M) is above average for companies of similar size in the US market ($USD13.05M).

Compensation vs Earnings: Insufficient data to compare Scott's compensation with company performance.


Leadership Team

Experienced Management: CNHI's management team is not considered experienced ( 1.7 years average tenure), which suggests a new team.


Board Members

Experienced Board: CNHI's board of directors are not considered experienced ( 2.4 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

Insider Buying: CNHI insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

NYSE:CNHI Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
04 Aug 22BuyUS$150,005Karen LinehanIndividual11,903US$12.64
02 May 22SellUS$266,997Suzanne HeywoodIndividual18,570US$14.42
24 Feb 22BuyUS$2,053,228Scott WineIndividual150,000US$13.87

Ownership Breakdown

What is the ownership structure of CNHI?
Owner TypeNumber of SharesOwnership Percentage
Individual Insiders2,939,2350.2%
State or Government22,289,8901.7%
General Public285,671,32421.2%
Private Companies366,927,90027.2%
Institutions670,536,53949.7%

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


Top Shareholders

Top 25 shareholders own 63.49% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
27.21%
Giovanni Agnelli B.V.
366,927,900$4.2b0%no data
7.16%
Harris Associates L.P.
96,534,929$1.1b4.57%1.42%
3.47%
BlackRock, Inc.
46,725,114$534.1m-6.26%0.01%
3.19%
Wellington Management Group LLP
42,964,699$491.1m354.59%0.09%
2.73%
Amundi Asset Management
36,848,918$421.2m-10.3%0.13%
2.54%
The Vanguard Group, Inc.
34,302,510$392.1m2.46%0.01%
2.04%
Schroder Investment Management Limited
27,563,695$315.1m0%0.24%
1.8%
Hotchkis and Wiley Capital Management, LLC
24,253,712$277.2m-3.87%1.06%
1.65%
Banca d'Italia
22,289,890$254.8m15.05%no data
1.61%
Norges Bank Investment Management
21,732,429$248.4m0%0.03%
1.19%
GAMCO Investors, Inc.
16,067,496$183.7m-0.73%0.77%
1.15%
Marshall Wace LLP
15,490,312$177.1m15.16%0.46%
1.04%
Southpoint Capital Advisors LP
14,000,000$160.0m-6.67%3.92%
0.94%
Parnassus Investments, LLC
12,684,751$145.0m19.58%0.35%
0.79%
Eurizon Capital S.A.
10,634,496$121.6m-6.98%1.02%
0.75%
Allianz Asset Management AG
10,150,218$116.0m-12.8%0.1%
0.73%
Artisan Partners Limited Partnership
9,908,878$113.3m7.59%0.11%
0.6%
BNY Mellon Asset Management
8,035,316$91.8m-4.15%0.02%
0.54%
J O Hambro Capital Management Limited
7,282,193$83.2m-1.87%0.48%
0.45%
Deutsche Asset & Wealth Management
6,093,817$69.7m0.53%0.03%
0.43%
ClearBridge Investments, LLC
5,843,078$66.8m-1.1%0.06%
0.39%
Geode Capital Management, LLC
5,292,096$60.5m0.01%0.01%
0.39%
Fidelity International Ltd
5,211,269$59.6m-0.94%0.03%
0.35%
FMR LLC
4,761,665$54.4m1184.11%0.01%
0.34%
Dimensional Fund Advisors LP
4,541,824$51.9m1.61%0.01%

Company Information

CNH Industrial N.V.'s employee growth, exchange listings and data sources


Key Information

  • Name: CNH Industrial N.V.
  • Ticker: CNHI
  • Exchange: NYSE
  • Founded: 1842
  • Industry: Agricultural and Farm Machinery
  • Sector: Capital Goods
  • Implied Market Cap: US$15.412b
  • Shares outstanding: 1.35b
  • Website: https://www.cnhindustrial.com

Number of Employees


Location

  • CNH Industrial N.V.
  • 25 St. James's Street
  • London
  • Greater London
  • SW1A 1HA
  • United Kingdom


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CNHIBIT (Borsa Italiana)YesCommon SharesITEURSep 2013
CNHIMBATS-CHIXE (BATS 'Chi-X Europe')YesCommon SharesGBEURSep 2013
0QGULSE (London Stock Exchange)YesCommon SharesGBEURSep 2013
CNHINYSE (New York Stock Exchange)YesCommon SharesUSUSDSep 2013
37CDB (Deutsche Boerse AG)YesCommon SharesDEEURSep 2013
CNHIWBAG (Wiener Boerse AG)YesCommon SharesATEURSep 2013

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/28 00:00
End of Day Share Price2022/09/28 00:00
Earnings2022/06/30
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.