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CNHI

CNH IndustrialNYSE:CNHI Stock Report

Market Cap

US$22.9b

7D

-6.2%

1Y

55.1%

Updated

30 Nov, 2021

Data

Company Financials +
CNHI fundamental analysis
Snowflake Score
Valuation2/6
Future Growth2/6
Past Performance3/6
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

Deere

NYSE:DE

US$111.4b

AGCO

NYSE:AGCO

US$8.8b

Honeywell International

NasdaqGS:HON

US$143.0b

Siemens

XTRA:SIE

€115.4b

Price History & Performance

Summary of all time highs, changes and price drops for CNH Industrial
Historical stock prices
Current Share PriceUS$16.88
52 Week HighUS$19.22
52 Week LowUS$10.79
Beta1.66
1 Month Change-1.34%
3 Month Change2.37%
1 Year Change55.15%
3 Year Change61.53%
5 Year Change89.03%
Change since IPO35.04%

Recent News & Updates

Nov 16

CNH Industrial: Ready To Cash In On The 'Grief Of U.S. Farmers'

In addition to the energy crisis and high inflation, I believe that the United States and some other countries are on the verge of an agricultural crisis. I think CNH Industrial is well-positioned and still cheap enough to give investors the opportunity to profit from the "farmers' grief", as cynical as that may sound. CNH is in the process of spinning off its on-highway business, which will create a pure-play off-highway company - the ag cycle is now firmly in the company's favor. CNHI seems to be financially sound and relatively cheap. I recommend paying attention to this stock at its current price levels.

Oct 16
CNH Industrial (NYSE:CNHI) Is Experiencing Growth In Returns On Capital

CNH Industrial (NYSE:CNHI) Is Experiencing Growth In Returns On Capital

If you're looking for a multi-bagger, there's a few things to keep an eye out for. One common approach is to try and...

Oct 01
CNH Industrial (NYSE:CNHI) Seems To Use Debt Quite Sensibly

CNH Industrial (NYSE:CNHI) Seems To Use Debt Quite Sensibly

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Sep 03

CNH Industrial - Not Good Enough

CNH Industrial is one of the world's largest producers of agriculture and transportation machinery in the world. The company has great assets but fails to present investors with a clear investment case. My biggest concern is that the stock will continue to underperform, which is why I advise investors to ignore the stock for the time being.

Shareholder Returns

CNHIUS MachineryUS Market
7D-6.2%-2.9%-0.9%
1Y55.1%17.8%23.3%

Return vs Industry: CNHI exceeded the US Machinery industry which returned 17.8% over the past year.

Return vs Market: CNHI exceeded the US Market which returned 23.3% over the past year.

Price Volatility

Is CNHI's price volatile compared to industry and market?
CNHI volatility
CNHI Average Weekly Movement4.1%
Machinery Industry Average Movement4.8%
Market Average Movement6.0%
10% most volatile stocks in US Market15.0%
10% least volatile stocks in US Market2.3%

Stable Share Price: CNHI is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: CNHI's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
n/a64,016Scott 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 offers 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$22.86b
Earnings (TTM)US$1.59b
Revenue (TTM)US$32.86b

14.4x

P/E Ratio

0.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CNHI income statement (TTM)
RevenueUS$32.86b
Cost of RevenueUS$25.17b
Gross ProfitUS$6.31b
ExpensesUS$4.73b
EarningsUS$1.59b

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.17
Gross Margin19.21%
Net Profit Margin4.82%
Debt/Equity Ratio377.9%

How did CNHI perform over the long term?

See historical performance and comparison

Dividends

0.7%

Current Dividend Yield

11%

Payout Ratio

Valuation

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

14.42x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CNHI ($16.88) is trading above our estimate of fair value ($10.44)

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


Price To Earnings Ratio

PE vs Industry: CNHI is good value based on its PE Ratio (14.4x) compared to the US Machinery industry average (29.7x).

PE vs Market: CNHI is good value based on its PE Ratio (14.4x) compared to the US market (17.1x).


Price to Earnings Growth Ratio

PEG Ratio: CNHI is poor value based on its PEG Ratio (5x)


Price to Book Ratio

PB vs Industry: CNHI is overvalued based on its PB Ratio (3.7x) compared to the US Machinery industry average (2.8x).


Future Growth

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

2.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CNHI's forecast earnings growth (2.9% per year) is above the savings rate (2%).

Earnings vs Market: CNHI's earnings (2.9% per year) are forecast to grow slower than the US market (14.3% per year).

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

Revenue vs Market: CNHI's revenue (5.3% per year) is forecast to grow slower than the US market (10.1% per year).

High Growth Revenue: CNHI's revenue (5.3% 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 (26.9%)


Past Performance

How has CNH Industrial performed over the past 5 years?

13.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CNHI has high quality earnings.

Growing Profit Margin: CNHI became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: CNHI has become profitable over the past 5 years, growing earnings by 13.3% per year.

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

Earnings vs Industry: CNHI has become profitable in the last year, making it difficult to compare its past year earnings growth to the Machinery industry (32%).


Return on Equity

High ROE: Whilst CNHI's Return on Equity (26.06%) is high, this metric is skewed due to their high level of debt.


Financial Health

How is CNH Industrial's financial position?


Financial Position Analysis

Short Term Liabilities: CNHI's short term assets ($34.4B) exceed its short term liabilities ($10.3B).

Long Term Liabilities: CNHI's short term assets ($34.4B) exceed its long term liabilities ($31.1B).


Debt to Equity History and Analysis

Debt Level: CNHI's net debt to equity ratio (273.5%) is considered high.

Reducing Debt: CNHI's debt to equity ratio has reduced from 587% to 377.9% over the past 5 years.

Debt Coverage: CNHI's debt is not well covered by operating cash flow (19.6%).

Interest Coverage: CNHI's interest payments on its debt are well covered by EBIT (15.7x coverage).


Balance Sheet


Dividend

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

0.73%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CNHI's dividend (0.73%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.33%).

High Dividend: CNHI's dividend (0.73%) is low compared to the top 25% of dividend payers in the US market (3.57%).


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 has only been paying a dividend for 8 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (11.5%), CNHI's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CNHI's dividends in 3 years are forecast to be well covered by earnings (19.6% payout ratio).


Next Steps

Management

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

0.8yrs

Average management tenure


CEO

Scott Wine (54 yo)

0.83

Tenure

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...


Leadership Team

Experienced Management: CNHI's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.


Board Members

Experienced Board: CNHI's board of directors are not considered experienced ( 2.6 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: Insufficient data to determine if insiders have bought more shares than they have sold 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

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


Key Information

  • Name: CNH Industrial N.V.
  • Ticker: CNHI
  • Exchange: NYSE
  • Founded: NaN
  • Industry: Agricultural and Farm Machinery
  • Sector: Capital Goods
  • Market Cap: US$22.860b
  • 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


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/11/30 00:26
End of Day Share Price2021/11/29 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


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.