nVent Electric
Market Cap
US$4.7b
Last Updated
2020/02/19 02:22 UTC
Data Sources
Company Financials +
Executive Summary
nVent Electric plc designs, manufactures, markets, installs, and services electrical connection and protection products in the United States, Canada, Mexico, Europe, the Middle East, Africa, and internationally.
Risk Analysis
Snowflake Analysis
Adequate balance sheet second-rate dividend payer.
Similar Companies
Share Price & News
How has nVent Electric's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: NVT has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
1.4%
NVT
-1.7%
US Electrical
0.06%
US Market
1 Year Return
1.6%
NVT
12.4%
US Electrical
19.4%
US Market
Return vs Industry: NVT underperformed the US Electrical industry which returned 12.4% over the past year.
Return vs Market: NVT underperformed the US Market which returned 19.4% over the past year.
Shareholder returns
| NVT | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.4% | -1.7% | 0.06% |
| 30 Day | 9.0% | -0.7% | 1.1% |
| 90 Day | 14.2% | 5.4% | 8.9% |
| 1 Year | 4.5%1.6% | 14.7%12.4% | 21.9%19.4% |
| 3 Year | n/a | 33.1%25.4% | 48.9%39.3% |
| 5 Year | n/a | 48.5%33.6% | 71.9%53.1% |
Price Volatility Vs. Market
How volatile is nVent Electric's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Here's How P/E Ratios Can Help Us Understand nVent Electric plc (NYSE:NVT)1 month ago | Simply Wall St
Income Investors Should Know That nVent Electric plc (NYSE:NVT) Goes Ex-Dividend Soon1 month ago | Simply Wall St
Should nVent Electric (NYSE:NVT) Be Disappointed With Their 12% Profit?Valuation
Is nVent Electric undervalued compared to its fair value and its price relative to the market?
21.47x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: NVT ($27.86) is trading above our estimate of fair value ($16.15)
Significantly Below Fair Value: NVT is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: NVT is poor value based on its PE Ratio (21.5x) compared to the Electrical industry average (20.9x).
PE vs Market: NVT is poor value based on its PE Ratio (21.5x) compared to the US market (18.3x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate NVT's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: NVT is overvalued based on its PB Ratio (1.8x) compared to the US Electrical industry average (1.8x).
Next Steps
Future Growth
How is nVent Electric forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
2.4%
Forecasted annual revenue growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: Insufficient data to determine if NVT's forecast earnings growth is above the savings rate (1.7%).
Earnings vs Market: Insufficient data to determine if NVT's earnings are forecast to grow faster than the US market
High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: NVT's revenue (2.4% per year) is forecast to grow slower than the US market (7.6% per year).
High Growth Revenue: NVT's revenue (2.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if NVT's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has nVent Electric performed over the past 5 years?
-1.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NVT has high quality earnings.
Growing Profit Margin: NVT's current net profit margins (10.1%) are lower than last year (10.4%).
Past Earnings Growth Analysis
Earnings Trend: NVT's earnings have declined by -1% per year over the past 5 years.
Accelerating Growth: NVT's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: NVT had negative earnings growth (-3.5%) over the past year, making it difficult to compare to the Electrical industry average (0.6%).
Return on Equity
High ROE: NVT's Return on Equity (8.6%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is nVent Electric's financial position?
Financial Position Analysis
Short Term Liabilities: NVT's short term assets ($798.7M) exceed its short term liabilities ($462.2M).
Long Term Liabilities: NVT's short term assets ($798.7M) do not cover its long term liabilities ($1.6B).
Debt to Equity History and Analysis
Debt Level: NVT's debt to equity ratio (39.1%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if NVT's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: NVT's debt is well covered by operating cash flow (33.2%).
Interest Coverage: NVT's interest payments on its debt are well covered by EBIT (7.5x coverage).
Balance Sheet
Inventory Level: NVT has a low level of unsold assets or inventory.
Debt Coverage by Assets: NVT's debt is not covered by short term assets (assets are 0.8x debt).
Next Steps
Dividend
What is nVent Electric's current dividend yield, its reliability and sustainability?
2.51%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: NVT's dividend (2.51%) is higher than the bottom 25% of dividend payers in the US market (1.43%).
High Dividend: NVT's dividend (2.51%) is low compared to the top 25% of dividend payers in the US market (3.7%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, NVT has been paying a dividend for less than 10 years.
Growing Dividend: NVT has only been paying a dividend for 2 years, and since then payments have not increased.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (53.9%), NVT's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: NVT's dividends in 3 years are forecast to be well covered by earnings (47.5% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.8yrs
Average management tenure
CEO
Beth Wozniak (54yo)
1.8yrs
Tenure
US$4,687,655
Compensation
Ms. Beth A. Wozniak is Chief Executive Officer and Director at nVent Electric plc since April 30, 2018. Ms. Wozniak served as the Sensing and Control team President at Honeywell International Inc. since No ...
CEO Compensation Analysis
Compensation vs Market: Beth's total compensation ($USD4.69M) is about average for companies of similar size in the US market ($USD4.89M).
Compensation vs Earnings: Beth's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 1.8yrs | US$4.69m | 0.000080% $3.8k | |
| Executive VP | 1.8yrs | US$1.62m | 0.0029% $137.1k | |
| Executive VP & Chief Human Resources Officer | 1.8yrs | US$1.12m | 0.0020% $94.3k | |
| Executive VP & CFO | 0.3yrs | no data | 0.0072% $338.8k | |
| Senior VP & Chief Accounting Officer | 1.8yrs | no data | 0.0048% $225.3k | |
| Executive VP & CTO | 0.2yrs | no data | no data | |
| Vice President of Investor Relations | 0yrs | no data | no data | |
| Vice President of Communications | 0yrs | no data | no data | |
| President of Enclosures | 2.1yrs | no data | 0.0057% $267.7k | |
| President of Electrical & Fastening Solutions | 2.1yrs | no data | 0.0037% $176.2k |
1.8yrs
Average Tenure
51yo
Average Age
Experienced Management: NVT's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 1.8yrs | US$4.69m | 0.000080% $3.8k | |
| Lead Director | 1.8yrs | US$211.66k | 0.028% $1.3m | |
| Non-Executive Chairman | 1.8yrs | US$276.66k | 0.37% $17.4m | |
| Independent Director | 1.8yrs | US$193.33k | 0.0061% $285.6k | |
| Independent Director | 1.8yrs | US$191.66k | 0.0038% $178.1k | |
| Independent Director | 1.8yrs | US$204.99k | 0.018% $827.5k | |
| Independent Director | 1.8yrs | US$201.33k | 0.0066% $312.4k | |
| Independent Director | 1.8yrs | US$191.66k | 0.0037% $174.4k | |
| Independent Director | 1.8yrs | US$203.33k | 0.018% $855.3k | |
| Independent Director | 1.8yrs | US$193.33k | 0.0052% $243.2k |
1.8yrs
Average Tenure
60.5yo
Average Age
Experienced Board: NVT's board of directors are not considered experienced ( 1.8 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
nVent Electric plc's company bio, employee growth, exchange listings and data sources
Key Information
- Name: nVent Electric plc
- Ticker: NVT
- Exchange: NYSE
- Founded: 2017
- Industry: Electrical Components and Equipment
- Sector: Capital Goods
- Market Cap: US$4.713b
- Shares outstanding: 169.15m
- Website: https://www.nvent.com
Number of Employees
Location
- nVent Electric plc
- The Mille
- 8th Floor (East)
- London
- Greater London
- TW8 9DW
- United Kingdom
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| NVT | NYSE (New York Stock Exchange) | Yes | Share Capital | US | USD | May 2018 |
Biography
nVent Electric plc designs, manufactures, markets, installs, and services electrical connection and protection products in the United States, Canada, Mexico, Europe, the Middle East, Africa, and internationally. The company operates through three segments: Enclosures, Thermal Management, and Electrical & Fastening Solutions. The Enclosures segment provides solutions to protect, connect, and manage heat in critical electronics, communication, control, and power equipment; physical infrastructure solutions to host, connect, and protect server and network equipment; and indoor and outdoor protection solutions for broadband voice, data, and video surveillance applications. Its products also include metallic and non-metallic enclosures, cabinets, subracks, and backplanes. The Thermal Management segment offers electric thermal solutions that connect and protect critical buildings, infrastructure, industrial processes, and people. Its thermal management systems comprise heat tracing, floor heating, fire-rated and specialty wiring, sensing, and snow melting and de-icing solutions. The Electrical & Fastening Solutions segment provides fastening solutions to connect and protect electrical and mechanical systems, and civil structures. It provides engineered electrical and fastening products. The company sells its products under the CADDY, ERICO, HOFFMAN, RAYCHEM, SCHROFF, and TRACER brands. It markets its products through electrical distributors, data center contractors, original equipment manufacturers, greenfield development contractors, and maintenance contractors. The company serves energy, industrial, infrastructure, and commercial and residential sectors. nVent Electric plc was incorporated in 2017 and is based in London, the United Kingdom.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/19 02:22 |
| End of Day Share Price | 2020/02/18 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.