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Market Cap

US$5.5b

Last Updated

2021/09/18 00:54 UTC

Data Sources

Company Financials +

Executive Summary

nVent Electric plc designs, manufactures, markets, installs, and services electrical connection and protection products in the United Kingdom and internationally. More Details


Snowflake Analysis

Mediocre balance sheet with moderate growth potential.


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

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


Market Performance


7 Day Return

-1.2%

NVT

-1.0%

US Electrical

-0.6%

US Market


1 Year Return

80.0%

NVT

47.9%

US Electrical

33.8%

US Market

Return vs Industry: NVT exceeded the US Electrical industry which returned 47.9% over the past year.

Return vs Market: NVT exceeded the US Market which returned 33.6% over the past year.


Shareholder returns

NVTIndustryMarket
7 Day-1.2%-1.0%-0.6%
30 Day-1.1%-1.7%1.6%
90 Day9.3%2.7%4.6%
1 Year85.1%80.0%49.8%47.9%35.8%33.8%
3 Year21.4%10.9%74.5%65.0%60.0%50.1%
5 Yearn/a115.2%99.3%123.0%98.7%

Long-Term 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

Valuation

Is nVent Electric undervalued compared to its fair value and its price relative to the market?

8.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: NVT ($32.64) is trading below our estimate of fair value ($35.53)

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


Price To Earnings Ratio

PE vs Industry: NVT is poor value based on its PE Ratio (137.2x) compared to the US Electrical industry average (23.5x).

PE vs Market: NVT is poor value based on its PE Ratio (137.2x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: NVT is poor value based on its PEG Ratio (3.6x)


Price to Book Ratio

PB vs Industry: NVT is good value based on its PB Ratio (2.2x) compared to the US Electrical industry average (3x).


Future Growth

How is nVent Electric forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

38.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NVT's forecast earnings growth (38.6% per year) is above the savings rate (2%).

Earnings vs Market: NVT's earnings (38.6% per year) are forecast to grow faster than the US market (14.8% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: NVT's revenue (3% per year) is forecast to grow slower than the US market (9.7% per year).

High Growth Revenue: NVT's revenue (3% 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


Past Performance

How has nVent Electric performed over the past 5 years?

-40.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NVT has a large one-off loss of $236.0M impacting its June 30 2021 financial results.

Growing Profit Margin: NVT's current net profit margins (1.8%) are lower than last year (7.2%).


Past Earnings Growth Analysis

Earnings Trend: NVT's earnings have declined by 40.1% 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 (-73.3%) over the past year, making it difficult to compare to the Electrical industry average (22.9%).


Return on Equity

High ROE: NVT's Return on Equity (1.6%) is considered low.


Financial Health

How is nVent Electric's financial position?


Financial Position Analysis

Short Term Liabilities: NVT's short term assets ($902.5M) exceed its short term liabilities ($535.8M).

Long Term Liabilities: NVT's short term assets ($902.5M) do not cover its long term liabilities ($1.7B).


Debt to Equity History and Analysis

Debt Level: NVT's debt to equity ratio (44.3%) is considered high.

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 (35.9%).

Interest Coverage: NVT's interest payments on its debt are well covered by EBIT (10.3x coverage).


Balance Sheet


Dividend

What is nVent Electric current dividend yield, its reliability and sustainability?

2.14%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: NVT's dividend (2.14%) is higher than the bottom 25% of dividend payers in the US market (1.34%).

High Dividend: NVT's dividend (2.14%) is low compared to the top 25% of dividend payers in the US market (3.6%).


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 3 years, and since then payments have not increased.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (295%), NVT's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: NVT's dividends in 3 years are forecast to be well covered by earnings (35.2% payout ratio).


Next Steps

Management

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

3.4yrs

Average management tenure


CEO

Beth Wozniak (56 yo)

3.42yrs

Tenure

US$6,322,870

Compensation

Ms. Beth A. Wozniak has been a Director of Carrier Corporation since June 9, 2021. She is Chief Executive Officer and Director at nVent Electric plc since April 30, 2018. Ms. Wozniak served as the Sensing...


CEO Compensation Analysis

Compensation vs Market: Beth's total compensation ($USD6.32M) is about average for companies of similar size in the US market ($USD6.45M).

Compensation vs Earnings: Beth's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: NVT's management team is considered experienced (3.4 years average tenure).


Board Members

Experienced Board: NVT's board of directors are considered experienced (3.4 years average tenure).


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.


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: 1903
  • Industry: Electrical Components and Equipment
  • Sector: Capital Goods
  • Market Cap: US$5.487b
  • Shares outstanding: 168.11m
  • 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


Biography

nVent Electric plc designs, manufactures, markets, installs, and services electrical connection and protection products in the United Kingdom and internationally. The company operates through three segment...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/18 00:54
End of Day Share Price2021/09/17 00:00
Earnings2021/06/30
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.