NYSE:NVT

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Executive Summary

nVent Electric plc designs, manufactures, markets, installs, and services electrical connection and protection products in the United States, Canada, Western and Eastern Europe included in European Union, China, Eastern Europe not included in European Union, Latin America, the Middle East, Southeast Asia, Australia, and Japan. More Details


Snowflake Analysis

Good value with mediocre balance sheet.


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

3.1%

NVT

5.2%

US Electrical

3.9%

US Market


1 Year Return

-10.9%

NVT

28.4%

US Electrical

18.5%

US Market

Return vs Industry: NVT underperformed the US Electrical industry which returned 27.6% over the past year.

Return vs Market: NVT underperformed the US Market which returned 17.2% over the past year.


Shareholder returns

NVTIndustryMarket
7 Day3.1%5.2%3.9%
30 Day-8.4%-1.6%-4.3%
90 Day-5.7%19.1%8.1%
1 Year-7.8%-10.9%31.1%28.4%21.2%18.5%
3 Yearn/a34.4%26.8%38.2%29.0%
5 Yearn/a88.8%71.1%84.3%63.4%

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?

18.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: NVT ($17.69) is trading below our estimate of fair value ($21.6)

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 good value based on its PE Ratio (20x) compared to the US Electrical industry average (24.3x).

PE vs Market: NVT is poor value based on its PE Ratio (20x) compared to the US market (17.9x).


Price to Earnings Growth Ratio

PEG Ratio: NVT is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: NVT is good value based on its PB Ratio (1.2x) compared to the US Electrical industry average (3.2x).


Next Steps

Future Growth

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

21.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NVT's forecast earnings growth (21.8% per year) is above the savings rate (2.2%).

Earnings vs Market: NVT's earnings (21.8% per year) are forecast to grow slower than the US market (22.1% per year).

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

Revenue vs Market: NVT's revenue (4.1% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: NVT's revenue (4.1% 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?

-7.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NVT has high quality earnings.

Growing Profit Margin: NVT's current net profit margins (7.2%) are lower than last year (11.4%).


Past Earnings Growth Analysis

Earnings Trend: NVT's earnings have declined by 7.1% 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 (-40.7%) over the past year, making it difficult to compare to the Electrical industry average (-22.8%).


Return on Equity

High ROE: NVT's Return on Equity (5.8%) is considered low.


Next Steps

Financial Health

How is nVent Electric's financial position?


Financial Position Analysis

Short Term Liabilities: NVT's short term assets ($883.1M) exceed its short term liabilities ($386.2M).

Long Term Liabilities: NVT's short term assets ($883.1M) do not cover its long term liabilities ($1.7B).


Debt to Equity History and Analysis

Debt Level: NVT's debt to equity ratio (46.8%) 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 (30.6%).

Interest Coverage: NVT's interest payments on its debt are well covered by EBIT (6.5x coverage).


Balance Sheet


Next Steps

Dividend

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

3.96%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: NVT's dividend (3.96%) is higher than the bottom 25% of dividend payers in the US market (1.72%).

High Dividend: NVT's dividend (3.96%) is low compared to the top 25% of dividend payers in the US market (4.89%).


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: At its current payout ratio (79.2%), NVT's 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 (49% payout ratio).


Next Steps

Management

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

2.4yrs

Average management tenure


CEO

Beth Wozniak (55 yo)

2.42yrs

Tenure

US$5,999,443

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 ($USD6.00M) is about average for companies of similar size in the US market ($USD5.74M).

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

NamePositionTenureCompensationOwnership
Beth Wozniak
CEO & Director2.42yrsUS$6.00m0.032%
$ 963.4k
Sara Zawoyski
Executive VP & CFO0.83yrUS$2.37m0.017%
$ 504.7k
Aravind Padmanabhan
Executive VP & CTO0.75yrUS$1.66mno data
Jon Lammers
Executive VP2.42yrsUS$1.73m0.0029%
$ 87.2k
Joseph Ruzynski
President of Enclosures2.67yrsUS$1.22m0.0068%
$ 205.0k
Randolph Wacker
Senior VP & Chief Accounting Officer2.42yrsno data0.0049%
$ 148.5k
J. Weigelt
Vice President of Investor Relationsno datano datano data
Jill Saletta
Vice President of Communicationsno datano datano data
Lynnette Heath
Executive VP & Chief Human Resources Officer2.42yrsUS$1.12m0.0020%
$ 59.8k
Robert Van Der Kolk
President of Electrical & Fastening Solutions2.67yrsno data0.0039%
$ 117.5k
Michael Faulconer
President of Thermal Management2.42yrsno data0.0039%
$ 116.9k
Elizabeth Noonan
Executive VP & Chief Growth Officer1yrno data0.000090%
$ 2.7k

2.4yrs

Average Tenure

51.5yo

Average Age

Experienced Management: NVT's management team is considered experienced (2.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Beth Wozniak
CEO & Director2.42yrsUS$6.00m0.032%
$ 963.4k
Randall Hogan
Non-Executive Chairman2.67yrsUS$350.00k0.46%
$ 13.9m
Michael Ducker
Independent Director2.42yrsUS$225.00k0.0072%
$ 216.7k
Susan Cameron
Lead Independent Director0.33yrUS$222.50k0.0038%
$ 113.3k
Ronald Merriman
Independent Director2.42yrsUS$242.50k0.019%
$ 581.4k
Herbert Parker
Independent Director2.42yrsUS$222.50k0.0072%
$ 216.7k
Jerry Burris
Independent Director2.42yrsUS$240.00k0.018%
$ 542.9k
Jacqueline Wright
Independent Director0.50yrno datano data
Nicola Palmer
Independent Director0.33yrno datano data

2.4yrs

Average Tenure

61yo

Average Age

Experienced Board: NVT'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: 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: 1903
  • Industry: Electrical Components and Equipment
  • Sector: Capital Goods
  • Market Cap: US$3.006b
  • Shares outstanding: 169.93m
  • 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

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NVTNYSE (New York Stock Exchange)YesShare CapitalUSUSDMay 2018

Biography

nVent Electric plc designs, manufactures, markets, installs, and services electrical connection and protection products in the United States, Canada, Western and Eastern Europe included in European Union, ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/01 00:03
End of Day Share Price2020/09/30 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.