NXP Semiconductors N.V.

NasdaqGS:NXPI Stock Report

Market Cap: US$57.1b

NXP Semiconductors Valuation

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

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of NXPI when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: NXPI ($226.38) is trading below our estimate of fair value ($419.53)

Significantly Below Fair Value: NXPI is trading below fair value by more than 20%.

Key Valuation Metric

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

Key metric: As NXPI is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for NXPI. This is calculated by dividing NXPI's market cap by their current earnings.
What is NXPI's PE Ratio?
PE Ratio21.2x
EarningsUS$2.71b
Market CapUS$57.08b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for NXPI vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average48.1x
MCHP Microchip Technology
45.8x31.0%US$35.7b
ON ON Semiconductor
16.9x14.9%US$29.2b
ADI Analog Devices
64.4x25.7%US$106.2b
MPWR Monolithic Power Systems
65.2x21.6%US$27.9b
NXPI NXP Semiconductors
21.2x9.7%US$57.1b

Price-To-Earnings vs Peers: NXPI is good value based on its Price-To-Earnings Ratio (21.2x) compared to the peer average (48.1x).

Price to Earnings Ratio vs Industry

How does NXPI's PE Ratio compare vs other companies in the US Semiconductor Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
TOYO TOYO
4.3xn/aUS$132.97m
SQNS Sequans Communications
1.6x-156.5%US$69.98m
No more companies available in this PE range
NXPI 21.2xIndustry Avg. 29.7xNo. of Companies9PE020406080100+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: NXPI is good value based on its Price-To-Earnings Ratio (21.2x) compared to the US Semiconductor industry average (29.7x).

Price to Earnings Ratio vs Fair Ratio

What is NXPI'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.

NXPI PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio21.2x
Fair PE Ratio25.8x

Price-To-Earnings vs Fair Ratio: NXPI is good value based on its Price-To-Earnings Ratio (21.2x) compared to the estimated Fair Price-To-Earnings Ratio (25.8x).

Analyst Price Targets

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

The above table shows the analyst NXPI forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$226.38
US$266.07
+17.5%
10.2%US$315.00US$200.00n/a31
Nov ’25US$238.59
US$287.06
+20.3%
10.8%US$370.00US$220.00n/a29
Oct ’25US$232.22
US$292.34
+25.9%
11.2%US$370.00US$220.00n/a28
Sep ’25US$256.36
US$292.47
+14.1%
11.4%US$370.00US$220.00n/a29
Aug ’25US$243.62
US$293.33
+20.4%
11.3%US$370.00US$220.00n/a29
Jul ’25US$265.67
US$282.30
+6.3%
13.8%US$370.00US$150.00n/a30
Jun ’25US$272.10
US$279.53
+2.7%
13.5%US$370.00US$150.00n/a30
May ’25US$249.43
US$273.61
+9.7%
12.9%US$370.00US$150.00n/a29
Apr ’25US$246.28
US$245.10
-0.5%
11.4%US$300.00US$150.00n/a29
Mar ’25US$257.51
US$243.95
-5.3%
10.8%US$300.00US$150.00n/a29
Feb ’25US$213.01
US$234.06
+9.9%
10.6%US$264.00US$150.00n/a28
Jan ’25US$229.68
US$225.00
-2.0%
11.6%US$280.00US$150.00n/a27
Dec ’24US$205.68
US$221.71
+7.8%
11.0%US$260.00US$150.00n/a28
Nov ’24US$172.52
US$231.04
+33.9%
8.5%US$260.00US$185.00US$238.5928
Oct ’24US$199.92
US$233.36
+16.7%
8.2%US$260.00US$185.00US$232.2228
Sep ’24US$209.96
US$234.25
+11.6%
8.0%US$260.00US$185.00US$256.3628
Aug ’24US$223.48
US$234.04
+4.7%
8.2%US$260.00US$185.00US$243.6227
Jul ’24US$204.68
US$199.65
-2.5%
11.3%US$250.00US$165.00US$265.6726
Jun ’24US$181.00
US$199.19
+10.1%
11.1%US$250.00US$165.00US$272.1026
May ’24US$166.01
US$198.27
+19.4%
11.2%US$240.00US$160.00US$249.4326
Apr ’24US$186.48
US$197.96
+6.2%
10.6%US$240.00US$160.00US$246.2827
Mar ’24US$178.87
US$197.96
+10.7%
10.6%US$240.00US$160.00US$257.5127
Feb ’24US$193.94
US$195.81
+1.0%
10.4%US$235.00US$160.00US$213.0127
Jan ’24US$158.03
US$183.52
+16.1%
11.8%US$225.00US$140.00US$229.6827
Dec ’23US$173.44
US$182.59
+5.3%
11.8%US$225.00US$140.00US$205.6827
Nov ’23US$151.85
US$179.64
+18.3%
13.0%US$225.00US$140.00US$172.5225

Analyst Forecast: Target price is less than 20% higher than the current share price.

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