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National Instruments

Nasdaq:NATI
Snowflake Description

Flawless balance sheet established dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
NATI
Nasdaq
$6B
Market Cap
  1. Home
  2. US
  3. Tech
Company description

National Instruments Corporation provides a software-centric platform and systems to engineers and scientists worldwide. The last earnings update was 26 days ago. More info.


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NATI Share Price and Events
7 Day Returns
-0.5%
NasdaqGS:NATI
0.7%
US Electronic
1.6%
US Market
1 Year Returns
-14.1%
NasdaqGS:NATI
0%
US Electronic
3.2%
US Market
NATI Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
National Instruments (NATI) -0.5% -1.5% -0.5% -14.1% 49.5% 52.4%
US Electronic 0.7% 0.9% 18.9% 0% 58.7% 59.1%
US Market 1.6% 2.1% 12.8% 3.2% 38.6% 43.6%
1 Year Return vs Industry and Market
  • NATI underperformed the Electronic industry which returned 0% over the past year.
  • NATI underperformed the Market in United States of America which returned 3.2% over the past year.
Price Volatility
NATI
Industry
5yr Volatility vs Market

Value

 Is National Instruments undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of National Instruments to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data    Our intrinsic value calculation method has changed recently, learn more here.

Below are the data sources, inputs and calculation used to determine the intrinsic value for National Instruments.

NasdaqGS:NATI Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 3 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGS:NATI
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Electronic Unlevered Beta Simply Wall St/ S&P Global 1.07
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.071 (1 + (1- 21%) (0%))
1.048
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.05
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.048 * 5.96%)
8.97%

Discounted Cash Flow Calculation for NasdaqGS:NATI using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for National Instruments is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NasdaqGS:NATI DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 8.97%)
2019 233.00 Analyst x1 213.81
2020 167.24 Analyst x2 140.83
2021 130.21 Est @ -22.14% 100.62
2022 111.10 Est @ -14.68% 78.78
2023 100.60 Est @ -9.46% 65.46
2024 94.76 Est @ -5.8% 56.59
2025 91.69 Est @ -3.24% 50.24
2026 90.36 Est @ -1.45% 45.44
2027 90.19 Est @ -0.2% 41.61
2028 90.80 Est @ 0.68% 38.45
Present value of next 10 years cash flows $831.84
NasdaqGS:NATI DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $90.80 × (1 + 2.73%) ÷ (8.97% – 2.73%)
$1,494.01
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $1,494.01 ÷ (1 + 8.97%)10
$632.62
NasdaqGS:NATI Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $831.84 + $632.62
$1,464.46
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $1,464.46 / 132.24
$11.07
NasdaqGS:NATI Discount to Share Price
Calculation Result
Value per share (USD) From above. $11.07
Current discount Discount to share price of $45.13
= -1 x ($45.13 - $11.07) / $11.07
-307.5%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of National Instruments is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for National Instruments's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are National Instruments's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:NATI PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $1.17
NasdaqGS:NATI Share Price ** NasdaqGS (2019-03-19) in USD $45.13
United States of America Electronic Industry PE Ratio Median Figure of 92 Publicly-Listed Electronic Companies 19.48x
United States of America Market PE Ratio Median Figure of 3,056 Publicly-Listed Companies 17.77x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of National Instruments.

NasdaqGS:NATI PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:NATI Share Price ÷ EPS (both in USD)

= 45.13 ÷ 1.17

38.42x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • National Instruments is overvalued based on earnings compared to the US Electronic industry average.
  • National Instruments is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does National Instruments's expected growth come at a high price?
Raw Data
NasdaqGS:NATI PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 38.42x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts
11.8%per year
United States of America Electronic Industry PEG Ratio Median Figure of 60 Publicly-Listed Electronic Companies 1.55x
United States of America Market PEG Ratio Median Figure of 2,107 Publicly-Listed Companies 1.49x

*Line of best fit is calculated by linear regression .

NasdaqGS:NATI PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 38.42x ÷ 11.8%

3.24x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • National Instruments is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on National Instruments's assets?
Raw Data
NasdaqGS:NATI PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $9.34
NasdaqGS:NATI Share Price * NasdaqGS (2019-03-19) in USD $45.13
United States of America Electronic Industry PB Ratio Median Figure of 151 Publicly-Listed Electronic Companies 2.1x
United States of America Market PB Ratio Median Figure of 5,154 Publicly-Listed Companies 1.89x
NasdaqGS:NATI PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:NATI Share Price ÷ Book Value per Share (both in USD)

= 45.13 ÷ 9.34

4.83x

* Primary Listing of National Instruments.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • National Instruments is overvalued based on assets compared to the US Electronic industry average.
X
Value checks
We assess National Instruments's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Electronic industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Electronic industry average (and greater than 0)? (1 check)
  5. National Instruments has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is National Instruments expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
11.8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is National Instruments expected to grow at an attractive rate?
  • National Instruments's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • National Instruments's earnings growth is positive but not above the United States of America market average.
  • National Instruments's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:NATI Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:NATI Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts 11.8%
NasdaqGS:NATI Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 3 Analysts 6.4%
United States of America Electronic Industry Earnings Growth Rate Market Cap Weighted Average 17%
United States of America Electronic Industry Revenue Growth Rate Market Cap Weighted Average 5.6%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.3%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGS:NATI Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:NATI Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 1,672 221 1
2020-12-31 1,519 295 195 3
2019-12-31 1,406 261 163 3
NasdaqGS:NATI Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 1,359 275 155
2018-09-30 1,349 264 74
2018-06-30 1,324 239 64
2018-03-31 1,301 218 59
2017-12-31 1,289 224 52
2017-09-30 1,268 198 106
2017-06-30 1,254 204 97
2017-03-31 1,241 203 92
2016-12-31 1,228 200 83
2016-09-30 1,234 192 86
2016-06-30 1,227 192 84
2016-03-31 1,223 181 90

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • National Instruments's earnings are expected to grow by 11.8% yearly, however this is not considered high growth (20% yearly).
  • National Instruments's revenue is expected to grow by 6.4% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGS:NATI Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below

All data from National Instruments Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:NATI Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 1.61 1.61 1.61 1.00
2020-12-31 1.43 1.45 1.41 3.00
2019-12-31 1.21 1.22 1.19 3.00
NasdaqGS:NATI Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 1.17
2018-09-30 0.56
2018-06-30 0.49
2018-03-31 0.45
2017-12-31 0.40
2017-09-30 0.82
2017-06-30 0.75
2017-03-31 0.71
2016-12-31 0.64
2016-09-30 0.67
2016-06-30 0.66
2016-03-31 0.70

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • National Instruments is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess National Instruments's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
National Instruments has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has National Instruments performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare National Instruments's growth in the last year to its industry (Electronic).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • National Instruments's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
  • National Instruments's 1-year earnings growth exceeds its 5-year average (195.8% vs -3.4%)
  • National Instruments's earnings growth has exceeded the US Electronic industry average in the past year (195.8% vs 48.8%).
Earnings and Revenue History
National Instruments's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from National Instruments Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:NATI Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 1,359.13 155.06 578.92 258.98
2018-09-30 1,348.78 74.23 580.18 251.49
2018-06-30 1,323.58 64.43 580.60 242.31
2018-03-31 1,301.18 58.53 575.32 232.02
2017-12-31 1,289.39 52.41 570.63 228.25
2017-09-30 1,268.17 105.84 566.91 227.18
2017-06-30 1,253.61 96.94 566.67 229.71
2017-03-31 1,241.11 91.58 561.77 233.67
2016-12-31 1,228.18 82.73 559.63 235.71
2016-09-30 1,233.99 85.73 560.25 234.07
2016-06-30 1,227.43 84.41 556.72 227.77
2016-03-31 1,223.12 89.56 550.48 223.50
2015-12-31 1,225.46 95.26 546.20 225.13
2015-09-30 1,223.89 106.51 540.96 225.64
2015-06-30 1,237.78 123.03 542.90 232.12
2015-03-31 1,248.70 122.61 550.77 232.41
2014-12-31 1,243.86 126.33 553.11 227.43
2014-09-30 1,211.89 114.68 547.29 223.68
2014-06-30 1,187.33 90.74 540.22 225.18
2014-03-31 1,170.74 80.64 531.84 227.69
2013-12-31 1,172.56 80.51 535.22 234.80
2013-09-30 1,172.08 69.50 536.16 237.73
2013-06-30 1,172.91 78.08 533.52 233.81
2013-03-31 1,169.05 90.10 531.24 229.84
2012-12-31 1,143.69 90.14 516.71 222.99
2012-09-30 1,121.42 93.75 506.54 219.13
2012-06-30 1,086.43 82.15 500.95 217.14
2012-03-31 1,047.46 82.25 484.74 209.94

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • National Instruments has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • National Instruments used its assets more efficiently than the US Electronic industry average last year based on Return on Assets.
  • National Instruments has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess National Instruments's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Electronic industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
National Instruments has a total score of 4/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is National Instruments's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up National Instruments's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • National Instruments is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • National Instruments's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of National Instruments's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • National Instruments has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from National Instruments Company Filings, last reported 2 months ago.

NasdaqGS:NATI Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 1,238.36 0.00 530.78
2018-09-30 1,196.91 0.00 482.41
2018-06-30 1,165.68 0.00 428.42
2018-03-31 1,149.71 0.00 414.52
2017-12-31 1,128.02 0.00 412.05
2017-09-30 1,163.80 15.00 385.42
2017-06-30 1,138.05 25.00 368.43
2017-03-31 1,115.77 25.00 365.42
2016-12-31 1,114.22 25.00 358.40
2016-09-30 1,107.41 25.00 352.93
2016-06-30 1,091.19 40.00 340.32
2016-03-31 1,088.46 25.00 328.61
2015-12-31 1,081.72 37.00 332.92
2015-09-30 1,059.60 25.00 411.30
2015-06-30 1,119.63 0.00 422.80
2015-03-31 1,114.95 0.00 443.27
2014-12-31 1,117.50 0.00 471.19
2014-09-30 1,087.29 0.00 447.75
2014-06-30 1,057.89 0.00 401.51
2014-03-31 1,037.74 0.00 410.11
2013-12-31 1,023.08 0.00 393.41
2013-09-30 991.18 0.00 344.11
2013-06-30 971.76 0.00 323.55
2013-03-31 957.76 0.00 327.31
2012-12-31 939.13 0.00 335.16
2012-09-30 918.29 0.00 363.66
2012-06-30 896.33 0.00 350.73
2012-03-31 875.31 0.00 377.41
  • National Instruments has no debt.
  • National Instruments had no debt 5 years ago.
  • National Instruments has no debt, it does not need to be covered by operating cash flow.
  • National Instruments has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess National Instruments's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. National Instruments has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is National Instruments's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.22%
Current annual income from National Instruments dividends. Estimated to be 2.45% next year.
If you bought $2,000 of National Instruments shares you are expected to receive $44 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • National Instruments's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).
  • National Instruments's dividend is below the markets top 25% of dividend payers in United States of America (3.63%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGS:NATI Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
United States of America Electronic Industry Average Dividend Yield Market Cap Weighted Average of 38 Stocks 1.6%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2004 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGS:NATI Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 1.20 1.00
2020-12-31 1.12 1.00
2019-12-31 1.00 1.00
NasdaqGS:NATI Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-01-29 1.000 2.203
2018-07-26 0.920 1.985
2018-01-30 0.920 2.007
2017-10-26 0.840 1.909
2017-04-27 0.840 2.103
2017-02-16 0.840 2.584
2017-01-26 0.840 2.657
2016-10-27 0.800 2.667
2016-08-01 0.800 2.866
2016-07-27 0.800 2.776
2016-05-02 0.800 2.870
2016-04-28 0.800 2.883
2016-02-19 0.800 2.759
2016-01-28 0.800 2.878
2015-10-27 0.760 2.586
2015-07-28 0.760 2.668
2015-04-28 0.760 2.577
2015-01-29 0.760 2.398
2014-10-30 0.600 1.915
2014-07-29 0.600 1.915
2014-04-29 0.600 2.000
2014-01-30 0.600 2.106
2013-10-31 0.560 1.792
2013-07-29 0.560 1.905
2013-04-25 0.560 1.976
2013-01-31 0.560 1.834
2012-10-25 0.560 2.206
2012-07-26 0.560 2.188
2012-04-26 0.560 2.116
2012-01-31 0.560 2.073
2011-10-26 0.400 1.534
2011-07-27 0.400 1.643
2011-04-28 0.400 1.380
2011-01-25 0.400 1.282
2010-10-25 0.347 1.427
2010-07-27 0.347 1.661
2010-04-27 0.347 1.627
2010-01-26 0.347 1.588
2009-10-27 0.320 1.672
2009-07-23 0.320 1.814
2009-04-28 0.320 2.157
2009-03-20 0.320 2.406

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of National Instruments's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.3x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.7x coverage).
X
Income/ dividend checks
We assess National Instruments's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can National Instruments afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. National Instruments has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of National Instruments's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Alex Davern
COMPENSATION $7,505,508
AGE 51
TENURE AS CEO 2.2 years
CEO Bio

Mr. Alexander M. Davern, also known as Alex, CPA, has been the Chief Executive Officer since January 01, 2016.He was President of National Instruments Corporation since January 01, 2016 until October 23, 2018. Mr. Davern served as the Chief Financial Officer of National Instruments Corporation from December 1997 to December 2016 and also served as its Treasurer from July 1997 to December 2016. He served as the Chief Operating Officer and Executive Vice President at National Instruments Corporation from October 1, 2010 to December 2016. Mr. Davern joined NI in February 1994 as International Controller. Throughout the industry, he is a recognized expert in corporate finance and executive leadership. He served as the Senior Vice President, IT and Manufacturing Operations of National Instruments Corp. from December 2002 to October 2010. From July 1997 to December 1997, he served as Acting Chief Financial Officer and Treasurer and as Corporate Controller and International Controller of National Instruments. Prior to 1994, he worked both in Europe and in the United States for the international accounting firm of Price Waterhouse LLP. Mr. Davern has been an Independent Director of Cirrus Logic Inc. since March 25, 2015. He serves as a Director of National Instruments Corporation from January 31, 2017. He served as an Independent Director of Helen of Troy Limited from August 2014 to March 31, 2017. He served as a Director of SigmaTel Inc. since June 2003. He is a former member of the Texas Society of Certified Public Accountants and the Irish Society of Chartered Accountants. Mr. Davern holds an undergraduate degree in Business studies and received his bachelor’s degree in Commerce and Postgraduate Diploma in Professional Accounting from University College Dublin.

CEO Compensation
  • Alex's compensation has increased by more than 20% in the past year.
  • Alex's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the National Instruments management team in years:

2
Average Tenure
51
Average Age
  • The tenure for the National Instruments management team is about average.
Management Team

Alex Davern

TITLE
CEO & Director
COMPENSATION
$8M
AGE
51
TENURE
2.2 yrs

Eric Starkloff

TITLE
President & COO
COMPENSATION
$1M
AGE
43
TENURE
0.4 yrs

Jeff Kodosky

TITLE
Co-Founder & Director
AGE
68
TENURE
43.2 yrs

Karen Rapp

TITLE
Executive VP
COMPENSATION
$1M
AGE
50
TENURE
1.8 yrs

John Roiko

TITLE
VP of Finance & Chief Accounting Officer
COMPENSATION
$515K
AGE
60
TENURE
1.3 yrs

Scott Rust

TITLE
Senior Vice President of Product and R&D
COMPENSATION
$1M
AGE
51
TENURE
5.2 yrs

Marissa Vidaurri

TITLE
Head of Strategic Communications & Investor Relations

Kevin Ilcisin

TITLE
Vice President of Strategy & Corporate Development

Carla Sublett

TITLE
First Chief Marketing Officer
TENURE
0.1 yrs

Cate Prescott

TITLE
Vice President of Global Human Resources
TENURE
2.2 yrs
Board of Directors Tenure

Average tenure and age of the National Instruments board of directors in years:

12.7
Average Tenure
64
Average Age
  • The average tenure for the National Instruments board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Alex Davern

TITLE
CEO & Director
COMPENSATION
$8M
AGE
51

Michael McGrath

TITLE
Chairman of the Board
COMPENSATION
$203K
AGE
68
TENURE
0.5 yrs

Jeff Kodosky

TITLE
Co-Founder & Director
AGE
68
TENURE
43.2 yrs

Charles Roesslein

TITLE
Independent Director
COMPENSATION
$211K
AGE
69
TENURE
18.7 yrs

Duy-Loan Le

TITLE
Independent Director
COMPENSATION
$211K
AGE
55
TENURE
16.5 yrs

John Berra

TITLE
Independent Director
COMPENSATION
$208K
AGE
70
TENURE
8.8 yrs

Gerhard Fettweis

TITLE
Independent Director
COMPENSATION
$195K
AGE
56
TENURE
3 yrs

Jim Cashman

TITLE
Independent Director
AGE
64

Liam Griffin

TITLE
Independent Director
AGE
51
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
19. Nov 18 Sell Scott Rust Individual 19. Nov 18 19. Nov 18 -4,432 $49.23 $-215,135
07. Nov 18 Sell John Roiko Individual 06. Nov 18 06. Nov 18 -1,145 $49.28 $-56,429
31. Oct 18 Sell Eric Starkloff Individual 30. Oct 18 30. Oct 18 -2,500 $49.18 $-122,950
30. Aug 18 Sell John Roiko Individual 29. Aug 18 29. Aug 18 -1,388 $47.33 $-65,697
23. Aug 18 Sell James Truchard Individual 21. Aug 18 22. Aug 18 -125,000 $45.21 $-5,647,500
17. Aug 18 Sell John Roiko Individual 16. Aug 18 16. Aug 18 -1,768 $44.99 $-79,538
26. May 18 Sell Scott Rust Individual 25. May 18 25. May 18 -6,372 $41.45 $-264,119
25. May 18 Buy Duy-Loan Le Individual 23. May 18 23. May 18 519 $41.48 $21,526
14. May 18 Sell Gerhard Fettweis Individual 11. May 18 11. May 18 -800 $42.11 $-33,686
X
Management checks
We assess National Instruments's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. National Instruments has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

With A Return On Equity Of 13%, Has National Instruments Corporation's (NASDAQ:NATI) Management Done Well?

While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. … Our data shows National Instruments has a return on equity of 13% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Don't Sell National Instruments Corporation (NASDAQ:NATI) Before You Read This

We'll look at National Instruments Corporation's (NASDAQ:NATI) P/E ratio and reflect on what it tells us about the company's share price. … Based on the last twelve months, National Instruments's P/E ratio is 39.66. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

How Do Analysts See National Instruments Corporation (NASDAQ:NATI) Performing In The Next Couple Of Years?

Want to participate in a short research study? … Help shape the future of investing tools and receive a $20 prize! … National Instruments Corporation's (NASDAQ:NATI) latest earnings update in December 2018a

Simply Wall St -

What Should You Know About National Instruments Corporation's (NASDAQ:NATI) Growth?

Help shape the future of investing tools and you could win a $250 gift card! … On 31 December 2018, National Instruments Corporation (NASDAQ:NATI) released its earnings update. … with earnings expected to grow by 5.2% in the upcoming year

Simply Wall St -

Here’s What National Instruments Corporation’s (NASDAQ:NATI) Return On Capital Can Tell Us

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … Return On Capital Employed (ROCE): What is it? … The formula for calculating the return on capital employed is:

Simply Wall St -

Is National Instruments Corporation's (NASDAQ:NATI) Liquidity Good Enough?

Small-caps and large-caps are wildly popular among investors; however, mid-cap stocks, such as National Instruments Corporation (NASDAQ:NATI) with a market-capitalization of US$5.9b, rarely draw their attention. … While they are less talked about as an investment category, mid-cap risk-adjusted returns have generally been better than more commonly focused stocks that fall into the small- or large-cap categories. … Note that this information is centred entirely on financial health and is a top-level understanding, so I encourage you to look further.

Simply Wall St -

Is It Time To Consider Buying National Instruments Corporation (NASDAQ:NATI)?

saw significant share price movement during recent months on the NasdaqGS, rising to highs of $50.41 and falling to the lows of $42.05. … Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price? … A question to answer is whether National Instruments's current trading price of $42.05 reflective of the actual value of the?

Simply Wall St -

Is National Instruments Corporation's (NASDAQ:NATI) 6.2% ROE Worse Than Average?

By way of learning-by-doing, we'll look at ROE to gain a better understanding National Instruments Corporation (NASDAQ:NATI). … One way to conceptualize this, is that for each $1 of shareholders' equity it has, the company made $0.062 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Why I Like National Instruments Corporation (NASDAQ:NATI)

I've been keeping an eye on National Instruments Corporation (NASDAQ:NATI) because I'm attracted to its fundamentals. … Looking at the company as a whole, as a potential stock investment, I believe NATI has a lot to offer.

Simply Wall St -

Despite Its High P/E Ratio, Is National Instruments Corporation (NASDAQ:NATI) Still Undervalued?

This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … Based on the last twelve months, National Instruments's P/E ratio is 84.27. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

Company Info

Description

National Instruments Corporation provides a software-centric platform and systems to engineers and scientists worldwide. Its programming environments software includes LabVIEW, a graphical application software package to visualize hardware configuration, measurement data, and debugging of application; LabWindows/CVI, an ANSI C integrated development environment and engineering toolbox with built-in libraries for measurement, analysis, and engineering UI design; and NI Measurement Studio, a suite of .NET tools designed for building engineering applications in Microsoft Visual Studio to acquire, analyze, and display measurement data. The company’s application software comprises TestStand, which is used for automated test and measurement applications in a manufacturing environment; VeriStand, a ready-to-use software environment for configuring real-time testing applications; Flexlogger for quick sensor configuration and data logging of mixed signals to verify electromechanical systems; and InsightCM Enterprise, a software solution with integrated hardware options for monitoring ancillary rotating equipment. Its systems and data management software include DIAdem, which is configuration-based technical data management, analysis, and report generation tools to mine and analyze engineering and measurement data; and SystemLink, a systems management software that enables the mass coordination of connected devices, software deployments, and data communications throughout a distributed system. The company also offers PXI hardware form factor that combines PC software and PCI hardware with advanced instrumentation capabilities; NI C-series data acquisition and control products; and NI semiconductor test systems, as well as software and hardware maintenance, and training and certification services. It serves semiconductor, transportation, and aerospace and defense industries, as well as government agencies. The company was founded in 1976 and is headquartered in Austin, Texas.

Details
Name: National Instruments Corporation
NATI
Exchange: NasdaqGS
Founded: 1976
$5,968,058,082
132,241,482
Website: http://www.ni.com
Address: National Instruments Corporation
11500 North MoPac Expressway,
Austin,
Texas, 78759,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS NATI Common Stock Nasdaq Global Select US USD 14. Mar 1995
DB NI1 Common Stock Deutsche Boerse AG DE EUR 14. Mar 1995
Number of employees
Current staff
Staff numbers
7,263
National Instruments employees.
Industry
Electronic Equipment and Instruments
Tech
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/19 23:40
End of day share price update: 2019/03/19 00:00
Last estimates confirmation: 2019/01/31
Last earnings filing: 2019/02/21
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.