CNH Industrial N.V. Fundamental Analysis (NYSE: CNHI)
CNH Industrial N.V. (NYSE: CNHI) shows weak financial fundamentals with a PE ratio of 45.80, profit margin of 1.71%, and ROE of 3.99%. The company generates $18.4B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 33.8/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze CNHI's fundamental strength across five key dimensions:
Efficiency Score
WeakCNHI struggles to generate sufficient returns from assets.
Valuation Score
ModerateCNHI shows balanced valuation metrics.
Growth Score
ModerateCNHI shows steady but slowing expansion.
Financial Health Score
ModerateCNHI shows balanced financial health with some risks.
Profitability Score
WeakCNHI struggles to sustain strong margins.
Key Financial Metrics
Is CNHI Expensive or Cheap?
P/E Ratio
CNHI trades at 45.80 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, CNHI's PEG of -0.74 indicates potential undervaluation.
Price to Book
The market values CNH Industrial N.V. at 1.82 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 14.47 times EBITDA. This signals the market has high growth expectations.
How Well Does CNHI Make Money?
Net Profit Margin
For every $100 in sales, CNH Industrial N.V. keeps $1.71 as profit after all expenses.
Operating Margin
Core operations generate 0.00 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $3.99 in profit for every $100 of shareholder equity.
ROA
CNH Industrial N.V. generates $0.74 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
CNH Industrial N.V. generates limited operating cash flow of $1.81B, signaling weaker underlying cash strength.
Free Cash Flow
CNH Industrial N.V. produces free cash flow of $1.46B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $1.16 in free cash annually.
FCF Yield
CNHI converts 9.98% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
45.80
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.74
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.82
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.79
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.00
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.04
vs 25 benchmark
ROA
Return on assets percentage
0.007
vs 25 benchmark
ROCE
Return on capital employed
0.00
vs 25 benchmark
How CNHI Stacks Against Its Sector Peers
| Metric | CNHI Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 45.80 | 31.41 | Worse (Expensive) |
| ROE | 3.99% | 1114.00% | Weak |
| Net Margin | 1.71% | -21308.00% (disorted) | Weak |
| Debt/Equity | 0.00 | 0.49 | Strong (Low Leverage) |
| Current Ratio | 0.00 | 21.99 | Weak Liquidity |
| ROA | 0.74% | -1339931.00% (disorted) | Weak |
CNHI outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews CNH Industrial N.V.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Cyclical, Value, Infrastructure
EPS CAGR
N/A
Industry Style: Cyclical, Value, Infrastructure
FCF CAGR
N/A
Industry Style: Cyclical, Value, Infrastructure