Nomura Holdings, Inc.
Nomura Holdings, Inc. Fundamental Analysis
Nomura Holdings, Inc. (NMR) shows moderate financial fundamentals with a PE ratio of 11.63, profit margin of 8.22%, and ROE of 10.23%. The company generates $4381.6B in annual revenue with strong year-over-year growth of 19.21%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 42.7/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze NMR's fundamental strength across five key dimensions:
Efficiency Score
WeakNMR struggles to generate sufficient returns from assets.
Valuation Score
ExcellentNMR trades at attractive valuation levels.
Growth Score
ModerateNMR shows steady but slowing expansion.
Financial Health Score
ModerateNMR shows balanced financial health with some risks.
Profitability Score
WeakNMR struggles to sustain strong margins.
Key Financial Metrics
Is NMR Expensive or Cheap?
P/E Ratio
NMR trades at 11.63 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, NMR's PEG of -0.04 indicates potential undervaluation.
Price to Book
The market values Nomura Holdings, Inc. at 1.15 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -41.19 times EBITDA. This is generally considered low.
How Well Does NMR Make Money?
Net Profit Margin
For every $100 in sales, Nomura Holdings, Inc. keeps $8.22 as profit after all expenses.
Operating Margin
Core operations generate 12.09 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $10.23 in profit for every $100 of shareholder equity.
ROA
Nomura Holdings, Inc. generates $0.58 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Nomura Holdings, Inc. generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Nomura Holdings, Inc. generates weak or negative free cash flow of $0.00, restricting financial flexibility.
FCF Per Share
Each share generates $0.00 in free cash annually.
FCF Yield
NMR converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
11.63
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.04
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.15
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.96
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
8.77
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.42
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.10
vs 25 benchmark
ROA
Return on assets percentage
0.006
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How NMR Stacks Against Its Sector Peers
| Metric | NMR Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 11.63 | 18.86 | Better (Cheaper) |
| ROE | 10.23% | 847.00% | Weak |
| Net Margin | 8.22% | 4202.00% | Weak |
| Debt/Equity | 8.77 | 0.91 | Weak (High Leverage) |
| Current Ratio | 1.42 | 667.17 | Neutral |
| ROA | 0.58% | -21543.00% (disorted) | Weak |
NMR outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Nomura Holdings, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
195.43%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
70.16%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
-4512.48%
Industry Style: Value, Dividend, Cyclical
Declining