Northwest Natural Gas Stock Current Valuation
| NWN Stock | USD 43.85 0.07 0.16% |
Valuation analysis of Northwest Natural Gas helps investors to measure Northwest Natural's intrinsic value by examining its available valuation indicators, including the cash flow records, the balance sheet account changes and income statement patterns. As of the 25th of November 2024, Enterprise Value Over EBITDA is likely to drop to 7.34. In addition to that, Enterprise Value Multiple is likely to drop to 7.34. Fundamental drivers impacting Northwest Natural's valuation include:
Price Book 1.2947 | Enterprise Value 3.5 B | Enterprise Value Ebitda 11.0143 | Price Sales 1.5441 | Forward PE 15.1057 |
Undervalued
Today
Please note that Northwest Natural's price fluctuation is very steady at this time. Calculation of the real value of Northwest Natural Gas is based on 3 months time horizon. Increasing Northwest Natural's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Northwest Natural is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Northwest Stock. However, Northwest Natural's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 43.85 | Real 45.87 | Target 49.33 | Hype 43.73 | Naive 44.53 |
The intrinsic value of Northwest Natural's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Northwest Natural's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Northwest Natural Gas helps investors to forecast how Northwest stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Northwest Natural more accurately as focusing exclusively on Northwest Natural's fundamentals will not take into account other important factors: Northwest Natural Gas Company Current Valuation Analysis
Northwest Natural's Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Current Northwest Natural Current Valuation | 3.54 B |
Most of Northwest Natural's fundamental indicators, such as Current Valuation, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Northwest Natural Gas is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Northwest Current Valuation Driver Correlations
Understanding the fundamental principles of building solid financial models for Northwest Natural is extremely important. It helps to project a fair market value of Northwest Stock properly, considering its historical fundamentals such as Current Valuation. Since Northwest Natural's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Northwest Natural's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Northwest Natural's interrelated accounts and indicators.
Click cells to compare fundamentals
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
| Competition |
In accordance with the recently published financial statements, Northwest Natural Gas has a Current Valuation of 3.54 B. This is 66.45% lower than that of the Gas Utilities sector and significantly higher than that of the Utilities industry. The current valuation for all United States stocks is 78.73% higher than that of the company.
Northwest Current Valuation Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Northwest Natural's direct or indirect competition against its Current Valuation to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Northwest Natural could also be used in its relative valuation, which is a method of valuing Northwest Natural by comparing valuation metrics of similar companies.Northwest Natural is currently under evaluation in current valuation category among its peers.
Northwest Natural ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Northwest Natural's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Northwest Natural's managers, analysts, and investors.Environmental | Governance | Social |
Northwest Fundamentals
| Return On Equity | 0.0609 | ||||
| Return On Asset | 0.024 | ||||
| Profit Margin | 0.07 % | ||||
| Operating Margin | (0.14) % | ||||
| Current Valuation | 3.54 B | ||||
| Shares Outstanding | 40.13 M | ||||
| Shares Owned By Insiders | 0.89 % | ||||
| Shares Owned By Institutions | 80.06 % | ||||
| Number Of Shares Shorted | 909.75 K | ||||
| Price To Earning | 19.66 X | ||||
| Price To Book | 1.29 X | ||||
| Price To Sales | 1.54 X | ||||
| Revenue | 1.2 B | ||||
| Gross Profit | 383.05 M | ||||
| EBITDA | 344.49 M | ||||
| Net Income | 93.87 M | ||||
| Cash And Equivalents | 29.27 M | ||||
| Cash Per Share | 0.49 X | ||||
| Total Debt | 1.75 B | ||||
| Debt To Equity | 1.18 % | ||||
| Current Ratio | 0.66 X | ||||
| Book Value Per Share | 33.82 X | ||||
| Cash Flow From Operations | 279.95 M | ||||
| Short Ratio | 4.17 X | ||||
| Earnings Per Share | 2.10 X | ||||
| Price To Earnings To Growth | 3.21 X | ||||
| Target Price | 45.33 | ||||
| Number Of Employees | 1.38 K | ||||
| Beta | 0.57 | ||||
| Market Capitalization | 1.76 B | ||||
| Total Asset | 1.48 B | ||||
| Retained Earnings | 399.91 M | ||||
| Working Capital | (95.44 M) | ||||
| Current Asset | 330.77 M | ||||
| Current Liabilities | 477.69 M | ||||
| Annual Yield | 0.04 % | ||||
| Five Year Return | 3.37 % | ||||
| Net Asset | 1.48 B | ||||
| Last Dividend Paid | 1.95 |
About Northwest Natural Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Northwest Natural Gas's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Northwest Natural using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Northwest Natural Gas based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Pair Trading with Northwest Natural
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Northwest Natural position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Northwest Natural will appreciate offsetting losses from the drop in the long position's value.Moving together with Northwest Stock
| 0.77 | NI | NiSource | PairCorr |
| 0.74 | SR | Spire Inc | PairCorr |
| 0.69 | ATO | Atmos Energy | PairCorr |
| 0.82 | BKH | Black Hills | PairCorr |
| 0.83 | CPK | Chesapeake Utilities | PairCorr |
Moving against Northwest Stock
The ability to find closely correlated positions to Northwest Natural could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Northwest Natural when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Northwest Natural - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Northwest Natural Gas to buy it.
The correlation of Northwest Natural is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Northwest Natural moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Northwest Natural Gas moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Northwest Natural can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Northwest Natural Piotroski F Score and Northwest Natural Altman Z Score analysis. You can also try the My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.
Is Gas Utilities space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Northwest Natural. If investors know Northwest will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Northwest Natural listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.16) | Dividend Share 1.95 | Earnings Share 2.1 | Revenue Per Share 29.929 | Quarterly Revenue Growth (0.03) |
The market value of Northwest Natural Gas is measured differently than its book value, which is the value of Northwest that is recorded on the company's balance sheet. Investors also form their own opinion of Northwest Natural's value that differs from its market value or its book value, called intrinsic value, which is Northwest Natural's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Northwest Natural's market value can be influenced by many factors that don't directly affect Northwest Natural's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Northwest Natural's value and its price as these two are different measures arrived at by different means. Investors typically determine if Northwest Natural is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Northwest Natural's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.