Northwest Natural Valuation
| NWN Stock | USD 43.21 1.09 2.59% |
At this time, the firm appears to be undervalued. Northwest Natural Gas secures a last-minute Real Value of $45.67 per share. The latest price of the firm is $43.21. Our model forecasts the value of Northwest Natural Gas from analyzing the firm fundamentals such as Profit Margin of 0.07 %, return on equity of 0.0609, and Current Valuation of 3.46 B as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Northwest Natural's valuation include:
Price Book 1.2373 | Enterprise Value 3.5 B | Enterprise Value Ebitda 10.7717 | Price Sales 1.4856 | Forward PE 14.43 |
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 43.21 | Real 45.67 | Target 49.33 | Hype 43.23 | Naive 43.24 |
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: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Northwest Natural's intrinsic value based on its ongoing forecasts of Northwest Natural's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Northwest Natural's closest peers.
Northwest Natural Cash |
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Northwest Valuation Trend
Knowing Northwest Natural's actual value is paramount for traders when making sound investment determinations. Using both Northwest Natural's enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
Northwest Natural Total Value Analysis
Northwest Natural Gas is now anticipated to have company total value of 3.46 B with market capitalization of 1.69 B, debt of 1.75 B, and cash on hands of 29.27 M. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Northwest Natural fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
3.46 B | 1.69 B | 1.75 B | 29.27 M |
Northwest Natural Investor Information
About 80.0% of the company shares are owned by institutional investors. The company has price-to-book ratio of 1.24. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Northwest Natural Gas last dividend was issued on the 31st of October 2024. The entity had 3:2 split on the 9th of September 1996. Based on the analysis of Northwest Natural's profitability, liquidity, and operating efficiency, Northwest Natural Gas is doing better financially today then in previous quarter. It has a moderate probability of reporting better financial numbers in December.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Operating Profit Margin | 0.2 | 0.1544 |
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| Total Cash From Operating Activities | 158 M | 279.9 M |
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| Operating Income | 136.3 M | 184.9 M |
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Northwest Natural Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Northwest Natural has an asset utilization ratio of 81.01 percent. This suggests that the Company is making $0.81 for each dollar of assets. An increasing asset utilization means that Northwest Natural Gas is more efficient with each dollar of assets it utilizes for everyday operations.Northwest Natural Ownership Allocation
Northwest Natural Gas maintains a total of 40.13 Million outstanding shares. The majority of Northwest Natural outstanding shares are owned by institutional investors. These third-party entities are usually referred to as non-private investors looking to shop for positions in Northwest Natural Gas to benefit from reduced commissions. Consequently, institutional holders are subject to a different set of regulations than regular investors in Northwest Natural Gas. Please pay attention to any change in the institutional holdings of Northwest Natural as this could imply that something significant has changed or is about to change at the company. Please note that on September 6, 2024, Representative Earl Blumenauer of US Congress acquired under $15k worth of Northwest Natural Gas's common stock.Northwest Natural Profitability Analysis
The company reported the last year's revenue of 1.2 B. Total Income to common stockholders was 93.87 M with profit before taxes, overhead, and interest of 383.05 M.Northwest Natural Past Distributions to stockholders
About Northwest Natural Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Northwest Natural Gas. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Northwest Natural Gas based exclusively on its fundamental and basic technical indicators. By analyzing Northwest Natural's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Northwest Natural's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Northwest Natural. We calculate exposure to Northwest Natural's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Northwest Natural's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 152.6 M | 234 M | |
| Pretax Profit Margin | 0.11 | 0.14 | |
| Operating Profit Margin | 0.15 | 0.20 | |
| Net Profit Margin | 0.08 | 0.09 | |
| Gross Profit Margin | 0.13 | 0.12 |
Northwest Natural Quarterly Retained Earnings |
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A single share of Northwest Natural represents a small ownership stake in the entity. As a stockholder of Northwest, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Northwest Natural Dividends Analysis For Valuation
At this time, Northwest Natural's Dividend Payout Ratio is very stable compared to the past year. As of the 22nd of November 2024, Dividend Paid And Capex Coverage Ratio is likely to grow to 1.36, while Dividends Paid is likely to drop about 47.1 M. . At this time, Northwest Natural's Earnings Yield is very stable compared to the past year. As of the 22nd of November 2024, Price Earnings To Growth Ratio is likely to grow to 8.01, while Retained Earnings are likely to drop about 289.3 M.
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 67.3 M | 47.1 M | |
| Dividend Yield | 0.05 | 0.05 | |
| Dividend Payout Ratio | 0.72 | 0.75 | |
| Dividend Paid And Capex Coverage Ratio | 0.71 | 1.36 |
There are various types of dividends Northwest Natural can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Northwest shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Northwest Natural Gas directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Northwest pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Northwest Natural by the value of the dividends paid out.
Northwest Natural Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 36.3 M | |
| Quarterly Earnings Growth Y O Y | -0.159 | |
| Forward Price Earnings | 14.43 |
Northwest Natural Current Valuation Indicators
Northwest Natural's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Northwest Natural's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Northwest Natural, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Northwest Natural's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Northwest Natural's worth.When determining whether Northwest Natural Gas offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Northwest Natural's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Northwest Natural Gas Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Northwest Natural Gas Stock: Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Northwest Natural Gas. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in housing. You can also try the Portfolio Holdings module to check your current holdings and cash postion to detemine if your portfolio needs rebalancing.
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.