CNH Valuation

CNH Industrial NV

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12.370

+0.4(3.342%)1D

Overview
Forecast
Valuation
Earnings

CNH Relative Valuation

CNH's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, CNH is overvalued; if below, it's undervalued.

Historical Valuation

CNH Industrial NV (CNH) is now in the Overvalued zone, suggesting that its current forward PE ratio of 16.91 is considered Overvalued compared with the five-year average of 11.35. The fair price of CNH Industrial NV (CNH) is between 7.47 to 11.73 according to relative valuation methord. Compared to the current price of 12.37 USD , CNH Industrial NV is Overvalued By 5.46%.

Relative Value

Fair Zone

7.47-11.73

Current Price：12.37

5.46%

Overvalued

16.91

Trailing

Forward

28.27

EV/EBITDA

CNH Industrial NV. (CNH) has a current EV/EBITDA of 28.27. The 5-year average EV/EBITDA is 16.31. The thresholds are as follows: Strongly Undervalued below 5.49, Undervalued between 5.49 and 10.90, Fairly Valued between 21.72 and 10.90, Overvalued between 21.72 and 27.13, and Strongly Overvalued above 27.13. The current Forward EV/EBITDA of 28.27 falls within the Strongly Overvalued range.

44.57

EV/EBIT

CNH Industrial NV. (CNH) has a current EV/EBIT of 44.57. The 5-year average EV/EBIT is 22.38. The thresholds are as follows: Strongly Undervalued below 0.89, Undervalued between 0.89 and 11.64, Fairly Valued between 33.13 and 11.64, Overvalued between 33.13 and 43.87, and Strongly Overvalued above 43.87. The current Forward EV/EBIT of 44.57 falls within the Strongly Overvalued range.

0.85

CNH Industrial NV. (CNH) has a current PS of 0.85. The 5-year average PS is 0.77. The thresholds are as follows: Strongly Undervalued below 0.46, Undervalued between 0.46 and 0.62, Fairly Valued between 0.92 and 0.62, Overvalued between 0.92 and 1.07, and Strongly Overvalued above 1.07. The current Forward PS of 0.85 falls within the Historic Trend Line -Fairly Valued range.

10.31

P/OCF

CNH Industrial NV. (CNH) has a current P/OCF of 10.31. The 5-year average P/OCF is 8.68. The thresholds are as follows: Strongly Undervalued below 2.20, Undervalued between 2.20 and 5.44, Fairly Valued between 11.91 and 5.44, Overvalued between 11.91 and 15.15, and Strongly Overvalued above 15.15. The current Forward P/OCF of 10.31 falls within the Historic Trend Line -Fairly Valued range.

22.75

P/FCF

CNH Industrial NV. (CNH) has a current P/FCF of 22.75. The 5-year average P/FCF is 17.04. The thresholds are as follows: Strongly Undervalued below -8.56, Undervalued between -8.56 and 4.24, Fairly Valued between 29.84 and 4.24, Overvalued between 29.84 and 42.64, and Strongly Overvalued above 42.64. The current Forward P/FCF of 22.75 falls within the Historic Trend Line -Fairly Valued range.

CNH Industrial NV (CNH) has a current Price-to-Book (P/B) ratio of 1.94. Compared to its 3-year average P/B ratio of 2.23 , the current P/B ratio is approximately -13.09% higher. Relative to its 5-year average P/B ratio of 2.72, the current P/B ratio is about -28.61% higher. CNH Industrial NV (CNH) has a Forward Free Cash Flow (FCF) yield of approximately 14.01%. Compared to its 3-year average FCF yield of 1.31%, the current FCF yield is approximately 966.25% lower. Relative to its 5-year average FCF yield of 7.60% , the current FCF yield is about 84.47% lower.

1.94

P/B

Median3y

2.23

Median5y

2.72

14.01

FCF Yield

Median3y

1.31

Median5y

7.60

Competitors Valuation Multiple

The average P/S ratio for CNH's competitors is 1.29, providing a benchmark for relative valuation. CNH Industrial NV Corp (CNH) exhibits a P/S ratio of 0.85, which is -33.79% above the industry average. Given its robust revenue growth of -14.16%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

SiteOne Landscape Supply Inc

1.28

3.37%

6.57B

Performance Decomposition

Market capitalization of CNH increased by 19.63% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 10.78 to 18.45.

The secondary factor is the Revenue Growth, contributed -14.16%to the performance.

Overall, the performance of CNH in the past 1 year is driven by P/E Change. Which is more unsustainable.

-14.16%

5.49B → 4.71B

Revenue Growth

-37.36%

7.36 → 4.61

Margin Expansion

71.15%

10.78 → 18.45

P/E Change

19.63%