Norsk Hydro ASA
OTC:NHYKF
Intrinsic Value
Norsk Hydro ASA engages in producing and supplying alumina and primary aluminum. [ Read More ]
The intrinsic value of one NHYKF stock under the Base Case scenario is 9.461 USD. Compared to the current market price of 5.585 USD, Norsk Hydro ASA is Undervalued by 41%.
Valuation Backtest
Norsk Hydro ASA
Run backtest to discover the historical profit from buying and selling NHYKF stocks based on their intrinsic value.
Analyze the historical link between intrinsic value and market price to make more informed investment decisions.
Fundamental Analysis
Hydro Reports Mixed Q4 Results, Ups Dividends
2023-Q4 Earnings Call
In Q4, Hydro's adjusted EBITDA fell by NOK 200 million to NOK 3.7 billion, attributed to lower sales and volumes, although free cash flow was positive at NOK 6.9 billion including Alunorte proceeds. The company released NOK 3 billion in working capital, ending 2023 with a total release of NOK 7 billion. Hydro exceeded their improvement target by NOK 400 million reaching NOK 8.8 billion, with a notable NOK 2.8 billion from commercial initiatives. Despite difficult alumina market conditions which led to a NOK 4.9 billion impairment, the company proposed a generous cash dividend distribution of 59% and a new NOK 2 billion share buyback program, making the total distribution 81.5% of adjusted net income. The adjusted Return on Average Capital Employed (RoaCE) for 2023 was 7.1%, below the 11% achieved over the last five years. Alumina prices ended the quarter at $350 per metric ton, recently stabilizing around $370 amid market tightness. Looking ahead, the global aluminum market is expected to balance out in 2024 with a 7% projected demand decline in extrusions for Europe and North America.
Balance Sheet Decomposition
Norsk Hydro ASA
Current Assets | 80B |
Cash & Short-Term Investments | 29.2B |
Receivables | 25.4B |
Other Current Assets | 25.4B |
Non-Current Assets | 126.5B |
Long-Term Investments | 21.2B |
PP&E | 75B |
Intangibles | 8.4B |
Other Non-Current Assets | 21.8B |
Current Liabilities | 43.9B |
Accounts Payable | 26.2B |
Other Current Liabilities | 17.7B |
Non-Current Liabilities | 62B |
Long-Term Debt | 29B |
Other Non-Current Liabilities | 33B |
Earnings Waterfall
Norsk Hydro ASA
Revenue
|
193.6B
NOK
|
Cost of Revenue
|
-123.5B
NOK
|
Gross Profit
|
70.1B
NOK
|
Operating Expenses
|
-56.6B
NOK
|
Operating Income
|
13.5B
NOK
|
Other Expenses
|
-9.9B
NOK
|
Net Income
|
3.6B
NOK
|
Free Cash Flow Analysis
Norsk Hydro ASA
What is Free Cash Flow?
NHYKF Profitability Score
Profitability Due Diligence
Norsk Hydro ASA's profitability score is 54/100. The higher the profitability score, the more profitable the company is.
Score
Norsk Hydro ASA's profitability score is 54/100. The higher the profitability score, the more profitable the company is.
NHYKF Solvency Score
Solvency Due Diligence
Norsk Hydro ASA's solvency score is 59/100. The higher the solvency score, the more solvent the company is.
Score
Norsk Hydro ASA's solvency score is 59/100. The higher the solvency score, the more solvent the company is.
Wall St
Price Targets
NHYKF Price Targets Summary
Norsk Hydro ASA
According to Wall Street analysts, the average 1-year price target for NHYKF is 7.236 USD with a low forecast of 4.864 USD and a high forecast of 11.126 USD.
Shareholder Return
NHY Price
Norsk Hydro ASA
Average Annual Return | 28.43% |
Standard Deviation of Annual Returns | 36.07% |
Max Drawdown | -46% |
Market Capitalization | 117.1B NOK |
Shares Outstanding | 2 004 950 016 |
Percentage of Shares Shorted |
N/A
|
Company Profile
Country
Industry
Market Cap
Dividend Yield
Description
Norsk Hydro ASA engages in producing and supplying alumina and primary aluminum. The company is headquartered in Oslo, Oslo. The firm operates through six segments: Bauxite & Alumina, which includes bauxite mining activities, production of alumina and related commercial activities, primarily the sale of alumina; Primary Metal, which includes primary aluminum production and casting activities; Metal Markets, which include sales activities relating to products from the its primary metal plants and operational responsibility for Hydro's stand-alone remelters, as well as physical and financial metal trading activities; Rolled Products, which include Hydro's rolling mills; Energy, which includes energy sourcing for Hydro's aluminum operations around the world, and Other and eliminations, which consists of its captive insurance company Industriforsikring, its industry parks, internal service providers, operation of Sapa and other activities.
Contact
IPO
Employees
Officers
The intrinsic value of one NHYKF stock under the Base Case scenario is 9.461 USD.
Compared to the current market price of 5.585 USD, Norsk Hydro ASA is Undervalued by 41%.