nVent Electric (NVT) AI Stock Analysis

• Market Cap: $10.96B
• Dividend Yield: 1.17%
• Average Volume (3M): 2.37M
• Price to Earnings (P/E): 19.3
• Beta (1Y): 1.86
• Revenue Growth: -5.12%
• EPS Growth: 1.69%
• Country: US
• Employees: 12,100
• Sector: Industrials
• Sector Strength: 91
• Industry: Electrical Equipment & Parts
• EPS (TTM): 0.67
• Shares Outstanding: 164,635,760
• 10 Day Avg. Volume: 2,519,445
• 30 Day Avg. Volume: 2,372,342
• PEG Ratio: 0.22
• Price to Book (P/B): 2.81
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 18.91
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $70.33
• Price Target Upside: 6.38% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7

nVent Electric demonstrates strong financial performance with robust profitability and healthy cash flows, contributing significantly to its stock score. Positive technical indicators and a fair valuation support the score, although potential overbought conditions warrant caution. The positive earnings call with raised guidance and strategic acquisitions adds confidence. The recent executive change further strengthens the company's outlook.

Positive Factors

Acquisitions Impact

The acquisition of Electrical Products Group is expected to be accretive to adjusted EPS in the first year following the completion of the transaction.

Financial Performance

The company reported double-digit growth in orders, revenue, adjusted EPS, and free cash flow.

Revenue Growth

Full-Year Guidance Revised Upward with revenue expected to increase in a range of 19% to 21%.

Negative Factors

Market Conditions

The negative narrative around curtailed spending by Datacenters on less expensive AI is overdone.

Profit Margins

EPG's adjusted EBITDA margin is about 250 basis points below nVent's corporate average before synergies.

nVent Electric Business Overview & Revenue Model

Company Description

nVent Electric plc (NVT) is a global provider of electrical connection and protection solutions. The company operates across various sectors, including energy, industrial, infrastructure, and commercial and residential buildings. Its core products and services include enclosures, electrical fastening systems, and thermal management solutions, which are designed to safeguard electrical systems and ensure their reliability and efficiency.

How the Company Makes Money

nVent Electric makes money through the sale of its diverse range of products that are essential for electrical connection and protection across multiple industries. The company's revenue model is primarily based on direct sales to distributors, original equipment manufacturers (OEMs), and end-users. Key revenue streams include its enclosures segment, which provides robust and secure solutions for housing electrical components, and its thermal management segment, which offers critical systems for temperature regulation of electrical and electronic equipment. Additionally, nVent maintains significant partnerships with major distributors and leverages its global presence to drive sales and expand market reach, contributing to its overall earnings.

nVent Electric Financial Statement Overview

Summary

nVent Electric exhibits a strong financial position with robust profitability and growth metrics. The company maintains a solid balance sheet with manageable leverage and strong equity backing. Cash flows are healthy, supporting ongoing operations and growth. While the company shows impressive performance, attention should be given to fluctuations in revenue and debt levels.

Income Statement

The income statement shows strong profitability with a TTM gross profit margin of approximately 40.1% and a net profit margin of about 18.2%. The revenue growth rate from 2024 to TTM is around 7.3%, indicating healthy growth. Strong EBIT and EBITDA margins further emphasize operational efficiency. However, revenue fluctuations in prior years highlight some volatility.

Balance Sheet

The balance sheet is robust with a debt-to-equity ratio of 0.49 in TTM, indicating moderate leverage. Return on Equity (ROE) stands at 16.2% for TTM, reflecting good profitability. The equity ratio is at 53.8%, suggesting solid financial stability. However, attention should be given to the increase in total debt over the years.

Cash Flow

Cash flow analysis reveals strong free cash flow growth of 25.4% from 2024 to TTM. Operating cash flow to net income ratio is 1.05, showing efficient cash generation. The free cash flow to net income ratio at 0.91 underscores solid cash availability. While cash flows are robust, fluctuations in investing and financing cash flows warrant monitoring.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
3.22B	3.01B	3.26B	2.91B	2.46B	2.00B
	Gross Profit
1.29B	1.21B	1.34B	1.10B	941.90M	749.40M
	EBIT
550.20M	527.10M	587.40M	440.40M	355.40M	247.40M
	EBITDA
666.80M	681.20M	720.30M	618.00M	484.60M	370.90M
	Net Income Common Stockholders
587.40M	331.80M	567.10M	399.80M	272.90M	-47.20M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
211.40M	131.20M	185.10M	297.50M	49.50M	122.50M
	Total Assets
6.17B	6.73B	6.16B	4.90B	4.67B	4.37B
	Total Debt
1.90B	2.27B	1.90B	1.08B	999.20M	948.00M
	Net Debt
1.69B	2.14B	1.72B	785.70M	949.70M	825.50M
	Total Liabilities
2.96B	3.50B	3.02B	2.17B	2.18B	1.96B
	Stockholders Equity
3.21B	3.24B	3.14B	2.73B	2.50B	2.41B
Cash Flow		Free Cash Flow
535.30M	427.00M	457.10M	348.70M	333.80M	304.00M
	Operating Cash Flow
617.00M	501.00M	528.10M	394.60M	373.30M	344.00M
	Investing Cash Flow
824.80M	-758.40M	-1.16B	-52.50M	-274.00M	-65.00M
	Financing Cash Flow
-297.20M	146.20M	516.70M	-82.10M	-166.80M	-272.50M

nVent Electric Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 66.11
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NVT, the sentiment is Positive. The current price of 66.11 is above the 20-day moving average (MA) of 60.78, above the 50-day MA of 55.79, and above the 200-day MA of 65.42, indicating a bullish trend. The MACD of 3.68 indicates Negative momentum. The RSI at 67.45 is Neutral, neither overbought nor oversold. The STOCH value of 73.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NVT.

nVent Electric Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NVT	81 Outperform	$10.96B	19.29	7.63%	1.17%	-5.12%	1.69%
AYI	80 Outperform	$8.38B	20.71	17.86%	0.24%	2.78%	11.53%
POWL	78 Outperform	$2.20B	12.88	37.08%	0.58%	27.43%	67.93%
AEIS	74 Outperform	$4.40B	60.44	6.36%	0.34%	0.06%	-28.32%
ATKR	72 Outperform	$2.31B	13.21	12.73%	1.86%	-12.02%	-67.69%
ENS	67 Neutral	$3.88B	12.17	18.36%	0.96%	-2.94%	22.32%
Sector *	64 Neutral	$4.44B	11.99	5.16%	249.23%	4.01%	-11.87%

nVent Electric Corporate Events

nVent Electric Holds Annual General Meeting

On May 16, 2025, nVent Electric plc held its annual general meeting where shareholders voted on several key proposals. All nine director nominees were elected for one-year terms, and the compensation of named executive officers was approved. Additionally, the appointment of Deloitte & Touche LLP as the independent auditor was ratified, and the board was authorized to allot new shares and opt out of statutory preemption rights under Irish law. These decisions reflect the company’s ongoing efforts to align its governance and financial strategies with shareholder interests.

The most recent analyst rating on (NVT) stock is a Buy with a $80.00 price target. To see the full list of analyst forecasts on nVent Electric stock, see the NVT Stock Forecast page.

Spark’s Take on NVT Stock

According to Spark, TipRanks’ AI Analyst, NVT is a Outperform.

nVent Electric demonstrates strong financial performance with robust profitability and healthy cash flows, contributing significantly to its stock score. Positive technical indicators and a fair valuation support the score, although potential overbought conditions warrant caution. The positive earnings call with raised guidance and strategic acquisitions adds confidence. The recent executive change further strengthens the company’s outlook.

To see Spark’s full report on NVT stock, click here.

nVent Electric Appoints Gary Corona as New CFO

nVent Electric plc has announced the appointment of Gary Corona as its new Executive Vice President and Chief Financial Officer, effective March 31, 2025. This leadership change is significant as it brings in Mr. Corona, who has a robust background in finance with previous roles at Medtronic and General Mills, to strengthen nVent’s financial operations. His compensation package includes a base salary, incentive opportunities, and stock units, reflecting the company’s investment in his leadership to potentially enhance its market position.