Fact based stock research
NXP Semiconductors (NasdaqGS:NXPI)

NL0009538784

How to read the free ranks

For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".

Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".

Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.

Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.

(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).

(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.

NXP Semiconductors stock research in summary

nxp.com

ANALYSIS: With an Obermatt Combined Rank of 8 (worse than 92% compared with investment alternatives), NXP Semiconductors (Semiconductors, Netherlands) shares have lower financial characteristics compared with similar stocks. Shares of NXP Semiconductors are low in value (priced high) with a consolidated Value Rank of 27 (worse than 73% of alternatives), show below-average growth (Growth Rank of 44), and are riskily financed (Safety Rank of 14), which means above-average debt burdens. ...read more

RECOMMENDATION: A Combined Rank of 8, is a sell recommendation based on NXP Semiconductors's financial characteristics. As the company NXP Semiconductors's key financial metrics all exhibit below-average performance, such as low value (Obermatt Value Rank of 27), low growth (Obermatt Growth Rank of 44), and risky financing practices (Obermatt Safety Rank of 14), it is a somewhat questionable stock investment, where the risk of paying too much for the shares is significant, unless the company has an exceptionally bright future. Such poor financial performance sometimes indicates that the company's business is all concentrated in some distant future. This is sometimes the case for high-tech or biotechnology companies. If they own properties that only provide cash flows in the future, the stock may look excessively expensive and risky today. In such cases, the Obermatt Method has limited value as it is based on facts we can observe today. If the facts are all in the future, stock investing becomes guesswork, and this should only be a driver in a limited number of investments that should only amount to a small fraction of a safe portfolio. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more

Latest Obermatt Ranks


360° View^new
Sentiment Rank^new
Value Rank	27
Growth Rank	44
Safety Rank	14
Combined Rank	8

Country	Netherlands
Industry	Semiconductors
Index	Artificial Intelligence, Human Rights, NASDAQ 100, NASDAQ
Size class	XX-Large

19-Dec-2024. Stock data may be delayed. Log in or sign up to get the most recent research.

Further information

Multiple opinions. One number.

Analysts rarely agree on a stock’s future. So, who do you believe? Obermatt translates those collective views into a single Sentiment Rank. That plus the financial ranks give you the ultimate 360° View. Sign up to access them.

Why popular stocks have low ratings

It’s easier said than done. When your stock drops, it’s easy to want to sell it and find a better performer. Think twice, or even three times, before trading. Those fees (especially the hidden ones) can eat up your gains.

Review the performance ranks of the individual metrics that form each investment strategy.

Research History: NXP Semiconductors

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	62	53	40	27
GROWTH
GROWTH	68	45	61	44
SAFETY
SAFETY	2	1	6	14
SENTIMENT
SENTIMENT	n/a	7	38	^new
360° VIEW
360° VIEW	n/a	7	16	^new

Most recent update of the stock research: 19-Dec-2024. Financial reporting date used for calculating ranks: 29-Sep-2024. Stock research history is based on the Obermatt Method. The higher the rank, the better NXP Semiconductors is in the corresponding investment strategy.
Upgrade to a Premium Account to access the latest ranks.

Combined financial peformance in Detail

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	62	53	40	27
GROWTH
GROWTH	68	45	61	44
SAFETY
SAFETY	2	1	6	14
COMBINED
COMBINED	36	12	12	8

Last update of combined financial performance: 19-Dec-2024. Stock analysis on combined financial performance: The higher the rank of NXP Semiconductors the better the performance.

Value Metrics in Detail

ANALYSIS: With an Obermatt Value Rank of 27 (worse than 73% compared with alternatives), NXP Semiconductors shares are more expensive than the average comparable stock. The Value Rank is based on consolidating four value indicators, with three out of four indicators below average for NXP Semiconductors. Only the metric dividend yield has an above-average rank, reflecting that dividend practices are expected to be higher than 75% of comparable companies, making the stock an attractive buy for dividend investors. However, dividend investors may get disappointed because all other critical financial indicators are below the market median: Price-to-Sales is 15 which means that the stock price compared with what market professionals expect for future profits is higher than 85% of comparable companies, indicating a low value concerning NXP Semiconductors's sales levels. The same is valid for Price-to-Profit (also referred to as price-earnings, P/E) with a rank of 44 which means that the stock price compared with what market professionals expect for future profit levels is higher than 56% of comparable companies. In addition, Price-to-Book (also referred to as market-to-book ratio) with a Price-to-Book Rank of 11 is also low. Compared with invested capital, the stock price is higher than for 89% of comparable investments. ...read more

RECOMMENDATION: The overall picture with a consolidated Value Rank of 27, is a hold recommendation based on NXP Semiconductors's stock price compared with the company's operational size and dividend yields. Should dividend investors pick NXP Semiconductors? The company-reported financials speak against it. The company is expensive compared with revenue and invested capital levels, two reliable company size indicators. In addition, it currently has a low level of profits. How can future dividends be paid in the case that profits remain low? Dividend investors should choose NXP Semiconductors only if they reasonably expect the low current profit levels to be transitory. We recommend further analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks, including the 360° View, before making an investment decision, which is essential in this case, as the financial indicators are inconclusive. ...read more

VALUE METRICS	2021	2022	2023	2024
PRICE VS. REVENUES (P/S)
PRICE VS. REVENUES (P/S)	49	18	19	15
PRICE VS. PROFITS (P/E)
PRICE VS. PROFITS (P/E)	65	74	61	44
PRICE VS. CAPITAL (Market-to-Book)
PRICE VS. CAPITAL (Market-to-Book)	27	24	20	11
DIVIDEND YIELD
DIVIDEND YIELD	83	72	74	75
CONSOLIDATED RANK: VALUE
CONSOLIDATED RANK: VALUE	62	53	40	27

Last update of Value Rank: 19-Dec-2024. Stock analysis on value ratios: The higher the rank, the lower the value ratio of NXP Semiconductors; except for dividend yield where the rank is higher, the higher the yield.

Growth Metrics in Detail

ANALYSIS: With an Obermatt Growth Rank of 44 (better than 44% compared with alternatives), NXP Semiconductors shows a below-average growth dynamic in its industry. There is limited momentum in this company. The Growth Rank is based on consolidating four value indicators, with three out of four indicators below average for NXP Semiconductors. Sales Growth has a below market rank of 18, which means that, currently, professionals expect the company to grow less than 82% of its competitors. The same is valid for Capital Growth, with a rank of 40, and Profit Growth, with a rank of 46. Currently, professionals expect the company to grow its profits less than 54% of its competitors). Only shareholders are optimistic. Stock Returns are above average at a rank of 74, which means that the stock returns have recently been above 74% of alternative investments. ...read more

RECOMMENDATION: The overall picture with a consolidated Growth Rank of 44, is a hold recommendation for growth and momentum investors. That picture may be the result for a company that has reached the bottom. All went south for NXP Semiconductors, and it still looks bad, but some investors already see light at the end of the tunnel, rewarding the stock with recent above-market stock returns. It could also mean that investors are correcting an overreaction to negative news. If that were the case, the positive stock returns are not yet a sign of recovery. Investors should look closely at the Value and Sentiment indicators before they make a stock purchasing decision, because growth is unlikely to be the driving argument behind this investment. While momentum is a popular investment factor, the value aspect might be the more important one, in the longer term. We recommend analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks to arrive at a 360° View of the stock purchase case, especially since the growth performance is low here. ...read more

GROWTH METRICS	2021	2022	2023	2024
REVENUE GROWTH
REVENUE GROWTH	30	56	28	18
PROFIT GROWTH
PROFIT GROWTH	75	59	48	46
CAPITAL GROWTH
CAPITAL GROWTH	n/a	23	70	40
STOCK RETURNS
STOCK RETURNS	63	61	83	74
CONSOLIDATED RANK: GROWTH
CONSOLIDATED RANK: GROWTH	68	45	61	44

Last update of Growth Rank: 19-Dec-2024. Stock analysis on growth metrics: The higher the rank, the higher the growth and returns of NXP Semiconductors.

Safety Metrics in Detail

ANALYSIS: With an Obermatt Safety Rank of 14 (better than 14% compared with alternatives), the company NXP Semiconductors has much riskier financing practices than comparable other companies, which means that their overall debt burden is significantly above the industry average. This doesn't mean that the business of NXP Semiconductors is also risky, it only means that the company is on the riskier side in respect to bankruptcy in case things turn sour, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, with all three metrics below average for NXP Semiconductors. Liquidity is at 48, meaning that the company generates less profit to service its debt than 52% of its competitors. This indicates that the company is on the riskier side when it comes to debt service. Even worse, Leverage is at a rank of 15, meaning the company has an above-average debt-to-equity ratio. It has more debt than 85% of its competitors. Finally, Refinancing is at a rank of 20 which means that the portion of the debt about to be refinanced is above average. It has more debt in the refinancing stage than 80% of its competitors. ...read more

RECOMMENDATION: With a consolidated Safety Rank of 14 (worse than 86% compared with alternatives), NXP Semiconductors has a financing structure that is significantly riskier than that of its competitors. This combination is rather dangerous in most situations. Only very promising companies with bright future outlooks and stellar reputations can operate with such risky financing. Investors should look at Obermatt’s Value, Growth, and Sentiment Ranks to confirm a very positive outlook or be careful with investing in stocks of NXP Semiconductors because it may suffer significantly in case of future difficulties. ...read more

SAFETY METRICS	2021	2022	2023	2024
LEVERAGE
LEVERAGE	10	28	10	15
REFINANCING
REFINANCING	10	3	13	20
LIQUIDITY
LIQUIDITY	18	22	41	48
CONSOLIDATED RANK: SAFETY
CONSOLIDATED RANK: SAFETY	2	1	6	14

Last update of Safety Rank: 19-Dec-2024. Stock analysis on safety metrics: The higher the rank, the lower the leverage of NXP Semiconductors and the more cash is available to service its debt.

Sentiment Metrics in Detail

SENTIMENT	2021	2022	2023	2024
ANALYST OPINIONS
ANALYST OPINIONS	n/a	46	24	^new
OPINIONS CHANGE
OPINIONS CHANGE	n/a	49	49	^new
PRO HOLDINGS
PRO HOLDINGS	n/a	26	92	^new
MARKET PULSE
MARKET PULSE	n/a	2	16	^new
CONSOLIDATED RANK: SENTIMENT
CONSOLIDATED RANK: SENTIMENT	n/a	7	38	^new

Last update of Sentiment Rank: 19-Dec-2024. Stock analysis on sentiment metrics: The higher the rank, the more positive the sentiment for NXP Semiconductors.
Upgrade to a Premium Account to access the latest ranks.