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Neste (NTOIY)
OTHER OTC:NTOIY
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Neste (NTOIY) AI Stock Analysis

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NTOIY

Neste

(OTC:NTOIY)

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Outperform 70 (OpenAI - 5.2)
Rating:70Outperform
Price Target:
$19.50
▲(5.06% Upside)
Action:Upgraded
Date:07/25/26
Overall score reflects a solid TTM financial rebound and improving leverage, reinforced by constructive price trends and a positive earnings-call outlook (record profitability and continued deleveraging). The main constraints are cyclical/volatile earnings and cash conversion, near-term operational and turnaround execution risks, and a modest dividend yield.
Positive Factors
Record Renewable-driven EBITDA
Record Q2 comparable EBITDA driven mainly by Renewable Products shows durable cash-generating capacity in the company's strategic growth area. Strong RP contribution (almost 75% of EBITDA) underscores a resilient business mix that supports funding for upgrades, deleveraging and expansion over the coming 2–6 months.
Negative Factors
Operational Reliability / Low RP Utilization
Sub‑optimal RP utilization reduces fixed-cost absorption and curtails achievable margins even when product spreads are strong. Persistent reliability issues require capex and upgrades; until utilization meaningfully improves, earnings and cash flow remain vulnerable to operational downtime and underused capacity.
Read all positive and negative factors
Positive Factors
Negative Factors
Record Renewable-driven EBITDA
Record Q2 comparable EBITDA driven mainly by Renewable Products shows durable cash-generating capacity in the company's strategic growth area. Strong RP contribution (almost 75% of EBITDA) underscores a resilient business mix that supports funding for upgrades, deleveraging and expansion over the coming 2–6 months.
Read all positive factors

Neste (NTOIY) vs. SPDR S&P 500 ETF (SPY)

Neste Business Overview & Revenue Model

Company Description
Neste Oyj is a Finnish energy company specializing in both renewable and conventional oil products. Headquartered in Espoo, Finland, the company maintains a significant global presence, serving markets across the Nordics, Baltic Rim, wider Europe,...
How the Company Makes Money
Neste makes money primarily by producing and selling fuels and fuel components across two main business areas: renewables and oil products. In its renewables business, Neste generates revenue by selling renewable diesel (often marketed as HVO rene...

Neste Earnings Call Summary

Earnings Call Date:Jul 24, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Oct 29, 2026
Earnings Call Sentiment Positive
The call conveyed a strongly positive financial and strategic picture: record Q2 EBITDA, record RFP margins, a strengthened balance sheet with active deleveraging, confirmed credit rating, favorable regulatory developments (RED III and U.S. RVO) and an encouraging long-term demand outlook. These positives were tempered by operational and timing challenges: RP utilization below target (75%), significant working capital and inventory build-up pressuring cash flow, and substantial scheduled turnarounds that will reduce volumes in H2 and require higher near-term CapEx. Management emphasized ongoing reliability upgrades, prudent turnaround execution and a priority on deleveraging and delivering returns before any major new capacity push. Overall, the highlights (record results, regulatory tailwinds, deleveraging and program savings) outweigh the lowlights (operational reliability, working capital strain and turnaround timing risks).
Positive Updates
Record Financial Results
Comparable EBITDA reached a record EUR 1.2 billion in Q2, driven primarily by Renewable Products; almost 75% of EBITDA came from Renewable Products.
Negative Updates
Renewable Products Utilization and Operational Reliability
RP utilization rate was reported at 75%, described as 'unsatisfactory'; management highlighted ongoing operational reliability issues and the need for upgrades to improve utilization.
Read all updates
Q2-2026 Updates
Negative
Record Financial Results
Comparable EBITDA reached a record EUR 1.2 billion in Q2, driven primarily by Renewable Products; almost 75% of EBITDA came from Renewable Products.
Read all positive updates
Company Guidance
Neste guided that Renewable Products (RP) sales volumes in 2026 are expected to be approximately flat versus 2025 while Oil Products (OP) sales volumes will be lower year‑on‑year due to the planned Porvoo maintenance turnaround; the Group narrowed full‑year 2026 cash‑out CapEx (ex‑M&A) to ~EUR 1.2bn and confirmed three H2 2026 turnarounds—Porvoo ~8 weeks (starting end‑Aug), Rotterdam ~8 weeks (Q4) and Singapore ~11 weeks (from Dec)—which management expects will lift utilization (RP was 75% in Q2, OP ~90% in Q2) and improve the ability to process higher‑premium, more complex feedstocks. Q2 metrics supporting the outlook include RP sales >1.0m tonnes, record comparable EBITDA €1.2bn, RP sales margin roughly $1,200/ton (quarter average >$1,000/ton), total refining margin ≈$25.8/bbl, performance‑improvement program run‑rate EUR 594m (end‑June) with EUR 145m realized in‑quarter, cash flow before financing €164m, and balance‑sheet actions (EUR 500m note tender) that pushed net debt/ capital below 30% with Moody’s A3 Stable—management says it is comfortably on track to meet its 2025–26 financial targets.

Neste Financial Statement Overview

Summary
Financials show a clear TTM rebound with solid profitability (about 10.1% operating margin and 7.4% net margin) and positive free cash flow (~$1.42B). Leverage has improved (TTM debt-to-equity ~0.56), but results remain notably cyclical with uneven multi-year margins and inconsistent cash conversion (free cash flow negative in 2022 and 2024; TTM cash coverage ~0.56 and TTM FCF growth -10.1%).
Income Statement
72
Positive
Balance Sheet
68
Positive
Cash Flow
64
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue20.63B19.02B20.64B22.93B25.71B15.15B
Gross Profit3.27B1.00B2.05B3.66B3.42B2.81B
EBITDA2.67B1.28B700.00M2.58B2.97B2.59B
Net Income1.52B138.32M-95.00M1.43B1.89B1.77B
Balance Sheet
Total Assets17.39B15.75B15.58B15.98B14.92B12.42B
Cash, Cash Equivalents and Short-Term Investments1.08B1.37B955.00M1.58B1.27B1.72B
Total Debt4.70B5.18B5.15B4.07B2.62B1.76B
Total Liabilities8.93B8.44B8.16B7.52B6.59B5.43B
Stockholders Equity8.46B7.31B7.42B8.46B8.32B6.98B
Cash Flow
Free Cash Flow1.42B825.00M-369.00M849.00M-546.00M1.02B
Operating Cash Flow2.24B1.75B1.18B2.28B1.20B1.99B
Investing Cash Flow-1.06B-949.01M-1.50B-1.53B-1.59B-1.48B
Financing Cash Flow-1.10B-299.69M-314.00M-441.00M-37.00M-377.00M

Neste Technical Analysis

Technical Analysis Sentiment
Positive
Last Price18.56
Price Trends
50DMA
17.20
Positive
100DMA
16.66
Positive
200DMA
14.55
Positive
Market Momentum
MACD
0.36
Negative
RSI
54.44
Neutral
STOCH
36.97
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NTOIY, the sentiment is Positive. The current price of 18.56 is above the 20-day moving average (MA) of 17.67, above the 50-day MA of 17.20, and above the 200-day MA of 14.55, indicating a bullish trend. The MACD of 0.36 indicates Negative momentum. The RSI at 54.44 is Neutral, neither overbought nor oversold. The STOCH value of 36.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NTOIY.

Neste Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
81
Outperform
$101.45B14.6129.94%1.54%12.92%898.48%
79
Outperform
$17.73B9.4719.86%2.27%16.26%
76
Outperform
$103.58B12.7048.71%1.26%15.19%331.26%
75
Outperform
$97.37B13.8424.45%2.39%15.60%322.30%
70
Outperform
$27.83B15.8019.78%0.65%6.90%
69
Neutral
$15.29B14.5518.17%4.99%83.34%123.75%
65
Neutral
$15.17B7.614.09%5.20%3.87%-62.32%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
NTOIY
Neste
18.18
9.01
98.35%
DINO
HF Sinclair Corporation
99.71
50.44
102.37%
MPC
Marathon Petroleum
368.83
192.07
108.67%
PSX
Phillips 66
244.01
114.27
88.08%
VLO
Valero Energy
352.36
203.51
136.72%
SUN
Sunoco
74.65
25.49
51.85%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 25, 2026