Novonesis (NVZMY) AI Stock Analysis

• Market Cap: $29.56B
• Dividend Yield: 1.52%
• Average Volume (3M): 1.56K
• Price to Earnings (P/E): 87.8
• Beta (1Y): 0.29
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 10,582
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 0.42
• Shares Outstanding: 414,555,050
• 10 Day Avg. Volume: 2,114
• 30 Day Avg. Volume: 1,559
• PEG Ratio: -6.48
• Price to Book (P/B): 2.23
• Price to Sales (P/S): 48.49
• P/FCF Ratio: 281.59
• Enterprise Value/Market Cap: 1.24
• Enterprise Value/Revenue: 3.84
• Enterprise Value/Gross Profit: 16.84
• Enterprise Value/Ebitda: 39.46
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 69 Neutral
• Price Target: $70.00 ▲(10.34% Upside)

Novonesis demonstrates solid financial performance and positive earnings call sentiment, which are offset by valuation concerns and mixed technical indicators. The company's strategic initiatives and strong sales growth are promising, but currency headwinds and market segment challenges need to be monitored.

Novonesis Business Overview & Revenue Model

Company Description

Novozymes A/S produces and sells industrial enzymes, microorganisms, and probiotics in Europe, the Middle East, Africa, North America, the Asia Pacific, and Latin America. The company offers baking, beverages, dairy, starch, and protein solutions for the food and beverage industry; laundry, dishwashing, and professional cleaning solutions for the household care industry; agriculture solutions, including crop production, and animal health and nutrition solutions; bioyield and biocontrol solutions for crops; and grain and technical processing solutions, as well as bio energy solutions for liquefaction, saccharifaction, fermentation, fiber conversion, and biomass conversion. It also provides textile solutions, such as biopreparation, biopolishing, bleach clean-up, denim abrasion and finishing, and desizing solutions. In addition, the company offers solutions for pulp & paper, including fiber modification, bleach boosting, deposit control, starch modification, and deinking; leather solutions comprising acid bating, area expansion, bating, degreasing, soaking, and unhairing and liming; and water and waste management solutions, which consist of bioaugmentation, biogas, and sludge management. Further, it provides pharmaceutical solutions, including lipases, immobilized lipases, and proteases for biocatalysis, as well as rTrypsin for cell culture; and human health and protein solutions. The company was founded in 1925 and is headquartered in Bagsvaerd, Denmark.

How the Company Makes Money

Novonesis generates revenue primarily through a subscription-based model for its software services, which includes monthly or annual fees for access to its EHR systems and analytics tools. Additionally, the company earns income from consulting services, offering implementation and training for healthcare organizations integrating their solutions. Key revenue streams also include partnerships with healthcare institutions and payers that may involve joint ventures or revenue-sharing agreements. Furthermore, Novonesis benefits from government contracts and grants aimed at enhancing digital health initiatives, which contribute to its financial stability.

Novonesis Financial Statement Overview

Summary

Novonesis presents a stable financial profile with strong profitability and a solid balance sheet. While the company maintains efficient operations and prudent financial management, growth opportunities appear limited, and cash flow consistency could be improved.

Income Statement

Novonesis has demonstrated robust profitability with a strong gross profit margin and consistent net profit margin over the years. However, the revenue growth rate has been modest, indicating a stable but not rapidly expanding business. The EBIT and EBITDA margins are healthy, reflecting efficient operations.

Balance Sheet

The company's balance sheet is solid with a low debt-to-equity ratio, indicating prudent financial leverage. The return on equity is satisfactory, showcasing effective use of equity capital. However, the equity ratio suggests a high reliance on equity financing, which may limit leverage benefits.

Cash Flow

Novonesis exhibits stable cash flow generation with a positive free cash flow trend. The operating cash flow to net income ratio is strong, indicating good cash conversion. However, the free cash flow growth rate has been inconsistent, which could pose challenges for future investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.56B	3.83B	17.90B	17.55B	14.95B	14.01B
Gross Profit	2.18B	1.81B	9.72B	9.58B	8.62B	7.85B
EBITDA	931.00M	8.07B	5.47B	6.12B	5.20B	4.85B
Net Income	564.70M	305.80M	3.02B	3.68B	3.15B	2.83B
Balance Sheet
Total Assets	16.40B	15.20B	28.39B	27.98B	24.77B	20.51B
Cash, Cash Equivalents and Short-Term Investments	365.40M	284.00M	1.12B	1.12B	1.04B	1.30B
Total Debt	3.32B	1.80B	7.73B	411.00M	482.00M	3.78B
Total Liabilities	5.66B	4.02B	14.04B	13.76B	12.56B	9.27B
Stockholders Equity	10.74B	83.35B	13.98B	13.84B	11.83B	11.23B
Cash Flow
Free Cash Flow	568.80M	660.10M	2.10B	1.12B	2.82B	3.42B
Operating Cash Flow	918.30M	1.02B	4.15B	4.01B	4.06B	4.36B
Investing Cash Flow	-1.72B	-199.70M	-2.13B	-2.67B	-2.75B	-1.52B
Financing Cash Flow	877.50M	-703.20M	-1.89B	-1.25B	-1.59B	-2.31B

Novonesis Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 63.44
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NVZMY, the sentiment is Positive. The current price of 63.44 is above the 20-day moving average (MA) of 62.07, above the 50-day MA of 62.70, and above the 200-day MA of 63.30, indicating a bullish trend. The MACD of 0.27 indicates Negative momentum. The RSI at 54.20 is Neutral, neither overbought nor oversold. The STOCH value of 78.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NVZMY.

Novonesis Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RPM	69 Neutral	$14.33B	20.97	24.05%	1.85%	3.09%	12.25%
NVZMY	69 Neutral	$29.56B	87.77	21.63%	1.52%	―	―
DD	65 Neutral	$33.38B	-174.18	0.31%	1.98%	4.55%	-130.25%
PPG	63 Neutral	$23.06B	18.35	16.88%	2.66%	-10.59%	-7.79%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
IFF	50 Neutral	$16.61B	-42.56	-2.74%	2.47%	-0.07%	83.36%
LYB	48 Neutral	$14.54B	61.41	1.08%	11.58%	-14.12%	-89.22%

Novonesis Corporate Events

Novonesis A/S – Adr Reports Strong 2025 Earnings

The recent earnings call from Novonesis A/S – Adr revealed a solid performance in the first half of 2025, characterized by strong organic sales growth and improved EBITDA margins. Despite facing challenges such as currency headwinds and softness in the Beverages segment, the company’s positive outlook and strategic plans for future growth contributed to a balanced sentiment.

Novonesis A/S Reports Strong H1 2025 Growth

Novonesis A/S, a key player in the biosolutions industry, specializes in providing innovative solutions across food, health, and planetary health sectors, leveraging its strong market presence and strategic acquisitions to drive growth.