NexGen Energy Valuation
| NXE Stock | USD 7.61 0.03 0.39% |
At this time, the firm appears to be overvalued. NexGen Energy secures a last-minute Real Value of $5.9 per share. The latest price of the firm is $7.61. Our model forecasts the value of NexGen Energy from analyzing the firm fundamentals such as Return On Equity of 0.11, current valuation of 4.01 B, and Shares Owned By Insiders of 8.03 % as well as examining its technical indicators and probability of bankruptcy. In general, most investors recommend purchasing undervalued stocks and exiting overvalued stocks since, at some point, asset prices and their ongoing real values will merge together. Key fundamental drivers impacting NexGen Energy's valuation include:
Price Book 7.2152 | Enterprise Value 4 B | Enterprise Value Ebitda 55.4661 | Trailing PE 63.6667 |
Overvalued
Today
Please note that NexGen Energy's price fluctuation is slightly risky at this time. Calculation of the real value of NexGen Energy is based on 3 months time horizon. Increasing NexGen Energy's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for NexGen Energy is useful when determining the fair value of the NexGen stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of NexGen Energy. Since NexGen Energy is currently traded on the exchange, buyers and sellers on that exchange determine the market value of NexGen Stock. However, NexGen Energy's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 7.61 | Real 5.9 | Target 5.31 | Hype 7.64 |
The real value of NexGen Stock, also known as its intrinsic value, is the underlying worth of NexGen Energy Company, which is reflected in its stock price. It is based on NexGen Energy's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of NexGen Energy's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence NexGen Energy's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of NexGen Energy helps investors to forecast how NexGen stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of NexGen Energy more accurately as focusing exclusively on NexGen Energy's fundamentals will not take into account other important factors: Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use NexGen Energy's intrinsic value based on its ongoing forecasts of NexGen Energy's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against NexGen Energy's closest peers. When choosing an evaluation method for NexGen Energy, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.
NexGen Energy Investments |
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NexGen Valuation Trend
Knowing NexGen Energy's actual value is paramount for traders to make sound investment determinations. NexGen Energy's real value is not only important for the investor to make better decisions but also for a more accurate overall view of NexGen Energy's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both NexGen Energy's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.
NexGen Market Cap
NexGen Energy is regarded second in market capitalization category among related companies. Market capitalization of Energy industry is now estimated at about 31.05 Billion. NexGen Energy retains roughly 4.12 Billion in market capitalization claiming about 13% of equities under Energy industry.NexGen Energy Valuation Ratios as Compared to Competition
Comparative valuation techniques use various fundamental indicators to help in determining NexGen Energy's current stock value. Our valuation model uses many indicators to compare NexGen Energy value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across NexGen Energy competition to find correlations between indicators driving NexGen Energy's intrinsic value. More Info.NexGen Energy is rated below average in price to earning category among related companies. It is considered to be number one stock in price to book category among related companies . As of April 19, 2024, Price To Book Ratio is expected to decline to 5.35. Comparative valuation analysis is a catch-all model that can be used if you cannot value NexGen Energy by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for NexGen Energy's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the NexGen Energy's earnings, one of the primary drivers of an investment's value.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates NexGen Energy's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in NexGen Energy and how it compares across the competition.
About NexGen Energy Valuation
The stock valuation mechanism determines the current worth of NexGen Energy on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of NexGen Energy. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of NexGen Energy based exclusively on its fundamental and basic technical indicators. By analyzing NexGen Energy's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of NexGen Energy's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of NexGen Energy. We calculate exposure to NexGen Energy's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to NexGen Energy's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | -1.8 M | -1.7 M | |
| Pretax Profit Margin | (248.01) | (260.41) | |
| Operating Profit Margin | 259.41 | 230.58 | |
| Net Loss | (248.01) | (260.41) | |
| Gross Profit Margin | 0.00 | 0.00 |
8 Steps to conduct NexGen Energy's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates NexGen Energy's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct NexGen Energy's valuation analysis, follow these 8 steps:- Gather financial information: Obtain NexGen Energy's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine NexGen Energy's revenue streams: Identify NexGen Energy's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research NexGen Energy's industry and market trends, including the size of the market, growth rate, and competition.
- Establish NexGen Energy's growth potential: Evaluate NexGen Energy's management, business model, and growth potential.
- Determine NexGen Energy's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate NexGen Energy's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
NexGen Energy Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as NexGen Energy does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 529.2 M |
NexGen Energy Current Valuation Indicators
Valuation refers to the process of determining the present value of NexGen Energy and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value NexGen we look at many different elements of the entity such as NexGen's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. NexGen Energy's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final NexGen Energy's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as NexGen Energy, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use NexGen Energy's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes NexGen Energy's worth.When determining whether NexGen Energy is a strong investment it is important to analyze NexGen Energy's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact NexGen Energy's future performance. For an informed investment choice regarding NexGen Stock, refer to the following important reports: Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in NexGen Energy. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in interest. For information on how to trade NexGen Stock refer to our How to Trade NexGen Stock guide.You can also try the Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.
Complementary Tools for NexGen Stock analysis
When running NexGen Energy's price analysis, check to measure NexGen Energy's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy NexGen Energy is operating at the current time. Most of NexGen Energy's value examination focuses on studying past and present price action to predict the probability of NexGen Energy's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move NexGen Energy's price. Additionally, you may evaluate how the addition of NexGen Energy to your portfolios can decrease your overall portfolio volatility.
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Is NexGen Energy's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of NexGen Energy. If investors know NexGen will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about NexGen Energy listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share 0.12 | Return On Assets (0.07) | Return On Equity 0.11 |
The market value of NexGen Energy is measured differently than its book value, which is the value of NexGen that is recorded on the company's balance sheet. Investors also form their own opinion of NexGen Energy's value that differs from its market value or its book value, called intrinsic value, which is NexGen Energy's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because NexGen Energy's market value can be influenced by many factors that don't directly affect NexGen Energy's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between NexGen Energy's value and its price as these two are different measures arrived at by different means. Investors typically determine if NexGen Energy is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, NexGen Energy's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.