Comparing Norsk Hydro ASA (NHYDY) and The Competition

Norsk Hydro ASA (OTCMKTS:NHYDY) is one of 1,984 public companies in the “Metals & Mining” industry, but how does it compare to its rivals? We will compare Norsk Hydro ASA to similar businesses based on the strength of its institutional ownership, earnings, analyst recommendations, valuation, profitability, risk and dividends.

Dividends

Norsk Hydro ASA pays an annual dividend of $0.23 per share and has a dividend yield of 3.2%. Norsk Hydro ASA pays out 32.9% of its earnings in the form of a dividend. As a group, “Metals & Mining” companies pay a dividend yield of 10.3% and pay out 10.8% of their earnings in the form of a dividend. Norsk Hydro ASA lags its rivals as a dividend stock, given its lower dividend yield and higher payout ratio.

Earnings & Valuation

This table compares Norsk Hydro ASA and its rivals gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Norsk Hydro ASA	$20.05 billion	$647.52 million	10.33
Norsk Hydro ASA Competitors	$4.65 billion	$278.26 million	-26.27

Norsk Hydro ASA has higher revenue and earnings than its rivals. Norsk Hydro ASA is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares Norsk Hydro ASA and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Norsk Hydro ASA	6.41%	13.82%	7.28%
Norsk Hydro ASA Competitors	-1,161,736,352,322,426,600.00%	-52.89%	-2.06%

Institutional & Insider Ownership

0.0% of Norsk Hydro ASA shares are held by institutional investors. Comparatively, 16.1% of shares of all “Metals & Mining” companies are held by institutional investors. 0.0% of Norsk Hydro ASA shares are held by company insiders. Comparatively, 17.6% of shares of all “Metals & Mining” companies are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Norsk Hydro ASA and its rivals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Norsk Hydro ASA	2	6	2	1	2.18
Norsk Hydro ASA Competitors	6421	22622	32341	1800	2.47

As a group, “Metals & Mining” companies have a potential upside of 28.38%. Given Norsk Hydro ASA’s rivals stronger consensus rating and higher probable upside, analysts plainly believe Norsk Hydro ASA has less favorable growth aspects than its rivals.

Volatility and Risk

Norsk Hydro ASA has a beta of 1.17, meaning that its share price is 17% more volatile than the S&P 500. Comparatively, Norsk Hydro ASA’s rivals have a beta of 0.96, meaning that their average share price is 4% less volatile than the S&P 500.

Summary

Norsk Hydro ASA beats its rivals on 8 of the 15 factors compared.

About Norsk Hydro ASA

Norsk Hydro ASA is a Norwegian industrial company focused on aluminum and renewable energy. Its operations span much of the aluminum value chain, from bauxite mining and alumina refining to primary aluminum production, metal recycling, and the manufacture of aluminum products. The company supplies aluminum for applications in industries such as transportation, construction, packaging, and manufacturing. Its product activities include rolled and extruded aluminum, while its energy operations generate and supply renewable power that supports its industrial businesses and external customers.