CNH Industrial Stock Buy Hold or Sell Recommendation

CNHI
 Stock
  

USD 13.05  0.08  0.61%   

Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding CNH Industrial NV is 'Strong Hold'. Macroaxis provides CNH Industrial buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding CNHI positions. The advice algorithm takes into account all of CNH Industrial's available fundamental, technical, and predictive indicators you will find on this site.
  
The advice is provided from CNH Industrial's buy-and-hold perspective. Continue to CNH Industrial Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. We conduct extensive research on individual companies such as CNH Industrial and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards CNH Industrial NV.

Execute CNH Industrial Buy or Sell Advice

The CNH Industrial recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on CNH Industrial NV. Macroaxis does not own or have any residual interests in CNH Industrial NV or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute CNH Industrial's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell CNH IndustrialBuy CNH Industrial
Strong Hold

Volatility

Not too volatileDetails

Hype Condition

Over hypedDetails

Current Valuation

UndervaluedDetails

Odds of Distress

Close to AverageDetails

Economic Sensitivity

Actively responds to the marketDetails

Analyst Consensus

BuyDetails

Financial Strenth (F Score)

HealthyDetails

Financial Leverage

InapplicableDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon CNH Industrial NV has a Risk Adjusted Performance of 0.0013, Jensen Alpha of (0.14), Total Risk Alpha of (0.20) and Treynor Ratio of (0.01321)
Our trade advice tool can cross-verify current analyst consensus on CNH Industrial NV and to analyze the company potential to grow for few more years. To make sure CNH Industrial is not overpriced, please confirm all CNH Industrial NV fundamentals, including its ebitda, cash flow from operations, and the relationship between the price to book and total debt . Given that CNH Industrial NV has a price to earning of 11.21 X, we suggest you to validate CNH Industrial NV market performance and probability of bankruptcy to ensure the company can sustain itself for few more years given your prevailing risk tolerance and investing horizon.

CNH Industrial Trading Alerts and Improvement Suggestions

CNH Industrial NV generated a negative expected return over the last 90 days
CNH Industrial NV has high historical volatility and very poor performance
CNH Industrial NV has high likelihood to experience some financial distress in the next 2 years
About 27.0% of the company shares are held by company insiders
Latest headline from finance.yahoo.com: CNH Equipment Trust 2022-B -- Moodys assigns provisional ratings to CNH Equipment Trust 2022-B - Yahoo Finance

CNH Industrial current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. CNH Industrial analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. CNH Industrial analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target Mean Price15.74
Target Median Price16.00
Target High Price18.00
Recommendation Mean1.90
Number Of Analyst Opinions5
Target Low Price14.10
Average Consensus Buy
The consensus estimates and target price estimation comprises individual analyst assessments, and may or may not mutch the Macroaxis buy or sell advice. It is determined by taking an average of all analyst recommendations and classifying them as Strong Buy, Buy, Hold, or Sell.

CNH Industrial Returns Distribution Density

The distribution of CNH Industrial's historical returns is an attempt to chart the future uncertainty of CNH Industrial's future price movements. The chart of the probability distribution of CNH Industrial stock daily returns describes the distribution of returns around its average expected value. We use CNH Industrial NV price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of CNH Industrial returns is essential to provide solid investment advice for CNH Industrial stock.
Mean Return-0.01Value At Risk-5.02
Potential Upside5.62Standard Deviation3.12
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of CNH Industrial historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

CNH Industrial Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as CNH Industrial is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading CNH Industrial NV backward and forwards among themselves. CNH Industrial's institutional investor refers to the entity that pools money to purchase CNH Industrial's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Security TypeSharesValue
Wellington Management Group LlpCommon Shares43 M495 M
Vanguard Group IncCommon Shares34.3 M397.6 M
Hotchkis Wiley Capital Management LlcCommon Shares24.3 M281.1 M
Bank Of ItalyCommon Shares22.3 M255.1 M
Parnassus Investments LlcCommon Shares12.7 M147 M
Allianz Asset Management GmbhCommon Shares10.2 M117.6 M
Artisan Partners Limited PartnershipCommon Shares9.9 M114.8 M
Note, although CNH Industrial's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

CNH Industrial Cash Flow Accounts

201720182019202020212022 (projected)
Capital Expenditure(2.22 B)(1.9 B)(1.9 B)(1.85 B)(2.02 B)(2.17 B)
Depreciation Amortization and Accretion1.35 B1.34 B1.22 B1.17 B1.15 B1.28 B
Net Cash Flow or Change in Cash and Cash Equivalents346 M(397 M)(30 M)3.86 B(2.77 B)(2.84 B)
Issuance Repayment of Debt Securities(906 M)(710 M)272 M1.5 B(1.24 B)(1.28 B)
Payment of Dividends and Other Cash Distributions(168 M)(243 M)(283 M)(8 M)(188 M)(202.84 M)
Net Cash Flow from Financing(1.04 B)(723 M)206 M659 M(1.45 B)(1.48 B)
Net Cash Flow from Investing(1.87 B)(1.92 B)(1.99 B)(2.75 B)(5 B)(5.13 B)
Net Cash Flow Investment Acquisitions and Disposals306 M(253 M)74 M(476 M)(982 M)(1.01 B)
Net Cash Flow from Operations2.87 B2.55 B1.83 B5.53 B4.08 B3.6 B
Effect of Exchange Rate Changes on Cash395 M(308 M)(75 M)418 M(403 M)(413.61 M)

CNH Industrial Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to CNH Industrial or Industrials sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that CNH Industrial stock's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a CNH Industrial stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
-0.14
β
Beta against DOW1.64
σ
Overall volatility
3.09
Ir
Information ratio -0.03

CNH Industrial Volatility Alert

CNH Industrial NV exhibits very low volatility with skewness of -0.22 and kurtosis of 0.17. However, we advise investors to further study CNH Industrial NV technical indicators to make sure all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure CNH Industrial's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact CNH Industrial's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

CNH Industrial Implied Volatility

CNH Industrial's implied volatility" href="/stock-options/CNHI/CNH-Industrial-NV">CNH Industrial's implied volatility exposes the market's sentiment of CNH Industrial NV stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if CNH Industrial's implied volatility" href="/stock-options/CNHI/CNH-Industrial-NV">CNH Industrial's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that CNH Industrial stock will not fluctuate a lot when CNH Industrial's options" href="/stock-options/CNHI/CNH-Industrial-NV">CNH Industrial's options are near their expiration.

CNH Industrial Fundamentals Vs Peers

Comparing CNH Industrial's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze CNH Industrial's direct or indirect competition across all of the common fundamentals between CNH Industrial and the related equities. This way, we can detect undervalued stocks with similar characteristics as CNH Industrial or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of CNH Industrial's fundamental indicators could also be used in its relative valuation, which is a method of valuing CNH Industrial by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare CNH Industrial to competition
FundamentalsCNH IndustrialPeer Average
Return On Equity29.35 %(0.31) %
Return On Asset3.46 %(0.14) %
Profit Margin6.07 %(1.27) %
Operating Margin7.36 %(5.51) %
Current Valuation35.5 B16.62 B
Shares Outstanding1.35 B571.82 M
Shares Owned by Insiders27.13 %10.09 %
Shares Owned by Institutions50.84 %39.21 %
Number of Shares Shorted12.6 M4.71 M
Price to Earning11.21 X28.72 X
Price to Book2.85 X9.51 X
Price to Sales0.56 X11.42 X
Revenue31.97 B9.43 B
Gross Profit6.12 B27.38 B
EBITDA3.07 B3.9 B
Net Income1.69 B570.98 M
Cash and Equivalents2.86 B2.7 B
Cash per Share2.11 X5.01 X
Total Debt20.82 B5.32 B
Debt to Equity3.56 %48.70 %
Current Ratio1.57 X2.16 X
Book Value Per Share4.60 X1.93 K
Cash Flow from Operations1.55 B971.22 M
Short Ratio2.82 X4.00 X
Earnings Per Share1.17 X3.12 X
Price to Earnings To Growth0.12 X4.89 X
Number of Employees71.89 K18.84 K
Beta1.78-0.15
Market Capitalization17.78 B19.03 B
Total Asset46.75 B29.47 B
Retained Earnings3.32 B9.33 B
Working Capital(482 M)1.48 B
Current Asset31.58 B9.34 B

CNH Industrial Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as CNH Industrial . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
Accumulation Distribution26432.11
Daily Balance Of Power(0.42)
Rate Of Daily Change0.99
Day Median Price12.99
Day Typical Price13.01
Price Action Indicator0.025

About CNH Industrial Buy or Sell Advice

When is the right time to buy or sell CNH Industrial NV? Buying financial instruments such as CNH Industrial Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the stock market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Although CNH Industrial investors may find it confusing at the beginning, most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2019 2020 2021 2022 (projected)
Current Assets34.48 B36.21 B26.82 B28.9 B
Total Assets47.35 B48.72 B51.12 B47.73 B

Use Investing Ideas to Build Portfolios

In addition to having CNH Industrial in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Electrical Equipment Thematic Idea Now

Electrical Equipment
Electrical Equipment Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Electrical Equipment theme has 61 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Electrical Equipment Theme or any other thematic opportunities.
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Continue to CNH Industrial Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note that the CNH Industrial NV information on this page should be used as a complementary analysis to other CNH Industrial's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Premium Stories module to follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope.

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Is CNH Industrial'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 CNH Industrial. If investors know CNH Industrial 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 CNH Industrial listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
-0.21
Market Capitalization
17.8 B
Quarterly Revenue Growth YOY
0.18
Return On Assets
0.0384
Return On Equity
0.3
The market value of CNH Industrial NV is measured differently than its book value, which is the value of CNH Industrial that is recorded on the company's balance sheet. Investors also form their own opinion of CNH Industrial's value that differs from its market value or its book value, called intrinsic value, which is CNH Industrial'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 CNH Industrial's market value can be influenced by many factors that don't directly affect CNH Industrial'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 CNH Industrial's value and its price as these two are different measures arrived at by different means. Investors typically determine CNH Industrial value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, CNH Industrial'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.