CNH Stock Analysis — CNH Industrial
Sector: Industrials
AI Verdict
At 20.5x forward earnings and with above-median growth expected, CNH is cheap for the growth you're getting if its entrenched dealer network keeps delivering, but any slip in execution could quickly deflate the premium.
Competitive Moat
CNH Industrial manufactures agricultural and construction equipment, with a defensible position built on global dealer networks and deep integration with farm management software. Its scale and embedded relationships with large agribusinesses make it hard for smaller entrants to displace.
Summary
Investors are watching CNH as its forward P/E of 20.5x comes with a forecasted 23.8% jump in earnings, despite recent revenue contraction.
Where It Stands
CNH trades at 20.5x next year's earnings—right at the industrials sector median of 20x—while analysts expect 23.8% EPS growth and the trailing P/E remains elevated at 25.4x.
Key Metrics
- Trailing P/E: 25.4x
- Forward P/E: 20.5x
- PEG Ratio: 1.07
- Earnings Growth: +0.2%
- Revenue Growth: -0.0%
- Dividend Yield: 0.01%
- 52-Week High: $14.27
- 52-Week Low: $9.00
Analyst Consensus
16 Buy · 8 Hold · 1 Sell (25 analysts)
Bull Case
With forward EPS growth projected at 23.8% and a forward P/E of 20.5x, you're paying a fair price for above-average earnings acceleration if CNH's dealer network keeps competitors at bay.
Bear Case
If the P/E multiple falls from 20.5x to the sector median of 20x, that 2.4% drop could erase any short-term gains, especially with trailing revenues down 4.0% year-over-year.
Catalyst to Watch
Watch for quarterly earnings updates—if EPS growth comes in below the 23.8% forecast, the premium could disappear quickly.