Nexans S.A. (NEX.PA) stock analysis

In our weekly check, Nexans S.A. is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 17 pass, warnings: 3, red flags: 5.

About Nexans S.A.

Nexans S.A. is an Industrials company (Electrical Equipment & Parts) based in France, listed on PAR as NEX.PA.

What our checks show for NEX.PA

Red flags

• Revenue fell 2.3% a year over the last 3 years.
• The net margin is only 4.5%: little room if costs rise.
• The stock has fallen as much as 81% from a peak. Would you have held through that?
• Recovering from its deepest fall took about 5.7 years.
• Return on capital (ROCE) is only 2.4%.

Warning signs

• Net debt is 0.4x a year of EBITDA (debt/equity 1.17). That limits room in a downturn and raises refinancing risk.
• The price swings a lot: 37.6% annual volatility. Expect large ups and downs.
• Thinly traded (about 154 thousand shares a day): buying and selling can move the price.

Strengths

• Operating profit covers interest 8.9 times over.
• The net margin rose by 2.3 points over 5 years, to 4.5%.
• The gross margin is 11.6% and has risen by 1 points: pricing power is holding.
• Operating cash flow is 2.41x net profit: the profit arrives as real cash.
• Analysts expect earnings per share to grow about 11.8% a year over the next years.
• Earnings per share grew 12.8% a year over the last 3 years.

Similar companies

POWL · ENS · FPS · VGNT · AYI

Questions

What grade does Nexans S.A. (NEX.PA) have?

In our weekly check, Nexans S.A. is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 17 pass, warnings: 3, red flags: 5. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of NEX.PA stock?

This week's biggest flags for Nexans S.A.: Weak revenue growth, Thin margins, Deep past fall. In total 8 of 25 checks show a warning or a red flag.

What does Nexans S.A. do?

Nexans S.A. is an Industrials company (Electrical Equipment & Parts) based in France, listed on PAR as NEX.PA.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-31

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