📊 CNH Key Takeaways
Is CNH Industrial N.V. (CNH) a Good Investment?
CNH Industrial demonstrates solid revenue growth of 17.9% YoY with strong free cash flow generation at 14.0% FCF margin, indicating operational efficiency in cash conversion. However, profitability metrics are concerning with net margin of only 2.8%, declining diluted EPS (-58.6% YoY), and weak interest coverage of 1.1x, reflecting high leverage relative to earnings capacity despite low reported debt levels.
CNH Industrial shows strong top-line growth and solid operating cash generation, with revenue up 17.9% YoY and free cash flow reaching 14.0% of sales. However, profit conversion remains weak, with net income barely growing, diluted EPS falling sharply, and interest coverage at just 1.1x, which points to pressured earnings quality and limited cushion if conditions weaken. The fundamentals support a neutral view until margin expansion and earnings consistency improve.
Why Buy CNH Industrial N.V. Stock? CNH Key Strengths
- Strong revenue growth of 17.9% YoY demonstrating market demand
- Robust free cash flow of $2.5B with 14.0% FCF margin indicating efficient working capital management
- Substantial operating cash flow of $2.5B supporting capital needs and shareholder returns
- Strong revenue growth of 17.9% YoY indicates healthy demand and business momentum
- Operating cash flow of $2.54B and free cash flow margin of 14.0% suggest solid cash generation
- Positive operating income and a 7.4% operating margin show the core business remains profitable
CNH Stock Risks: CNH Industrial N.V. Investment Risks
- Severely diluted EPS declined 58.6% YoY despite revenue growth, suggesting margin compression or increased share count issues
- Net profit margin of only 2.8% indicates thin profitability with limited cushion for operational disruptions
- Critically low interest coverage ratio of 1.1x signals insufficient operating income to service debt obligations, presenting financial distress risk
- ROE of 6.6% and ROA of 1.2% reflect poor capital efficiency relative to $7.8B equity and $42.7B asset base
- High leverage with $34.9B liabilities against $7.8B equity (4.5x ratio) despite reported zero long-term debt indicates hidden leverage or pension obligations
- Net margin of 2.8% and ROA of 1.2% indicate weak profitability relative to the asset base
- Diluted EPS declined 58.6% YoY despite higher revenue, signaling poor earnings quality or dilution-related pressure
- Interest coverage of 1.1x leaves little room for operational setbacks or higher financing costs
Key Metrics to Watch
- Operating margin trend and sustainability given weak profitability
- Interest coverage ratio improvement and actual debt repayment capacity
- Return on equity and ROA progression to confirm capital efficiency recovery
- EPS trajectory reversal to assess share dilution and earnings power stabilization
- Operating and net margin improvement
- Interest coverage and overall debt burden
CNH Industrial N.V. (CNH) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
CNH Profit Margin, ROE & Profitability Analysis
CNH vs Industrial Sector: How CNH Industrial N.V. Compares
How CNH Industrial N.V. compares to Industrial sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is CNH Industrial N.V. Stock Overvalued? CNH Valuation Analysis 2026
Based on fundamental analysis, CNH Industrial N.V. has mixed fundamental signals relative to the Industrial sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
CNH Industrial N.V. Balance Sheet: CNH Debt, Cash & Liquidity
CNH Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: CNH Industrial N.V.'s revenue has shown modest growth of 3% over the 5-year period. The most recent EPS of $1.69 reflects profitable operations.
CNH Revenue Growth, EPS Growth & YoY Performance
CNH Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $3.7B | $80.0M | $0.06 |
| Q2 2025 | $4.0B | $213.0M | $0.17 |
| Q1 2025 | $3.2B | $131.0M | $0.10 |
| Q3 2024 | $4.0B | $306.0M | $0.24 |
| Q2 2024 | $4.8B | $433.0M | $0.34 |
| Q1 2024 | $4.1B | $401.0M | $0.31 |
| Q3 2023 | $5.3B | $556.0M | $0.41 |
| Q2 2023 | $5.6B | $548.0M | $0.40 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
CNH Industrial N.V. Dividends, Buybacks & Capital Allocation
CNH SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for CNH Industrial N.V. (CIK: 0001567094)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CNH
What is the AI rating for CNH?
CNH Industrial N.V. (CNH) has a Combined AI Rating of HOLD from Claude (HOLD) and ChatGPT (HOLD) with 68% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are CNH's key strengths?
Claude: Strong revenue growth of 17.9% YoY demonstrating market demand. Robust free cash flow of $2.5B with 14.0% FCF margin indicating efficient working capital management. ChatGPT: Strong revenue growth of 17.9% YoY indicates healthy demand and business momentum. Operating cash flow of $2.54B and free cash flow margin of 14.0% suggest solid cash generation.
What are the risks of investing in CNH?
Claude: Severely diluted EPS declined 58.6% YoY despite revenue growth, suggesting margin compression or increased share count issues. Net profit margin of only 2.8% indicates thin profitability with limited cushion for operational disruptions. ChatGPT: Net margin of 2.8% and ROA of 1.2% indicate weak profitability relative to the asset base. Diluted EPS declined 58.6% YoY despite higher revenue, signaling poor earnings quality or dilution-related pressure.
What is CNH's revenue and growth?
CNH Industrial N.V. reported revenue of $18.1B.
Does CNH pay dividends?
CNH Industrial N.V. pays dividends, with $333.0M distributed to shareholders in the trailing twelve months.
Where can I find CNH SEC filings?
Official SEC filings for CNH Industrial N.V. (CIK: 0001567094) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CNH's EPS?
CNH Industrial N.V. has a diluted EPS of $0.41.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is CNH a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, CNH Industrial N.V. has a HOLD rating with 68% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is CNH stock overvalued or undervalued?
Valuation metrics for CNH: ROE of 6.6% (sector avg: 15%), net margin of 2.8% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
Should I buy CNH stock in 2026?
Our dual AI analysis gives CNH Industrial N.V. a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is CNH's free cash flow?
CNH Industrial N.V.'s operating cash flow is $2.5B, with capital expenditures of N/A. FCF margin is 14.0%.
How does CNH compare to other Industrial stocks?
Vs Industrial sector averages: Net margin 2.8% (avg: 10%), ROE 6.6% (avg: 15%), current ratio N/A (avg: 1.8).