New Jersey Resources Corporation (NJR) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-205.8%

-$56.85

vs $53.74 price

Levered DCF

-$76.10

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

1.37

Distress zone

Rating

B+

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	14.37×	16.05×	14.88×	13.53×	28.3×	15.71×	23.8×	17.08×
P/B	2.02×	2.12×	1.98×	2.05×	2.05×	1.56×	2.6×	2.81×
P/S	2.37×	2.61×	2.04×	1.28×	1.58×	1.31×	1.55×	1.36×
EV / EBITDA	11.54×	12.25×	12.14×	12.13×	13.91×	13.57×	20.8×	16.89×
Gross margin	21.4%	24.5%	15.5%	13.6%	14.2%	8.8%	6.6%	9.8%
Operating margin	21.4%	24.5%	15.5%	13.6%	14.2%	8.8%	6.2%	8.0%
Net margin	16.5%	16.2%	13.7%	9.4%	5.5%	8.3%	6.5%	8.0%
Current ratio	0.73×	0.62×	0.66×	0.68×	0.6×	1.17×	1.15×	1.03×
Debt / equity	1.58×	1.6×	1.65×	1.72×	1.69×	1.53×	1.02×	1.03×
Interest coverage	3.39×	3.35×	2.44×	4.63×	3.83×	2.55×	3.41×	5.04×
Dividend yield	3.7%	3.5%	3.8%	3.4%	3.5%	4.6%	2.6%	2.4%
Payout ratio	53.7%	57.0%	57.0%	46.5%	99.2%	72.3%	61.4%	41.1%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	14.0%	13.2%	13.3%	15.1%	7.2%	9.9%	10.9%	16.5%
Return on invested capital	4.7%	5.1%	4.1%	5.5%	4.6%	2.8%	4.0%	6.4%
Return on assets	4.4%	4.2%	4.0%	4.4%	2.1%	3.1%	3.9%	5.6%
Free cash flow yield	-5.0%	-3.1%	-1.6%	-7.4%	-7.0%	-10.0%	-7.6%	0.5%
Earnings yield	7.0%	6.2%	6.7%	7.4%	3.5%	6.4%	4.2%	5.9%
Enterprise value	$8.6B	$8.2B	$7.2B	$6.8B	$6B	$4.9B	$5.5B	$5.4B
Net debt / EBITDA	5.05×	5.27×	5.5×	5.45×	6.18×	6.46×	5.66×	4.4×
Cash conversion cycle (days)	24	30	28	15	0	18	9	7