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NiSource

DB:NOU
Snowflake Description

Second-rate dividend payer and slightly overvalued.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
NOU
DB
$11B
Market Cap
  1. Home
  2. DE
  3. Utilities
Company description

NiSource Inc., an energy holding company, operates as a regulated natural gas and electric utility company in the United States. The last earnings update was 90 days ago. More info.


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NOU Share Price and Events
7 Day Returns
0.8%
DB:NOU
1.2%
DE Integrated Utilities
-2.4%
DE Market
1 Year Returns
14.7%
DB:NOU
18.1%
DE Integrated Utilities
11.8%
DE Market
NOU Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
NiSource (NOU) 0.8% 8.3% 7.4% 14.7% 29.5% -31.3%
DE Integrated Utilities 1.2% 6.9% 10.8% 18.1% 59.4% -3.9%
DE Market -2.4% -1.1% 3% 11.8% 4.4% 7%
1 Year Return vs Industry and Market
  • NOU underperformed the Integrated Utilities industry which returned 18.1% over the past year.
  • NOU outperformed the Market in Germany which returned 11.8% over the past year.
Price Volatility
NOU
Industry
5yr Volatility vs Market
Related Companies

Value

 Is NiSource undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of NiSource to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for NiSource.

DB:NOU Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Dividend Discount Model
Dividend Per Share Company Filings (2019-09-30) in USD $ 0.89582363636364
Payout Ratio Company Filings (2019-09-30) 6714.3%
Discount Rate (Cost of Equity) See below 4%
Perpetual Growth Rate 10-Year DE Government Bond Rate -0.4%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:NOU
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate -0.4%
Equity Risk Premium S&P Global 5.4%
Integrated Utilities Unlevered Beta Simply Wall St/ S&P Global 0.3
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.297 (1 + (1- 21%) (89.56%))
0.67
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= -0.39% + (0.8 * 5.44%)
3.96%

Discounted Cash Flow Calculation for DB:NOU using Dividend Discount Model Model

The calculations below outline how an intrinsic value for NiSource is arrived at by discounting future dividends to their present value. This approach is used for finance firms where free cash flow is difficult to estimate (e.g. Banks/ Insurance firms).

If the firm does not pay the majority of its earnings out as a dividend this method will often arrive at a value significantly lower than the share price.

See our documentation to learn about this calculation.

DB:NOU Gordon Growth Model
Calculation Result
Value per share = Expected dividends per share / (Discount Rate - Perpetual growth rate)
= $0.9 / (3.96% - -0.39%)
$16.93
DB:NOU Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:NOU represents 0.90689x of NYSE:NI
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.90689x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (USD) x Listing Adjustment Factor
= $ 20.58 x 0.90689
€18.67
Value per share (EUR) From above. €18.67
Current discount Discount to share price of €26.20
= -1 x (€26.20 - €18.67) / €18.67
-40.4%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of NiSource is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for NiSource's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are NiSource's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:NOU PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-09-30) in USD $1.24
NYSE:NI Share Price ** NYSE (2020-01-28) in USD $28.89
Europe Integrated Utilities Industry PE Ratio Median Figure of 17 Publicly-Listed Integrated Utilities Companies 23.59x
Germany Market PE Ratio Median Figure of 403 Publicly-Listed Companies 20.57x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of NiSource.

DB:NOU PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:NI Share Price ÷ EPS (both in USD)

= 28.89 ÷ 1.24

23.35x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • NiSource is good value based on earnings compared to the Europe Integrated Utilities industry average.
  • NiSource is overvalued based on earnings compared to the Germany market.
Price based on expected Growth
Does NiSource's expected growth come at a high price?
Raw Data
DB:NOU PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 23.35x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts
8%per year
Europe Integrated Utilities Industry PEG Ratio Median Figure of 11 Publicly-Listed Integrated Utilities Companies 4.13x
Germany Market PEG Ratio Median Figure of 263 Publicly-Listed Companies 1.44x

*Line of best fit is calculated by linear regression .

DB:NOU PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 23.35x ÷ 8%

2.92x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • NiSource is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on NiSource's assets?
Raw Data
DB:NOU PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-09-30) in USD $13.30
NYSE:NI Share Price * NYSE (2020-01-28) in USD $28.89
Germany Integrated Utilities Industry PB Ratio Median Figure of 6 Publicly-Listed Integrated Utilities Companies 2.52x
Germany Market PB Ratio Median Figure of 574 Publicly-Listed Companies 1.89x
DB:NOU PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:NI Share Price ÷ Book Value per Share (both in USD)

= 28.89 ÷ 13.30

2.17x

* Primary Listing of NiSource.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • NiSource is good value based on assets compared to the DE Integrated Utilities industry average.
X
Value checks
We assess NiSource's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Integrated Utilities industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Integrated Utilities industry average (and greater than 0)? (1 check)
  5. NiSource has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is NiSource expected to perform in the next 1 to 3 years based on estimates from 8 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is NiSource expected to grow at an attractive rate?
  • NiSource's earnings growth is expected to exceed the low risk savings rate of -0.4%.
Growth vs Market Checks
  • NiSource's earnings growth is positive but not above the Germany market average.
  • NiSource's revenue growth is positive but not above the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:NOU Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:NOU Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts 8%
DB:NOU Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 8 Analysts 4.2%
Europe Integrated Utilities Industry Earnings Growth Rate Market Cap Weighted Average 10.3%
Europe Integrated Utilities Industry Revenue Growth Rate Market Cap Weighted Average 4.8%
Germany Market Earnings Growth Rate Market Cap Weighted Average 13%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4.9%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:NOU Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:NOU Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2024-12-31
2023-12-31 6,346 1,528 717 1
2022-12-31 6,094 1,473 665 1
2021-12-31 5,791 1,649 613 2
2020-12-31 5,563 1,666 548 6
2020-01-28
2019-12-31 5,352 1,413 563 6
DB:NOU Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-09-30 5,273 845 461
2019-06-30 5,237 657 123
2019-03-31 5,234 551 -137
2018-12-31 5,115 540 -66
2018-09-30 5,021 1,140 -98
2018-06-30 5,043 900 261
2018-03-31 5,027 719 193
2017-12-31 4,875 742 129
2017-09-30 4,803 801 270
2017-06-30 4,748 968 279
2017-03-31 4,655 912 353
2016-12-31 4,493 803 332

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • NiSource's earnings are expected to grow by 8% yearly, however this is not considered high growth (20% yearly).
  • NiSource's revenue is expected to grow by 4.2% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:NOU Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below

All data from NiSource Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:NOU Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2024-12-31
2023-12-31 1.65 1.65 1.65 1.00
2022-12-31 1.56 1.56 1.56 1.00
2021-12-31 1.47 1.48 1.46 2.00
2020-12-31 1.39 1.40 1.38 3.00
2020-01-28
2019-12-31 1.55 1.80 1.30 2.00
DB:NOU Past Financials Data
Date (Data in USD Millions) EPS *
2019-09-30 1.24
2019-06-30 0.33
2019-03-31 -0.37
2018-12-31 -0.18
2018-09-30 -0.28
2018-06-30 0.77
2018-03-31 0.58
2017-12-31 0.39
2017-09-30 0.83
2017-06-30 0.86
2017-03-31 1.09
2016-12-31 1.03

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • NiSource is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess NiSource's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
NiSource has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has NiSource performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare NiSource's growth in the last year to its industry (Integrated Utilities).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • NiSource's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
  • NiSource has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.
  • NiSource has become profitable in the last year making it difficult to compare the Europe Integrated Utilities industry average.
Earnings and Revenue History
NiSource's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from NiSource Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:NOU Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-09-30 5,273.40 461.20 54.50
2019-06-30 5,236.90 123.30 49.30
2019-03-31 5,233.50 -136.60 44.20
2018-12-31 5,114.50 -65.60 31.10
2018-09-30 5,021.10 -98.20 35.30
2018-06-30 5,043.10 260.90 49.50
2018-03-31 5,026.80 193.30 55.10
2017-12-31 4,874.60 128.50 60.10
2017-09-30 4,803.30 269.70 62.10
2017-06-30 4,747.60 279.40 50.30
2017-03-31 4,654.50 352.80 50.80
2016-12-31 4,492.50 331.50 59.90
2016-09-30 4,293.30 303.70 47.50
2016-06-30 4,249.20 294.80 47.50
2016-03-31 4,236.20 184.00 47.50
2015-12-31 4,651.80 183.00 47.50
2015-09-30 4,947.30 198.10 59.80
2015-06-30 4,968.30 166.10 59.80
2015-03-31 4,804.10 175.40 59.80
2014-12-31 5,272.40 256.20 59.80
2014-09-30 5,475.90 329.70 56.30
2014-06-30 5,714.50 396.40 56.30
2014-03-31 6,195.60 541.30 56.30
2013-12-31 4,625.40 221.00 47.20
2013-09-30 5,454.10 470.00 50.90
2013-06-30 5,333.60 436.80 50.90
2013-03-31 5,162.50 432.30 50.90

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • NiSource has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • NiSource used its assets more efficiently than the Europe Integrated Utilities industry average last year based on Return on Assets.
  • NiSource's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess NiSource's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Integrated Utilities industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
NiSource has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is NiSource's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up NiSource's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • NiSource's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • NiSource's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of NiSource's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from NiSource Company Filings, last reported 3 months ago.

DB:NOU Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-09-30 5,848.50 9,406.40 28.00
2019-06-30 5,976.20 9,060.90 23.70
2019-03-31 5,779.60 9,065.00 156.60
2018-12-31 5,750.90 9,142.10 112.80
2018-09-30 5,073.70 8,754.10 63.20
2018-06-30 5,463.00 8,290.20 69.90
2018-03-31 4,506.20 9,116.80 44.40
2017-12-31 4,320.10 9,037.00 43.00
2017-09-30 4,363.00 8,688.50 19.30
2017-06-30 4,122.80 8,274.20 17.90
2017-03-31 4,191.10 7,946.30 45.30
2016-12-31 4,071.20 7,949.10 43.40
2016-09-30 3,811.60 7,737.80 16.10
2016-06-30 3,810.60 7,269.80 15.70
2016-03-31 3,872.30 7,014.60 23.70
2015-12-31 3,843.50 6,967.00 15.50
2015-09-30 3,800.30 6,683.30 31.70
2015-06-30 7,455.90 9,485.50 496.60
2015-03-31 7,469.70 8,734.60 42.00
2014-12-31 6,175.30 9,843.30 24.90
2014-09-30 6,007.30 9,727.20 17.70
2014-06-30 6,028.30 9,271.70 28.70
2014-03-31 6,012.10 8,981.50 48.70
2013-12-31 5,886.60 8,834.00 26.80
2013-09-30 5,700.90 8,451.10 35.90
2013-06-30 5,702.70 8,065.10 44.50
2013-03-31 5,690.70 8,024.40 101.60
  • NiSource's level of debt (160.8%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (161.9% vs 160.8% today).
  • Debt is not well covered by operating cash flow (9%, less than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 0.8x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess NiSource's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. NiSource has a total score of 1/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is NiSource's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.77%
Current annual income from NiSource dividends. Estimated to be 3.1% next year.
If you bought €2,000 of NiSource shares you are expected to receive €55 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • NiSource's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.41%).
  • NiSource's dividend is below the markets top 25% of dividend payers in Germany (3.63%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:NOU Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below
Germany Integrated Utilities Industry Average Dividend Yield Market Cap Weighted Average of 6 Stocks 3.3%
Germany Market Average Dividend Yield Market Cap Weighted Average of 334 Stocks 2.9%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.7%
Germany Bottom 25% Dividend Yield 25th Percentile 1.4%
Germany Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:NOU Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2024-12-31 1.09 1.00
2023-12-31 1.03 1.00
2022-12-31 0.95 3.00
2021-12-31 0.89 7.00
2020-12-31 0.85 10.00
2020-01-28
2019-12-31 0.80 10.00
DB:NOU Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-08-06 0.800 2.847
2019-05-06 0.800 2.783
2019-03-19 0.800 2.860
2019-02-01 0.800 2.964
2018-08-07 0.780 2.987
2018-05-08 0.780 3.086
2018-03-27 0.780 3.218
2018-01-26 0.780 3.338
2017-08-08 0.700 2.671
2017-05-09 0.700 2.732
2017-03-21 0.700 2.919
2017-01-27 0.700 3.049
2016-03-22 0.620 2.634
2016-01-27 0.725 3.321
2015-08-04 0.620 3.344
2015-07-02 0.620 3.648
2015-03-24 1.040 2.360
2015-01-30 1.040 2.418
2014-08-05 1.040 2.546
2014-05-15 1.040 2.731
2014-03-25 1.000 2.795
2014-01-29 1.000 2.877
2013-08-27 1.000 3.177
2013-05-14 1.000 3.388
2013-03-26 0.960 3.192
2013-01-25 0.960 3.481
2012-08-28 0.960 3.839
2012-05-15 0.960 3.854
2012-03-27 0.920 3.757
2012-01-27 0.920 3.910
2011-08-23 0.920 4.163
2011-05-10 0.920 4.590
2011-03-22 0.920 4.796
2011-01-19 0.920 4.893
2010-08-25 0.920 5.275
2010-05-11 0.920 5.876
2010-03-23 0.920 5.690
2010-01-19 0.920 6.093
2009-08-26 0.920 6.515
2009-05-12 0.920 7.746
2009-03-24 0.920 8.716

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have fallen over the past 10 years.
Current Payout to shareholders
What portion of NiSource's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.5x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.6x coverage).
X
Income/ dividend checks
We assess NiSource's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.7%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can NiSource afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. NiSource has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of NiSource's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Joe Hamrock
COMPENSATION $5,778,515
AGE 55
TENURE AS CEO 4.5 years
CEO Bio

Mr. Joseph J. Hamrock, also known as Joe, has been the Chief Executive Officer and President of NiSource Inc. since July 1, 2015. Mr. Hamrock serves as the Director at OhioHealth Corporation. Mr. Hamrock served as an Executive Vice President and Group Chief Executive Officer of Gas Distribution Segment at NiSource Inc. from May 2012 to June 02, 2015. Mr. Hamrock served as the President and Chief Operating Officer of Columbus Southern Power Company since 2008 until March 2012. He served as the President and Chief Operating Officer of Ohio Power Company since 2008 until May 2012. Mr. Hamrock served as Senior Vice President and Chief Information Officer of American Electric Power Co. Inc., from July 2, 2003 to January 2008. He served as Senior Vice President of General Services at American Electric Power Co. Inc., since 2002. Mr. Hamrock joined American Electric Power Co. in 1986 at Steubenville, Ohio and served as its Electrical Engineer in transmission and distribution planning. He served as Supervisor in Commercial Marketing and Customer Services of American Electric Power Co. Inc. and served as its Director of strategic development and Executive Assistant to E. Linn Draper. Mr. Hamrock has been a Director of NiSource Inc. since June 02, 2015. Mr. Hamrock received Bachelor's Degree in Electrical Engineering from Youngstown (Ohio) State University and Master's Degree in Business Administration from Massachusetts Institute of Technology, where he was a Sloan Fellow.

CEO Compensation
  • Joe's compensation has increased in line with NiSource recently becoming profitable.
  • Joe's remuneration is higher than average for companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the NiSource management team in years:

4.5
Average Tenure
55.5
Average Age
  • The tenure for the NiSource management team is about average.
Management Team

Joe Hamrock

TITLE
President
COMPENSATION
$6M
AGE
55
TENURE
4.5 yrs

Donald Brown

TITLE
Executive VP & CFO
COMPENSATION
$2M
AGE
47
TENURE
4.5 yrs

Carrie Hightman

TITLE
Executive VP & Chief Legal Officer
COMPENSATION
$1M
AGE
62
TENURE
12.1 yrs

Violet Sistovaris

TITLE
Executive VP & President of Northern Indiana Public Service Company
COMPENSATION
$1M
AGE
57
TENURE
4.5 yrs

Pablo Vegas

TITLE
Executive VP & President of Gas Utilities
COMPENSATION
$2M
AGE
46
TENURE
1 yrs

Joe Mulpas

TITLE
VP, Chief Accounting Officer & Controller
AGE
48
TENURE
5.7 yrs

Randy Hulen

TITLE
VP of Investor Relations & Treasurer
AGE
56

Mike Banas

TITLE
Director of Corporate Communications

Ken Keener

TITLE
Senior VP & Chief Human Resources Officer
TENURE
0.4 yrs

Carl Levander

TITLE
Executive Vice President of Federal Government Affairs & Policy
AGE
57
TENURE
4.5 yrs
Board of Directors Tenure

Average tenure and age of the NiSource board of directors in years:

4.2
Average Tenure
59.5
Average Age
  • The tenure for the NiSource board of directors is about average.
Board of Directors

Kevin Kabat

TITLE
Independent Chairman of the Board
COMPENSATION
$322K
AGE
62
TENURE
0.7 yrs

Joe Hamrock

TITLE
President
COMPENSATION
$6M
AGE
55
TENURE
4.5 yrs

Mike Jesanis

TITLE
Independent Director
COMPENSATION
$262K
AGE
62
TENURE
11.7 yrs

Peter Altabef

TITLE
Independent Director
COMPENSATION
$255K
AGE
59
TENURE
3 yrs

Carolyn Woo

TITLE
Independent Director
COMPENSATION
$262K
AGE
65
TENURE
22 yrs

Aris Candris

TITLE
Independent Director
COMPENSATION
$262K
AGE
67
TENURE
7.7 yrs

Deb Henretta

TITLE
Independent Director
COMPENSATION
$242K
AGE
58
TENURE
5 yrs

Wayne DeVeydt

TITLE
Independent Director
COMPENSATION
$232K
AGE
49
TENURE
3.8 yrs

Eric Butler

TITLE
Director
COMPENSATION
$237K
AGE
58
TENURE
2.5 yrs

Theo Bunting

TITLE
Director
COMPENSATION
$124K
AGE
60
TENURE
1.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
15. Aug 19 Sell Michael Jesanis Individual 14. Aug 19 14. Aug 19 -6,000 €26.04 €-156,223
07. Aug 19 Sell Donald Brown Individual 06. Aug 19 06. Aug 19 -10,000 €25.05 €-250,460
06. Aug 19 Sell Pablo Vegas Individual 02. Aug 19 02. Aug 19 -39,618 €26.95 €-1,067,902
06. Aug 19 Sell Joseph Mulpas Individual 02. Aug 19 02. Aug 19 -12,000 €26.81 €-321,731
06. Aug 19 Sell Carrie Hightman Individual 02. Aug 19 02. Aug 19 -22,000 €26.97 €-593,406
06. Aug 19 Sell Peter Disser Individual 02. Aug 19 02. Aug 19 -13,500 €26.97 €-364,135
06. Aug 19 Sell Michael Jesanis Individual 02. Aug 19 02. Aug 19 -4,000 €26.97 €-107,892
06. Aug 19 Sell Violet Sistovaris Individual 05. Aug 19 05. Aug 19 -40,405 €26.06 €-1,053,084
X
Management checks
We assess NiSource's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. NiSource has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

NiSource Inc., an energy holding company, operates as a regulated natural gas and electric utility company in the United States. The company operates in two segments, Gas Distribution Operations and Electric Operations. It provides natural gas service and transportation for residential, commercial, and industrial customers; generates, transmits, and distributes electricity; and wholesale and transmission transaction services. The company owns and operates 2 coal-fired electric generating stations with a capacity of 2,080 megawatts (MW); combined cycle gas turbine with a capacity of 571 MW; 3 gas-fired generating units with a capacity of 186 MW; and 2 hydroelectric generating plants with a capacity of 16 MW. It serves approximately 3.5 million natural gas customers in Ohio, Pennsylvania, Virginia, Kentucky, Maryland, Indiana, and Massachusetts; and 472,000 electricity customers in the northern part of Indiana. The company was formerly known as NIPSCO Industries, Inc. and changed its name to NiSource Inc. in April 1999. NiSource Inc. was founded in 1912 and is headquartered in Merrillville, Indiana.

Details
Name: NiSource Inc.
NOU
Exchange: DB
Founded: 1912
$9,803,160,674
373,543,732
Website: http://www.nisource.com
Address: NiSource Inc.
801 East 86th Avenue,
Merrillville,
Indiana, 46410,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE NI Common Stock New York Stock Exchange US USD 02. Jan 1968
DB NOU Common Stock Deutsche Boerse AG DE EUR 02. Jan 1968
LSE 0K87 Common Stock London Stock Exchange GB USD 02. Jan 1968
NYSE NI.PRB 6.5% DEPSHS PFDB New York Stock Exchange US USD 29. Nov 2018
BOVESPA N1IS34 BDR EACH REPR 1 COM Bolsa de Valores de Sao Paulo BR BRL 30. Dec 2019
Number of employees
Current staff
Staff numbers
8,087
NiSource employees.
Industry
Multi-Utilities
Utilities
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/01/28 21:47
End of day share price update: 2020/01/28 00:00
Last estimates confirmation: 2020/01/27
Last earnings filing: 2019/10/30
Last earnings reported: 2019/09/30
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.