# Norsk Hydro ASA (NHY.OL)

Canonical: https://gigainvestors.com/s/NHY.OL

Analysis as of: 2026-10-16T07:35:06.031Z. Financial observations: FY1996–FY2025.

Listing currency: NOK. Reporting currency: NOK.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: NOK 76.00 per share; close as of 2026-10-15.

Estimated value: low NOK 45.44 per share, central NOK 50.51 per share, high NOK 57.26 per share. Buy at or below the central value NOK 50.51 per share. Valuation as of 2026-10-16T07:35:06.031Z; scenarios are not confidence intervals.

Expected annual return: 7.3% at the stated quote. About 7.3% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; NO 10-year bond 4.5% + 4 points).

## Checklist

### understandable: fail

- 4 revenue declines in the last 10 years (informational)

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 4

- Years with a net loss: 1

- Operating margin variation: 0.54×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.12×

- FY2017: 0.10×

- FY2018: 0.05×

- FY2019: 0.00×

- FY2020: 0.05×

- FY2021: 0.13×

- FY2022: 0.16×

- FY2023: 0.05×

- FY2024: 0.08×

- FY2025: 0.07×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 10.2%

- ROIC, second-lowest year: 5.4%

- Typical minus recent gross margin: -0.3 pp

- Typical gross margin (annual median): 35.7%

- Recent gross margin (lower of latest and 3-year median): 36.0%

- Years with nonpositive capital: 0

- Capital spending / revenue: 5.7%

- ROIC including acquisitions, ten-year median: 6.2%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 9.5%

- FY2017: 11.3%

- FY2018: 6.4%

- FY2019: 0.3%

- FY2020: 6.1%

- FY2021: 18.3%

- FY2022: 24.9%

- FY2023: 5.4%

- FY2024: 13.3%

- FY2025: 10.9%

### economics: pass

- Owner earnings / net income, 5-yr: 0.96×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: NOK 50B

- Net income, five-year total: NOK 52B

- Return on incremental invested capital: 56.4%

- Working capital / revenue, annual change: -0.9 pp

- Working capital / revenue, change between three-year averages: -6.3 pp

- Working capital / revenue, final three-year average: 14.4%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.16×

- FY2022: 1.00×

- FY2023: -0.16×

- FY2024: 1.00×

- FY2025: 1.00×

### management: fail

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 9.5% vs 10.9%

- Per-share earnings: 3.13 to 2.92 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: -0.4%

- Ordinary dilution, 5-year annual growth: -0.8%

- Market cap gain: NOK 69B

- Cumulative retained earnings: NOK 9.7B

- Diluted shares, 10-year annual growth: -0.4%

- Diluted shares, 5-year annual growth: -0.8%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: -0.9%

- Per-share value change: NOK -0.21

- Per-share value, starting three-year median: NOK 3.13

- Per-share value, ending three-year median: NOK 2.92

- Buybacks concentrated in cheaper years (correlation): -0.40

- Average buyback yield: 1.1%

- Buyback history: 4 years

- Debt-funded buybacks: No

- Acquisition spending: NOK 8.2B

- Cumulative net income, 10 years: NOK 71B

- ROIC, first three-year median: 9.5%

- ROIC, last three-year median: 10.9%

Chart: Earnings per share; fiscal year observations.

- FY2016: NOK 3.13

- FY2017: NOK 4.29

- FY2018: NOK 2.08

- FY2019: NOK -1.16

- FY2020: NOK 0.90

- FY2021: NOK 5.93

- FY2022: NOK 11.80

- FY2023: NOK 1.78

- FY2024: NOK 2.92

- FY2025: NOK 3.42

### accounting: pass

- Sloan accruals: -8.0%

- Receivables to sales index (DSRI): 0.66×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 3.47×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.08×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -2.8%

- FY2017: -3.4%

- FY2018: -1.7%

- FY2019: -9.1%

- FY2020: -7.1%

- FY2021: 0.8%

- FY2022: -2.6%

- FY2023: -9.0%

- FY2024: -4.6%

- FY2025: -8.0%

## Holders

## Price story

Down 33% since May 2026 · "Norsk Hydro (OB:NHY) Cuts Alunorte Output As Gas Disruption Raises Supply Fears" (finance.yahoo.com, Aug 2026) · sales +2.1%

Story as of 2026-10-16T10:00:03.629Z; price observation 2026-10-15.

Price needs cash profits to grow 6.9% a year for ten years

- 2025-07-23: Norsk Hydro Delivers Strong Q2 2025 Results, Cuts Capex Amid Market Uncertainty ([finance.yahoo.com](https://finance.yahoo.com/news/norsk-hydro-delivers-strong-q2-010000996.html))

- 2025-08-14: Norsk Hydro: Hydro cuts costs and carries out strategic workforce adjustment ([finance.yahoo.com](https://finance.yahoo.com/news/norsk-hydro-hydro-cuts-costs-125800616.html))

- 2026-03-12: Norsk Hydro Stock Rallies After Company Says Qatar Plant Won't Shut ([finance.yahoo.com](https://finance.yahoo.com/m/182c3c97-6128-305a-94cb-93fbbcbb45c1/norsk-hydro-stock-rallies.html))

- 2026-08-11: Norsk Hydro: Alunorte reduces alumina production on natural gas supply disruptions ([finance.yahoo.com](https://finance.yahoo.com/energy/articles/norsk-hydro-alunorte-reduces-alumina-060100898.html))

### Sales · FY2024–2025

sales +2.1%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: NOK 82B 

- FY2017: NOK 109B 

- FY2018: NOK 159B 

- FY2019: NOK 150B 

- FY2020: NOK 138B 

- FY2021: NOK 150B 

- FY2022: NOK 208B 

- FY2023: NOK 192B 

- FY2024: NOK 204B 

- FY2025: NOK 208B 

### Gross margin · FY2025

gross margin 36%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 29.7% 

- FY2017: 36.0% 

- FY2018: 31.0% 

- FY2019: 29.2% 

- FY2020: 38.8% 

- FY2021: 35.4% 

- FY2022: 37.8% 

- FY2023: 17.8% 

- FY2024: 36.5% 

- FY2025: 36.0% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in aluminum; annual sales are NOK 208 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:06.031Z); FY2025: revenue 207971000000; grossProfit 74855000000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); NHY.OL: Norsk Hydro ASA engages in power production, bauxite extraction, alumina refining, aluminum smelting, recycling activities, and extruded solutions worldwide. The company operates through Hydro Bauxite & Alumina, Hydro Aluminium Metal, Hydro Metal Markets, Hydro Extrusions, and Hydro Energy segments. The Hydro Bauxite & Alumina segment engages in bauxite mining activities, production of alumina, and related commercial activities, primarily the sale of alumina. The Hydro Aluminium Metal segment is involved in the primary aluminum production casting activities. This segment principally offers extrusion ingots, foundry alloys, and sheet and standard ingots. The Hydro Metal Markets segment sells products from the company's primary metal plants; operates recyclers; and trades in physical and financial metals. The Hydro Extrusions segment offers extrusion profiles, building systems, and precision tubing products for construction, automotive and heating, and ventilation and air conditioning sectors, as well as operates recycling facilities. The Hydro Energy segment engages in the trading and wholesale business in Brazil; energy sourcing operations; and operation of power stations in Norway, as well as renewable energy production, such as wind and solar. The company also provides extruded solutions. Norsk Hydro ASA was founded in 1905 and is headquartered in Oslo, Norway.

### Why customers stay

Margins ranged from 17.8% to 36.5% during 2023–25; it earns 10.2% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:06.031Z); FY2023: grossProfit / revenue = 17.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:06.031Z); FY2024: grossProfit / revenue = 36.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:06.031Z); FY2025: grossProfit / revenue = 36%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:06.031Z); 10-year return on capital observations [[2016,0.09517607001953278],[2017,0.11255437574783819],[2018,0.06371242411471849],[2019,0.0034715839958418485],[2020,0.0614434531483678],[2021,0.1830745765360094],[2022,0.24947178452859678],[2023,0.054420435938934475],[2024,0.1329514298120464],[2025,0.10851366818641384]]; median 0.1018448691029733. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Spends 1.6% of cash earnings on expansion; earns 56.4% on new investment.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:06.031Z); FY2016: growth capex 0; upkeep 6913000000; owner earnings 4925000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:06.031Z); FY2017: growth capex 1139000000; upkeep 6157000000; owner earnings 8783000000. Growth capex / owner earnings = 0.1296823408858021.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:06.031Z); FY2018: growth capex 0; upkeep 7219000000; owner earnings 4406000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:06.031Z); FY2020: growth capex 0; upkeep 6287000000; owner earnings 3932000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:06.031Z); FY2021: growth capex 0; upkeep 6020000000; owner earnings 14137000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:06.031Z); FY2022: growth capex 902000000; upkeep 8702000000; owner earnings 24154000000. Growth capex / owner earnings = 0.037343711186552955.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:06.031Z); FY2024: growth capex 3424000000; upkeep 10131000000; owner earnings 5790000000. Growth capex / owner earnings = 0.5913644214162349.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:06.031Z); FY2025: growth capex 106000000; upkeep 11476000000; owner earnings 6717000000. Growth capex / owner earnings = 0.01578085454816138.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:06.031Z); Incremental return on capital 0.5639479969053787, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:06.031Z); Dividend observations: [[2016,2362000000],[2017,3069000000],[2018,3622000000],[2019,2649000000],[2020,2628000000],[2021,2822000000],[2022,14179000000],[2023,11501000000],[2024,5015000000],[2025,4581000000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:06.031Z); FY2025: cash repurchases 832000000 NOK.

### Are managers owners

Insiders own 34.3% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); NHY.OL SharesStats.PercentInsiders = 34.288000000000004 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 6.9% yearly over ten years; actual growth was 13.2%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:06.031Z); Ten-year compound average after fade. Initial solved rate 0.08548637179437091. Price 76; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 0.9892262487757101 → FY2025 3.4183206106870228. Closing-price date 2026-10-15.

## Monthly share-price history (NOK per share)

- 2016-10: NOK 36.95 per share

- 2016-11: NOK 40.14 per share

- 2016-12: NOK 41.30 per share

- 2017-01: NOK 46.99 per share

- 2017-02: NOK 47.47 per share

- 2017-03: NOK 49.86 per share

- 2017-04: NOK 49.00 per share

- 2017-05: NOK 45.53 per share

- 2017-06: NOK 46.28 per share

- 2017-07: NOK 50.75 per share

- 2017-08: NOK 56.00 per share

- 2017-09: NOK 57.90 per share

- 2017-10: NOK 63.15 per share

- 2017-11: NOK 56.55 per share

- 2017-12: NOK 62.35 per share

- 2018-01: NOK 56.20 per share

- 2018-02: NOK 53.64 per share

- 2018-03: NOK 45.95 per share

- 2018-04: NOK 50.06 per share

- 2018-05: NOK 51.34 per share

- 2018-06: NOK 48.79 per share

- 2018-07: NOK 46.50 per share

- 2018-08: NOK 46.31 per share

- 2018-09: NOK 48.86 per share

- 2018-10: NOK 43.76 per share

- 2018-11: NOK 40.50 per share

- 2018-12: NOK 39.21 per share

- 2019-01: NOK 38.92 per share

- 2019-02: NOK 35.44 per share

- 2019-03: NOK 34.95 per share

- 2019-04: NOK 36.96 per share

- 2019-05: NOK 30.62 per share

- 2019-06: NOK 30.50 per share

- 2019-07: NOK 30.41 per share

- 2019-08: NOK 28.84 per share

- 2019-09: NOK 32.00 per share

- 2019-10: NOK 32.45 per share

- 2019-11: NOK 32.60 per share

- 2019-12: NOK 32.64 per share

- 2020-01: NOK 29.01 per share

- 2020-02: NOK 26.66 per share

- 2020-03: NOK 22.62 per share

- 2020-04: NOK 26.17 per share

- 2020-05: NOK 24.68 per share

- 2020-06: NOK 26.57 per share

- 2020-07: NOK 25.40 per share

- 2020-08: NOK 27.89 per share

- 2020-09: NOK 25.74 per share

- 2020-10: NOK 26.73 per share

- 2020-11: NOK 36.00 per share

- 2020-12: NOK 39.86 per share

- 2021-01: NOK 38.12 per share

- 2021-02: NOK 48.00 per share

- 2021-03: NOK 54.76 per share

- 2021-04: NOK 53.16 per share

- 2021-05: NOK 54.74 per share

- 2021-06: NOK 54.94 per share

- 2021-07: NOK 58.78 per share

- 2021-08: NOK 60.02 per share

- 2021-09: NOK 65.52 per share

- 2021-10: NOK 61.88 per share

- 2021-11: NOK 58.90 per share

- 2021-12: NOK 69.52 per share

- 2022-01: NOK 67.98 per share

- 2022-02: NOK 83.56 per share

- 2022-03: NOK 86.10 per share

- 2022-04: NOK 79.94 per share

- 2022-05: NOK 75.16 per share

- 2022-06: NOK 55.16 per share

- 2022-07: NOK 65.06 per share

- 2022-08: NOK 68.50 per share

- 2022-09: NOK 58.84 per share

- 2022-10: NOK 65.98 per share

- 2022-11: NOK 72.58 per share

- 2022-12: NOK 73.32 per share

- 2023-01: NOK 80.34 per share

- 2023-02: NOK 75.66 per share

- 2023-03: NOK 77.80 per share

- 2023-04: NOK 78.22 per share

- 2023-05: NOK 67.08 per share

- 2023-06: NOK 63.80 per share

- 2023-07: NOK 66.40 per share

- 2023-08: NOK 59.10 per share

- 2023-09: NOK 67.20 per share

- 2023-10: NOK 63.68 per share

- 2023-11: NOK 62.78 per share

- 2023-12: NOK 68.40 per share

- 2024-01: NOK 61.94 per share

- 2024-02: NOK 54.54 per share

- 2024-03: NOK 59.40 per share

- 2024-04: NOK 68.90 per share

- 2024-05: NOK 70.92 per share

- 2024-06: NOK 66.50 per share

- 2024-07: NOK 60.40 per share

- 2024-08: NOK 59.40 per share

- 2024-09: NOK 68.46 per share

- 2024-10: NOK 67.70 per share

- 2024-11: NOK 68.30 per share

- 2024-12: NOK 62.54 per share

- 2025-01: NOK 66.96 per share

- 2025-02: NOK 66.22 per share

- 2025-03: NOK 60.32 per share

- 2025-04: NOK 54.60 per share

- 2025-05: NOK 55.96 per share

- 2025-06: NOK 57.54 per share

- 2025-07: NOK 61.56 per share

- 2025-08: NOK 65.18 per share

- 2025-09: NOK 67.60 per share

- 2025-10: NOK 68.54 per share

- 2025-11: NOK 72.38 per share

- 2025-12: NOK 78.20 per share

- 2026-01: NOK 86.32 per share

- 2026-02: NOK 88.14 per share

- 2026-03: NOK 102.50 per share

- 2026-04: NOK 102.25 per share

- 2026-05: NOK 113.20 per share

- 2026-06: NOK 89.80 per share

- 2026-07: NOK 86.66 per share

- 2026-08: NOK 93.90 per share

- 2026-09: NOK 82.64 per share

- 2026-10: NOK 77.70 per share

## Annual estimated value (NOK per share)

- FY2016: low NOK 15.49 per share, central NOK 16.88 per share, high NOK 18.73 per share

- FY2017: low NOK 22.56 per share, central NOK 24.91 per share, high NOK 28.04 per share

- FY2018: low NOK 27.41 per share, central NOK 31.34 per share, high NOK 36.07 per share

- FY2019: low NOK 27.34 per share, central NOK 30.39 per share, high NOK 34.45 per share

- FY2020: low NOK 30.00 per share, central NOK 32.89 per share, high NOK 36.74 per share

- FY2021: low NOK 34.20 per share, central NOK 37.33 per share, high NOK 41.50 per share

- FY2022: low NOK 52.77 per share, central NOK 69.61 per share, high NOK 79.42 per share

- FY2023: low NOK 46.09 per share, central NOK 57.58 per share, high NOK 65.44 per share

- FY2024: low NOK 46.10 per share, central NOK 63.11 per share, high NOK 73.02 per share

- FY2025: low NOK 56.11 per share, central NOK 71.69 per share, high NOK 81.94 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:40:47.582Z where newer inputs omit a numeric field or fiscal period.

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.

## Reported holder observations