Northwest Natural Gas Co logo

Northwest Natural Gas Co(NWN)

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ADVISORIES YOU CAN VERIFY
QUALITY SIGNAL RECENCY
1-STAR RATING
SELL
SELL for 4 days
PROFIT SINCE LAST BUY
-5.31% ▼
LAST CLOSE
$47.04
09/25/2026
(24-hour delay)

Advisory History & Simulated Performance *

*as per simulation (see disclosures)
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Upturn Advisory & Investor View for NWN

09/25/2026: NWN (1-star) is a SELL. SELL for 4 days. Simulated Profits (-5.31%). Updated daily EoD!

Northwest Natural Gas Co is a regulated utility providing essential gas distribution services in the Pacific Northwest, complemented by an expanding water utility portfolio. The company is best known for its exceptional track record of dividend payments, making it a compelling choice for income-oriented investors seeking stability. Its primary growth strategy centers on diversifying through water utility acquisitions and adapting its gas network to renewable fuels. However, the company faces significant risks from regional electrification trends and strict regulatory environments that could limit future profitability. Investors should monitor rate-case outcomes and the company's progress in successfully balancing decarbonization mandates with long-term infrastructure investment.

How to Read the Upturn Advisory

The Upturn Star Rating and the current BUY, SELL, or PASS advisory are generated by Upturn’s AI advisory engine based on proprietary signal analysis, price behavior, advisory history, and historical signal performance.

Company fundamentals, valuation, risks, and news provide supporting context about the business.

Investor Fit

Investor styleFitWhy
Growth investorWeak fitNWN is a slow-growth utility not focused on aggressive capital appreciation.
Momentum investorWeak fitThe stock typically exhibits low beta and steady, non-volatile price action.
Value investorMixed fitValuation is generally tied to regulated rate bases and interest rate environments.
Dividend investorStrong fitThe company's status as a Dividend King makes it a premier choice for income-focused portfolios.
Low-risk investorStrong fitRegulated utility business models provide lower volatility compared to the broader equity market.

Risk Profile

Risk factorLevelWhy it matters
Price volatilityLowAs a regulated utility, price movements are generally tied to interest rate cycles and sector performance.
Valuation riskMediumUtilities can become overpriced when interest rates are low and investors seek yield alternatives.
Competition risk (electrification)Medium / highThe transition to electric heating poses a long-term risk to natural gas utility demand.
Business qualityStrongThe company has a very long, stable history of operations and regulatory compliance.
Dividend incomeStrongConsistent dividend growth is a primary pillar of the investment thesis.
Execution riskMediumSuccessfully integrating water acquisitions and meeting decarbonization targets requires management focus.

Price Behavior

Rolling Over
PRICE PATH

Rolling Over

The price momentum is slowing down and beginning to turn downward.

Smooth
PRICE STABILITY

Smooth

The stock has moved along a generally orderly path with only modest fluctuations.

Analysis of Past Performance

Type Stock
Historic Profit -5.18%
Avg. Invested days 53
Today’s Advisory SELL
Upturn Advisory Rating upturn star rating icon
Upturn Advisory Performance Upturn Advisory Performance icon 2.0
Stock Returns Performance Upturn Returns Performance icon 1.0
Upturn Profits based on simulation icon Profits based on simulation
Upturn last close icon Last Close 09/25/2026

Upturn Scorecard

Upturn Star Rating

★★★★★
NWN receives a 3-star rating, supported by solid company fundamentals, and solid analyst coverage. The rating is constrained by weak price momentum.

Company Fundamentals

★★★★★
NWN has solid overall fundamentals (4 stars), with moderate financial health, solid growth momentum, and solid ownership. In FY2025 versus FY2024, strong earnings growth (+43.7%) and solid revenue growth (+11.8%) are partially offset by soft cash generation (FCF margin -15.3%), soft profitability (net margin 8.8%), very low insider ownership of 0.62%.

Financial Health Rating

★★★★★
NWN's financial health is supported by solid efficiency, including operating-expense and cost-of-revenue discipline (opex 8.2% of revenue). Liquidity is soft (2 stars), which helps explain the 3-star overall score.

Growth Momentum Score

★★★★★
Earnings growth is NWN's strongest growth driver at +43.7% FY2025 versus FY2024 (strong, 5 stars). By comparison, revenue growth (+11.8%, solid) is also solid, while free-cash-flow growth (-1.9%, slightly negative) holds the profile back, so recent growth is not broad-based across the business.

Ownership

★★★★★
Institutional ownership is 84.3% and approximately 99.4% of outstanding shares are publicly tradable, supporting liquidity and institutional participation. Insider ownership is only 0.62%, which materially reduces the ownership score.

Top 5 Institutional Investors

BlackRock Inc 15.16%
Vanguard Portfolio Management, LLC 6.24%
Vanguard Capital Management, LLC 4.35%
State Street Corp 3.81%
Vaughan Nelson Scarbrgh & Mccullough LP 3.47%

Unit Economics (Per $1K Revenue)

★★★★★
NWN generates approximately $396 of gross profit, $314 of operating income, and $-153 of free cash flow for every $1,000 of revenue. Based on FY2025 results. Strong cash conversion and healthy margins support the rating, although capital efficiency remains below the highest tier.

Economic Dimensions

★★★★★
Effective Tax Rate: 26.74%

Quantitative Style Profile

★★★★★
NWN has a liquid, relatively low-volatility profile. Weak momentum is the primary drawback.

Style Classification

Quality Focused

Value-OrientedLow VolatilitySmall / Mid Cap RiskShort Squeeze RiskHighly Liquid / Institution-Friendly

Key Highlights

Company Size Small-Cap Stock
Market Capitalization 1.98B USD
Price to earnings Ratio 15.84
1Y Target Price 57.4
Price to earnings Ratio 15.84
1Y Target Price 57.4
Volume (30-day avg) 255.1K shares
Beta 0.43
52 Weeks Range 41.91 - 54.92
Updated Date 09/25/2026
52 Weeks Range 41.91 - 54.92
Updated Date 09/25/2026
Dividends yield (FY) 4.19%
Basic EPS (TTM) 2.97

How Company Makes Money

Business areaWhat it includesRetail investor read
Natural Gas DistributionRegulated gas sales and delivery to residential and industrial customers.This is the core business providing steady, reliable revenue through monthly utility bills.
Water and WastewaterRegulated water utility services in multiple US states.This segment provides an additional, stable, regulated revenue stream to diversify the company.

Analyzing Revenue: Products, Geography and Growth

Revenue by Products

Product revenue - Year on Year

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Valuation

Trailing PE 15.84
Forward PE 14.45
Enterprise Value 4.67B
Price to Sales(TTM) 1.53
Enterprise Value 4.67B
Price to Sales(TTM) 1.53
Enterprise Value to Revenue 3.61
Enterprise Value to EBITDA 9.48
Shares Outstanding 42.09M
Shares Floating 41.84M
Shares Outstanding 42.09M
Shares Floating 41.84M
Percent Insiders 0.62
Percent Institutions 84.32

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Financial Metrics

🧭 Investment Snapshot

Total Revenue (Scale)

Information icon Total money earned from selling products or services before any costs. It is needed to understand the scale of the business and its ability to generate income.

Net Income (Profit)

Information icon Final profit after all expenses, interest, and taxes are deducted. It is needed to determine the overall profitability available to shareholders.

Free Cash Flow (Cash Strength)

Information icon Cash remaining after operating activities and capital expenditures, showing cash available for growth. It is needed to evaluate the company’s ability to invest, pay dividends, or reduce debt.

📈 Growth & Strength

Operating Income (Core Profit)

Information icon Profit from core operations after deducting all operating expenses. It is needed to measure how efficiently the company runs its primary business activities.

EBITDA (Cash Earnings)

Information icon Earnings before interest, taxes, depreciation, and amortization, indicating operating cash potential. It is needed to compare operating performance across companies without accounting or financing differences.

Gross Profit (Unit Profitability)

Information icon Revenue minus cost of revenue, showing profit after direct production costs. It is needed to evaluate core business profitability before overhead expenses.

🛡️ Financial Safety

Cash (Liquidity Buffer)

Information icon Total cash and cash equivalents on hand. It is needed to evaluate immediate liquidity and financial flexibility.

Total Debt (Leverage Risk)

Information icon Total debt including both short-term and long-term components. It is needed to assess the company’s leverage and financial risk.

Net Working Capital (Short-Term Health)

Information icon Current assets minus current liabilities, indicating short-term liquidity strength. It is needed to assess whether the company can meet its short-term obligations.

🧱 Balance Sheet Strength

Stockholder Equity (Net Worth)

Information icon Total equity value held by shareholders. It is needed to understand the net worth of the company from the owners’ perspective.

Total Assets (Asset Base)

Information icon The full value of everything the company owns, including cash, inventory, equipment, and investments. It is needed to understand the resource base used to generate revenue.

Income Before Tax (Pre-Tax Earnings)

Information icon Income before provision for income taxes. It is needed to analyze profitability independent of tax structures.

⚙️ Cost & Drag Factors

Cost of Revenue (Production Cost)

Information icon Direct costs required to produce and deliver the products or services sold. It is needed to assess efficiency in production and service delivery.

Total Operating Expenses (Operating Cost)

Information icon Indirect costs of running the business such as salaries, marketing, and administration. It is needed to understand how much it costs to sustain ongoing business operations.

Income Tax Expense (Tax Drag)

Information icon Amount of taxes paid or payable to the government. It is needed to evaluate the impact of taxation on overall profitability.

About Northwest Natural Gas Co

Exchange NYSE
Headquarters Portland, OR, United States
IPO Launch date 1990-03-26
President, CEO & Director Mr. Justin B. Palfreyman
Sector Utilities
Industry Utilities - Regulated Gas
Full time employees 1619
Full time employees 1619

Northwest Natural Holding Company, through its subsidiary, Northwest Natural Gas Company, provides regulated natural gas distribution services to residential, commercial, and industrial customers in the United States. It operates through three segments: NWN Gas Utility, SiEnergy, and NWN Water. The company operates mist gas storage facility contracted to utilities, third-party marketers, and electric generators; offers natural gas asset management services; interstate storage; and operates an appliance retail center. It also engages in the gas storage, water and wastewater, non-regulated renewable natural gas, and other investment businesses. In addition, the company offers natural gas services in Oregon and southwest Washington; water and wastewater connections; and operation, maintenance, and management services to water and wastewater system owners. Northwest Natural Holding Company was founded in 1859 and is headquartered in Portland, Oregon.