KONINKLIJKE PHILIPS NV (1PHIA.MI) Stock Fundamental Analysis

Europe • Euronext Milan • BIT:1PHIA • NL0000009538

24.76 EUR

-0.82 (-3.21%)

Last: Jan 26, 2026, 07:00 PM

Fundamental Rating

1PHIA gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 63 industry peers in the Health Care Equipment & Supplies industry. 1PHIA may be in some trouble as it scores bad on both profitability and health. 1PHIA is not valued too expensively and it also shows a decent growth rate.

Quickly go to:

1. Profitability

1.1 Basic Checks

In the past year 1PHIA was profitable.
In the past year 1PHIA had a positive cash flow from operations.
In multiple years 1PHIA reported negative net income over the last 5 years.
1PHIA had a positive operating cash flow in 4 of the past 5 years.

1.2 Ratios

1PHIA has a Return On Assets of 0.63%. This is in the lower half of the industry: 1PHIA underperforms 65.67% of its industry peers.
The Return On Equity of 1PHIA (1.56%) is worse than 65.67% of its industry peers.
Looking at the Return On Invested Capital, with a value of 4.21%, 1PHIA is doing worse than 61.19% of the companies in the same industry.

		Industry Rank	Sector Rank
ROA	0.63%
ROE	1.56%
ROIC	4.21%

ROA(3y)-3.08%

ROA(5y)1.15%

ROE(3y)-7.29%

ROE(5y)2.23%

ROIC(3y)N/A

ROIC(5y)N/A

1.3 Margins

The Profit Margin of 1PHIA (0.93%) is worse than 65.67% of its industry peers.
The Operating Margin of 1PHIA (6.10%) is worse than 61.19% of its industry peers.
1PHIA's Operating Margin has declined in the last couple of years.
1PHIA has a Gross Margin of 43.49%. This is in the lower half of the industry: 1PHIA underperforms 76.12% of its industry peers.
1PHIA's Gross Margin has been stable in the last couple of years.

		Industry Rank	Sector Rank
OM	6.1%
PM (TTM)	0.93%
GM	43.49%

OM growth 3Y-1.59%

OM growth 5Y-8.09%

PM growth 3YN/A

PM growth 5YN/A

GM growth 3Y4.71%

GM growth 5Y1.08%

More info and screens

ROA

ROE

ROIC

Operating and Profit Margin

Show most profitable peers

2. Health

2.1 Basic Checks

1PHIA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
1PHIA has less shares outstanding than it did 1 year ago.
The number of shares outstanding for 1PHIA has been increased compared to 5 years ago.
Compared to 1 year ago, 1PHIA has a worse debt to assets ratio.

2.2 Solvency

An Altman-Z score of 2.02 indicates that 1PHIA is not a great score, but indicates only limited risk for bankruptcy at the moment.
1PHIA has a Altman-Z score (2.02) which is in line with its industry peers.
1PHIA has a debt to FCF ratio of 14.51. This is a negative value and a sign of low solvency as 1PHIA would need 14.51 years to pay back of all of its debts.
The Debt to FCF ratio of 1PHIA (14.51) is comparable to the rest of the industry.
A Debt/Equity ratio of 0.69 indicates that 1PHIA is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.69, 1PHIA is not doing good in the industry: 71.64% of the companies in the same industry are doing better.

		Industry Rank	Sector Rank
Debt/Equity	0.69
Debt/FCF	14.51
Altman-Z	2.02

ROIC/WACC0.63

WACC6.69%

2.3 Liquidity

1PHIA has a Current Ratio of 1.32. This is a normal value and indicates that 1PHIA is financially healthy and should not expect problems in meeting its short term obligations.
1PHIA has a Current ratio (1.32) which is comparable to the rest of the industry.
1PHIA has a Quick Ratio of 1.32. This is a bad value and indicates that 1PHIA is not financially healthy enough and could expect problems in meeting its short term obligations.
1PHIA has a Quick ratio of 0.86. This is in the lower half of the industry: 1PHIA underperforms 65.67% of its industry peers.

		Industry Rank	Sector Rank
Current Ratio	1.32
Quick Ratio	0.86

More info and screens

WACC

Debt/Equity

How to determine the health of a company

Altman-Z score

Show peers with great health

3. Growth

3.1 Past

1PHIA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.15%, which is quite good.
The Earnings Per Share has been decreasing by -7.17% on average over the past years.
Looking at the last year, 1PHIA shows a decrease in Revenue. The Revenue has decreased by -1.43% in the last year.
Measured over the past years, 1PHIA shows a small growth in Revenue. The Revenue has been growing by 1.00% on average per year.

EPS 1Y (TTM)15.15%

EPS 3Y-5.66%

EPS 5Y-7.17%

EPS Q2Q%12.5%

Revenue 1Y (TTM)-1.43%

Revenue growth 3Y1.65%

Revenue growth 5Y1%

Sales Q2Q%-1.71%

3.2 Future

Based on estimates for the next years, 1PHIA will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.28% on average per year.
Based on estimates for the next years, 1PHIA will show a small growth in Revenue. The Revenue will grow by 3.00% on average per year.

EPS Next Y4.94%

EPS Next 2Y4.81%

EPS Next 3Y7.44%

EPS Next 5Y10.28%

Revenue Next Year-2.27%

Revenue Next 2Y0.25%

Revenue Next 3Y1.58%

Revenue Next 5Y3%

3.3 Evolution

The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.

More info and screens

Find the best growth stocks

Show best growing peers

4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings ratio is 16.73, which indicates a correct valuation of 1PHIA.
Based on the Price/Earnings ratio, 1PHIA is valued cheaply inside the industry as 91.04% of the companies are valued more expensively.
1PHIA is valuated rather cheaply when we compare the Price/Earnings ratio to 28.30, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 16.27, 1PHIA is valued correctly.
Based on the Price/Forward Earnings ratio, 1PHIA is valued a bit cheaper than the industry average as 70.15% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of 1PHIA to the average of the S&P500 Index (25.57), we can say 1PHIA is valued slightly cheaper.

		Industry Rank	Sector Rank
PE	16.73
Fwd PE	16.27

4.2 Price Multiples

Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1PHIA indicates a somewhat cheap valuation: 1PHIA is cheaper than 68.66% of the companies listed in the same industry.
1PHIA's Price/Free Cash Flow is on the same level as the industry average.

		Industry Rank	Sector Rank
P/FCF	41.25
EV/EBITDA	13.39

4.3 Compensation for Growth

The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1PHIA does not grow enough to justify the current Price/Earnings ratio.