PHILIP MORRIS INTERNATIONAL (4I1.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:4I1 - US7181721090 - Common Stock
144.64 EUR
+1.06 (+0.74%)
Taking everything into account, 4I1 scores 4 out of 10 in our fundamental rating. 4I1 was compared to 5 industry peers in the Tobacco industry. While 4I1 is still in line with the averages on profitability rating, there are concerns on its financial health. 4I1 is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year 4I1 was profitable.
- 4I1 had a positive operating cash flow in the past year.
- 4I1 had positive earnings in each of the past 5 years.
- Each year in the past 5 years 4I1 had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of 4I1 (12.83%) is better than 75.00% of its industry peers.
- With a decent Return On Invested Capital value of 28.03%, 4I1 is doing good in the industry, outperforming 75.00% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for 4I1 is above the industry average of 22.36%.
- The last Return On Invested Capital (28.03%) for 4I1 is above the 3 year average (25.07%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.83% | ||
| ROE | N/A | ||
| ROIC | 28.03% |
ROA(3y)12.65%
ROA(5y)15.58%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)25.07%
ROIC(5y)31.2%
1.3 Margins
- The Profit Margin of 4I1 (21.51%) is better than 75.00% of its industry peers.
- 4I1's Profit Margin has declined in the last couple of years.
- With a decent Operating Margin value of 38.71%, 4I1 is doing good in the industry, outperforming 75.00% of the companies in the same industry.
- 4I1's Operating Margin has been stable in the last couple of years.
- 4I1's Gross Margin of 66.93% is fine compared to the rest of the industry. 4I1 outperforms 75.00% of its industry peers.
- 4I1's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 38.71% | ||
| PM (TTM) | 21.51% | ||
| GM | 66.93% |
OM growth 3Y-4.61%
OM growth 5Y-0.93%
PM growth 3Y-13.73%
PM growth 5Y-5.04%
GM growth 3Y-1.62%
GM growth 5Y0.03%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 4I1 is creating value.
- Compared to 1 year ago, 4I1 has about the same amount of shares outstanding.
- The number of shares outstanding for 4I1 remains at a similar level compared to 5 years ago.
- Compared to 1 year ago, 4I1 has a worse debt to assets ratio.
2.2 Solvency
- 4I1 has a debt to FCF ratio of 4.95. This is a neutral value as 4I1 would need 4.95 years to pay back of all of its debts.
- 4I1 has a worse Debt to FCF ratio (4.95) than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 4.95 | ||
| Altman-Z | N/A |
ROIC/WACC3.26
WACC8.61%
2.3 Liquidity
- 4I1 has a Current Ratio of 0.85. This is a bad value and indicates that 4I1 is not financially healthy enough and could expect problems in meeting its short term obligations.
- 4I1 has a better Current ratio (0.85) than 75.00% of its industry peers.
- 4I1 has a Quick Ratio of 0.85. This is a bad value and indicates that 4I1 is not financially healthy enough and could expect problems in meeting its short term obligations.
- 4I1 has a Quick ratio of 0.85. This is amongst the best in the industry. 4I1 outperforms 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 16.19% over the past year.
- Measured over the past 5 years, 4I1 shows a small growth in Earnings Per Share. The EPS has been growing by 4.72% on average per year.
- Looking at the last year, 4I1 shows a small growth in Revenue. The Revenue has grown by 7.45% in the last year.
- 4I1 shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.91% yearly.
EPS 1Y (TTM)16.19%
EPS 3Y2.57%
EPS 5Y4.72%
EPS Q2Q%17.28%
Revenue 1Y (TTM)7.45%
Revenue growth 3Y6.45%
Revenue growth 5Y4.91%
Sales Q2Q%9.42%
3.2 Future
- Based on estimates for the next years, 4I1 will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.60% on average per year.
- 4I1 is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.66% yearly.
EPS Next Y18.36%
EPS Next 2Y14.53%
EPS Next 3Y12.71%
EPS Next 5Y11.6%
Revenue Next Year8.28%
Revenue Next 2Y7.95%
Revenue Next 3Y7.5%
Revenue Next 5Y7.66%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- 4I1 is valuated rather expensively with a Price/Earnings ratio of 23.00.
- Based on the Price/Earnings ratio, 4I1 is valued a bit more expensive than the industry average as 75.00% of the companies are valued more cheaply.
- 4I1's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.21.
- Based on the Price/Forward Earnings ratio of 19.77, the valuation of 4I1 can be described as rather expensive.
- 75.00% of the companies in the same industry are cheaper than 4I1, based on the Price/Forward Earnings ratio.
- 4I1's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.98.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23 | ||
| Fwd PE | 19.77 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as 4I1.
- 4I1's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. 4I1 is more expensive than 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.12 | ||
| EV/EBITDA | 17.7 |
4.3 Compensation for Growth
- 4I1's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The decent profitability rating of 4I1 may justify a higher PE ratio.
- A more expensive valuation may be justified as 4I1's earnings are expected to grow with 12.71% in the coming years.
PEG (NY)1.25
PEG (5Y)4.87
EPS Next 2Y14.53%
EPS Next 3Y12.71%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 3.46%, 4I1 has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 5.00, 4I1 is paying slightly less dividend.
- 4I1's Dividend Yield is rather good when compared to the S&P500 average which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.46% |
5.2 History
- The dividend of 4I1 has a limited annual growth rate of 2.76%.
Dividend Growth(5Y)2.76%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
- 4I1 pays out 98.07% of its income as dividend. This is not a sustainable payout ratio.
- 4I1's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP98.07%
EPS Next 2Y14.53%
EPS Next 3Y12.71%
PHILIP MORRIS INTERNATIONAL / 4I1.DE FAQ
What is the ChartMill fundamental rating of PHILIP MORRIS INTERNATIONAL (4I1.DE) stock?
ChartMill assigns a fundamental rating of 4 / 10 to 4I1.DE.
What is the valuation status of PHILIP MORRIS INTERNATIONAL (4I1.DE) stock?
ChartMill assigns a valuation rating of 2 / 10 to PHILIP MORRIS INTERNATIONAL (4I1.DE). This can be considered as Overvalued.
What is the profitability of 4I1 stock?
PHILIP MORRIS INTERNATIONAL (4I1.DE) has a profitability rating of 6 / 10.
What are the PE and PB ratios of PHILIP MORRIS INTERNATIONAL (4I1.DE) stock?
The Price/Earnings (PE) ratio for PHILIP MORRIS INTERNATIONAL (4I1.DE) is 23 and the Price/Book (PB) ratio is -24.22.
How sustainable is the dividend of PHILIP MORRIS INTERNATIONAL (4I1.DE) stock?
The dividend rating of PHILIP MORRIS INTERNATIONAL (4I1.DE) is 4 / 10 and the dividend payout ratio is 98.07%.