PRESTIGE CONSUMER HEALTHCARE (PBH) Stock Fundamental Analysis
NYSE:PBH - New York Stock Exchange, Inc. - US74112D1019 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to PBH. PBH was compared to 193 industry peers in the Pharmaceuticals industry. PBH gets an excellent profitability rating and is at the same time showing great financial health properties. PBH has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
PBH had positive earnings in the past year.
PBH had a positive operating cash flow in the past year.
PBH had positive earnings in 4 of the past 5 years.
Each year in the past 5 years PBH had a positive operating cash flow.
1.2 Ratios
PBH has a better Return On Assets (6.31%) than 90.67% of its industry peers.
PBH's Return On Equity of 11.70% is amongst the best of the industry. PBH outperforms 88.08% of its industry peers.
PBH has a Return On Invested Capital of 8.02%. This is amongst the best in the industry. PBH outperforms 85.49% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PBH is significantly below the industry average of 14.87%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.31% | ||
| ROE | 11.7% | ||
| ROIC | 8.02% |
ROA(3y)3.39%
ROA(5y)4.11%
ROE(3y)6.22%
ROE(5y)8.76%
ROIC(3y)8.16%
ROIC(5y)7.67%
1.3 Margins
PBH's Profit Margin of 18.86% is amongst the best of the industry. PBH outperforms 92.23% of its industry peers.
In the last couple of years the Profit Margin of PBH has grown nicely.
PBH's Operating Margin of 30.70% is amongst the best of the industry. PBH outperforms 94.82% of its industry peers.
In the last couple of years the Operating Margin of PBH has remained more or less at the same level.
PBH has a Gross Margin of 55.76%. This is in the better half of the industry: PBH outperforms 65.80% of its industry peers.
PBH's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.7% | ||
| PM (TTM) | 18.86% | ||
| GM | 55.76% |
OM growth 3Y0.37%
OM growth 5Y-0.32%
PM growth 3Y-0.06%
PM growth 5Y5%
GM growth 3Y-0.79%
GM growth 5Y-0.88%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PBH is destroying value.
Compared to 1 year ago, PBH has less shares outstanding
PBH has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, PBH has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.87 indicates that PBH is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of PBH (2.87) is better than 70.98% of its industry peers.
The Debt to FCF ratio of PBH is 4.17, which is a neutral value as it means it would take PBH, 4.17 years of fcf income to pay off all of its debts.
PBH has a Debt to FCF ratio of 4.17. This is amongst the best in the industry. PBH outperforms 86.01% of its industry peers.
A Debt/Equity ratio of 0.55 indicates that PBH is somewhat dependend on debt financing.
PBH has a Debt to Equity ratio of 0.55. This is in the lower half of the industry: PBH underperforms 62.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 4.17 | ||
| Altman-Z | 2.87 |
ROIC/WACC0.86
WACC9.37%
2.3 Liquidity
A Current Ratio of 4.20 indicates that PBH has no problem at all paying its short term obligations.
With a decent Current ratio value of 4.20, PBH is doing good in the industry, outperforming 63.21% of the companies in the same industry.
PBH has a Quick Ratio of 2.82. This indicates that PBH is financially healthy and has no problem in meeting its short term obligations.
PBH has a Quick ratio (2.82) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.2 | ||
| Quick Ratio | 2.82 |
3. Growth
3.1 Past
PBH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.63%, which is quite good.
The Earnings Per Share has been growing by 8.88% on average over the past years. This is quite good.
The Revenue has been growing slightly by 1.10% in the past year.
PBH shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.39% yearly.
EPS 1Y (TTM)8.63%
EPS 3Y3.72%
EPS 5Y8.88%
EPS Q2Q%34.69%
Revenue 1Y (TTM)1.1%
Revenue growth 3Y1.54%
Revenue growth 5Y3.39%
Sales Q2Q%7.05%
3.2 Future
Based on estimates for the next years, PBH will show a small growth in Earnings Per Share. The EPS will grow by 4.65% on average per year.
PBH is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.00% yearly.
EPS Next Y6.35%
EPS Next 2Y5.88%
EPS Next 3Y5.22%
EPS Next 5Y4.65%
Revenue Next Year1.66%
Revenue Next 2Y1.87%
Revenue Next 3Y1.95%
Revenue Next 5Y2%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
PBH is valuated correctly with a Price/Earnings ratio of 16.59.
Based on the Price/Earnings ratio, PBH is valued cheaply inside the industry as 84.46% of the companies are valued more expensively.
PBH's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.51.
The Price/Forward Earnings ratio is 15.60, which indicates a correct valuation of PBH.
Based on the Price/Forward Earnings ratio, PBH is valued a bit cheaper than the industry average as 77.72% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of PBH to the average of the S&P500 Index (35.58), we can say PBH is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.59 | ||
| Fwd PE | 15.6 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PBH is valued cheaper than 84.46% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, PBH is valued cheaply inside the industry as 86.53% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.21 | ||
| EV/EBITDA | 12.33 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates PBH does not grow enough to justify the current Price/Earnings ratio.
PBH has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.61
PEG (5Y)1.87
EPS Next 2Y5.88%
EPS Next 3Y5.22%
5. Dividend
5.1 Amount
PBH does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
75.15
-1.27 (-1.66%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners106.21%
Inst Owner Change0%
Ins Owners1.41%
Ins Owner Change4.43%
Market Cap3.70B
Analysts78
Price Target92.62 (23.25%)
Short Float %3.42%
Short Ratio4.28
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.47%
Min EPS beat(2)0.64%
Max EPS beat(2)4.3%
EPS beat(4)3
Avg EPS beat(4)2.01%
Min EPS beat(4)-0.47%
Max EPS beat(4)4.3%
EPS beat(8)5
Avg EPS beat(8)-0.35%
EPS beat(12)8
Avg EPS beat(12)-46.35%
EPS beat(16)12
Avg EPS beat(16)-31.94%
Revenue beat(2)2
Avg Revenue beat(2)0.9%
Min Revenue beat(2)0.33%
Max Revenue beat(2)1.46%
Revenue beat(4)3
Avg Revenue beat(4)0.74%
Min Revenue beat(4)-0.39%
Max Revenue beat(4)1.57%
Revenue beat(8)3
Avg Revenue beat(8)-0.39%
Revenue beat(12)6
Avg Revenue beat(12)0.09%
Revenue beat(16)10
Avg Revenue beat(16)1.7%
PT rev (1m)0%
PT rev (3m)-0.77%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-5.02%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.19%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-5.36%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.59 | ||
| Fwd PE | 15.6 | ||
| P/S | 3.25 | ||
| P/FCF | 15.21 | ||
| P/OCF | 14.71 | ||
| P/B | 2.02 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.33 |
EPS(TTM)4.53
EY6.03%
EPS(NY)4.82
Fwd EY6.41%
FCF(TTM)4.94
FCFY6.58%
OCF(TTM)5.11
OCFY6.8%
SpS23.11
BVpS37.27
TBVpS-20.07
PEG (NY)2.61
PEG (5Y)1.87
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.31% | ||
| ROE | 11.7% | ||
| ROCE | 10.6% | ||
| ROIC | 8.02% | ||
| ROICexc | 8.27% | ||
| ROICexgc | 70.49% | ||
| OM | 30.7% | ||
| PM (TTM) | 18.86% | ||
| GM | 55.76% | ||
| FCFM | 21.38% |
ROA(3y)3.39%
ROA(5y)4.11%
ROE(3y)6.22%
ROE(5y)8.76%
ROIC(3y)8.16%
ROIC(5y)7.67%
ROICexc(3y)8.33%
ROICexc(5y)7.8%
ROICexgc(3y)85.26%
ROICexgc(5y)93.76%
ROCE(3y)10.78%
ROCE(5y)10.14%
ROICexcg growth 3Y-14.1%
ROICexcg growth 5Y-7.82%
ROICexc growth 3Y5.03%
ROICexc growth 5Y3.52%
OM growth 3Y0.37%
OM growth 5Y-0.32%
PM growth 3Y-0.06%
PM growth 5Y5%
GM growth 3Y-0.79%
GM growth 5Y-0.88%
F-Score7
Asset Turnover0.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 4.17 | ||
| Debt/EBITDA | 2.67 | ||
| Cap/Depr | 27.26% | ||
| Cap/Sales | 0.72% | ||
| Interest Coverage | 7.31 | ||
| Cash Conversion | 66.29% | ||
| Profit Quality | 113.37% | ||
| Current Ratio | 4.2 | ||
| Quick Ratio | 2.82 | ||
| Altman-Z | 2.87 |
F-Score7
WACC9.37%
ROIC/WACC0.86
Cap/Depr(3y)27.42%
Cap/Depr(5y)37.16%
Cap/Sales(3y)0.75%
Cap/Sales(5y)1.1%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)8.63%
EPS 3Y3.72%
EPS 5Y8.88%
EPS Q2Q%34.69%
EPS Next Y6.35%
EPS Next 2Y5.88%
EPS Next 3Y5.22%
EPS Next 5Y4.65%
Revenue 1Y (TTM)1.1%
Revenue growth 3Y1.54%
Revenue growth 5Y3.39%
Sales Q2Q%7.05%
Revenue Next Year1.66%
Revenue Next 2Y1.87%
Revenue Next 3Y1.95%
Revenue Next 5Y2%
EBIT growth 1Y1.99%
EBIT growth 3Y1.92%
EBIT growth 5Y3.06%
EBIT Next Year11.34%
EBIT Next 3Y4.95%
EBIT Next 5Y3.8%
FCF growth 1Y1.64%
FCF growth 3Y-0.94%
FCF growth 5Y4.02%
OCF growth 1Y1.04%
OCF growth 3Y-1.09%
OCF growth 5Y2.99%