PENUMBRA INC (PEN) Stock Fundamental Analysis
NYSE:PEN - New York Stock Exchange, Inc. - US70975L1070 - Common Stock - Currency: USD
Taking everything into account, PEN scores 6 out of 10 in our fundamental rating. PEN was compared to 187 industry peers in the Health Care Equipment & Supplies industry. PEN is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. PEN is not overvalued while it is showing excellent growth. This is an interesting combination. With these ratings, PEN could be worth investigating further for growth investing!.
1. Profitability
1.1 Basic Checks
PEN had positive earnings in the past year.
In the past year PEN had a positive cash flow from operations.
In multiple years PEN reported negative net income over the last 5 years.
In multiple years PEN reported negative operating cash flow during the last 5 years.
1.2 Ratios
PEN has a better Return On Assets (2.65%) than 77.01% of its industry peers.
PEN's Return On Equity of 3.48% is fine compared to the rest of the industry. PEN outperforms 77.01% of its industry peers.
The Return On Invested Capital of PEN (6.92%) is better than 82.89% of its industry peers.
PEN had an Average Return On Invested Capital over the past 3 years of 2.98%. This is below the industry average of 7.89%.
The last Return On Invested Capital (6.92%) for PEN is above the 3 year average (2.98%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.65% | ||
| ROE | 3.48% | ||
| ROIC | 6.92% |
ROA(3y)2.2%
ROA(5y)1.03%
ROE(3y)2.91%
ROE(5y)1.37%
ROIC(3y)2.98%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of PEN (3.41%) is better than 75.40% of its industry peers.
In the last couple of years the Profit Margin of PEN has declined.
Looking at the Operating Margin, with a value of 11.92%, PEN is in the better half of the industry, outperforming 79.14% of the companies in the same industry.
PEN's Operating Margin has declined in the last couple of years.
PEN has a better Gross Margin (66.37%) than 70.59% of its industry peers.
PEN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.92% | ||
| PM (TTM) | 3.41% | ||
| GM | 66.37% |
OM growth 3Y43.4%
OM growth 5Y-3.62%
PM growth 3Y18.27%
PM growth 5Y-33.26%
GM growth 3Y-0.21%
GM growth 5Y-1.44%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PEN is destroying value.
PEN has less shares outstanding than it did 1 year ago.
The number of shares outstanding for PEN has been increased compared to 5 years ago.
Compared to 1 year ago, PEN has an improved debt to assets ratio.
2.2 Solvency
PEN has an Altman-Z score of 17.14. This indicates that PEN is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 17.14, PEN belongs to the best of the industry, outperforming 93.58% of the companies in the same industry.
PEN has a debt to FCF ratio of 0.16. This is a very positive value and a sign of high solvency as it would only need 0.16 years to pay back of all of its debts.
PEN has a Debt to FCF ratio of 0.16. This is amongst the best in the industry. PEN outperforms 94.65% of its industry peers.
A Debt/Equity ratio of 0.02 indicates that PEN is not too dependend on debt financing.
The Debt to Equity ratio of PEN (0.02) is better than 66.84% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.16 | ||
| Altman-Z | 17.14 |
ROIC/WACC0.77
WACC8.98%
2.3 Liquidity
A Current Ratio of 6.30 indicates that PEN has no problem at all paying its short term obligations.
PEN has a better Current ratio (6.30) than 83.96% of its industry peers.
A Quick Ratio of 3.68 indicates that PEN has no problem at all paying its short term obligations.
With a decent Quick ratio value of 3.68, PEN is doing good in the industry, outperforming 70.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 6.3 | ||
| Quick Ratio | 3.68 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 44.93% over the past year.
The Earnings Per Share has been growing by 24.23% on average over the past years. This is a very strong growth
The Revenue has grown by 13.18% in the past year. This is quite good.
Measured over the past years, PEN shows a quite strong growth in Revenue. The Revenue has been growing by 16.89% on average per year.
EPS 1Y (TTM)44.93%
EPS 3Y60.05%
EPS 5Y24.23%
EPS Q2Q%102.44%
Revenue 1Y (TTM)13.18%
Revenue growth 3Y16.91%
Revenue growth 5Y16.89%
Sales Q2Q%16.32%
3.2 Future
PEN is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 25.44% yearly.
PEN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.69% yearly.
EPS Next Y32.53%
EPS Next 2Y32.73%
EPS Next 3Y30.29%
EPS Next 5Y25.44%
Revenue Next Year13.8%
Revenue Next 2Y14.02%
Revenue Next 3Y13.89%
Revenue Next 5Y12.69%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
PEN is valuated quite expensively with a Price/Earnings ratio of 76.31.
Compared to the rest of the industry, the Price/Earnings ratio of PEN indicates a somewhat cheap valuation: PEN is cheaper than 65.24% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.45, PEN is valued quite expensively.
PEN is valuated quite expensively with a Price/Forward Earnings ratio of 49.65.
67.38% of the companies in the same industry are more expensive than PEN, based on the Price/Forward Earnings ratio.
PEN is valuated expensively when we compare the Price/Forward Earnings ratio to 21.89, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 76.31 | ||
| Fwd PE | 49.65 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PEN indicates a somewhat cheap valuation: PEN is cheaper than 65.78% of the companies listed in the same industry.
PEN's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. PEN is cheaper than 71.66% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 64.68 | ||
| EV/EBITDA | 55.41 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as PEN's earnings are expected to grow with 30.29% in the coming years.
PEG (NY)2.35
PEG (5Y)3.15
EPS Next 2Y32.73%
EPS Next 3Y30.29%
5. Dividend
5.1 Amount
No dividends for PEN!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
251.06
+1.32 (+0.53%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners91.81%
Inst Owner Change-61.08%
Ins Owners3.48%
Ins Owner Change7.39%
Market Cap9.72B
Analysts81.74
Price Target325.32 (29.58%)
Short Float %4.07%
Short Ratio2.82
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)15.42%
Min EPS beat(2)6.98%
Max EPS beat(2)23.86%
EPS beat(4)4
Avg EPS beat(4)16.72%
Min EPS beat(4)6.98%
Max EPS beat(4)23.86%
EPS beat(8)8
Avg EPS beat(8)22.55%
EPS beat(12)12
Avg EPS beat(12)37.31%
EPS beat(16)13
Avg EPS beat(16)16.76%
Revenue beat(2)2
Avg Revenue beat(2)0.98%
Min Revenue beat(2)0.28%
Max Revenue beat(2)1.67%
Revenue beat(4)3
Avg Revenue beat(4)0.38%
Min Revenue beat(4)-0.64%
Max Revenue beat(4)1.67%
Revenue beat(8)6
Avg Revenue beat(8)0.45%
Revenue beat(12)8
Avg Revenue beat(12)0.68%
Revenue beat(16)12
Avg Revenue beat(16)1.64%
PT rev (1m)0.02%
PT rev (3m)2.96%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.65%
EPS NY rev (1m)-0.76%
EPS NY rev (3m)2.82%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.36%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 76.31 | ||
| Fwd PE | 49.65 | ||
| P/S | 7.84 | ||
| P/FCF | 64.68 | ||
| P/OCF | 54.27 | ||
| P/B | 8.02 | ||
| P/tB | 9.35 | ||
| EV/EBITDA | 55.41 |
EPS(TTM)3.29
EY1.31%
EPS(NY)5.06
Fwd EY2.01%
FCF(TTM)3.88
FCFY1.55%
OCF(TTM)4.63
OCFY1.84%
SpS32.02
BVpS31.32
TBVpS26.86
PEG (NY)2.35
PEG (5Y)3.15
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.65% | ||
| ROE | 3.48% | ||
| ROCE | 10.3% | ||
| ROIC | 6.92% | ||
| ROICexc | 9.4% | ||
| ROICexgc | 11.24% | ||
| OM | 11.92% | ||
| PM (TTM) | 3.41% | ||
| GM | 66.37% | ||
| FCFM | 12.12% |
ROA(3y)2.2%
ROA(5y)1.03%
ROE(3y)2.91%
ROE(5y)1.37%
ROIC(3y)2.98%
ROIC(5y)N/A
ROICexc(3y)3.84%
ROICexc(5y)N/A
ROICexgc(3y)4.75%
ROICexgc(5y)N/A
ROCE(3y)4.43%
ROCE(5y)N/A
ROICexcg growth 3Y49.31%
ROICexcg growth 5Y-5.8%
ROICexc growth 3Y58%
ROICexc growth 5Y-7.52%
OM growth 3Y43.4%
OM growth 5Y-3.62%
PM growth 3Y18.27%
PM growth 5Y-33.26%
GM growth 3Y-0.21%
GM growth 5Y-1.44%
F-Score8
Asset Turnover0.78
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.16 | ||
| Debt/EBITDA | 0.13 | ||
| Cap/Depr | 135.98% | ||
| Cap/Sales | 2.32% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 105.99% | ||
| Profit Quality | 355.96% | ||
| Current Ratio | 6.3 | ||
| Quick Ratio | 3.68 | ||
| Altman-Z | 17.14 |
F-Score8
WACC8.98%
ROIC/WACC0.77
Cap/Depr(3y)74.85%
Cap/Depr(5y)109.14%
Cap/Sales(3y)1.83%
Cap/Sales(5y)2.55%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)44.93%
EPS 3Y60.05%
EPS 5Y24.23%
EPS Q2Q%102.44%
EPS Next Y32.53%
EPS Next 2Y32.73%
EPS Next 3Y30.29%
EPS Next 5Y25.44%
Revenue 1Y (TTM)13.18%
Revenue growth 3Y16.91%
Revenue growth 5Y16.89%
Sales Q2Q%16.32%
Revenue Next Year13.8%
Revenue Next 2Y14.02%
Revenue Next 3Y13.89%
Revenue Next 5Y12.69%
EBIT growth 1Y54.26%
EBIT growth 3Y67.65%
EBIT growth 5Y12.66%
EBIT Next Year76.61%
EBIT Next 3Y39.22%
EBIT Next 5Y31.32%
FCF growth 1Y367.26%
FCF growth 3YN/A
FCF growth 5Y100.55%
OCF growth 1Y571.22%
OCF growth 3Y160.78%
OCF growth 5Y44.6%