PERFORMANCE FOOD GROUP CO (PFGC) Stock Fundamental Analysis
NYSE:PFGC - New York Stock Exchange, Inc. - US71377A1034 - Common Stock - Currency: USD
Overall PFGC gets a fundamental rating of 4 out of 10. We evaluated PFGC against 40 industry peers in the Consumer Staples Distribution & Retail industry. PFGC scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. PFGC has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
PFGC had positive earnings in the past year.
In the past year PFGC had a positive cash flow from operations.
PFGC had positive earnings in 4 of the past 5 years.
PFGC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PFGC has a Return On Assets (2.27%) which is comparable to the rest of the industry.
Looking at the Return On Equity, with a value of 9.10%, PFGC is in line with its industry, outperforming 51.28% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 4.56%, PFGC is doing worse than 61.54% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for PFGC is below the industry average of 8.35%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.27% | ||
| ROE | 9.1% | ||
| ROIC | 4.56% |
ROA(3y)2.45%
ROA(5y)1.28%
ROE(3y)8.19%
ROE(5y)4.17%
ROIC(3y)5.08%
ROIC(5y)N/A
1.3 Margins
PFGC has a Profit Margin (0.64%) which is comparable to the rest of the industry.
PFGC's Profit Margin has declined in the last couple of years.
PFGC's Operating Margin of 1.35% is on the low side compared to the rest of the industry. PFGC is outperformed by 61.54% of its industry peers.
PFGC's Operating Margin has been stable in the last couple of years.
The Gross Margin of PFGC (11.49%) is worse than 89.74% of its industry peers.
PFGC's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.35% | ||
| PM (TTM) | 0.64% | ||
| GM | 11.49% |
OM growth 3Y21.55%
OM growth 5Y-0.22%
PM growth 3Y77%
PM growth 5Y-2.43%
GM growth 3Y-1.25%
GM growth 5Y-2.38%
2. Health
2.1 Basic Checks
PFGC has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for PFGC has been reduced compared to 1 year ago.
Compared to 5 years ago, PFGC has more shares outstanding
PFGC has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.60 indicates that PFGC is not in any danger for bankruptcy at the moment.
PFGC's Altman-Z score of 4.60 is fine compared to the rest of the industry. PFGC outperforms 64.10% of its industry peers.
PFGC has a debt to FCF ratio of 12.79. This is a negative value and a sign of low solvency as PFGC would need 12.79 years to pay back of all of its debts.
PFGC has a worse Debt to FCF ratio (12.79) than 61.54% of its industry peers.
A Debt/Equity ratio of 1.56 is on the high side and indicates that PFGC has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.56, PFGC is doing worse than 82.05% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.56 | ||
| Debt/FCF | 12.79 | ||
| Altman-Z | 4.6 |
ROIC/WACC0.57
WACC8%
2.3 Liquidity
A Current Ratio of 1.67 indicates that PFGC should not have too much problems paying its short term obligations.
PFGC's Current ratio of 1.67 is amongst the best of the industry. PFGC outperforms 82.05% of its industry peers.
PFGC has a Quick Ratio of 1.67. This is a bad value and indicates that PFGC is not financially healthy enough and could expect problems in meeting its short term obligations.
PFGC's Quick ratio of 0.72 is fine compared to the rest of the industry. PFGC outperforms 61.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.67 | ||
| Quick Ratio | 0.72 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.20% over the past year.
PFGC shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.37% yearly.
The Revenue has been growing slightly by 3.85% in the past year.
PFGC shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 24.17% yearly.
EPS 1Y (TTM)9.2%
EPS 3Y47.13%
EPS 5Y18.37%
EPS Q2Q%8.89%
Revenue 1Y (TTM)3.85%
Revenue growth 3Y24.23%
Revenue growth 5Y24.17%
Sales Q2Q%9.39%
3.2 Future
Based on estimates for the next years, PFGC will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.83% on average per year.
Based on estimates for the next years, PFGC will show a small growth in Revenue. The Revenue will grow by 2.94% on average per year.
EPS Next Y8.58%
EPS Next 2Y12.89%
EPS Next 3Y13.74%
EPS Next 5Y10.83%
Revenue Next Year7.84%
Revenue Next 2Y6.53%
Revenue Next 3Y5.8%
Revenue Next 5Y2.94%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 18.64, PFGC is valued on the expensive side.
Based on the Price/Earnings ratio, PFGC is valued a bit cheaper than 64.10% of the companies in the same industry.
PFGC's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 29.63.
With a Price/Forward Earnings ratio of 14.94, PFGC is valued correctly.
Based on the Price/Forward Earnings ratio, PFGC is valued a bit cheaper than the industry average as 69.23% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.68, PFGC is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.64 | ||
| Fwd PE | 14.94 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PFGC is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, PFGC is valued a bit cheaper than the industry average as 64.10% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.87 | ||
| EV/EBITDA | 14.02 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates PFGC does not grow enough to justify the current Price/Earnings ratio.
A more expensive valuation may be justified as PFGC's earnings are expected to grow with 13.74% in the coming years.
PEG (NY)2.17
PEG (5Y)1.01
EPS Next 2Y12.89%
EPS Next 3Y13.74%
5. Dividend
5.1 Amount
No dividends for PFGC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
81.85
-2.68 (-3.17%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners100.18%
Inst Owner Change1.14%
Ins Owners2.05%
Ins Owner Change-0.84%
Market Cap12.79B
Analysts76.36
Price Target100.51 (22.8%)
Short Float %1.68%
Short Ratio2.29
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)0
Avg EPS beat(2)-7.52%
Min EPS beat(2)-8.56%
Max EPS beat(2)-6.48%
EPS beat(4)1
Avg EPS beat(4)-4.55%
Min EPS beat(4)-8.56%
Max EPS beat(4)3.93%
EPS beat(8)3
Avg EPS beat(8)-0.85%
EPS beat(12)6
Avg EPS beat(12)2.72%
EPS beat(16)9
Avg EPS beat(16)0.76%
Revenue beat(2)0
Avg Revenue beat(2)-1.19%
Min Revenue beat(2)-1.28%
Max Revenue beat(2)-1.1%
Revenue beat(4)0
Avg Revenue beat(4)-2.27%
Min Revenue beat(4)-4.24%
Max Revenue beat(4)-1.1%
Revenue beat(8)0
Avg Revenue beat(8)-2.37%
Revenue beat(12)1
Avg Revenue beat(12)-2.05%
Revenue beat(16)4
Avg Revenue beat(16)-1.07%
PT rev (1m)-0.72%
PT rev (3m)10.24%
EPS NQ rev (1m)-7.1%
EPS NQ rev (3m)-12.85%
EPS NY rev (1m)-5.1%
EPS NY rev (3m)-5.38%
Revenue NQ rev (1m)0.99%
Revenue NQ rev (3m)6.27%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)-0.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.64 | ||
| Fwd PE | 14.94 | ||
| P/S | 0.21 | ||
| P/FCF | 23.87 | ||
| P/OCF | 12.94 | ||
| P/B | 3 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.02 |
EPS(TTM)4.39
EY5.36%
EPS(NY)5.48
Fwd EY6.7%
FCF(TTM)3.43
FCFY4.19%
OCF(TTM)6.32
OCFY7.73%
SpS384.72
BVpS27.25
TBVpS-6.23
PEG (NY)2.17
PEG (5Y)1.01
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.27% | ||
| ROE | 9.1% | ||
| ROCE | 6.25% | ||
| ROIC | 4.56% | ||
| ROICexc | 4.57% | ||
| ROICexgc | 7.66% | ||
| OM | 1.35% | ||
| PM (TTM) | 0.64% | ||
| GM | 11.49% | ||
| FCFM | 0.89% |
ROA(3y)2.45%
ROA(5y)1.28%
ROE(3y)8.19%
ROE(5y)4.17%
ROIC(3y)5.08%
ROIC(5y)N/A
ROICexc(3y)5.09%
ROICexc(5y)N/A
ROICexgc(3y)8.07%
ROICexgc(5y)N/A
ROCE(3y)6.96%
ROCE(5y)N/A
ROICexcg growth 3Y20.42%
ROICexcg growth 5Y-1.47%
ROICexc growth 3Y23.88%
ROICexc growth 5Y-2.24%
OM growth 3Y21.55%
OM growth 5Y-0.22%
PM growth 3Y77%
PM growth 5Y-2.43%
GM growth 3Y-1.25%
GM growth 5Y-2.38%
F-Score4
Asset Turnover3.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.56 | ||
| Debt/FCF | 12.79 | ||
| Debt/EBITDA | 4.66 | ||
| Cap/Depr | 73.03% | ||
| Cap/Sales | 0.75% | ||
| Interest Coverage | 3.05 | ||
| Cash Conversion | 69.1% | ||
| Profit Quality | 138.29% | ||
| Current Ratio | 1.67 | ||
| Quick Ratio | 0.72 | ||
| Altman-Z | 4.6 |
F-Score4
WACC8%
ROIC/WACC0.57
Cap/Depr(3y)57.31%
Cap/Depr(5y)56.96%
Cap/Sales(3y)0.52%
Cap/Sales(5y)0.56%
Profit Quality(3y)123.9%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)9.2%
EPS 3Y47.13%
EPS 5Y18.37%
EPS Q2Q%8.89%
EPS Next Y8.58%
EPS Next 2Y12.89%
EPS Next 3Y13.74%
EPS Next 5Y10.83%
Revenue 1Y (TTM)3.85%
Revenue growth 3Y24.23%
Revenue growth 5Y24.17%
Sales Q2Q%9.39%
Revenue Next Year7.84%
Revenue Next 2Y6.53%
Revenue Next 3Y5.8%
Revenue Next 5Y2.94%
EBIT growth 1Y-1.28%
EBIT growth 3Y51.01%
EBIT growth 5Y23.9%
EBIT Next Year63.54%
EBIT Next 3Y25.17%
EBIT Next 5Y19.51%
FCF growth 1Y77.29%
FCF growth 3YN/A
FCF growth 5Y33.9%
OCF growth 1Y80.56%
OCF growth 3Y162.09%
OCF growth 5Y29.66%