KONINKLIJKE PHILIPS NVR- NY (PHG) Stock Fundamental Analysis
USA - NYSE:PHG - US5004723038
27.15 USD
-0.35 (-1.27%)
27.14 USD
-0.01 (-0.04%)
Taking everything into account, PHG scores 4 out of 10 in our fundamental rating. PHG was compared to 191 industry peers in the Health Care Equipment & Supplies industry. There are concerns on the financial health of PHG while its profitability can be described as average. PHG is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year PHG was profitable.
PHG had a positive operating cash flow in the past year.
In multiple years PHG reported negative net income over the last 5 years.
PHG had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of PHG (0.61%) is better than 72.77% of its industry peers.
PHG's Return On Equity of 1.56% is fine compared to the rest of the industry. PHG outperforms 73.30% of its industry peers.
With a decent Return On Invested Capital value of 4.49%, PHG is doing good in the industry, outperforming 74.87% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.61% | ||
| ROE | 1.56% | ||
| ROIC | 4.49% |
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 PHG (0.91%) is better than 73.30% of its industry peers.
PHG has a Operating Margin of 6.11%. This is in the better half of the industry: PHG outperforms 71.73% of its industry peers.
PHG's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 43.85%, PHG is not doing good in the industry: 62.30% of the companies in the same industry are doing better.
PHG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.11% | ||
| PM (TTM) | 0.91% | ||
| GM | 43.85% |
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%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PHG is destroying value.
The number of shares outstanding for PHG has been reduced compared to 1 year ago.
Compared to 5 years ago, PHG has more shares outstanding
Compared to 1 year ago, PHG has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 1.91 indicates that PHG is not a great score, but indicates only limited risk for bankruptcy at the moment.
PHG's Altman-Z score of 1.91 is fine compared to the rest of the industry. PHG outperforms 60.21% of its industry peers.
The Debt to FCF ratio of PHG is 19.41, which is on the high side as it means it would take PHG, 19.41 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 19.41, PHG is doing good in the industry, outperforming 71.20% of the companies in the same industry.
A Debt/Equity ratio of 0.69 indicates that PHG is somewhat dependend on debt financing.
The Debt to Equity ratio of PHG (0.69) is worse than 68.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 19.41 | ||
| Altman-Z | 1.91 |
ROIC/WACC0.66
WACC6.8%
2.3 Liquidity
A Current Ratio of 1.26 indicates that PHG should not have too much problems paying its short term obligations.
PHG's Current ratio of 1.26 is on the low side compared to the rest of the industry. PHG is outperformed by 80.10% of its industry peers.
PHG has a Quick Ratio of 1.26. This is a bad value and indicates that PHG is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of PHG (0.81) is worse than 84.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.26 | ||
| Quick Ratio | 0.81 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.17% over the past year.
PHG shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -7.17% yearly.
PHG shows a decrease in Revenue. In the last year, the revenue decreased by -1.53%.
PHG shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.00% yearly.
EPS 1Y (TTM)11.17%
EPS 3Y-5.66%
EPS 5Y-7.17%
EPS Q2Q%21.91%
Revenue 1Y (TTM)-1.53%
Revenue growth 3Y1.65%
Revenue growth 5Y1%
Sales Q2Q%-2.12%
3.2 Future
PHG is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.26% yearly.
PHG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.26% yearly.
EPS Next Y0.42%
EPS Next 2Y5.48%
EPS Next 3Y7.81%
EPS Next 5Y12.26%
Revenue Next Year-1.83%
Revenue Next 2Y0.64%
Revenue Next 3Y1.91%
Revenue Next 5Y3.26%
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 accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 16.36, PHG is valued correctly.
Based on the Price/Earnings ratio, PHG is valued cheaply inside the industry as 83.25% of the companies are valued more expensively.
PHG is valuated rather cheaply when we compare the Price/Earnings ratio to 27.50, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 15.25, PHG is valued correctly.
PHG's Price/Forward Earnings ratio is rather cheap when compared to the industry. PHG is cheaper than 85.34% of the companies in the same industry.
PHG is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.99, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.36 | ||
| Fwd PE | 15.25 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PHG is valued cheaply inside the industry as 83.77% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, PHG is valued a bit cheaper than 75.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 52.14 | ||
| EV/EBITDA | 12.25 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)39.41
PEG (5Y)N/A
EPS Next 2Y5.48%
EPS Next 3Y7.81%
5. Dividend
5.1 Amount
PHG has a Yearly Dividend Yield of 3.75%. Purely for dividend investing, there may be better candidates out there.
PHG's Dividend Yield is rather good when compared to the industry average which is at 1.82. PHG pays more dividend than 98.95% of the companies in the same industry.
PHG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.75% |
5.2 History
The dividend of PHG decreases each year by -70.49%.
PHG has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-70.49%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
0.62% of the earnings are spent on dividend by PHG. This is a low number and sustainable payout ratio.
DP0.62%
EPS Next 2Y5.48%
EPS Next 3Y7.81%
27.15
-0.35 (-1.27%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners47.54%
Inst Owner Change-1.8%
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap26.14B
Analysts74.81
Price Target31.82 (17.2%)
Short Float %0.31%
Short Ratio2.67
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.75% |
Yearly Dividend0
Dividend Growth(5Y)-70.49%
DP0.62%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)26.64%
Min EPS beat(2)22.24%
Max EPS beat(2)31.04%
EPS beat(4)2
Avg EPS beat(4)6.19%
Min EPS beat(4)-16.56%
Max EPS beat(4)31.04%
EPS beat(8)3
Avg EPS beat(8)-1.09%
EPS beat(12)5
Avg EPS beat(12)15.29%
EPS beat(16)5
Avg EPS beat(16)3.51%
Revenue beat(2)0
Avg Revenue beat(2)-1.96%
Min Revenue beat(2)-1.97%
Max Revenue beat(2)-1.96%
Revenue beat(4)0
Avg Revenue beat(4)-3.05%
Min Revenue beat(4)-5.22%
Max Revenue beat(4)-1.96%
Revenue beat(8)0
Avg Revenue beat(8)-3.22%
Revenue beat(12)2
Avg Revenue beat(12)-1.61%
Revenue beat(16)2
Avg Revenue beat(16)-1.84%
PT rev (1m)-0.08%
PT rev (3m)6.13%
EPS NQ rev (1m)-0.38%
EPS NQ rev (3m)-3.82%
EPS NY rev (1m)-0.76%
EPS NY rev (3m)-8.66%
Revenue NQ rev (1m)-0.38%
Revenue NQ rev (3m)-3.42%
Revenue NY rev (1m)-0.16%
Revenue NY rev (3m)-2.94%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.36 | ||
| Fwd PE | 15.25 | ||
| P/S | 1.27 | ||
| P/FCF | 52.14 | ||
| P/OCF | 20.59 | ||
| P/B | 2.18 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.25 |
EPS(TTM)1.66
EY6.11%
EPS(NY)1.78
Fwd EY6.56%
FCF(TTM)0.52
FCFY1.92%
OCF(TTM)1.32
OCFY4.86%
SpS21.42
BVpS12.45
TBVpS-2.03
PEG (NY)39.41
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.61% | ||
| ROE | 1.56% | ||
| ROCE | 5.69% | ||
| ROIC | 4.49% | ||
| ROICexc | 4.97% | ||
| ROICexgc | 16.33% | ||
| OM | 6.11% | ||
| PM (TTM) | 0.91% | ||
| GM | 43.85% | ||
| FCFM | 2.43% |
ROA(3y)-3.08%
ROA(5y)1.15%
ROE(3y)-7.29%
ROE(5y)2.23%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y10.6%
ROICexcg growth 5Y-2.51%
ROICexc growth 3Y4.73%
ROICexc growth 5Y-6.98%
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%
F-Score8
Asset Turnover0.68
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 19.41 | ||
| Debt/EBITDA | 3.01 | ||
| Cap/Depr | 51.35% | ||
| Cap/Sales | 3.72% | ||
| Interest Coverage | 4 | ||
| Cash Conversion | 46.06% | ||
| Profit Quality | 267.9% | ||
| Current Ratio | 1.26 | ||
| Quick Ratio | 0.81 | ||
| Altman-Z | 1.91 |
F-Score8
WACC6.8%
ROIC/WACC0.66
Cap/Depr(3y)50.01%
Cap/Depr(5y)53.78%
Cap/Sales(3y)3.94%
Cap/Sales(5y)4.29%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)11.17%
EPS 3Y-5.66%
EPS 5Y-7.17%
EPS Q2Q%21.91%
EPS Next Y0.42%
EPS Next 2Y5.48%
EPS Next 3Y7.81%
EPS Next 5Y12.26%
Revenue 1Y (TTM)-1.53%
Revenue growth 3Y1.65%
Revenue growth 5Y1%
Sales Q2Q%-2.12%
Revenue Next Year-1.83%
Revenue Next 2Y0.64%
Revenue Next 3Y1.91%
Revenue Next 5Y3.26%
EBIT growth 1Y476.21%
EBIT growth 3Y0.03%
EBIT growth 5Y-7.17%
EBIT Next Year48.14%
EBIT Next 3Y21.01%
EBIT Next 5YN/A
FCF growth 1Y3516.67%
FCF growth 3Y-40.93%
FCF growth 5Y-1.73%
OCF growth 1Y43.47%
OCF growth 3Y-32.38%
OCF growth 5Y-4.03%