KONINKLIJKE PHILIPS NV (PHI1.DE) Stock Fundamental Analysis
Europe - FRA:PHI1 - NL0000009538 - Common Stock
23.89 EUR
+0.17 (+0.72%)
We assign a fundamental rating of 3 out of 10 to PHI1. PHI1 was compared to 59 industry peers in the Health Care Equipment & Supplies industry. PHI1 may be in some trouble as it scores bad on both profitability and health. PHI1 has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year PHI1 was profitable.
In the past year PHI1 had a positive cash flow from operations.
In multiple years PHI1 reported negative net income over the last 5 years.
PHI1 had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of PHI1 (0.61%) is comparable to the rest of the industry.
PHI1 has a Return On Equity (1.56%) which is comparable to the rest of the industry.
PHI1 has a Return On Invested Capital of 4.00%. This is comparable to the rest of the industry: PHI1 outperforms 40.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.61% | ||
| ROE | 1.56% | ||
| ROIC | 4% |
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 PHI1 (0.91%) is comparable to the rest of the industry.
With a Operating Margin value of 6.11%, PHI1 perfoms like the industry average, outperforming 47.46% of the companies in the same industry.
PHI1's Operating Margin has declined in the last couple of years.
PHI1's Gross Margin of 43.85% is on the low side compared to the rest of the industry. PHI1 is outperformed by 66.10% of its industry peers.
PHI1'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
PHI1 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 PHI1 has been reduced compared to 1 year ago.
PHI1 has more shares outstanding than it did 5 years ago.
The debt/assets ratio for PHI1 is higher compared to a year ago.
2.2 Solvency
PHI1 has an Altman-Z score of 1.92. This is not the best score and indicates that PHI1 is in the grey zone with still only limited risk for bankruptcy at the moment.
PHI1 has a Altman-Z score of 1.92. This is comparable to the rest of the industry: PHI1 outperforms 42.37% of its industry peers.
The Debt to FCF ratio of PHI1 is 19.41, which is on the high side as it means it would take PHI1, 19.41 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of PHI1 (19.41) is comparable to the rest of the industry.
PHI1 has a Debt/Equity ratio of 0.69. This is a neutral value indicating PHI1 is somewhat dependend on debt financing.
PHI1 has a Debt to Equity ratio of 0.69. This is in the lower half of the industry: PHI1 underperforms 74.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 19.41 | ||
| Altman-Z | 1.92 |
ROIC/WACC0.65
WACC6.2%
2.3 Liquidity
A Current Ratio of 1.26 indicates that PHI1 should not have too much problems paying its short term obligations.
PHI1's Current ratio of 1.26 is on the low side compared to the rest of the industry. PHI1 is outperformed by 71.19% of its industry peers.
PHI1 has a Quick Ratio of 1.26. This is a bad value and indicates that PHI1 is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.81, PHI1 is doing worse than 67.80% of the companies in the same industry.
| 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.
PHI1 shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -7.17% yearly.
Looking at the last year, PHI1 shows a decrease in Revenue. The Revenue has decreased by -1.53% in the last year.
Measured over the past years, PHI1 shows a small growth in Revenue. The Revenue has been growing by 1.00% on average per year.
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
The Earnings Per Share is expected to grow by 12.35% on average over the next years. This is quite good.
Based on estimates for the next years, PHI1 will show a small growth in Revenue. The Revenue will grow by 3.00% on average per year.
EPS Next Y1.18%
EPS Next 2Y6.04%
EPS Next 3Y8.31%
EPS Next 5Y12.35%
Revenue Next Year-1.66%
Revenue Next 2Y0.97%
Revenue Next 3Y2.19%
Revenue Next 5Y3%
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
The Price/Earnings ratio is 16.59, which indicates a correct valuation of PHI1.
PHI1's Price/Earnings ratio is rather cheap when compared to the industry. PHI1 is cheaper than 91.53% of the companies in the same industry.
When comparing the Price/Earnings ratio of PHI1 to the average of the S&P500 Index (27.41), we can say PHI1 is valued slightly cheaper.
PHI1 is valuated correctly with a Price/Forward Earnings ratio of 15.34.
83.05% of the companies in the same industry are more expensive than PHI1, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.88. PHI1 is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.59 | ||
| Fwd PE | 15.34 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PHI1 is valued cheaply inside the industry as 81.36% of the companies are valued more expensively.
PHI1's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 53.01 | ||
| EV/EBITDA | 12.41 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)14.02
PEG (5Y)N/A
EPS Next 2Y6.04%
EPS Next 3Y8.31%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.05%, PHI1 has a reasonable but not impressive dividend return.
PHI1's Dividend Yield is rather good when compared to the industry average which is at 2.30. PHI1 pays more dividend than 88.14% of the companies in the same industry.
PHI1's Dividend Yield is a higher than the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.05% |
5.2 History
The dividend of PHI1 decreases each year by -70.49%.
Dividend Growth(5Y)-70.49%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
PHI1 pays out 0.62% of its income as dividend. This is a sustainable payout ratio.
DP0.62%
EPS Next 2Y6.04%
EPS Next 3Y8.31%
FRA:PHI1 (9/18/2025, 7:00:00 PM)
23.89
+0.17 (+0.72%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners42.8%
Inst Owner ChangeN/A
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap23.00B
Analysts75.38
Price Target27.41 (14.73%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.05% |
Yearly Dividend0
Dividend Growth(5Y)-70.49%
DP0.62%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
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)1.46%
PT rev (3m)0.89%
EPS NQ rev (1m)1.27%
EPS NQ rev (3m)-12.9%
EPS NY rev (1m)-7.96%
EPS NY rev (3m)-7.96%
Revenue NQ rev (1m)0.05%
Revenue NQ rev (3m)-5.99%
Revenue NY rev (1m)-0.91%
Revenue NY rev (3m)-2.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.59 | ||
| Fwd PE | 15.34 | ||
| P/S | 1.29 | ||
| P/FCF | 53.01 | ||
| P/OCF | 20.93 | ||
| P/B | 2.22 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.41 |
EPS(TTM)1.44
EY6.03%
EPS(NY)1.56
Fwd EY6.52%
FCF(TTM)0.45
FCFY1.89%
OCF(TTM)1.14
OCFY4.78%
SpS18.54
BVpS10.78
TBVpS-1.76
PEG (NY)14.02
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.61% | ||
| ROE | 1.56% | ||
| ROCE | 5.69% | ||
| ROIC | 4% | ||
| ROICexc | 4.43% | ||
| ROICexgc | 14.55% | ||
| 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 | 1.92 |
F-Score8
WACC6.2%
ROIC/WACC0.65
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 Y1.18%
EPS Next 2Y6.04%
EPS Next 3Y8.31%
EPS Next 5Y12.35%
Revenue 1Y (TTM)-1.53%
Revenue growth 3Y1.65%
Revenue growth 5Y1%
Sales Q2Q%-2.12%
Revenue Next Year-1.66%
Revenue Next 2Y0.97%
Revenue Next 3Y2.19%
Revenue Next 5Y3%
EBIT growth 1Y476.21%
EBIT growth 3Y0.03%
EBIT growth 5Y-7.17%
EBIT Next Year50.08%
EBIT Next 3Y20.59%
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%