PHINIA INC (PHIN) Stock Fundamental Analysis
NYSE:PHIN - New York Stock Exchange, Inc. - US71880K1016 - Common Stock - Currency: USD
We assign a fundamental rating of 3 out of 10 to PHIN. PHIN was compared to 83 industry peers in the Automobile Components industry. PHIN may be in some trouble as it scores bad on both profitability and health. PHIN has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
PHIN had positive earnings in the past year.
PHIN had a positive operating cash flow in the past year.
In multiple years PHIN reported negative net income over the last 5 years.
In multiple years PHIN reported negative operating cash flow during the last 5 years.
1.2 Ratios
The Return On Assets of PHIN (2.36%) is worse than 69.88% of its industry peers.
PHIN has a worse Return On Equity (5.58%) than 69.88% of its industry peers.
PHIN's Return On Invested Capital of 7.00% is on the low side compared to the rest of the industry. PHIN is outperformed by 66.27% of its industry peers.
PHIN had an Average Return On Invested Capital over the past 3 years of 6.60%. This is below the industry average of 9.58%.
The last Return On Invested Capital (7.00%) for PHIN is above the 3 year average (6.60%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.36% | ||
| ROE | 5.58% | ||
| ROIC | 7% |
ROA(3y)4.2%
ROA(5y)N/A
ROE(3y)10.08%
ROE(5y)N/A
ROIC(3y)6.6%
ROIC(5y)N/A
1.3 Margins
With a Profit Margin value of 2.75%, PHIN is not doing good in the industry: 65.06% of the companies in the same industry are doing better.
PHIN has a Operating Margin (9.73%) which is in line with its industry peers.
In the last couple of years the Operating Margin of PHIN has grown nicely.
PHIN has a worse Gross Margin (21.81%) than 68.67% of its industry peers.
In the last couple of years the Gross Margin of PHIN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.73% | ||
| PM (TTM) | 2.75% | ||
| GM | 21.81% |
OM growth 3Y39.81%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y6.92%
GM growth 5YN/A
2. Health
2.1 Basic Checks
PHIN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
There is no outstanding debt for PHIN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
PHIN has an Altman-Z score of 2.01. This is not the best score and indicates that PHIN is in the grey zone with still only limited risk for bankruptcy at the moment.
PHIN's Altman-Z score of 2.01 is on the low side compared to the rest of the industry. PHIN is outperformed by 69.88% of its industry peers.
The Debt to FCF ratio of PHIN is 5.51, which is a neutral value as it means it would take PHIN, 5.51 years of fcf income to pay off all of its debts.
PHIN has a Debt to FCF ratio of 5.51. This is in the lower half of the industry: PHIN underperforms 66.27% of its industry peers.
PHIN has a Debt/Equity ratio of 0.58. This is a neutral value indicating PHIN is somewhat dependend on debt financing.
The Debt to Equity ratio of PHIN (0.58) is worse than 77.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 5.51 | ||
| Altman-Z | 2.01 |
ROIC/WACC0.87
WACC8.01%
2.3 Liquidity
PHIN has a Current Ratio of 1.93. This is a normal value and indicates that PHIN is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.93, PHIN is in the better half of the industry, outperforming 74.70% of the companies in the same industry.
PHIN has a Quick Ratio of 1.46. This is a normal value and indicates that PHIN is financially healthy and should not expect problems in meeting its short term obligations.
With an excellent Quick ratio value of 1.46, PHIN belongs to the best of the industry, outperforming 83.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.93 | ||
| Quick Ratio | 1.46 |
3. Growth
3.1 Past
EPS 1Y (TTM)N/A
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-5.56%
3.2 Future
The Earnings Per Share is expected to grow by 13.64% on average over the next years. This is quite good.
PHIN is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.05% yearly.
EPS Next Y12.57%
EPS Next 2Y16.07%
EPS Next 3Y13.64%
EPS Next 5YN/A
Revenue Next Year-0.87%
Revenue Next 2Y0.8%
Revenue Next 3Y-0.05%
Revenue Next 5YN/A
3.3 Evolution
4. Valuation
4.1 Price/Earnings Ratio
PHIN is valuated correctly with a Price/Earnings ratio of 13.19.
The rest of the industry has a similar Price/Earnings ratio as PHIN.
PHIN's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.63.
The Price/Forward Earnings ratio is 11.72, which indicates a very decent valuation of PHIN.
PHIN's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of PHIN to the average of the S&P500 Index (22.68), we can say PHIN is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.19 | ||
| Fwd PE | 11.72 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PHIN indicates a somewhat cheap valuation: PHIN is cheaper than 60.24% of the companies listed in the same industry.
PHIN's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.9 | ||
| EV/EBITDA | 5.47 |
4.3 Compensation for Growth
PHIN's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as PHIN's earnings are expected to grow with 13.64% in the coming years.
PEG (NY)1.05
PEG (5Y)N/A
EPS Next 2Y16.07%
EPS Next 3Y13.64%
5. Dividend
5.1 Amount
PHIN has a Yearly Dividend Yield of 2.03%.
PHIN's Dividend Yield is comparable with the industry average which is at 4.03.
PHIN's Dividend Yield is comparable with the S&P500 average which is at 2.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.03% |
5.2 History
PHIN has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
46.32% of the earnings are spent on dividend by PHIN. This is a bit on the high side, but may be sustainable.
DP46.32%
EPS Next 2Y16.07%
EPS Next 3Y13.64%
50.66
-2.48 (-4.67%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners105.27%
Inst Owner Change-3.34%
Ins Owners1.86%
Ins Owner Change-2.86%
Market Cap2.13B
Analysts80
Price Target58.14 (14.77%)
Short Float %5.96%
Short Ratio4.9
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.03% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP46.32%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.98%
Min EPS beat(2)-24.98%
Max EPS beat(2)34.95%
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)3.75%
PT rev (3m)3.75%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)-0.57%
EPS NY rev (3m)-0.57%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-0.23%
Revenue NY rev (3m)-0.81%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.19 | ||
| Fwd PE | 11.72 | ||
| P/S | 0.62 | ||
| P/FCF | 11.9 | ||
| P/OCF | 7.17 | ||
| P/B | 1.25 | ||
| P/tB | 2.63 | ||
| EV/EBITDA | 5.47 |
EPS(TTM)3.84
EY7.58%
EPS(NY)4.32
Fwd EY8.53%
FCF(TTM)4.26
FCFY8.4%
OCF(TTM)7.06
OCFY13.94%
SpS82.07
BVpS40.51
TBVpS19.28
PEG (NY)1.05
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.36% | ||
| ROE | 5.58% | ||
| ROCE | 11.19% | ||
| ROIC | 7% | ||
| ROICexc | 8.32% | ||
| ROICexgc | 12.87% | ||
| OM | 9.73% | ||
| PM (TTM) | 2.75% | ||
| GM | 21.81% | ||
| FCFM | 5.19% |
ROA(3y)4.2%
ROA(5y)N/A
ROE(3y)10.08%
ROE(5y)N/A
ROIC(3y)6.6%
ROIC(5y)N/A
ROICexc(3y)7.35%
ROICexc(5y)N/A
ROICexgc(3y)11.38%
ROICexgc(5y)N/A
ROCE(3y)10.58%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y39.81%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y6.92%
GM growth 5YN/A
F-Score7
Asset Turnover0.86
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 5.51 | ||
| Debt/EBITDA | 1.97 | ||
| Cap/Depr | 71.08% | ||
| Cap/Sales | 3.42% | ||
| Interest Coverage | 10.18 | ||
| Cash Conversion | 59.16% | ||
| Profit Quality | 188.42% | ||
| Current Ratio | 1.93 | ||
| Quick Ratio | 1.46 | ||
| Altman-Z | 2.01 |
F-Score7
WACC8.01%
ROIC/WACC0.87
Cap/Depr(3y)74.08%
Cap/Depr(5y)N/A
Cap/Sales(3y)4%
Cap/Sales(5y)N/A
Profit Quality(3y)57.84%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)N/A
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
EPS Next Y12.57%
EPS Next 2Y16.07%
EPS Next 3Y13.64%
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-5.56%
Revenue Next Year-0.87%
Revenue Next 2Y0.8%
Revenue Next 3Y-0.05%
Revenue Next 5YN/A
EBIT growth 1Y-7.5%
EBIT growth 3Y109.92%
EBIT growth 5YN/A
EBIT Next Year60.59%
EBIT Next 3Y19.17%
EBIT Next 5YN/A
FCF growth 1Y-48.98%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-17.49%
OCF growth 3YN/A
OCF growth 5YN/A