PREMIER INC-CLASS A (PINC) Stock Fundamental Analysis
USA - NASDAQ:PINC - US74051N1028 - Common Stock
28.19 USD
+0.03 (+0.11%)
28.19 USD
0 (0%)
Taking everything into account, PINC scores 4 out of 10 in our fundamental rating. PINC was compared to 100 industry peers in the Health Care Providers & Services industry. There are concerns on the financial health of PINC while its profitability can be described as average. PINC has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
PINC had positive earnings in the past year.
PINC had a positive operating cash flow in the past year.
PINC had positive earnings in each of the past 5 years.
PINC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of PINC (-1.08%) is comparable to the rest of the industry.
PINC has a Return On Equity (-2.16%) which is comparable to the rest of the industry.
Looking at the Return On Invested Capital, with a value of 4.53%, PINC is in line with its industry, outperforming 53.00% of the companies in the same industry.
PINC had an Average Return On Invested Capital over the past 3 years of 6.34%. This is below the industry average of 9.45%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.08% | ||
| ROE | -2.16% | ||
| ROIC | 4.53% |
ROA(3y)3.12%
ROA(5y)4.94%
ROE(3y)4.97%
ROE(5y)7.69%
ROIC(3y)6.34%
ROIC(5y)6.59%
1.3 Margins
PINC's Profit Margin has declined in the last couple of years.
With an excellent Operating Margin value of 13.63%, PINC belongs to the best of the industry, outperforming 84.00% of the companies in the same industry.
PINC's Operating Margin has declined in the last couple of years.
The Gross Margin of PINC (73.02%) is better than 88.00% of its industry peers.
In the last couple of years the Gross Margin of PINC has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.63% | ||
| PM (TTM) | N/A | ||
| GM | 73.02% |
OM growth 3Y-7.48%
OM growth 5Y-11.75%
PM growth 3Y-52.4%
PM growth 5Y-46.59%
GM growth 3Y5.93%
GM growth 5Y1.94%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PINC is destroying value.
PINC has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, PINC has less shares outstanding
Compared to 1 year ago, PINC has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.95, we must say that PINC is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.95, PINC is not doing good in the industry: 70.00% of the companies in the same industry are doing better.
PINC has a debt to FCF ratio of 3.43. This is a good value and a sign of high solvency as PINC would need 3.43 years to pay back of all of its debts.
PINC has a Debt to FCF ratio of 3.43. This is in the better half of the industry: PINC outperforms 74.00% of its industry peers.
A Debt/Equity ratio of 0.38 indicates that PINC is not too dependend on debt financing.
The Debt to Equity ratio of PINC (0.38) is better than 65.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 3.43 | ||
| Altman-Z | 0.95 |
ROIC/WACC0.55
WACC8.22%
2.3 Liquidity
PINC has a Current Ratio of 0.62. This is a bad value and indicates that PINC is not financially healthy enough and could expect problems in meeting its short term obligations.
PINC's Current ratio of 0.62 is on the low side compared to the rest of the industry. PINC is outperformed by 88.00% of its industry peers.
PINC has a Quick Ratio of 0.62. This is a bad value and indicates that PINC is not financially healthy enough and could expect problems in meeting its short term obligations.
PINC's Quick ratio of 0.62 is on the low side compared to the rest of the industry. PINC is outperformed by 84.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.62 |
3. Growth
3.1 Past
PINC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -30.73%.
Measured over the past years, PINC shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -10.94% on average per year.
PINC shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -21.26%.
PINC shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -4.87% yearly.
EPS 1Y (TTM)-30.73%
EPS 3Y-15.66%
EPS 5Y-10.94%
EPS Q2Q%-5.88%
Revenue 1Y (TTM)-21.26%
Revenue growth 3Y-10.93%
Revenue growth 5Y-4.87%
Sales Q2Q%-0.12%
3.2 Future
Based on estimates for the next years, PINC will show a small growth in Earnings Per Share. The EPS will grow by 5.24% on average per year.
The Revenue is expected to grow by 1.21% on average over the next years.
EPS Next Y-8.56%
EPS Next 2Y4.77%
EPS Next 3Y3.87%
EPS Next 5Y5.24%
Revenue Next Year-1.31%
Revenue Next 2Y0.89%
Revenue Next 3Y1.88%
Revenue Next 5Y1.21%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
PINC is valuated rather expensively with a Price/Earnings ratio of 18.67.
Based on the Price/Earnings ratio, PINC is valued a bit cheaper than the industry average as 72.00% of the companies are valued more expensively.
PINC is valuated rather cheaply when we compare the Price/Earnings ratio to 25.89, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 16.78 indicates a correct valuation of PINC.
PINC's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. PINC is cheaper than 68.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.59. PINC is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.67 | ||
| Fwd PE | 16.78 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PINC is valued a bit cheaper than the industry average as 63.00% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PINC indicates a rather cheap valuation: PINC is cheaper than 88.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.79 | ||
| EV/EBITDA | 12.49 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y4.77%
EPS Next 3Y3.87%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.98%, PINC has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.55, PINC pays a better dividend. On top of this PINC pays more dividend than 95.00% of the companies listed in the same industry.
PINC's Dividend Yield is a higher than the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.98% |
5.2 History
PINC has been paying a dividend for over 5 years, so it has already some track record.
PINC has decreased its dividend recently.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
PINC has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-226.75%
EPS Next 2Y4.77%
EPS Next 3Y3.87%
28.19
+0.03 (+0.11%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners94.33%
Inst Owner Change-1.43%
Ins Owners1.18%
Ins Owner Change9.21%
Market Cap2.33B
Revenue(TTM)1.00B
Net Income(TTM)-32.94M
Analysts51.67
Price Target27.54 (-2.31%)
Short Float %11.29%
Short Ratio4.94
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.98% |
Yearly Dividend0.83
Dividend Growth(5Y)N/A
DP-226.75%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)24.06%
Min EPS beat(2)15.48%
Max EPS beat(2)32.64%
EPS beat(4)3
Avg EPS beat(4)21.75%
Min EPS beat(4)-10.51%
Max EPS beat(4)49.39%
EPS beat(8)7
Avg EPS beat(8)21.58%
EPS beat(12)10
Avg EPS beat(12)15.23%
EPS beat(16)12
Avg EPS beat(16)11%
Revenue beat(2)1
Avg Revenue beat(2)0.86%
Min Revenue beat(2)-2.31%
Max Revenue beat(2)4.04%
Revenue beat(4)2
Avg Revenue beat(4)1.29%
Min Revenue beat(4)-3.15%
Max Revenue beat(4)6.57%
Revenue beat(8)5
Avg Revenue beat(8)2.19%
Revenue beat(12)6
Avg Revenue beat(12)-0.13%
Revenue beat(16)9
Avg Revenue beat(16)0%
PT rev (1m)0%
PT rev (3m)21.15%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-24.54%
EPS NY rev (1m)0.12%
EPS NY rev (3m)-1.72%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.06%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.67 | ||
| Fwd PE | 16.78 | ||
| P/S | 2.32 | ||
| P/FCF | 8.79 | ||
| P/OCF | 6.67 | ||
| P/B | 1.53 | ||
| P/tB | 5.95 | ||
| EV/EBITDA | 12.49 |
EPS(TTM)1.51
EY5.36%
EPS(NY)1.68
Fwd EY5.96%
FCF(TTM)3.21
FCFY11.38%
OCF(TTM)4.23
OCFY15%
SpS12.15
BVpS18.48
TBVpS4.74
PEG (NY)N/A
PEG (5Y)N/A
Graham Number25.06
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.08% | ||
| ROE | -2.16% | ||
| ROCE | 6.23% | ||
| ROIC | 4.53% | ||
| ROICexc | 4.62% | ||
| ROICexgc | 9.79% | ||
| OM | 13.63% | ||
| PM (TTM) | N/A | ||
| GM | 73.02% | ||
| FCFM | 26.4% |
ROA(3y)3.12%
ROA(5y)4.94%
ROE(3y)4.97%
ROE(5y)7.69%
ROIC(3y)6.34%
ROIC(5y)6.59%
ROICexc(3y)6.61%
ROICexc(5y)6.86%
ROICexgc(3y)14.53%
ROICexgc(5y)14.89%
ROCE(3y)8.73%
ROCE(5y)9.06%
ROICexgc growth 3Y-12%
ROICexgc growth 5Y-15.35%
ROICexc growth 3Y-12.48%
ROICexc growth 5Y-14.13%
OM growth 3Y-7.48%
OM growth 5Y-11.75%
PM growth 3Y-52.4%
PM growth 5Y-46.59%
GM growth 3Y5.93%
GM growth 5Y1.94%
F-Score5
Asset Turnover0.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 3.43 | ||
| Debt/EBITDA | 2.25 | ||
| Cap/Depr | 71.06% | ||
| Cap/Sales | 8.41% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 136.72% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.62 | ||
| Altman-Z | 0.95 |
F-Score5
WACC8.22%
ROIC/WACC0.55
Cap/Depr(3y)64.9%
Cap/Depr(5y)67.16%
Cap/Sales(3y)7.16%
Cap/Sales(5y)6.55%
Profit Quality(3y)653.29%
Profit Quality(5y)443.24%
High Growth Momentum
Growth
EPS 1Y (TTM)-30.73%
EPS 3Y-15.66%
EPS 5Y-10.94%
EPS Q2Q%-5.88%
EPS Next Y-8.56%
EPS Next 2Y4.77%
EPS Next 3Y3.87%
EPS Next 5Y5.24%
Revenue 1Y (TTM)-21.26%
Revenue growth 3Y-10.93%
Revenue growth 5Y-4.87%
Sales Q2Q%-0.12%
Revenue Next Year-1.31%
Revenue Next 2Y0.89%
Revenue Next 3Y1.88%
Revenue Next 5Y1.21%
EBIT growth 1Y-43.98%
EBIT growth 3Y-17.59%
EBIT growth 5Y-16.04%
EBIT Next Year37.91%
EBIT Next 3Y14.87%
EBIT Next 5YN/A
FCF growth 1Y-27.72%
FCF growth 3Y-3.69%
FCF growth 5Y4.56%
OCF growth 1Y-22.58%
OCF growth 3Y-3.32%
OCF growth 5Y2.81%
PREMIER INC-CLASS A / PINC FAQ
Can you provide the ChartMill fundamental rating for PREMIER INC-CLASS A?
ChartMill assigns a fundamental rating of 4 / 10 to PINC.
Can you provide the valuation status for PREMIER INC-CLASS A?
ChartMill assigns a valuation rating of 5 / 10 to PREMIER INC-CLASS A (PINC). This can be considered as Fairly Valued.
Can you provide the profitability details for PREMIER INC-CLASS A?
PREMIER INC-CLASS A (PINC) has a profitability rating of 5 / 10.
What is the valuation of PREMIER INC-CLASS A based on its PE and PB ratios?
The Price/Earnings (PE) ratio for PREMIER INC-CLASS A (PINC) is 18.67 and the Price/Book (PB) ratio is 1.53.
Can you provide the dividend sustainability for PINC stock?
The dividend rating of PREMIER INC-CLASS A (PINC) is 3 / 10 and the dividend payout ratio is -226.75%.