PREMIER INC-CLASS A (PINC) Stock Fundamental Analysis
USA - NASDAQ:PINC - US74051N1028 - Common Stock
28.18 USD
+0.02 (+0.07%)
28.18 USD
0 (0%)
PINC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 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
In the past year PINC was profitable.
In the past year PINC had a positive cash flow from operations.
In the past 5 years PINC has always been profitable.
PINC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PINC has a Return On Assets of -1.08%. This is comparable to the rest of the industry: PINC outperforms 44.00% of its industry peers.
PINC's Return On Equity of -2.16% is in line compared to the rest of the industry. PINC outperforms 50.00% of its industry peers.
With a Return On Invested Capital value of 4.53%, PINC perfoms like the industry average, 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 9.38%.
| 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.
In the last couple of years the Operating Margin of PINC has declined.
PINC has a better Gross Margin (73.02%) than 88.00% of its industry peers.
PINC's Gross Margin has improved in the last couple of years.
| 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
PINC 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 PINC has been reduced compared to 1 year ago.
The number of shares outstanding for PINC has been reduced compared to 5 years ago.
The debt/assets ratio for PINC is higher compared to a year ago.
2.2 Solvency
PINC has an Altman-Z score of 0.95. This is a bad value and indicates that PINC is not financially healthy and even has some risk of bankruptcy.
PINC has a worse Altman-Z score (0.95) than 70.00% of its industry peers.
The Debt to FCF ratio of PINC is 3.43, which is a good value as it means it would take PINC, 3.43 years of fcf income to pay off 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 75.00% of its industry peers.
PINC has a Debt/Equity ratio of 0.38. This is a healthy value indicating a solid balance between debt and equity.
PINC has a better Debt to Equity ratio (0.38) than 65.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 3.43 | ||
| Altman-Z | 0.95 |
ROIC/WACC0.56
WACC8.15%
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 has a worse Current ratio (0.62) than 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
The earnings per share for PINC have decreased strongly by -30.73% in the last year.
PINC shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -10.94% yearly.
Looking at the last year, PINC shows a very negative growth in Revenue. The Revenue has decreased by -21.26% in the last year.
The Revenue has been decreasing by -4.87% on average over the past years.
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.
PINC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.21% yearly.
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
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.
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
With a Price/Earnings ratio of 18.66, PINC is valued on the expensive side.
73.00% of the companies in the same industry are more expensive than PINC, based on the Price/Earnings ratio.
PINC's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.07.
PINC is valuated correctly with a Price/Forward Earnings ratio of 16.78.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PINC indicates a somewhat cheap valuation: PINC is cheaper than 65.00% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of PINC to the average of the S&P500 Index (34.08), we can say PINC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.66 | ||
| 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 64.00% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, PINC is valued cheaper than 88.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.79 | ||
| EV/EBITDA | 12.5 |
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 2.57, PINC pays a better dividend. On top of this PINC pays more dividend than 95.00% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, PINC pays a bit more dividend than the S&P500 average.
| 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%
28.18
+0.02 (+0.07%)
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-10.01%
Ins Owners1.18%
Ins Owner Change12.59%
Market Cap2.33B
Revenue(TTM)1.00B
Net Income(TTM)-32.94M
Analysts51.67
Price Target27.54 (-2.27%)
Short Float %14.17%
Short Ratio7.67
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)0.53%
EPS NQ rev (3m)-2.78%
EPS NY rev (1m)0.12%
EPS NY rev (3m)-1.72%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.08%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.66 | ||
| Fwd PE | 16.78 | ||
| P/S | 2.32 | ||
| P/FCF | 8.79 | ||
| P/OCF | 6.66 | ||
| P/B | 1.52 | ||
| P/tB | 5.95 | ||
| EV/EBITDA | 12.5 |
EPS(TTM)1.51
EY5.36%
EPS(NY)1.68
Fwd EY5.96%
FCF(TTM)3.21
FCFY11.38%
OCF(TTM)4.23
OCFY15.01%
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
WACC8.15%
ROIC/WACC0.56
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 18.66 and the Price/Book (PB) ratio is 1.52.
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%.