KERING (PPX.DE) Stock Fundamental Analysis
FRA:PPX - Deutsche Boerse Ag - FR0000121485 - Common Stock - Currency: EUR
Taking everything into account, PPX scores 4 out of 10 in our fundamental rating. PPX was compared to 42 industry peers in the Textiles, Apparel & Luxury Goods industry. PPX has a medium profitability rating, but doesn't score so well on its financial health evaluation. PPX has a valuation in line with the averages, but it does not seem to be growing. PPX also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
PPX had positive earnings in the past year.
In the past year PPX had a positive cash flow from operations.
PPX had positive earnings in each of the past 5 years.
In the past 5 years PPX always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 4.93%, PPX perfoms like the industry average, outperforming 57.50% of the companies in the same industry.
PPX has a Return On Equity of 13.93%. This is comparable to the rest of the industry: PPX outperforms 57.50% of its industry peers.
The Return On Invested Capital of PPX (7.33%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for PPX is in line with the industry average of 11.32%.
The 3 year average ROIC (13.24%) for PPX is well above the current ROIC(7.33%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.93% | ||
| ROE | 13.93% | ||
| ROIC | 7.33% |
ROA(3y)9.36%
ROA(5y)8.85%
ROE(3y)23.07%
ROE(5y)21.97%
ROIC(3y)13.24%
ROIC(5y)13.34%
1.3 Margins
PPX's Profit Margin of 11.25% is fine compared to the rest of the industry. PPX outperforms 75.00% of its industry peers.
In the last couple of years the Profit Margin of PPX has declined.
With a decent Operating Margin value of 19.36%, PPX is doing good in the industry, outperforming 72.50% of the companies in the same industry.
PPX's Operating Margin has declined in the last couple of years.
PPX's Gross Margin of 75.37% is fine compared to the rest of the industry. PPX outperforms 80.00% of its industry peers.
PPX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.36% | ||
| PM (TTM) | 11.25% | ||
| GM | 75.37% |
OM growth 3Y0.82%
OM growth 5Y-3.4%
PM growth 3Y-2.43%
PM growth 5Y-10.92%
GM growth 3Y1.67%
GM growth 5Y0.44%
2. Health
2.1 Basic Checks
PPX has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for PPX has been increased compared to 1 year ago.
The number of shares outstanding for PPX has been reduced compared to 5 years ago.
PPX has a worse debt/assets ratio than last year.
2.2 Solvency
PPX has an Altman-Z score of 1.98. This is not the best score and indicates that PPX is in the grey zone with still only limited risk for bankruptcy at the moment.
PPX has a Altman-Z score (1.98) which is comparable to the rest of the industry.
The Debt to FCF ratio of PPX is 8.51, which is on the high side as it means it would take PPX, 8.51 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 8.51, PPX is not doing good in the industry: 72.50% of the companies in the same industry are doing better.
A Debt/Equity ratio of 1.11 is on the high side and indicates that PPX has dependencies on debt financing.
The Debt to Equity ratio of PPX (1.11) is worse than 72.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.11 | ||
| Debt/FCF | 8.51 | ||
| Altman-Z | 1.98 |
ROIC/WACC1.18
WACC6.23%
2.3 Liquidity
A Current Ratio of 1.38 indicates that PPX should not have too much problems paying its short term obligations.
PPX has a Current ratio of 1.38. This is in the lower half of the industry: PPX underperforms 72.50% of its industry peers.
PPX has a Quick Ratio of 1.38. This is a bad value and indicates that PPX is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of PPX (0.87) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.38 | ||
| Quick Ratio | 0.87 |
3. Growth
3.1 Past
The earnings per share for PPX have decreased strongly by -39.59% in the last year.
The Earnings Per Share has been growing slightly by 2.27% on average over the past years.
The Revenue for PPX has decreased by -10.25% in the past year. This is quite bad
PPX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.44% yearly.
EPS 1Y (TTM)-39.59%
EPS 3Y16.59%
EPS 5Y2.27%
EPS Q2Q%-51.03%
Revenue 1Y (TTM)-10.25%
Revenue growth 3Y14.31%
Revenue growth 5Y7.44%
Sales Q2Q%-11.02%
3.2 Future
PPX is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.87% yearly.
Based on estimates for the next years, PPX will show a small growth in Revenue. The Revenue will grow by 1.37% on average per year.
EPS Next Y-53.45%
EPS Next 2Y-28.52%
EPS Next 3Y-14.34%
EPS Next 5Y6.87%
Revenue Next Year-12.78%
Revenue Next 2Y-5.85%
Revenue Next 3Y-2.04%
Revenue Next 5Y1.37%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 14.19, PPX is valued correctly.
Based on the Price/Earnings ratio, PPX is valued cheaply inside the industry as 85.00% of the companies are valued more expensively.
PPX is valuated cheaply when we compare the Price/Earnings ratio to 28.47, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 19.49 indicates a rather expensive valuation of PPX.
PPX's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. PPX is cheaper than 67.50% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 92.74. PPX is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.19 | ||
| Fwd PE | 19.49 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PPX is on the same level as its industry peers.
PPX's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.99 | ||
| EV/EBITDA | 7.92 |
4.3 Compensation for Growth
PPX has a very decent profitability rating, which may justify a higher PE ratio.
PPX's earnings are expected to decrease with -14.34% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)6.27
EPS Next 2Y-28.52%
EPS Next 3Y-14.34%
5. Dividend
5.1 Amount
PPX has a Yearly Dividend Yield of 4.49%, which is a nice return.
PPX's Dividend Yield is rather good when compared to the industry average which is at 2.87. PPX pays more dividend than 90.00% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.28, PPX pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.49% |
5.2 History
On average, the dividend of PPX grows each year by 18.45%, which is quite nice.
Dividend Growth(5Y)18.45%
Div Incr Years2
Div Non Decr Years3
5.3 Sustainability
82.66% of the earnings are spent on dividend by PPX. This is not a sustainable payout ratio.
PPX's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP82.66%
EPS Next 2Y-28.52%
EPS Next 3Y-14.34%
KERING
FRA:PPX (2/4/2025, 7:00:00 PM)
249.1
+7.05 (+2.91%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)
Earnings (Next)
Inst Owners28.99%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap30.74B
Analysts54.86
Price Target250.63 (0.61%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.49% |
Yearly Dividend13.99
Dividend Growth(5Y)18.45%
DP82.66%
Div Incr Years2
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
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)-0.99%
PT rev (3m)-8.02%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-1.97%
EPS NY rev (3m)-1.97%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.61%
Revenue NY rev (3m)-0.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.19 | ||
| Fwd PE | 19.49 | ||
| P/S | 1.67 | ||
| P/FCF | 13.99 | ||
| P/OCF | 7.13 | ||
| P/B | 2.06 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.92 |
EPS(TTM)17.55
EY7.05%
EPS(NY)12.78
Fwd EY5.13%
FCF(TTM)17.81
FCFY7.15%
OCF(TTM)34.91
OCFY14.02%
SpS149.48
BVpS120.73
TBVpS-3.03
PEG (NY)N/A
PEG (5Y)6.27
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.93% | ||
| ROE | 13.93% | ||
| ROCE | 10.6% | ||
| ROIC | 7.33% | ||
| ROICexc | 8.26% | ||
| ROICexgc | 16.13% | ||
| OM | 19.36% | ||
| PM (TTM) | 11.25% | ||
| GM | 75.37% | ||
| FCFM | 11.91% |
ROA(3y)9.36%
ROA(5y)8.85%
ROE(3y)23.07%
ROE(5y)21.97%
ROIC(3y)13.24%
ROIC(5y)13.34%
ROICexc(3y)16.11%
ROICexc(5y)15.88%
ROICexgc(3y)33.65%
ROICexgc(5y)33.45%
ROCE(3y)19.27%
ROCE(5y)19.44%
ROICexcg growth 3Y-1.86%
ROICexcg growth 5Y-22.55%
ROICexc growth 3Y-1.87%
ROICexc growth 5Y-11.99%
OM growth 3Y0.82%
OM growth 5Y-3.4%
PM growth 3Y-2.43%
PM growth 5Y-10.92%
GM growth 3Y1.67%
GM growth 5Y0.44%
F-Score3
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.11 | ||
| Debt/FCF | 8.51 | ||
| Debt/EBITDA | 3 | ||
| Cap/Depr | 107.81% | ||
| Cap/Sales | 11.44% | ||
| Interest Coverage | 7.88 | ||
| Cash Conversion | 77.93% | ||
| Profit Quality | 105.88% | ||
| Current Ratio | 1.38 | ||
| Quick Ratio | 0.87 | ||
| Altman-Z | 1.98 |
F-Score3
WACC6.23%
ROIC/WACC1.18
Cap/Depr(3y)90.59%
Cap/Depr(5y)80.64%
Cap/Sales(3y)7.97%
Cap/Sales(5y)7.18%
Profit Quality(3y)91.51%
Profit Quality(5y)88.73%
High Growth Momentum
Growth
EPS 1Y (TTM)-39.59%
EPS 3Y16.59%
EPS 5Y2.27%
EPS Q2Q%-51.03%
EPS Next Y-53.45%
EPS Next 2Y-28.52%
EPS Next 3Y-14.34%
EPS Next 5Y6.87%
Revenue 1Y (TTM)-10.25%
Revenue growth 3Y14.31%
Revenue growth 5Y7.44%
Sales Q2Q%-11.02%
Revenue Next Year-12.78%
Revenue Next 2Y-5.85%
Revenue Next 3Y-2.04%
Revenue Next 5Y1.37%
EBIT growth 1Y-33.69%
EBIT growth 3Y15.24%
EBIT growth 5Y3.79%
EBIT Next Year-12.49%
EBIT Next 3Y1.99%
EBIT Next 5Y-1.72%
FCF growth 1Y-39.33%
FCF growth 3Y-4.13%
FCF growth 5Y-6.39%
OCF growth 1Y-5.76%
OCF growth 3Y15.63%
OCF growth 5Y5.58%