PRICESMART INC (PSMT) Stock Fundamental Analysis
USA - NASDAQ:PSMT - US7415111092 - Common Stock
118.18 USD
+1.39 (+1.19%)
Taking everything into account, PSMT scores 6 out of 10 in our fundamental rating. PSMT was compared to 40 industry peers in the Consumer Staples Distribution & Retail industry. Both the health and profitability get an excellent rating, making PSMT a very profitable company, without any liquidiy or solvency issues. PSMT is valied quite expensively at the moment, while it does show a decent growth rate. These ratings would make PSMT suitable for quality investing!
1. Profitability
1.1 Basic Checks
PSMT had positive earnings in the past year.
PSMT had a positive operating cash flow in the past year.
In the past 5 years PSMT has always been profitable.
PSMT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.65%, PSMT is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
PSMT has a Return On Equity of 11.74%. This is comparable to the rest of the industry: PSMT outperforms 52.50% of its industry peers.
The Return On Invested Capital of PSMT (10.59%) is better than 80.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PSMT is in line with the industry average of 8.47%.
The last Return On Invested Capital (10.59%) for PSMT is above the 3 year average (10.01%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.65% | ||
| ROE | 11.74% | ||
| ROIC | 10.59% |
ROA(3y)5.96%
ROA(5y)5.64%
ROE(3y)10.79%
ROE(5y)10.45%
ROIC(3y)10.01%
ROIC(5y)9.24%
1.3 Margins
The Profit Margin of PSMT (2.76%) is better than 65.00% of its industry peers.
In the last couple of years the Profit Margin of PSMT has grown nicely.
PSMT has a Operating Margin of 4.49%. This is amongst the best in the industry. PSMT outperforms 82.50% of its industry peers.
In the last couple of years the Operating Margin of PSMT has grown nicely.
Looking at the Gross Margin, with a value of 17.31%, PSMT is doing worse than 70.00% of the companies in the same industry.
In the last couple of years the Gross Margin of PSMT has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.49% | ||
| PM (TTM) | 2.76% | ||
| GM | 17.31% |
OM growth 3Y1.11%
OM growth 5Y4.71%
PM growth 3Y1.46%
PM growth 5Y4.41%
GM growth 3Y-1.08%
GM growth 5Y1.02%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), PSMT is creating some value.
The number of shares outstanding for PSMT has been reduced compared to 1 year ago.
PSMT has more shares outstanding than it did 5 years ago.
The debt/assets ratio for PSMT has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 5.82 indicates that PSMT is not in any danger for bankruptcy at the moment.
The Altman-Z score of PSMT (5.82) is better than 82.50% of its industry peers.
PSMT has a debt to FCF ratio of 1.31. This is a very positive value and a sign of high solvency as it would only need 1.31 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 1.31, PSMT belongs to the best of the industry, outperforming 85.00% of the companies in the same industry.
PSMT has a Debt/Equity ratio of 0.09. This is a healthy value indicating a solid balance between debt and equity.
PSMT's Debt to Equity ratio of 0.09 is fine compared to the rest of the industry. PSMT outperforms 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 1.31 | ||
| Altman-Z | 5.82 |
ROIC/WACC1.23
WACC8.58%
2.3 Liquidity
PSMT has a Current Ratio of 1.28. This is a normal value and indicates that PSMT is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Current ratio value of 1.28, PSMT is doing good in the industry, outperforming 65.00% of the companies in the same industry.
A Quick Ratio of 0.50 indicates that PSMT may have some problems paying its short term obligations.
PSMT has a worse Quick ratio (0.50) than 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.28 | ||
| Quick Ratio | 0.5 |
3. Growth
3.1 Past
PSMT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.75%, which is quite good.
The Earnings Per Share has been growing by 11.43% on average over the past years. This is quite good.
PSMT shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -13.52%.
The Revenue has been growing by 8.79% on average over the past years. This is quite good.
EPS 1Y (TTM)10.75%
EPS 3Y12.81%
EPS 5Y11.43%
EPS Q2Q%5.56%
Revenue 1Y (TTM)-13.52%
Revenue growth 3Y10.72%
Revenue growth 5Y8.79%
Sales Q2Q%7.15%
3.2 Future
PSMT is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.41% yearly.
Based on estimates for the next years, PSMT will show a quite strong growth in Revenue. The Revenue will grow by 9.74% on average per year.
EPS Next Y9.03%
EPS Next 2Y7.11%
EPS Next 3Y4.41%
EPS Next 5YN/A
Revenue Next Year8.04%
Revenue Next 2Y8.81%
Revenue Next 3Y9.74%
Revenue Next 5YN/A
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 decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 24.93, PSMT is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of PSMT is on the same level as its industry peers.
When comparing the Price/Earnings ratio of PSMT to the average of the S&P500 Index (27.20), we can say PSMT is valued inline with the index average.
PSMT is valuated rather expensively with a Price/Forward Earnings ratio of 22.54.
PSMT's Price/Forward Earnings is on the same level as the industry average.
PSMT's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.70.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.93 | ||
| Fwd PE | 22.54 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PSMT is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PSMT is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 39.19 | ||
| EV/EBITDA | 10.47 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of PSMT may justify a higher PE ratio.
PEG (NY)2.76
PEG (5Y)2.18
EPS Next 2Y7.11%
EPS Next 3Y4.41%
5. Dividend
5.1 Amount
PSMT has a Yearly Dividend Yield of 1.07%.
Compared to an average industry Dividend Yield of 2.01, PSMT pays a bit more dividend than its industry peers.
With a Dividend Yield of 1.07, PSMT pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.07% |
5.2 History
On average, the dividend of PSMT grows each year by 24.72%, which is quite nice.
PSMT has been paying a dividend for at least 10 years, so it has a reliable track record.
PSMT has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)24.72%
Div Incr Years3
Div Non Decr Years11
5.3 Sustainability
26.03% of the earnings are spent on dividend by PSMT. This is a low number and sustainable payout ratio.
PSMT's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP26.03%
EPS Next 2Y7.11%
EPS Next 3Y4.41%
NASDAQ:PSMT (9/18/2025, 12:10:02 PM)
118.18
+1.39 (+1.19%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners97.68%
Inst Owner Change1.95%
Ins Owners7.32%
Ins Owner Change-1.97%
Market Cap3.63B
Analysts82
Price Target108.72 (-8%)
Short Float %5.74%
Short Ratio7.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.07% |
Yearly Dividend2.15
Dividend Growth(5Y)24.72%
DP26.03%
Div Incr Years3
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.81%
Min EPS beat(2)0.09%
Max EPS beat(2)1.54%
EPS beat(4)2
Avg EPS beat(4)-4.6%
Min EPS beat(4)-10.82%
Max EPS beat(4)1.54%
EPS beat(8)5
Avg EPS beat(8)-2.95%
EPS beat(12)9
Avg EPS beat(12)3.42%
EPS beat(16)11
Avg EPS beat(16)0.31%
Revenue beat(2)0
Avg Revenue beat(2)-1.5%
Min Revenue beat(2)-1.6%
Max Revenue beat(2)-1.4%
Revenue beat(4)0
Avg Revenue beat(4)-1.19%
Min Revenue beat(4)-1.6%
Max Revenue beat(4)-0.48%
Revenue beat(8)1
Avg Revenue beat(8)-0.88%
Revenue beat(12)1
Avg Revenue beat(12)-1.3%
Revenue beat(16)3
Avg Revenue beat(16)-0.69%
PT rev (1m)0%
PT rev (3m)1.52%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-4.42%
EPS NY rev (1m)0.24%
EPS NY rev (3m)0.24%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.65%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)0.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.93 | ||
| Fwd PE | 22.54 | ||
| P/S | 0.7 | ||
| P/FCF | 39.19 | ||
| P/OCF | 16.44 | ||
| P/B | 2.99 | ||
| P/tB | 3.1 | ||
| EV/EBITDA | 10.47 |
EPS(TTM)4.74
EY4.01%
EPS(NY)5.24
Fwd EY4.44%
FCF(TTM)3.02
FCFY2.55%
OCF(TTM)7.19
OCFY6.08%
SpS167.97
BVpS39.49
TBVpS38.08
PEG (NY)2.76
PEG (5Y)2.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.65% | ||
| ROE | 11.74% | ||
| ROCE | 16.07% | ||
| ROIC | 10.59% | ||
| ROICexc | 12.9% | ||
| ROICexgc | 13.39% | ||
| OM | 4.49% | ||
| PM (TTM) | 2.76% | ||
| GM | 17.31% | ||
| FCFM | 1.8% |
ROA(3y)5.96%
ROA(5y)5.64%
ROE(3y)10.79%
ROE(5y)10.45%
ROIC(3y)10.01%
ROIC(5y)9.24%
ROICexc(3y)12.56%
ROICexc(5y)11.87%
ROICexgc(3y)13.1%
ROICexgc(5y)12.49%
ROCE(3y)15.11%
ROCE(5y)14.04%
ROICexcg growth 3Y3.99%
ROICexcg growth 5Y4.95%
ROICexc growth 3Y4.69%
ROICexc growth 5Y5.78%
OM growth 3Y1.11%
OM growth 5Y4.71%
PM growth 3Y1.46%
PM growth 5Y4.41%
GM growth 3Y-1.08%
GM growth 5Y1.02%
F-Score7
Asset Turnover2.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 1.31 | ||
| Debt/EBITDA | 0.33 | ||
| Cap/Depr | 147.62% | ||
| Cap/Sales | 2.48% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 69.34% | ||
| Profit Quality | 65.06% | ||
| Current Ratio | 1.28 | ||
| Quick Ratio | 0.5 | ||
| Altman-Z | 5.82 |
F-Score7
WACC8.58%
ROIC/WACC1.23
Cap/Depr(3y)192.6%
Cap/Depr(5y)183.17%
Cap/Sales(3y)3.21%
Cap/Sales(5y)3.15%
Profit Quality(3y)45.31%
Profit Quality(5y)71.22%
High Growth Momentum
Growth
EPS 1Y (TTM)10.75%
EPS 3Y12.81%
EPS 5Y11.43%
EPS Q2Q%5.56%
EPS Next Y9.03%
EPS Next 2Y7.11%
EPS Next 3Y4.41%
EPS Next 5YN/A
Revenue 1Y (TTM)-13.52%
Revenue growth 3Y10.72%
Revenue growth 5Y8.79%
Sales Q2Q%7.15%
Revenue Next Year8.04%
Revenue Next 2Y8.81%
Revenue Next 3Y9.74%
Revenue Next 5YN/A
EBIT growth 1Y-16.1%
EBIT growth 3Y11.95%
EBIT growth 5Y13.92%
EBIT Next Year47.87%
EBIT Next 3Y29.81%
EBIT Next 5YN/A
FCF growth 1Y-24.91%
FCF growth 3Y40.76%
FCF growth 5Y5.27%
OCF growth 1Y-8.76%
OCF growth 3Y17.74%
OCF growth 5Y4.04%