PUBLICIS GROUPE (PUB.PA) Stock Fundamental Analysis
EPA:PUB - Euronext Paris - Matif - FR0000130577 - Common Stock - Currency: EUR
PUB gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 67 industry peers in the Media industry. PUB scores excellent on profitability, but there are some minor concerns on its financial health. PUB has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
PUB had positive earnings in the past year.
In the past year PUB had a positive cash flow from operations.
PUB had positive earnings in each of the past 5 years.
PUB 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 4.17%, PUB is in the better half of the industry, outperforming 67.16% of the companies in the same industry.
Looking at the Return On Equity, with a value of 15.01%, PUB is in the better half of the industry, outperforming 79.10% of the companies in the same industry.
The Return On Invested Capital of PUB (11.18%) is better than 88.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.17% | ||
| ROE | 15.01% | ||
| ROIC | 11.18% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
PUB has a better Profit Margin (10.36%) than 82.09% of its industry peers.
In the last couple of years the Profit Margin of PUB has grown nicely.
PUB has a Operating Margin of 14.50%. This is amongst the best in the industry. PUB outperforms 88.06% of its industry peers.
In the last couple of years the Operating Margin of PUB has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.5% | ||
| PM (TTM) | 10.36% | ||
| GM | N/A |
OM growth 3Y2.09%
OM growth 5Y1.63%
PM growth 3Y5.78%
PM growth 5Y6.26%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so PUB is still creating some value.
There is no outstanding debt for PUB. 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
Based on the Altman-Z score of 1.42, we must say that PUB is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.42, PUB perfoms like the industry average, outperforming 52.24% of the companies in the same industry.
The Debt to FCF ratio of PUB is 2.51, which is a good value as it means it would take PUB, 2.51 years of fcf income to pay off all of its debts.
PUB has a Debt to FCF ratio of 2.51. This is in the better half of the industry: PUB outperforms 79.10% of its industry peers.
PUB has a Debt/Equity ratio of 0.36. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.36, PUB is doing good in the industry, outperforming 67.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 2.51 | ||
| Altman-Z | 1.42 |
ROIC/WACC1.46
WACC7.67%
2.3 Liquidity
PUB has a Current Ratio of 0.91. This is a bad value and indicates that PUB is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.91, PUB perfoms like the industry average, outperforming 52.24% of the companies in the same industry.
A Quick Ratio of 0.90 indicates that PUB may have some problems paying its short term obligations.
PUB's Quick ratio of 0.90 is in line compared to the rest of the industry. PUB outperforms 59.70% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.9 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 4.89% over the past year.
Measured over the past 5 years, PUB shows a small growth in Earnings Per Share. The EPS has been growing by 7.78% on average per year.
Looking at the last year, PUB shows a quite strong growth in Revenue. The Revenue has grown by 8.30% in the last year.
Measured over the past years, PUB shows a small growth in Revenue. The Revenue has been growing by 7.82% on average per year.
EPS 1Y (TTM)4.89%
EPS 3Y13.29%
EPS 5Y7.78%
EPS Q2Q%4.53%
Revenue 1Y (TTM)8.3%
Revenue growth 3Y10.95%
Revenue growth 5Y7.82%
Sales Q2Q%7.31%
3.2 Future
The Earnings Per Share is expected to grow by 3.84% on average over the next years.
The Revenue is expected to grow by 6.61% on average over the next years.
EPS Next Y9.41%
EPS Next 2Y7.72%
EPS Next 3Y7.68%
EPS Next 5Y3.84%
Revenue Next Year7.57%
Revenue Next 2Y6.17%
Revenue Next 3Y6.61%
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
The Price/Earnings ratio is 12.98, which indicates a correct valuation of PUB.
The rest of the industry has a similar Price/Earnings ratio as PUB.
PUB's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.35.
Based on the Price/Forward Earnings ratio of 11.87, the valuation of PUB can be described as reasonable.
PUB's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 22.10. PUB is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.98 | ||
| Fwd PE | 11.87 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as PUB.
The rest of the industry has a similar Price/Free Cash Flow ratio as PUB.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.68 | ||
| EV/EBITDA | 8.16 |
4.3 Compensation for Growth
PUB's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PUB has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.38
PEG (5Y)1.67
EPS Next 2Y7.72%
EPS Next 3Y7.68%
5. Dividend
5.1 Amount
PUB has a Yearly Dividend Yield of 3.89%. Purely for dividend investing, there may be better candidates out there.
PUB's Dividend Yield is a higher than the industry average which is at 4.47.
PUB's Dividend Yield is rather good when compared to the S&P500 average which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.89% |
5.2 History
On average, the dividend of PUB grows each year by 25.77%, which is quite nice.
Dividend Growth(5Y)25.77%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
PUB pays out 51.39% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of PUB is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP51.39%
EPS Next 2Y7.72%
EPS Next 3Y7.68%
EPA:PUB (3/7/2025, 7:00:00 PM)
94.78
+2.12 (+2.29%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners63.19%
Inst Owner ChangeN/A
Ins Owners9.24%
Ins Owner ChangeN/A
Market Cap24.10B
Analysts81
Price Target121.07 (27.74%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.89% |
Yearly Dividend2.89
Dividend Growth(5Y)25.77%
DP51.39%
Div Incr Years1
Div Non Decr Years1
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)2.52%
PT rev (3m)4.67%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0.93%
EPS NY rev (3m)2.35%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)1.41%
Revenue NY rev (3m)2.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.98 | ||
| Fwd PE | 11.87 | ||
| P/S | 1.5 | ||
| P/FCF | 11.68 | ||
| P/OCF | 10.48 | ||
| P/B | 2.18 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.16 |
EPS(TTM)7.3
EY7.7%
EPS(NY)7.99
Fwd EY8.43%
FCF(TTM)8.11
FCFY8.56%
OCF(TTM)9.05
OCFY9.55%
SpS63.03
BVpS43.49
TBVpS-15.15
PEG (NY)1.38
PEG (5Y)1.67
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.17% | ||
| ROE | 15.01% | ||
| ROCE | 14.77% | ||
| ROIC | 11.18% | ||
| ROICexc | 14.54% | ||
| ROICexgc | N/A | ||
| OM | 14.5% | ||
| PM (TTM) | 10.36% | ||
| GM | N/A | ||
| FCFM | 12.87% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y2.09%
OM growth 5Y1.63%
PM growth 3Y5.78%
PM growth 5Y6.26%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 2.51 | ||
| Debt/EBITDA | 1.26 | ||
| Cap/Depr | 29.2% | ||
| Cap/Sales | 1.48% | ||
| Interest Coverage | 12.3 | ||
| Cash Conversion | 73.28% | ||
| Profit Quality | 124.28% | ||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.9 | ||
| Altman-Z | 1.42 |
F-Score7
WACC7.67%
ROIC/WACC1.46
Cap/Depr(3y)23.47%
Cap/Depr(5y)20.16%
Cap/Sales(3y)1.37%
Cap/Sales(5y)1.37%
Profit Quality(3y)149.41%
Profit Quality(5y)219.03%
High Growth Momentum
Growth
EPS 1Y (TTM)4.89%
EPS 3Y13.29%
EPS 5Y7.78%
EPS Q2Q%4.53%
EPS Next Y9.41%
EPS Next 2Y7.72%
EPS Next 3Y7.68%
EPS Next 5Y3.84%
Revenue 1Y (TTM)8.3%
Revenue growth 3Y10.95%
Revenue growth 5Y7.82%
Sales Q2Q%7.31%
Revenue Next Year7.57%
Revenue Next 2Y6.17%
Revenue Next 3Y6.61%
Revenue Next 5YN/A
EBIT growth 1Y23.15%
EBIT growth 3Y13.26%
EBIT growth 5Y9.58%
EBIT Next Year36.73%
EBIT Next 3Y14.06%
EBIT Next 5Y9.06%
FCF growth 1Y10.44%
FCF growth 3Y7.67%
FCF growth 5Y-0.45%
OCF growth 1Y12.35%
OCF growth 3Y8.69%
OCF growth 5Y-0.35%