PERNOD RICARD SA (RI.PA) Stock Fundamental Analysis
EPA:RI - Euronext Paris - Matif - FR0000120693 - Common Stock - Currency: EUR
Overall RI gets a fundamental rating of 4 out of 10. We evaluated RI against 25 industry peers in the Beverages industry. RI has an average financial health and profitability rating. RI has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
RI had positive earnings in the past year.
In the past year RI had a positive cash flow from operations.
In the past 5 years RI has always been profitable.
In the past 5 years RI always reported a positive cash flow from operatings.
1.2 Ratios
RI has a Return On Assets of 2.76%. This is in the lower half of the industry: RI underperforms 61.54% of its industry peers.
Looking at the Return On Equity, with a value of 6.63%, RI is in line with its industry, outperforming 42.31% of the companies in the same industry.
The Return On Invested Capital of RI (6.20%) is worse than 61.54% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for RI is in line with the industry average of 7.88%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.76% | ||
| ROE | 6.63% | ||
| ROIC | 6.2% |
ROA(3y)5.1%
ROA(5y)4.08%
ROE(3y)12.09%
ROE(5y)9.49%
ROIC(3y)7.26%
ROIC(5y)6.76%
1.3 Margins
RI has a Profit Margin (9.81%) which is comparable to the rest of the industry.
RI's Profit Margin has declined in the last couple of years.
RI has a better Operating Margin (26.27%) than 88.46% of its industry peers.
RI's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 59.61%, RI belongs to the top of the industry, outperforming 80.77% of the companies in the same industry.
RI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.27% | ||
| PM (TTM) | 9.81% | ||
| GM | 59.61% |
OM growth 3Y-0.44%
OM growth 5Y-0.69%
PM growth 3Y-4.88%
PM growth 5Y-4.29%
GM growth 3Y0.09%
GM growth 5Y-0.45%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so RI is still creating some value.
Compared to 1 year ago, RI has less shares outstanding
Compared to 5 years ago, RI has less shares outstanding
The debt/assets ratio for RI is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 1.85 indicates that RI is not a great score, but indicates only limited risk for bankruptcy at the moment.
RI has a worse Altman-Z score (1.85) than 61.54% of its industry peers.
RI has a debt to FCF ratio of 12.80. This is a negative value and a sign of low solvency as RI would need 12.80 years to pay back of all of its debts.
RI's Debt to FCF ratio of 12.80 is in line compared to the rest of the industry. RI outperforms 42.31% of its industry peers.
A Debt/Equity ratio of 0.76 indicates that RI is somewhat dependend on debt financing.
RI has a better Debt to Equity ratio (0.76) than 61.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 12.8 | ||
| Altman-Z | 1.85 |
ROIC/WACC1.03
WACC5.99%
2.3 Liquidity
A Current Ratio of 1.97 indicates that RI should not have too much problems paying its short term obligations.
RI has a Current ratio of 1.97. This is amongst the best in the industry. RI outperforms 80.77% of its industry peers.
RI has a Quick Ratio of 1.97. This is a bad value and indicates that RI is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.70, RI is in the better half of the industry, outperforming 73.08% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.97 | ||
| Quick Ratio | 0.7 |
3. Growth
3.1 Past
The earnings per share for RI have decreased strongly by -45.69% in the last year.
Measured over the past 5 years, RI shows a small growth in Earnings Per Share. The EPS has been growing by 1.24% on average per year.
The Revenue has decreased by -3.68% in the past year.
The Revenue has been growing slightly by 4.78% on average over the past years.
EPS 1Y (TTM)-45.69%
EPS 3Y5.32%
EPS 5Y1.24%
EPS Q2Q%-23.69%
Revenue 1Y (TTM)-3.68%
Revenue growth 3Y9.54%
Revenue growth 5Y4.78%
Sales Q2Q%-6.28%
3.2 Future
RI is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.85% yearly.
The Revenue is expected to grow by 2.92% on average over the next years.
EPS Next Y-9.56%
EPS Next 2Y-3.84%
EPS Next 3Y-0.73%
EPS Next 5Y4.85%
Revenue Next Year-4.02%
Revenue Next 2Y-1.32%
Revenue Next 3Y0.34%
Revenue Next 5Y2.92%
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.
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
The Price/Earnings ratio is 23.46, which indicates a rather expensive current valuation of RI.
RI's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 29.35, RI is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 13.43, the valuation of RI can be described as correct.
Based on the Price/Forward Earnings ratio, RI is valued a bit cheaper than 76.92% of the companies in the same industry.
RI's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.10.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.46 | ||
| Fwd PE | 13.43 |
4.2 Price Multiples
RI's Enterprise Value to EBITDA ratio is in line with the industry average.
RI's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. RI is cheaper than 61.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.7 | ||
| EV/EBITDA | 10.9 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)18.85
EPS Next 2Y-3.84%
EPS Next 3Y-0.73%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.51%, RI is a good candidate for dividend investing.
RI's Dividend Yield is rather good when compared to the industry average which is at 2.64. RI pays more dividend than 92.31% of the companies in the same industry.
RI's Dividend Yield is rather good when compared to the S&P500 average which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.51% |
5.2 History
On average, the dividend of RI grows each year by 14.30%, which is quite nice.
Dividend Growth(5Y)14.3%
Div Incr Years3
Div Non Decr Years4
5.3 Sustainability
RI pays out 109.66% of its income as dividend. This is not a sustainable payout ratio.
RI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP109.66%
EPS Next 2Y-3.84%
EPS Next 3Y-0.73%
EPA:RI (3/7/2025, 7:00:00 PM)
102.3
-1.8 (-1.73%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners52.44%
Inst Owner ChangeN/A
Ins Owners0.68%
Ins Owner ChangeN/A
Market Cap25.81B
Analysts71.33
Price Target125.89 (23.06%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.51% |
Yearly Dividend4.77
Dividend Growth(5Y)14.3%
DP109.66%
Div Incr Years3
Div Non Decr Years4
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)-6.35%
PT rev (3m)-10.33%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-2.29%
EPS NY rev (3m)-4.53%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-1.01%
Revenue NY rev (3m)-1.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.46 | ||
| Fwd PE | 13.43 | ||
| P/S | 2.31 | ||
| P/FCF | 23.7 | ||
| P/OCF | 14.03 | ||
| P/B | 1.56 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.9 |
EPS(TTM)4.36
EY4.26%
EPS(NY)7.62
Fwd EY7.45%
FCF(TTM)4.32
FCFY4.22%
OCF(TTM)7.29
OCFY7.13%
SpS44.33
BVpS65.58
TBVpS-11.05
PEG (NY)N/A
PEG (5Y)18.85
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.76% | ||
| ROE | 6.63% | ||
| ROCE | 8.86% | ||
| ROIC | 6.2% | ||
| ROICexc | 6.57% | ||
| ROICexgc | 16.35% | ||
| OM | 26.27% | ||
| PM (TTM) | 9.81% | ||
| GM | 59.61% | ||
| FCFM | 9.74% |
ROA(3y)5.1%
ROA(5y)4.08%
ROE(3y)12.09%
ROE(5y)9.49%
ROIC(3y)7.26%
ROIC(5y)6.76%
ROICexc(3y)7.83%
ROICexc(5y)7.29%
ROICexgc(3y)21.73%
ROICexgc(5y)20.26%
ROCE(3y)10.2%
ROCE(5y)9.46%
ROICexcg growth 3Y5.76%
ROICexcg growth 5Y-0.66%
ROICexc growth 3Y4.26%
ROICexc growth 5Y0.96%
OM growth 3Y-0.44%
OM growth 5Y-0.69%
PM growth 3Y-4.88%
PM growth 5Y-4.29%
GM growth 3Y0.09%
GM growth 5Y-0.45%
F-Score5
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 12.8 | ||
| Debt/EBITDA | 3.73 | ||
| Cap/Depr | 172.41% | ||
| Cap/Sales | 6.71% | ||
| Interest Coverage | 6.43 | ||
| Cash Conversion | 54.52% | ||
| Profit Quality | 99.27% | ||
| Current Ratio | 1.97 | ||
| Quick Ratio | 0.7 | ||
| Altman-Z | 1.85 |
F-Score5
WACC5.99%
ROIC/WACC1.03
Cap/Depr(3y)158.81%
Cap/Depr(5y)139.74%
Cap/Sales(3y)5.73%
Cap/Sales(5y)5.28%
Profit Quality(3y)71%
Profit Quality(5y)116.07%
High Growth Momentum
Growth
EPS 1Y (TTM)-45.69%
EPS 3Y5.32%
EPS 5Y1.24%
EPS Q2Q%-23.69%
EPS Next Y-9.56%
EPS Next 2Y-3.84%
EPS Next 3Y-0.73%
EPS Next 5Y4.85%
Revenue 1Y (TTM)-3.68%
Revenue growth 3Y9.54%
Revenue growth 5Y4.78%
Sales Q2Q%-6.28%
Revenue Next Year-4.02%
Revenue Next 2Y-1.32%
Revenue Next 3Y0.34%
Revenue Next 5Y2.92%
EBIT growth 1Y-3.32%
EBIT growth 3Y9.06%
EBIT growth 5Y4.06%
EBIT Next Year10.48%
EBIT Next 3Y6.38%
EBIT Next 5Y5.39%
FCF growth 1Y-18.85%
FCF growth 3Y-15.21%
FCF growth 5Y-6.43%
OCF growth 1Y-5.16%
OCF growth 3Y-4.74%
OCF growth 5Y0.1%