PERNOD RICARD SA (RI.PA) Stock Fundamental Analysis
Europe - EPA:RI - FR0000120693 - Common Stock
89.9 EUR
+0.68 (+0.76%)
We assign a fundamental rating of 4 out of 10 to RI. RI was compared to 27 industry peers in the Beverages industry. While RI is still in line with the averages on profitability rating, there are concerns on its financial health. RI is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
RI had positive earnings in the past year.
RI had a positive operating cash flow in the past year.
In the past 5 years RI has always been profitable.
Of the past 5 years RI 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of RI (2.76%) is worse than 62.96% of its industry peers.
RI has a Return On Equity (6.63%) which is comparable to the rest of the industry.
RI has a Return On Invested Capital of 6.05%. This is in the lower half of the industry: RI underperforms 77.78% of its industry peers.
RI had an Average Return On Invested Capital over the past 3 years of 7.00%. This is in line with the industry average of 8.63%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.76% | ||
| ROE | 6.63% | ||
| ROIC | 6.05% |
ROA(3y)4.72%
ROA(5y)4.75%
ROE(3y)11.48%
ROE(5y)11.15%
ROIC(3y)7%
ROIC(5y)6.82%
1.3 Margins
The Profit Margin of RI (9.81%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of RI has grown nicely.
The Operating Margin of RI (26.27%) is better than 66.67% of its industry peers.
RI's Operating Margin has been stable in the last couple of years.
With a decent Gross Margin value of 59.61%, RI is doing good in the industry, outperforming 77.78% of the companies in the same industry.
In the last couple of years the Gross Margin of RI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.27% | ||
| PM (TTM) | 9.81% | ||
| GM | 59.61% |
OM growth 3Y-1.56%
OM growth 5Y0.68%
PM growth 3Y-7.34%
PM growth 5Y30.67%
GM growth 3Y-0.57%
GM growth 5Y-0.25%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), RI is creating some value.
Compared to 1 year ago, RI has about the same amount of shares outstanding.
RI has less shares outstanding than it did 5 years ago.
RI has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.77, we must say that RI is in the distress zone and has some risk of bankruptcy.
RI has a worse Altman-Z score (1.77) than 62.96% of its industry peers.
The Debt to FCF ratio of RI is 12.80, which is on the high side as it means it would take RI, 12.80 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 12.80, RI is not doing good in the industry: 62.96% of the companies in the same industry are doing better.
A Debt/Equity ratio of 0.76 indicates that RI is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.76, RI perfoms like the industry average, outperforming 59.26% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 12.8 | ||
| Altman-Z | 1.77 |
ROIC/WACC1.05
WACC5.77%
2.3 Liquidity
RI has a Current Ratio of 1.97. This is a normal value and indicates that RI is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Current ratio value of 1.97, RI is doing good in the industry, outperforming 70.37% of the companies in the same industry.
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.
RI's Quick ratio of 0.70 is fine compared to the rest of the industry. RI outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.97 | ||
| Quick Ratio | 0.7 |
3. Growth
3.1 Past
RI shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -8.10%.
RI shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 38.55% yearly.
RI shows a decrease in Revenue. In the last year, the revenue decreased by -5.51%.
Measured over the past years, RI shows a small growth in Revenue. The Revenue has been growing by 5.34% on average per year.
EPS 1Y (TTM)-8.1%
EPS 3Y-5.78%
EPS 5Y38.55%
EPS Q2Q%0%
Revenue 1Y (TTM)-5.51%
Revenue growth 3Y0.8%
Revenue growth 5Y5.34%
Sales Q2Q%-4.49%
3.2 Future
Based on estimates for the next years, RI will show a small growth in Earnings Per Share. The EPS will grow by 6.40% on average per year.
Based on estimates for the next years, RI will show a small growth in Revenue. The Revenue will grow by 2.01% on average per year.
EPS Next Y-6.91%
EPS Next 2Y-1.2%
EPS Next 3Y0.93%
EPS Next 5Y6.4%
Revenue Next Year-6.93%
Revenue Next 2Y-2.75%
Revenue Next 3Y-0.6%
Revenue Next 5Y2.01%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 12.38, RI is valued correctly.
RI's Price/Earnings ratio is a bit cheaper when compared to the industry. RI is cheaper than 77.78% of the companies in the same industry.
RI's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.20.
A Price/Forward Earnings ratio of 13.30 indicates a correct valuation of RI.
Compared to the rest of the industry, the Price/Forward Earnings ratio of RI indicates a somewhat cheap valuation: RI is cheaper than 70.37% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of RI to the average of the S&P500 Index (22.70), we can say RI is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.38 | ||
| Fwd PE | 13.3 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of RI is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of RI is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.83 | ||
| EV/EBITDA | 9.93 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.32
EPS Next 2Y-1.2%
EPS Next 3Y0.93%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.16%, RI is a good candidate for dividend investing.
RI's Dividend Yield is rather good when compared to the industry average which is at 2.85. RI pays more dividend than 96.30% of the companies in the same industry.
RI's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.16% |
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 Years0
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-1.2%
EPS Next 3Y0.93%
EPA:RI (9/17/2025, 7:00:00 PM)
89.9
+0.68 (+0.76%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners47.97%
Inst Owner ChangeN/A
Ins Owners0.68%
Ins Owner ChangeN/A
Market Cap22.68B
Analysts75
Price Target111.41 (23.93%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.16% |
Yearly Dividend4.77
Dividend Growth(5Y)14.3%
DP109.66%
Div Incr Years0
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)0.5%
PT rev (3m)-2.31%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-7.34%
EPS NY rev (3m)-7.34%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-2.05%
Revenue NY rev (3m)-4.63%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.38 | ||
| Fwd PE | 13.3 | ||
| P/S | 2.03 | ||
| P/FCF | 20.83 | ||
| P/OCF | 12.33 | ||
| P/B | 1.37 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.93 |
EPS(TTM)7.26
EY8.08%
EPS(NY)6.76
Fwd EY7.52%
FCF(TTM)4.32
FCFY4.8%
OCF(TTM)7.29
OCFY8.11%
SpS44.33
BVpS65.58
TBVpS-11.05
PEG (NY)N/A
PEG (5Y)0.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.76% | ||
| ROE | 6.63% | ||
| ROCE | 8.86% | ||
| ROIC | 6.05% | ||
| ROICexc | 6.41% | ||
| ROICexgc | 15.97% | ||
| OM | 26.27% | ||
| PM (TTM) | 9.81% | ||
| GM | 59.61% | ||
| FCFM | 9.74% |
ROA(3y)4.72%
ROA(5y)4.75%
ROE(3y)11.48%
ROE(5y)11.15%
ROIC(3y)7%
ROIC(5y)6.82%
ROICexc(3y)7.48%
ROICexc(5y)7.34%
ROICexgc(3y)20.43%
ROICexgc(5y)20.07%
ROCE(3y)10.04%
ROCE(5y)9.76%
ROICexcg growth 3Y-3.82%
ROICexcg growth 5Y1.56%
ROICexc growth 3Y-2.22%
ROICexc growth 5Y3.37%
OM growth 3Y-1.56%
OM growth 5Y0.68%
PM growth 3Y-7.34%
PM growth 5Y30.67%
GM growth 3Y-0.57%
GM growth 5Y-0.25%
F-Score6
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 | 1.77 |
F-Score6
WACC5.77%
ROIC/WACC1.05
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-8.1%
EPS 3Y-5.78%
EPS 5Y38.55%
EPS Q2Q%0%
EPS Next Y-6.91%
EPS Next 2Y-1.2%
EPS Next 3Y0.93%
EPS Next 5Y6.4%
Revenue 1Y (TTM)-5.51%
Revenue growth 3Y0.8%
Revenue growth 5Y5.34%
Sales Q2Q%-4.49%
Revenue Next Year-6.93%
Revenue Next 2Y-2.75%
Revenue Next 3Y-0.6%
Revenue Next 5Y2.01%
EBIT growth 1Y-3.32%
EBIT growth 3Y-0.78%
EBIT growth 5Y6.06%
EBIT Next Year11.21%
EBIT Next 3Y5.17%
EBIT Next 5Y13.79%
FCF growth 1Y40.7%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y14.87%
OCF growth 3YN/A
OCF growth 5YN/A