PERNOD RICARD SA (RI.PA)
FR0000120693 - Common Stock
We assign a fundamental rating of 4 out of 10 to RI. RI was compared to 23 industry peers in the Beverages industry. RI has only an average score on both its financial health and profitability. RI has a expensive valuation and it also scores bad on growth. RI also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year RI was profitable.
In the past year RI had a positive cash flow from operations.
Each year in the past 5 years RI has been profitable.
RI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of 3.77%, RI perfoms like the industry average, outperforming 54.55% of the companies in the same industry.
RI has a Return On Equity (9.37%) which is in line with its industry peers.
The Return On Invested Capital of RI (6.95%) is comparable to the rest of the industry.
RI had an Average Return On Invested Capital over the past 3 years of 7.26%. This is in line with the industry average of 8.04%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.77% | ||
| ROE | 9.37% | ||
| ROIC | 6.95% |
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
Looking at the Profit Margin, with a value of 12.73%, RI is in the better half of the industry, outperforming 72.73% of the companies in the same industry.
RI's Profit Margin has declined in the last couple of years.
RI's Operating Margin of 26.80% is fine compared to the rest of the industry. RI outperforms 77.27% of its industry peers.
RI's Operating Margin has been stable in the last couple of years.
RI has a Gross Margin of 60.14%. This is in the better half of the industry: RI outperforms 72.73% of its industry peers.
RI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.8% | ||
| PM (TTM) | 12.73% | ||
| GM | 60.14% |
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), RI is creating some value.
RI has less shares outstanding than it did 1 year ago.
The number of shares outstanding for RI has been reduced compared to 5 years ago.
Compared to 1 year ago, RI has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 1.90 indicates that RI is not a great score, but indicates only limited risk for bankruptcy at the moment.
RI's Altman-Z score of 1.90 is in line compared to the rest of the industry. RI outperforms 45.45% of its industry peers.
The Debt to FCF ratio of RI is 14.27, which is on the high side as it means it would take RI, 14.27 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 14.27, RI is in line with its industry, outperforming 45.45% of the companies in the same industry.
RI has a Debt/Equity ratio of 0.74. This is a neutral value indicating RI is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.74, RI is in the better half of the industry, outperforming 63.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 14.27 | ||
| Altman-Z | 1.9 |
ROIC/WACC1.19
WACC5.85%
2.3 Liquidity
RI has a Current Ratio of 1.84. This is a normal value and indicates that RI is financially healthy and should not expect problems in meeting its short term obligations.
RI's Current ratio of 1.84 is fine compared to the rest of the industry. RI outperforms 68.18% of its industry peers.
RI has a Quick Ratio of 1.84. This is a bad value and indicates that RI is not financially healthy enough and could expect problems in meeting its short term obligations.
With a decent Quick ratio value of 0.68, RI is doing good in the industry, outperforming 63.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.84 | ||
| Quick Ratio | 0.68 |
3. Growth
3.1 Past
RI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -33.77%.
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.
Looking at the last year, RI shows a decrease in Revenue. The Revenue has decreased by -4.44% in the last year.
The Revenue has been growing slightly by 4.78% on average over the past years.
EPS 1Y (TTM)-33.77%
EPS 3Y5.32%
EPS 5Y1.24%
EPS Q2Q%-5.13%
Revenue 1Y (TTM)-4.44%
Revenue growth 3Y9.54%
Revenue growth 5Y4.78%
Sales Q2Q%-0.26%
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 5.09% on average per year.
RI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.08% yearly.
EPS Next Y-5.27%
EPS Next 2Y-0.96%
EPS Next 3Y1.64%
EPS Next 5Y5.09%
Revenue Next Year-2.85%
Revenue Next 2Y0%
Revenue Next 3Y1.13%
Revenue Next 5Y3.08%
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.
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 18.57, RI is valued on the expensive side.
RI's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.73, RI is valued a bit cheaper.
With a Price/Forward Earnings ratio of 13.85, RI is valued correctly.
RI's Price/Forward Earnings ratio is in line with the industry average.
RI's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.57 | ||
| Fwd PE | 13.85 |
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 in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.69 | ||
| EV/EBITDA | 10.78 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)14.92
EPS Next 2Y-0.96%
EPS Next 3Y1.64%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.33%, RI is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.72, RI pays a better dividend. On top of this RI pays more dividend than 90.91% of the companies listed in the same industry.
RI's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.33% |
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
81.84% of the earnings are spent on dividend by RI. This is not a sustainable payout ratio.
RI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP81.84%
EPS Next 2Y-0.96%
EPS Next 3Y1.64%
PERNOD RICARD SA
EPA:RI (12/20/2024, 7:00:00 PM)
108.05
-0.6 (-0.55%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners49.78%
Inst Owner ChangeN/A
Ins Owners0.67%
Ins Owner ChangeN/A
Market Cap27.37B
Analysts70.67
Price Target140.38 (29.92%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.33% |
Dividend Growth(5Y)14.3%
DP81.84%
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)-1.1%
PT rev (3m)-10.54%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-8.48%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-5.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.57 | ||
| Fwd PE | 13.85 | ||
| P/S | 2.36 | ||
| P/FCF | 28.69 | ||
| P/OCF | 15.85 | ||
| P/B | 1.74 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.78 |
EPS(TTM)5.82
EY5.39%
EPS(NY)7.8
Fwd EY7.22%
FCF(TTM)3.77
FCFY3.49%
OCF(TTM)6.82
OCFY6.31%
SpS45.78
BVpS62.17
TBVpS-12.99
PEG (NY)N/A
PEG (5Y)14.92
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.77% | ||
| ROE | 9.37% | ||
| ROCE | 9.68% | ||
| ROIC | 6.95% | ||
| ROICexc | 7.58% | ||
| ROICexgc | 21.24% | ||
| OM | 26.8% | ||
| PM (TTM) | 12.73% | ||
| GM | 60.14% | ||
| FCFM | 8.23% |
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-Score6
Asset Turnover0.3
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 14.27 | ||
| Debt/EBITDA | 3.27 | ||
| Cap/Depr | 175.28% | ||
| Cap/Sales | 6.66% | ||
| Interest Coverage | 8.75 | ||
| Cash Conversion | 48.66% | ||
| Profit Quality | 64.63% | ||
| Current Ratio | 1.84 | ||
| Quick Ratio | 0.68 | ||
| Altman-Z | 1.9 |
F-Score6
WACC5.85%
ROIC/WACC1.19
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)-33.77%
EPS 3Y5.32%
EPS 5Y1.24%
EPS Q2Q%-5.13%
EPS Next Y-5.27%
EPS Next 2Y-0.96%
EPS Next 3Y1.64%
EPS Next 5Y5.09%
Revenue 1Y (TTM)-4.44%
Revenue growth 3Y9.54%
Revenue growth 5Y4.78%
Sales Q2Q%-0.26%
Revenue Next Year-2.85%
Revenue Next 2Y0%
Revenue Next 3Y1.13%
Revenue Next 5Y3.08%
EBIT growth 1Y-6.39%
EBIT growth 3Y9.06%
EBIT growth 5Y4.06%
EBIT Next Year10.48%
EBIT Next 3Y6.38%
EBIT Next 5Y5.45%
FCF growth 1Y-28.32%
FCF growth 3Y-15.21%
FCF growth 5Y-6.43%
OCF growth 1Y-15.05%
OCF growth 3Y-4.74%
OCF growth 5Y0.1%