T ROWE PRICE GROUP INC (TR1.DE) Stock Fundamental Analysis
FRA:TR1 - Deutsche Boerse Ag - US74144T1088 - Common Stock - Currency: EUR
TR1 gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 105 industry peers in the Capital Markets industry. TR1 has an excellent financial health rating, but there are some minor concerns on its profitability. TR1 has a decent growth rate and is not valued too expensively. TR1 also has an excellent dividend rating. These ratings would make TR1 suitable for dividend investing!
1. Profitability
1.1 Basic Checks
In the past year TR1 was profitable.
In the past year TR1 had a positive cash flow from operations.
TR1 had positive earnings in each of the past 5 years.
TR1 had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TR1's Return On Assets of 15.17% is amongst the best of the industry. TR1 outperforms 94.12% of its industry peers.
Looking at the Return On Equity, with a value of 19.76%, TR1 is in the better half of the industry, outperforming 77.94% of the companies in the same industry.
With an excellent Return On Invested Capital value of 14.11%, TR1 belongs to the best of the industry, outperforming 91.18% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for TR1 is significantly above the industry average of 8.01%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.17% | ||
| ROE | 19.76% | ||
| ROIC | 14.11% |
ROA(3y)14.15%
ROA(5y)17.62%
ROE(3y)18.44%
ROE(5y)23.71%
ROIC(3y)15.27%
ROIC(5y)18%
1.3 Margins
TR1's Profit Margin of 28.82% is fine compared to the rest of the industry. TR1 outperforms 64.71% of its industry peers.
TR1's Profit Margin has declined in the last couple of years.
TR1 has a Operating Margin of 33.52%. This is in the better half of the industry: TR1 outperforms 60.29% of its industry peers.
In the last couple of years the Operating Margin of TR1 has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 33.52% | ||
| PM (TTM) | 28.82% | ||
| GM | N/A |
OM growth 3Y-11.5%
OM growth 5Y-4.63%
PM growth 3Y-9.7%
PM growth 5Y-4.85%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
Compared to 1 year ago, TR1 has less shares outstanding
Compared to 5 years ago, TR1 has less shares outstanding
Compared to 1 year ago, TR1 has an improved debt to assets ratio.
2.2 Solvency
TR1 has an Altman-Z score of 6.90. This indicates that TR1 is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of TR1 (6.90) is better than 91.18% of its industry peers.
TR1 has a debt to FCF ratio of 0.05. This is a very positive value and a sign of high solvency as it would only need 0.05 years to pay back of all of its debts.
The Debt to FCF ratio of TR1 (0.05) is better than 95.59% of its industry peers.
TR1 has a Debt/Equity ratio of 0.01. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of TR1 (0.01) is better than 88.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.05 | ||
| Altman-Z | 6.9 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 3.76 indicates that TR1 has no problem at all paying its short term obligations.
TR1 has a Current ratio of 3.76. This is amongst the best in the industry. TR1 outperforms 80.88% of its industry peers.
TR1 has a Quick Ratio of 3.76. This indicates that TR1 is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of TR1 (3.76) is better than 80.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.76 | ||
| Quick Ratio | 3.76 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 22.76% over the past year.
TR1 shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.42% yearly.
The Revenue has grown by 9.80% in the past year. This is quite good.
TR1 shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.78% yearly.
EPS 1Y (TTM)22.76%
EPS 3Y-9.91%
EPS 5Y2.42%
EPS Q2Q%23.26%
Revenue 1Y (TTM)9.8%
Revenue growth 3Y-2.58%
Revenue growth 5Y4.78%
Sales Q2Q%13.9%
3.2 Future
The Earnings Per Share is expected to grow by 3.59% on average over the next years.
TR1 is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.79% yearly.
EPS Next Y0.93%
EPS Next 2Y2.44%
EPS Next 3Y2.56%
EPS Next 5Y3.59%
Revenue Next Year4.24%
Revenue Next 2Y3.92%
Revenue Next 3Y3.59%
Revenue Next 5Y2.79%
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
TR1 is valuated reasonably with a Price/Earnings ratio of 11.31.
Based on the Price/Earnings ratio, TR1 is valued a bit cheaper than the industry average as 69.12% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 29.75. TR1 is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 11.21 indicates a reasonable valuation of TR1.
Based on the Price/Forward Earnings ratio, TR1 is valued a bit cheaper than the industry average as 66.18% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of TR1 to the average of the S&P500 Index (22.44), we can say TR1 is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.31 | ||
| Fwd PE | 11.21 |
4.2 Price Multiples
79.41% of the companies in the same industry are more expensive than TR1, based on the Enterprise Value to EBITDA ratio.
76.47% of the companies in the same industry are more expensive than TR1, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.66 | ||
| EV/EBITDA | 7.94 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TR1 does not grow enough to justify the current Price/Earnings ratio.
TR1 has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)12.1
PEG (5Y)4.68
EPS Next 2Y2.44%
EPS Next 3Y2.56%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.90%, TR1 is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.40, TR1 pays a better dividend. On top of this TR1 pays more dividend than 80.88% of the companies listed in the same industry.
TR1's Dividend Yield is rather good when compared to the S&P500 average which is at 2.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.9% |
5.2 History
The dividend of TR1 is nicely growing with an annual growth rate of 10.37%!
Dividend Growth(5Y)10.37%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
TR1 pays out 55.55% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of TR1 is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP55.55%
EPS Next 2Y2.44%
EPS Next 3Y2.56%
FRA:TR1 (3/3/2025, 7:00:00 PM)
100.92
-0.4 (-0.39%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners79.04%
Inst Owner ChangeN/A
Ins Owners1.67%
Ins Owner ChangeN/A
Market Cap22.51B
Analysts50
Price Target107.57 (6.59%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.9% |
Yearly Dividend4.88
Dividend Growth(5Y)10.37%
DP55.55%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.33%
Min EPS beat(2)-5.31%
Max EPS beat(2)7.98%
EPS beat(4)2
Avg EPS beat(4)3.64%
Min EPS beat(4)-5.31%
Max EPS beat(4)14.18%
EPS beat(8)6
Avg EPS beat(8)6.9%
EPS beat(12)8
Avg EPS beat(12)2.57%
EPS beat(16)10
Avg EPS beat(16)1.76%
Revenue beat(2)0
Avg Revenue beat(2)-4.57%
Min Revenue beat(2)-4.82%
Max Revenue beat(2)-4.33%
Revenue beat(4)1
Avg Revenue beat(4)-3.55%
Min Revenue beat(4)-5.13%
Max Revenue beat(4)0.07%
Revenue beat(8)2
Avg Revenue beat(8)-2.14%
Revenue beat(12)3
Avg Revenue beat(12)-3.03%
Revenue beat(16)3
Avg Revenue beat(16)-2.52%
PT rev (1m)0%
PT rev (3m)3.62%
EPS NQ rev (1m)-2.34%
EPS NQ rev (3m)-3.7%
EPS NY rev (1m)-1.45%
EPS NY rev (3m)-1.5%
Revenue NQ rev (1m)-1.28%
Revenue NQ rev (3m)-2.12%
Revenue NY rev (1m)-1.41%
Revenue NY rev (3m)-1.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.31 | ||
| Fwd PE | 11.21 | ||
| P/S | 3.32 | ||
| P/FCF | 18.66 | ||
| P/OCF | 13.97 | ||
| P/B | 2.28 | ||
| P/tB | 3.21 | ||
| EV/EBITDA | 7.94 |
EPS(TTM)8.92
EY8.84%
EPS(NY)9
Fwd EY8.92%
FCF(TTM)5.41
FCFY5.36%
OCF(TTM)7.22
OCFY7.16%
SpS30.4
BVpS44.33
TBVpS31.43
PEG (NY)12.1
PEG (5Y)4.68
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.17% | ||
| ROE | 19.76% | ||
| ROCE | 18.97% | ||
| ROIC | 14.11% | ||
| ROICexc | 17.88% | ||
| ROICexgc | 28.45% | ||
| OM | 33.52% | ||
| PM (TTM) | 28.82% | ||
| GM | N/A | ||
| FCFM | 17.79% |
ROA(3y)14.15%
ROA(5y)17.62%
ROE(3y)18.44%
ROE(5y)23.71%
ROIC(3y)15.27%
ROIC(5y)18%
ROICexc(3y)18.71%
ROICexc(5y)21.89%
ROICexgc(3y)30.22%
ROICexgc(5y)33.06%
ROCE(3y)20.58%
ROCE(5y)24.24%
ROICexcg growth 3Y-16.2%
ROICexcg growth 5Y-1.08%
ROICexc growth 3Y-13.37%
ROICexc growth 5Y-6.73%
OM growth 3Y-11.5%
OM growth 5Y-4.63%
PM growth 3Y-9.7%
PM growth 5Y-4.85%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.05 | ||
| Debt/EBITDA | 0.02 | ||
| Cap/Depr | 166.63% | ||
| Cap/Sales | 5.97% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 64.04% | ||
| Profit Quality | 61.74% | ||
| Current Ratio | 3.76 | ||
| Quick Ratio | 3.76 | ||
| Altman-Z | 6.9 |
F-Score8
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)130.91%
Cap/Depr(5y)124.54%
Cap/Sales(3y)4.8%
Cap/Sales(5y)4.19%
Profit Quality(3y)84.47%
Profit Quality(5y)86.86%
High Growth Momentum
Growth
EPS 1Y (TTM)22.76%
EPS 3Y-9.91%
EPS 5Y2.42%
EPS Q2Q%23.26%
EPS Next Y0.93%
EPS Next 2Y2.44%
EPS Next 3Y2.56%
EPS Next 5Y3.59%
Revenue 1Y (TTM)9.8%
Revenue growth 3Y-2.58%
Revenue growth 5Y4.78%
Sales Q2Q%13.9%
Revenue Next Year4.24%
Revenue Next 2Y3.92%
Revenue Next 3Y3.59%
Revenue Next 5Y2.79%
EBIT growth 1Y16.51%
EBIT growth 3Y-13.78%
EBIT growth 5Y-0.07%
EBIT Next Year5.77%
EBIT Next 3Y4.08%
EBIT Next 5Y4.53%
FCF growth 1Y38.52%
FCF growth 3Y-26.76%
FCF growth 5Y-0.86%
OCF growth 1Y38.27%
OCF growth 3Y-21.25%
OCF growth 5Y2.05%