34.59 USD
-0.08 (-0.23%)
34.59 USD
0 (0%)
Taking everything into account, PECO scores 4 out of 10 in our fundamental rating. PECO was compared to 128 industry peers in the Diversified REITs industry. There are concerns on the financial health of PECO while its profitability can be described as average. PECO is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
PECO had positive earnings in the past year.
In the past year PECO had a positive cash flow from operations.
PECO had positive earnings in each of the past 5 years.
PECO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PECO has a Return On Assets of 1.56%. This is comparable to the rest of the industry: PECO outperforms 55.47% of its industry peers.
PECO has a Return On Equity (3.60%) which is comparable to the rest of the industry.
Looking at the Return On Invested Capital, with a value of 2.98%, PECO is in line with its industry, outperforming 58.59% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for PECO is in line with the industry average of 3.05%.
The 3 year average ROIC (2.51%) for PECO is below the current ROIC(2.98%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.56% | ||
| ROE | 3.6% | ||
| ROIC | 2.98% |
ROA(3y)1.14%
ROA(5y)0.77%
ROE(3y)2.44%
ROE(5y)1.66%
ROIC(3y)2.51%
ROIC(5y)2.07%
1.3 Margins
PECO has a Profit Margin (11.51%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of PECO has grown nicely.
The Operating Margin of PECO (27.10%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of PECO has grown nicely.
PECO has a Gross Margin of 71.20%. This is in the better half of the industry: PECO outperforms 64.06% of its industry peers.
PECO's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.1% | ||
| PM (TTM) | 11.51% | ||
| GM | 71.2% |
OM growth 3Y23.39%
OM growth 5Y7%
PM growth 3Y49.54%
PM growth 5YN/A
GM growth 3Y0.43%
GM growth 5Y0.35%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PECO is destroying value.
Compared to 1 year ago, PECO has more shares outstanding
PECO has more shares outstanding than it did 5 years ago.
The debt/assets ratio for PECO is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.74, we must say that PECO is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of PECO (0.74) is better than 65.63% of its industry peers.
PECO has a debt to FCF ratio of 11.87. This is a negative value and a sign of low solvency as PECO would need 11.87 years to pay back of all of its debts.
PECO's Debt to FCF ratio of 11.87 is amongst the best of the industry. PECO outperforms 88.28% of its industry peers.
PECO has a Debt/Equity ratio of 1.05. This is a high value indicating a heavy dependency on external financing.
PECO has a Debt to Equity ratio (1.05) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.05 | ||
| Debt/FCF | 11.87 | ||
| Altman-Z | 0.74 |
ROIC/WACC0.43
WACC6.93%
2.3 Liquidity
A Current Ratio of 0.19 indicates that PECO may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.19, PECO is doing worse than 92.19% of the companies in the same industry.
A Quick Ratio of 0.14 indicates that PECO may have some problems paying its short term obligations.
The Quick ratio of PECO (0.14) is worse than 94.53% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.19 | ||
| Quick Ratio | 0.14 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 43.48% over the past year.
The Earnings Per Share has been growing by 55.36% on average over the past years. This is a very strong growth
The Revenue has grown by 10.73% in the past year. This is quite good.
Measured over the past years, PECO shows a small growth in Revenue. The Revenue has been growing by 4.27% on average per year.
EPS 1Y (TTM)43.48%
EPS 3Y55.36%
EPS 5YN/A
EPS Q2Q%122.22%
Revenue 1Y (TTM)10.73%
Revenue growth 3Y7.47%
Revenue growth 5Y4.27%
Sales Q2Q%10.36%
3.2 Future
The Earnings Per Share is expected to grow by 15.10% on average over the next years. This is quite good.
Based on estimates for the next years, PECO will show a small growth in Revenue. The Revenue will grow by 5.89% on average per year.
EPS Next Y20.02%
EPS Next 2Y14.97%
EPS Next 3Y15.1%
EPS Next 5YN/A
Revenue Next Year10.68%
Revenue Next 2Y7.87%
Revenue Next 3Y5.89%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
PECO is valuated quite expensively with a Price/Earnings ratio of 52.41.
PECO's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 26.29. PECO is valued rather expensively when compared to this.
Based on the Price/Forward Earnings ratio of 52.33, the valuation of PECO can be described as expensive.
The rest of the industry has a similar Price/Forward Earnings ratio as PECO.
PECO's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 23.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 52.41 | ||
| Fwd PE | 52.33 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as PECO.
Based on the Price/Free Cash Flow ratio, PECO is valued a bit cheaper than 73.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.66 | ||
| EV/EBITDA | 14.71 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates PECO does not grow enough to justify the current Price/Earnings ratio.
PECO has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as PECO's earnings are expected to grow with 15.10% in the coming years.
PEG (NY)2.62
PEG (5Y)N/A
EPS Next 2Y14.97%
EPS Next 3Y15.1%
5. Dividend
5.1 Amount
PECO has a Yearly Dividend Yield of 3.73%.
PECO's Dividend Yield is slightly below the industry average, which is at 6.59.
PECO's Dividend Yield is rather good when compared to the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.73% |
5.2 History
The dividend of PECO decreases each year by -3.54%.
PECO has been paying a dividend for over 5 years, so it has already some track record.
PECO has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-3.54%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
PECO pays out 189.57% of its income as dividend. This is not a sustainable payout ratio.
DP189.57%
EPS Next 2Y14.97%
EPS Next 3Y15.1%
34.59
-0.08 (-0.23%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners87.68%
Inst Owner Change-1.79%
Ins Owners0.53%
Ins Owner Change0%
Market Cap4.35B
Revenue(TTM)711.78M
Net Income(TTM)81.92M
Analysts76.84
Price Target40.24 (16.33%)
Short Float %2.47%
Short Ratio3.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.73% |
Yearly Dividend1.08
Dividend Growth(5Y)-3.54%
DP189.57%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)9.85%
Min EPS beat(2)-25.54%
Max EPS beat(2)45.24%
EPS beat(4)3
Avg EPS beat(4)20.23%
Min EPS beat(4)-25.54%
Max EPS beat(4)45.24%
EPS beat(8)5
Avg EPS beat(8)5%
EPS beat(12)9
Avg EPS beat(12)11.07%
EPS beat(16)12
Avg EPS beat(16)-55.55%
Revenue beat(2)2
Avg Revenue beat(2)0.73%
Min Revenue beat(2)0.29%
Max Revenue beat(2)1.17%
Revenue beat(4)4
Avg Revenue beat(4)1.25%
Min Revenue beat(4)0.29%
Max Revenue beat(4)2.6%
Revenue beat(8)5
Avg Revenue beat(8)0.22%
Revenue beat(12)8
Avg Revenue beat(12)0.55%
Revenue beat(16)12
Avg Revenue beat(16)1.1%
PT rev (1m)0.46%
PT rev (3m)0.91%
EPS NQ rev (1m)-3.41%
EPS NQ rev (3m)-4.28%
EPS NY rev (1m)-1.4%
EPS NY rev (3m)-3.95%
Revenue NQ rev (1m)0.82%
Revenue NQ rev (3m)1.82%
Revenue NY rev (1m)0.45%
Revenue NY rev (3m)1.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 52.41 | ||
| Fwd PE | 52.33 | ||
| P/S | 6.11 | ||
| P/FCF | 21.66 | ||
| P/OCF | 12.95 | ||
| P/B | 1.91 | ||
| P/tB | 1.94 | ||
| EV/EBITDA | 14.71 |
EPS(TTM)0.66
EY1.91%
EPS(NY)0.66
Fwd EY1.91%
FCF(TTM)1.6
FCFY4.62%
OCF(TTM)2.67
OCFY7.72%
SpS5.66
BVpS18.11
TBVpS17.82
PEG (NY)2.62
PEG (5Y)N/A
Graham Number16.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.56% | ||
| ROE | 3.6% | ||
| ROCE | 3.78% | ||
| ROIC | 2.98% | ||
| ROICexc | 2.99% | ||
| ROICexgc | 3.03% | ||
| OM | 27.1% | ||
| PM (TTM) | 11.51% | ||
| GM | 71.2% | ||
| FCFM | 28.23% |
ROA(3y)1.14%
ROA(5y)0.77%
ROE(3y)2.44%
ROE(5y)1.66%
ROIC(3y)2.51%
ROIC(5y)2.07%
ROICexc(3y)2.52%
ROICexc(5y)2.08%
ROICexgc(3y)2.56%
ROICexgc(5y)2.12%
ROCE(3y)3.18%
ROCE(5y)2.62%
ROICexgc growth 3Y28.89%
ROICexgc growth 5Y10.24%
ROICexc growth 3Y28.89%
ROICexc growth 5Y10.67%
OM growth 3Y23.39%
OM growth 5Y7%
PM growth 3Y49.54%
PM growth 5YN/A
GM growth 3Y0.43%
GM growth 5Y0.35%
F-Score6
Asset Turnover0.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.05 | ||
| Debt/FCF | 11.87 | ||
| Debt/EBITDA | 5.21 | ||
| Cap/Depr | 50.92% | ||
| Cap/Sales | 18.99% | ||
| Interest Coverage | 1.95 | ||
| Cash Conversion | 73.34% | ||
| Profit Quality | 245.29% | ||
| Current Ratio | 0.19 | ||
| Quick Ratio | 0.14 | ||
| Altman-Z | 0.74 |
F-Score6
WACC6.93%
ROIC/WACC0.43
Cap/Depr(3y)40.7%
Cap/Depr(5y)36.89%
Cap/Sales(3y)16.05%
Cap/Sales(5y)15.02%
Profit Quality(3y)370.81%
Profit Quality(5y)1082.19%
High Growth Momentum
Growth
EPS 1Y (TTM)43.48%
EPS 3Y55.36%
EPS 5YN/A
EPS Q2Q%122.22%
EPS Next Y20.02%
EPS Next 2Y14.97%
EPS Next 3Y15.1%
EPS Next 5YN/A
Revenue 1Y (TTM)10.73%
Revenue growth 3Y7.47%
Revenue growth 5Y4.27%
Sales Q2Q%10.36%
Revenue Next Year10.68%
Revenue Next 2Y7.87%
Revenue Next 3Y5.89%
Revenue Next 5YN/A
EBIT growth 1Y16.78%
EBIT growth 3Y32.61%
EBIT growth 5Y11.56%
EBIT Next Year174.95%
EBIT Next 3Y45.26%
EBIT Next 5YN/A
FCF growth 1Y13.78%
FCF growth 3Y8.44%
FCF growth 5Y12.26%
OCF growth 1Y19.56%
OCF growth 3Y8.38%
OCF growth 5Y8.09%
PHILLIPS EDISON & COMPANY IN / PECO FAQ
What is the fundamental rating for PECO stock?
ChartMill assigns a fundamental rating of 4 / 10 to PECO.
What is the valuation status of PHILLIPS EDISON & COMPANY IN (PECO) stock?
ChartMill assigns a valuation rating of 3 / 10 to PHILLIPS EDISON & COMPANY IN (PECO). This can be considered as Overvalued.
What is the profitability of PECO stock?
PHILLIPS EDISON & COMPANY IN (PECO) has a profitability rating of 6 / 10.
What is the valuation of PHILLIPS EDISON & COMPANY IN based on its PE and PB ratios?
The Price/Earnings (PE) ratio for PHILLIPS EDISON & COMPANY IN (PECO) is 52.41 and the Price/Book (PB) ratio is 1.91.
What is the earnings growth outlook for PHILLIPS EDISON & COMPANY IN?
The Earnings per Share (EPS) of PHILLIPS EDISON & COMPANY IN (PECO) is expected to grow by 20.02% in the next year.