PUBLIC SERVICE ENTERPRISE GP (PEG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PEG - US7445731067 - Common Stock
80.39 USD
-0.33 (-0.41%)
80.39 USD
0 (0%)
Overall PEG gets a fundamental rating of 5 out of 10. We evaluated PEG against 26 industry peers in the Multi-Utilities industry. While PEG belongs to the best of the industry regarding profitability, there are concerns on its financial health. PEG is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
PEG had positive earnings in the past year.
PEG had a positive operating cash flow in the past year.
Of the past 5 years PEG 4 years were profitable.
PEG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PEG's Return On Assets of 3.66% is amongst the best of the industry. PEG outperforms 100.00% of its industry peers.
The Return On Equity of PEG (12.24%) is better than 96.15% of its industry peers.
PEG's Return On Invested Capital of 4.99% is amongst the best of the industry. PEG outperforms 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PEG is in line with the industry average of 3.94%.
The last Return On Invested Capital (4.99%) for PEG is above the 3 year average (4.83%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.66% | ||
| ROE | 12.24% | ||
| ROIC | 4.99% |
ROA(3y)3.47%
ROA(5y)2.58%
ROE(3y)11.69%
ROE(5y)8.5%
ROIC(3y)4.83%
ROIC(5y)4.45%
1.3 Margins
PEG has a better Profit Margin (17.77%) than 100.00% of its industry peers.
In the last couple of years the Profit Margin of PEG has remained more or less at the same level.
Looking at the Operating Margin, with a value of 24.92%, PEG belongs to the top of the industry, outperforming 84.62% of the companies in the same industry.
PEG's Operating Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.92% | ||
| PM (TTM) | 17.77% | ||
| GM | N/A |
OM growth 3Y7.76%
OM growth 5Y-0.3%
PM growth 3YN/A
PM growth 5Y0.49%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PEG is destroying value.
The number of shares outstanding for PEG remains at a similar level compared to 1 year ago.
PEG has less shares outstanding than it did 5 years ago.
The debt/assets ratio for PEG is higher compared to a year ago.
2.2 Solvency
PEG has an Altman-Z score of 1.30. This is a bad value and indicates that PEG is not financially healthy and even has some risk of bankruptcy.
PEG has a Altman-Z score of 1.30. This is amongst the best in the industry. PEG outperforms 92.31% of its industry peers.
A Debt/Equity ratio of 1.32 is on the high side and indicates that PEG has dependencies on debt financing.
PEG's Debt to Equity ratio of 1.32 is fine compared to the rest of the industry. PEG outperforms 69.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.32 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.3 |
ROIC/WACC0.72
WACC6.89%
2.3 Liquidity
PEG has a Current Ratio of 0.93. This is a bad value and indicates that PEG is not financially healthy enough and could expect problems in meeting its short term obligations.
PEG has a Current ratio (0.93) which is in line with its industry peers.
PEG has a Quick Ratio of 0.93. This is a bad value and indicates that PEG is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of PEG (0.69) is better than 73.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.69 |
3. Growth
3.1 Past
PEG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 23.37%, which is quite impressive.
Measured over the past 5 years, PEG shows a small growth in Earnings Per Share. The EPS has been growing by 2.33% on average per year.
PEG shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.35%.
PEG shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.42% yearly.
EPS 1Y (TTM)23.37%
EPS 3Y0.27%
EPS 5Y2.33%
EPS Q2Q%25.56%
Revenue 1Y (TTM)12.35%
Revenue growth 3Y1.91%
Revenue growth 5Y0.42%
Sales Q2Q%22.1%
3.2 Future
Based on estimates for the next years, PEG will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.39% on average per year.
The Revenue is expected to grow by 6.33% on average over the next years.
EPS Next Y10.97%
EPS Next 2Y10.12%
EPS Next 3Y8.94%
EPS Next 5Y8.39%
Revenue Next Year18.64%
Revenue Next 2Y10.43%
Revenue Next 3Y8.3%
Revenue Next 5Y6.33%
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 19.28 indicates a rather expensive valuation of PEG.
69.23% of the companies in the same industry are cheaper than PEG, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of PEG to the average of the S&P500 Index (26.92), we can say PEG is valued slightly cheaper.
A Price/Forward Earnings ratio of 18.02 indicates a rather expensive valuation of PEG.
73.08% of the companies in the same industry are cheaper than PEG, based on the Price/Forward Earnings ratio.
PEG's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.28 | ||
| Fwd PE | 18.02 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PEG is valued expensively inside the industry as 88.46% of the companies are valued cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 14.27 |
4.3 Compensation for Growth
PEG's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.76
PEG (5Y)8.28
EPS Next 2Y10.12%
EPS Next 3Y8.94%
5. Dividend
5.1 Amount
PEG has a Yearly Dividend Yield of 3.12%. Purely for dividend investing, there may be better candidates out there.
PEG's Dividend Yield is slightly below the industry average, which is at 4.62.
PEG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.12% |
5.2 History
The dividend of PEG has a limited annual growth rate of 4.96%.
PEG has paid a dividend for at least 10 years, which is a reliable track record.
PEG has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)4.96%
Div Incr Years13
Div Non Decr Years34
5.3 Sustainability
PEG pays out 59.65% of its income as dividend. This is a bit on the high side, but may be sustainable.
PEG's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP59.65%
EPS Next 2Y10.12%
EPS Next 3Y8.94%
80.39
-0.33 (-0.41%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners76.98%
Inst Owner Change-0.37%
Ins Owners0.11%
Ins Owner Change-0.55%
Market Cap40.13B
Revenue(TTM)11.72B
Net Income(TTM)2.08B
Analysts73.08
Price Target90.45 (12.51%)
Short Float %1.39%
Short Ratio2.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.12% |
Yearly Dividend2.4
Dividend Growth(5Y)4.96%
DP59.65%
Div Incr Years13
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.62%
Min EPS beat(2)9.16%
Max EPS beat(2)10.08%
EPS beat(4)3
Avg EPS beat(4)4.58%
Min EPS beat(4)-1.44%
Max EPS beat(4)10.08%
EPS beat(8)5
Avg EPS beat(8)2.53%
EPS beat(12)9
Avg EPS beat(12)4.58%
EPS beat(16)12
Avg EPS beat(16)4.74%
Revenue beat(2)2
Avg Revenue beat(2)12.03%
Min Revenue beat(2)11.89%
Max Revenue beat(2)12.17%
Revenue beat(4)3
Avg Revenue beat(4)5.43%
Min Revenue beat(4)-3.86%
Max Revenue beat(4)12.17%
Revenue beat(8)6
Avg Revenue beat(8)4.99%
Revenue beat(12)10
Avg Revenue beat(12)12.87%
Revenue beat(16)12
Avg Revenue beat(16)9.71%
PT rev (1m)-2.46%
PT rev (3m)-1.94%
EPS NQ rev (1m)-2.99%
EPS NQ rev (3m)-11.32%
EPS NY rev (1m)0.52%
EPS NY rev (3m)0.48%
Revenue NQ rev (1m)-0.97%
Revenue NQ rev (3m)3.72%
Revenue NY rev (1m)6.12%
Revenue NY rev (3m)6.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.28 | ||
| Fwd PE | 18.02 | ||
| P/S | 3.42 | ||
| P/FCF | N/A | ||
| P/OCF | 13.63 | ||
| P/B | 2.36 | ||
| P/tB | 2.36 | ||
| EV/EBITDA | 14.27 |
EPS(TTM)4.17
EY5.19%
EPS(NY)4.46
Fwd EY5.55%
FCF(TTM)-0.35
FCFYN/A
OCF(TTM)5.9
OCFY7.34%
SpS23.48
BVpS34.08
TBVpS34.08
PEG (NY)1.76
PEG (5Y)8.28
Graham Number56.54
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.66% | ||
| ROE | 12.24% | ||
| ROCE | 5.63% | ||
| ROIC | 4.99% | ||
| ROICexc | 5.02% | ||
| ROICexgc | 5.02% | ||
| OM | 24.92% | ||
| PM (TTM) | 17.77% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)3.47%
ROA(5y)2.58%
ROE(3y)11.69%
ROE(5y)8.5%
ROIC(3y)4.83%
ROIC(5y)4.45%
ROICexc(3y)4.84%
ROICexc(5y)4.48%
ROICexgc(3y)4.84%
ROICexgc(5y)4.49%
ROCE(3y)5.52%
ROCE(5y)5.13%
ROICexgc growth 3Y6%
ROICexgc growth 5Y-2.47%
ROICexc growth 3Y6.02%
ROICexc growth 5Y-2.41%
OM growth 3Y7.76%
OM growth 5Y-0.3%
PM growth 3YN/A
PM growth 5Y0.49%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.32 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.15 | ||
| Cap/Depr | 215.69% | ||
| Cap/Sales | 26.63% | ||
| Interest Coverage | 3.16 | ||
| Cash Conversion | 67.41% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.69 | ||
| Altman-Z | 1.3 |
F-Score5
WACC6.89%
ROIC/WACC0.72
Cap/Depr(3y)240.8%
Cap/Depr(5y)223.04%
Cap/Sales(3y)30.64%
Cap/Sales(5y)30.06%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)23.37%
EPS 3Y0.27%
EPS 5Y2.33%
EPS Q2Q%25.56%
EPS Next Y10.97%
EPS Next 2Y10.12%
EPS Next 3Y8.94%
EPS Next 5Y8.39%
Revenue 1Y (TTM)12.35%
Revenue growth 3Y1.91%
Revenue growth 5Y0.42%
Sales Q2Q%22.1%
Revenue Next Year18.64%
Revenue Next 2Y10.43%
Revenue Next 3Y8.3%
Revenue Next 5Y6.33%
EBIT growth 1Y12.01%
EBIT growth 3Y9.82%
EBIT growth 5Y0.12%
EBIT Next Year67.07%
EBIT Next 3Y24.92%
EBIT Next 5Y16.42%
FCF growth 1Y-123.98%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-24.47%
OCF growth 3Y7.11%
OCF growth 5Y-8.79%
PUBLIC SERVICE ENTERPRISE GP / PEG FAQ
Can you provide the ChartMill fundamental rating for PUBLIC SERVICE ENTERPRISE GP?
ChartMill assigns a fundamental rating of 5 / 10 to PEG.
Can you provide the valuation status for PUBLIC SERVICE ENTERPRISE GP?
ChartMill assigns a valuation rating of 2 / 10 to PUBLIC SERVICE ENTERPRISE GP (PEG). This can be considered as Overvalued.
How profitable is PUBLIC SERVICE ENTERPRISE GP (PEG) stock?
PUBLIC SERVICE ENTERPRISE GP (PEG) has a profitability rating of 7 / 10.
What are the PE and PB ratios of PUBLIC SERVICE ENTERPRISE GP (PEG) stock?
The Price/Earnings (PE) ratio for PUBLIC SERVICE ENTERPRISE GP (PEG) is 19.28 and the Price/Book (PB) ratio is 2.36.
How sustainable is the dividend of PUBLIC SERVICE ENTERPRISE GP (PEG) stock?
The dividend rating of PUBLIC SERVICE ENTERPRISE GP (PEG) is 6 / 10 and the dividend payout ratio is 59.65%.