PUBLIC SERVICE ENTERPRISE GP (PEG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PEG - US7445731067 - Common Stock
83.25 USD
+1.09 (+1.33%)
83.25 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to PEG. PEG was compared to 26 industry peers in the Multi-Utilities industry. PEG has an excellent profitability rating, but there are concerns on its financial health. While showing a medium growth rate, PEG is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
PEG had positive earnings in the past year.
In the past year PEG had a positive cash flow from operations.
PEG had positive earnings in 4 of the past 5 years.
In the past 5 years PEG always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.66%, PEG belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
With an excellent Return On Equity value of 12.24%, PEG belongs to the best of the industry, outperforming 96.15% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 4.99%, PEG belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
PEG had an Average Return On Invested Capital over the past 3 years of 4.83%. This is in line with the industry average of 3.96%.
The 3 year average ROIC (4.83%) for PEG is below the current ROIC(4.99%), indicating increased profibility in the last year.
| 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
Looking at the Profit Margin, with a value of 17.77%, PEG belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
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.
In the last couple of years the Operating Margin of PEG has remained more or less at the same level.
| 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
PEG has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for PEG remains at a similar level compared to 1 year ago.
Compared to 5 years ago, PEG has less shares outstanding
The debt/assets ratio for PEG is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.32, we must say that PEG is in the distress zone and has some risk of bankruptcy.
PEG's Altman-Z score of 1.32 is amongst the best of the industry. PEG outperforms 96.15% of its industry peers.
PEG has a Debt/Equity ratio of 1.32. This is a high value indicating a heavy dependency on external financing.
With a decent Debt to Equity ratio value of 1.32, PEG is doing good in the industry, outperforming 69.23% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.32 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.32 |
ROIC/WACC0.73
WACC6.85%
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.
The Current ratio of PEG (0.93) is comparable to the rest of the industry.
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.
PEG has a Quick ratio of 0.69. This is in the better half of the industry: PEG outperforms 73.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.69 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 23.37% over the past year.
PEG shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.33% yearly.
The Revenue has grown by 12.35% in the past year. This is quite good.
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
The Earnings Per Share is expected to grow by 8.20% on average over the next years. This is quite good.
Based on estimates for the next years, PEG will show a small growth in Revenue. The Revenue will grow by 6.12% on average per year.
EPS Next Y10.4%
EPS Next 2Y10.17%
EPS Next 3Y8.62%
EPS Next 5Y8.2%
Revenue Next Year11.8%
Revenue Next 2Y8.51%
Revenue Next 3Y7.16%
Revenue Next 5Y6.12%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
With a Price/Earnings ratio of 19.96, PEG is valued on the expensive side.
69.23% of the companies in the same industry are cheaper than PEG, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.15. PEG is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 18.64, which indicates a rather expensive current valuation of PEG.
Based on the Price/Forward Earnings ratio, PEG is valued a bit more expensive than 69.23% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.12. PEG is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.96 | ||
| Fwd PE | 18.64 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PEG is valued expensively inside the industry as 84.62% of the companies are valued cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 14.47 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates PEG does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of PEG may justify a higher PE ratio.
PEG (NY)1.92
PEG (5Y)8.58
EPS Next 2Y10.17%
EPS Next 3Y8.62%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.12%, PEG has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.44, PEG is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.41, PEG pays a bit more dividend than the S&P500 average.
| 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 their dividend for at least 10 years, which is a reliable track record.
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 2Y10.17%
EPS Next 3Y8.62%
83.25
+1.09 (+1.33%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners76.92%
Inst Owner Change-0.41%
Ins Owners0.12%
Ins Owner Change-0.64%
Market Cap41.55B
Revenue(TTM)11.72B
Net Income(TTM)2.08B
Analysts71.54
Price Target92.73 (11.39%)
Short Float %1.47%
Short Ratio2.69
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)0.96%
PT rev (3m)0.53%
EPS NQ rev (1m)-8.83%
EPS NQ rev (3m)-9.57%
EPS NY rev (1m)0.01%
EPS NY rev (3m)-0.05%
Revenue NQ rev (1m)3.87%
Revenue NQ rev (3m)5.22%
Revenue NY rev (1m)-0.22%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.96 | ||
| Fwd PE | 18.64 | ||
| P/S | 3.55 | ||
| P/FCF | N/A | ||
| P/OCF | 14.11 | ||
| P/B | 2.44 | ||
| P/tB | 2.44 | ||
| EV/EBITDA | 14.47 |
EPS(TTM)4.17
EY5.01%
EPS(NY)4.47
Fwd EY5.36%
FCF(TTM)-0.35
FCFYN/A
OCF(TTM)5.9
OCFY7.09%
SpS23.48
BVpS34.08
TBVpS34.08
PEG (NY)1.92
PEG (5Y)8.58
Graham Number56.55
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 | 1.32 |
F-Score5
WACC6.85%
ROIC/WACC0.73
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 Y10.4%
EPS Next 2Y10.17%
EPS Next 3Y8.62%
EPS Next 5Y8.2%
Revenue 1Y (TTM)12.35%
Revenue growth 3Y1.91%
Revenue growth 5Y0.42%
Sales Q2Q%22.1%
Revenue Next Year11.8%
Revenue Next 2Y8.51%
Revenue Next 3Y7.16%
Revenue Next 5Y6.12%
EBIT growth 1Y12.01%
EBIT growth 3Y9.82%
EBIT growth 5Y0.12%
EBIT Next Year63.96%
EBIT Next 3Y24.92%
EBIT Next 5Y16.22%
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 19.96 and the Price/Book (PB) ratio is 2.44.
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%.