PERFORMANCE FOOD GROUP CO (PFGC) Stock Fundamental Analysis
NYSE:PFGC - New York Stock Exchange, Inc. - US71377A1034 - Common Stock - Currency: USD
PFGC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 40 industry peers in the Consumer Staples Distribution & Retail industry. The financial health of PFGC is average, but there are quite some concerns on its profitability. PFGC is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
PFGC had positive earnings in the past year.
In the past year PFGC had a positive cash flow from operations.
PFGC had positive earnings in 4 of the past 5 years.
PFGC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.19%, PFGC is in line with its industry, outperforming 45.00% of the companies in the same industry.
Looking at the Return On Equity, with a value of 8.65%, PFGC is in line with its industry, outperforming 52.50% of the companies in the same industry.
PFGC's Return On Invested Capital of 4.69% is on the low side compared to the rest of the industry. PFGC is outperformed by 60.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PFGC is below the industry average of 8.23%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.19% | ||
| ROE | 8.65% | ||
| ROIC | 4.69% |
ROA(3y)2.45%
ROA(5y)1.28%
ROE(3y)8.19%
ROE(5y)4.17%
ROIC(3y)5.08%
ROIC(5y)N/A
1.3 Margins
PFGC has a Profit Margin of 0.61%. This is comparable to the rest of the industry: PFGC outperforms 42.50% of its industry peers.
In the last couple of years the Profit Margin of PFGC has declined.
With a Operating Margin value of 1.35%, PFGC is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
PFGC's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 11.64%, PFGC is doing worse than 87.50% of the companies in the same industry.
PFGC's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.35% | ||
| PM (TTM) | 0.61% | ||
| GM | 11.64% |
OM growth 3Y21.55%
OM growth 5Y-0.22%
PM growth 3Y77%
PM growth 5Y-2.43%
GM growth 3Y-1.25%
GM growth 5Y-2.38%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PFGC is destroying value.
PFGC has less shares outstanding than it did 1 year ago.
The number of shares outstanding for PFGC has been increased compared to 5 years ago.
Compared to 1 year ago, PFGC has an improved debt to assets ratio.
2.2 Solvency
PFGC has an Altman-Z score of 4.79. This indicates that PFGC is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of PFGC (4.79) is better than 67.50% of its industry peers.
The Debt to FCF ratio of PFGC is 12.13, which is on the high side as it means it would take PFGC, 12.13 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of PFGC (12.13) is comparable to the rest of the industry.
A Debt/Equity ratio of 1.49 is on the high side and indicates that PFGC has dependencies on debt financing.
PFGC has a worse Debt to Equity ratio (1.49) than 77.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.49 | ||
| Debt/FCF | 12.13 | ||
| Altman-Z | 4.79 |
ROIC/WACC0.58
WACC8.08%
2.3 Liquidity
A Current Ratio of 1.61 indicates that PFGC should not have too much problems paying its short term obligations.
PFGC has a better Current ratio (1.61) than 80.00% of its industry peers.
A Quick Ratio of 0.73 indicates that PFGC may have some problems paying its short term obligations.
With a Quick ratio value of 0.73, PFGC perfoms like the industry average, outperforming 57.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.61 | ||
| Quick Ratio | 0.73 |
3. Growth
3.1 Past
PFGC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.77%, which is quite good.
PFGC shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.37% yearly.
PFGC shows a small growth in Revenue. In the last year, the Revenue has grown by 6.20%.
Measured over the past years, PFGC shows a very strong growth in Revenue. The Revenue has been growing by 24.17% on average per year.
EPS 1Y (TTM)9.77%
EPS 3Y47.13%
EPS 5Y18.37%
EPS Q2Q%-1.25%
Revenue 1Y (TTM)6.2%
Revenue growth 3Y24.23%
Revenue growth 5Y24.17%
Sales Q2Q%10.45%
3.2 Future
PFGC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.18% yearly.
PFGC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.94% yearly.
EPS Next Y3.88%
EPS Next 2Y11.54%
EPS Next 3Y15.19%
EPS Next 5Y14.18%
Revenue Next Year8.38%
Revenue Next 2Y7.14%
Revenue Next 3Y6.63%
Revenue Next 5Y2.94%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 22.71 indicates a rather expensive valuation of PFGC.
The rest of the industry has a similar Price/Earnings ratio as PFGC.
PFGC's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.93.
The Price/Forward Earnings ratio is 18.59, which indicates a rather expensive current valuation of PFGC.
PFGC's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. PFGC is cheaper than 65.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of PFGC to the average of the S&P500 Index (37.78), we can say PFGC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.71 | ||
| Fwd PE | 18.59 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PFGC indicates a slightly more expensive valuation: PFGC is more expensive than 60.00% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PFGC is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.25 | ||
| EV/EBITDA | 14.82 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PFGC's earnings are expected to grow with 15.19% in the coming years. This may justify a more expensive valuation.
PEG (NY)5.85
PEG (5Y)1.24
EPS Next 2Y11.54%
EPS Next 3Y15.19%
5. Dividend
5.1 Amount
PFGC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
99.45
+0.63 (+0.64%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners102.33%
Inst Owner Change-0.29%
Ins Owners2%
Ins Owner Change-0.7%
Market Cap15.52B
Analysts79.13
Price Target105.61 (6.19%)
Short Float %3.35%
Short Ratio3.94
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-9.77%
Min EPS beat(2)-10.98%
Max EPS beat(2)-8.56%
EPS beat(4)1
Avg EPS beat(4)-5.52%
Min EPS beat(4)-10.98%
Max EPS beat(4)3.93%
EPS beat(8)2
Avg EPS beat(8)-4.04%
EPS beat(12)6
Avg EPS beat(12)2.04%
EPS beat(16)9
Avg EPS beat(16)2.18%
Revenue beat(2)0
Avg Revenue beat(2)-1.83%
Min Revenue beat(2)-2.57%
Max Revenue beat(2)-1.1%
Revenue beat(4)0
Avg Revenue beat(4)-1.85%
Min Revenue beat(4)-2.57%
Max Revenue beat(4)-1.1%
Revenue beat(8)0
Avg Revenue beat(8)-2.34%
Revenue beat(12)1
Avg Revenue beat(12)-2.1%
Revenue beat(16)3
Avg Revenue beat(16)-1.27%
PT rev (1m)0.57%
PT rev (3m)3.94%
EPS NQ rev (1m)0.16%
EPS NQ rev (3m)-5.92%
EPS NY rev (1m)0.02%
EPS NY rev (3m)-3.7%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.19%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)-0.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.71 | ||
| Fwd PE | 18.59 | ||
| P/S | 0.25 | ||
| P/FCF | 28.25 | ||
| P/OCF | 15.02 | ||
| P/B | 3.58 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.82 |
EPS(TTM)4.38
EY4.4%
EPS(NY)5.35
Fwd EY5.38%
FCF(TTM)3.52
FCFY3.54%
OCF(TTM)6.62
OCFY6.66%
SpS394.32
BVpS27.79
TBVpS-5.54
PEG (NY)5.85
PEG (5Y)1.24
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.19% | ||
| ROE | 8.65% | ||
| ROCE | 6.43% | ||
| ROIC | 4.69% | ||
| ROICexc | 4.69% | ||
| ROICexgc | 7.87% | ||
| OM | 1.35% | ||
| PM (TTM) | 0.61% | ||
| GM | 11.64% | ||
| FCFM | 0.89% |
ROA(3y)2.45%
ROA(5y)1.28%
ROE(3y)8.19%
ROE(5y)4.17%
ROIC(3y)5.08%
ROIC(5y)N/A
ROICexc(3y)5.09%
ROICexc(5y)N/A
ROICexgc(3y)8.07%
ROICexgc(5y)N/A
ROCE(3y)6.96%
ROCE(5y)N/A
ROICexcg growth 3Y20.42%
ROICexcg growth 5Y-1.47%
ROICexc growth 3Y23.88%
ROICexc growth 5Y-2.24%
OM growth 3Y21.55%
OM growth 5Y-0.22%
PM growth 3Y77%
PM growth 5Y-2.43%
GM growth 3Y-1.25%
GM growth 5Y-2.38%
F-Score5
Asset Turnover3.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.49 | ||
| Debt/FCF | 12.13 | ||
| Debt/EBITDA | 4.31 | ||
| Cap/Depr | 72.54% | ||
| Cap/Sales | 0.79% | ||
| Interest Coverage | 2.52 | ||
| Cash Conversion | 69.03% | ||
| Profit Quality | 146.46% | ||
| Current Ratio | 1.61 | ||
| Quick Ratio | 0.73 | ||
| Altman-Z | 4.79 |
F-Score5
WACC8.08%
ROIC/WACC0.58
Cap/Depr(3y)57.31%
Cap/Depr(5y)56.96%
Cap/Sales(3y)0.52%
Cap/Sales(5y)0.56%
Profit Quality(3y)123.9%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)9.77%
EPS 3Y47.13%
EPS 5Y18.37%
EPS Q2Q%-1.25%
EPS Next Y3.88%
EPS Next 2Y11.54%
EPS Next 3Y15.19%
EPS Next 5Y14.18%
Revenue 1Y (TTM)6.2%
Revenue growth 3Y24.23%
Revenue growth 5Y24.17%
Sales Q2Q%10.45%
Revenue Next Year8.38%
Revenue Next 2Y7.14%
Revenue Next 3Y6.63%
Revenue Next 5Y2.94%
EBIT growth 1Y2.86%
EBIT growth 3Y51.01%
EBIT growth 5Y23.9%
EBIT Next Year60.47%
EBIT Next 3Y25.1%
EBIT Next 5Y21.63%
FCF growth 1Y88.7%
FCF growth 3YN/A
FCF growth 5Y33.9%
OCF growth 1Y90.28%
OCF growth 3Y162.09%
OCF growth 5Y29.66%