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 41 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. While showing a medium growth rate, PFGC is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year PFGC was profitable.
In the past year PFGC had a positive cash flow from operations.
PFGC had positive earnings in 4 of the past 5 years.
In the past 5 years PFGC always reported a positive cash flow from operatings.
1.2 Ratios
PFGC has a Return On Assets (2.19%) which is comparable to the rest of the industry.
PFGC has a Return On Equity of 8.65%. This is comparable to the rest of the industry: PFGC outperforms 53.66% of its industry peers.
PFGC's Return On Invested Capital of 4.69% is in line compared to the rest of the industry. PFGC outperforms 41.46% of its industry peers.
The Average Return On Invested Capital over the past 3 years for PFGC is below the industry average of 7.90%.
| 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
Looking at the Profit Margin, with a value of 0.61%, PFGC is in line with its industry, outperforming 43.90% of the companies in the same industry.
PFGC's Profit Margin has declined in the last couple of years.
PFGC has a Operating Margin (1.35%) which is in line with its industry peers.
In the last couple of years the Operating Margin of PFGC has remained more or less at the same level.
With a Gross Margin value of 11.64%, PFGC is not doing good in the industry: 87.80% of the companies in the same industry are doing better.
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), 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 4.70. This indicates that PFGC is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 4.70, PFGC is doing good in the industry, outperforming 68.29% of the companies in the same industry.
PFGC has a debt to FCF ratio of 12.13. This is a negative value and a sign of low solvency as PFGC would need 12.13 years to pay back of all of its debts.
PFGC has a Debt to FCF ratio (12.13) which is in line with its industry peers.
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 78.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.49 | ||
| Debt/FCF | 12.13 | ||
| Altman-Z | 4.7 |
ROIC/WACC0.59
WACC7.96%
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 Current ratio of 1.61. This is in the better half of the industry: PFGC outperforms 78.05% of its industry peers.
A Quick Ratio of 0.73 indicates that PFGC may have some problems paying its short term obligations.
PFGC has a Quick ratio (0.73) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.61 | ||
| Quick Ratio | 0.73 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.77% over the past year.
PFGC shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.37% yearly.
The Revenue has been growing slightly by 6.20% in the past year.
PFGC shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 24.17% yearly.
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
Based on estimates for the next years, PFGC will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.70% on average per year.
PFGC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.94% yearly.
EPS Next Y4.04%
EPS Next 2Y11.13%
EPS Next 3Y13.24%
EPS Next 5Y10.7%
Revenue Next Year8.41%
Revenue Next 2Y6.89%
Revenue Next 3Y6.14%
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.
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
Based on the Price/Earnings ratio of 20.04, the valuation of PFGC can be described as rather expensive.
PFGC's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 26.31. PFGC is valued slightly cheaper when compared to this.
PFGC is valuated correctly with a Price/Forward Earnings ratio of 16.52.
Based on the Price/Forward Earnings ratio, PFGC is valued a bit cheaper than the industry average as 75.61% of the companies are valued more expensively.
PFGC is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.06, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.04 | ||
| Fwd PE | 16.52 |
4.2 Price Multiples
PFGC's Enterprise Value to EBITDA is on the same level as the industry average.
PFGC's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.93 | ||
| EV/EBITDA | 13.59 |
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 13.24% in the coming years. This may justify a more expensive valuation.
PEG (NY)4.96
PEG (5Y)1.09
EPS Next 2Y11.13%
EPS Next 3Y13.24%
5. Dividend
5.1 Amount
No dividends for PFGC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
87.76
+0.04 (+0.05%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners100.18%
Inst Owner Change3.01%
Ins Owners2.05%
Ins Owner Change-0.9%
Market Cap13.70B
Analysts77.27
Price Target101.52 (15.68%)
Short Float %2.67%
Short Ratio3.23
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)-0.08%
PT rev (3m)1.01%
EPS NQ rev (1m)-6.28%
EPS NQ rev (3m)-6.43%
EPS NY rev (1m)-3.56%
EPS NY rev (3m)-4.22%
Revenue NQ rev (1m)0.29%
Revenue NQ rev (3m)0.18%
Revenue NY rev (1m)-0.15%
Revenue NY rev (3m)-0.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.04 | ||
| Fwd PE | 16.52 | ||
| P/S | 0.22 | ||
| P/FCF | 24.93 | ||
| P/OCF | 13.26 | ||
| P/B | 3.16 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.59 |
EPS(TTM)4.38
EY4.99%
EPS(NY)5.31
Fwd EY6.05%
FCF(TTM)3.52
FCFY4.01%
OCF(TTM)6.62
OCFY7.54%
SpS394.32
BVpS27.79
TBVpS-5.54
PEG (NY)4.96
PEG (5Y)1.09
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 | 4.7 |
F-Score5
WACC7.96%
ROIC/WACC0.59
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 Y4.04%
EPS Next 2Y11.13%
EPS Next 3Y13.24%
EPS Next 5Y10.7%
Revenue 1Y (TTM)6.2%
Revenue growth 3Y24.23%
Revenue growth 5Y24.17%
Sales Q2Q%10.45%
Revenue Next Year8.41%
Revenue Next 2Y6.89%
Revenue Next 3Y6.14%
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 5Y19.91%
FCF growth 1Y88.7%
FCF growth 3YN/A
FCF growth 5Y33.9%
OCF growth 1Y90.28%
OCF growth 3Y162.09%
OCF growth 5Y29.66%