PROVIDENT FINANCIAL SERVICES (PFS) Stock Fundamental Analysis
USA - NYSE:PFS - US74386T1051 - Common Stock
19.9 USD
-0.42 (-2.07%)
19.9 USD
0 (0%)
PFS gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 392 industry peers in the Banks industry. PFS has a bad profitability rating. Also its financial health evaluation is rather negative. An interesting combination arises when we look at growth and value: PFS is growing strongly while it also seems undervalued. Finally PFS also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
PFS had positive earnings in the past year.
In the past year PFS had a positive cash flow from operations.
PFS had positive earnings in each of the past 5 years.
PFS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of PFS (0.94%) is comparable to the rest of the industry.
PFS has a Return On Equity (8.53%) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.94% | ||
| ROE | 8.53% | ||
| ROIC | N/A |
ROA(3y)0.89%
ROA(5y)0.93%
ROE(3y)7.68%
ROE(5y)7.78%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of PFS (27.51%) is better than 71.68% of its industry peers.
In the last couple of years the Profit Margin of PFS has declined.
The Operating Margin and Gross Margin are not available for PFS so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 27.51% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-23.46%
PM growth 5Y-11.78%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
PFS does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for PFS has been increased compared to 1 year ago.
Compared to 5 years ago, PFS has more shares outstanding
Compared to 1 year ago, PFS has an improved debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of PFS is 0.87, which is an excellent value as it means it would take PFS, only 0.87 years of fcf income to pay off all of its debts.
PFS's Debt to FCF ratio of 0.87 is fine compared to the rest of the industry. PFS outperforms 74.23% of its industry peers.
A Debt/Equity ratio of 0.19 indicates that PFS is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.19, PFS perfoms like the industry average, outperforming 45.66% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 0.87 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC11.69%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 51.28% over the past year.
The Earnings Per Share has been decreasing by -9.71% on average over the past years.
PFS shows a strong growth in Revenue. In the last year, the Revenue has grown by 65.05%.
The Revenue has been growing by 13.94% on average over the past years. This is quite good.
EPS 1Y (TTM)51.28%
EPS 3Y-21.73%
EPS 5Y-9.71%
EPS Q2Q%600%
Revenue 1Y (TTM)65.05%
Revenue growth 3Y15.34%
Revenue growth 5Y13.94%
Sales Q2Q%32.22%
3.2 Future
The Earnings Per Share is expected to grow by 51.15% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 18.64% on average over the next years. This is quite good.
EPS Next Y105.53%
EPS Next 2Y51.15%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year26.17%
Revenue Next 2Y18.64%
Revenue Next 3YN/A
Revenue Next 5YN/A
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
The Price/Earnings ratio is 11.24, which indicates a very decent valuation of PFS.
Compared to the rest of the industry, the Price/Earnings ratio of PFS indicates a somewhat cheap valuation: PFS is cheaper than 68.11% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of PFS to the average of the S&P500 Index (27.38), we can say PFS is valued rather cheaply.
PFS is valuated reasonably with a Price/Forward Earnings ratio of 8.30.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PFS indicates a rather cheap valuation: PFS is cheaper than 82.14% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.86, PFS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.24 | ||
| Fwd PE | 8.3 |
4.2 Price Multiples
93.11% of the companies in the same industry are more expensive than PFS, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.49 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PFS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PFS's earnings are expected to grow with 51.15% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.11
PEG (5Y)N/A
EPS Next 2Y51.15%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.72%, PFS is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.47, PFS pays a better dividend. On top of this PFS pays more dividend than 82.65% of the companies listed in the same industry.
PFS's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.72% |
5.2 History
The dividend of PFS decreases each year by -2.34%.
PFS has paid a dividend for at least 10 years, which is a reliable track record.
PFS has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-2.34%
Div Incr Years0
Div Non Decr Years11
5.3 Sustainability
PFS pays out 55.00% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP55%
EPS Next 2Y51.15%
EPS Next 3YN/A
19.9
-0.42 (-2.07%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners70.69%
Inst Owner Change3.05%
Ins Owners2.99%
Ins Owner Change-1.57%
Market Cap2.60B
Analysts80
Price Target22.66 (13.87%)
Short Float %2.63%
Short Ratio5.79
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.72% |
Yearly Dividend0.98
Dividend Growth(5Y)-2.34%
DP55%
Div Incr Years0
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.43%
Min EPS beat(2)3.22%
Max EPS beat(2)9.64%
EPS beat(4)2
Avg EPS beat(4)-9.66%
Min EPS beat(4)-27.02%
Max EPS beat(4)9.64%
EPS beat(8)5
Avg EPS beat(8)-18.54%
EPS beat(12)6
Avg EPS beat(12)-13.03%
EPS beat(16)10
Avg EPS beat(16)-7.63%
Revenue beat(2)0
Avg Revenue beat(2)-2.3%
Min Revenue beat(2)-3.67%
Max Revenue beat(2)-0.93%
Revenue beat(4)0
Avg Revenue beat(4)-2.6%
Min Revenue beat(4)-3.67%
Max Revenue beat(4)-0.93%
Revenue beat(8)3
Avg Revenue beat(8)-0.64%
Revenue beat(12)5
Avg Revenue beat(12)1.67%
Revenue beat(16)9
Avg Revenue beat(16)6.82%
PT rev (1m)0.65%
PT rev (3m)4.54%
EPS NQ rev (1m)0.31%
EPS NQ rev (3m)2.9%
EPS NY rev (1m)0%
EPS NY rev (3m)3.82%
Revenue NQ rev (1m)-2.44%
Revenue NQ rev (3m)3.36%
Revenue NY rev (1m)-3.22%
Revenue NY rev (3m)0.53%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.24 | ||
| Fwd PE | 8.3 | ||
| P/S | 3.1 | ||
| P/FCF | 4.49 | ||
| P/OCF | 4.45 | ||
| P/B | 0.96 | ||
| P/tB | 1.36 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.77
EY8.89%
EPS(NY)2.4
Fwd EY12.05%
FCF(TTM)4.43
FCFY22.26%
OCF(TTM)4.47
OCFY22.46%
SpS6.43
BVpS20.73
TBVpS14.6
PEG (NY)0.11
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.94% | ||
| ROE | 8.53% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 27.51% | ||
| GM | N/A | ||
| FCFM | 68.93% |
ROA(3y)0.89%
ROA(5y)0.93%
ROE(3y)7.68%
ROE(5y)7.78%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-23.46%
PM growth 5Y-11.78%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover0.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 0.87 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 7.43% | ||
| Cap/Sales | 0.61% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 250.55% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score8
WACC11.69%
ROIC/WACCN/A
Cap/Depr(3y)25.29%
Cap/Depr(5y)60.18%
Cap/Sales(3y)1.2%
Cap/Sales(5y)2%
Profit Quality(3y)201.95%
Profit Quality(5y)157.77%
High Growth Momentum
Growth
EPS 1Y (TTM)51.28%
EPS 3Y-21.73%
EPS 5Y-9.71%
EPS Q2Q%600%
EPS Next Y105.53%
EPS Next 2Y51.15%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)65.05%
Revenue growth 3Y15.34%
Revenue growth 5Y13.94%
Sales Q2Q%32.22%
Revenue Next Year26.17%
Revenue Next 2Y18.64%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y226.04%
FCF growth 3Y43.32%
FCF growth 5Y26.35%
OCF growth 1Y217.44%
OCF growth 3Y39.17%
OCF growth 5Y25.51%