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KONINKLIJKE PHILIPS NVR- NY (PHG) Stock Fundamental Analysis

NYSE:PHG - New York Stock Exchange, Inc. - US5004723038 - Currency: USD

24.6  -0.01 (-0.04%)

After market: 24.6 0 (0%)

Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to PHG. PHG was compared to 187 industry peers in the Health Care Equipment & Supplies industry. PHG has a medium profitability rating, but doesn't score so well on its financial health evaluation. PHG has a decent growth rate and is not valued too expensively.


Dividend Valuation Growth Profitability Health

4

1. Profitability

1.1 Basic Checks

In the past year PHG was profitable.
The reported net income has been mixed in the past 5 years: PHG reported negative net income in multiple years.
Of the past 5 years PHG 4 years had a positive operating cash flow.
PHG Yearly Net Income VS EBIT VS OCF VS FCFPHG Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 2B 4B

1.2 Ratios

With a decent Return On Assets value of 1.37%, PHG is doing good in the industry, outperforming 74.33% of the companies in the same industry.
PHG has a better Return On Equity (3.19%) than 75.94% of its industry peers.
The Return On Invested Capital of PHG (3.75%) is better than 74.33% of its industry peers.
Industry RankSector Rank
ROA 1.37%
ROE 3.19%
ROIC 3.75%
ROA(3y)-3.08%
ROA(5y)1.15%
ROE(3y)-7.29%
ROE(5y)2.23%
ROIC(3y)N/A
ROIC(5y)N/A
PHG Yearly ROA, ROE, ROICPHG Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10 20

1.3 Margins

Looking at the Profit Margin, with a value of 2.07%, PHG is in the better half of the industry, outperforming 74.87% of the companies in the same industry.
The Operating Margin of PHG (5.39%) is better than 71.12% of its industry peers.
In the last couple of years the Operating Margin of PHG has declined.
PHG's Gross Margin of 43.42% is on the low side compared to the rest of the industry. PHG is outperformed by 63.10% of its industry peers.
PHG's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 5.39%
PM (TTM) 2.07%
GM 43.42%
OM growth 3Y-1.59%
OM growth 5Y-8.09%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.71%
GM growth 5Y1.08%
PHG Yearly Profit, Operating, Gross MarginsPHG Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 20 30 40

2

2. Health

2.1 Basic Checks

PHG has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, PHG has less shares outstanding
The number of shares outstanding for PHG has been increased compared to 5 years ago.
PHG has a worse debt/assets ratio than last year.
PHG Yearly Shares OutstandingPHG Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M
PHG Yearly Total Debt VS Total AssetsPHG Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B

2.2 Solvency

PHG has an Altman-Z score of 1.84. This is not the best score and indicates that PHG is in the grey zone with still only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 1.84, PHG perfoms like the industry average, outperforming 58.29% of the companies in the same industry.
PHG has a Debt/Equity ratio of 0.60. This is a neutral value indicating PHG is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.60, PHG is not doing good in the industry: 67.38% of the companies in the same industry are doing better.
Industry RankSector Rank
Debt/Equity 0.6
Debt/FCF N/A
Altman-Z 1.84
ROIC/WACC0.59
WACC6.33%
PHG Yearly LT Debt VS Equity VS FCFPHG Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5B 10B

2.3 Liquidity

A Current Ratio of 1.28 indicates that PHG should not have too much problems paying its short term obligations.
PHG has a Current ratio of 1.28. This is in the lower half of the industry: PHG underperforms 79.68% of its industry peers.
A Quick Ratio of 0.79 indicates that PHG may have some problems paying its short term obligations.
The Quick ratio of PHG (0.79) is worse than 86.63% of its industry peers.
Industry RankSector Rank
Current Ratio 1.28
Quick Ratio 0.79
PHG Yearly Current Assets VS Current LiabilitesPHG Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B

4

3. Growth

3.1 Past

The Earnings Per Share has been growing slightly by 7.45% over the past year.
Measured over the past years, PHG shows a decrease in Earnings Per Share. The EPS has been decreasing by -7.17% on average per year.
PHG shows a decrease in Revenue. In the last year, the revenue decreased by -0.89%.
PHG shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.00% yearly.
EPS 1Y (TTM)7.45%
EPS 3Y-5.66%
EPS 5Y-7.17%
EPS Q2Q%-3.85%
Revenue 1Y (TTM)-0.89%
Revenue growth 3Y1.65%
Revenue growth 5Y1%
Sales Q2Q%-0.99%

3.2 Future

PHG is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.40% yearly.
PHG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.10% yearly.
EPS Next Y9.94%
EPS Next 2Y11.54%
EPS Next 3Y12.13%
EPS Next 5Y12.4%
Revenue Next Year1.15%
Revenue Next 2Y2.61%
Revenue Next 3Y3.12%
Revenue Next 5Y3.1%

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.
PHG Yearly Revenue VS EstimatesPHG Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 5B 10B 15B 20B 25B
PHG Yearly EPS VS EstimatesPHG Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 0.5 1 1.5 2

5

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 15.38 indicates a correct valuation of PHG.
Based on the Price/Earnings ratio, PHG is valued cheaper than 85.03% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.50. PHG is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio of 12.25, the valuation of PHG can be described as correct.
86.63% of the companies in the same industry are more expensive than PHG, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 36.44. PHG is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 15.38
Fwd PE 12.25
PHG Price Earnings VS Forward Price EarningsPHG Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, PHG is valued cheaper than 87.17% of the companies in the same industry.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 11.32
PHG Per share dataPHG EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 10 15 20

4.3 Compensation for Growth

The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as PHG's earnings are expected to grow with 12.13% in the coming years.
PEG (NY)1.55
PEG (5Y)N/A
EPS Next 2Y11.54%
EPS Next 3Y12.13%

6

5. Dividend

5.1 Amount

PHG has a Yearly Dividend Yield of 4.20%, which is a nice return.
PHG's Dividend Yield is rather good when compared to the industry average which is at 1.91. PHG pays more dividend than 99.47% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.34, PHG pays a better dividend.
Industry RankSector Rank
Dividend Yield 4.2%

5.2 History

The dividend of PHG decreases each year by -70.49%.
PHG has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-70.49%
Div Incr Years0
Div Non Decr Years0
PHG Yearly Dividends per sharePHG Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2025 0.5 1 1.5

5.3 Sustainability

0.27% of the earnings are spent on dividend by PHG. This is a low number and sustainable payout ratio.
DP0.27%
EPS Next 2Y11.54%
EPS Next 3Y12.13%
PHG Yearly Income VS Free CF VS DividendPHG Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 1B -1B 2B 3B 4B
PHG Dividend Payout.PHG Dividend Payout, showing the Payout Ratio.PHG Dividend Payout.PayoutRetained Earnings

KONINKLIJKE PHILIPS NVR- NY

NYSE:PHG (7/18/2025, 8:04:00 PM)

After market: 24.6 0 (0%)

24.6

-0.01 (-0.04%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)05-06 2025-05-06/bmo
Earnings (Next)07-29 2025-07-29
Inst Owners42.8%
Inst Owner Change0%
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap23.69B
Analysts73.08
Price Target30.07 (22.24%)
Short Float %0.39%
Short Ratio2.63
Dividend
Industry RankSector Rank
Dividend Yield 4.2%
Yearly Dividend0
Dividend Growth(5Y)-70.49%
DP0.27%
Div Incr Years0
Div Non Decr Years0
Ex-Date05-13 2025-05-13 (0.88604)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)5.14%
Min EPS beat(2)-11.97%
Max EPS beat(2)22.24%
EPS beat(4)1
Avg EPS beat(4)-3.31%
Min EPS beat(4)-16.56%
Max EPS beat(4)22.24%
EPS beat(8)2
Avg EPS beat(8)-6.4%
EPS beat(12)4
Avg EPS beat(12)8.51%
EPS beat(16)5
Avg EPS beat(16)1.66%
Revenue beat(2)0
Avg Revenue beat(2)-2.5%
Min Revenue beat(2)-3.04%
Max Revenue beat(2)-1.96%
Revenue beat(4)0
Avg Revenue beat(4)-3.17%
Min Revenue beat(4)-5.22%
Max Revenue beat(4)-1.96%
Revenue beat(8)0
Avg Revenue beat(8)-3.16%
Revenue beat(12)2
Avg Revenue beat(12)-1.77%
Revenue beat(16)2
Avg Revenue beat(16)-1.84%
PT rev (1m)-2.78%
PT rev (3m)-4.65%
EPS NQ rev (1m)-6.21%
EPS NQ rev (3m)-22.91%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)-2.12%
Revenue NQ rev (3m)-5.2%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.65%
Valuation
Industry RankSector Rank
PE 15.38
Fwd PE 12.25
P/S 1.13
P/FCF N/A
P/OCF N/A
P/B 1.74
P/tB N/A
EV/EBITDA 11.32
EPS(TTM)1.6
EY6.5%
EPS(NY)2.01
Fwd EY8.16%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS21.75
BVpS14.15
TBVpS-1.55
PEG (NY)1.55
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA 1.37%
ROE 3.19%
ROCE 4.75%
ROIC 3.75%
ROICexc 3.98%
ROICexgc 12.27%
OM 5.39%
PM (TTM) 2.07%
GM 43.42%
FCFM N/A
ROA(3y)-3.08%
ROA(5y)1.15%
ROE(3y)-7.29%
ROE(5y)2.23%
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 3Y10.6%
ROICexcg growth 5Y-2.51%
ROICexc growth 3Y4.73%
ROICexc growth 5Y-6.98%
OM growth 3Y-1.59%
OM growth 5Y-8.09%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.71%
GM growth 5Y1.08%
F-ScoreN/A
Asset Turnover0.66
Health
Industry RankSector Rank
Debt/Equity 0.6
Debt/FCF N/A
Debt/EBITDA 2.99
Cap/Depr N/A
Cap/Sales N/A
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 1.28
Quick Ratio 0.79
Altman-Z 1.84
F-ScoreN/A
WACC6.33%
ROIC/WACC0.59
Cap/Depr(3y)50.01%
Cap/Depr(5y)53.78%
Cap/Sales(3y)3.94%
Cap/Sales(5y)4.29%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)7.45%
EPS 3Y-5.66%
EPS 5Y-7.17%
EPS Q2Q%-3.85%
EPS Next Y9.94%
EPS Next 2Y11.54%
EPS Next 3Y12.13%
EPS Next 5Y12.4%
Revenue 1Y (TTM)-0.89%
Revenue growth 3Y1.65%
Revenue growth 5Y1%
Sales Q2Q%-0.99%
Revenue Next Year1.15%
Revenue Next 2Y2.61%
Revenue Next 3Y3.12%
Revenue Next 5Y3.1%
EBIT growth 1Y379.25%
EBIT growth 3Y0.03%
EBIT growth 5Y-7.17%
EBIT Next Year50.08%
EBIT Next 3Y20.59%
EBIT Next 5YN/A
FCF growth 1Y-45.51%
FCF growth 3Y-40.93%
FCF growth 5Y-1.73%
OCF growth 1Y-31.12%
OCF growth 3Y-32.38%
OCF growth 5Y-4.03%