KONINKLIJKE PHILIPS NVR- NY (PHG)
US5004723038
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. Both the profitability and financial health of PHG have multiple concerns. PHG has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year PHG was profitable.
PHG had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: PHG reported negative net income in multiple years.
PHG had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
PHG has a Return On Assets of -1.43%. This is in the better half of the industry: PHG outperforms 67.20% of its industry peers.
With a decent Return On Equity value of -3.54%, PHG is doing good in the industry, outperforming 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.43% | ||
| ROE | -3.54% | ||
| ROIC | N/A |
ROA(3y)1.3%
ROA(5y)2.5%
ROE(3y)2.33%
ROE(5y)5.25%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
In the last couple of years the Operating Margin of PHG has declined.
With a Gross Margin value of 41.56%, PHG is not doing good in the industry: 66.13% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of PHG has remained more or less at the same level.
PHG does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 41.56% |
OM growth 3Y-40.52%
OM growth 5Y-26.4%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.47%
GM growth 5Y-1.32%
2. Health
2.1 Basic Checks
PHG does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for PHG has been reduced compared to 1 year ago.
The number of shares outstanding for PHG has been increased compared to 5 years ago.
Compared to 1 year ago, PHG has a worse debt to assets ratio.
2.2 Solvency
PHG has an Altman-Z score of 1.76. This is a bad value and indicates that PHG is not financially healthy and even has some risk of bankruptcy.
PHG has a Altman-Z score of 1.76. This is comparable to the rest of the industry: PHG outperforms 54.30% of its industry peers.
The Debt to FCF ratio of PHG is 7.27, which is on the high side as it means it would take PHG, 7.27 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 7.27, PHG is in the better half of the industry, outperforming 75.81% of the companies in the same industry.
A Debt/Equity ratio of 0.60 indicates that PHG is somewhat dependend on debt financing.
PHG has a worse Debt to Equity ratio (0.60) than 69.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 7.27 | ||
| Altman-Z | 1.76 |
ROIC/WACCN/A
WACC6.19%
2.3 Liquidity
A Current Ratio of 1.16 indicates that PHG should not have too much problems paying its short term obligations.
PHG's Current ratio of 1.16 is on the low side compared to the rest of the industry. PHG is outperformed by 90.32% of its industry peers.
PHG has a Quick Ratio of 1.16. This is a bad value and indicates that PHG is not financially healthy enough and could expect problems in meeting its short term obligations.
PHG's Quick ratio of 0.74 is on the low side compared to the rest of the industry. PHG is outperformed by 90.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.16 | ||
| Quick Ratio | 0.74 |
3. Growth
3.1 Past
PHG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.66%, which is quite good.
The Earnings Per Share has been decreasing by -2.67% on average over the past years.
Looking at the last year, PHG shows a decrease in Revenue. The Revenue has decreased by -1.28% in the last year.
The Revenue has been growing slightly by 0.05% on average over the past years.
EPS 1Y (TTM)11.66%
EPS 3Y-15.7%
EPS 5Y-2.67%
EPS Q2Q%5.46%
Revenue 1Y (TTM)-1.28%
Revenue growth 3Y1.62%
Revenue growth 5Y0.05%
Sales Q2Q%-0.85%
3.2 Future
The Earnings Per Share is expected to grow by 16.13% on average over the next years. This is quite good.
PHG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.56% yearly.
EPS Next Y23.76%
EPS Next 2Y14.78%
EPS Next 3Y15.12%
EPS Next 5Y16.13%
Revenue Next Year0.67%
Revenue Next 2Y2.65%
Revenue Next 3Y3.3%
Revenue Next 5Y4.56%
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 22.79, which indicates a rather expensive current valuation of PHG.
Compared to the rest of the industry, the Price/Earnings ratio of PHG indicates a rather cheap valuation: PHG is cheaper than 83.87% of the companies listed in the same industry.
PHG is valuated rather cheaply when we compare the Price/Earnings ratio to 31.46, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 18.14, the valuation of PHG can be described as rather expensive.
Based on the Price/Forward Earnings ratio, PHG is valued cheaply inside the industry as 86.56% of the companies are valued more expensively.
PHG is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.63, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.79 | ||
| Fwd PE | 18.14 |
4.2 Price Multiples
PHG's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. PHG is cheaper than 68.82% of the companies in the same industry.
PHG's Price/Free Cash Flow ratio is rather cheap when compared to the industry. PHG is cheaper than 88.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.34 | ||
| EV/EBITDA | 34.25 |
4.3 Compensation for Growth
PHG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PHG's earnings are expected to grow with 15.12% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.96
PEG (5Y)N/A
EPS Next 2Y14.78%
EPS Next 3Y15.12%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.15%, PHG is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.66, PHG pays a better dividend. On top of this PHG pays more dividend than 99.46% of the companies listed in the same industry.
PHG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.18.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.15% |
5.2 History
The dividend of PHG decreases each year by -65.46%.
PHG has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-65.46%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
The earnings of PHG are negative and hence is the payout ratio. PHG will probably not be able to sustain this dividend level.
DP-0.48%
EPS Next 2Y14.78%
EPS Next 3Y15.12%
KONINKLIJKE PHILIPS NVR- NY
NYSE:PHG (10/21/2024, 4:15:00 PM)
After market: 32.14 0 (0%)32.14
+0.09 (+0.28%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap30.02B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.15% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
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PT rev (1m)
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EPS NQ rev (1m)
EPS NQ rev (3m)
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EPS NY rev (3m)
Revenue NQ rev (1m)
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Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.79 | ||
| Fwd PE | 18.14 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.96
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.43% | ||
| ROE | -3.54% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 41.56% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.62
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.16 | ||
| Quick Ratio | 0.74 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)11.66%
EPS 3Y-15.7%
EPS 5Y
EPS Q2Q%
EPS Next Y23.76%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-1.28%
Revenue growth 3Y1.62%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y