KONINKLIJKE PHILIPS NVR- NY (PHG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PHG - US5004723038
29.42 USD
+0.02 (+0.07%)
Taking everything into account, PHG scores 4 out of 10 in our fundamental rating. PHG was compared to 184 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 correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- PHG had positive earnings in the past year.
- PHG had a positive operating cash flow in the past year.
- In multiple years PHG reported negative net income over the last 5 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 0.63%. This is in the better half of the industry: PHG outperforms 73.91% of its industry peers.
- Looking at the Return On Equity, with a value of 1.56%, PHG is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
- The Return On Invested Capital of PHG (4.44%) is better than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.63% | ||
| ROE | 1.56% | ||
| ROIC | 4.44% |
ROA(3y)-3.08%
ROA(5y)1.15%
ROE(3y)-7.29%
ROE(5y)2.23%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- PHG has a better Profit Margin (0.93%) than 73.91% of its industry peers.
- PHG has a better Operating Margin (6.10%) than 71.20% of its industry peers.
- PHG's Operating Margin has declined in the last couple of years.
- The Gross Margin of PHG (43.49%) is worse than 64.13% of its industry peers.
- PHG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.1% | ||
| PM (TTM) | 0.93% | ||
| GM | 43.49% |
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%
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.
- PHG has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, PHG has more shares outstanding
- Compared to 1 year ago, PHG has a worse debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 2.00 indicates that PHG is not a great score, but indicates only limited risk for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 2.00, PHG is in the better half of the industry, outperforming 60.33% of the companies in the same industry.
- PHG has a debt to FCF ratio of 14.51. This is a negative value and a sign of low solvency as PHG would need 14.51 years to pay back of all of its debts.
- The Debt to FCF ratio of PHG (14.51) is better than 70.65% of its industry peers.
- PHG has a Debt/Equity ratio of 0.69. This is a neutral value indicating PHG is somewhat dependend on debt financing.
- PHG's Debt to Equity ratio of 0.69 is on the low side compared to the rest of the industry. PHG is outperformed by 67.39% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 14.51 | ||
| Altman-Z | 2 |
ROIC/WACC0.66
WACC6.77%
2.3 Liquidity
- A Current Ratio of 1.32 indicates that PHG should not have too much problems paying its short term obligations.
- PHG has a Current ratio of 1.32. This is in the lower half of the industry: PHG underperforms 77.72% of its industry peers.
- PHG has a Quick Ratio of 1.32. 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 0.86 is on the low side compared to the rest of the industry. PHG is outperformed by 80.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.86 |
3. Growth
3.1 Past
- PHG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.15%, which is quite good.
- PHG shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -7.17% yearly.
- Looking at the last year, PHG shows a decrease in Revenue. The Revenue has decreased by -1.43% in the last year.
- Measured over the past years, PHG shows a small growth in Revenue. The Revenue has been growing by 1.00% on average per year.
EPS 1Y (TTM)15.15%
EPS 3Y-5.66%
EPS 5Y-7.17%
EPS Q2Q%12.5%
Revenue 1Y (TTM)-1.43%
Revenue growth 3Y1.65%
Revenue growth 5Y1%
Sales Q2Q%-1.71%
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 10.28% yearly.
- Based on estimates for the next years, PHG will show a small growth in Revenue. The Revenue will grow by 3.00% on average per year.
EPS Next Y4.94%
EPS Next 2Y4.81%
EPS Next 3Y7.44%
EPS Next 5Y10.28%
Revenue Next Year-2.27%
Revenue Next 2Y0.25%
Revenue Next 3Y1.58%
Revenue Next 5Y3%
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 16.91, which indicates a correct valuation of PHG.
- Based on the Price/Earnings ratio, PHG is valued cheaper than 87.50% of the companies in the same industry.
- PHG is valuated rather cheaply when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 16.47, the valuation of PHG can be described as correct.
- 85.87% of the companies in the same industry are more expensive than PHG, based on the Price/Forward Earnings ratio.
- When comparing the Price/Forward Earnings ratio of PHG to the average of the S&P500 Index (25.98), we can say PHG is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.91 | ||
| Fwd PE | 16.47 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PHG indicates a rather cheap valuation: PHG is cheaper than 84.24% of the companies listed in the same industry.
- 75.00% of the companies in the same industry are more expensive than PHG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 41.74 | ||
| EV/EBITDA | 13.13 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates PHG does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)3.42
PEG (5Y)N/A
EPS Next 2Y4.81%
EPS Next 3Y7.44%
5. Dividend
5.1 Amount
- PHG has a Yearly Dividend Yield of 3.86%.
- PHG's Dividend Yield is rather good when compared to the industry average which is at 0.20. PHG pays more dividend than 98.91% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.81, PHG pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.86% |
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
5.3 Sustainability
- 199.39% of the earnings are spent on dividend by PHG. This is not a sustainable payout ratio.
DP199.39%
EPS Next 2Y4.81%
EPS Next 3Y7.44%
KONINKLIJKE PHILIPS NVR- NY / PHG FAQ
What is the ChartMill fundamental rating of KONINKLIJKE PHILIPS NVR- NY (PHG) stock?
ChartMill assigns a fundamental rating of 4 / 10 to PHG.
Can you provide the valuation status for KONINKLIJKE PHILIPS NVR- NY?
ChartMill assigns a valuation rating of 5 / 10 to KONINKLIJKE PHILIPS NVR- NY (PHG). This can be considered as Fairly Valued.
How profitable is KONINKLIJKE PHILIPS NVR- NY (PHG) stock?
KONINKLIJKE PHILIPS NVR- NY (PHG) has a profitability rating of 4 / 10.
How financially healthy is KONINKLIJKE PHILIPS NVR- NY?
The financial health rating of KONINKLIJKE PHILIPS NVR- NY (PHG) is 3 / 10.
Is the dividend of KONINKLIJKE PHILIPS NVR- NY sustainable?
The dividend rating of KONINKLIJKE PHILIPS NVR- NY (PHG) is 4 / 10 and the dividend payout ratio is 199.39%.