KONINKLIJKE PHILIPS NVR- NY (PHG)
US5004723038
We assign a fundamental rating of 4 out of 10 to PHG. PHG was compared to 196 industry peers in the Health Care Equipment & Supplies industry. Both the profitability and financial health of PHG have multiple concerns. PHG is not valued too expensively and it also shows a decent 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.
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
Looking at the Return On Assets, with a value of -1.58%, PHG is in the better half of the industry, outperforming 67.86% of the companies in the same industry.
PHG has a better Return On Equity (-3.87%) than 67.35% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.58% | ||
| ROE | -3.87% | ||
| 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
PHG's Operating Margin has declined in the last couple of years.
The Gross Margin of PHG (41.00%) is worse than 63.78% of its industry peers.
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% |
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.
Compared to 5 years ago, PHG has less shares outstanding
Compared to 1 year ago, PHG has a worse debt to assets ratio.
2.2 Solvency
PHG has an Altman-Z score of 1.52. This is a bad value and indicates that PHG is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.52, PHG is in line with its industry, outperforming 56.63% of the companies in the same industry.
The Debt to FCF ratio of PHG is 4.76, which is a neutral value as it means it would take PHG, 4.76 years of fcf income to pay off all of its debts.
PHG has a Debt to FCF ratio of 4.76. This is amongst the best in the industry. PHG outperforms 83.16% of its industry peers.
PHG has a Debt/Equity ratio of 0.58. This is a neutral value indicating PHG is somewhat dependend on debt financing.
PHG's Debt to Equity ratio of 0.58 is on the low side compared to the rest of the industry. PHG is outperformed by 68.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 4.76 | ||
| Altman-Z | 1.52 |
ROIC/WACCN/A
WACC6.42%
2.3 Liquidity
A Current Ratio of 1.20 indicates that PHG should not have too much problems paying its short term obligations.
The Current ratio of PHG (1.20) is worse than 89.80% of its industry peers.
PHG has a Quick Ratio of 1.20. This is a bad value and indicates that PHG is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.78, PHG is doing worse than 90.31% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.2 | ||
| Quick Ratio | 0.78 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 30.53% over the past year.
Measured over the past years, PHG shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.67% on average per year.
Looking at the last year, PHG shows a small growth in Revenue. The Revenue has grown by 1.92% in the last year.
Measured over the past years, PHG shows a small growth in Revenue. The Revenue has been growing by 0.05% on average per year.
EPS 1Y (TTM)30.53%
EPS 3Y-15.7%
EPS 5Y-2.67%
EPS growth Q2Q0%
Revenue 1Y (TTM)1.92%
Revenue growth 3Y1.62%
Revenue growth 5Y0.05%
Revenue growth Q2Q-6.64%
3.2 Future
The Earnings Per Share is expected to grow by 17.30% on average over the next years. This is quite good.
Based on estimates for the next years, PHG will show a small growth in Revenue. The Revenue will grow by 4.66% on average per year.
EPS Next Y8.91%
EPS Next 2Y13.09%
EPS Next 3Y12.64%
EPS Next 5Y17.3%
Revenue Next Year1.66%
Revenue Next 2Y3.34%
Revenue Next 3Y3.85%
Revenue Next 5Y4.66%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 15.14, the valuation of PHG can be described as correct.
89.80% of the companies in the same industry are more expensive than PHG, based on the Price/Earnings ratio.
PHG's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 24.80.
Based on the Price/Forward Earnings ratio of 13.91, the valuation of PHG can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PHG indicates a rather cheap valuation: PHG is cheaper than 93.37% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of PHG to the average of the S&P500 Index (21.27), we can say PHG is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.14 | ||
| Fwd PE | 13.91 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PHG indicates a somewhat cheap valuation: PHG is cheaper than 78.57% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, PHG is valued cheaper than 95.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.54 | ||
| EV/EBITDA | 19.9 |
4.3 Compensation for Growth
PHG's 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 12.64% in the coming years.
PEG (NY)1.7
PEG (5Y)N/A
EPS Next 2Y13.09%
EPS Next 3Y12.64%
5. Dividend
5.1 Amount
PHG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
KONINKLIJKE PHILIPS NVR- NY
NYSE:PHG (4/18/2024, 7:14:06 PM)
After market: 19.98 0 (0%)19.98
-0.17 (-0.84%)
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 Cap18.11B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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Min EPS beat(2)
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EPS beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
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Revenue NQ rev (1m)
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Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.14 | ||
| Fwd PE | 13.91 | ||
| 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)1.7
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.58% | ||
| ROE | -3.87% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 41% | ||
| 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 | 0.58 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.2 | ||
| Quick Ratio | 0.78 | ||
| 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)
Growth
EPS 1Y (TTM)30.53%
EPS 3Y-15.7%
EPS 5Y
EPS growth Q2Q
EPS Next Y8.91%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)1.92%
Revenue growth 3Y1.62%
Revenue growth 5Y
Revenue growth 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
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