PREMIER INC-CLASS A (PINC) Stock Fundamental Analysis
NASDAQ:PINC - US74051N1028 - Common Stock
25.9 USD
-0.37 (-1.41%)
25.9 USD
0 (0%)
Overall PINC gets a fundamental rating of 4 out of 10. We evaluated PINC against 101 industry peers in the Health Care Providers & Services industry. PINC has only an average score on both its financial health and profitability. PINC has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
PINC had positive earnings in the past year.
PINC had a positive operating cash flow in the past year.
Each year in the past 5 years PINC has been profitable.
PINC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of PINC (0.65%) is comparable to the rest of the industry.
PINC has a Return On Equity of 1.32%. This is comparable to the rest of the industry: PINC outperforms 54.46% of its industry peers.
PINC has a Return On Invested Capital (4.84%) which is in line with its industry peers.
PINC had an Average Return On Invested Capital over the past 3 years of 6.34%. This is below the industry average of 9.14%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.65% | ||
| ROE | 1.32% | ||
| ROIC | 4.84% |
ROA(3y)3.12%
ROA(5y)4.94%
ROE(3y)4.97%
ROE(5y)7.69%
ROIC(3y)6.34%
ROIC(5y)6.59%
1.3 Margins
PINC's Profit Margin of 2.00% is fine compared to the rest of the industry. PINC outperforms 62.38% of its industry peers.
In the last couple of years the Profit Margin of PINC has declined.
PINC's Operating Margin of 14.38% is amongst the best of the industry. PINC outperforms 85.15% of its industry peers.
In the last couple of years the Operating Margin of PINC has declined.
Looking at the Gross Margin, with a value of 73.41%, PINC belongs to the top of the industry, outperforming 88.12% of the companies in the same industry.
PINC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.38% | ||
| PM (TTM) | 2% | ||
| GM | 73.41% |
OM growth 3Y-7.48%
OM growth 5Y-11.75%
PM growth 3Y-52.4%
PM growth 5Y-46.59%
GM growth 3Y5.93%
GM growth 5Y1.94%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PINC is destroying value.
The number of shares outstanding for PINC has been reduced compared to 1 year ago.
Compared to 5 years ago, PINC has less shares outstanding
Compared to 1 year ago, PINC has a worse debt to assets ratio.
2.2 Solvency
PINC has an Altman-Z score of 0.97. This is a bad value and indicates that PINC is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of PINC (0.97) is worse than 72.28% of its industry peers.
The Debt to FCF ratio of PINC is 2.89, which is a good value as it means it would take PINC, 2.89 years of fcf income to pay off all of its debts.
PINC has a Debt to FCF ratio of 2.89. This is amongst the best in the industry. PINC outperforms 80.20% of its industry peers.
PINC has a Debt/Equity ratio of 0.39. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of PINC (0.39) is better than 65.35% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 2.89 | ||
| Altman-Z | 0.97 |
ROIC/WACC0.64
WACC7.52%
2.3 Liquidity
A Current Ratio of 0.64 indicates that PINC may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.64, PINC is doing worse than 87.13% of the companies in the same industry.
PINC has a Quick Ratio of 0.64. This is a bad value and indicates that PINC is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.64, PINC is doing worse than 82.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.64 | ||
| Quick Ratio | 0.64 |
3. Growth
3.1 Past
The earnings per share for PINC have decreased strongly by -35.71% in the last year.
PINC shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -10.94% yearly.
Looking at the last year, PINC shows a very negative growth in Revenue. The Revenue has decreased by -24.79% in the last year.
Measured over the past years, PINC shows a decrease in Revenue. The Revenue has been decreasing by -4.87% on average per year.
EPS 1Y (TTM)-35.71%
EPS 3Y-15.66%
EPS 5Y-10.94%
EPS Q2Q%-33.33%
Revenue 1Y (TTM)-24.79%
Revenue growth 3Y-10.93%
Revenue growth 5Y-4.87%
Sales Q2Q%-24.96%
3.2 Future
The Earnings Per Share is expected to grow by 3.85% on average over the next years.
The Revenue is expected to grow by 1.88% on average over the next years.
EPS Next Y-8.67%
EPS Next 2Y-0.72%
EPS Next 3Y3.85%
EPS Next 5YN/A
Revenue Next Year-1.92%
Revenue Next 2Y-0.05%
Revenue Next 3Y1.88%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
The Price/Earnings ratio is 16.93, which indicates a correct valuation of PINC.
Compared to the rest of the industry, the Price/Earnings ratio of PINC indicates a somewhat cheap valuation: PINC is cheaper than 77.23% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.08, PINC is valued a bit cheaper.
A Price/Forward Earnings ratio of 18.53 indicates a rather expensive valuation of PINC.
Based on the Price/Forward Earnings ratio, PINC is valued a bit cheaper than the industry average as 62.38% of the companies are valued more expensively.
PINC is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.72, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.93 | ||
| Fwd PE | 18.53 |
4.2 Price Multiples
PINC's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. PINC is cheaper than 66.34% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, PINC is valued cheaper than 93.07% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.69 | ||
| EV/EBITDA | 11.4 |
4.3 Compensation for Growth
PINC has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-0.72%
EPS Next 3Y3.85%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.20%, PINC has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 2.50, PINC pays a better dividend. On top of this PINC pays more dividend than 95.05% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.34, PINC pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.2% |
5.2 History
PINC has been paying a dividend for over 5 years, so it has already some track record.
The dividend of PINC decreased recently.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
382.09% of the earnings are spent on dividend by PINC. This is not a sustainable payout ratio.
DP382.09%
EPS Next 2Y-0.72%
EPS Next 3Y3.85%
25.9
-0.37 (-1.41%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners95.77%
Inst Owner Change-0.88%
Ins Owners0.86%
Ins Owner Change10.56%
Market Cap2.14B
Analysts50.77
Price Target25.65 (-0.97%)
Short Float %14.24%
Short Ratio6.18
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.2% |
Yearly Dividend0.85
Dividend Growth(5Y)N/A
DP382.09%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)41.01%
Min EPS beat(2)32.64%
Max EPS beat(2)49.39%
EPS beat(4)3
Avg EPS beat(4)26.12%
Min EPS beat(4)-10.51%
Max EPS beat(4)49.39%
EPS beat(8)7
Avg EPS beat(8)20.15%
EPS beat(12)9
Avg EPS beat(12)12.83%
EPS beat(16)12
Avg EPS beat(16)10.38%
Revenue beat(2)2
Avg Revenue beat(2)5.31%
Min Revenue beat(2)4.04%
Max Revenue beat(2)6.57%
Revenue beat(4)3
Avg Revenue beat(4)2.16%
Min Revenue beat(4)-3.15%
Max Revenue beat(4)6.57%
Revenue beat(8)5
Avg Revenue beat(8)2.18%
Revenue beat(12)6
Avg Revenue beat(12)-0.43%
Revenue beat(16)10
Avg Revenue beat(16)0.32%
PT rev (1m)12.82%
PT rev (3m)28.94%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.69%
EPS NY rev (1m)-1.84%
EPS NY rev (3m)-3.07%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.77%
Revenue NY rev (1m)-0.3%
Revenue NY rev (3m)-0.94%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.93 | ||
| Fwd PE | 18.53 | ||
| P/S | 2.11 | ||
| P/FCF | 6.69 | ||
| P/OCF | 5.31 | ||
| P/B | 1.39 | ||
| P/tB | 5.58 | ||
| EV/EBITDA | 11.4 |
EPS(TTM)1.53
EY5.91%
EPS(NY)1.4
Fwd EY5.4%
FCF(TTM)3.87
FCFY14.95%
OCF(TTM)4.88
OCFY18.82%
SpS12.3
BVpS18.59
TBVpS4.64
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.65% | ||
| ROE | 1.32% | ||
| ROCE | 6.66% | ||
| ROIC | 4.84% | ||
| ROICexc | 5.03% | ||
| ROICexgc | 11.09% | ||
| OM | 14.38% | ||
| PM (TTM) | 2% | ||
| GM | 73.41% | ||
| FCFM | 31.48% |
ROA(3y)3.12%
ROA(5y)4.94%
ROE(3y)4.97%
ROE(5y)7.69%
ROIC(3y)6.34%
ROIC(5y)6.59%
ROICexc(3y)6.61%
ROICexc(5y)6.86%
ROICexgc(3y)14.53%
ROICexgc(5y)14.89%
ROCE(3y)8.73%
ROCE(5y)9.06%
ROICexcg growth 3Y-12%
ROICexcg growth 5Y-15.35%
ROICexc growth 3Y-12.48%
ROICexc growth 5Y-14.13%
OM growth 3Y-7.48%
OM growth 5Y-11.75%
PM growth 3Y-52.4%
PM growth 5Y-46.59%
GM growth 3Y5.93%
GM growth 5Y1.94%
F-Score5
Asset Turnover0.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 2.89 | ||
| Debt/EBITDA | 2.24 | ||
| Cap/Depr | 70.26% | ||
| Cap/Sales | 8.16% | ||
| Interest Coverage | 5.98 | ||
| Cash Conversion | 152.5% | ||
| Profit Quality | 1572.75% | ||
| Current Ratio | 0.64 | ||
| Quick Ratio | 0.64 | ||
| Altman-Z | 0.97 |
F-Score5
WACC7.52%
ROIC/WACC0.64
Cap/Depr(3y)64.9%
Cap/Depr(5y)67.16%
Cap/Sales(3y)7.16%
Cap/Sales(5y)6.55%
Profit Quality(3y)653.29%
Profit Quality(5y)443.24%
High Growth Momentum
Growth
EPS 1Y (TTM)-35.71%
EPS 3Y-15.66%
EPS 5Y-10.94%
EPS Q2Q%-33.33%
EPS Next Y-8.67%
EPS Next 2Y-0.72%
EPS Next 3Y3.85%
EPS Next 5YN/A
Revenue 1Y (TTM)-24.79%
Revenue growth 3Y-10.93%
Revenue growth 5Y-4.87%
Sales Q2Q%-24.96%
Revenue Next Year-1.92%
Revenue Next 2Y-0.05%
Revenue Next 3Y1.88%
Revenue Next 5YN/A
EBIT growth 1Y-45.69%
EBIT growth 3Y-17.59%
EBIT growth 5Y-16.04%
EBIT Next Year40.86%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y48.01%
FCF growth 3Y-3.69%
FCF growth 5Y4.56%
OCF growth 1Y35.36%
OCF growth 3Y-3.32%
OCF growth 5Y2.81%