PNC FINANCIAL SERVICES GROUP (PNC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:PNC - US6934751057 - Common Stock
213.48 USD
+1.53 (+0.72%)
213.48 USD
0 (0%)
Overall PNC gets a fundamental rating of 3 out of 10. We evaluated PNC against 388 industry peers in the Banks industry. PNC has a medium profitability rating, but doesn't score so well on its financial health evaluation. PNC is quite expensive at the moment. It does show a decent growth rate. Finally PNC also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
PNC had positive earnings in the past year.
PNC had a positive operating cash flow in the past year.
In the past 5 years PNC has always been profitable.
In the past 5 years PNC always reported a positive cash flow from operatings.
1.2 Ratios
PNC has a Return On Assets of 1.08%. This is in the better half of the industry: PNC outperforms 69.59% of its industry peers.
Looking at the Return On Equity, with a value of 10.44%, PNC is in the better half of the industry, outperforming 67.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.08% | ||
| ROE | 10.44% | ||
| ROIC | N/A |
ROA(3y)0.97%
ROA(5y)1.09%
ROE(3y)10.87%
ROE(5y)11.15%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 27.26%, PNC is doing good in the industry, outperforming 66.75% of the companies in the same industry.
PNC's Profit Margin has declined in the last couple of years.
PNC does not have Operating Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 27.26% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-3.25%
PM growth 5Y-3.43%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
PNC does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for PNC has been reduced compared to 1 year ago.
Compared to 5 years ago, PNC has less shares outstanding
PNC has a worse debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of PNC is 8.52, which is on the high side as it means it would take PNC, 8.52 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 8.52, PNC is not doing good in the industry: 76.80% of the companies in the same industry are doing better.
A Debt/Equity ratio of 0.78 indicates that PNC is somewhat dependend on debt financing.
PNC has a Debt to Equity ratio of 0.78. This is amonst the worse of the industry: PNC underperforms 83.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 8.52 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC12.63%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 14.08% over the past year.
PNC shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.46% yearly.
The Revenue has been growing slightly by 5.84% in the past year.
The Revenue has been growing slightly by 5.06% on average over the past years.
EPS 1Y (TTM)14.08%
EPS 3Y-1.33%
EPS 5Y4.46%
EPS Q2Q%16%
Revenue 1Y (TTM)5.84%
Revenue growth 3Y3.91%
Revenue growth 5Y5.06%
Sales Q2Q%8.89%
3.2 Future
Based on estimates for the next years, PNC will show a small growth in Earnings Per Share. The EPS will grow by 4.79% on average per year.
Based on estimates for the next years, PNC will show a small growth in Revenue. The Revenue will grow by 3.29% on average per year.
EPS Next Y13.08%
EPS Next 2Y12.52%
EPS Next 3Y12.05%
EPS Next 5Y4.79%
Revenue Next Year6.86%
Revenue Next 2Y7.36%
Revenue Next 3Y6.67%
Revenue Next 5Y3.29%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 13.79, PNC is valued correctly.
Compared to the rest of the industry, the Price/Earnings ratio of PNC is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 26.59. PNC is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 11.89, which indicates a very decent valuation of PNC.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PNC indicates a slightly more expensive valuation: PNC is more expensive than 60.82% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.03, PNC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.79 | ||
| Fwd PE | 11.89 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PNC indicates a slightly more expensive valuation: PNC is more expensive than 63.40% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.43 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PNC's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PNC's earnings are expected to grow with 12.05% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.05
PEG (5Y)3.09
EPS Next 2Y12.52%
EPS Next 3Y12.05%
5. Dividend
5.1 Amount
PNC has a Yearly Dividend Yield of 3.25%. Purely for dividend investing, there may be better candidates out there.
PNC's Dividend Yield is a higher than the industry average which is at 2.74.
Compared to an average S&P500 Dividend Yield of 1.87, PNC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.25% |
5.2 History
On average, the dividend of PNC grows each year by 8.73%, which is quite nice.
PNC has paid a dividend for at least 10 years, which is a reliable track record.
PNC has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)8.73%
Div Incr Years14
Div Non Decr Years14
5.3 Sustainability
47.44% of the earnings are spent on dividend by PNC. This is a bit on the high side, but may be sustainable.
PNC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP47.44%
EPS Next 2Y12.52%
EPS Next 3Y12.05%
213.48
+1.53 (+0.72%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners87.49%
Inst Owner Change1.4%
Ins Owners0.28%
Ins Owner Change-0.28%
Market Cap83.72B
Revenue(TTM)22.59B
Net Income(TTM)6.16B
Analysts78.57
Price TargetN/A
Short Float %1.8%
Short Ratio3.3
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.25% |
Yearly Dividend7.28
Dividend Growth(5Y)8.73%
DP47.44%
Div Incr Years14
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.76%
Min EPS beat(2)6.35%
Max EPS beat(2)7.16%
EPS beat(4)4
Avg EPS beat(4)7.1%
Min EPS beat(4)2.77%
Max EPS beat(4)12.11%
EPS beat(8)8
Avg EPS beat(8)8.43%
EPS beat(12)11
Avg EPS beat(12)5.32%
EPS beat(16)14
Avg EPS beat(16)4.98%
Revenue beat(2)1
Avg Revenue beat(2)0.21%
Min Revenue beat(2)-0.02%
Max Revenue beat(2)0.44%
Revenue beat(4)2
Avg Revenue beat(4)-0.28%
Min Revenue beat(4)-1.66%
Max Revenue beat(4)0.44%
Revenue beat(8)3
Avg Revenue beat(8)-0.48%
Revenue beat(12)3
Avg Revenue beat(12)-0.75%
Revenue beat(16)4
Avg Revenue beat(16)-0.8%
PT rev (1m)-0.49%
PT rev (3m)2.31%
EPS NQ rev (1m)0.18%
EPS NQ rev (3m)-0.81%
EPS NY rev (1m)0.04%
EPS NY rev (3m)2.21%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)-0.42%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.79 | ||
| Fwd PE | 11.89 | ||
| P/S | 3.71 | ||
| P/FCF | 15.43 | ||
| P/OCF | 15.43 | ||
| P/B | 1.42 | ||
| P/tB | 1.89 | ||
| EV/EBITDA | N/A |
EPS(TTM)15.48
EY7.25%
EPS(NY)17.95
Fwd EY8.41%
FCF(TTM)13.84
FCFY6.48%
OCF(TTM)13.84
OCFY6.48%
SpS57.62
BVpS150.42
TBVpS113.22
PEG (NY)1.05
PEG (5Y)3.09
Graham Number228.89
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.08% | ||
| ROE | 10.44% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 27.26% | ||
| GM | N/A | ||
| FCFM | 24.02% |
ROA(3y)0.97%
ROA(5y)1.09%
ROE(3y)10.87%
ROE(5y)11.15%
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
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-3.25%
PM growth 5Y-3.43%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 8.52 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 88.12% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC12.63%
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)166.59%
Profit Quality(5y)139.44%
High Growth Momentum
Growth
EPS 1Y (TTM)14.08%
EPS 3Y-1.33%
EPS 5Y4.46%
EPS Q2Q%16%
EPS Next Y13.08%
EPS Next 2Y12.52%
EPS Next 3Y12.05%
EPS Next 5Y4.79%
Revenue 1Y (TTM)5.84%
Revenue growth 3Y3.91%
Revenue growth 5Y5.06%
Sales Q2Q%8.89%
Revenue Next Year6.86%
Revenue Next 2Y7.36%
Revenue Next 3Y6.67%
Revenue Next 5Y3.29%
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-41.6%
FCF growth 3Y2.99%
FCF growth 5Y1.37%
OCF growth 1Y-41.6%
OCF growth 3Y2.99%
OCF growth 5Y1.37%
PNC FINANCIAL SERVICES GROUP / PNC FAQ
Can you provide the ChartMill fundamental rating for PNC FINANCIAL SERVICES GROUP?
ChartMill assigns a fundamental rating of 3 / 10 to PNC.
What is the valuation status for PNC stock?
ChartMill assigns a valuation rating of 3 / 10 to PNC FINANCIAL SERVICES GROUP (PNC). This can be considered as Overvalued.
Can you provide the profitability details for PNC FINANCIAL SERVICES GROUP?
PNC FINANCIAL SERVICES GROUP (PNC) has a profitability rating of 4 / 10.
What is the expected EPS growth for PNC FINANCIAL SERVICES GROUP (PNC) stock?
The Earnings per Share (EPS) of PNC FINANCIAL SERVICES GROUP (PNC) is expected to grow by 13.08% in the next year.
Is the dividend of PNC FINANCIAL SERVICES GROUP sustainable?
The dividend rating of PNC FINANCIAL SERVICES GROUP (PNC) is 7 / 10 and the dividend payout ratio is 47.44%.