PRUDENTIAL PLC-ADR (PUK) Stock Fundamental Analysis
NYSE:PUK - New York Stock Exchange, Inc. - US74435K2042 - ADR - Currency: USD
Overall PUK gets a fundamental rating of 5 out of 10. We evaluated PUK against 143 industry peers in the Insurance industry. Both the profitability and the financial health of PUK get a neutral evaluation. Nothing too spectacular is happening here. PUK is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
PUK had positive earnings in the past year.
In the past year PUK had a positive cash flow from operations.
In multiple years PUK reported negative net income over the last 5 years.
PUK had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
PUK has a Return On Assets (1.26%) which is comparable to the rest of the industry.
With a decent Return On Equity value of 13.06%, PUK is doing good in the industry, outperforming 60.84% of the companies in the same industry.
PUK has a Return On Invested Capital of 1.24%. This is comparable to the rest of the industry: PUK outperforms 42.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.26% | ||
| ROE | 13.06% | ||
| ROIC | 1.24% |
ROA(3y)0.54%
ROA(5y)0.2%
ROE(3y)5.53%
ROE(5y)2.96%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
PUK has a better Profit Margin (19.26%) than 87.41% of its industry peers.
PUK's Profit Margin has improved in the last couple of years.
The Operating Margin of PUK (22.91%) is better than 86.01% of its industry peers.
PUK's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.91% | ||
| PM (TTM) | 19.26% | ||
| GM | N/A |
OM growth 3Y31.22%
OM growth 5Y57.97%
PM growth 3YN/A
PM growth 5Y87.31%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PUK is destroying value.
The number of shares outstanding for PUK has been reduced compared to 1 year ago.
Compared to 5 years ago, PUK has more shares outstanding
The debt/assets ratio for PUK has been reduced compared to a year ago.
2.2 Solvency
The Debt to FCF ratio of PUK is 1.35, which is an excellent value as it means it would take PUK, only 1.35 years of fcf income to pay off all of its debts.
PUK has a Debt to FCF ratio of 1.35. This is comparable to the rest of the industry: PUK outperforms 55.24% of its industry peers.
A Debt/Equity ratio of 0.27 indicates that PUK is not too dependend on debt financing.
PUK has a Debt to Equity ratio of 0.27. This is in the better half of the industry: PUK outperforms 62.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 1.35 | ||
| Altman-Z | N/A |
ROIC/WACC0.15
WACC8.56%
2.3 Liquidity
A Current Ratio of 0.42 indicates that PUK may have some problems paying its short term obligations.
The Current ratio of PUK (0.42) is better than 72.73% of its industry peers.
A Quick Ratio of 0.42 indicates that PUK may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.42, PUK is in the better half of the industry, outperforming 72.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.42 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
PUK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 36.66%, which is quite impressive.
Measured over the past years, PUK shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -12.53% on average per year.
PUK shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.05%.
Measured over the past years, PUK shows a very negative growth in Revenue. The Revenue has been decreasing by -33.86% on average per year.
EPS 1Y (TTM)36.66%
EPS 3YN/A
EPS 5Y-12.53%
EPS Q2Q%192%
Revenue 1Y (TTM)11.05%
Revenue growth 3Y-23.5%
Revenue growth 5Y-33.86%
Sales Q2Q%26.54%
3.2 Future
The Earnings Per Share is expected to grow by 14.67% on average over the next years. This is quite good.
The Revenue is expected to grow by 15.31% on average over the next years. This is quite good.
EPS Next Y16.31%
EPS Next 2Y16.27%
EPS Next 3Y16.34%
EPS Next 5Y14.67%
Revenue Next Year13.49%
Revenue Next 2Y13.33%
Revenue Next 3Y6.06%
Revenue Next 5Y15.31%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
PUK is valuated correctly with a Price/Earnings ratio of 12.41.
The rest of the industry has a similar Price/Earnings ratio as PUK.
The average S&P500 Price/Earnings ratio is at 24.95. PUK is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 10.65 indicates a reasonable valuation of PUK.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PUK is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 20.99. PUK is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.41 | ||
| Fwd PE | 10.65 |
4.2 Price Multiples
PUK's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.53 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PUK's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PUK's earnings are expected to grow with 16.34% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.76
PEG (5Y)N/A
EPS Next 2Y16.27%
EPS Next 3Y16.34%
5. Dividend
5.1 Amount
PUK has a Yearly Dividend Yield of 2.10%. Purely for dividend investing, there may be better candidates out there.
PUK's Dividend Yield is comparable with the industry average which is at 3.22.
PUK's Dividend Yield is comparable with the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.1% |
5.2 History
The dividend of PUK decreases each year by -20.17%.
PUK has been paying a dividend for at least 10 years, so it has a reliable track record.
PUK has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-20.17%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
PUK pays out 24.16% of its income as dividend. This is a sustainable payout ratio.
DP24.16%
EPS Next 2Y16.27%
EPS Next 3Y16.34%
23.09
+0.18 (+0.79%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners61.74%
Inst Owner Change1.66%
Ins Owners0.23%
Ins Owner ChangeN/A
Market Cap29.93B
Analysts82.5
Price Target31.76 (37.55%)
Short Float %0.14%
Short Ratio1.73
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.1% |
Yearly Dividend0.2
Dividend Growth(5Y)-20.17%
DP24.16%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)4.19%
PT rev (3m)9.92%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.6%
EPS NY rev (3m)-0.1%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.48%
Revenue NY rev (3m)0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.41 | ||
| Fwd PE | 10.65 | ||
| P/S | 2.52 | ||
| P/FCF | 8.53 | ||
| P/OCF | 8.29 | ||
| P/B | 1.71 | ||
| P/tB | 2.33 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.86
EY8.06%
EPS(NY)2.17
Fwd EY9.39%
FCF(TTM)2.71
FCFY11.72%
OCF(TTM)2.78
OCFY12.06%
SpS9.15
BVpS13.49
TBVpS9.89
PEG (NY)0.76
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.26% | ||
| ROE | 13.06% | ||
| ROCE | 1.52% | ||
| ROIC | 1.24% | ||
| ROICexc | 1.28% | ||
| ROICexgc | 1.36% | ||
| OM | 22.91% | ||
| PM (TTM) | 19.26% | ||
| GM | N/A | ||
| FCFM | 29.57% |
ROA(3y)0.54%
ROA(5y)0.2%
ROE(3y)5.53%
ROE(5y)2.96%
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
ROICexcg growth 3Y-3.2%
ROICexcg growth 5Y24.26%
ROICexc growth 3Y2.96%
ROICexc growth 5Y25.51%
OM growth 3Y31.22%
OM growth 5Y57.97%
PM growth 3YN/A
PM growth 5Y87.31%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover0.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 1.35 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 0.85% | ||
| Interest Coverage | 11.37 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 153.52% | ||
| Current Ratio | 0.42 | ||
| Quick Ratio | 0.42 | ||
| Altman-Z | N/A |
F-Score8
WACC8.56%
ROIC/WACC0.15
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)0.58%
Cap/Sales(5y)0.41%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)36.66%
EPS 3YN/A
EPS 5Y-12.53%
EPS Q2Q%192%
EPS Next Y16.31%
EPS Next 2Y16.27%
EPS Next 3Y16.34%
EPS Next 5Y14.67%
Revenue 1Y (TTM)11.05%
Revenue growth 3Y-23.5%
Revenue growth 5Y-33.86%
Sales Q2Q%26.54%
Revenue Next Year13.49%
Revenue Next 2Y13.33%
Revenue Next 3Y6.06%
Revenue Next 5Y15.31%
EBIT growth 1Y14.11%
EBIT growth 3Y0.38%
EBIT growth 5Y4.48%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y345.18%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y333.77%
OCF growth 3YN/A
OCF growth 5YN/A