PERNOD RICARD SA (RI.PA) Stock Fundamental Analysis
EPA:RI - Euronext Paris - Matif - FR0000120693 - Common Stock - Currency: EUR
Overall RI gets a fundamental rating of 4 out of 10. We evaluated RI against 25 industry peers in the Beverages industry. RI has a medium profitability rating, but doesn't score so well on its financial health evaluation. RI does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year RI was profitable.
RI had a positive operating cash flow in the past year.
Each year in the past 5 years RI has been profitable.
RI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of 2.76%, RI perfoms like the industry average, outperforming 44.00% of the companies in the same industry.
RI has a Return On Equity (6.63%) which is comparable to the rest of the industry.
RI has a Return On Invested Capital of 6.20%. This is in the lower half of the industry: RI underperforms 68.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for RI is in line with the industry average of 7.98%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.76% | ||
| ROE | 6.63% | ||
| ROIC | 6.2% |
ROA(3y)5.1%
ROA(5y)4.08%
ROE(3y)12.09%
ROE(5y)9.49%
ROIC(3y)7.26%
ROIC(5y)6.76%
1.3 Margins
Looking at the Profit Margin, with a value of 9.81%, RI is in the better half of the industry, outperforming 64.00% of the companies in the same industry.
RI's Profit Margin has declined in the last couple of years.
RI has a Operating Margin of 26.27%. This is amongst the best in the industry. RI outperforms 88.00% of its industry peers.
RI's Operating Margin has been stable in the last couple of years.
RI has a better Gross Margin (59.61%) than 76.00% of its industry peers.
In the last couple of years the Gross Margin of RI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.27% | ||
| PM (TTM) | 9.81% | ||
| GM | 59.61% |
OM growth 3Y-0.44%
OM growth 5Y-0.69%
PM growth 3Y-4.88%
PM growth 5Y-4.29%
GM growth 3Y0.09%
GM growth 5Y-0.45%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so RI is still creating some value.
RI has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, RI has less shares outstanding
RI has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.76, we must say that RI is in the distress zone and has some risk of bankruptcy.
RI has a worse Altman-Z score (1.76) than 64.00% of its industry peers.
The Debt to FCF ratio of RI is 12.80, which is on the high side as it means it would take RI, 12.80 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of RI (12.80) is worse than 60.00% of its industry peers.
A Debt/Equity ratio of 0.76 indicates that RI is somewhat dependend on debt financing.
The Debt to Equity ratio of RI (0.76) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 12.8 | ||
| Altman-Z | 1.76 |
ROIC/WACC1.07
WACC5.78%
2.3 Liquidity
A Current Ratio of 1.97 indicates that RI should not have too much problems paying its short term obligations.
The Current ratio of RI (1.97) is better than 72.00% of its industry peers.
A Quick Ratio of 0.70 indicates that RI may have some problems paying its short term obligations.
RI's Quick ratio of 0.70 is fine compared to the rest of the industry. RI outperforms 72.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.97 | ||
| Quick Ratio | 0.7 |
3. Growth
3.1 Past
The earnings per share for RI have decreased strongly by -45.69% in the last year.
The Earnings Per Share has been growing slightly by 1.24% on average over the past years.
The Revenue has decreased by -3.68% in the past year.
RI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.78% yearly.
EPS 1Y (TTM)-45.69%
EPS 3Y5.32%
EPS 5Y1.24%
EPS Q2Q%-11.27%
Revenue 1Y (TTM)-3.68%
Revenue growth 3Y9.54%
Revenue growth 5Y4.78%
Sales Q2Q%-6.28%
3.2 Future
The Earnings Per Share is expected to grow by 2.60% on average over the next years.
Based on estimates for the next years, RI will show a small growth in Revenue. The Revenue will grow by 1.68% on average per year.
EPS Next Y-11.31%
EPS Next 2Y-5.91%
EPS Next 3Y-2.25%
EPS Next 5Y2.6%
Revenue Next Year-5.57%
Revenue Next 2Y-4.01%
Revenue Next 3Y-1.65%
Revenue Next 5Y1.68%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 20.28, which indicates a rather expensive current valuation of RI.
Compared to the rest of the industry, the Price/Earnings ratio of RI is on the same level as its industry peers.
When comparing the Price/Earnings ratio of RI to the average of the S&P500 Index (26.32), we can say RI is valued slightly cheaper.
The Price/Forward Earnings ratio is 12.12, which indicates a correct valuation of RI.
Based on the Price/Forward Earnings ratio, RI is valued a bit cheaper than 72.00% of the companies in the same industry.
RI's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.19.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.28 | ||
| Fwd PE | 12.12 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of RI is on the same level as its industry peers.
RI's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.48 | ||
| EV/EBITDA | 9.87 |
4.3 Compensation for Growth
A cheap valuation may be justified as RI's earnings are expected to decrease with -2.25% in the coming years.
PEG (NY)N/A
PEG (5Y)16.29
EPS Next 2Y-5.91%
EPS Next 3Y-2.25%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.20%, RI is a good candidate for dividend investing.
RI's Dividend Yield is rather good when compared to the industry average which is at 2.89. RI pays more dividend than 96.00% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, RI pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.2% |
5.2 History
On average, the dividend of RI grows each year by 14.30%, which is quite nice.
Dividend Growth(5Y)14.3%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
109.66% of the earnings are spent on dividend by RI. This is not a sustainable payout ratio.
RI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP109.66%
EPS Next 2Y-5.91%
EPS Next 3Y-2.25%
EPA:RI (6/18/2025, 5:36:15 PM)
88.42
-0.08 (-0.09%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners47.97%
Inst Owner ChangeN/A
Ins Owners0.68%
Ins Owner ChangeN/A
Market Cap22.31B
Analysts73.33
Price Target114.04 (28.98%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.2% |
Yearly Dividend4.77
Dividend Growth(5Y)14.3%
DP109.66%
Div Incr Years0
Div Non Decr Years4
Ex-DateN/A
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)-0.22%
PT rev (3m)-9.42%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-1.93%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.28 | ||
| Fwd PE | 12.12 | ||
| P/S | 1.99 | ||
| P/FCF | 20.48 | ||
| P/OCF | 12.13 | ||
| P/B | 1.35 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.87 |
EPS(TTM)4.36
EY4.93%
EPS(NY)7.29
Fwd EY8.25%
FCF(TTM)4.32
FCFY4.88%
OCF(TTM)7.29
OCFY8.24%
SpS44.33
BVpS65.58
TBVpS-11.05
PEG (NY)N/A
PEG (5Y)16.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.76% | ||
| ROE | 6.63% | ||
| ROCE | 8.86% | ||
| ROIC | 6.2% | ||
| ROICexc | 6.57% | ||
| ROICexgc | 16.35% | ||
| OM | 26.27% | ||
| PM (TTM) | 9.81% | ||
| GM | 59.61% | ||
| FCFM | 9.74% |
ROA(3y)5.1%
ROA(5y)4.08%
ROE(3y)12.09%
ROE(5y)9.49%
ROIC(3y)7.26%
ROIC(5y)6.76%
ROICexc(3y)7.83%
ROICexc(5y)7.29%
ROICexgc(3y)21.73%
ROICexgc(5y)20.26%
ROCE(3y)10.2%
ROCE(5y)9.46%
ROICexcg growth 3Y5.76%
ROICexcg growth 5Y-0.66%
ROICexc growth 3Y4.26%
ROICexc growth 5Y0.96%
OM growth 3Y-0.44%
OM growth 5Y-0.69%
PM growth 3Y-4.88%
PM growth 5Y-4.29%
GM growth 3Y0.09%
GM growth 5Y-0.45%
F-Score5
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 12.8 | ||
| Debt/EBITDA | 3.73 | ||
| Cap/Depr | 172.41% | ||
| Cap/Sales | 6.71% | ||
| Interest Coverage | 6.43 | ||
| Cash Conversion | 54.52% | ||
| Profit Quality | 99.27% | ||
| Current Ratio | 1.97 | ||
| Quick Ratio | 0.7 | ||
| Altman-Z | 1.76 |
F-Score5
WACC5.78%
ROIC/WACC1.07
Cap/Depr(3y)158.81%
Cap/Depr(5y)139.74%
Cap/Sales(3y)5.73%
Cap/Sales(5y)5.28%
Profit Quality(3y)71%
Profit Quality(5y)116.07%
High Growth Momentum
Growth
EPS 1Y (TTM)-45.69%
EPS 3Y5.32%
EPS 5Y1.24%
EPS Q2Q%-11.27%
EPS Next Y-11.31%
EPS Next 2Y-5.91%
EPS Next 3Y-2.25%
EPS Next 5Y2.6%
Revenue 1Y (TTM)-3.68%
Revenue growth 3Y9.54%
Revenue growth 5Y4.78%
Sales Q2Q%-6.28%
Revenue Next Year-5.57%
Revenue Next 2Y-4.01%
Revenue Next 3Y-1.65%
Revenue Next 5Y1.68%
EBIT growth 1Y-3.32%
EBIT growth 3Y9.06%
EBIT growth 5Y4.06%
EBIT Next Year6.37%
EBIT Next 3Y2.31%
EBIT Next 5Y4.41%
FCF growth 1Y-18.85%
FCF growth 3Y-15.21%
FCF growth 5Y-6.43%
OCF growth 1Y-5.16%
OCF growth 3Y-4.74%
OCF growth 5Y0.1%