T ROWE PRICE GROUP INC (TR1.DE) Stock Fundamental Analysis
FRA:TR1 - Deutsche Boerse Ag - US74144T1088 - Common Stock - Currency: EUR
We assign a fundamental rating of 7 out of 10 to TR1. TR1 was compared to 114 industry peers in the Capital Markets industry. While TR1 has a great health rating, its profitability is only average at the moment. TR1 may be a bit undervalued, certainly considering the very reasonable score on growth Finally TR1 also has an excellent dividend rating. With these ratings, TR1 could be worth investigating further for value and dividend investing!.
1. Profitability
1.1 Basic Checks
TR1 had positive earnings in the past year.
In the past year TR1 had a positive cash flow from operations.
TR1 had positive earnings in each of the past 5 years.
TR1 had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of TR1 (14.04%) is better than 95.61% of its industry peers.
TR1 has a Return On Equity of 18.90%. This is amongst the best in the industry. TR1 outperforms 87.72% of its industry peers.
TR1 has a better Return On Invested Capital (14.17%) than 93.86% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TR1 is significantly above the industry average of 8.01%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.04% | ||
| ROE | 18.9% | ||
| ROIC | 14.17% |
ROA(3y)14.15%
ROA(5y)17.62%
ROE(3y)18.44%
ROE(5y)23.71%
ROIC(3y)15.27%
ROIC(5y)18%
1.3 Margins
TR1's Profit Margin of 27.64% is fine compared to the rest of the industry. TR1 outperforms 77.19% of its industry peers.
TR1's Profit Margin has declined in the last couple of years.
TR1 has a Operating Margin of 33.61%. This is in the better half of the industry: TR1 outperforms 77.19% of its industry peers.
In the last couple of years the Operating Margin of TR1 has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 33.61% | ||
| PM (TTM) | 27.64% | ||
| GM | N/A |
OM growth 3Y-11.5%
OM growth 5Y-4.63%
PM growth 3Y-9.7%
PM growth 5Y-4.85%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
Compared to 1 year ago, TR1 has less shares outstanding
The number of shares outstanding for TR1 has been reduced compared to 5 years ago.
TR1 has a better debt/assets ratio than last year.
2.2 Solvency
TR1 has an Altman-Z score of 5.74. This indicates that TR1 is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.74, TR1 belongs to the top of the industry, outperforming 90.35% of the companies in the same industry.
The Debt to FCF ratio of TR1 is 0.03, which is an excellent value as it means it would take TR1, only 0.03 years of fcf income to pay off all of its debts.
TR1 has a better Debt to FCF ratio (0.03) than 98.25% of its industry peers.
A Debt/Equity ratio of 0.00 indicates that TR1 is not too dependend on debt financing.
TR1 has a Debt to Equity ratio of 0.00. This is amongst the best in the industry. TR1 outperforms 89.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.03 | ||
| Altman-Z | 5.74 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 2.61 indicates that TR1 has no problem at all paying its short term obligations.
With an excellent Current ratio value of 2.61, TR1 belongs to the best of the industry, outperforming 82.46% of the companies in the same industry.
TR1 has a Quick Ratio of 2.61. This indicates that TR1 is financially healthy and has no problem in meeting its short term obligations.
TR1's Quick ratio of 2.61 is amongst the best of the industry. TR1 outperforms 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.61 | ||
| Quick Ratio | 2.61 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.74% over the past year.
TR1 shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.42% yearly.
The Revenue has been growing slightly by 6.51% in the past year.
The Revenue has been growing slightly by 4.78% on average over the past years.
EPS 1Y (TTM)10.74%
EPS 3Y-9.91%
EPS 5Y2.42%
EPS Q2Q%-6.3%
Revenue 1Y (TTM)6.51%
Revenue growth 3Y-2.58%
Revenue growth 5Y4.78%
Sales Q2Q%0.78%
3.2 Future
The Earnings Per Share is expected to grow by 3.59% on average over the next years.
The Revenue is expected to grow by 2.79% on average over the next years.
EPS Next Y-10.03%
EPS Next 2Y-3.99%
EPS Next 3Y-1.81%
EPS Next 5Y3.59%
Revenue Next Year-2.61%
Revenue Next 2Y0.03%
Revenue Next 3Y1.1%
Revenue Next 5Y2.79%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 10.39 indicates a reasonable valuation of TR1.
Compared to the rest of the industry, the Price/Earnings ratio of TR1 indicates a rather cheap valuation: TR1 is cheaper than 84.21% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of TR1 to the average of the S&P500 Index (26.35), we can say TR1 is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 11.10, the valuation of TR1 can be described as reasonable.
Based on the Price/Forward Earnings ratio, TR1 is valued cheaply inside the industry as 82.46% of the companies are valued more expensively.
TR1's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.20.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.39 | ||
| Fwd PE | 11.1 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TR1 indicates a rather cheap valuation: TR1 is cheaper than 85.96% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TR1 indicates a rather cheap valuation: TR1 is cheaper than 80.70% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.45 | ||
| EV/EBITDA | 6.75 |
4.3 Compensation for Growth
TR1 has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)4.3
EPS Next 2Y-3.99%
EPS Next 3Y-1.81%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.34%, TR1 is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.98, TR1 pays a better dividend. On top of this TR1 pays more dividend than 86.84% of the companies listed in the same industry.
TR1's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.34% |
5.2 History
On average, the dividend of TR1 grows each year by 10.37%, which is quite nice.
Dividend Growth(5Y)10.37%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
57.96% of the earnings are spent on dividend by TR1. This is a bit on the high side, but may be sustainable.
TR1's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP57.96%
EPS Next 2Y-3.99%
EPS Next 3Y-1.81%
FRA:TR1 (5/27/2025, 7:00:00 PM)
83.88
+1.77 (+2.16%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners79.04%
Inst Owner ChangeN/A
Ins Owners1.67%
Ins Owner ChangeN/A
Market Cap18.48B
Analysts50
Price Target83.08 (-0.95%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.34% |
Yearly Dividend4.5
Dividend Growth(5Y)10.37%
DP57.96%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.33%
Min EPS beat(2)-5.31%
Max EPS beat(2)2.66%
EPS beat(4)2
Avg EPS beat(4)0.76%
Min EPS beat(4)-5.31%
Max EPS beat(4)7.98%
EPS beat(8)6
Avg EPS beat(8)7.08%
EPS beat(12)9
Avg EPS beat(12)3.35%
EPS beat(16)10
Avg EPS beat(16)1.9%
Revenue beat(2)0
Avg Revenue beat(2)-3.65%
Min Revenue beat(2)-4.33%
Max Revenue beat(2)-2.98%
Revenue beat(4)0
Avg Revenue beat(4)-4.31%
Min Revenue beat(4)-5.13%
Max Revenue beat(4)-2.98%
Revenue beat(8)2
Avg Revenue beat(8)-2.39%
Revenue beat(12)3
Avg Revenue beat(12)-2.9%
Revenue beat(16)3
Avg Revenue beat(16)-2.69%
PT rev (1m)-16.8%
PT rev (3m)-22.76%
EPS NQ rev (1m)-6.51%
EPS NQ rev (3m)-13.05%
EPS NY rev (1m)-4.2%
EPS NY rev (3m)-10.86%
Revenue NQ rev (1m)-4.62%
Revenue NQ rev (3m)-7.2%
Revenue NY rev (1m)-1.66%
Revenue NY rev (3m)-6.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.39 | ||
| Fwd PE | 11.1 | ||
| P/S | 2.96 | ||
| P/FCF | 16.45 | ||
| P/OCF | 12.51 | ||
| P/B | 2.02 | ||
| P/tB | 2.84 | ||
| EV/EBITDA | 6.75 |
EPS(TTM)8.07
EY9.62%
EPS(NY)7.56
Fwd EY9.01%
FCF(TTM)5.1
FCFY6.08%
OCF(TTM)6.7
OCFY7.99%
SpS28.34
BVpS41.46
TBVpS29.54
PEG (NY)N/A
PEG (5Y)4.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.04% | ||
| ROE | 18.9% | ||
| ROCE | 19.03% | ||
| ROIC | 14.17% | ||
| ROICexc | 18.29% | ||
| ROICexgc | 29.81% | ||
| OM | 33.61% | ||
| PM (TTM) | 27.64% | ||
| GM | N/A | ||
| FCFM | 17.99% |
ROA(3y)14.15%
ROA(5y)17.62%
ROE(3y)18.44%
ROE(5y)23.71%
ROIC(3y)15.27%
ROIC(5y)18%
ROICexc(3y)18.71%
ROICexc(5y)21.89%
ROICexgc(3y)30.22%
ROICexgc(5y)33.06%
ROCE(3y)20.58%
ROCE(5y)24.24%
ROICexcg growth 3Y-16.2%
ROICexcg growth 5Y-1.08%
ROICexc growth 3Y-13.37%
ROICexc growth 5Y-6.73%
OM growth 3Y-11.5%
OM growth 5Y-4.63%
PM growth 3Y-9.7%
PM growth 5Y-4.85%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.03 | ||
| Debt/EBITDA | 0.02 | ||
| Cap/Depr | 157.94% | ||
| Cap/Sales | 5.67% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 63.6% | ||
| Profit Quality | 65.07% | ||
| Current Ratio | 2.61 | ||
| Quick Ratio | 2.61 | ||
| Altman-Z | 5.74 |
F-Score4
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)130.91%
Cap/Depr(5y)124.54%
Cap/Sales(3y)4.8%
Cap/Sales(5y)4.19%
Profit Quality(3y)84.47%
Profit Quality(5y)86.86%
High Growth Momentum
Growth
EPS 1Y (TTM)10.74%
EPS 3Y-9.91%
EPS 5Y2.42%
EPS Q2Q%-6.3%
EPS Next Y-10.03%
EPS Next 2Y-3.99%
EPS Next 3Y-1.81%
EPS Next 5Y3.59%
Revenue 1Y (TTM)6.51%
Revenue growth 3Y-2.58%
Revenue growth 5Y4.78%
Sales Q2Q%0.78%
Revenue Next Year-2.61%
Revenue Next 2Y0.03%
Revenue Next 3Y1.1%
Revenue Next 5Y2.79%
EBIT growth 1Y11.46%
EBIT growth 3Y-13.78%
EBIT growth 5Y-0.07%
EBIT Next Year-6.5%
EBIT Next 3Y0.33%
EBIT Next 5Y4.53%
FCF growth 1Y-16.14%
FCF growth 3Y-26.76%
FCF growth 5Y-0.86%
OCF growth 1Y-4.89%
OCF growth 3Y-21.25%
OCF growth 5Y2.05%