Koninklijke Philips N.V.

DB:PHI1 Stock Report

Market Cap: €22.9b

Koninklijke Philips Valuation

Is PHI1 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of PHI1 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: PHI1 (€24.49) is trading below our estimate of fair value (€61.71)

Significantly Below Fair Value: PHI1 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for PHI1?

Key metric: As PHI1 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for PHI1. This is calculated by dividing PHI1's market cap by their current revenue.
What is PHI1's PS Ratio?
PS Ratio1.3x
Sales€18.04b
Market Cap€22.95b

Price to Sales Ratio vs Peers

How does PHI1's PS Ratio compare to its peers?

The above table shows the PS ratio for PHI1 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average2x
SHL Siemens Healthineers
2.5x5.8%€55.0b
AFX Carl Zeiss Meditec
2.5x7.9%€5.2b
DRW3 Drägerwerk KGaA
0.2x4.2%€792.7m
EUZ Eckert & Ziegler
2.9x6.3%€795.9m
PHI1 Koninklijke Philips
1.3x4.6%€22.9b

Price-To-Sales vs Peers: PHI1 is good value based on its Price-To-Sales Ratio (1.3x) compared to the peer average (2x).

Price to Sales Ratio vs Industry

How does PHI1's PS Ratio compare vs other companies in the DE Medical Equipment Industry?

4 CompaniesPrice / SalesEstimated GrowthMarket Cap
DRW3 Drägerwerk KGaA
0.2x4.2%US$834.50m
PHH2 Paul Hartmann
0.3xn/aUS$751.55m
U4W0 Quotient
0.07xn/aUS$2.78m
MF6 MagForce
0.3xn/aUS$404.27k
No more companies available in this PS range
PHI1 1.3xIndustry Avg. 3.4xNo. of Companies4PS01.63.24.86.48+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: PHI1 is good value based on its Price-To-Sales Ratio (1.3x) compared to the European Medical Equipment industry average (3.4x).

Price to Sales Ratio vs Fair Ratio

What is PHI1's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

PHI1 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio1.3x
Fair PS Ratio2.2x

Price-To-Sales vs Fair Ratio: PHI1 is good value based on its Price-To-Sales Ratio (1.3x) compared to the estimated Fair Price-To-Sales Ratio (2.2x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst PHI1 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€24.49
€28.58
+16.7%
15.9%€40.00€23.00n/a17
Nov ’25€24.52
€28.64
+16.8%
15.7%€40.00€23.00n/a17
Oct ’25€29.63
€27.86
-6.0%
13.6%€35.00€23.00n/a17
Sep ’25€27.35
€27.63
+1.0%
13.4%€35.00€22.24n/a17
Aug ’25€25.70
€26.64
+3.7%
13.7%€35.00€20.30n/a17
Jul ’25€23.50
€25.14
+7.0%
15.1%€32.88€19.34n/a17
Jun ’25€24.94
€25.08
+0.6%
15.3%€32.88€19.34n/a17
May ’25€24.22
€23.22
-4.1%
18.3%€32.88€16.92n/a17
Apr ’25€17.99
€19.63
+9.1%
17.0%€28.04€15.47n/a17
Mar ’25€18.15
€19.91
+9.7%
16.7%€28.04€15.47n/a18
Feb ’25€18.86
€20.05
+6.3%
16.5%€28.04€15.47n/a18
Jan ’25€20.47
€19.50
-4.8%
18.6%€28.04€14.50n/a18
Dec ’24€18.06
€19.08
+5.6%
21.3%€28.04€13.25n/a18
Nov ’24€17.71
€18.66
+5.4%
23.5%€28.04€11.02€24.5218
Oct ’24€18.41
€18.99
+3.2%
24.8%€29.01€10.55€29.6317
Sep ’24€19.75
€18.94
-4.1%
24.3%€29.01€10.55€27.3517
Aug ’24€18.27
€18.82
+3.1%
24.8%€29.01€10.55€25.7017
Jul ’24€19.20
€17.56
-8.5%
25.0%€29.01€10.55€23.5016
Jun ’24€17.12
€17.20
+0.5%
25.9%€29.01€10.55€24.9416
May ’24€17.66
€16.33
-7.6%
27.4%€27.77€8.96€24.2217
Apr ’24€15.62
€14.64
-6.2%
32.7%€27.77€8.33€17.9917
Mar ’24€14.15
€14.57
+3.0%
33.8%€27.77€8.33€18.1516
Feb ’24€14.90
€14.57
-2.2%
33.4%€27.77€8.33€18.8616
Jan ’24€13.14
€14.64
+11.4%
33.2%€27.77€8.96€20.4716
Dec ’23€13.23
€14.72
+11.3%
34.1%€27.77€8.96€18.0615
Nov ’23€12.37
€14.70
+18.9%
34.2%€27.77€8.96€17.7115

Analyst Forecast: Target price is less than 20% higher than the current share price.

Discover undervalued companies

Ship Healthcare Holdings

JP¥196.5b

Engages in the medical, healthcare, welfare, and nursing care businesses worldwide.

5EZ

JP¥12.40

7D

-3.1%

1Y

-4.6%

Sensus Healthcare

US$125.2m

A medical device company, manufactures and sells radiation therapy devices to healthcare providers worldwide.

5TX

US$7.25

7D

16.0%

1Y

272.6%

CVS Health

US$66.9b

Provides health solutions in the United States.

CVS

US$53.25

7D

2.4%

1Y

-14.7%