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FPH

Fisher & Paykel Healthcare NZSE:FPH Stock Report

Last Price

NZ$19.85

Market Cap

NZ$12.2b

7D

-4.8%

1Y

-41.3%

Updated

19 Aug, 2022

Data

Company Financials +
FPH fundamental analysis
Snowflake Score
Valuation2/6
Future Growth4/6
Past Performance3/6
Financial Health6/6
Dividends0/6

FPH Stock Overview

Fisher & Paykel Healthcare Corporation Limited, together with its subsidiaries, designs, manufactures, markets, and sells medical device products and systems worldwide.

Rewards

Trading at 3.6% below our estimate of its fair value

Earnings are forecast to grow 7.78% per year

Risk Analysis

FPH passed our risk checks.

Fisher & Paykel Healthcare Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Fisher & Paykel Healthcare
Historical stock prices
Current Share PriceNZ$19.85
52 Week HighNZ$34.55
52 Week LowNZ$19.00
Beta-0.030
1 Month Change-5.48%
3 Month Change-4.80%
1 Year Change-41.25%
3 Year Change28.07%
5 Year Change71.86%
Change since IPO4,311.11%

Recent News & Updates

Jul 24
Calculating The Fair Value Of Fisher & Paykel Healthcare Corporation Limited (NZSE:FPH)

Calculating The Fair Value Of Fisher & Paykel Healthcare Corporation Limited (NZSE:FPH)

Today we will run through one way of estimating the intrinsic value of Fisher & Paykel Healthcare Corporation Limited...

Jul 10
A Look Into Fisher & Paykel Healthcare's (NZSE:FPH) Impressive Returns On Capital

A Look Into Fisher & Paykel Healthcare's (NZSE:FPH) Impressive Returns On Capital

To find a multi-bagger stock, what are the underlying trends we should look for in a business? Amongst other things...

Shareholder Returns

FPHNZ Medical EquipmentNZ Market
7D-4.8%-0.2%0.5%
1Y-41.3%-25.9%-11.4%

Return vs Industry: FPH underperformed the NZ Medical Equipment industry which returned -25.9% over the past year.

Return vs Market: FPH underperformed the NZ Market which returned -11.4% over the past year.

Price Volatility

Is FPH's price volatile compared to industry and market?
FPH volatility
FPH Average Weekly Movement4.3%
Medical Equipment Industry Average Movement10.8%
Market Average Movement4.3%
10% most volatile stocks in NZ Market8.3%
10% least volatile stocks in NZ Market2.9%

Stable Share Price: FPH is not significantly more volatile than the rest of NZ stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: FPH's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19346,788Lewis Gradonhttps://www.fphcare.com

Fisher & Paykel Healthcare Corporation Limited, together with its subsidiaries, designs, manufactures, markets, and sells medical device products and systems worldwide. It also provides its products for use in acute and chronic respiratory care, and surgery, as well as the treatment of obstructive sleep apnea (OSA) in the home and hospital. The company offers Airvo 2, a humidified nasal high flow system; Optiflow, a nasal high flow therapy; and F&P 850 System, a noninvasive and invasive ventilation system.

Fisher & Paykel Healthcare Fundamentals Summary

How do Fisher & Paykel Healthcare's earnings and revenue compare to its market cap?
FPH fundamental statistics
Market CapNZ$12.21b
Earnings (TTM)NZ$376.90m
Revenue (TTM)NZ$1.68b

30.4x

P/E Ratio

6.8x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
FPH income statement (TTM)
RevenueNZ$1.68b
Cost of RevenueNZ$629.00m
Gross ProfitNZ$1.05b
Other ExpensesNZ$675.80m
EarningsNZ$376.90m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.65
Gross Margin62.60%
Net Profit Margin22.41%
Debt/Equity Ratio4.1%

How did FPH perform over the long term?

See historical performance and comparison

Dividends

2.0%

Current Dividend Yield

60%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

FPH key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue7.2x
Enterprise Value/EBITDA20.8x
PEG Ratio3.9x

Price to Earnings Ratio vs Peers

How does FPH's PE Ratio compare to its peers?

FPH PE Ratio vs Peers
The above table shows the PE ratio for FPH vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average17.5x
EBO EBOS Group
33.9x15.1%NZ$7.3b
RYM Ryman Healthcare
6.8x-3.7%NZ$4.7b
SUM Summerset Group Holdings
4.8x-65.2%NZ$2.6b
DIA DiaSorin
24.4x6.5%€7.4b
FPH Fisher & Paykel Healthcare
30.4x7.8%NZ$12.2b

Price-To-Earnings vs Peers: FPH is expensive based on its Price-To-Earnings Ratio (30.4x) compared to the peer average (17.5x).


Price to Earnings Ratio vs Industry

How does FPH's PE Ratio compare vs other companies in the Global Medical Equipment Industry?

Price-To-Earnings vs Industry: FPH is good value based on its Price-To-Earnings Ratio (30.4x) compared to the Oceanic Medical Equipment industry average (32.4x)


Price to Earnings Ratio vs Fair Ratio

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

FPH PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio30.4x
Fair PE Ratio20.2x

Price-To-Earnings vs Fair Ratio: FPH is expensive based on its Price-To-Earnings Ratio (30.4x) compared to the estimated Fair Price-To-Earnings Ratio (20.2x).


Share Price vs Fair Value

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

Below Fair Value: FPH (NZ$19.85) is trading below our estimate of fair value (NZ$20.58)

Significantly Below Fair Value: FPH is trading below fair value, but not by a significant amount.


Analyst Price Targets

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

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


Discover undervalued companies

Future Growth

How is Fisher & Paykel Healthcare forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


7.8%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FPH's forecast earnings growth (7.8% per year) is above the savings rate (2.1%).

Earnings vs Market: FPH's earnings (7.8% per year) are forecast to grow faster than the NZ market (5% per year).

High Growth Earnings: FPH's earnings are forecast to grow, but not significantly.

Revenue vs Market: FPH's revenue (6.5% per year) is forecast to grow faster than the NZ market (6.2% per year).

High Growth Revenue: FPH's revenue (6.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: FPH's Return on Equity is forecast to be high in 3 years time (21.4%)


Discover growth companies

Past Performance

How has Fisher & Paykel Healthcare performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


25.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: FPH has high quality earnings.

Growing Profit Margin: FPH's current net profit margins (22.4%) are lower than last year (26.6%).


Past Earnings Growth Analysis

Earnings Trend: FPH's earnings have grown significantly by 25% per year over the past 5 years.

Accelerating Growth: FPH's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: FPH had negative earnings growth (-28.1%) over the past year, making it difficult to compare to the Medical Equipment industry average (32.6%).


Return on Equity

High ROE: FPH's Return on Equity (22.4%) is considered high.


Discover strong past performing companies

Financial Health

How is Fisher & Paykel Healthcare's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: FPH's short term assets (NZ$887.9M) exceed its short term liabilities (NZ$303.9M).

Long Term Liabilities: FPH's short term assets (NZ$887.9M) exceed its long term liabilities (NZ$123.4M).


Debt to Equity History and Analysis

Debt Level: FPH has more cash than its total debt.

Reducing Debt: FPH's debt to equity ratio has reduced from 9.4% to 4.1% over the past 5 years.

Debt Coverage: FPH's debt is well covered by operating cash flow (474.8%).

Interest Coverage: FPH's interest payments on its debt are well covered by EBIT (219.8x coverage).


Balance Sheet


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Dividend

What is Fisher & Paykel Healthcare current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


1.99%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: FPH's dividend (1.99%) isn’t notable compared to the bottom 25% of dividend payers in the NZ market (2.99%).

High Dividend: FPH's dividend (1.99%) is low compared to the top 25% of dividend payers in the NZ market (5.81%).


Stability and Growth of Payments

Stable Dividend: FPH is not paying a notable dividend for the NZ market, therefore no need to check if payments are stable.

Growing Dividend: FPH is not paying a notable dividend for the NZ market, therefore no need to check if payments are increasing.


Earnings Payout to Shareholders

Earnings Coverage: FPH is not paying a notable dividend for the NZ market.


Cash Payout to Shareholders

Cash Flow Coverage: FPH is not paying a notable dividend for the NZ market.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

4.9yrs

Average management tenure


CEO

Lewis Gradon (61 yo)

6.33yrs

Tenure

NZ$3,998,487

Compensation

Mr. Lewis G. Gradon has been the Chief Executive Officer, Managing Director & Executive Director at Fisher & Paykel Healthcare Corporation Limited since April 1, 2016. He served as the Senior Vice Presiden...


CEO Compensation Analysis

Compensation vs Market: Lewis's total compensation ($USD2.51M) is above average for companies of similar size in the NZ market ($USD1.88M).

Compensation vs Earnings: Lewis's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: FPH's management team is considered experienced (4.9 years average tenure).


Board Members

Experienced Board: FPH's board of directors are considered experienced (6.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: FPH insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Fisher & Paykel Healthcare Corporation Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Fisher & Paykel Healthcare Corporation Limited
  • Ticker: FPH
  • Exchange: NZSE
  • Founded: 1934
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Implied Market Cap: NZ$12.211b
  • Shares outstanding: 577.36m
  • Website: https://www.fphcare.com

Number of Employees


Location

  • Fisher & Paykel Healthcare Corporation Limited
  • 15 Maurice Paykel Place
  • East Tamaki
  • Auckland
  • 2013
  • New Zealand

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/19 00:00
End of Day Share Price2022/08/19 00:00
Earnings2022/03/31
Annual Earnings2022/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.