Puregold Price Club (PSE:PGOLD) - Share price, News & Analysis

PGOLD fundamental analysis
Snowflake Score
Valuation	6/6
Future Growth	1/6
Past Performance	3/6
Financial Health	6/6
Dividends	2/6

PGOLD Stock Overview

Puregold Price Club, Inc. engages in the retail and wholesale of consumer goods in the Philippines.

Rewards

Trading at 61.5% below our estimate of its fair value

Earnings are forecast to grow 11.61% per year

Risk Analysis

No risks detected for PGOLD from our risk checks.

Puregold Price Club Competitors

Robinsons Retail Holdings

PSE:RRHI

₱81.3b

Metro Retail Stores Group

PSE:MRSGI

₱4.5b

Home Depot

NYSE:HD

US$305.9b

Lowe's Companies

NYSE:LOW

US$128.3b

Price History & Performance

Summary of all time highs, changes and price drops for Puregold Price Club
Historical stock prices
Current Share Price	₱32.50
52 Week High	₱44.70
52 Week Low	₱31.50
Beta	0.39
1 Month Change	-11.92%
3 Month Change	-10.10%
1 Year Change	-6.07%
3 Year Change	-28.57%
5 Year Change	-24.42%
Change since IPO	195.46%

Shareholder Returns

	PGOLD	PH Consumer Retailing	PH Market
7D	-3.1%	-2.7%	-3.3%
1Y	-6.1%	-40.8%	4.5%

Return vs Industry: PGOLD exceeded the PH Consumer Retailing industry which returned -40.8% over the past year.

Return vs Market: PGOLD underperformed the PH Market which returned 4.5% over the past year.

Price Volatility

Is PGOLD's price volatile compared to industry and market?
PGOLD volatility
PGOLD Average Weekly Movement	5.2%
Consumer Retailing Industry Average Movement	5.8%
Market Average Movement	5.5%
10% most volatile stocks in PH Market	10.1%
10% least volatile stocks in PH Market	3.0%

Stable Share Price: PGOLD is not significantly more volatile than the rest of PH stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: PGOLD's weekly volatility (5%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1998	11,647	Ferdinand Vincent Co	https://www.puregold.com.ph

Puregold Price Club, Inc. engages in the retail and wholesale of consumer goods in the Philippines. The company operates hypermarkets under the Puregold name in commercial centers and near transportation hubs; supermarkets under the San Roque and Merkado names; membership warehouses under the S&R Membership Shopping Warehouses name; and QSRs under the S&R New York Style Pizza name. Its stores offer canned goods, housewares, toiletries, dry goods, food products, pharmaceutical and medical goods, etc. It sells its products to retail consumers; and resellers, small to medium sized sari-sari stores, canteens, restaurants, bakeries, and convenience and drug stores, as well as small to medium sized businesses.

Puregold Price Club Fundamentals Summary

How do Puregold Price Club's earnings and revenue compare to its market cap?
PGOLD fundamental statistics
Market Cap	₱92.90b
Earnings (TTM)	₱8.31b
Revenue (TTM)	₱164.90b

11.2x

P/E Ratio

0.6x

P/S Ratio

Is PGOLD overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
PGOLD income statement (TTM)
Revenue	₱164.90b
Cost of Revenue	₱135.17b
Gross Profit	₱29.73b
Other Expenses	₱21.42b
Earnings	₱8.31b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	2.91
Gross Margin	18.03%
Net Profit Margin	5.04%
Debt/Equity Ratio	15.6%

How did PGOLD perform over the long term?

See historical performance and comparison

Dividends

1.4%

Current Dividend Yield

9%

Payout Ratio

Valuation

Is Puregold Price Club undervalued compared to its fair value and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: PGOLD (₱32.5) is trading below our estimate of fair value (₱84.42)

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

Price To Earnings Ratio

PE vs Industry: PGOLD is good value based on its PE Ratio (11.2x) compared to the PH Consumer Retailing industry average (16.9x).

PE vs Market: PGOLD is good value based on its PE Ratio (11.2x) compared to the PH market (11.4x).

Price to Earnings Growth Ratio

PEG Ratio: PGOLD is good value based on its PEG Ratio (1x)

Price to Book Ratio

PB vs Industry: PGOLD is good value based on its PB Ratio (1.2x) compared to the PH Consumer Retailing industry average (1.3x).

Future Growth

How is Puregold Price Club forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

11.6%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: PGOLD's forecast earnings growth (11.6% per year) is above the savings rate (4.9%).

Earnings vs Market: PGOLD's earnings (11.6% per year) are forecast to grow slower than the PH market (21.1% per year).

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

Revenue vs Market: PGOLD's revenue (10.1% per year) is forecast to grow slower than the PH market (11.2% per year).

High Growth Revenue: PGOLD's revenue (10.1% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: Insufficient data to determine if PGOLD's Return on Equity is forecast to be high in 3 years time

Past Performance

How has Puregold Price Club 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

9.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: PGOLD has high quality earnings.

Growing Profit Margin: PGOLD's current net profit margins (5%) are higher than last year (5%).

Past Earnings Growth Analysis

Earnings Trend: PGOLD's earnings have grown by 9.5% per year over the past 5 years.

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

Earnings vs Industry: PGOLD had negative earnings growth (-0.2%) over the past year, making it difficult to compare to the Consumer Retailing industry average (47%).

Return on Equity

High ROE: PGOLD's Return on Equity (11%) is considered low.

Financial Health

How is Puregold Price Club'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: PGOLD's short term assets (₱65.9B) exceed its short term liabilities (₱17.2B).

Long Term Liabilities: PGOLD's short term assets (₱65.9B) exceed its long term liabilities (₱46.8B).

Debt to Equity History and Analysis

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

Reducing Debt: PGOLD's debt to equity ratio has reduced from 17.4% to 15.6% over the past 5 years.

Debt Coverage: PGOLD's debt is well covered by operating cash flow (127.4%).

Interest Coverage: PGOLD's interest payments on its debt are well covered by EBIT (5.5x coverage).

Balance Sheet

Dividend

What is Puregold Price Club current dividend yield, its reliability and sustainability?

Dividend Score

1/6

Dividend Score 1/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

1.38%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: PGOLD's dividend (1.38%) isn’t notable compared to the bottom 25% of dividend payers in the PH market (1.45%).

High Dividend: PGOLD's dividend (1.38%) is low compared to the top 25% of dividend payers in the PH market (4.91%).

Stability and Growth of Payments

Stable Dividend: PGOLD has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: PGOLD's dividend payments have increased, but the company has only paid a dividend for 9 years.

Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (8.6%), PGOLD's dividend payments are thoroughly covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (11.4%), PGOLD's dividend payments are thoroughly covered by cash flows.

Next Steps

Explore strong dividend paying companies in the Consumer Retailing industry.

Management

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

10.5yrs

Average management tenure

CEO

Ferdinand Vincent Co (39 yo)

7yrs

Tenure

Mr. Ferdinand Vincent P. Co serves as the President of 514 Shaw Property Holdings, Inc., and Pajusco Corporation. Mr. Co has been the President of Puregold Price Club, Inc. since May 12, 2015 and served as...

CEO Compensation Analysis

Compensation vs Market: Insufficient data to establish whether Ferdinand Vincent's total compensation is reasonable compared to companies of similar size in the PH market.

Compensation vs Earnings: Insufficient data to compare Ferdinand Vincent's compensation with company performance.

Leadership Team

Experienced Management: PGOLD's management team is seasoned and experienced (10.5 years average tenure).

Board Members

Experienced Board: PGOLD's board of directors are seasoned and experienced ( 18.8 years average tenure).

Ownership

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

Insider Trading Volume

Insider Buying: Insufficient data to determine if 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.

Data	Last Updated (UTC time)
Company Analysis	2022/05/17 00:00
End of Day Share Price	2022/05/17 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31