NYSE:PKI

Stock Analysis Report

Executive Summary

PerkinElmer, Inc. provides products, services, and solutions to the diagnostics, life sciences, and applied services markets worldwide.


Snowflake Analysis

Fair value with moderate growth potential.


Similar Companies

Share Price & News

How has PerkinElmer's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: PKI's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-4.8%

PKI

-0.1%

US Life Sciences

-2.8%

US Market


1 Year Return

-28.1%

PKI

-9.0%

US Life Sciences

-15.9%

US Market

Return vs Industry: PKI underperformed the US Life Sciences industry which returned -9% over the past year.

Return vs Market: PKI underperformed the US Market which returned -15.9% over the past year.


Shareholder returns

PKIIndustryMarket
7 Day-4.8%-0.1%-2.8%
30 Day-14.7%-13.2%-18.8%
90 Day-27.3%-17.8%-24.0%
1 Year-27.9%-28.1%-8.8%-9.0%-14.2%-15.9%
3 Year24.4%23.1%57.8%56.7%9.9%2.8%
5 Year41.1%38.1%78.7%76.3%27.2%13.3%

Price Volatility Vs. Market

How volatile is PerkinElmer's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is PerkinElmer undervalued compared to its fair value and its price relative to the market?

22.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PKI ($71.2) is trading below our estimate of fair value ($91.41)

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


Price To Earnings Ratio

PE vs Industry: PKI is poor value based on its PE Ratio (34.6x) compared to the Life Sciences industry average (27.6x).

PE vs Market: PKI is poor value based on its PE Ratio (34.6x) compared to the US market (12.2x).


Price to Earnings Growth Ratio

PEG Ratio: PKI is poor value based on its PEG Ratio (1.4x)


Price to Book Ratio

PB vs Industry: PKI is good value based on its PB Ratio (2.8x) compared to the US Life Sciences industry average (4.2x).


Next Steps

Future Growth

How is PerkinElmer forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

24.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PKI's forecast earnings growth (24.5% per year) is above the savings rate (1.7%).

Earnings vs Market: PKI's earnings (24.5% per year) are forecast to grow faster than the US market (13.4% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: PKI's revenue (3.7% per year) is forecast to grow slower than the US market (7% per year).

High Growth Revenue: PKI's revenue (3.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PKI's Return on Equity is forecast to be low in 3 years time (15.1%).


Next Steps

Past Performance

How has PerkinElmer performed over the past 5 years?

6.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PKI has a large one-off loss of $98.2M impacting its December 29 2019 financial results.

Growing Profit Margin: PKI's current net profit margins (7.9%) are lower than last year (8.5%).


Past Earnings Growth Analysis

Earnings Trend: PKI's earnings have grown by 6.3% per year over the past 5 years.

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

Earnings vs Industry: PKI had negative earnings growth (-3.6%) over the past year, making it difficult to compare to the Life Sciences industry average (21.5%).


Return on Equity

High ROE: PKI's Return on Equity (8.1%) is considered low.


Next Steps

Financial Health

How is PerkinElmer's financial position?


Financial Position Analysis

Short Term Liabilities: PKI's short term assets ($1.4B) exceed its short term liabilities ($762.8M).

Long Term Liabilities: PKI's short term assets ($1.4B) do not cover its long term liabilities ($3.0B).


Debt to Equity History and Analysis

Debt Level: PKI's debt to equity ratio (73.7%) is considered high.

Reducing Debt: PKI's debt to equity ratio has increased from 49.3% to 73.7% over the past 5 years.

Debt Coverage: PKI's debt is not well covered by operating cash flow (17.5%).

Interest Coverage: PKI's interest payments on its debt are well covered by EBIT (6.4x coverage).


Balance Sheet

Inventory Level: PKI has a low level of unsold assets or inventory.

Debt Coverage by Assets: PKI's debt is not covered by short term assets (assets are 0.7x debt).


Next Steps

Dividend

What is PerkinElmer's current dividend yield, its reliability and sustainability?

0.39%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: PKI's dividend (0.39%) isn’t notable compared to the bottom 25% of dividend payers in the US market (2.07%).

High Dividend: PKI's dividend (0.39%) is low compared to the top 25% of dividend payers in the US market (5.82%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: PKI is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of PKI's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

3.0yrs

Average management tenure


CEO

Prahlad Singh (54yo)

0.33

Tenure

US$4,116,556

Compensation

Dr. Prahlad R. Singh, PhD has been the Chief Executive Officer of PerkinElmer, Inc. since December 30, 2019. He serves as Director of PerkinElmer, Inc. since August 21, 2019. He has been President at Perki ...


CEO Compensation Analysis

Compensation vs Market: Prahlad's total compensation ($USD4.12M) is below average for companies of similar size in the US market ($USD7.67M).

Compensation vs Earnings: Prahlad's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Prahlad Singh
CEO, President & Director0.33yrUS$4.12m0.034% $2.7m
James Mock
Senior VP & CFO1.92yrsUS$2.11m0.031% $2.5m
Joel Goldberg
Senior VP of Administration11.75yrsUS$2.88m0.063% $5.0m
Deborah Butters
Senior VP & Chief Human Resources Officer3.75yrsUS$1.86m0.011% $882.0k
Robert Friel
0.33yrUS$16.48m0.54% $42.6m
Andrew Okun
VP & Chief Accounting Officer9yrsno data0.011% $877.3k
Bryan Kipp
Vice President of Investor Relationsno datano datano data
Daniel Tereau
Senior Vice President of Strategy & Business Development4.25yrsno data0.0087% $686.3k
Tajinder Vohra
Senior Vice President of Global Operations2.17yrsno data0.0088% $695.0k
David Francisco
CFO of Human Health & Corporate Treasurerno datano datano data

3.0yrs

Average Tenure

50.5yo

Average Age

Experienced Management: PKI's management team is considered experienced (3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Prahlad Singh
CEO, President & Director0.33yrUS$4.12m0.034% $2.7m
Alexis Michas
Independent Non-Executive Chairman0.33yrUS$338.48k0.055% $4.4m
Patrick Sullivan
Independent Director12.17yrsUS$265.98k0.027% $2.1m
Sylvie Grégoire
Independent Director5.17yrsUS$264.98k0.012% $928.8k
Peter Barrett
Independent Director8.17yrsUS$279.98k0.020% $1.5m
Franklin Witney
Independent Director3.75yrsUS$264.98k0.0081% $642.7k
Samuel Chapin
Independent Director3.5yrsUS$289.98k0.0074% $589.6k
Pascale Witz
Independent Director2.5yrsUS$264.98k0.0024% $192.6k
Michel Vounatsos
Independent Director0.083yrno data0.00022% $17.4k

3.5yrs

Average Tenure

61yo

Average Age

Experienced Board: PKI's board of directors are considered experienced (3.5 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.


Top Shareholders

Company Information

PerkinElmer, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: PerkinElmer, Inc.
  • Ticker: PKI
  • Exchange: NYSE
  • Founded: 1937
  • Industry: Life Sciences Tools and Services
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$7.925b
  • Shares outstanding: 111.30m
  • Website: https://www.perkinelmer.com

Number of Employees


Location

  • PerkinElmer, Inc.
  • 940 Winter Street
  • Waltham
  • Massachusetts
  • 2451
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PKINYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1968
PKNDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1968
0KHELSE (London Stock Exchange)YesCommon StockGBUSDJan 1968
PKI *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJan 1968
P1KI34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 2 REPR 1 COMBRBRLJan 2020

Biography

PerkinElmer, Inc. provides products, services, and solutions to the diagnostics, life sciences, and applied services markets worldwide. The company operates in two segments, Discovery & Analytical Solutions and Diagnostics. The Discovery & Analytical Solutions segment offers a suite of solutions, including reagents, informatics, and detection and imaging technologies that enable scientists to enhance research breakthroughs in the life sciences research market, as well as laboratory services. It also provides analytical technologies, solutions, and services for the environmental, food, and industrial markets that enable its customers to understand the characterization and health of various aspects, including air, water, and soil. In addition, this segment offers solutions to farmers and food producers; and analytical instrumentation for the industrial market, which includes the chemical, semiconductor and electronics, energy, lubricant, petrochemical, and polymer industries. The Diagnostics segment provides instruments, reagents, and software products for the early detection of genetic disorders, such as pregnancy and early childhood, as well as infectious disease testing in the diagnostics market. Its products are used for testing and screening genetic abnormalities, disorders, and diseases, including down syndrome, hypothyroidism, muscular dystrophym, infertility, and various metabolic conditions. This segment also develops technologies that enable and support genomic workflows using protein coupled receptor and next-generation DNA sequencing for applications in oncology and drug discovery. The company serves pharmaceutical and biotechnology companies, laboratories, academic and research institutions, public health authorities, private healthcare organizations, doctors, and government agencies. PerkinElmer, Inc. was founded in 1937 and is headquartered in Waltham, Massachusetts. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/05 03:24
End of Day Share Price2020/04/03 00:00
Earnings2019/12/29
Annual Earnings2019/12/29


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.