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Pernod Ricard (PRNDY)
OTHER OTC:PRNDY
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Pernod Ricard
(OTC:PRNDY)
68Neutral
Pernod Ricard (PRNDY) vs. S&P 500 (SPY)
Market Cap
$24.75B
Dividend Yield3.53%
Average Volume (3M)42.00K
Price to Earnings (P/E)20.9
Beta (1Y)0.68
Revenue Growth-3.63%
EPS Growth-45.78%
CountryUS
Employees19,557
SectorConsumer Defensive
Sector Strength75
IndustryBeverages - Wineries & Distilleries
Share Statistics
EPS (TTM)0.94
Shares Outstanding1,261,346,000
10 Day Avg. Volume0
30 Day Avg. Volume42,004
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)4.68
Price to Cash Flow (P/CF)N/A
P/FCF Ratio0.00
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
Pernod Ricard Business Overview & Revenue Model
Company DescriptionPernod Ricard (PRNDY) is a leading global producer and distributor of wines and spirits. Headquartered in France, the company operates in the alcoholic beverage sector and is known for its diverse portfolio of premium brands, including Absolut Vodka, Chivas Regal, Jameson Irish Whiskey, and Martell Cognac. Pernod Ricard serves markets worldwide, offering a broad range of products catering to various consumer preferences and occasions.
How the Company Makes MoneyPernod Ricard generates revenue primarily through the production, marketing, and sale of its extensive portfolio of alcoholic beverages. The company's key revenue streams include the sales of spirits, wines, and champagnes across different global markets. Pernod Ricard capitalizes on its strong brand portfolio and extensive distribution network to drive sales. Additionally, the company engages in strategic partnerships and acquisitions to expand its market reach and enhance its product offerings. Pernod Ricard also invests in marketing and innovation to maintain brand relevance and consumer engagement, which are crucial for sustaining its revenue growth.
Pernod Ricard Financial Statement Overview
Summary
Pernod Ricard demonstrates a solid financial foundation with strong gross margins and effective cash conversion. However, recent declines in revenue, net income, and free cash flow growth present challenges that need addressing. The company shows resilience in maintaining a healthy equity base despite these pressures.Income Statement
Pernod Ricard's revenue has shown some volatility, with a noticeable decline in the most recent year. Net profit margin decreased significantly from the previous year, indicating potential challenges in cost management or pricing. Despite this, gross profit margins remain robust, reflecting strong production efficiency.65
Positive
Balance Sheet
The company maintains a stable equity base with a moderate debt-to-equity ratio, suggesting a balanced approach to leveraging. Return on Equity has decreased, reflecting lower net income relative to equity. The equity ratio is healthy, indicating a solid financial foundation.70
Positive
Cash Flow
Free cash flow has declined, indicating pressure on cash generation. The operating cash flow to net income ratio is strong, suggesting effective cash conversion from earnings. However, the decrease in free cash flow growth rate could signal challenges in sustaining investment or operational flexibility.60
Neutral
| Breakdown | ||||
| Jun 2024 | Jun 2023 | Jun 2022 | Jun 2021 | Jun 2020 |
|---|---|---|---|---|
| Income Statement | Total Revenue | |||
| 11.60B | 12.14B | 10.70B | 8.82B | 8.45B | Gross Profit |
| 6.97B | 7.25B | 6.47B | 5.29B | 5.09B | EBIT |
| 2.72B | 3.27B | 2.96B | 2.36B | 2.19B | EBITDA |
| 3.19B | 3.75B | 3.33B | 2.63B | 1.32B | Net Income Common Stockholders |
| 1.48B | 2.26B | 2.00B | 1.30B | 329.00M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | |||
| 2.68B | 1.61B | 2.53B | 2.08B | 1.94B | Total Assets |
| 39.19B | 37.68B | 36.01B | 32.15B | 31.52B | Total Debt |
| 13.62B | 11.87B | 11.17B | 9.60B | 10.41B | Net Debt |
| 10.94B | 10.26B | 8.64B | 7.52B | 8.48B | Total Liabilities |
| 22.39B | 20.96B | 19.76B | 17.07B | 17.31B | Stockholders Equity |
| 15.75B | 15.72B | 15.94B | 14.83B | 13.97B |
| Cash Flow | Free Cash Flow | |||
| 954.00M | 1.33B | 1.79B | 1.57B | 816.00M | Operating Cash Flow |
| 1.73B | 2.03B | 2.29B | 2.00B | 1.18B | Investing Cash Flow |
| -676.00M | -1.73B | -1.20B | -486.00M | -936.00M | Financing Cash Flow |
| -209.00M | -1.12B | -683.00M | -1.41B | 795.00M |
Pernod Ricard Technical Analysis
Negative
19.72
Price Trends
21.33
Negative
21.99
Negative
24.59
Negative
Market Momentum
-0.44
Positive
39.18
Neutral
17.60
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PRNDY, the sentiment is Negative. The current price of 19.72 is below the 20-day moving average (MA) of 21.03, below the 50-day MA of 21.33, and below the 200-day MA of 24.59, indicating a bearish trend. The MACD of -0.44 indicates Positive momentum. The RSI at 39.18 is Neutral, neither overbought nor oversold. The STOCH value of 17.60 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for PRNDY.
Pernod Ricard Peers Comparison
Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
72 Outperform | $15.96B | 16.23 | 27.99% | 2.59% | -5.11% | 3.64% | |
70 Neutral | $57.84B | 16.19 | 35.83% | 3.91% | -1.21% | -8.89% | |
68 Neutral | $24.75B | 20.87 | 6.78% | 3.53% | -3.63% | -45.78% | |
68 Neutral | $33.17B | 49.14 | 7.94% | 2.20% | 3.69% | -55.78% | |
64 Neutral | $15.96B | 16.01 | 27.99% | 2.63% | -5.11% | 3.64% | |
63 Neutral | $20.94B | 14.39 | -10.05% | 3.13% | 1.25% | 3.11% | |
61 Neutral | $2.69B | 49.38 | 5.99% | ― | 0.21% | -20.69% |
* Consumer Defensive Sector Average
Performance Comparison
PRNDY
Pernod Ricard
19.92
-11.01
-35.60%
SAM
Boston Beer
243.47
-56.53
-18.84%
BF.A
Brown Forman A
33.02
-18.09
-35.39%
STZ
Constellation Brands
184.81
-77.74
-29.61%
DEO
Diageo
104.51
-39.63
-27.49%
BF.B
Brown-Forman B
33.50
-16.42
-32.89%
Pernod Ricard Earnings Call Summary
Earnings Call Date: Feb 6, 2025 | % Change Since: -7.50% | Next Earnings Date: Aug 28, 2025
Earnings Call Sentiment Neutral
The earnings call presented a challenging start to the fiscal year with notable declines in key markets like China and the U.S., offset by strong performances in other regions and operational efficiency efforts. The sentiment is cautiously optimistic about a gradual improvement in key markets, but overall, the challenges faced indicate a neutral sentiment.Highlights
Strong Market Performance
Despite overall challenges, the company achieved market share gains in over 70% of its main markets, including Japan, Canada, Poland, Brazil, Turkey, Nigeria, and strong travel retail performances in the Americas and Europe.
Solid Growth in India
India reported a solid sales growth of 2%, with expectations for strong growth in the full year, driven by double-digit growth on Jameson and Seagram whiskeys, Royal Stag, and Blenders Pride.
Global Travel Retail Growth
Global travel retail saw strong growth of 3% in all regions except Asia, with good performance for Absolut, Jameson, and Ballantine’s.
Operational Efficiencies
Emphasis on operational efficiencies, including production efficiency initiatives and marketing improvements, to sustain operating margin and adapt to challenging environments.
Lowlights
Overall Sales Decline
The company reported a 5.9% decline in organic net sales for Q1 FY’25, with a reported decline of 8.5%.
Significant Decline in China
China experienced a sharp sales decline of 26% due to a challenging macroeconomic environment and weak consumer demand.
U.S. Market Challenges
The U.S. market saw a 10% decline, with inventory adjustments and strong promotional intensity impacting net sales.
Adverse Weather Impact in Europe
Adverse weather conditions over the summer negatively affected market performance in Europe.
Negative Price Mix
Price mix was at minus 6% in Q1, mainly due to negative market mix in the U.S. and China.
Company Guidance
In the recent Q1 FY'25 sales call, the company reported a 5.9% decline in organic net sales, or 8.5% on a reported basis, with a 5% decline excluding Russia. The company highlighted several key metrics: the U.S. experienced a 10% decline, India saw a 2% growth despite sales phasing, and China faced a significant 26% sales decline due to weak consumer demand and tariffs. Global travel retail grew by 3%, with strong performances in Japan, Canada, and Brazil among others. The company expects modest growth for the full year, with a focus on sustaining operating margins through operational efficiencies and strict cost discipline. The pricing environment remains challenging, particularly in the U.S. and China, but the company maintains confidence in its long-term strategy.Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.