Experian plc
Experian plc Fundamental Analysis
Experian plc (EXPGY) shows moderate financial fundamentals with a PE ratio of 25.12, profit margin of 17.13%, and ROE of 26.16%. The company generates $8.0B in annual revenue with moderate year-over-year growth of 7.22%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 56.5/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze EXPGY's fundamental strength across five key dimensions:
Efficiency Score
ExcellentEXPGY demonstrates superior asset utilization.
Valuation Score
ModerateEXPGY shows balanced valuation metrics.
Growth Score
ExcellentEXPGY delivers strong and consistent growth momentum.
Financial Health Score
WeakEXPGY carries high financial risk with limited liquidity.
Profitability Score
ExcellentEXPGY achieves industry-leading margins.
Key Financial Metrics
Is EXPGY Expensive or Cheap?
P/E Ratio
EXPGY trades at 25.12 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, EXPGY's PEG of 1.45 indicates fair valuation.
Price to Book
The market values Experian plc at 6.36 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 10.15 times EBITDA. This signals the market has high growth expectations.
How Well Does EXPGY Make Money?
Net Profit Margin
For every $100 in sales, Experian plc keeps $17.13 as profit after all expenses.
Operating Margin
Core operations generate 24.12 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $26.16 in profit for every $100 of shareholder equity.
ROA
Experian plc generates $10.07 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Experian plc generates strong operating cash flow of $2.13B, reflecting robust business health.
Free Cash Flow
Experian plc generates strong free cash flow of $2.08B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $2.28 in free cash annually.
FCF Yield
EXPGY converts 6.07% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
25.12
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
1.45
vs 25 benchmark
P/B Ratio
Price to book value ratio
6.36
vs 25 benchmark
P/S Ratio
Price to sales ratio
4.30
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.04
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.68
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.26
vs 25 benchmark
ROA
Return on assets percentage
0.10
vs 25 benchmark
ROCE
Return on capital employed
0.19
vs 25 benchmark
How EXPGY Stacks Against Its Sector Peers
| Metric | EXPGY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 25.12 | 26.89 | Neutral |
| ROE | 26.16% | 1304.00% | Weak |
| Net Margin | 17.13% | -29196.00% (disorted) | Strong |
| Debt/Equity | 1.04 | 0.75 | Weak (High Leverage) |
| Current Ratio | 0.68 | 10.90 | Weak Liquidity |
| ROA | 10.07% | -1543746.00% (disorted) | Strong |
EXPGY outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Experian plc's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
43.32%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
69.35%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
38.19%
Industry Style: Cyclical, Value, Infrastructure
High Growth