Financial Metrics Exploration: Understanding Diageo plc ADR (DEO) Through Ratios

Kevin Freeman

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The closing price of Diageo plc ADR (NYSE: DEO) was $85.66 for the day, up 0.28% from the previous closing price of $85.42. In other words, the price has increased by $0.28 from its previous closing price. On the day, 0.63 million shares were traded. DEO stock price reached its highest trading level at $85.81 during the session, while it also had its lowest trading level at $85.115.

Ratios:

Our analysis of DEO’s different ratios will help us gain a deeper understanding of the company. It provided that stocks Price–to–Cash (P/C) ratio for the trailing twelve months (TTM) is standing at 17.48 whereas its Price-to-Free Cash Flow (P/FCF) for the term is 17.58. For the most recent quarter (mrq), Quick Ratio is recorded 0.64 and its Current Ratio is at 1.63. In the meantime, Its Debt-to-Equity ratio is 2.20 whereas as Long-Term Debt/Eq ratio is at 1.93.

Valuation Measures:

Investors should consider key stock statistics when deciding whether to invest or divest. In the wake of the recent closing price, DEO now has a Market Capitalization of 47614382080 and an Enterprise Value of 214416474112. As of this moment, Diageo’s Price-to-Earnings (P/E) ratio for their current fiscal year is 20.23, and their Forward P/E ratio for the next fiscal year is 12.51. The expected Price-to-Earnings-to-Growth (PEG) calculation for the next 5 years is 3.45. For the stock, the TTM Price-to-Sale (P/S) ratio is 2.34 while its Price-to-Book (P/B) ratio in mrq is 4.29. Its current Enterprise Value per Revenue stands at 10.591 whereas that against EBITDA is 34.175.

Stock Price History:

The Beta on a monthly basis for DEO is 0.45, which has changed by -0.32513982 over the last 52 weeks, in comparison to a change of 0.16098404 over the same period for the S&P500. Over the past 52 weeks, DEO has reached a high of $127.90, while it has fallen to a 52-week low of $85.13. The 50-Day Moving Average of the stock is -6.74%, while the 200-Day Moving Average is calculated to be -16.38%.

Shares Statistics:

DEO traded an average of 1.63M shares per day over the past three months and 1664620 shares per day over the past ten days. A total of 555.85M shares are outstanding, with a floating share count of 555.84M. Insiders hold about 0.00% of the company’s shares, while institutions hold 10.22% stake in the company. Shares short for DEO as of 1765756800 were 2012433 with a Short Ratio of 1.23, compared to 1763078400 on 2847388. Therefore, it implies a Short% of Shares Outstanding of 2012433 and a Short% of Float of 0.36000002.

Dividends & Splits

With its trailing 12-month dividend rate of 1.035, DEO has a forward annual dividend rate of 4.14. Against a Trailing Annual Dividend Yield of 0.0121166. The stock’s 5-year Average Dividend Yield is 2.66.

Earnings Estimates

Analysts are recommending an EPS of between $6.8 and $6.02 for the fiscal current year, implying an average EPS of $6.49. EPS for the following year is $6.71, with 5.0 analysts recommending between $7.35 and $5.84.

Revenue Estimates

For the next quarter, 2 analysts are estimating revenue of $4.2B. There is a high estimate of $4.3B for the next quarter, whereas the lowest estimate is $4.1B.

A total of 18 analysts have provided revenue estimates for DEO’s current fiscal year. The highest revenue estimate was $20.45B, while the lowest revenue estimate was $19.24B, resulting in an average revenue estimate of $19.84B. In the same quarter a year ago, actual revenue was $20.25BBased on 18 analysts’ estimates, the company’s revenue will be $20.33B in the next fiscal year. The high estimate is $21.5B and the low estimate is $19.38B.

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