Premier Inc Stock Research

Market Summary

USD31.93+0.50

Market Closed

1.59%

PINC Stock Price

PINC RSI Chart

PINC Valuation

Market Cap

3.8B

Price/Earnings (Trailing)

21.41

Price/Sales (Trailing)

2.78

EV/EBITDA

10.92

Price/Free Cashflow

10.53

PINC Price/Sales (Trailing)

PINC Profitability

Operating Margin

64.70%

EBT Margin

18.56%

Return on Equity

7.68%

Return on Assets

Free Cashflow Yield

9.5%

PINC Fundamentals

PINC Revenue

Revenue (TTM)

1.4B

Revenue Y/Y

-5.17%

Revenue Q/Q

14.58%

PINC Earnings

Earnings (TTM)

177.1M

Earnings Y/Y

-16.65%

Earnings Q/Q

49.85%

Price Action

52 Week Range

30.6238.98

(Low)(High)

Last 7 days

1.8%

Last 30 days

-2.9%

Last 90 days

-6.1%

Trailing 12 Months

-12.0%

PINC Financial Health

Current Ratio

0.72

Debt/Equity

0.23

Debt/Cashflow

0.84

PINC Investor Care

Dividend Yield

0.57%

Dividend/Share (TTM)

0.19

Buy Backs (1Y)

1.98%

Diluted EPS (TTM)

1.47

Peers (Alternatives to Premier)

View All Peers In Detail

Name	Mkt Capsorted ascending	Revenue	Price %, 1M	Returns, 1Y	P/E	P/S	Rev 1-Yr	Inc 1-Yr
LARGE-CAP
UNH	440.9B	324.2B	-6.04%	-5.61%	21.91	1.36	12.71%	16.40%
CVS	98.6B	322.5B	-16.10%	-28.31%	23.76	0.31	10.39%	-47.55%
CI	91.1B	180.5B	-9.45%	16.50%	13.64	1.92	3.70%	24.58%
LH	19.6B	14.9B	-11.65%	-18.57%	15.35	1.32	-7.72%	-46.20%
MID-CAP
DVA	7.1B	11.6B	-9.20%	-31.27%	12.59	0.61	-0.08%	-42.73%
RCM	6.5B	-	-7.53%	-10.06%	64.74	4.3	-	-
ACHC	6.3B	2.6B	-15.59%	6.40%	23.12	2.42	12.79%	43.28%
EHC	5.3B	4.3B	-15.50%	-2.92%	19.39	1.21	8.31%	-34.26%
PINC	3.8B	1.4B	-2.87%	-11.96%	21.41	2.78	-19.68%	-41.10%
PGNY	3.2B	700.1M	4.89%	-19.30%	104.74	4.54	47.91%	-53.84%
SMALL-CAP
NRC	1.1B	151.7M	-2.98%	17.69%	31.05	7.12	5.05%	-3.48%
HNGR	732.6M	1.2B	0.48%	-14.75%	19.64	0.62	11.71%	25.50%
AMS	17.5M	19.4M	-11.07%	25.65%	11.94	0.9	10.55%	123.93%
OTRK	12.5M	22.3M	-43.56%	-69.86%	-0.2	0.56	-78.33%	-207.64%
IMAC	10.6M	17.9M	13.80%	-34.42%	-0.75	0.59	26.72%	-85.04%

Financials for Premier

* denotes actual numbers (not divided by Millions)
Income Statement (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Revenue	-1.4%	1,362	1,382	1,433	1,574	1,696
Cost Of Revenue	-5.1%	481	507	548	693	816
Gross Profit	0.7%	881	875	885	881	880
Operating Expenses	-0.6%	625	629	625	610	600
S&GA Expenses	-1.1%	575	581	577	562	553
R&D Expenses	3.7%	4.00	4.00	4.00	4.00	4.00
EBITDA	1.9%	387	380	456	466	-
EBITDA Margin	3.4%	0.28*	0.27*	0.32*	0.30*	-
Earnings Before Taxes	1.8%	253	248	327	339	350
EBT Margin	3.3%	0.19*	0.18*	0.23*	0.22*	-
Net Income	-6.8%	177	190	268	288	301
Net Income Margin	-5.4%	0.13*	0.14*	0.19*	0.18*	-
Free Cahsflow	-4.8%	360	378	357	467	-

* denotes actual numbers (not divided by Millions)
Balance Sheet					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Assets	3.5%	3,539	3,420	3,357	3,515	3,451
Current Assets	-8.8%	674	739	646	756	728
Cash Equivalents	-46.4%	95.00	177	86.00	180	86.00
Inventory	-6.0%	116	124	120	130	148
Net PPE	-0.9%	207	209	213	223	225
Goodwill	1655.8%	1,069	61.00	1,000	1,000	1,000
Liabilities	6.5%	1,233	1,158	1,108	1,282	1,173
Current Liabilities	11.5%	934	838	753	863	723
Long Term Debt	16.2%	528	454	578	478	-
Shareholder's Equity	2.0%	2,306	2,261	2,249	2,234	2,279
Retained Earnings	11.1%	388	349	332	332	318
Additional Paid-In Capital	0.3%	2,167	2,161	2,166	2,150	2,136
Accumulated Depreciation	3.6%	622	601	579	574	559
Shares Outstanding	0.4%	119	118	118	119	121
Float	-	4,894	-	-	-	-

Cashflow (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Cashflow From Operations	-4.4%	443	464	444	550	489
Share Based Compensation	-29.6%	32.00	46.00	46.00	46.00	45.00
Cashflow From Investing	-164.8%	-298	-112	-139	-138	-196
Cashflow From Financing	61.9%	-136	-358	-347	-364	-315
Buy Backs	-64.0%	76.00	212	250	250	174

Risks for PINC

What is the probability of a big loss on PINC?

51.5%

Probability that Premier stock will be more than 20% underwater in next one year

10.4%

Probability that Premier stock will be more than 30% underwater in next one year.

Probability that Premier stock will be more than 40% underwater in next one year.

*Calculated based on probability distribution of losses observed in actual data in the last 5 years.

How does PINC drawdown profile look like?

Y-axis is the maximum loss one would have experienced if Premier was unfortunately bought at previous high price.

Drawdowns

Returns for PINC

Cumulative Returns on PINC

0.0%

7-Year Cumulative Returns

-0.4%

5-Year Cumulative Returns

-2.2%

3-Year Cumulative Returns

What are the long-term rolling returns for PINC?

FIve years rolling returns for Premier.

Annualized Returns

Which funds bought or sold PINC recently?

View All Details

Datesorted ascending	Fund Name	Type	% Chg	$ Change	$ Held	% Portfolio
2023-03-10	VICTORY CAPITAL MANAGEMENT INC	added	33.62	499,970	1,826,970	-%
2023-03-06	Rockefeller Capital Management L.P.	added	71.39	11,000	24,000	-%
2023-03-03	TIAA, FSB	sold off	-100	-240,000	-	-%
2023-02-28	Voya Investment Management LLC	reduced	-4.59	-78,109	4,598,890	0.01%
2023-02-23	P2 Capital Partners, LLC	unchanged	-	553,391	18,616,400	2.46%
2023-02-21	MACQUARIE GROUP LTD	sold off	-100	-48,000	-	-%
2023-02-17	TRUIST FINANCIAL CORP	new	-	652,238	652,238	-%
2023-02-16	DZ BANK AG Deutsche Zentral Genossenschafts Bank, Frankfurt am Main	unchanged	-	4,414	150,414	-%
2023-02-15	Altshuler Shaham Ltd	reduced	-33.41	-22,203	48,797	-%
2023-02-15	Utah Retirement Systems	unchanged	-	6,872	223,872	-%

Latest Funds Activity

Are funds buying PINC calls or puts?

Calls

Puts

Are funds bullish or bearish(Calls - Puts)?

Net Call Options

No. of funds that own PINC

No. of Funds

Premier News

Schedule 13G FIlings of Premier

Date Filed	Name of Filer	Percent of Class	No. of Shares	Form Type
Feb 03, 2023	blackrock inc.	5.0%	5,983,044	SC 13G
Jan 10, 2023	vanguard group inc	10.31%	12,248,397	SC 13G/A
Apr 08, 2022	blackrock inc.	4.99%	5,948,825	SC 13G/A
Feb 09, 2022	river road asset management, llc	5.2%	6,206,158	SC 13G
Feb 08, 2022	river road asset management, llc	4.4%	5,269,380	SC 13G/A
Feb 04, 2022	blackrock inc.	5.1%	6,197,659	SC 13G
Feb 02, 2022	massachusetts financial services co /ma/	2.4%	2,939,070	SC 13G/A
Feb 11, 2021	renaissance technologies llc	2.76%	3,371,532	SC 13G/A
Feb 11, 2021	massachusetts financial services co /ma/	5.2%	6,293,962	SC 13G/A
Feb 10, 2021	vanguard group inc	8.21%	10,022,683	SC 13G/A

PINC Fair Value

Premier fair value in different scenarios

The table shows the Fair Value estimates for Premier for various scenarios. Disclaimer: These are just estimations from a model. None of the models are good at predicting the future. Please dont buy or sell stocks based on these outputs.

Fair Value	Very Pessimistic	Pessimistic	Base Case	Optimistic	Very Optimistic
Very Low Inflation	17.25 -45.98%	20.09 -37.08%	25.20 -21.08%	36.46 14.19%	45.40 42.19%
Current Inflation	16.56 -48.14%	19.17 -39.96%	23.37 -26.81%	33.02 3.41%	40.66 27.34%
Very High Inflation	15.68 -50.89%	18.00 -43.63%	21.14 -33.79%	28.93 -9.40%	35.09 9.90%

Historical Premier Fair Value Estimates

Very Pessimistic Case

Pessimistic Case

Fair Value

Optimistic Case

Very Optimistic Case

Closing Stock Price

Recent SEC filings of Premier

View All Filings

Date Filed	Form Type	Document
Mar 07, 2023	10-K/A	Annual Report
Feb 08, 2023	8-K	Current Report
Feb 07, 2023	10-Q	Quarterly Report
Feb 03, 2023	SC 13G	Major Ownership Report
Jan 10, 2023	8-K	Current Report
Jan 10, 2023	SC 13G/A	Major Ownership Report
Dec 16, 2022	8-K	Current Report
Dec 07, 2022	4	Insider Trading
Dec 07, 2022	4	Insider Trading
Dec 07, 2022	4	Insider Trading

Latest Insider Trading transactions for PINC

Filter Transactions

Datesorted ascending	Name	Buy/Sell	$ Value	Avg. Price	# Shares	Title
2022-12-06	Klatsky David L	back to issuer	-	-	-5,502	general counsel
2022-12-05	O'Quinn Marvin R	acquired	-	-	4,636	-
2022-12-05	Bigalke John T.	acquired	-	-	4,636	-
2022-12-05	Boudreau Helen M	acquired	-	-	4,636	-
2022-12-05	WOLF ELLEN C	acquired	-	-	4,636	-
2022-12-05	DAVIDS JODY R	acquired	-	-	4,636	-
2022-12-05	Fine Peter	acquired	-	-	4,636	-
2022-12-05	Miller Marc D	acquired	-	-	4,636	-
2022-12-05	Statuto Richard J.	acquired	-	-	4,636	-
2022-12-02	Climer Crystal	sold (taxes)	-	-	-177	chief accounting officer

About Premier

Michael J. Alkire

www.premierinc.com

2600

Premier, Inc., together with its subsidiaries, operates as a healthcare improvement company in the United States. It operates in two segments, Supply Chain Services and Performance Services. The Supply Chain Services segment offers its members with an access to a range of products and services, including medical and surgical products, pharmaceuticals, laboratory supplies, capital equipment, information technology, facilities and construction, and food and nutritional products, as well as purchased services, such as clinical engineering and document shredding. The segment is also involved in the provision of the ASCEND Collaborative service for members to receive group purchasing programs, tiers, and prices; SURPASS Collaborative service; STOCKD, an e-commerce platform; and PROVIDEGX program, which identifies supply sources for drugs that are on or may be at risk of being added to the national drug shortage list, or that are vulnerable to pricing volatility, as well as direct sourcing business. The Performance Services segment offers PremierConnect for members to address existing cost and quality imperatives, to manage a value-based care reimbursement model, and support their regulatory reporting framework; performance improvement collaboratives; and consulting and insurance management services, such as creation and management of health benefit programs under Contigo Health brand, as well as health systems and suppliers cost management solutions under Remitra brand. This segment's PremierConnect solutions are organized into six areas, such as Quality & Regulatory, Clinical Surveillance & Safety, Supply Chain & ERP, Operations, Enterprise Analytics, and Clinical Decision Support domains. The company also provides services to other businesses, including food service, schools, and universities. Premier, Inc. was incorporated in 2013 and is headquartered in Charlotte, North Carolina.

PINC Income Statement

2022-06-30

Consolidated Statements of Income and Comprehensive Income - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2020
Net revenue:
Net revenue	$ 1,432,901	$ 1,721,152	$ 1,299,592
Cost of revenue:
Cost of revenue	547,862	883,818	432,791
Gross profit	885,039	837,334	866,801
Remeasurement of tax receivable agreement liabilities	0	0	24,584
Other operating income	0	0	24,584
Operating expenses:
Selling, general and administrative	576,879	532,326	459,859
Research and development	4,151	3,338	2,376
Amortization of purchased intangible assets	43,936	44,753	55,530
Operating expenses	624,966	580,417	517,765
Operating income	260,073	256,917	373,620
Equity in net income of unconsolidated affiliates	23,505	21,073	12,537
Interest and investment loss, net	(11,142)	(11,964)	(11,313)
Gain (loss) on FFF Put and Call Rights	64,110	(27,352)	4,690
Other (expense) income, net	(9,646)	11,967	4,153
Other income (expense), net	66,827	(6,276)	10,067
Income before income taxes	326,900	250,641	383,687
Income tax expense (benefit)	58,582	(53,943)	92,561
Net income from continuing operations	268,318	304,584	291,126
Income from discontinued operations, net of tax	0	0	1,054
Net income	268,318	304,584	292,180
Net income from continuing operations attributable to non-controlling interest	(2,451)	(17,062)	(161,318)
Net income from discontinued operations attributable to non-controlling interest	0	0	(498)
Net income attributable to non-controlling interest	(2,451)	(17,062)	(161,816)
Adjustment of redeemable limited partners' capital to redemption amount	0	(26,685)	468,311
Net income attributable to stockholders	265,867	260,837	598,675
Comprehensive income:
Net income	268,318	304,584	292,180
Comprehensive income attributable to non-controlling interest	(2,451)	(17,062)	(161,816)
Foreign currency translation loss	(3)	0	0
Comprehensive income attributable to stockholders	$ 265,864	$ 287,522	$ 130,364
Weighted average shares outstanding:
Basic (shares)	120,220	116,527	67,035
Diluted (shares)	121,668	117,532	123,614
Basic earnings per share
Continuing operations (usd per share)	$ 2.21	$ 2.24	$ 8.92
Discontinued operations (usd per share)	0	0	0.01
Basic earnings per share attributable to stockholders (usd per share)	2.21	2.24	8.93
Diluted earnings per share
Continuing operations (usd per share)	2.19	2.22	2.03
Discontinued operations (usd per share)	0	0	0.01
Diluted earnings per share attributable to stockholders (usd per share)	$ 2.19	$ 2.22	$ 2.04
Services and software licenses
Net revenue:
Net revenue	$ 1,039,395	$ 977,030	$ 1,029,647
Cost of revenue:
Cost of revenue	183,984	170,773	188,275
Net administrative fees
Net revenue:
Net revenue	601,128	572,700	670,593
Software licenses, other services and support
Net revenue:
Net revenue	438,267	404,330	359,054
Products
Net revenue:
Net revenue	393,506	744,122	269,945
Cost of revenue:
Cost of revenue	$ 363,878	$ 713,045	$ 244,516

PINC Balance Sheet

2022-06-30

Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2022	Jun. 30, 2021
Assets
Cash and cash equivalents	$ 86,143	$ 129,141
Accounts receivable (net of $2,043 and $2,284 allowance for credit losses, respectively)	114,129	141,447
Contract assets (net of $755 and $0 allowance for credit losses, respectively)	260,061	267,283
Inventory	119,652	176,376
Prepaid expenses and other current assets	65,581	68,049
Total current assets	645,566	782,296
Property and equipment (net of $578,644 and $518,332 accumulated depreciation, respectively)	213,379	224,271
Intangible assets (net of $217,582 and $289,912 accumulated amortization, respectively)	356,572	396,642
Goodwill	999,913	999,913
Deferred income tax assets	725,032	781,824
Deferred compensation plan assets	47,436	59,581
Investments in unconsolidated affiliates	215,545	153,224
Operating lease right-of-use assets	39,530	48,199
Other assets	114,154	76,948
Total assets	3,357,127	3,522,898
Liabilities and stockholders' equity
Accounts payable	44,631	85,413
Accrued expenses	40,968	48,144
Revenue share obligations	245,395	226,883
Accrued compensation and benefits	93,638	100,713
Deferred revenue	30,463	34,058
Current portion of notes payable to former limited partners	97,806	95,948
Line of credit and current portion of long-term debt	153,053	78,295
Other current liabilities	47,183	47,330
Total current liabilities	753,137	716,784
Long-term debt, less current portion	2,280	5,333
Notes payable to former limited partners, less current portion	201,188	298,995
Deferred compensation plan obligations	47,436	59,581
Deferred consideration, less current portion	28,702	56,809
Operating lease liabilities, less current portion	32,960	43,102
Other liabilities	42,574	112,401
Total liabilities	1,108,277	1,293,005
Commitments and contingencies (Note 18)
Stockholders' equity:
Treasury stock, at cost; 6,429,375 and 0 shares at June 30, 2022 and 2021, respectively	(250,129)	0
Additional paid-in capital	2,166,047	2,059,194
Retained earnings	331,690	169,474
Accumulated other comprehensive income	(3)	0
Total stockholders' equity	2,248,850	2,229,893
Total liabilities and stockholders' equity	3,357,127	3,522,898
Class A Common Stock
Stockholders' equity:
Class A common stock	$ 1,245	$ 1,225