NYSE:TNL: good value for what you're paying.

Take a closer look at TRAVEL + LEISURE CO (NYSE:TNL), a remarkable value stock uncovered by our stock screener. NYSE:TNL excels in fundamentals and maintains a very reasonable valuation. Let's break it down further.

Assessing Valuation Metrics for NYSE:TNL

To assess a stock's valuation, ChartMill utilizes a Valuation Rating on a scale of 0 to 10. This comprehensive assessment considers various valuation aspects, comparing price to earnings and cash flows, while factoring in profitability and growth. NYSE:TNL has achieved a 8 out of 10:

• With a Price/Earnings ratio of 7.59, the valuation of TNL can be described as very cheap.
• 97.74% of the companies in the same industry are more expensive than TNL, based on the Price/Earnings ratio.
• Compared to an average S&P500 Price/Earnings ratio of 28.27, TNL is valued rather cheaply.
• TNL is valuated cheaply with a Price/Forward Earnings ratio of 7.04.
• TNL's Price/Forward Earnings ratio is rather cheap when compared to the industry. TNL is cheaper than 96.24% of the companies in the same industry.
• Compared to an average S&P500 Price/Forward Earnings ratio of 20.18, TNL is valued rather cheaply.
• Based on the Enterprise Value to EBITDA ratio, TNL is valued a bit cheaper than 60.90% of the companies in the same industry.
• Based on the Price/Free Cash Flow ratio, TNL is valued cheaper than 85.71% of the companies in the same industry.
• TNL has a very decent profitability rating, which may justify a higher PE ratio.

Profitability Assessment of NYSE:TNL

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NYSE:TNL was assigned a score of 6 for profitability:

• TNL has a better Return On Assets (5.68%) than 69.92% of its industry peers.
• Looking at the Return On Invested Capital, with a value of 10.07%, TNL is in the better half of the industry, outperforming 69.92% of the companies in the same industry.
• The 3 year average ROIC (9.59%) for TNL is below the current ROIC(10.07%), indicating increased profibility in the last year.
• The Profit Margin of TNL (10.54%) is better than 72.93% of its industry peers.
• With a decent Operating Margin value of 20.02%, TNL is doing good in the industry, outperforming 78.20% of the companies in the same industry.

Unpacking NYSE:TNL's Health Rating

ChartMill assigns a Health Rating to every stock. This score ranges from 0 to 10 and evaluates the different health aspects like liquidity and solvency, both absolutely, but also relative to the industry peers. NYSE:TNL scores a 6 out of 10:

• TNL's Altman-Z score of 2.16 is fine compared to the rest of the industry. TNL outperforms 63.16% of its industry peers.
• TNL has a Current Ratio of 3.91. This indicates that TNL is financially healthy and has no problem in meeting its short term obligations.
• With an excellent Current ratio value of 3.91, TNL belongs to the best of the industry, outperforming 97.74% of the companies in the same industry.
• TNL has a Quick Ratio of 2.95. This indicates that TNL is financially healthy and has no problem in meeting its short term obligations.
• TNL has a better Quick ratio (2.95) than 95.49% of its industry peers.

Assessing Growth Metrics for NYSE:TNL

ChartMill assigns a proprietary Growth Rating to each stock. The score is computed by evaluating various growth aspects, like EPS and revenue growth. We take into account the history as well as the estimated future numbers. NYSE:TNL was assigned a score of 5 for growth:

• TNL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 22.78%, which is quite impressive.
• TNL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.12% yearly.
• When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
• The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.

Our Decent Value screener lists more Decent Value stocks and is updated daily.

Our latest full fundamental report of TNL contains the most current fundamental analsysis.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.