TECHNIPFMC PLC (FTI) Stock Fundamental Analysis
USA - NYSE:FTI - GB00BDSFG982 - Common Stock
39.41 USD
+0.18 (+0.46%)
39.41 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to FTI. FTI was compared to 61 industry peers in the Energy Equipment & Services industry. While FTI has a great profitability rating, there are some minor concerns on its financial health. FTI is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
FTI had positive earnings in the past year.
In the past year FTI had a positive cash flow from operations.
In multiple years FTI reported negative net income over the last 5 years.
FTI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of FTI (9.03%) is better than 85.25% of its industry peers.
FTI has a Return On Equity of 28.01%. This is amongst the best in the industry. FTI outperforms 91.80% of its industry peers.
FTI has a Return On Invested Capital of 13.67%. This is amongst the best in the industry. FTI outperforms 88.52% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FTI is in line with the industry average of 8.01%.
The 3 year average ROIC (6.55%) for FTI is below the current ROIC(13.67%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.03% | ||
| ROE | 28.01% | ||
| ROIC | 13.67% |
ROA(3y)2.66%
ROA(5y)-1.72%
ROE(3y)8.58%
ROE(5y)-10.61%
ROIC(3y)6.55%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of FTI (9.60%) is better than 77.05% of its industry peers.
In the last couple of years the Profit Margin of FTI has grown nicely.
FTI has a Operating Margin of 12.39%. This is in the better half of the industry: FTI outperforms 67.21% of its industry peers.
FTI's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 20.45%, FTI is not doing good in the industry: 68.85% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of FTI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.39% | ||
| PM (TTM) | 9.6% | ||
| GM | 20.45% |
OM growth 3Y90%
OM growth 5Y46.09%
PM growth 3Y257.56%
PM growth 5YN/A
GM growth 3Y13.81%
GM growth 5Y4.5%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so FTI is still creating some value.
Compared to 1 year ago, FTI has less shares outstanding
The number of shares outstanding for FTI has been reduced compared to 5 years ago.
FTI has a better debt/assets ratio than last year.
2.2 Solvency
FTI has an Altman-Z score of 2.24. This is not the best score and indicates that FTI is in the grey zone with still only limited risk for bankruptcy at the moment.
FTI has a Altman-Z score of 2.24. This is in the better half of the industry: FTI outperforms 63.93% of its industry peers.
FTI has a debt to FCF ratio of 0.60. This is a very positive value and a sign of high solvency as it would only need 0.60 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 0.60, FTI belongs to the best of the industry, outperforming 86.89% of the companies in the same industry.
A Debt/Equity ratio of 0.15 indicates that FTI is not too dependend on debt financing.
FTI has a Debt to Equity ratio of 0.15. This is in the better half of the industry: FTI outperforms 73.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 0.6 | ||
| Altman-Z | 2.24 |
ROIC/WACC1.54
WACC8.87%
2.3 Liquidity
A Current Ratio of 1.10 indicates that FTI should not have too much problems paying its short term obligations.
FTI's Current ratio of 1.10 is on the low side compared to the rest of the industry. FTI is outperformed by 88.52% of its industry peers.
FTI has a Quick Ratio of 1.10. This is a bad value and indicates that FTI is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.84, FTI is doing worse than 88.52% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.1 | ||
| Quick Ratio | 0.84 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 119.00% over the past year.
FTI shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 24.99% yearly.
FTI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.55%.
Measured over the past years, FTI shows a small growth in Revenue. The Revenue has been growing by 5.50% on average per year.
EPS 1Y (TTM)119%
EPS 3Y357.37%
EPS 5Y24.99%
EPS Q2Q%58.14%
Revenue 1Y (TTM)11.55%
Revenue growth 3Y12.36%
Revenue growth 5Y5.5%
Sales Q2Q%8.99%
3.2 Future
FTI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.01% yearly.
Based on estimates for the next years, FTI will show a small growth in Revenue. The Revenue will grow by 4.53% on average per year.
EPS Next Y20.62%
EPS Next 2Y20.13%
EPS Next 3Y18.4%
EPS Next 5Y12.01%
Revenue Next Year9.77%
Revenue Next 2Y8.63%
Revenue Next 3Y7.52%
Revenue Next 5Y4.53%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
FTI is valuated rather expensively with a Price/Earnings ratio of 18.00.
FTI's Price/Earnings is on the same level as the industry average.
FTI's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.38.
With a Price/Forward Earnings ratio of 14.92, FTI is valued correctly.
FTI's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.86, FTI is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18 | ||
| Fwd PE | 14.92 |
4.2 Price Multiples
FTI's Enterprise Value to EBITDA ratio is rather expensive when compared to the industry. FTI is more expensive than 85.25% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of FTI is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.28 | ||
| EV/EBITDA | 10.02 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of FTI may justify a higher PE ratio.
FTI's earnings are expected to grow with 18.40% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.87
PEG (5Y)0.72
EPS Next 2Y20.13%
EPS Next 3Y18.4%
5. Dividend
5.1 Amount
FTI has a yearly dividend return of 0.50%, which is pretty low.
Compared to an average industry Dividend Yield of 3.34, FTI has a dividend in line with its industry peers.
With a Dividend Yield of 0.50, FTI pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.5% |
5.2 History
The dividend of FTI decreases each year by -17.29%.
FTI has paid a dividend for at least 10 years, which is a reliable track record.
FTI has decreased its dividend recently.
Dividend Growth(5Y)-17.29%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
9.28% of the earnings are spent on dividend by FTI. This is a low number and sustainable payout ratio.
DP9.28%
EPS Next 2Y20.13%
EPS Next 3Y18.4%
39.41
+0.18 (+0.46%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners99.85%
Inst Owner Change-1.21%
Ins Owners1.11%
Ins Owner Change-1.56%
Market Cap16.20B
Analysts77.14
Price Target42.06 (6.72%)
Short Float %2.29%
Short Ratio1.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.5% |
Yearly Dividend0.2
Dividend Growth(5Y)-17.29%
DP9.28%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.46%
Min EPS beat(2)-7.03%
Max EPS beat(2)15.95%
EPS beat(4)3
Avg EPS beat(4)31.11%
Min EPS beat(4)-7.03%
Max EPS beat(4)63.37%
EPS beat(8)7
Avg EPS beat(8)28.3%
EPS beat(12)7
Avg EPS beat(12)-19.47%
EPS beat(16)7
Avg EPS beat(16)-209.23%
Revenue beat(2)1
Avg Revenue beat(2)-0.53%
Min Revenue beat(2)-2.29%
Max Revenue beat(2)1.23%
Revenue beat(4)2
Avg Revenue beat(4)0%
Min Revenue beat(4)-2.29%
Max Revenue beat(4)1.91%
Revenue beat(8)6
Avg Revenue beat(8)2.04%
Revenue beat(12)9
Avg Revenue beat(12)1.55%
Revenue beat(16)10
Avg Revenue beat(16)0.18%
PT rev (1m)1.41%
PT rev (3m)17.21%
EPS NQ rev (1m)0.69%
EPS NQ rev (3m)6.15%
EPS NY rev (1m)4.26%
EPS NY rev (3m)5.64%
Revenue NQ rev (1m)0.49%
Revenue NQ rev (3m)1.03%
Revenue NY rev (1m)0.33%
Revenue NY rev (3m)0.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18 | ||
| Fwd PE | 14.92 | ||
| P/S | 1.71 | ||
| P/FCF | 12.28 | ||
| P/OCF | 9.86 | ||
| P/B | 4.98 | ||
| P/tB | 5.87 | ||
| EV/EBITDA | 10.02 |
EPS(TTM)2.19
EY5.56%
EPS(NY)2.64
Fwd EY6.7%
FCF(TTM)3.21
FCFY8.14%
OCF(TTM)4
OCFY10.14%
SpS23.07
BVpS7.91
TBVpS6.71
PEG (NY)0.87
PEG (5Y)0.72
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.03% | ||
| ROE | 28.01% | ||
| ROCE | 23.55% | ||
| ROIC | 13.67% | ||
| ROICexc | 16.88% | ||
| ROICexgc | 19.23% | ||
| OM | 12.39% | ||
| PM (TTM) | 9.6% | ||
| GM | 20.45% | ||
| FCFM | 13.91% |
ROA(3y)2.66%
ROA(5y)-1.72%
ROE(3y)8.58%
ROE(5y)-10.61%
ROIC(3y)6.55%
ROIC(5y)N/A
ROICexc(3y)8.36%
ROICexc(5y)N/A
ROICexgc(3y)9.72%
ROICexgc(5y)N/A
ROCE(3y)11.29%
ROCE(5y)N/A
ROICexcg growth 3Y120.68%
ROICexcg growth 5Y29.85%
ROICexc growth 3Y124.98%
ROICexc growth 5Y78.94%
OM growth 3Y90%
OM growth 5Y46.09%
PM growth 3Y257.56%
PM growth 5YN/A
GM growth 3Y13.81%
GM growth 5Y4.5%
F-Score9
Asset Turnover0.94
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 0.6 | ||
| Debt/EBITDA | 0.31 | ||
| Cap/Depr | 77.46% | ||
| Cap/Sales | 3.42% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 103.09% | ||
| Profit Quality | 144.81% | ||
| Current Ratio | 1.1 | ||
| Quick Ratio | 0.84 | ||
| Altman-Z | 2.24 |
F-Score9
WACC8.87%
ROIC/WACC1.54
Cap/Depr(3y)57.73%
Cap/Depr(5y)57.63%
Cap/Sales(3y)2.78%
Cap/Sales(5y)3.16%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)119%
EPS 3Y357.37%
EPS 5Y24.99%
EPS Q2Q%58.14%
EPS Next Y20.62%
EPS Next 2Y20.13%
EPS Next 3Y18.4%
EPS Next 5Y12.01%
Revenue 1Y (TTM)11.55%
Revenue growth 3Y12.36%
Revenue growth 5Y5.5%
Sales Q2Q%8.99%
Revenue Next Year9.77%
Revenue Next 2Y8.63%
Revenue Next 3Y7.52%
Revenue Next 5Y4.53%
EBIT growth 1Y49.09%
EBIT growth 3Y113.48%
EBIT growth 5Y54.12%
EBIT Next Year82.77%
EBIT Next 3Y28.99%
EBIT Next 5Y15.6%
FCF growth 1Y283.62%
FCF growth 3Y4.84%
FCF growth 5Y11.51%
OCF growth 1Y199.58%
OCF growth 3Y7.14%
OCF growth 5Y2.52%