TRIP.COM GROUP LTD-ADR (TCOM) Stock Fundamental Analysis
USA - NASDAQ:TCOM - US89677Q1076 - ADR
70.75 USD
+0.67 (+0.96%)
69.49 USD
-1.26 (-1.78%)
Taking everything into account, TCOM scores 5 out of 10 in our fundamental rating. TCOM was compared to 135 industry peers in the Hotels, Restaurants & Leisure industry. TCOM scores excellent on profitability, but there are concerns on its financial health. TCOM is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
TCOM had positive earnings in the past year.
In multiple years TCOM reported negative net income over the last 5 years.
Of the past 5 years TCOM 4 years had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.87%, TCOM is in the better half of the industry, outperforming 75.56% of the companies in the same industry.
Looking at the Return On Equity, with a value of 11.67%, TCOM is in the better half of the industry, outperforming 69.63% of the companies in the same industry.
TCOM's Return On Invested Capital of 7.10% is fine compared to the rest of the industry. TCOM outperforms 62.22% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TCOM is significantly below the industry average of 15.69%.
The 3 year average ROIC (4.09%) for TCOM is below the current ROIC(7.10%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.87% | ||
| ROE | 11.67% | ||
| ROIC | 7.1% |
ROA(3y)4.1%
ROA(5y)2.05%
ROE(3y)7.11%
ROE(5y)3.52%
ROIC(3y)4.09%
ROIC(5y)N/A
1.3 Margins
TCOM has a Profit Margin of 30.85%. This is amongst the best in the industry. TCOM outperforms 98.52% of its industry peers.
TCOM's Profit Margin has improved in the last couple of years.
TCOM has a Operating Margin of 26.12%. This is amongst the best in the industry. TCOM outperforms 93.33% of its industry peers.
In the last couple of years the Operating Margin of TCOM has grown nicely.
The Gross Margin of TCOM (81.06%) is better than 94.07% of its industry peers.
TCOM's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.12% | ||
| PM (TTM) | 30.85% | ||
| GM | 81.06% |
OM growth 3YN/A
OM growth 5Y13.49%
PM growth 3YN/A
PM growth 5Y10.25%
GM growth 3Y1.79%
GM growth 5Y0.48%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TCOM is destroying value.
Compared to 1 year ago, TCOM has more shares outstanding
TCOM has more shares outstanding than it did 5 years ago.
The debt/assets ratio for TCOM has been reduced compared to a year ago.
2.2 Solvency
TCOM has a Debt/Equity ratio of 0.13. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.13, TCOM is doing good in the industry, outperforming 80.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACC0.98
WACC7.23%
2.3 Liquidity
TCOM has a Current Ratio of 1.46. This is a normal value and indicates that TCOM is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.46, TCOM is in the better half of the industry, outperforming 72.59% of the companies in the same industry.
TCOM has a Quick Ratio of 1.46. This is a normal value and indicates that TCOM is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.46, TCOM is doing good in the industry, outperforming 76.30% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.46 | ||
| Quick Ratio | 1.46 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 12.95% over the past year.
TCOM shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 21.30% yearly.
Looking at the last year, TCOM shows a quite strong growth in Revenue. The Revenue has grown by 19.73% in the last year.
The Revenue has been growing by 8.36% on average over the past years. This is quite good.
EPS 1Y (TTM)12.95%
EPS 3YN/A
EPS 5Y21.3%
EPS Q2Q%-0.69%
Revenue 1Y (TTM)19.73%
Revenue growth 3Y38.59%
Revenue growth 5Y8.36%
Sales Q2Q%16.23%
3.2 Future
The Earnings Per Share is expected to grow by 12.61% on average over the next years. This is quite good.
Based on estimates for the next years, TCOM will show a quite strong growth in Revenue. The Revenue will grow by 12.57% on average per year.
EPS Next Y3.1%
EPS Next 2Y7.08%
EPS Next 3Y10.37%
EPS Next 5Y12.61%
Revenue Next Year15.96%
Revenue Next 2Y14.89%
Revenue Next 3Y14.38%
Revenue Next 5Y12.57%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 17.82 indicates a rather expensive valuation of TCOM.
Compared to the rest of the industry, the Price/Earnings ratio of TCOM indicates a somewhat cheap valuation: TCOM is cheaper than 72.59% of the companies listed in the same industry.
TCOM is valuated rather cheaply when we compare the Price/Earnings ratio to 27.34, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 15.49, the valuation of TCOM can be described as correct.
TCOM's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. TCOM is cheaper than 72.59% of the companies in the same industry.
TCOM's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.86.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.82 | ||
| Fwd PE | 15.49 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TCOM is valued a bit more expensive than the industry average as 74.07% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 24.27 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TCOM does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of TCOM may justify a higher PE ratio.
PEG (NY)5.76
PEG (5Y)0.84
EPS Next 2Y7.08%
EPS Next 3Y10.37%
5. Dividend
5.1 Amount
With a yearly dividend of 0.42%, TCOM is not a good candidate for dividend investing.
TCOM's Dividend Yield is comparable with the industry average which is at 6.98.
With a Dividend Yield of 0.42, TCOM pays less dividend than the S&P500 average, which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.42% |
5.2 History
TCOM has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y7.08%
EPS Next 3Y10.37%
70.75
+0.67 (+0.96%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners38.53%
Inst Owner Change-1.41%
Ins Owners1.18%
Ins Owner ChangeN/A
Market Cap46.07B
Analysts87.33
Price Target84.88 (19.97%)
Short Float %1.85%
Short Ratio3.8
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.42% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.57%
Min EPS beat(2)4.7%
Max EPS beat(2)10.44%
EPS beat(4)4
Avg EPS beat(4)18.59%
Min EPS beat(4)4.7%
Max EPS beat(4)35.25%
EPS beat(8)8
Avg EPS beat(8)27.33%
EPS beat(12)11
Avg EPS beat(12)42.83%
EPS beat(16)15
Avg EPS beat(16)120.8%
Revenue beat(2)1
Avg Revenue beat(2)-0.11%
Min Revenue beat(2)-1.79%
Max Revenue beat(2)1.56%
Revenue beat(4)1
Avg Revenue beat(4)-0.49%
Min Revenue beat(4)-1.79%
Max Revenue beat(4)1.56%
Revenue beat(8)3
Avg Revenue beat(8)-0.27%
Revenue beat(12)7
Avg Revenue beat(12)2.12%
Revenue beat(16)11
Avg Revenue beat(16)2.45%
PT rev (1m)12.13%
PT rev (3m)11.97%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.49%
EPS NY rev (1m)4.38%
EPS NY rev (3m)4.37%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.03%
Revenue NY rev (1m)0.06%
Revenue NY rev (3m)0.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.82 | ||
| Fwd PE | 15.49 | ||
| P/S | 5.95 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 2.25 | ||
| P/tB | 4.56 | ||
| EV/EBITDA | 24.27 |
EPS(TTM)3.97
EY5.61%
EPS(NY)4.57
Fwd EY6.46%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS11.89
BVpS31.44
TBVpS15.51
PEG (NY)5.76
PEG (5Y)0.84
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.87% | ||
| ROE | 11.67% | ||
| ROCE | 8.44% | ||
| ROIC | 7.1% | ||
| ROICexc | 7.1% | ||
| ROICexgc | 12.51% | ||
| OM | 26.12% | ||
| PM (TTM) | 30.85% | ||
| GM | 81.06% | ||
| FCFM | N/A |
ROA(3y)4.1%
ROA(5y)2.05%
ROE(3y)7.11%
ROE(5y)3.52%
ROIC(3y)4.09%
ROIC(5y)N/A
ROICexc(3y)6.72%
ROICexc(5y)N/A
ROICexgc(3y)21.27%
ROICexgc(5y)N/A
ROCE(3y)5.4%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y27.19%
ROICexc growth 3YN/A
ROICexc growth 5Y23.82%
OM growth 3YN/A
OM growth 5Y13.49%
PM growth 3YN/A
PM growth 5Y10.25%
GM growth 3Y1.79%
GM growth 5Y0.48%
F-ScoreN/A
Asset Turnover0.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.29 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.46 | ||
| Quick Ratio | 1.46 | ||
| Altman-Z | N/A |
F-ScoreN/A
WACC7.23%
ROIC/WACC0.98
Cap/Depr(3y)66.85%
Cap/Depr(5y)60.02%
Cap/Sales(3y)1.65%
Cap/Sales(5y)2.14%
Profit Quality(3y)160%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)12.95%
EPS 3YN/A
EPS 5Y21.3%
EPS Q2Q%-0.69%
EPS Next Y3.1%
EPS Next 2Y7.08%
EPS Next 3Y10.37%
EPS Next 5Y12.61%
Revenue 1Y (TTM)19.73%
Revenue growth 3Y38.59%
Revenue growth 5Y8.36%
Sales Q2Q%16.23%
Revenue Next Year15.96%
Revenue Next 2Y14.89%
Revenue Next 3Y14.38%
Revenue Next 5Y12.57%
EBIT growth 1Y16.35%
EBIT growth 3YN/A
EBIT growth 5Y22.98%
EBIT Next Year15.6%
EBIT Next 3Y16.92%
EBIT Next 5Y17.38%
FCF growth 1Y-11.05%
FCF growth 3Y115.38%
FCF growth 5Y23.98%
OCF growth 1Y-10.81%
OCF growth 3Y99.41%
OCF growth 5Y21.76%