TECK RESOURCES LTD-CLS B (TECK) Stock Fundamental Analysis
USA - NYSE:TECK - CA8787422044 - Common Stock
40.4 USD
-0.71 (-1.73%)
40.4 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to TECK. TECK was compared to 154 industry peers in the Metals & Mining industry. TECK has an average financial health and profitability rating. TECK does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
TECK had positive earnings in the past year.
TECK had a positive operating cash flow in the past year.
Of the past 5 years TECK 4 years were profitable.
TECK had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TECK has a Return On Assets of 2.82%. This is in the better half of the industry: TECK outperforms 65.58% of its industry peers.
TECK's Return On Equity of 5.04% is fine compared to the rest of the industry. TECK outperforms 66.23% of its industry peers.
TECK has a Return On Invested Capital of 2.89%. This is comparable to the rest of the industry: TECK outperforms 56.49% of its industry peers.
TECK had an Average Return On Invested Capital over the past 3 years of 4.78%. This is significantly below the industry average of 12.85%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.82% | ||
| ROE | 5.04% | ||
| ROIC | 2.89% |
ROA(3y)3.83%
ROA(5y)3.09%
ROE(3y)7.83%
ROE(5y)6.33%
ROIC(3y)4.78%
ROIC(5y)4.78%
1.3 Margins
Looking at the Profit Margin, with a value of 11.98%, TECK is in the better half of the industry, outperforming 76.62% of the companies in the same industry.
In the last couple of years the Profit Margin of TECK has declined.
TECK has a Operating Margin of 14.20%. This is in the better half of the industry: TECK outperforms 68.83% of its industry peers.
TECK's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 21.07%, TECK is in the better half of the industry, outperforming 61.69% of the companies in the same industry.
In the last couple of years the Gross Margin of TECK has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.2% | ||
| PM (TTM) | 11.98% | ||
| GM | 21.07% |
OM growth 3Y-33.79%
OM growth 5Y-15.75%
PM growth 3Y-41.58%
PM growth 5YN/A
GM growth 3Y-24.29%
GM growth 5Y-8.73%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TECK is destroying value.
Compared to 1 year ago, TECK has less shares outstanding
Compared to 5 years ago, TECK has less shares outstanding
TECK has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 1.92 indicates that TECK is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of TECK (1.92) is worse than 67.53% of its industry peers.
TECK has a Debt/Equity ratio of 0.36. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.36, TECK is not doing good in the industry: 70.78% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.92 |
ROIC/WACC0.31
WACC9.41%
2.3 Liquidity
TECK has a Current Ratio of 2.78. This indicates that TECK is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.78, TECK is in line with its industry, outperforming 55.19% of the companies in the same industry.
A Quick Ratio of 2.08 indicates that TECK has no problem at all paying its short term obligations.
With a Quick ratio value of 2.08, TECK perfoms like the industry average, outperforming 57.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.78 | ||
| Quick Ratio | 2.08 |
3. Growth
3.1 Past
TECK shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -38.14%.
Measured over the past years, TECK shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.12% on average per year.
The Revenue for TECK has decreased by -29.29% in the past year. This is quite bad
The Revenue has been decreasing by -5.35% on average over the past years.
EPS 1Y (TTM)-38.14%
EPS 3Y-22.94%
EPS 5Y-1.12%
EPS Q2Q%26.67%
Revenue 1Y (TTM)-29.29%
Revenue growth 3Y-10.78%
Revenue growth 5Y-5.35%
Sales Q2Q%18.44%
3.2 Future
Based on estimates for the next years, TECK will show a small growth in Earnings Per Share. The EPS will grow by 2.29% on average per year.
Based on estimates for the next years, TECK will show a decrease in Revenue. The Revenue will decrease by -5.81% on average per year.
EPS Next Y-16.12%
EPS Next 2Y-2.61%
EPS Next 3Y-2.96%
EPS Next 5Y2.29%
Revenue Next Year-22.53%
Revenue Next 2Y-9.4%
Revenue Next 3Y-4.65%
Revenue Next 5Y-5.81%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last 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
A Price/Earnings ratio of 25.90 indicates a quite expensive valuation of TECK.
Compared to the rest of the industry, the Price/Earnings ratio of TECK indicates a somewhat cheap valuation: TECK is cheaper than 69.48% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 25.89. TECK is around the same levels.
The Price/Forward Earnings ratio is 23.06, which indicates a rather expensive current valuation of TECK.
The rest of the industry has a similar Price/Forward Earnings ratio as TECK.
When comparing the Price/Forward Earnings ratio of TECK to the average of the S&P500 Index (34.59), we can say TECK is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.9 | ||
| Fwd PE | 23.06 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TECK is valued a bit cheaper than 73.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.85 |
4.3 Compensation for Growth
TECK's earnings are expected to decrease with -2.96% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-2.61%
EPS Next 3Y-2.96%
5. Dividend
5.1 Amount
With a yearly dividend of 0.85%, TECK is not a good candidate for dividend investing.
TECK's Dividend Yield is a higher than the industry average which is at 2.63.
Compared to an average S&P500 Dividend Yield of 2.44, TECK's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.85% |
5.2 History
The dividend of TECK is nicely growing with an annual growth rate of 38.28%!
TECK has been paying a dividend for at least 10 years, so it has a reliable track record.
TECK has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)38.28%
Div Incr Years0
Div Non Decr Years8
5.3 Sustainability
19.75% of the earnings are spent on dividend by TECK. This is a low number and sustainable payout ratio.
TECK's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP19.75%
EPS Next 2Y-2.61%
EPS Next 3Y-2.96%
40.4
-0.71 (-1.73%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners79.29%
Inst Owner Change-2.46%
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap19.75B
Revenue(TTM)10.48B
Net Income(TTM)1.26B
Analysts73.75
Price Target63.5 (57.18%)
Short Float %1.6%
Short Ratio1.34
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.85% |
Yearly Dividend0.72
Dividend Growth(5Y)38.28%
DP19.75%
Div Incr Years0
Div Non Decr Years8
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)28.29%
Min EPS beat(2)27.01%
Max EPS beat(2)29.58%
EPS beat(4)4
Avg EPS beat(4)37.08%
Min EPS beat(4)14%
Max EPS beat(4)77.71%
EPS beat(8)7
Avg EPS beat(8)21.66%
EPS beat(12)7
Avg EPS beat(12)9.2%
EPS beat(16)10
Avg EPS beat(16)7.75%
Revenue beat(2)1
Avg Revenue beat(2)-1.42%
Min Revenue beat(2)-11.5%
Max Revenue beat(2)8.67%
Revenue beat(4)3
Avg Revenue beat(4)1.53%
Min Revenue beat(4)-11.5%
Max Revenue beat(4)8.67%
Revenue beat(8)3
Avg Revenue beat(8)-0.77%
Revenue beat(12)3
Avg Revenue beat(12)-5.96%
Revenue beat(16)5
Avg Revenue beat(16)-5.08%
PT rev (1m)3.35%
PT rev (3m)0.72%
EPS NQ rev (1m)18.55%
EPS NQ rev (3m)10.53%
EPS NY rev (1m)7.19%
EPS NY rev (3m)-1.06%
Revenue NQ rev (1m)-2.03%
Revenue NQ rev (3m)-8.53%
Revenue NY rev (1m)3.68%
Revenue NY rev (3m)1.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.9 | ||
| Fwd PE | 23.06 | ||
| P/S | 2.64 | ||
| P/FCF | N/A | ||
| P/OCF | 18.36 | ||
| P/B | 1.11 | ||
| P/tB | 1.14 | ||
| EV/EBITDA | 9.85 |
EPS(TTM)1.56
EY3.86%
EPS(NY)1.75
Fwd EY4.34%
FCF(TTM)-0.13
FCFYN/A
OCF(TTM)2.2
OCFY5.45%
SpS15.29
BVpS36.36
TBVpS35.48
PEG (NY)N/A
PEG (5Y)N/A
Graham Number35.72
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.82% | ||
| ROE | 5.04% | ||
| ROCE | 3.65% | ||
| ROIC | 2.89% | ||
| ROICexc | 3.27% | ||
| ROICexgc | 3.32% | ||
| OM | 14.2% | ||
| PM (TTM) | 11.98% | ||
| GM | 21.07% | ||
| FCFM | N/A |
ROA(3y)3.83%
ROA(5y)3.09%
ROE(3y)7.83%
ROE(5y)6.33%
ROIC(3y)4.78%
ROIC(5y)4.78%
ROICexc(3y)5.07%
ROICexc(5y)5.01%
ROICexgc(3y)5.24%
ROICexgc(5y)5.18%
ROCE(3y)6.05%
ROCE(5y)6.05%
ROICexgc growth 3Y-37.55%
ROICexgc growth 5Y-20.34%
ROICexc growth 3Y-37.19%
ROICexc growth 5Y-20.05%
OM growth 3Y-33.79%
OM growth 5Y-15.75%
PM growth 3Y-41.58%
PM growth 5YN/A
GM growth 3Y-24.29%
GM growth 5Y-8.73%
F-Score5
Asset Turnover0.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.71 | ||
| Cap/Depr | 85.54% | ||
| Cap/Sales | 15.23% | ||
| Interest Coverage | 2.05 | ||
| Cash Conversion | 44.93% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.78 | ||
| Quick Ratio | 2.08 | ||
| Altman-Z | 1.92 |
F-Score5
WACC9.41%
ROIC/WACC0.31
Cap/Depr(3y)212.51%
Cap/Depr(5y)220.07%
Cap/Sales(3y)40.91%
Cap/Sales(5y)37.88%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-38.14%
EPS 3Y-22.94%
EPS 5Y-1.12%
EPS Q2Q%26.67%
EPS Next Y-16.12%
EPS Next 2Y-2.61%
EPS Next 3Y-2.96%
EPS Next 5Y2.29%
Revenue 1Y (TTM)-29.29%
Revenue growth 3Y-10.78%
Revenue growth 5Y-5.35%
Sales Q2Q%18.44%
Revenue Next Year-22.53%
Revenue Next 2Y-9.4%
Revenue Next 3Y-4.65%
Revenue Next 5Y-5.81%
EBIT growth 1Y-51.77%
EBIT growth 3Y-40.93%
EBIT growth 5Y-20.26%
EBIT Next Year44.95%
EBIT Next 3Y22.1%
EBIT Next 5Y12.05%
FCF growth 1Y91.35%
FCF growth 3Y-8.62%
FCF growth 5Y-5.38%
OCF growth 1Y-61.21%
OCF growth 3Y-16.18%
OCF growth 5Y-4.35%
TECK RESOURCES LTD-CLS B / TECK FAQ
What is the ChartMill fundamental rating of TECK RESOURCES LTD-CLS B (TECK) stock?
ChartMill assigns a fundamental rating of 3 / 10 to TECK.
What is the valuation status for TECK stock?
ChartMill assigns a valuation rating of 2 / 10 to TECK RESOURCES LTD-CLS B (TECK). This can be considered as Overvalued.
Can you provide the profitability details for TECK RESOURCES LTD-CLS B?
TECK RESOURCES LTD-CLS B (TECK) has a profitability rating of 5 / 10.
What is the valuation of TECK RESOURCES LTD-CLS B based on its PE and PB ratios?
The Price/Earnings (PE) ratio for TECK RESOURCES LTD-CLS B (TECK) is 25.9 and the Price/Book (PB) ratio is 1.11.
What is the expected EPS growth for TECK RESOURCES LTD-CLS B (TECK) stock?
The Earnings per Share (EPS) of TECK RESOURCES LTD-CLS B (TECK) is expected to decline by -16.12% in the next year.