TECK RESOURCES LTD-CLS B (TECK) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TECK - CA8787422044 - Common Stock
39.88 USD
+1.65 (+4.32%)
39.28 USD
-0.6 (-1.5%)
TECK gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 154 industry peers in the Metals & Mining industry. TECK has only an average score on both its financial health and profitability. TECK has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
TECK had positive earnings in the past year.
In the past year TECK had a positive cash flow from operations.
TECK had positive earnings in 4 of the past 5 years.
Each year in the past 5 years TECK had a positive operating cash flow.
1.2 Ratios
TECK has a better Return On Assets (2.82%) than 65.58% of its industry peers.
Looking at the Return On Equity, with a value of 5.04%, TECK is in the better half of the industry, outperforming 66.23% of the companies in the same industry.
TECK has a Return On Invested Capital (2.89%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TECK 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
TECK's Profit Margin of 11.98% is fine compared to the rest of the industry. TECK outperforms 76.62% of its industry peers.
In the last couple of years the Profit Margin of TECK has declined.
The Operating Margin of TECK (14.20%) is better than 68.83% of its industry peers.
TECK's Operating Margin has declined in the last couple of years.
The Gross Margin of TECK (21.07%) is better than 61.04% of its industry peers.
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TECK is destroying value.
The number of shares outstanding for TECK has been reduced compared to 1 year ago.
Compared to 5 years ago, TECK has less shares outstanding
Compared to 1 year ago, TECK has a worse debt to assets ratio.
2.2 Solvency
TECK has an Altman-Z score of 1.86. This is not the best score and indicates that TECK is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of TECK (1.86) 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.
TECK has a worse Debt to Equity ratio (0.36) than 70.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.86 |
ROIC/WACC0.31
WACC9.36%
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.
TECK has a Current ratio (2.78) which is comparable to the rest of the industry.
A Quick Ratio of 2.08 indicates that TECK has no problem at all paying its short term obligations.
TECK has a Quick ratio (2.08) which is comparable to the rest of the 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
Measured over the past years, TECK shows a decrease in Revenue. The Revenue has been decreasing by -5.35% on average per year.
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
The Earnings Per Share is expected to grow by 2.29% on average over the next years.
TECK is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -5.81% yearly.
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
The Price/Earnings ratio is 25.56, which means the current valuation is very expensive for TECK.
Based on the Price/Earnings ratio, TECK is valued a bit cheaper than the industry average as 70.13% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 25.45, TECK is valued at the same level.
The Price/Forward Earnings ratio is 22.83, which indicates a rather expensive current valuation of TECK.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TECK is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of TECK to the average of the S&P500 Index (34.46), we can say TECK is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.56 | ||
| Fwd PE | 22.83 |
4.2 Price Multiples
TECK's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. TECK is cheaper than 75.32% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.29 |
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
TECK has a yearly dividend return of 0.85%, which is pretty low.
Compared to an average industry Dividend Yield of 2.63, TECK pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.85, TECK pays less dividend than the S&P500 average, which is at 2.45.
| 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.
As TECK did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)38.28%
Div Incr Years0
Div Non Decr Years8
5.3 Sustainability
TECK pays out 19.75% of its income as dividend. This is a 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%
39.88
+1.65 (+4.32%)
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 Cap19.50B
Revenue(TTM)10.48B
Net Income(TTM)1.26B
Analysts73.75
Price Target63.5 (59.23%)
Short Float %1.58%
Short Ratio1.4
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 | 25.56 | ||
| Fwd PE | 22.83 | ||
| P/S | 2.62 | ||
| P/FCF | N/A | ||
| P/OCF | 18.18 | ||
| P/B | 1.1 | ||
| P/tB | 1.13 | ||
| EV/EBITDA | 9.29 |
EPS(TTM)1.56
EY3.91%
EPS(NY)1.75
Fwd EY4.38%
FCF(TTM)-0.13
FCFYN/A
OCF(TTM)2.19
OCFY5.5%
SpS15.25
BVpS36.25
TBVpS35.36
PEG (NY)N/A
PEG (5Y)N/A
Graham Number35.67
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 | 1.86 |
F-Score5
WACC9.36%
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 25.56 and the Price/Book (PB) ratio is 1.1.
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.