TECK RESOURCES LTD-CLS B (TECK) Stock Fundamental Analysis
USA - NYSE:TECK - CA8787422044 - Common Stock
41.11 USD
-0.77 (-1.84%)
40.71 USD
-0.4 (-0.97%)
Taking everything into account, TECK scores 3 out of 10 in our fundamental rating. TECK was compared to 154 industry peers in the Metals & Mining industry. Both the profitability and the financial health of TECK get a neutral evaluation. Nothing too spectacular is happening here. TECK is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year TECK was profitable.
In the past year TECK had a positive cash flow from operations.
Of the past 5 years TECK 4 years were profitable.
In the past 5 years TECK always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.82%, TECK is in the better half of the industry, outperforming 65.58% of the companies in the same industry.
TECK has a better Return On Equity (5.04%) than 66.23% of its industry peers.
TECK has a Return On Invested Capital (2.89%) which is comparable to the rest of the industry.
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
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.
Looking at the Operating Margin, with a value of 14.20%, TECK is in the better half of the industry, outperforming 68.83% of the companies in the same industry.
In the last couple of years the Operating Margin of TECK has declined.
TECK's Gross Margin of 21.07% is fine compared to the rest of the industry. TECK outperforms 61.69% 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so 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
The debt/assets ratio for TECK is higher compared to a year ago.
2.2 Solvency
TECK has an Altman-Z score of 1.92. 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.
TECK has a worse Altman-Z score (1.92) than 67.53% of its industry peers.
A Debt/Equity ratio of 0.36 indicates that TECK is not too dependend on debt financing.
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/WACC0.32
WACC8.92%
2.3 Liquidity
A Current Ratio of 2.78 indicates that TECK has no problem at all paying its short term obligations.
The Current ratio of TECK (2.78) 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 in line with its industry peers.
| 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%.
TECK shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -1.12% yearly.
Looking at the last year, TECK shows a very negative growth in Revenue. The Revenue has decreased by -29.29% in the last year.
TECK shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -5.35% yearly.
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.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 26.35, the valuation of TECK can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of TECK indicates a somewhat cheap valuation: TECK is cheaper than 70.13% of the companies listed in the same industry.
TECK is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 25.89, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 23.46, which indicates a rather expensive current valuation of TECK.
TECK's Price/Forward Earnings is on the same level as the industry average.
TECK is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 34.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.35 | ||
| Fwd PE | 23.46 |
4.2 Price Multiples
TECK's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. TECK is 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
A cheap valuation may be justified as TECK's earnings are expected to decrease with -2.96% in the coming years.
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.
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
On average, the dividend of TECK grows each year by 38.28%, which is quite nice.
TECK has paid a dividend for at least 10 years, which is 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
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%
41.11
-0.77 (-1.84%)
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 Cap20.10B
Revenue(TTM)10.48B
Net Income(TTM)1.26B
Analysts73.75
Price Target63.5 (54.46%)
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 | 26.35 | ||
| Fwd PE | 23.46 | ||
| P/S | 2.69 | ||
| P/FCF | N/A | ||
| P/OCF | 18.69 | ||
| P/B | 1.13 | ||
| P/tB | 1.16 | ||
| EV/EBITDA | 9.85 |
EPS(TTM)1.56
EY3.79%
EPS(NY)1.75
Fwd EY4.26%
FCF(TTM)-0.13
FCFYN/A
OCF(TTM)2.2
OCFY5.35%
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
WACC8.92%
ROIC/WACC0.32
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 26.35 and the Price/Book (PB) ratio is 1.13.
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.