TENARIS SA (TEN.MI) Stock Fundamental Analysis
BIT:TEN - Borsa Italiana Milan - LU2598331598 - Common Stock - Currency: EUR
Taking everything into account, TEN scores 7 out of 10 in our fundamental rating. TEN was compared to 35 industry peers in the Energy Equipment & Services industry. TEN scores excellent points on both the profitability and health parts. This is a solid base for a good stock. TEN is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year TEN was profitable.
TEN had a positive operating cash flow in the past year.
TEN had positive earnings in 4 of the past 5 years.
TEN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TEN has a better Return On Assets (12.53%) than 91.18% of its industry peers.
Looking at the Return On Equity, with a value of 15.40%, TEN is in the better half of the industry, outperforming 73.53% of the companies in the same industry.
TEN's Return On Invested Capital of 12.13% is fine compared to the rest of the industry. TEN outperforms 73.53% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TEN is in line with the industry average of 12.83%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.53% | ||
| ROE | 15.4% | ||
| ROIC | 12.13% |
ROA(3y)13.58%
ROA(5y)8.23%
ROE(3y)16.94%
ROE(5y)10.28%
ROIC(3y)13.95%
ROIC(5y)N/A
1.3 Margins
With an excellent Profit Margin value of 20.23%, TEN belongs to the best of the industry, outperforming 85.29% of the companies in the same industry.
TEN's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 20.57%, TEN is doing good in the industry, outperforming 79.41% of the companies in the same industry.
In the last couple of years the Operating Margin of TEN has grown nicely.
The Gross Margin of TEN (36.35%) is better than 73.53% of its industry peers.
In the last couple of years the Gross Margin of TEN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.57% | ||
| PM (TTM) | 20.23% | ||
| GM | 36.35% |
OM growth 3YN/A
OM growth 5Y20.38%
PM growth 3YN/A
PM growth 5Y18.16%
GM growth 3Y26.53%
GM growth 5Y6.06%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so TEN is creating value.
The number of shares outstanding for TEN has been reduced compared to 1 year ago.
TEN has less shares outstanding than it did 5 years ago.
The debt/assets ratio for TEN has been reduced compared to a year ago.
2.2 Solvency
TEN has an Altman-Z score of 4.18. This indicates that TEN is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of TEN (4.18) is better than 97.06% of its industry peers.
The Debt to FCF ratio of TEN is 0.26, which is an excellent value as it means it would take TEN, only 0.26 years of fcf income to pay off all of its debts.
TEN has a Debt to FCF ratio of 0.26. This is amongst the best in the industry. TEN outperforms 100.00% of its industry peers.
TEN has a Debt/Equity ratio of 0.01. This is a healthy value indicating a solid balance between debt and equity.
TEN's Debt to Equity ratio of 0.01 is amongst the best of the industry. TEN outperforms 91.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.26 | ||
| Altman-Z | 4.18 |
ROIC/WACC1.72
WACC7.06%
2.3 Liquidity
A Current Ratio of 3.65 indicates that TEN has no problem at all paying its short term obligations.
TEN has a Current ratio of 3.65. This is amongst the best in the industry. TEN outperforms 91.18% of its industry peers.
A Quick Ratio of 2.27 indicates that TEN has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 2.27, TEN belongs to the top of the industry, outperforming 85.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.65 | ||
| Quick Ratio | 2.27 |
3. Growth
3.1 Past
The earnings per share for TEN have decreased strongly by -25.25% in the last year.
The Earnings Per Share has been growing by 35.10% on average over the past years. This is a very strong growth
TEN shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -13.14%.
The Revenue has been growing by 14.19% on average over the past years. This is quite good.
EPS 1Y (TTM)-25.25%
EPS 3YN/A
EPS 5Y35.1%
EPS Q2Q%-15.22%
Revenue 1Y (TTM)-13.14%
Revenue growth 3Y42.42%
Revenue growth 5Y14.19%
Sales Q2Q%-9.96%
3.2 Future
TEN is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -13.04% yearly.
Based on estimates for the next years, TEN will show a decrease in Revenue. The Revenue will decrease by -4.03% on average per year.
EPS Next Y-40.42%
EPS Next 2Y-21.64%
EPS Next 3Y-14.93%
EPS Next 5Y-13.04%
Revenue Next Year-14.27%
Revenue Next 2Y-7.45%
Revenue Next 3Y-5.02%
Revenue Next 5Y-4.03%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 8.37 indicates a reasonable valuation of TEN.
Based on the Price/Earnings ratio, TEN is valued a bit cheaper than the industry average as 76.47% of the companies are valued more expensively.
TEN's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.47.
A Price/Forward Earnings ratio of 9.35 indicates a reasonable valuation of TEN.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TEN is on the same level as its industry peers.
TEN's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 92.74.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.37 | ||
| Fwd PE | 9.35 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TEN is valued cheaply inside the industry as 94.12% of the companies are valued more expensively.
TEN's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. TEN is cheaper than 70.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.11 | ||
| EV/EBITDA | 1.43 |
4.3 Compensation for Growth
TEN has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as TEN's earnings are expected to decrease with -14.93% in the coming years.
PEG (NY)N/A
PEG (5Y)0.24
EPS Next 2Y-21.64%
EPS Next 3Y-14.93%
5. Dividend
5.1 Amount
TEN has a Yearly Dividend Yield of 3.51%.
TEN's Dividend Yield is a higher than the industry average which is at 5.50.
TEN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.51% |
5.2 History
The dividend of TEN has a limited annual growth rate of 5.74%.
Dividend Growth(5Y)5.74%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
TEN pays out 26.18% of its income as dividend. This is a sustainable payout ratio.
DP26.18%
EPS Next 2Y-21.64%
EPS Next 3Y-14.93%
TENARIS SA
BIT:TEN (2/5/2025, 12:33:11 PM)
18.505
-0.09 (-0.46%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners11.81%
Inst Owner ChangeN/A
Ins Owners0.07%
Ins Owner ChangeN/A
Market Cap10.01B
Analysts77.5
Price Target19.88 (7.43%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.51% |
Yearly Dividend0.54
Dividend Growth(5Y)5.74%
DP26.18%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-10.35%
Min EPS beat(2)-38.91%
Max EPS beat(2)18.2%
EPS beat(4)3
Avg EPS beat(4)19%
Min EPS beat(4)-38.91%
Max EPS beat(4)76.02%
EPS beat(8)5
Avg EPS beat(8)10.1%
EPS beat(12)8
Avg EPS beat(12)11.83%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)3.21%
Min Revenue beat(2)1.36%
Max Revenue beat(2)5.06%
Revenue beat(4)3
Avg Revenue beat(4)3.59%
Min Revenue beat(4)-0.39%
Max Revenue beat(4)8.34%
Revenue beat(8)7
Avg Revenue beat(8)3.39%
Revenue beat(12)11
Avg Revenue beat(12)2.75%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0.47%
PT rev (3m)10.03%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-20.73%
EPS NY rev (1m)2.71%
EPS NY rev (3m)2.71%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.88%
Revenue NY rev (1m)1.21%
Revenue NY rev (3m)1.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.37 | ||
| Fwd PE | 9.35 | ||
| P/S | 0.79 | ||
| P/FCF | 4.11 | ||
| P/OCF | 3.22 | ||
| P/B | 0.6 | ||
| P/tB | 0.65 | ||
| EV/EBITDA | 1.43 |
EPS(TTM)2.21
EY11.94%
EPS(NY)1.98
Fwd EY10.69%
FCF(TTM)4.5
FCFY24.3%
OCF(TTM)5.74
OCFY31.01%
SpS23.41
BVpS30.75
TBVpS28.33
PEG (NY)N/A
PEG (5Y)0.24
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.53% | ||
| ROE | 15.4% | ||
| ROCE | 14.62% | ||
| ROIC | 12.13% | ||
| ROICexc | 14.99% | ||
| ROICexgc | 16.49% | ||
| OM | 20.57% | ||
| PM (TTM) | 20.23% | ||
| GM | 36.35% | ||
| FCFM | 19.21% |
ROA(3y)13.58%
ROA(5y)8.23%
ROE(3y)16.94%
ROE(5y)10.28%
ROIC(3y)13.95%
ROIC(5y)N/A
ROICexc(3y)16.32%
ROICexc(5y)N/A
ROICexgc(3y)18.12%
ROICexgc(5y)N/A
ROCE(3y)16.82%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y30.4%
ROICexc growth 3YN/A
ROICexc growth 5Y31.34%
OM growth 3YN/A
OM growth 5Y20.38%
PM growth 3YN/A
PM growth 5Y18.16%
GM growth 3Y26.53%
GM growth 5Y6.06%
F-Score4
Asset Turnover0.62
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.26 | ||
| Debt/EBITDA | 0.04 | ||
| Cap/Depr | 111.74% | ||
| Cap/Sales | 5.3% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 96.82% | ||
| Profit Quality | 94.94% | ||
| Current Ratio | 3.65 | ||
| Quick Ratio | 2.27 | ||
| Altman-Z | 4.18 |
F-Score4
WACC7.06%
ROIC/WACC1.72
Cap/Depr(3y)73.15%
Cap/Depr(5y)62.6%
Cap/Sales(3y)3.76%
Cap/Sales(5y)3.97%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-25.25%
EPS 3YN/A
EPS 5Y35.1%
EPS Q2Q%-15.22%
EPS Next Y-40.42%
EPS Next 2Y-21.64%
EPS Next 3Y-14.93%
EPS Next 5Y-13.04%
Revenue 1Y (TTM)-13.14%
Revenue growth 3Y42.42%
Revenue growth 5Y14.19%
Sales Q2Q%-9.96%
Revenue Next Year-14.27%
Revenue Next 2Y-7.45%
Revenue Next 3Y-5.02%
Revenue Next 5Y-4.03%
EBIT growth 1Y-40.85%
EBIT growth 3YN/A
EBIT growth 5Y37.46%
EBIT Next Year-27.93%
EBIT Next 3Y-10.98%
EBIT Next 5Y-8.5%
FCF growth 1Y632.46%
FCF growth 3Y41.74%
FCF growth 5Y70.59%
OCF growth 1Y365.65%
OCF growth 3Y42.45%
OCF growth 5Y48.39%