TESSENDERLO GROUP (TESB.BR) Stock Fundamental Analysis
EBR:TESB - Euronext Brussels - BE0003555639 - Common Stock - Currency: EUR
We assign a fundamental rating of 5 out of 10 to TESB. TESB was compared to 67 industry peers in the Chemicals industry. TESB has only an average score on both its financial health and profitability. TESB is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year TESB was profitable.
TESB had a positive operating cash flow in the past year.
Each year in the past 5 years TESB has been profitable.
TESB had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TESB's Return On Assets of 1.46% is in line compared to the rest of the industry. TESB outperforms 52.24% of its industry peers.
Looking at the Return On Equity, with a value of 2.26%, TESB is in line with its industry, outperforming 49.25% of the companies in the same industry.
TESB's Return On Invested Capital of 2.05% is in line compared to the rest of the industry. TESB outperforms 44.78% of its industry peers.
TESB had an Average Return On Invested Capital over the past 3 years of 6.25%. This is in line with the industry average of 6.51%.
The last Return On Invested Capital (2.05%) for TESB is well below the 3 year average (6.25%), which needs to be investigated, but indicates that TESB had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.46% | ||
| ROE | 2.26% | ||
| ROIC | 2.05% |
ROA(3y)5.03%
ROA(5y)5.73%
ROE(3y)8.04%
ROE(5y)10.34%
ROIC(3y)6.25%
ROIC(5y)7.52%
1.3 Margins
TESB has a Profit Margin of 1.62%. This is comparable to the rest of the industry: TESB outperforms 49.25% of its industry peers.
In the last couple of years the Profit Margin of TESB has declined.
TESB has a Operating Margin of 2.41%. This is comparable to the rest of the industry: TESB outperforms 41.79% of its industry peers.
In the last couple of years the Operating Margin of TESB has declined.
TESB's Gross Margin of 19.38% is on the low side compared to the rest of the industry. TESB is outperformed by 73.13% of its industry peers.
TESB's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.41% | ||
| PM (TTM) | 1.62% | ||
| GM | 19.38% |
OM growth 3Y-39.29%
OM growth 5Y-20.88%
PM growth 3Y-43.63%
PM growth 5Y-21.76%
GM growth 3Y-9.65%
GM growth 5Y-5.01%
2. Health
2.1 Basic Checks
TESB has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for TESB has been reduced compared to 1 year ago.
The number of shares outstanding for TESB has been increased compared to 5 years ago.
The debt/assets ratio for TESB is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.05 indicates that TESB is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of TESB (2.05) is comparable to the rest of the industry.
TESB has a debt to FCF ratio of 1.69. This is a very positive value and a sign of high solvency as it would only need 1.69 years to pay back of all of its debts.
TESB has a better Debt to FCF ratio (1.69) than 94.03% of its industry peers.
A Debt/Equity ratio of 0.07 indicates that TESB is not too dependend on debt financing.
TESB has a better Debt to Equity ratio (0.07) than 89.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 1.69 | ||
| Altman-Z | 2.05 |
ROIC/WACC0.29
WACC7.09%
2.3 Liquidity
TESB has a Current Ratio of 2.11. This indicates that TESB is financially healthy and has no problem in meeting its short term obligations.
TESB has a better Current ratio (2.11) than 67.16% of its industry peers.
A Quick Ratio of 1.18 indicates that TESB should not have too much problems paying its short term obligations.
TESB's Quick ratio of 1.18 is in line compared to the rest of the industry. TESB outperforms 56.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.11 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
TESB shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -60.46%.
TESB shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -20.75% yearly.
TESB shows a decrease in Revenue. In the last year, the revenue decreased by -9.58%.
The Revenue has been growing by 8.72% on average over the past years. This is quite good.
EPS 1Y (TTM)-60.46%
EPS 3Y-45.77%
EPS 5Y-20.75%
EPS Q2Q%-162.24%
Revenue 1Y (TTM)-9.58%
Revenue growth 3Y8.35%
Revenue growth 5Y8.72%
Sales Q2Q%-3.32%
3.2 Future
The Earnings Per Share is expected to grow by 11.03% on average over the next years. This is quite good.
Based on estimates for the next years, TESB will show a small growth in Revenue. The Revenue will grow by 2.57% on average per year.
EPS Next Y39.56%
EPS Next 2Y33.42%
EPS Next 3Y11.03%
EPS Next 5YN/A
Revenue Next Year4.65%
Revenue Next 2Y4.39%
Revenue Next 3Y2.57%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
Based on the Price/Earnings ratio of 38.16, the valuation of TESB can be described as expensive.
Based on the Price/Earnings ratio, TESB is valued a bit more expensive than the industry average as 61.19% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Earnings ratio of 27.45, TESB is valued a bit more expensive.
A Price/Forward Earnings ratio of 16.20 indicates a correct valuation of TESB.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TESB indicates a somewhat cheap valuation: TESB is cheaper than 61.19% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 21.90. TESB is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.16 | ||
| Fwd PE | 16.2 |
4.2 Price Multiples
85.07% of the companies in the same industry are more expensive than TESB, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, TESB is valued cheaper than 88.06% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.23 | ||
| EV/EBITDA | 5.47 |
4.3 Compensation for Growth
TESB's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.96
PEG (5Y)N/A
EPS Next 2Y33.42%
EPS Next 3Y11.03%
5. Dividend
5.1 Amount
TESB has a Yearly Dividend Yield of 2.04%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.08, TESB has a dividend in line with its industry peers.
TESB's Dividend Yield is comparable with the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.04% |
5.2 History
The dividend of TESB is nicely growing with an annual growth rate of 6.16%!
Dividend Growth(5Y)6.16%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
TESB pays out 126.17% of its income as dividend. This is not a sustainable payout ratio.
The dividend of TESB is growing, but earnings are growing more, so the dividend growth is sustainable.
DP126.17%
EPS Next 2Y33.42%
EPS Next 3Y11.03%
EBR:TESB (7/4/2025, 1:39:46 PM)
25.95
-0.15 (-0.57%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners5.92%
Inst Owner ChangeN/A
Ins Owners67.43%
Ins Owner ChangeN/A
Market Cap1.56B
Analysts78
Price Target27.54 (6.13%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.04% |
Yearly Dividend0.88
Dividend Growth(5Y)6.16%
DP126.17%
Div Incr Years0
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)4.9%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.16 | ||
| Fwd PE | 16.2 | ||
| P/S | 0.59 | ||
| P/FCF | 10.23 | ||
| P/OCF | 4.69 | ||
| P/B | 0.82 | ||
| P/tB | 0.99 | ||
| EV/EBITDA | 5.47 |
EPS(TTM)0.68
EY2.62%
EPS(NY)1.6
Fwd EY6.17%
FCF(TTM)2.54
FCFY9.77%
OCF(TTM)5.54
OCFY21.34%
SpS44.01
BVpS31.52
TBVpS26.21
PEG (NY)0.96
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.46% | ||
| ROE | 2.26% | ||
| ROCE | 2.73% | ||
| ROIC | 2.05% | ||
| ROICexc | 2.3% | ||
| ROICexgc | 2.71% | ||
| OM | 2.41% | ||
| PM (TTM) | 1.62% | ||
| GM | 19.38% | ||
| FCFM | 5.76% |
ROA(3y)5.03%
ROA(5y)5.73%
ROE(3y)8.04%
ROE(5y)10.34%
ROIC(3y)6.25%
ROIC(5y)7.52%
ROICexc(3y)6.83%
ROICexc(5y)8.71%
ROICexgc(3y)7.61%
ROICexgc(5y)9.79%
ROCE(3y)8.33%
ROCE(5y)10.06%
ROICexcg growth 3Y-43.17%
ROICexcg growth 5Y-19.86%
ROICexc growth 3Y-44.09%
ROICexc growth 5Y-20.16%
OM growth 3Y-39.29%
OM growth 5Y-20.88%
PM growth 3Y-43.63%
PM growth 5Y-21.76%
GM growth 3Y-9.65%
GM growth 5Y-5.01%
F-Score6
Asset Turnover0.9
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 1.69 | ||
| Debt/EBITDA | 0.49 | ||
| Cap/Depr | 85.39% | ||
| Cap/Sales | 6.82% | ||
| Interest Coverage | 7.01 | ||
| Cash Conversion | 121.03% | ||
| Profit Quality | 356.54% | ||
| Current Ratio | 2.11 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | 2.05 |
F-Score6
WACC7.09%
ROIC/WACC0.29
Cap/Depr(3y)86.45%
Cap/Depr(5y)81.94%
Cap/Sales(3y)5.77%
Cap/Sales(5y)5.54%
Profit Quality(3y)143.93%
Profit Quality(5y)139.31%
High Growth Momentum
Growth
EPS 1Y (TTM)-60.46%
EPS 3Y-45.77%
EPS 5Y-20.75%
EPS Q2Q%-162.24%
EPS Next Y39.56%
EPS Next 2Y33.42%
EPS Next 3Y11.03%
EPS Next 5YN/A
Revenue 1Y (TTM)-9.58%
Revenue growth 3Y8.35%
Revenue growth 5Y8.72%
Sales Q2Q%-3.32%
Revenue Next Year4.65%
Revenue Next 2Y4.39%
Revenue Next 3Y2.57%
Revenue Next 5YN/A
EBIT growth 1Y-46.88%
EBIT growth 3Y-34.22%
EBIT growth 5Y-13.98%
EBIT Next Year266.59%
EBIT Next 3Y56.25%
EBIT Next 5YN/A
FCF growth 1Y274.94%
FCF growth 3Y0.11%
FCF growth 5Y5.75%
OCF growth 1Y52.01%
OCF growth 3Y10.33%
OCF growth 5Y8.69%