TFI INTERNATIONAL INC (TFII) Stock Fundamental Analysis
NYSE:TFII - New York Stock Exchange, Inc. - CA87241L1094 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to TFII. TFII was compared to 39 industry peers in the Ground Transportation industry. TFII scores excellent on profitability, but there are concerns on its financial health. TFII has a bad growth rate and is valued cheaply. Finally TFII also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
TFII had positive earnings in the past year.
TFII had a positive operating cash flow in the past year.
TFII had positive earnings in 4 of the past 5 years.
TFII had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 6.27%, TFII is doing good in the industry, outperforming 65.79% of the companies in the same industry.
The Return On Equity of TFII (17.08%) is better than 68.42% of its industry peers.
Looking at the Return On Invested Capital, with a value of 9.21%, TFII is in the better half of the industry, outperforming 73.68% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for TFII is above the industry average of 7.67%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.27% | ||
| ROE | 17.08% | ||
| ROIC | 9.21% |
ROA(3y)11.94%
ROA(5y)9.93%
ROE(3y)28.52%
ROE(5y)24.22%
ROIC(3y)12.65%
ROIC(5y)10.96%
1.3 Margins
TFII's Profit Margin of 5.67% is fine compared to the rest of the industry. TFII outperforms 63.16% of its industry peers.
TFII's Profit Margin has improved in the last couple of years.
TFII has a Operating Margin of 9.15%. This is in the better half of the industry: TFII outperforms 65.79% of its industry peers.
TFII's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 49.99%, TFII perfoms like the industry average, outperforming 57.89% of the companies in the same industry.
In the last couple of years the Gross Margin of TFII has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.15% | ||
| PM (TTM) | 5.67% | ||
| GM | 49.99% |
OM growth 3Y2.58%
OM growth 5Y3.71%
PM growth 3Y-2.72%
PM growth 5Y3.33%
GM growth 3Y2.6%
GM growth 5Y2.76%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TFII is still creating some value.
There is no outstanding debt for TFII. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
TFII has an Altman-Z score of 2.85. This is not the best score and indicates that TFII is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of TFII (2.85) is better than 68.42% of its industry peers.
TFII has a debt to FCF ratio of 4.55. This is a neutral value as TFII would need 4.55 years to pay back of all of its debts.
The Debt to FCF ratio of TFII (4.55) is better than 73.68% of its industry peers.
TFII has a Debt/Equity ratio of 1.00. This is a high value indicating a heavy dependency on external financing.
TFII has a Debt to Equity ratio of 1.00. This is in the lower half of the industry: TFII underperforms 68.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1 | ||
| Debt/FCF | 4.55 | ||
| Altman-Z | 2.85 |
ROIC/WACC1.18
WACC7.78%
2.3 Liquidity
TFII has a Current Ratio of 0.98. This is a bad value and indicates that TFII is not financially healthy enough and could expect problems in meeting its short term obligations.
TFII's Current ratio of 0.98 is in line compared to the rest of the industry. TFII outperforms 42.11% of its industry peers.
TFII has a Quick Ratio of 0.98. This is a bad value and indicates that TFII is not financially healthy enough and could expect problems in meeting its short term obligations.
TFII has a Quick ratio of 0.96. This is comparable to the rest of the industry: TFII outperforms 42.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
TFII shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.42%.
Measured over the past years, TFII shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.09% on average per year.
EPS 1Y (TTM)-7.42%
EPS 3Y3.08%
EPS 5Y14.09%
EPS Q2Q%-30.41%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%5.5%
3.2 Future
The Earnings Per Share is expected to grow by 23.26% on average over the next years. This is a very strong growth
TFII is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.73% yearly.
EPS Next Y36.6%
EPS Next 2Y29.16%
EPS Next 3Y26.09%
EPS Next 5Y23.26%
Revenue Next Year7.17%
Revenue Next 2Y6.52%
Revenue Next 3Y7.8%
Revenue Next 5Y7.73%
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.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 16.50, which indicates a correct valuation of TFII.
Based on the Price/Earnings ratio, TFII is valued a bit cheaper than the industry average as 78.95% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of TFII to the average of the S&P500 Index (29.63), we can say TFII is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 12.08, the valuation of TFII can be described as correct.
Based on the Price/Forward Earnings ratio, TFII is valued cheaper than 81.58% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.68. TFII is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.5 | ||
| Fwd PE | 12.08 |
4.2 Price Multiples
TFII's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. TFII is cheaper than 65.79% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, TFII is valued cheaply inside the industry as 92.11% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.45 | ||
| EV/EBITDA | 8.99 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
TFII has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as TFII's earnings are expected to grow with 26.09% in the coming years.
PEG (NY)0.45
PEG (5Y)1.17
EPS Next 2Y29.16%
EPS Next 3Y26.09%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.43%, TFII has a reasonable but not impressive dividend return.
In the last 3 months the price of TFII has falen by -36.32%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
TFII's Dividend Yield is a higher than the industry average which is at 1.35.
TFII's Dividend Yield is slightly below the S&P500 average, which is at 2.29.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.43% |
5.2 History
On average, the dividend of TFII grows each year by 16.79%, which is quite nice.
TFII has been paying a dividend for at least 10 years, so it has a reliable track record.
TFII has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)16.79%
Div Incr Years14
Div Non Decr Years15
5.3 Sustainability
TFII pays out 27.82% of its income as dividend. This is a sustainable payout ratio.
The dividend of TFII is growing, but earnings are growing more, so the dividend growth is sustainable.
DP27.82%
EPS Next 2Y29.16%
EPS Next 3Y26.09%
94.71
-6.77 (-6.67%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)
Earnings (Next)
Inst Owners73.28%
Inst Owner ChangeN/A
Ins Owners6.04%
Ins Owner ChangeN/A
Market Cap7.97B
Analysts77.5
Price Target142.23 (50.17%)
Short Float %1.29%
Short Ratio4.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.43% |
Yearly Dividend1.42
Dividend Growth(5Y)16.79%
DP27.82%
Div Incr Years14
Div Non Decr Years15
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-4.03%
Min EPS beat(2)-11.81%
Max EPS beat(2)3.74%
EPS beat(4)2
Avg EPS beat(4)-4.47%
Min EPS beat(4)-11.81%
Max EPS beat(4)3.74%
EPS beat(8)2
Avg EPS beat(8)-7.25%
EPS beat(12)6
Avg EPS beat(12)4.81%
EPS beat(16)10
Avg EPS beat(16)9.03%
Revenue beat(2)0
Avg Revenue beat(2)-3.7%
Min Revenue beat(2)-5.14%
Max Revenue beat(2)-2.27%
Revenue beat(4)0
Avg Revenue beat(4)-2.82%
Min Revenue beat(4)-5.14%
Max Revenue beat(4)-0.32%
Revenue beat(8)0
Avg Revenue beat(8)-4.68%
Revenue beat(12)3
Avg Revenue beat(12)-1.99%
Revenue beat(16)7
Avg Revenue beat(16)2.22%
PT rev (1m)-0.97%
PT rev (3m)-4.98%
EPS NQ rev (1m)-3.23%
EPS NQ rev (3m)-5.34%
EPS NY rev (1m)-0.76%
EPS NY rev (3m)-0.76%
Revenue NQ rev (1m)-1.56%
Revenue NQ rev (3m)-1.95%
Revenue NY rev (1m)-0.13%
Revenue NY rev (3m)-0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.5 | ||
| Fwd PE | 12.08 | ||
| P/S | 0.96 | ||
| P/FCF | 11.45 | ||
| P/OCF | 7.23 | ||
| P/B | 2.9 | ||
| P/tB | 60.1 | ||
| EV/EBITDA | 8.99 |
EPS(TTM)5.74
EY6.06%
EPS(NY)7.84
Fwd EY8.28%
FCF(TTM)8.27
FCFY8.73%
OCF(TTM)13.1
OCFY13.83%
SpS98.44
BVpS32.68
TBVpS1.58
PEG (NY)0.45
PEG (5Y)1.17
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.27% | ||
| ROE | 17.08% | ||
| ROCE | 12.13% | ||
| ROIC | 9.21% | ||
| ROICexc | 9.29% | ||
| ROICexgc | 16.09% | ||
| OM | 9.15% | ||
| PM (TTM) | 5.67% | ||
| GM | 49.99% | ||
| FCFM | 8.4% |
ROA(3y)11.94%
ROA(5y)9.93%
ROE(3y)28.52%
ROE(5y)24.22%
ROIC(3y)12.65%
ROIC(5y)10.96%
ROICexc(3y)13.09%
ROICexc(5y)11.23%
ROICexgc(3y)21.46%
ROICexgc(5y)19.96%
ROCE(3y)16.66%
ROCE(5y)14.44%
ROICexcg growth 3Y2.62%
ROICexcg growth 5Y-2.53%
ROICexc growth 3Y11.96%
ROICexc growth 5Y3.16%
OM growth 3Y2.58%
OM growth 5Y3.71%
PM growth 3Y-2.72%
PM growth 5Y3.33%
GM growth 3Y2.6%
GM growth 5Y2.76%
F-Score5
Asset Turnover1.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1 | ||
| Debt/FCF | 4.55 | ||
| Debt/EBITDA | 2.13 | ||
| Cap/Depr | 75.4% | ||
| Cap/Sales | 4.9% | ||
| Interest Coverage | 5.77 | ||
| Cash Conversion | 85.03% | ||
| Profit Quality | 148.2% | ||
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | 2.85 |
F-Score5
WACC7.78%
ROIC/WACC1.18
Cap/Depr(3y)78.5%
Cap/Depr(5y)74.67%
Cap/Sales(3y)4.24%
Cap/Sales(5y)4.66%
Profit Quality(3y)93.38%
Profit Quality(5y)109.01%
High Growth Momentum
Growth
EPS 1Y (TTM)-7.42%
EPS 3Y3.08%
EPS 5Y14.09%
EPS Q2Q%-30.41%
EPS Next Y36.6%
EPS Next 2Y29.16%
EPS Next 3Y26.09%
EPS Next 5Y23.26%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%5.5%
Revenue Next Year7.17%
Revenue Next 2Y6.52%
Revenue Next 3Y7.8%
Revenue Next 5Y7.73%
EBIT growth 1Y3.46%
EBIT growth 3Y29.01%
EBIT growth 5Y17.95%
EBIT Next Year77.84%
EBIT Next 3Y31.25%
EBIT Next 5Y21.78%
FCF growth 1Y23.06%
FCF growth 3Y11.66%
FCF growth 5Y30.21%
OCF growth 1Y20.71%
OCF growth 3Y18.39%
OCF growth 5Y19.31%