TELEFLEX INC (TFX) Stock Fundamental Analysis
NYSE:TFX - New York Stock Exchange, Inc. - US8793691069 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to TFX. TFX was compared to 191 industry peers in the Health Care Equipment & Supplies industry. While TFX has a great profitability rating, there are some minor concerns on its financial health. TFX is valued quite cheap, while showing a decent growth score. This is a good combination! These ratings would make TFX suitable for value investing!
1. Profitability
1.1 Basic Checks
TFX had positive earnings in the past year.
In the past year TFX had a positive cash flow from operations.
In the past 5 years TFX has always been profitable.
TFX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 0.98%, TFX is doing good in the industry, outperforming 74.35% of the companies in the same industry.
TFX has a Return On Equity of 1.63%. This is in the better half of the industry: TFX outperforms 75.92% of its industry peers.
The Return On Invested Capital of TFX (7.42%) is better than 83.77% of its industry peers.
TFX had an Average Return On Invested Capital over the past 3 years of 7.21%. This is in line with the industry average of 7.68%.
The last Return On Invested Capital (7.42%) for TFX is above the 3 year average (7.21%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.98% | ||
| ROE | 1.63% | ||
| ROIC | 7.42% |
ROA(3y)3.65%
ROA(5y)4.54%
ROE(3y)6.23%
ROE(5y)8.33%
ROIC(3y)7.21%
ROIC(5y)7.23%
1.3 Margins
TFX has a better Profit Margin (2.29%) than 75.39% of its industry peers.
TFX's Profit Margin has declined in the last couple of years.
TFX has a better Operating Margin (17.91%) than 90.05% of its industry peers.
In the last couple of years the Operating Margin of TFX has remained more or less at the same level.
TFX has a Gross Margin (55.87%) which is comparable to the rest of the industry.
TFX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.91% | ||
| PM (TTM) | 2.29% | ||
| GM | 55.87% |
OM growth 3Y-3.43%
OM growth 5Y0.95%
PM growth 3Y-49.04%
PM growth 5Y-33.65%
GM growth 3Y0.43%
GM growth 5Y-0.56%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TFX is destroying value.
TFX has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, TFX has less shares outstanding
The debt/assets ratio for TFX has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.86 indicates that TFX is not a great score, but indicates only limited risk for bankruptcy at the moment.
TFX has a better Altman-Z score (2.86) than 70.68% of its industry peers.
The Debt to FCF ratio of TFX is 3.25, which is a good value as it means it would take TFX, 3.25 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of TFX (3.25) is better than 86.91% of its industry peers.
TFX has a Debt/Equity ratio of 0.36. This is a healthy value indicating a solid balance between debt and equity.
TFX's Debt to Equity ratio of 0.36 is in line compared to the rest of the industry. TFX outperforms 48.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 3.25 | ||
| Altman-Z | 2.86 |
ROIC/WACC0.82
WACC9.09%
2.3 Liquidity
A Current Ratio of 2.27 indicates that TFX has no problem at all paying its short term obligations.
TFX has a Current ratio (2.27) which is in line with its industry peers.
A Quick Ratio of 1.34 indicates that TFX should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.34, TFX is not doing good in the industry: 66.49% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.27 | ||
| Quick Ratio | 1.34 |
3. Growth
3.1 Past
TFX shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.62%.
The Earnings Per Share has been growing slightly by 4.67% on average over the past years.
The Revenue has been growing slightly by 2.45% in the past year.
The Revenue has been growing slightly by 3.26% on average over the past years.
EPS 1Y (TTM)3.62%
EPS 3Y1.67%
EPS 5Y4.67%
EPS Q2Q%15.09%
Revenue 1Y (TTM)2.45%
Revenue growth 3Y2.74%
Revenue growth 5Y3.26%
Sales Q2Q%2.78%
3.2 Future
TFX is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.99% yearly.
Based on estimates for the next years, TFX will show a small growth in Revenue. The Revenue will grow by 3.51% on average per year.
EPS Next Y1.87%
EPS Next 2Y3.6%
EPS Next 3Y2.95%
EPS Next 5Y3.99%
Revenue Next Year-0.64%
Revenue Next 2Y2.07%
Revenue Next 3Y2.97%
Revenue Next 5Y3.51%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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
The Price/Earnings ratio is 9.34, which indicates a very decent valuation of TFX.
Based on the Price/Earnings ratio, TFX is valued cheaply inside the industry as 95.81% of the companies are valued more expensively.
TFX is valuated cheaply when we compare the Price/Earnings ratio to 27.63, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 9.17, the valuation of TFX can be described as very reasonable.
Based on the Price/Forward Earnings ratio, TFX is valued cheaply inside the industry as 96.34% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 20.85. TFX is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.34 | ||
| Fwd PE | 9.17 |
4.2 Price Multiples
TFX's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. TFX is cheaper than 91.62% of the companies in the same industry.
TFX's Price/Free Cash Flow ratio is rather cheap when compared to the industry. TFX is cheaper than 93.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.48 | ||
| EV/EBITDA | 8.7 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of TFX may justify a higher PE ratio.
PEG (NY)4.98
PEG (5Y)2
EPS Next 2Y3.6%
EPS Next 3Y2.95%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.05%, TFX has a reasonable but not impressive dividend return.
The stock price of TFX dropped by -28.64% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 1.94, TFX pays a better dividend. On top of this TFX pays more dividend than 94.24% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.51, TFX's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.05% |
5.2 History
The dividend of TFX has a limited annual growth rate of 0.04%.
TFX has paid a dividend for at least 10 years, which is a reliable track record.
TFX has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)0.04%
Div Incr Years0
Div Non Decr Years6
5.3 Sustainability
TFX pays out 91.20% of its income as dividend. This is not a sustainable payout ratio.
TFX's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP91.2%
EPS Next 2Y3.6%
EPS Next 3Y2.95%
NYSE:TFX (4/22/2025, 2:15:23 PM)
130.815
+1.66 (+1.29%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners101.87%
Inst Owner Change0%
Ins Owners0.28%
Ins Owner Change9.88%
Market Cap5.84B
Analysts54.29
Price Target164.59 (25.82%)
Short Float %2.42%
Short Ratio1.31
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.05% |
Yearly Dividend1.36
Dividend Growth(5Y)0.04%
DP91.2%
Div Incr Years0
Div Non Decr Years6
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.79%
Min EPS beat(2)-0.26%
Max EPS beat(2)1.85%
EPS beat(4)3
Avg EPS beat(4)1.67%
Min EPS beat(4)-0.26%
Max EPS beat(4)3.47%
EPS beat(8)7
Avg EPS beat(8)3.47%
EPS beat(12)11
Avg EPS beat(12)3.09%
EPS beat(16)15
Avg EPS beat(16)5.35%
Revenue beat(2)0
Avg Revenue beat(2)-2.41%
Min Revenue beat(2)-3.16%
Max Revenue beat(2)-1.66%
Revenue beat(4)1
Avg Revenue beat(4)-1.36%
Min Revenue beat(4)-3.16%
Max Revenue beat(4)0.5%
Revenue beat(8)4
Avg Revenue beat(8)-0.22%
Revenue beat(12)5
Avg Revenue beat(12)-0.64%
Revenue beat(16)8
Avg Revenue beat(16)-0.28%
PT rev (1m)-12.58%
PT rev (3m)-32.8%
EPS NQ rev (1m)-2.92%
EPS NQ rev (3m)-18.46%
EPS NY rev (1m)-7.24%
EPS NY rev (3m)-7.49%
Revenue NQ rev (1m)-1.1%
Revenue NQ rev (3m)-9.63%
Revenue NY rev (1m)-1.9%
Revenue NY rev (3m)-5.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.34 | ||
| Fwd PE | 9.17 | ||
| P/S | 1.92 | ||
| P/FCF | 11.48 | ||
| P/OCF | 9.19 | ||
| P/B | 1.37 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.7 |
EPS(TTM)14.01
EY10.71%
EPS(NY)14.27
Fwd EY10.91%
FCF(TTM)11.4
FCFY8.71%
OCF(TTM)14.23
OCFY10.88%
SpS68.2
BVpS95.75
TBVpS-13.94
PEG (NY)4.98
PEG (5Y)2
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.98% | ||
| ROE | 1.63% | ||
| ROCE | 8.46% | ||
| ROIC | 7.42% | ||
| ROICexc | 7.77% | ||
| ROICexgc | 38.05% | ||
| OM | 17.91% | ||
| PM (TTM) | 2.29% | ||
| GM | 55.87% | ||
| FCFM | 16.71% |
ROA(3y)3.65%
ROA(5y)4.54%
ROE(3y)6.23%
ROE(5y)8.33%
ROIC(3y)7.21%
ROIC(5y)7.23%
ROICexc(3y)7.52%
ROICexc(5y)7.62%
ROICexgc(3y)37.85%
ROICexgc(5y)40.71%
ROCE(3y)8.23%
ROCE(5y)8.25%
ROICexcg growth 3Y-9.53%
ROICexcg growth 5Y0.44%
ROICexc growth 3Y-3.04%
ROICexc growth 5Y1.71%
OM growth 3Y-3.43%
OM growth 5Y0.95%
PM growth 3Y-49.04%
PM growth 5Y-33.65%
GM growth 3Y0.43%
GM growth 5Y-0.56%
F-Score7
Asset Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 3.25 | ||
| Debt/EBITDA | 1.9 | ||
| Cap/Depr | 46.04% | ||
| Cap/Sales | 4.15% | ||
| Interest Coverage | 5.55 | ||
| Cash Conversion | 77.5% | ||
| Profit Quality | 730.97% | ||
| Current Ratio | 2.27 | ||
| Quick Ratio | 1.34 | ||
| Altman-Z | 2.86 |
F-Score7
WACC9.09%
ROIC/WACC0.82
Cap/Depr(3y)39.38%
Cap/Depr(5y)37.65%
Cap/Sales(3y)3.35%
Cap/Sales(5y)3.24%
Profit Quality(3y)307.01%
Profit Quality(5y)228.72%
High Growth Momentum
Growth
EPS 1Y (TTM)3.62%
EPS 3Y1.67%
EPS 5Y4.67%
EPS Q2Q%15.09%
EPS Next Y1.87%
EPS Next 2Y3.6%
EPS Next 3Y2.95%
EPS Next 5Y3.99%
Revenue 1Y (TTM)2.45%
Revenue growth 3Y2.74%
Revenue growth 5Y3.26%
Sales Q2Q%2.78%
Revenue Next Year-0.64%
Revenue Next 2Y2.07%
Revenue Next 3Y2.97%
Revenue Next 5Y3.51%
EBIT growth 1Y-3.02%
EBIT growth 3Y-0.78%
EBIT growth 5Y4.24%
EBIT Next Year14.98%
EBIT Next 3Y8.96%
EBIT Next 5Y6.71%
FCF growth 1Y21.5%
FCF growth 3Y-4.23%
FCF growth 5Y8.62%
OCF growth 1Y24.5%
OCF growth 3Y-0.81%
OCF growth 5Y7.66%