TELEFLEX INC (TFX)
US8793691069 - Common Stock
Taking everything into account, TFX scores 6 out of 10 in our fundamental rating. TFX was compared to 188 industry peers in the Health Care Equipment & Supplies industry. While TFX belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. TFX has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year TFX was profitable.
TFX had a positive operating cash flow in the past year.
TFX had positive earnings in each of the past 5 years.
Each year in the past 5 years TFX had a positive operating cash flow.
1.2 Ratios
TFX has a Return On Assets of 3.17%. This is in the better half of the industry: TFX outperforms 77.01% of its industry peers.
The Return On Equity of TFX (5.30%) is better than 77.54% of its industry peers.
TFX's Return On Invested Capital of 6.44% is amongst the best of the industry. TFX outperforms 82.89% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TFX is in line with the industry average of 8.23%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.17% | ||
| ROE | 5.3% | ||
| ROIC | 6.44% |
ROA(3y)5.68%
ROA(5y)5.81%
ROE(3y)9.99%
ROE(5y)11.1%
ROIC(3y)6.89%
ROIC(5y)6.63%
1.3 Margins
TFX has a Profit Margin of 7.85%. This is in the better half of the industry: TFX outperforms 79.14% of its industry peers.
In the last couple of years the Profit Margin of TFX has grown nicely.
Looking at the Operating Margin, with a value of 17.84%, TFX belongs to the top of the industry, outperforming 90.37% of the companies in the same industry.
In the last couple of years the Operating Margin of TFX has grown nicely.
TFX has a Gross Margin of 55.99%. This is comparable to the rest of the industry: TFX outperforms 50.27% of its industry peers.
In the last couple of years the Gross Margin of TFX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.84% | ||
| PM (TTM) | 7.85% | ||
| GM | 55.99% |
OM growth 3Y-1.24%
OM growth 5Y3%
PM growth 3Y-3.22%
PM growth 5Y7.87%
GM growth 3Y1.97%
GM growth 5Y-0.42%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TFX is destroying value.
The number of shares outstanding for TFX has been increased compared to 1 year ago.
Compared to 5 years ago, TFX has more shares outstanding
TFX has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.32 indicates that TFX is not in any danger for bankruptcy at the moment.
TFX has a better Altman-Z score (3.32) than 69.52% of its industry peers.
The Debt to FCF ratio of TFX is 3.91, which is a good value as it means it would take TFX, 3.91 years of fcf income to pay off all of its debts.
TFX's Debt to FCF ratio of 3.91 is amongst the best of the industry. TFX outperforms 84.49% of its industry peers.
A Debt/Equity ratio of 0.37 indicates that TFX is not too dependend on debt financing.
TFX's Debt to Equity ratio of 0.37 is in line compared to the rest of the industry. TFX outperforms 44.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 3.91 | ||
| Altman-Z | 3.32 |
ROIC/WACC0.74
WACC8.75%
2.3 Liquidity
TFX has a Current Ratio of 2.42. This indicates that TFX is financially healthy and has no problem in meeting its short term obligations.
With a Current ratio value of 2.42, TFX perfoms like the industry average, outperforming 41.18% of the companies in the same industry.
A Quick Ratio of 1.39 indicates that TFX should not have too much problems paying its short term obligations.
The Quick ratio of TFX (1.39) is worse than 66.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.42 | ||
| Quick Ratio | 1.39 |
3. Growth
3.1 Past
TFX shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -1.17%.
Measured over the past 5 years, TFX shows a small growth in Earnings Per Share. The EPS has been growing by 6.41% on average per year.
The Revenue has been growing slightly by 2.27% in the past year.
The Revenue has been growing slightly by 3.97% on average over the past years.
EPS 1Y (TTM)-1.17%
EPS 3Y8.21%
EPS 5Y6.41%
EPS Q2Q%-4.12%
Revenue 1Y (TTM)2.27%
Revenue growth 3Y5.44%
Revenue growth 5Y3.97%
Sales Q2Q%2.41%
3.2 Future
The Earnings Per Share is expected to grow by 7.61% on average over the next years.
Based on estimates for the next years, TFX will show a small growth in Revenue. The Revenue will grow by 5.35% on average per year.
EPS Next Y4.22%
EPS Next 2Y6.82%
EPS Next 3Y7.77%
EPS Next 5Y7.61%
Revenue Next Year3.67%
Revenue Next 2Y4.29%
Revenue Next 3Y4.39%
Revenue Next 5Y5.35%
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 stable.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 14.12, which indicates a correct valuation of TFX.
94.12% of the companies in the same industry are more expensive than TFX, based on the Price/Earnings ratio.
TFX's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.65.
The Price/Forward Earnings ratio is 12.36, which indicates a correct valuation of TFX.
Based on the Price/Forward Earnings ratio, TFX is valued cheaper than 94.65% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.56, TFX is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.12 | ||
| Fwd PE | 12.36 |
4.2 Price Multiples
TFX's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. TFX is cheaper than 89.84% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, TFX is valued cheaply inside the industry as 90.91% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.67 | ||
| EV/EBITDA | 12.67 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TFX does not grow enough to justify the current Price/Earnings ratio.
TFX has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)3.35
PEG (5Y)2.2
EPS Next 2Y6.82%
EPS Next 3Y7.77%
5. Dividend
5.1 Amount
With a yearly dividend of 0.71%, TFX is not a good candidate for dividend investing.
The stock price of TFX dropped by -22.68% 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.
TFX's Dividend Yield is rather good when compared to the industry average which is at 1.68. TFX pays more dividend than 91.98% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.23, TFX's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.71% |
5.2 History
The dividend of TFX decreases each year by -0.06%.
TFX has been paying a dividend for at least 10 years, so it has a reliable track record.
As TFX did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)-0.06%
Div Incr Years0
Div Non Decr Years5
5.3 Sustainability
26.86% of the earnings are spent on dividend by TFX. This is a low number and sustainable payout ratio.
DP26.86%
EPS Next 2Y6.82%
EPS Next 3Y7.77%
TELEFLEX INC
NYSE:TFX (11/21/2024, 4:10:02 PM)
After market: 190.64 0 (0%)190.64
+3.21 (+1.71%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap8.85B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.71% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
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Revenue beat(2)
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Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.12 | ||
| Fwd PE | 12.36 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)3.35
PEG (5Y)2.2
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.17% | ||
| ROE | 5.3% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 17.84% | ||
| PM (TTM) | 7.85% | ||
| GM | 55.99% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.42 | ||
| Quick Ratio | 1.39 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-1.17%
EPS 3Y8.21%
EPS 5Y
EPS Q2Q%
EPS Next Y4.22%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)2.27%
Revenue growth 3Y5.44%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y