TELEFLEX INC (TFX)
US8793691069 - Common Stock
Overall TFX gets a fundamental rating of 6 out of 10. We evaluated TFX against 187 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 scores decently on growth, while it is valued quite cheap. This could make an interesting combination. This makes TFX very considerable 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.
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 76.47% of its industry peers.
With a decent Return On Equity value of 5.30%, TFX is doing good in the industry, outperforming 78.07% of the companies in the same industry.
With an excellent Return On Invested Capital value of 6.44%, TFX belongs to the best of the industry, outperforming 82.89% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for TFX is in line with the industry average of 8.19%.
| 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
The Profit Margin of TFX (7.85%) is better than 79.14% of its industry peers.
TFX's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 17.84%, TFX belongs to the top of the industry, outperforming 89.84% of the companies in the same industry.
In the last couple of years the Operating Margin of TFX has grown nicely.
TFX's Gross Margin of 55.99% is in line compared 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TFX is destroying value.
TFX has more shares outstanding than it did 1 year ago.
The number of shares outstanding for TFX has been increased compared to 5 years ago.
Compared to 1 year ago, TFX has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.23 indicates that TFX is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.23, TFX is in the better half of the industry, outperforming 68.98% of the companies in the same industry.
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 85.03% of its industry peers.
TFX has a Debt/Equity ratio of 0.37. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.37, TFX perfoms like the industry average, outperforming 44.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 3.91 | ||
| Altman-Z | 3.23 |
ROIC/WACC0.72
WACC8.95%
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.
TFX has a Current ratio (2.42) which is in line with its industry peers.
TFX has a Quick Ratio of 1.39. This is a normal value and indicates that TFX is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.39, TFX is doing worse than 65.24% of the companies in the same industry.
| 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%.
The Earnings Per Share has been growing slightly by 6.41% on average over the past years.
TFX shows a small growth in Revenue. In the last year, the Revenue has grown by 2.27%.
TFX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.97% yearly.
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 8.02% on average over the next years. This is quite good.
Based on estimates for the next years, TFX will show a small growth in Revenue. The Revenue will grow by 5.14% on average per year.
EPS Next Y4.19%
EPS Next 2Y6.83%
EPS Next 3Y7.77%
EPS Next 5Y8.02%
Revenue Next Year3.67%
Revenue Next 2Y4.26%
Revenue Next 3Y4.39%
Revenue Next 5Y5.14%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 13.20, the valuation of TFX can be described as correct.
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 27.73.
A Price/Forward Earnings ratio of 11.55 indicates a reasonable valuation of TFX.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TFX indicates a rather cheap valuation: TFX is cheaper than 95.19% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.83. TFX is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.2 | ||
| Fwd PE | 11.55 |
4.2 Price Multiples
89.84% of the companies in the same industry are more expensive than TFX, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TFX indicates a rather cheap valuation: TFX is cheaper than 91.98% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.38 | ||
| EV/EBITDA | 12.13 |
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.
The decent profitability rating of TFX may justify a higher PE ratio.
PEG (NY)3.15
PEG (5Y)2.06
EPS Next 2Y6.83%
EPS Next 3Y7.77%
5. Dividend
5.1 Amount
With a yearly dividend of 0.78%, TFX is not a good candidate for dividend investing.
The stock price of TFX dropped by -26.53% 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 1.68, TFX pays a better dividend. On top of this TFX pays more dividend than 91.98% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.34, TFX's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.78% |
5.2 History
The dividend of TFX decreases each year by -0.06%.
TFX has paid a dividend for at least 10 years, which is 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 Years6
5.3 Sustainability
TFX pays out 26.86% of its income as dividend. This is a sustainable payout ratio.
DP26.86%
EPS Next 2Y6.83%
EPS Next 3Y7.77%
TELEFLEX INC
NYSE:TFX (12/20/2024, 8:04:00 PM)
After market: 178.16 0 (0%)178.16
+3.37 (+1.93%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners99.17%
Inst Owner Change-0.99%
Ins Owners0.27%
Ins Owner Change0.08%
Market Cap8.27B
Analysts71.58
Price Target251.61 (41.23%)
Short Float %1.07%
Short Ratio1.12
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.78% |
Dividend Growth(5Y)-0.06%
DP26.86%
Div Incr Years0
Div Non Decr Years6
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.73%
Min EPS beat(2)1.6%
Max EPS beat(2)1.85%
EPS beat(4)4
Avg EPS beat(4)2.36%
Min EPS beat(4)1.6%
Max EPS beat(4)3.47%
EPS beat(8)8
Avg EPS beat(8)3.66%
EPS beat(12)12
Avg EPS beat(12)3.19%
EPS beat(16)16
Avg EPS beat(16)5.72%
Revenue beat(2)0
Avg Revenue beat(2)-1.4%
Min Revenue beat(2)-1.66%
Max Revenue beat(2)-1.13%
Revenue beat(4)1
Avg Revenue beat(4)-0.65%
Min Revenue beat(4)-1.66%
Max Revenue beat(4)0.5%
Revenue beat(8)4
Avg Revenue beat(8)0.02%
Revenue beat(12)6
Avg Revenue beat(12)-0.32%
Revenue beat(16)9
Avg Revenue beat(16)0.07%
PT rev (1m)-5.76%
PT rev (3m)-6.44%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.82%
EPS NY rev (1m)-0.03%
EPS NY rev (3m)-0.16%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.12%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.2 | ||
| Fwd PE | 11.55 | ||
| P/S | 2.73 | ||
| P/FCF | 18.38 | ||
| P/OCF | 14.46 | ||
| P/B | 1.85 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.13 |
EPS(TTM)13.5
EY7.58%
EPS(NY)15.43
Fwd EY8.66%
FCF(TTM)9.69
FCFY5.44%
OCF(TTM)12.32
OCFY6.91%
SpS65.16
BVpS96.51
TBVpS-16.41
PEG (NY)3.15
PEG (5Y)2.06
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.17% | ||
| ROE | 5.3% | ||
| ROCE | 7.86% | ||
| ROIC | 6.44% | ||
| ROICexc | 6.67% | ||
| ROICexgc | 32.02% | ||
| OM | 17.84% | ||
| PM (TTM) | 7.85% | ||
| GM | 55.99% | ||
| FCFM | 14.87% |
ROA(3y)5.68%
ROA(5y)5.81%
ROE(3y)9.99%
ROE(5y)11.1%
ROIC(3y)6.89%
ROIC(5y)6.63%
ROICexc(3y)7.26%
ROICexc(5y)7%
ROICexgc(3y)39.5%
ROICexgc(5y)37.87%
ROCE(3y)8.41%
ROCE(5y)8.1%
ROICexcg growth 3Y-0.25%
ROICexcg growth 5Y-3.45%
ROICexc growth 3Y1.66%
ROICexc growth 5Y2.32%
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%
F-Score7
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 3.91 | ||
| Debt/EBITDA | 2.06 | ||
| Cap/Depr | 45.72% | ||
| Cap/Sales | 4.03% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 70.91% | ||
| Profit Quality | 189.54% | ||
| Current Ratio | 2.42 | ||
| Quick Ratio | 1.39 | ||
| Altman-Z | 3.23 |
F-Score7
WACC8.95%
ROIC/WACC0.72
Cap/Depr(3y)34.09%
Cap/Depr(5y)38.03%
Cap/Sales(3y)2.82%
Cap/Sales(5y)3.2%
Profit Quality(3y)103.17%
Profit Quality(5y)97.12%
High Growth Momentum
Growth
EPS 1Y (TTM)-1.17%
EPS 3Y8.21%
EPS 5Y6.41%
EPS Q2Q%-4.12%
EPS Next Y4.19%
EPS Next 2Y6.83%
EPS Next 3Y7.77%
EPS Next 5Y8.02%
Revenue 1Y (TTM)2.27%
Revenue growth 3Y5.44%
Revenue growth 5Y3.97%
Sales Q2Q%2.41%
Revenue Next Year3.67%
Revenue Next 2Y4.26%
Revenue Next 3Y4.39%
Revenue Next 5Y5.14%
EBIT growth 1Y-5.91%
EBIT growth 3Y4.14%
EBIT growth 5Y7.09%
EBIT Next Year14.5%
EBIT Next 3Y10.64%
EBIT Next 5Y7.51%
FCF growth 1Y20.58%
FCF growth 3Y6.64%
FCF growth 5Y3.29%
OCF growth 1Y28.45%
OCF growth 3Y5.38%
OCF growth 5Y3.14%