TELEFLEX INC (TFX) Stock Fundamental Analysis
NYSE:TFX - New York Stock Exchange, Inc. - US8793691069 - Common Stock
Overall TFX gets a fundamental rating of 6 out of 10. We evaluated TFX against 191 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 may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make TFX suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year TFX was profitable.
In the past year TFX had a positive cash flow from operations.
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 better Return On Assets (3.17%) than 76.84% of its industry peers.
With a decent Return On Equity value of 5.30%, TFX is doing good in the industry, outperforming 78.42% of the companies in the same industry.
TFX has a Return On Invested Capital of 6.44%. This is amongst the best in the industry. TFX outperforms 83.16% of its industry peers.
TFX had an Average Return On Invested Capital over the past 3 years of 6.89%. This is in line with the industry average of 8.08%.
| 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 79.47% of its industry peers.
In the last couple of years the Profit Margin of TFX has grown nicely.
With an excellent Operating Margin value of 17.84%, TFX belongs to the best of the industry, outperforming 90.00% 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 (55.99%) which is in line with 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.
TFX has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, TFX has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.27 indicates that TFX is not in any danger for bankruptcy at the moment.
TFX's Altman-Z score of 3.27 is fine compared to the rest of the industry. TFX outperforms 67.89% 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.
The Debt to FCF ratio of TFX (3.91) is better than 84.74% 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.
TFX's Debt to Equity ratio of 0.37 is in line compared to the rest of the industry. TFX outperforms 45.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 3.91 | ||
| Altman-Z | 3.27 |
ROIC/WACC0.74
WACC8.68%
2.3 Liquidity
A Current Ratio of 2.42 indicates that TFX has no problem at all paying its short term obligations.
TFX's Current ratio of 2.42 is in line compared to the rest of the industry. TFX outperforms 44.21% of its industry peers.
A Quick Ratio of 1.39 indicates that TFX should not have too much problems paying its short term obligations.
TFX's Quick ratio of 1.39 is on the low side compared to the rest of the industry. TFX is outperformed by 63.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.42 | ||
| Quick Ratio | 1.39 |
3. Growth
3.1 Past
The earnings per share for TFX have decreased by -1.17% in the last year.
The Earnings Per Share has been growing slightly by 6.41% on average over the past years.
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 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 2Y4.23%
Revenue Next 3Y4.33%
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
The Price/Earnings ratio is 13.51, which indicates a correct valuation of TFX.
TFX's Price/Earnings ratio is rather cheap when compared to the industry. TFX is cheaper than 94.74% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.29, TFX is valued rather cheaply.
TFX is valuated reasonably with a Price/Forward Earnings ratio of 11.83.
TFX's Price/Forward Earnings ratio is rather cheap when compared to the industry. TFX is cheaper than 95.26% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of TFX to the average of the S&P500 Index (24.44), we can say TFX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.51 | ||
| Fwd PE | 11.83 |
4.2 Price Multiples
90.00% 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 92.11% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.83 | ||
| EV/EBITDA | 12.38 |
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)3.22
PEG (5Y)2.11
EPS Next 2Y6.83%
EPS Next 3Y7.77%
5. Dividend
5.1 Amount
TFX has a yearly dividend return of 0.75%, which is pretty low.
The stock price of TFX dropped by -21.91% 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 1.64, TFX pays a better dividend. On top of this TFX pays more dividend than 92.11% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.28, TFX's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.75% |
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.
TFX has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)-0.06%
Div Incr Years0
Div Non Decr Years6
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 2Y6.83%
EPS Next 3Y7.77%
TELEFLEX INC
NYSE:TFX (1/21/2025, 8:04:00 PM)
After market: 182.45 0 (0%)182.45
+1.18 (+0.65%)
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-0.18%
Ins Owners0.27%
Ins Owner Change-0.01%
Market Cap8.47B
Analysts71.11
Price Target244.9 (34.23%)
Short Float %1.73%
Short Ratio1.57
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.75% |
Yearly Dividend1.36
Dividend Growth(5Y)-0.06%
DP26.86%
Div Incr Years0
Div Non Decr Years6
Ex-DateN/A
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)-2.67%
PT rev (3m)-8.17%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.82%
EPS NY rev (1m)0%
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 | 13.51 | ||
| Fwd PE | 11.83 | ||
| P/S | 2.8 | ||
| P/FCF | 18.83 | ||
| P/OCF | 14.81 | ||
| P/B | 1.89 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.38 |
EPS(TTM)13.5
EY7.4%
EPS(NY)15.43
Fwd EY8.46%
FCF(TTM)9.69
FCFY5.31%
OCF(TTM)12.32
OCFY6.75%
SpS65.16
BVpS96.51
TBVpS-16.41
PEG (NY)3.22
PEG (5Y)2.11
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 | 3.27 |
F-Score7
WACC8.68%
ROIC/WACC0.74
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 2Y4.23%
Revenue Next 3Y4.33%
Revenue Next 5Y5.14%
EBIT growth 1Y-5.91%
EBIT growth 3Y4.14%
EBIT growth 5Y7.09%
EBIT Next Year14.5%
EBIT Next 3Y10.57%
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%