TRIUMPH GROUP INC (TGI) Stock Fundamental Analysis
NYSE:TGI - New York Stock Exchange, Inc. - US8968181011 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to TGI. TGI was compared to 65 industry peers in the Aerospace & Defense industry. There are concerns on the financial health of TGI while its profitability can be described as average. TGI has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year TGI was profitable.
In the past year TGI has reported a negative cash flow from operations.
In multiple years TGI reported negative net income over the last 5 years.
In multiple years TGI reported negative operating cash flow during the last 5 years.
1.2 Ratios
With an excellent Return On Assets value of 37.05%, TGI belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
TGI has a better Return On Invested Capital (10.14%) than 86.15% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TGI is in line with the industry average of 7.81%.
The last Return On Invested Capital (10.14%) for TGI is above the 3 year average (6.55%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 37.05% | ||
| ROE | N/A | ||
| ROIC | 10.14% |
ROA(3y)11.06%
ROA(5y)2.76%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)6.55%
ROIC(5y)6.26%
1.3 Margins
The Profit Margin of TGI (45.07%) is better than 100.00% of its industry peers.
TGI has a better Operating Margin (12.45%) than 80.00% of its industry peers.
TGI's Operating Margin has improved in the last couple of years.
The Gross Margin of TGI (30.51%) is better than 69.23% of its industry peers.
In the last couple of years the Gross Margin of TGI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.45% | ||
| PM (TTM) | 45.07% | ||
| GM | 30.51% |
OM growth 3Y28.2%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y9.63%
GM growth 5Y16.22%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TGI is destroying value.
The number of shares outstanding for TGI has been increased compared to 1 year ago.
The number of shares outstanding for TGI has been increased compared to 5 years ago.
TGI has a better debt/assets ratio than last year.
2.2 Solvency
TGI has an Altman-Z score of 1.63. This is a bad value and indicates that TGI is not financially healthy and even has some risk of bankruptcy.
TGI has a worse Altman-Z score (1.63) than 72.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.63 |
ROIC/WACC0.95
WACC10.63%
2.3 Liquidity
TGI has a Current Ratio of 2.50. This indicates that TGI is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 2.50, TGI is doing good in the industry, outperforming 61.54% of the companies in the same industry.
A Quick Ratio of 1.23 indicates that TGI should not have too much problems paying its short term obligations.
TGI has a Quick ratio (1.23) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.5 | ||
| Quick Ratio | 1.23 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 414.29% over the past year.
Measured over the past years, TGI shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -51.82% on average per year.
TGI shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -20.03%.
The Revenue for TGI have been decreasing by -18.74% on average. This is quite bad
EPS 1Y (TTM)414.29%
EPS 3YN/A
EPS 5Y-51.82%
EPS Q2Q%268.75%
Revenue 1Y (TTM)-20.03%
Revenue growth 3Y-13.93%
Revenue growth 5Y-18.74%
Sales Q2Q%10.77%
3.2 Future
The Earnings Per Share is expected to grow by 132.22% on average over the next years. This is a very strong growth
Based on estimates for the next years, TGI will show a quite strong growth in Revenue. The Revenue will grow by 8.12% on average per year.
EPS Next Y1169.23%
EPS Next 2Y325.59%
EPS Next 3Y195.96%
EPS Next 5Y132.22%
Revenue Next Year-0.32%
Revenue Next 2Y5.16%
Revenue Next 3Y6.25%
Revenue Next 5Y8.12%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
Based on the Price/Earnings ratio of 35.19, the valuation of TGI can be described as expensive.
Based on the Price/Earnings ratio, TGI is valued a bit cheaper than 63.08% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 29.35. TGI is around the same levels.
The Price/Forward Earnings ratio is 23.32, which indicates a rather expensive current valuation of TGI.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TGI indicates a somewhat cheap valuation: TGI is cheaper than 75.38% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.10. TGI is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.19 | ||
| Fwd PE | 23.32 |
4.2 Price Multiples
TGI's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. TGI is cheaper than 70.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 15.17 |
4.3 Compensation for Growth
TGI's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of TGI may justify a higher PE ratio.
A more expensive valuation may be justified as TGI's earnings are expected to grow with 195.96% in the coming years.
PEG (NY)0.03
PEG (5Y)N/A
EPS Next 2Y325.59%
EPS Next 3Y195.96%
5. Dividend
5.1 Amount
TGI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
25.34
+0.09 (+0.36%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners105.81%
Inst Owner Change0.7%
Ins Owners2.14%
Ins Owner Change0%
Market Cap1.96B
Analysts51.43
Price Target21.18 (-16.42%)
Short Float %4.77%
Short Ratio2.07
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1553.96%
Min EPS beat(2)39.6%
Max EPS beat(2)3068.32%
EPS beat(4)3
Avg EPS beat(4)788.1%
Min EPS beat(4)-10.77%
Max EPS beat(4)3068.32%
EPS beat(8)5
Avg EPS beat(8)382.31%
EPS beat(12)8
Avg EPS beat(12)525.43%
EPS beat(16)12
Avg EPS beat(16)402.34%
Revenue beat(2)2
Avg Revenue beat(2)3.74%
Min Revenue beat(2)0.55%
Max Revenue beat(2)6.92%
Revenue beat(4)4
Avg Revenue beat(4)3.58%
Min Revenue beat(4)0.55%
Max Revenue beat(4)6.92%
Revenue beat(8)7
Avg Revenue beat(8)0.97%
Revenue beat(12)10
Avg Revenue beat(12)0.97%
Revenue beat(16)11
Avg Revenue beat(16)-0.25%
PT rev (1m)15.11%
PT rev (3m)16.42%
EPS NQ rev (1m)-2.14%
EPS NQ rev (3m)-7.68%
EPS NY rev (1m)7.04%
EPS NY rev (3m)5.33%
Revenue NQ rev (1m)-0.35%
Revenue NQ rev (3m)-1.44%
Revenue NY rev (1m)1.98%
Revenue NY rev (3m)1.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.19 | ||
| Fwd PE | 23.32 | ||
| P/S | 1.58 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.17 |
EPS(TTM)0.72
EY2.84%
EPS(NY)1.09
Fwd EY4.29%
FCF(TTM)-0.68
FCFYN/A
OCF(TTM)-0.41
OCFYN/A
SpS16.05
BVpS-1.06
TBVpS-8.41
PEG (NY)0.03
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 37.05% | ||
| ROE | N/A | ||
| ROCE | 12.83% | ||
| ROIC | 10.14% | ||
| ROICexc | 11.4% | ||
| ROICexgc | 24.26% | ||
| OM | 12.45% | ||
| PM (TTM) | 45.07% | ||
| GM | 30.51% | ||
| FCFM | N/A |
ROA(3y)11.06%
ROA(5y)2.76%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)6.55%
ROIC(5y)6.26%
ROICexc(3y)8.52%
ROICexc(5y)8.34%
ROICexgc(3y)21.87%
ROICexgc(5y)20.78%
ROCE(3y)8.29%
ROCE(5y)7.92%
ROICexcg growth 3Y24.4%
ROICexcg growth 5YN/A
ROICexc growth 3Y17.86%
ROICexc growth 5YN/A
OM growth 3Y28.2%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y9.63%
GM growth 5Y16.22%
F-Score5
Asset Turnover0.82
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.21 | ||
| Cap/Depr | 70.36% | ||
| Cap/Sales | 1.69% | ||
| Interest Coverage | 1.29 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.5 | ||
| Quick Ratio | 1.23 | ||
| Altman-Z | 1.63 |
F-Score5
WACC10.63%
ROIC/WACC0.95
Cap/Depr(3y)60.28%
Cap/Depr(5y)47.33%
Cap/Sales(3y)1.92%
Cap/Sales(5y)1.7%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)414.29%
EPS 3YN/A
EPS 5Y-51.82%
EPS Q2Q%268.75%
EPS Next Y1169.23%
EPS Next 2Y325.59%
EPS Next 3Y195.96%
EPS Next 5Y132.22%
Revenue 1Y (TTM)-20.03%
Revenue growth 3Y-13.93%
Revenue growth 5Y-18.74%
Sales Q2Q%10.77%
Revenue Next Year-0.32%
Revenue Next 2Y5.16%
Revenue Next 3Y6.25%
Revenue Next 5Y8.12%
EBIT growth 1Y10.72%
EBIT growth 3Y10.34%
EBIT growth 5YN/A
EBIT Next Year46.28%
EBIT Next 3Y27.23%
EBIT Next 5Y23.02%
FCF growth 1Y47.84%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y59.61%
OCF growth 3YN/A
OCF growth 5YN/A