TEGNA INC (TGNA) Stock Fundamental Analysis
NYSE:TGNA - New York Stock Exchange, Inc. - US87901J1051 - Common Stock - Currency: USD
Overall TGNA gets a fundamental rating of 6 out of 10. We evaluated TGNA against 97 industry peers in the Media industry. While TGNA has a great profitability rating, there are some minor concerns on its financial health. TGNA has a bad growth rate and is valued cheaply. Finally TGNA also has an excellent dividend rating. These ratings would make TGNA suitable for value and dividend investing!
1. Profitability
1.1 Basic Checks
TGNA had positive earnings in the past year.
In the past year TGNA had a positive cash flow from operations.
In the past 5 years TGNA has always been profitable.
TGNA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of TGNA (6.39%) is better than 86.60% of its industry peers.
The Return On Equity of TGNA (15.35%) is better than 82.47% of its industry peers.
TGNA's Return On Invested Capital of 9.33% is amongst the best of the industry. TGNA outperforms 86.60% of its industry peers.
TGNA had an Average Return On Invested Capital over the past 3 years of 9.16%. This is in line with the industry average of 7.56%.
The last Return On Invested Capital (9.33%) for TGNA is above the 3 year average (9.16%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.39% | ||
| ROE | 15.35% | ||
| ROIC | 9.33% |
ROA(3y)7.85%
ROA(5y)7.49%
ROE(3y)19.32%
ROE(5y)20.06%
ROIC(3y)9.16%
ROIC(5y)9.46%
1.3 Margins
The Profit Margin of TGNA (15.21%) is better than 90.72% of its industry peers.
In the last couple of years the Profit Margin of TGNA has grown nicely.
Looking at the Operating Margin, with a value of 24.66%, TGNA belongs to the top of the industry, outperforming 97.94% of the companies in the same industry.
TGNA's Operating Margin has been stable in the last couple of years.
TGNA's Gross Margin of 42.42% is in line compared to the rest of the industry. TGNA outperforms 53.61% of its industry peers.
TGNA's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.66% | ||
| PM (TTM) | 15.21% | ||
| GM | 42.42% |
OM growth 3Y-0.6%
OM growth 5Y0.24%
PM growth 3Y6.5%
PM growth 5Y9.13%
GM growth 3Y-2.32%
GM growth 5Y-1.41%
2. Health
2.1 Basic Checks
TGNA has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for TGNA has been reduced compared to 1 year ago.
TGNA has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, TGNA has an improved debt to assets ratio.
2.2 Solvency
TGNA has an Altman-Z score of 2.86. This is not the best score and indicates that TGNA is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of TGNA (2.86) is better than 78.35% of its industry peers.
The Debt to FCF ratio of TGNA is 4.77, which is a neutral value as it means it would take TGNA, 4.77 years of fcf income to pay off all of its debts.
TGNA has a better Debt to FCF ratio (4.77) than 75.26% of its industry peers.
A Debt/Equity ratio of 0.83 indicates that TGNA is somewhat dependend on debt financing.
TGNA has a Debt to Equity ratio of 0.83. This is comparable to the rest of the industry: TGNA outperforms 47.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.83 | ||
| Debt/FCF | 4.77 | ||
| Altman-Z | 2.86 |
ROIC/WACC1.42
WACC6.57%
2.3 Liquidity
TGNA has a Current Ratio of 1.40. This is a normal value and indicates that TGNA is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.40, TGNA is in line with its industry, outperforming 52.58% of the companies in the same industry.
TGNA has a Quick Ratio of 1.40. This is a normal value and indicates that TGNA is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.40, TGNA is in line with its industry, outperforming 53.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.4 | ||
| Quick Ratio | 1.4 |
3. Growth
3.1 Past
TGNA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 76.61%, which is quite impressive.
TGNA shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.57% yearly.
Looking at the last year, TGNA shows a small growth in Revenue. The Revenue has grown by 6.34% in the last year.
Measured over the past years, TGNA shows a small growth in Revenue. The Revenue has been growing by 6.17% on average per year.
EPS 1Y (TTM)76.61%
EPS 3Y13.15%
EPS 5Y17.57%
EPS Q2Q%-17.78%
Revenue 1Y (TTM)6.34%
Revenue growth 3Y1.22%
Revenue growth 5Y6.17%
Sales Q2Q%-4.79%
3.2 Future
The Earnings Per Share is expected to grow by 0.91% on average over the next years.
Based on estimates for the next years, TGNA will show a decrease in Revenue. The Revenue will decrease by -0.01% on average per year.
EPS Next Y-47.03%
EPS Next 2Y2.84%
EPS Next 3Y-8.94%
EPS Next 5Y0.91%
Revenue Next Year-11.31%
Revenue Next 2Y-0.21%
Revenue Next 3Y-3.21%
Revenue Next 5Y-0.01%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 5.66 indicates a rather cheap valuation of TGNA.
Compared to the rest of the industry, the Price/Earnings ratio of TGNA indicates a rather cheap valuation: TGNA is cheaper than 89.69% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.30. TGNA is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 5.22, the valuation of TGNA can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TGNA indicates a rather cheap valuation: TGNA is cheaper than 88.66% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 21.76. TGNA is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.66 | ||
| Fwd PE | 5.22 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TGNA is valued a bit cheaper than the industry average as 79.38% of the companies are valued more expensively.
90.72% of the companies in the same industry are more expensive than TGNA, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.26 | ||
| EV/EBITDA | 5.96 |
4.3 Compensation for Growth
TGNA has an outstanding profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as TGNA's earnings are expected to decrease with -8.94% in the coming years.
PEG (NY)N/A
PEG (5Y)0.32
EPS Next 2Y2.84%
EPS Next 3Y-8.94%
5. Dividend
5.1 Amount
TGNA has a Yearly Dividend Yield of 2.90%.
TGNA's Dividend Yield is rather good when compared to the industry average which is at 4.62. TGNA pays more dividend than 80.41% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.37, TGNA pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.9% |
5.2 History
On average, the dividend of TGNA grows each year by 11.34%, which is quite nice.
TGNA has been paying a dividend for at least 10 years, so it has a reliable track record.
TGNA has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)11.34%
Div Incr Years4
Div Non Decr Years8
5.3 Sustainability
TGNA pays out 17.48% of its income as dividend. This is a sustainable payout ratio.
The dividend of TGNA is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP17.48%
EPS Next 2Y2.84%
EPS Next 3Y-8.94%
17.1
-0.33 (-1.89%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners102.09%
Inst Owner Change-0.01%
Ins Owners0.49%
Ins Owner Change7.45%
Market Cap2.75B
Analysts80
Price Target21.68 (26.78%)
Short Float %3.83%
Short Ratio4.48
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.9% |
Yearly Dividend0.48
Dividend Growth(5Y)11.34%
DP17.48%
Div Incr Years4
Div Non Decr Years8
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.94%
Min EPS beat(2)1.91%
Max EPS beat(2)11.96%
EPS beat(4)4
Avg EPS beat(4)5.96%
Min EPS beat(4)1.91%
Max EPS beat(4)11.96%
EPS beat(8)6
Avg EPS beat(8)1.78%
EPS beat(12)6
Avg EPS beat(12)-1.51%
EPS beat(16)10
Avg EPS beat(16)0.22%
Revenue beat(2)0
Avg Revenue beat(2)-1.74%
Min Revenue beat(2)-1.99%
Max Revenue beat(2)-1.48%
Revenue beat(4)0
Avg Revenue beat(4)-1.63%
Min Revenue beat(4)-2.64%
Max Revenue beat(4)-0.43%
Revenue beat(8)0
Avg Revenue beat(8)-2.38%
Revenue beat(12)0
Avg Revenue beat(12)-3.24%
Revenue beat(16)0
Avg Revenue beat(16)-2.79%
PT rev (1m)4.17%
PT rev (3m)0.24%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-16.29%
EPS NY rev (1m)-4.85%
EPS NY rev (3m)-8.52%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.27%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.66 | ||
| Fwd PE | 5.22 | ||
| P/S | 0.9 | ||
| P/FCF | 4.26 | ||
| P/OCF | 4.27 | ||
| P/B | 0.9 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.96 |
EPS(TTM)3.02
EY17.66%
EPS(NY)3.28
Fwd EY19.17%
FCF(TTM)4.01
FCFY23.45%
OCF(TTM)4.01
OCFY23.44%
SpS19.09
BVpS18.91
TBVpS-14.17
PEG (NY)N/A
PEG (5Y)0.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.39% | ||
| ROE | 15.35% | ||
| ROCE | 11.96% | ||
| ROIC | 9.33% | ||
| ROICexc | 10.52% | ||
| ROICexgc | 200.29% | ||
| OM | 24.66% | ||
| PM (TTM) | 15.21% | ||
| GM | 42.42% | ||
| FCFM | 21.01% |
ROA(3y)7.85%
ROA(5y)7.49%
ROE(3y)19.32%
ROE(5y)20.06%
ROIC(3y)9.16%
ROIC(5y)9.46%
ROICexc(3y)9.96%
ROICexc(5y)9.97%
ROICexgc(3y)67.45%
ROICexgc(5y)66.75%
ROCE(3y)11.74%
ROCE(5y)12.12%
ROICexcg growth 3Y8.77%
ROICexcg growth 5Y11.27%
ROICexc growth 3Y2.32%
ROICexc growth 5Y7.76%
OM growth 3Y-0.6%
OM growth 5Y0.24%
PM growth 3Y6.5%
PM growth 5Y9.13%
GM growth 3Y-2.32%
GM growth 5Y-1.41%
F-Score7
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.83 | ||
| Debt/FCF | 4.77 | ||
| Debt/EBITDA | 2.92 | ||
| Cap/Depr | 0.29% | ||
| Cap/Sales | 0.01% | ||
| Interest Coverage | 4.64 | ||
| Cash Conversion | 74.34% | ||
| Profit Quality | 138.15% | ||
| Current Ratio | 1.4 | ||
| Quick Ratio | 1.4 | ||
| Altman-Z | 2.86 |
F-Score7
WACC6.57%
ROIC/WACC1.42
Cap/Depr(3y)45.62%
Cap/Depr(5y)44.01%
Cap/Sales(3y)1.71%
Cap/Sales(5y)1.76%
Profit Quality(3y)112.93%
Profit Quality(5y)117.67%
High Growth Momentum
Growth
EPS 1Y (TTM)76.61%
EPS 3Y13.15%
EPS 5Y17.57%
EPS Q2Q%-17.78%
EPS Next Y-47.03%
EPS Next 2Y2.84%
EPS Next 3Y-8.94%
EPS Next 5Y0.91%
Revenue 1Y (TTM)6.34%
Revenue growth 3Y1.22%
Revenue growth 5Y6.17%
Sales Q2Q%-4.79%
Revenue Next Year-11.31%
Revenue Next 2Y-0.21%
Revenue Next 3Y-3.21%
Revenue Next 5Y-0.01%
EBIT growth 1Y29.26%
EBIT growth 3Y0.61%
EBIT growth 5Y6.42%
EBIT Next Year-27.89%
EBIT Next 3Y-7.52%
EBIT Next 5Y-1.74%
FCF growth 1Y-12.49%
FCF growth 3Y12.99%
FCF growth 5Y24.78%
OCF growth 1Y-18.07%
OCF growth 3Y10.94%
OCF growth 5Y18.15%