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 7 out of 10. We evaluated TGNA against 92 industry peers in the Media industry. TGNA gets an excellent profitability rating and is at the same time showing great financial health properties. TGNA has a bad growth rate and is valued cheaply. TGNA also has an excellent dividend rating. With these ratings, TGNA could be worth investigating further for value and dividend investing!.
1. Profitability
1.1 Basic Checks
In the past year TGNA was profitable.
In the past year TGNA had a positive cash flow from operations.
Each year in the past 5 years TGNA has been profitable.
Each year in the past 5 years TGNA had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.16%, TGNA belongs to the top of the industry, outperforming 89.13% of the companies in the same industry.
TGNA has a Return On Equity of 19.89%. This is amongst the best in the industry. TGNA outperforms 90.22% of its industry peers.
The Return On Invested Capital of TGNA (8.96%) is better than 85.87% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TGNA is above the industry average of 6.94%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.16% | ||
| ROE | 19.89% | ||
| ROIC | 8.96% |
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
TGNA has a Profit Margin of 19.26%. This is amongst the best in the industry. TGNA outperforms 93.48% 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 25.41%, TGNA belongs to the top of the industry, outperforming 96.74% of the companies in the same industry.
In the last couple of years the Operating Margin of TGNA has remained more or less at the same level.
The Gross Margin of TGNA (43.39%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of TGNA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.41% | ||
| PM (TTM) | 19.26% | ||
| GM | 43.39% |
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TGNA is still creating some value.
The number of shares outstanding for TGNA has been reduced compared to 1 year ago.
Compared to 5 years ago, TGNA has less shares outstanding
TGNA has a better debt/assets ratio than last year.
2.2 Solvency
TGNA has an Altman-Z score of 2.95. 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.
TGNA's Altman-Z score of 2.95 is amongst the best of the industry. TGNA outperforms 84.78% of its industry peers.
The Debt to FCF ratio of TGNA is 5.32, which is a neutral value as it means it would take TGNA, 5.32 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of TGNA (5.32) is better than 75.00% of its industry peers.
TGNA has a Debt/Equity ratio of 1.02. This is a high value indicating a heavy dependency on external financing.
TGNA has a Debt to Equity ratio (1.02) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | 5.32 | ||
| Altman-Z | 2.95 |
ROIC/WACC1.18
WACC7.6%
2.3 Liquidity
A Current Ratio of 2.92 indicates that TGNA has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.92, TGNA belongs to the top of the industry, outperforming 88.04% of the companies in the same industry.
TGNA has a Quick Ratio of 2.92. This indicates that TGNA is financially healthy and has no problem in meeting its short term obligations.
TGNA has a better Quick ratio (2.92) than 88.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.92 | ||
| Quick Ratio | 2.92 |
3. Growth
3.1 Past
TGNA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 79.19%, which is quite impressive.
Measured over the past years, TGNA shows a quite strong growth in Earnings Per Share. The EPS has been growing by 17.57% on average per year.
TGNA shows a small growth in Revenue. In the last year, the Revenue has grown by 6.57%.
TGNA shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.17% yearly.
EPS 1Y (TTM)79.19%
EPS 3Y13.15%
EPS 5Y17.57%
EPS Q2Q%181.4%
Revenue 1Y (TTM)6.57%
Revenue growth 3Y1.22%
Revenue growth 5Y6.17%
Sales Q2Q%19.93%
3.2 Future
The Earnings Per Share is expected to grow by 3.90% on average over the next years.
The Revenue is expected to decrease by -1.80% on average over the next years.
EPS Next Y-37.62%
EPS Next 2Y9.21%
EPS Next 3Y-2.64%
EPS Next 5Y3.9%
Revenue Next Year-10.59%
Revenue Next 2Y-0.03%
Revenue Next 3Y-3.37%
Revenue Next 5Y-1.8%
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 5.74, the valuation of TGNA can be described as very cheap.
Based on the Price/Earnings ratio, TGNA is valued cheaper than 90.22% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 29.35. TGNA is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 9.20 indicates a reasonable valuation of TGNA.
Based on the Price/Forward Earnings ratio, TGNA is valued cheaper than 83.70% of the companies in the same industry.
TGNA's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.10.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.74 | ||
| Fwd PE | 9.2 |
4.2 Price Multiples
78.26% of the companies in the same industry are more expensive than TGNA, based on the Enterprise Value to EBITDA ratio.
85.87% 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 | 4.92 | ||
| EV/EBITDA | 5.8 |
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 -2.64% in the coming years.
PEG (NY)N/A
PEG (5Y)0.33
EPS Next 2Y9.21%
EPS Next 3Y-2.64%
5. Dividend
5.1 Amount
TGNA has a Yearly Dividend Yield of 2.83%. Purely for dividend investing, there may be better candidates out there.
TGNA's Dividend Yield is rather good when compared to the industry average which is at 4.47. TGNA pays more dividend than 80.43% of the companies in the same industry.
TGNA's Dividend Yield is a higher than the S&P500 average which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.83% |
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.
As TGNA did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)11.34%
Div Incr Years3
Div Non Decr Years7
5.3 Sustainability
TGNA pays out 13.62% of its income as dividend. This is a sustainable payout ratio.
TGNA's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP13.62%
EPS Next 2Y9.21%
EPS Next 3Y-2.64%
17.8
+0.16 (+0.91%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners100.08%
Inst Owner Change-2.96%
Ins Owners0.36%
Ins Owner Change-0.62%
Market Cap2.85B
Analysts80
Price Target21.52 (20.9%)
Short Float %3.49%
Short Ratio3.95
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.83% |
Yearly Dividend0.48
Dividend Growth(5Y)11.34%
DP13.62%
Div Incr Years3
Div Non Decr Years7
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.66%
Min EPS beat(2)1.91%
Max EPS beat(2)7.41%
EPS beat(4)4
Avg EPS beat(4)3.38%
Min EPS beat(4)1.65%
Max EPS beat(4)7.41%
EPS beat(8)5
Avg EPS beat(8)0.25%
EPS beat(12)6
Avg EPS beat(12)-1.79%
EPS beat(16)10
Avg EPS beat(16)-0.37%
Revenue beat(2)0
Avg Revenue beat(2)-1.21%
Min Revenue beat(2)-1.99%
Max Revenue beat(2)-0.43%
Revenue beat(4)0
Avg Revenue beat(4)-1.9%
Min Revenue beat(4)-2.64%
Max Revenue beat(4)-0.43%
Revenue beat(8)0
Avg Revenue beat(8)-2.63%
Revenue beat(12)0
Avg Revenue beat(12)-3.26%
Revenue beat(16)0
Avg Revenue beat(16)-2.76%
PT rev (1m)-1.86%
PT rev (3m)2.93%
EPS NQ rev (1m)-14.07%
EPS NQ rev (3m)-14.07%
EPS NY rev (1m)0.74%
EPS NY rev (3m)0%
Revenue NQ rev (1m)-1.04%
Revenue NQ rev (3m)-1.04%
Revenue NY rev (1m)-0.35%
Revenue NY rev (3m)-0.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.74 | ||
| Fwd PE | 9.2 | ||
| P/S | 0.92 | ||
| P/FCF | 4.92 | ||
| P/OCF | 4.16 | ||
| P/B | 0.95 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.8 |
EPS(TTM)3.1
EY17.42%
EPS(NY)1.93
Fwd EY10.86%
FCF(TTM)3.62
FCFY20.32%
OCF(TTM)4.28
OCFY24.07%
SpS19.4
BVpS18.79
TBVpS-14.52
PEG (NY)N/A
PEG (5Y)0.33
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.16% | ||
| ROE | 19.89% | ||
| ROCE | 11.49% | ||
| ROIC | 8.96% | ||
| ROICexc | 9.97% | ||
| ROICexgc | 73.09% | ||
| OM | 25.41% | ||
| PM (TTM) | 19.26% | ||
| GM | 43.39% | ||
| FCFM | 18.64% |
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-Score9
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | 5.32 | ||
| Debt/EBITDA | 3.41 | ||
| Cap/Depr | 93.97% | ||
| Cap/Sales | 3.44% | ||
| Interest Coverage | 4.79 | ||
| Cash Conversion | 75.96% | ||
| Profit Quality | 96.78% | ||
| Current Ratio | 2.92 | ||
| Quick Ratio | 2.92 | ||
| Altman-Z | 2.95 |
F-Score9
WACC7.6%
ROIC/WACC1.18
Cap/Depr(3y)61.54%
Cap/Depr(5y)53.56%
Cap/Sales(3y)2.29%
Cap/Sales(5y)2.11%
Profit Quality(3y)109.9%
Profit Quality(5y)115.86%
High Growth Momentum
Growth
EPS 1Y (TTM)79.19%
EPS 3Y13.15%
EPS 5Y17.57%
EPS Q2Q%181.4%
EPS Next Y-37.62%
EPS Next 2Y9.21%
EPS Next 3Y-2.64%
EPS Next 5Y3.9%
Revenue 1Y (TTM)6.57%
Revenue growth 3Y1.22%
Revenue growth 5Y6.17%
Sales Q2Q%19.93%
Revenue Next Year-10.59%
Revenue Next 2Y-0.03%
Revenue Next 3Y-3.37%
Revenue Next 5Y-1.8%
EBIT growth 1Y26.95%
EBIT growth 3Y0.61%
EBIT growth 5Y6.42%
EBIT Next Year-21.03%
EBIT Next 3Y-4.99%
EBIT Next 5Y-4.21%
FCF growth 1Y8.59%
FCF growth 3Y9.66%
FCF growth 5Y22.56%
OCF growth 1Y16.64%
OCF growth 3Y10.94%
OCF growth 5Y18.15%