THERMON GROUP HOLDINGS INC (THR)
US88362T1034 - Common Stock
THR gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 91 industry peers in the Electrical Equipment industry. THR scores excellent on profitability, but there are some minor concerns on its financial health. THR has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
THR had positive earnings in the past year.
THR had a positive operating cash flow in the past year.
In the past 5 years THR has always been profitable.
Each year in the past 5 years THR had a positive operating cash flow.
1.2 Ratios
THR has a better Return On Assets (5.77%) than 84.27% of its industry peers.
THR has a Return On Equity of 8.96%. This is amongst the best in the industry. THR outperforms 83.15% of its industry peers.
Looking at the Return On Invested Capital, with a value of 7.57%, THR belongs to the top of the industry, outperforming 82.02% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for THR is below the industry average of 10.64%.
The last Return On Invested Capital (7.57%) for THR is above the 3 year average (7.10%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.77% | ||
| ROE | 8.96% | ||
| ROIC | 7.57% |
ROA(3y)5.02%
ROA(5y)3.43%
ROE(3y)7.98%
ROE(5y)5.52%
ROIC(3y)7.1%
ROIC(5y)5.35%
1.3 Margins
Looking at the Profit Margin, with a value of 8.89%, THR belongs to the top of the industry, outperforming 86.52% of the companies in the same industry.
THR's Profit Margin has improved in the last couple of years.
THR has a Operating Margin of 14.18%. This is amongst the best in the industry. THR outperforms 86.52% of its industry peers.
THR's Operating Margin has improved in the last couple of years.
The Gross Margin of THR (42.75%) is better than 93.26% of its industry peers.
In the last couple of years the Gross Margin of THR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.18% | ||
| PM (TTM) | 8.89% | ||
| GM | 42.75% |
OM growth 3Y64.38%
OM growth 5Y5.6%
PM growth 3Y217.51%
PM growth 5Y13.55%
GM growth 3Y1.61%
GM growth 5Y0.07%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), THR is destroying value.
The number of shares outstanding for THR has been increased compared to 1 year ago.
THR has more shares outstanding than it did 5 years ago.
THR has a worse debt/assets ratio than last year.
2.2 Solvency
THR has an Altman-Z score of 4.12. This indicates that THR is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.12, THR is in the better half of the industry, outperforming 77.53% of the companies in the same industry.
The Debt to FCF ratio of THR is 2.33, which is a good value as it means it would take THR, 2.33 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of THR (2.33) is better than 82.02% of its industry peers.
THR has a Debt/Equity ratio of 0.30. This is a healthy value indicating a solid balance between debt and equity.
THR has a Debt to Equity ratio of 0.30. This is comparable to the rest of the industry: THR outperforms 49.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 2.33 | ||
| Altman-Z | 4.12 |
ROIC/WACC0.78
WACC9.68%
2.3 Liquidity
THR has a Current Ratio of 2.80. This indicates that THR is financially healthy and has no problem in meeting its short term obligations.
THR has a Current ratio of 2.80. This is in the better half of the industry: THR outperforms 71.91% of its industry peers.
A Quick Ratio of 1.85 indicates that THR should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.85, THR is doing good in the industry, outperforming 68.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.8 | ||
| Quick Ratio | 1.85 |
3. Growth
3.1 Past
THR shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.14%.
THR shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.05% yearly.
THR shows a small growth in Revenue. In the last year, the Revenue has grown by 3.93%.
THR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.69% yearly.
EPS 1Y (TTM)-7.14%
EPS 3Y74.93%
EPS 5Y9.05%
EPS Q2Q%-22.45%
Revenue 1Y (TTM)3.93%
Revenue growth 3Y21.44%
Revenue growth 5Y3.69%
Sales Q2Q%-7.29%
3.2 Future
The Earnings Per Share is expected to grow by 10.83% on average over the next years. This is quite good.
THR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.36% yearly.
EPS Next Y4.75%
EPS Next 2Y10.83%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year7.13%
Revenue Next 2Y7.36%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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
A Price/Earnings ratio of 18.45 indicates a rather expensive valuation of THR.
THR's Price/Earnings ratio is rather cheap when compared to the industry. THR is cheaper than 84.27% of the companies in the same industry.
THR is valuated rather cheaply when we compare the Price/Earnings ratio to 28.96, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 13.95, which indicates a correct valuation of THR.
Compared to the rest of the industry, the Price/Forward Earnings ratio of THR indicates a rather cheap valuation: THR is cheaper than 84.27% of the companies listed in the same industry.
THR is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.82, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.45 | ||
| Fwd PE | 13.95 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of THR indicates a rather cheap valuation: THR is cheaper than 84.27% of the companies listed in the same industry.
91.01% of the companies in the same industry are more expensive than THR, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.83 | ||
| EV/EBITDA | 12.87 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates THR does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of THR may justify a higher PE ratio.
PEG (NY)3.89
PEG (5Y)2.04
EPS Next 2Y10.83%
EPS Next 3YN/A
5. Dividend
5.1 Amount
THR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
THERMON GROUP HOLDINGS INC
NYSE:THR (11/21/2024, 8:04:00 PM)
After market: 31.18 0 (0%)31.18
+0.34 (+1.1%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.05B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.45 | ||
| Fwd PE | 13.95 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)3.89
PEG (5Y)2.04
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.77% | ||
| ROE | 8.96% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 14.18% | ||
| PM (TTM) | 8.89% | ||
| GM | 42.75% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.8 | ||
| Quick Ratio | 1.85 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-7.14%
EPS 3Y74.93%
EPS 5Y
EPS Q2Q%
EPS Next Y4.75%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)3.93%
Revenue growth 3Y21.44%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y