TREEHOUSE FOODS INC (THS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:THS - US89469A1043 - Common Stock
23.59 USD
0 (0%)
23.59 USD
0 (0%)
THS gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 87 industry peers in the Food Products industry. THS may be in some trouble as it scores bad on both profitability and health. THS has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year THS was profitable.
THS had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: THS reported negative net income in multiple years.
Of the past 5 years THS 4 years had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of -6.40%, THS is not doing good in the industry: 68.18% of the companies in the same industry are doing better.
Looking at the Return On Equity, with a value of -19.15%, THS is doing worse than 68.18% of the companies in the same industry.
THS has a Return On Invested Capital (4.78%) which is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for THS is significantly below the industry average of 28.38%.
The 3 year average ROIC (3.80%) for THS is below the current ROIC(4.78%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.4% | ||
| ROE | -19.15% | ||
| ROIC | 4.78% |
ROA(3y)-0.49%
ROA(5y)-0.29%
ROE(3y)-1.25%
ROE(5y)-0.74%
ROIC(3y)3.8%
ROIC(5y)3.42%
1.3 Margins
Looking at the Operating Margin, with a value of 5.69%, THS is in the better half of the industry, outperforming 60.23% of the companies in the same industry.
In the last couple of years the Operating Margin of THS has remained more or less at the same level.
With a Gross Margin value of 17.33%, THS perfoms like the industry average, outperforming 46.59% of the companies in the same industry.
In the last couple of years the Gross Margin of THS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.69% | ||
| PM (TTM) | N/A | ||
| GM | 17.33% |
OM growth 3Y61.96%
OM growth 5Y0.43%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.79%
GM growth 5Y-1.08%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), THS is destroying value.
Compared to 1 year ago, THS has less shares outstanding
Compared to 5 years ago, THS has less shares outstanding
THS has a worse debt/assets ratio than last year.
2.2 Solvency
THS has an Altman-Z score of 1.21. This is a bad value and indicates that THS is not financially healthy and even has some risk of bankruptcy.
THS has a worse Altman-Z score (1.21) than 65.91% of its industry peers.
The Debt to FCF ratio of THS is 14.88, which is on the high side as it means it would take THS, 14.88 years of fcf income to pay off all of its debts.
THS has a Debt to FCF ratio of 14.88. This is comparable to the rest of the industry: THS outperforms 57.95% of its industry peers.
THS has a Debt/Equity ratio of 1.18. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.18, THS is not doing good in the industry: 78.41% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | 14.88 | ||
| Altman-Z | 1.21 |
ROIC/WACC0.7
WACC6.86%
2.3 Liquidity
THS has a Current Ratio of 1.29. This is a normal value and indicates that THS is financially healthy and should not expect problems in meeting its short term obligations.
THS has a worse Current ratio (1.29) than 63.64% of its industry peers.
THS has a Quick Ratio of 1.29. This is a bad value and indicates that THS is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.40, THS is not doing good in the industry: 78.41% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.29 | ||
| Quick Ratio | 0.4 |
3. Growth
3.1 Past
The earnings per share for THS have decreased strongly by -10.73% in the last year.
The Earnings Per Share has been decreasing by -1.84% on average over the past years.
The Revenue has decreased by -0.45% in the past year.
The Revenue has been decreasing by -4.80% on average over the past years.
EPS 1Y (TTM)-10.73%
EPS 3Y17.9%
EPS 5Y-1.84%
EPS Q2Q%-41.89%
Revenue 1Y (TTM)-0.45%
Revenue growth 3Y6.02%
Revenue growth 5Y-4.8%
Sales Q2Q%-1.51%
3.2 Future
THS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 17.48% yearly.
Based on estimates for the next years, THS will show a small growth in Revenue. The Revenue will grow by 1.34% on average per year.
EPS Next Y-9.24%
EPS Next 2Y3.57%
EPS Next 3Y7.74%
EPS Next 5Y17.48%
Revenue Next Year0.06%
Revenue Next 2Y0.59%
Revenue Next 3Y0.78%
Revenue Next 5Y1.34%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 14.93, THS is valued correctly.
Based on the Price/Earnings ratio, THS is valued a bit cheaper than 65.91% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.47, THS is valued a bit cheaper.
The Price/Forward Earnings ratio is 11.28, which indicates a very decent valuation of THS.
Based on the Price/Forward Earnings ratio, THS is valued cheaper than 81.82% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.42. THS is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.93 | ||
| Fwd PE | 11.28 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, THS is valued a bit cheaper than the industry average as 77.27% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of THS indicates a rather cheap valuation: THS is cheaper than 81.82% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.82 | ||
| EV/EBITDA | 7.56 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y3.57%
EPS Next 3Y7.74%
5. Dividend
5.1 Amount
THS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
23.59
0 (0%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners109.66%
Inst Owner Change-3.83%
Ins Owners1.1%
Ins Owner Change-0.02%
Market Cap1.19B
Revenue(TTM)3.34B
Net Income(TTM)-241.80M
Analysts70
Price Target22.95 (-2.71%)
Short Float %4.07%
Short Ratio1.73
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)18.93%
Min EPS beat(2)-24.76%
Max EPS beat(2)62.63%
EPS beat(4)2
Avg EPS beat(4)37.68%
Min EPS beat(4)-24.76%
Max EPS beat(4)115.94%
EPS beat(8)4
Avg EPS beat(8)15.53%
EPS beat(12)7
Avg EPS beat(12)17.04%
EPS beat(16)10
Avg EPS beat(16)19.68%
Revenue beat(2)0
Avg Revenue beat(2)-1.15%
Min Revenue beat(2)-2.11%
Max Revenue beat(2)-0.18%
Revenue beat(4)0
Avg Revenue beat(4)-0.92%
Min Revenue beat(4)-2.11%
Max Revenue beat(4)-0.18%
Revenue beat(8)1
Avg Revenue beat(8)-1.08%
Revenue beat(12)3
Avg Revenue beat(12)-1.42%
Revenue beat(16)5
Avg Revenue beat(16)-2.05%
PT rev (1m)5.7%
PT rev (3m)5.7%
EPS NQ rev (1m)0.43%
EPS NQ rev (3m)0.43%
EPS NY rev (1m)0.55%
EPS NY rev (3m)0.55%
Revenue NQ rev (1m)-0.1%
Revenue NQ rev (3m)0.1%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.93 | ||
| Fwd PE | 11.28 | ||
| P/S | 0.36 | ||
| P/FCF | 11.82 | ||
| P/OCF | 5.1 | ||
| P/B | 0.94 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.56 |
EPS(TTM)1.58
EY6.7%
EPS(NY)2.09
Fwd EY8.87%
FCF(TTM)2
FCFY8.46%
OCF(TTM)4.63
OCFY19.62%
SpS66.22
BVpS25
TBVpS-11.75
PEG (NY)N/A
PEG (5Y)N/A
Graham Number29.81
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.4% | ||
| ROE | -19.15% | ||
| ROCE | 6.29% | ||
| ROIC | 4.78% | ||
| ROICexc | 4.81% | ||
| ROICexgc | 12.57% | ||
| OM | 5.69% | ||
| PM (TTM) | N/A | ||
| GM | 17.33% | ||
| FCFM | 3.01% |
ROA(3y)-0.49%
ROA(5y)-0.29%
ROE(3y)-1.25%
ROE(5y)-0.74%
ROIC(3y)3.8%
ROIC(5y)3.42%
ROICexc(3y)4.14%
ROICexc(5y)3.72%
ROICexgc(3y)12.77%
ROICexgc(5y)11.37%
ROCE(3y)5%
ROCE(5y)4.5%
ROICexgc growth 3Y106.44%
ROICexgc growth 5Y5.04%
ROICexc growth 3Y86.03%
ROICexc growth 5Y2.26%
OM growth 3Y61.96%
OM growth 5Y0.43%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.79%
GM growth 5Y-1.08%
F-Score4
Asset Turnover0.89
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | 14.88 | ||
| Debt/EBITDA | 4.21 | ||
| Cap/Depr | 81.63% | ||
| Cap/Sales | 3.97% | ||
| Interest Coverage | 2.06 | ||
| Cash Conversion | 66.19% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.29 | ||
| Quick Ratio | 0.4 | ||
| Altman-Z | 1.21 |
F-Score4
WACC6.86%
ROIC/WACC0.7
Cap/Depr(3y)86.71%
Cap/Depr(5y)73.26%
Cap/Sales(3y)3.71%
Cap/Sales(5y)3.54%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-10.73%
EPS 3Y17.9%
EPS 5Y-1.84%
EPS Q2Q%-41.89%
EPS Next Y-9.24%
EPS Next 2Y3.57%
EPS Next 3Y7.74%
EPS Next 5Y17.48%
Revenue 1Y (TTM)-0.45%
Revenue growth 3Y6.02%
Revenue growth 5Y-4.8%
Sales Q2Q%-1.51%
Revenue Next Year0.06%
Revenue Next 2Y0.59%
Revenue Next 3Y0.78%
Revenue Next 5Y1.34%
EBIT growth 1Y4.33%
EBIT growth 3Y71.71%
EBIT growth 5Y-4.39%
EBIT Next Year77.89%
EBIT Next 3Y24.54%
EBIT Next 5Y16.62%
FCF growth 1Y173.63%
FCF growth 3Y-15.5%
FCF growth 5Y-4.76%
OCF growth 1Y988.59%
OCF growth 3Y-6.47%
OCF growth 5Y-2.89%
TREEHOUSE FOODS INC / THS FAQ
What is the fundamental rating for THS stock?
ChartMill assigns a fundamental rating of 3 / 10 to THS.
Can you provide the valuation status for TREEHOUSE FOODS INC?
ChartMill assigns a valuation rating of 6 / 10 to TREEHOUSE FOODS INC (THS). This can be considered as Fairly Valued.
Can you provide the profitability details for TREEHOUSE FOODS INC?
TREEHOUSE FOODS INC (THS) has a profitability rating of 3 / 10.
What is the earnings growth outlook for TREEHOUSE FOODS INC?
The Earnings per Share (EPS) of TREEHOUSE FOODS INC (THS) is expected to decline by -9.24% in the next year.