TIETOEVRY OYJ (TIETO.OL) Stock Fundamental Analysis
Europe - Euronext Oslo - OSL:TIETO - FI0009000277 - Common Stock
216.6 NOK
-8.4 (-3.73%)
Taking everything into account, TIETO scores 4 out of 10 in our fundamental rating. TIETO was compared to 76 industry peers in the IT Services industry. While TIETO is still in line with the averages on profitability rating, there are concerns on its financial health. TIETO has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
TIETO had positive earnings in the past year.
In the past year TIETO had a positive cash flow from operations.
TIETO had positive earnings in 4 of the past 5 years.
In the past 5 years TIETO always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of TIETO (-15.38%) is worse than 85.53% of its industry peers.
With a Return On Equity value of -33.88%, TIETO is not doing good in the industry: 78.95% of the companies in the same industry are doing better.
TIETO has a Return On Invested Capital (6.87%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for TIETO is significantly below the industry average of 25.87%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -15.38% | ||
| ROE | -33.88% | ||
| ROIC | 6.87% |
ROA(3y)2.8%
ROA(5y)3.83%
ROE(3y)5.6%
ROE(5y)7.73%
ROIC(3y)7.79%
ROIC(5y)7.71%
1.3 Margins
Looking at the Operating Margin, with a value of 7.49%, TIETO is in line with its industry, outperforming 53.95% of the companies in the same industry.
TIETO's Operating Margin has improved in the last couple of years.
TIETO's Gross Margin of 78.87% is fine compared to the rest of the industry. TIETO outperforms 72.37% of its industry peers.
TIETO's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.49% | ||
| PM (TTM) | N/A | ||
| GM | 78.87% |
OM growth 3Y-11.07%
OM growth 5Y3.32%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.03%
GM growth 5Y-0.48%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TIETO is still creating some value.
The number of shares outstanding for TIETO remains at a similar level compared to 1 year ago.
The number of shares outstanding for TIETO has been increased compared to 5 years ago.
TIETO has a worse debt/assets ratio than last year.
2.2 Solvency
TIETO has an Altman-Z score of 2.95. This is not the best score and indicates that TIETO is in the grey zone with still only limited risk for bankruptcy at the moment.
TIETO's Altman-Z score of 2.95 is in line compared to the rest of the industry. TIETO outperforms 59.21% of its industry peers.
The Debt to FCF ratio of TIETO is 2.94, which is a good value as it means it would take TIETO, 2.94 years of fcf income to pay off all of its debts.
TIETO has a Debt to FCF ratio of 2.94. This is in the better half of the industry: TIETO outperforms 61.84% of its industry peers.
A Debt/Equity ratio of 0.64 indicates that TIETO is somewhat dependend on debt financing.
TIETO's Debt to Equity ratio of 0.64 is in line compared to the rest of the industry. TIETO outperforms 47.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 2.94 | ||
| Altman-Z | 2.95 |
ROIC/WACC0.92
WACC7.49%
2.3 Liquidity
A Current Ratio of 0.96 indicates that TIETO may have some problems paying its short term obligations.
TIETO has a Current ratio of 0.96. This is in the lower half of the industry: TIETO underperforms 69.74% of its industry peers.
TIETO has a Quick Ratio of 0.96. This is a bad value and indicates that TIETO is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.95, TIETO is doing worse than 65.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.95 |
3. Growth
3.1 Past
The earnings per share for TIETO have decreased strongly by -28.36% in the last year.
The Earnings Per Share has been growing slightly by 1.76% on average over the past years.
The Revenue for TIETO has decreased by -26.94% in the past year. This is quite bad
The Revenue has been growing by 10.08% on average over the past years. This is quite good.
EPS 1Y (TTM)-28.36%
EPS 3Y-2.48%
EPS 5Y1.76%
EPS Q2Q%2.04%
Revenue 1Y (TTM)-26.94%
Revenue growth 3Y-0.25%
Revenue growth 5Y10.08%
Sales Q2Q%-30.66%
3.2 Future
Based on estimates for the next years, TIETO will show a decrease in Earnings Per Share. The EPS will decrease by -0.76% on average per year.
Based on estimates for the next years, TIETO will show a decrease in Revenue. The Revenue will decrease by -8.35% on average per year.
EPS Next Y-25.43%
EPS Next 2Y-10.98%
EPS Next 3Y-4.8%
EPS Next 5Y-0.76%
Revenue Next Year-34.02%
Revenue Next 2Y-18.77%
Revenue Next 3Y-11.82%
Revenue Next 5Y-8.35%
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
Based on the Price/Earnings ratio of 12.77, the valuation of TIETO can be described as correct.
84.21% of the companies in the same industry are more expensive than TIETO, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.19. TIETO is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 12.09, the valuation of TIETO can be described as correct.
75.00% of the companies in the same industry are more expensive than TIETO, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of TIETO to the average of the S&P500 Index (23.92), we can say TIETO is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.77 | ||
| Fwd PE | 12.09 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TIETO is valued cheaply inside the industry as 92.11% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, TIETO is valued a bit cheaper than 76.32% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.95 | ||
| EV/EBITDA | 4.15 |
4.3 Compensation for Growth
A cheap valuation may be justified as TIETO's earnings are expected to decrease with -4.80% in the coming years.
PEG (NY)N/A
PEG (5Y)7.28
EPS Next 2Y-10.98%
EPS Next 3Y-4.8%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 8.09%, TIETO is a good candidate for dividend investing.
TIETO's Dividend Yield is rather good when compared to the industry average which is at 2.26. TIETO pays more dividend than 96.05% of the companies in the same industry.
TIETO's Dividend Yield is rather good when compared to the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.09% |
5.2 History
The dividend of TIETO has a limited annual growth rate of 5.62%.
Dividend Growth(5Y)5.62%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
The earnings of TIETO are negative and hence is the payout ratio. TIETO will probably not be able to sustain this dividend level.
DP-50.06%
EPS Next 2Y-10.98%
EPS Next 3Y-4.8%
OSL:TIETO (1/12/2026, 4:18:06 PM)
216.6
-8.4 (-3.73%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners54.53%
Inst Owner ChangeN/A
Ins Owners0.38%
Ins Owner ChangeN/A
Market Cap25.70B
Revenue(TTM)2.09B
Net Income(TTM)-352.00M
Analysts52.22
Price Target218.8 (1.02%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.09% |
Yearly Dividend17.31
Dividend Growth(5Y)5.62%
DP-50.06%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-11.82%
Min EPS beat(2)-29.82%
Max EPS beat(2)6.19%
EPS beat(4)1
Avg EPS beat(4)-18.61%
Min EPS beat(4)-39.07%
Max EPS beat(4)6.19%
EPS beat(8)1
Avg EPS beat(8)-12.22%
EPS beat(12)2
Avg EPS beat(12)-9.33%
EPS beat(16)3
Avg EPS beat(16)-7.61%
Revenue beat(2)0
Avg Revenue beat(2)-2.48%
Min Revenue beat(2)-3.37%
Max Revenue beat(2)-1.58%
Revenue beat(4)0
Avg Revenue beat(4)-9.6%
Min Revenue beat(4)-28.15%
Max Revenue beat(4)-1.58%
Revenue beat(8)0
Avg Revenue beat(8)-6.42%
Revenue beat(12)0
Avg Revenue beat(12)-5.8%
Revenue beat(16)0
Avg Revenue beat(16)-4.64%
PT rev (1m)2.2%
PT rev (3m)10.86%
EPS NQ rev (1m)-7.66%
EPS NQ rev (3m)-10.09%
EPS NY rev (1m)9.7%
EPS NY rev (3m)17.94%
Revenue NQ rev (1m)-0.08%
Revenue NQ rev (3m)-1.28%
Revenue NY rev (1m)-4.29%
Revenue NY rev (3m)-4.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.77 | ||
| Fwd PE | 12.09 | ||
| P/S | 1.05 | ||
| P/FCF | 8.95 | ||
| P/OCF | 6.8 | ||
| P/B | 2.1 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.15 |
EPS(TTM)16.96
EY7.83%
EPS(NY)17.92
Fwd EY8.27%
FCF(TTM)24.21
FCFY11.18%
OCF(TTM)31.86
OCFY14.71%
SpS207.14
BVpS103.12
TBVpS-59.13
PEG (NY)N/A
PEG (5Y)7.28
Graham Number198.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -15.38% | ||
| ROE | -33.88% | ||
| ROCE | 8.81% | ||
| ROIC | 6.87% | ||
| ROICexc | 7.54% | ||
| ROICexgc | N/A | ||
| OM | 7.49% | ||
| PM (TTM) | N/A | ||
| GM | 78.87% | ||
| FCFM | 11.69% |
ROA(3y)2.8%
ROA(5y)3.83%
ROE(3y)5.6%
ROE(5y)7.73%
ROIC(3y)7.79%
ROIC(5y)7.71%
ROICexc(3y)8.56%
ROICexc(5y)8.57%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)10.54%
ROCE(5y)10.23%
ROICexgc growth 3Y-30.89%
ROICexgc growth 5Y-50.16%
ROICexc growth 3Y-8.05%
ROICexc growth 5Y16.47%
OM growth 3Y-11.07%
OM growth 5Y3.32%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.03%
GM growth 5Y-0.48%
F-Score5
Asset Turnover0.91
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 2.94 | ||
| Debt/EBITDA | 0.99 | ||
| Cap/Depr | 14.82% | ||
| Cap/Sales | 3.69% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 47.45% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.95 | ||
| Altman-Z | 2.95 |
F-Score5
WACC7.49%
ROIC/WACC0.92
Cap/Depr(3y)43.1%
Cap/Depr(5y)43.19%
Cap/Sales(3y)3.09%
Cap/Sales(5y)3.02%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-28.36%
EPS 3Y-2.48%
EPS 5Y1.76%
EPS Q2Q%2.04%
EPS Next Y-25.43%
EPS Next 2Y-10.98%
EPS Next 3Y-4.8%
EPS Next 5Y-0.76%
Revenue 1Y (TTM)-26.94%
Revenue growth 3Y-0.25%
Revenue growth 5Y10.08%
Sales Q2Q%-30.66%
Revenue Next Year-34.02%
Revenue Next 2Y-18.77%
Revenue Next 3Y-11.82%
Revenue Next 5Y-8.35%
EBIT growth 1Y-39.7%
EBIT growth 3Y-11.29%
EBIT growth 5Y13.74%
EBIT Next Year-19.98%
EBIT Next 3Y2.99%
EBIT Next 5Y2.76%
FCF growth 1Y23.62%
FCF growth 3Y-5.74%
FCF growth 5Y1.13%
OCF growth 1Y14.89%
OCF growth 3Y-3.94%
OCF growth 5Y3.19%
TIETOEVRY OYJ / TIETO.OL FAQ
What is the fundamental rating for TIETO stock?
ChartMill assigns a fundamental rating of 4 / 10 to TIETO.OL.
Can you provide the valuation status for TIETOEVRY OYJ?
ChartMill assigns a valuation rating of 5 / 10 to TIETOEVRY OYJ (TIETO.OL). This can be considered as Fairly Valued.
What is the profitability of TIETO stock?
TIETOEVRY OYJ (TIETO.OL) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for TIETO stock?
The Price/Earnings (PE) ratio for TIETOEVRY OYJ (TIETO.OL) is 12.77 and the Price/Book (PB) ratio is 2.1.
Is the dividend of TIETOEVRY OYJ sustainable?
The dividend rating of TIETOEVRY OYJ (TIETO.OL) is 6 / 10 and the dividend payout ratio is -50.06%.