INTERFACE INC (TILE) Stock Fundamental Analysis
NASDAQ:TILE - Nasdaq - US4586653044 - Common Stock - Currency: USD
Taking everything into account, TILE scores 5 out of 10 in our fundamental rating. TILE was compared to 84 industry peers in the Commercial Services & Supplies industry. TILE has only an average score on both its financial health and profitability. TILE is cheap, but on the other hand it scores bad on growth. This makes TILE very considerable for value investing!
1. Profitability
1.1 Basic Checks
In the past year TILE was profitable.
TILE had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: TILE reported negative net income in multiple years.
TILE had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 7.89%, TILE is in the better half of the industry, outperforming 78.57% of the companies in the same industry.
TILE's Return On Equity of 19.55% is amongst the best of the industry. TILE outperforms 85.71% of its industry peers.
TILE has a better Return On Invested Capital (9.51%) than 76.19% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TILE is below the industry average of 10.07%.
The 3 year average ROIC (6.23%) for TILE is below the current ROIC(9.51%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.89% | ||
| ROE | 19.55% | ||
| ROIC | 9.51% |
ROA(3y)3.08%
ROA(5y)1.86%
ROE(3y)10.27%
ROE(5y)6.06%
ROIC(3y)6.23%
ROIC(5y)6.25%
1.3 Margins
TILE has a Profit Margin of 6.15%. This is in the better half of the industry: TILE outperforms 75.00% of its industry peers.
In the last couple of years the Profit Margin of TILE has declined.
With a decent Operating Margin value of 10.30%, TILE is doing good in the industry, outperforming 73.81% of the companies in the same industry.
TILE's Operating Margin has been stable in the last couple of years.
With a decent Gross Margin value of 37.24%, TILE is doing good in the industry, outperforming 61.90% of the companies in the same industry.
In the last couple of years the Gross Margin of TILE has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.3% | ||
| PM (TTM) | 6.15% | ||
| GM | 37.24% |
OM growth 3Y-4.52%
OM growth 5Y-0.31%
PM growth 3YN/A
PM growth 5Y-3.96%
GM growth 3Y-2.15%
GM growth 5Y-0.83%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TILE is still creating some value.
There is no outstanding debt for TILE. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
TILE has an Altman-Z score of 3.38. This indicates that TILE is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.38, TILE is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
TILE has a debt to FCF ratio of 3.17. This is a good value and a sign of high solvency as TILE would need 3.17 years to pay back of all of its debts.
TILE has a Debt to FCF ratio of 3.17. This is in the better half of the industry: TILE outperforms 75.00% of its industry peers.
TILE has a Debt/Equity ratio of 0.67. This is a neutral value indicating TILE is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.67, TILE is in line with its industry, outperforming 46.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 3.17 | ||
| Altman-Z | 3.38 |
ROIC/WACC1.31
WACC7.28%
2.3 Liquidity
A Current Ratio of 2.57 indicates that TILE has no problem at all paying its short term obligations.
TILE has a better Current ratio (2.57) than 79.76% of its industry peers.
A Quick Ratio of 1.38 indicates that TILE should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.38, TILE is in line with its industry, outperforming 58.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.57 | ||
| Quick Ratio | 1.38 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 44.55% over the past year.
Measured over the past years, TILE shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.57% on average per year.
EPS 1Y (TTM)44.55%
EPS 3Y5.88%
EPS 5Y-1.57%
EPS Q2Q%-17.07%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%3.04%
3.2 Future
TILE is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.94% yearly.
TILE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.75% yearly.
EPS Next Y5.26%
EPS Next 2Y9.94%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year2.23%
Revenue Next 2Y3.75%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS 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
The Price/Earnings ratio is 12.51, which indicates a correct valuation of TILE.
84.52% of the companies in the same industry are more expensive than TILE, based on the Price/Earnings ratio.
TILE's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.35.
With a Price/Forward Earnings ratio of 11.88, the valuation of TILE can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TILE indicates a rather cheap valuation: TILE is cheaper than 86.90% of the companies listed in the same industry.
TILE's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.10.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.51 | ||
| Fwd PE | 11.88 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TILE is valued cheaply inside the industry as 86.90% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, TILE is valued cheaply inside the industry as 82.14% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.75 | ||
| EV/EBITDA | 6.22 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of TILE may justify a higher PE ratio.
PEG (NY)2.38
PEG (5Y)N/A
EPS Next 2Y9.94%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a yearly dividend of 0.21%, TILE is not a good candidate for dividend investing.
In the last 3 months the price of TILE has falen by -31.15%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 2.36, TILE pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.21, TILE pays less dividend than the S&P500 average, which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.21% |
5.2 History
The dividend of TILE decreases each year by -21.84%.
TILE has been paying a dividend for at least 10 years, so it has a reliable track record.
TILE has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-21.84%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
TILE pays out 2.42% of its income as dividend. This is a sustainable payout ratio.
DP2.42%
EPS Next 2Y9.94%
EPS Next 3YN/A
18.26
-0.07 (-0.38%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners99.11%
Inst Owner Change3.7%
Ins Owners1.86%
Ins Owner Change-3.04%
Market Cap1.06B
Analysts85
Price Target31.96 (75.03%)
Short Float %4.85%
Short Ratio5.21
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.21% |
Yearly Dividend0.04
Dividend Growth(5Y)-21.84%
DP2.42%
Div Incr Years0
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)37.74%
Min EPS beat(2)37.07%
Max EPS beat(2)38.41%
EPS beat(4)4
Avg EPS beat(4)60.58%
Min EPS beat(4)37.07%
Max EPS beat(4)92.08%
EPS beat(8)7
Avg EPS beat(8)31.75%
EPS beat(12)11
Avg EPS beat(12)33.61%
EPS beat(16)15
Avg EPS beat(16)44.67%
Revenue beat(2)1
Avg Revenue beat(2)0.1%
Min Revenue beat(2)-0.13%
Max Revenue beat(2)0.33%
Revenue beat(4)1
Avg Revenue beat(4)-0.27%
Min Revenue beat(4)-0.95%
Max Revenue beat(4)0.33%
Revenue beat(8)1
Avg Revenue beat(8)-1.95%
Revenue beat(12)2
Avg Revenue beat(12)-1.89%
Revenue beat(16)2
Avg Revenue beat(16)-1.93%
PT rev (1m)0%
PT rev (3m)13.41%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.51 | ||
| Fwd PE | 11.88 | ||
| P/S | 0.67 | ||
| P/FCF | 9.75 | ||
| P/OCF | 7.7 | ||
| P/B | 2.12 | ||
| P/tB | 3.11 | ||
| EV/EBITDA | 6.22 |
EPS(TTM)1.46
EY8%
EPS(NY)1.54
Fwd EY8.42%
FCF(TTM)1.87
FCFY10.26%
OCF(TTM)2.37
OCFY12.98%
SpS27.37
BVpS8.6
TBVpS5.87
PEG (NY)2.38
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.89% | ||
| ROE | 19.55% | ||
| ROCE | 16.32% | ||
| ROIC | 9.51% | ||
| ROICexc | 10.74% | ||
| ROICexgc | 13.08% | ||
| OM | 10.3% | ||
| PM (TTM) | 6.15% | ||
| GM | 37.24% | ||
| FCFM | 6.84% |
ROA(3y)3.08%
ROA(5y)1.86%
ROE(3y)10.27%
ROE(5y)6.06%
ROIC(3y)6.23%
ROIC(5y)6.25%
ROICexc(3y)7.16%
ROICexc(5y)7.03%
ROICexgc(3y)9.01%
ROICexgc(5y)9.27%
ROCE(3y)10.69%
ROCE(5y)10.74%
ROICexcg growth 3Y0.42%
ROICexcg growth 5Y-2.05%
ROICexc growth 3Y3.56%
ROICexc growth 5Y2.66%
OM growth 3Y-4.52%
OM growth 5Y-0.31%
PM growth 3YN/A
PM growth 5Y-3.96%
GM growth 3Y-2.15%
GM growth 5Y-0.83%
F-Score7
Asset Turnover1.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 3.17 | ||
| Debt/EBITDA | 1.6 | ||
| Cap/Depr | 65.08% | ||
| Cap/Sales | 1.82% | ||
| Interest Coverage | 6.61 | ||
| Cash Conversion | 66.15% | ||
| Profit Quality | 111.35% | ||
| Current Ratio | 2.57 | ||
| Quick Ratio | 1.38 | ||
| Altman-Z | 3.38 |
F-Score7
WACC7.28%
ROIC/WACC1.31
Cap/Depr(3y)50.53%
Cap/Depr(5y)84.16%
Cap/Sales(3y)1.94%
Cap/Sales(5y)3.42%
Profit Quality(3y)166.2%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)44.55%
EPS 3Y5.88%
EPS 5Y-1.57%
EPS Q2Q%-17.07%
EPS Next Y5.26%
EPS Next 2Y9.94%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%3.04%
Revenue Next Year2.23%
Revenue Next 2Y3.75%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y84.89%
EBIT growth 3Y-0.16%
EBIT growth 5Y1.04%
EBIT Next Year76.58%
EBIT Next 3Y27.72%
EBIT Next 5YN/A
FCF growth 1Y708.93%
FCF growth 3Y27.3%
FCF growth 5Y25.73%
OCF growth 1Y268.59%
OCF growth 3Y6.05%
OCF growth 5Y9.12%