INTERFACE INC (TILE)
US4586653044 - Common Stock
We assign a fundamental rating of 6 out of 10 to TILE. TILE was compared to 84 industry peers in the Commercial Services & Supplies industry. While TILE has a great health rating, its profitability is only average at the moment. TILE has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
TILE had positive earnings in the past year.
TILE had a positive operating cash flow in the past year.
Of the past 5 years TILE 4 years were profitable.
Each year in the past 5 years TILE had a positive operating cash flow.
1.2 Ratios
The Return On Assets of TILE (7.89%) is better than 77.38% of its industry peers.
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 Return On Invested Capital of 9.51%. This is in the better half of the industry: TILE outperforms 76.19% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TILE is below the industry average of 9.90%.
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's Profit Margin of 6.15% is fine compared to the rest of the industry. TILE outperforms 73.81% 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 71.43% of the companies in the same industry.
TILE's Operating Margin has been stable in the last couple of years.
TILE has a Gross Margin of 37.24%. This is in the better half of the industry: TILE outperforms 64.29% of its industry peers.
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), TILE is creating some value.
Compared to 1 year ago, TILE has about the same amount of shares outstanding.
Compared to 5 years ago, TILE has less shares outstanding
Compared to 1 year ago, TILE has an improved debt to assets ratio.
2.2 Solvency
TILE has an Altman-Z score of 3.71. This indicates that TILE is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of TILE (3.71) is better than 72.62% of its industry peers.
The Debt to FCF ratio of TILE is 3.17, which is a good value as it means it would take TILE, 3.17 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of TILE (3.17) is better than 72.62% of its industry peers.
A Debt/Equity ratio of 0.67 indicates that TILE is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.67, TILE perfoms like the industry average, outperforming 44.05% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 3.17 | ||
| Altman-Z | 3.71 |
ROIC/WACC1.23
WACC7.7%
2.3 Liquidity
A Current Ratio of 2.57 indicates that TILE has no problem at all paying its short term obligations.
With a decent Current ratio value of 2.57, TILE is doing good in the industry, outperforming 78.57% of the companies in the same industry.
A Quick Ratio of 1.38 indicates that TILE should not have too much problems paying its short term obligations.
The Quick ratio of TILE (1.38) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.57 | ||
| Quick Ratio | 1.38 |
3. Growth
3.1 Past
TILE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 68.13%, which is quite impressive.
The Earnings Per Share has been decreasing by -7.48% on average over the past years.
The Revenue has grown by 25.43% in the past year. This is a very strong growth!
Measured over the past years, TILE shows a small growth in Revenue. The Revenue has been growing by 1.35% on average per year.
EPS 1Y (TTM)68.13%
EPS 3Y-0.97%
EPS 5Y-7.48%
EPS Q2Q%71.43%
Revenue 1Y (TTM)25.43%
Revenue growth 3Y4.57%
Revenue growth 5Y1.35%
Sales Q2Q%10.7%
3.2 Future
Based on estimates for the next years, TILE will show a very strong growth in Earnings Per Share. The EPS will grow by 20.44% on average per year.
The Revenue is expected to grow by 4.54% on average over the next years.
EPS Next Y38.69%
EPS Next 2Y22.67%
EPS Next 3Y20.44%
EPS Next 5YN/A
Revenue Next Year4.75%
Revenue Next 2Y4.31%
Revenue Next 3Y4.54%
Revenue Next 5YN/A
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 accelerating.
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
TILE is valuated correctly with a Price/Earnings ratio of 16.48.
TILE's Price/Earnings ratio is a bit cheaper when compared to the industry. TILE is cheaper than 77.38% of the companies in the same industry.
When comparing the Price/Earnings ratio of TILE to the average of the S&P500 Index (28.96), we can say TILE is valued slightly cheaper.
A Price/Forward Earnings ratio of 16.59 indicates a correct valuation of TILE.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TILE indicates a somewhat cheap valuation: TILE is cheaper than 79.76% of the companies listed in the same industry.
TILE 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 | 16.48 | ||
| Fwd PE | 16.59 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TILE indicates a somewhat cheap valuation: TILE is cheaper than 79.76% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, TILE is valued a bit cheaper than 73.81% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.46 | ||
| EV/EBITDA | 8.21 |
4.3 Compensation for Growth
TILE's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
TILE has a very decent profitability rating, which may justify a higher PE ratio.
TILE's earnings are expected to grow with 20.44% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.43
PEG (5Y)N/A
EPS Next 2Y22.67%
EPS Next 3Y20.44%
5. Dividend
5.1 Amount
With a yearly dividend of 0.16%, TILE is not a good candidate for dividend investing.
TILE's Dividend Yield is a higher than the industry average which is at 2.10.
Compared to an average S&P500 Dividend Yield of 2.23, TILE's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.16% |
5.2 History
The dividend of TILE decreases each year by -21.84%.
TILE has paid a dividend for at least 10 years, which is a reliable track record.
TILE has decreased its dividend in the last 3 years.
Dividend Growth(5Y)-21.84%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
TILE pays out 2.42% of its income as dividend. This is a sustainable payout ratio.
DP2.42%
EPS Next 2Y22.67%
EPS Next 3Y20.44%
INTERFACE INC
NASDAQ:TILE (11/21/2024, 8:00:01 PM)
After market: 25.21 0 (0%)25.21
-0.26 (-1.02%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.47B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.16% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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EPS beat(16)
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Revenue beat(2)
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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 | 16.48 | ||
| Fwd PE | 16.59 | ||
| 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)0.43
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.89% | ||
| ROE | 19.55% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 10.3% | ||
| PM (TTM) | 6.15% | ||
| GM | 37.24% | ||
| 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 Turnover1.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.57 | ||
| Quick Ratio | 1.38 | ||
| 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)68.13%
EPS 3Y-0.97%
EPS 5Y
EPS Q2Q%
EPS Next Y38.69%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)25.43%
Revenue growth 3Y4.57%
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