TIM SA-ADR (TIMB) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TIMB - US88706T1088 - ADR
20.39 USD
-0.57 (-2.72%)
20.39 USD
0 (0%)
TIMB gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 22 industry peers in the Wireless Telecommunication Services industry. While TIMB has a great profitability rating, there are some minor concerns on its financial health. TIMB is valued quite cheap, while showing a decent growth score. This is a good combination! This makes TIMB very considerable for value investing!
1. Profitability
1.1 Basic Checks
- In the past year TIMB was profitable.
- In the past year TIMB had a positive cash flow from operations.
- In the past 5 years TIMB has always been profitable.
- In the past 5 years TIMB always reported a positive cash flow from operatings.
1.2 Ratios
- With a decent Return On Assets value of 6.37%, TIMB is doing good in the industry, outperforming 77.27% of the companies in the same industry.
- The Return On Equity of TIMB (14.43%) is better than 68.18% of its industry peers.
- TIMB has a Return On Invested Capital of 12.64%. This is amongst the best in the industry. TIMB outperforms 95.45% of its industry peers.
- TIMB had an Average Return On Invested Capital over the past 3 years of 9.42%. This is above the industry average of 6.24%.
- The 3 year average ROIC (9.42%) for TIMB is below the current ROIC(12.64%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.37% | ||
| ROE | 14.43% | ||
| ROIC | 12.64% |
ROA(3y)4.57%
ROA(5y)4.81%
ROE(3y)9.81%
ROE(5y)9.83%
ROIC(3y)9.42%
ROIC(5y)8.71%
1.3 Margins
- Looking at the Profit Margin, with a value of 13.92%, TIMB belongs to the top of the industry, outperforming 86.36% of the companies in the same industry.
- TIMB's Profit Margin has declined in the last couple of years.
- TIMB has a better Operating Margin (23.20%) than 86.36% of its industry peers.
- TIMB's Operating Margin has declined in the last couple of years.
- The Gross Margin of TIMB (42.37%) is worse than 72.73% of its industry peers.
- In the last couple of years the Gross Margin of TIMB has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.2% | ||
| PM (TTM) | 13.92% | ||
| GM | 42.37% |
OM growth 3Y8.45%
OM growth 5Y-3.12%
PM growth 3Y-8.87%
PM growth 5Y-11.02%
GM growth 3Y1.92%
GM growth 5Y-5.95%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TIMB is destroying value.
- TIMB has about the same amout of shares outstanding than it did 1 year ago.
- Compared to 5 years ago, TIMB has about the same amount of shares outstanding.
- Compared to 1 year ago, TIMB has an improved debt to assets ratio.
2.2 Solvency
- TIMB has an Altman-Z score of 2.05. This is not the best score and indicates that TIMB is in the grey zone with still only limited risk for bankruptcy at the moment.
- TIMB has a better Altman-Z score (2.05) than 81.82% of its industry peers.
- TIMB has a debt to FCF ratio of 1.84. This is a very positive value and a sign of high solvency as it would only need 1.84 years to pay back of all of its debts.
- TIMB has a Debt to FCF ratio of 1.84. This is amongst the best in the industry. TIMB outperforms 95.45% of its industry peers.
- TIMB has a Debt/Equity ratio of 0.54. This is a neutral value indicating TIMB is somewhat dependend on debt financing.
- With a Debt to Equity ratio value of 0.54, TIMB perfoms like the industry average, outperforming 59.09% of the companies in the same industry.
- Although TIMB does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | 1.84 | ||
| Altman-Z | 2.05 |
ROIC/WACC0.89
WACC14.25%
2.3 Liquidity
- A Current Ratio of 0.91 indicates that TIMB may have some problems paying its short term obligations.
- TIMB has a Current ratio (0.91) which is in line with its industry peers.
- TIMB has a Quick Ratio of 0.91. This is a bad value and indicates that TIMB is not financially healthy enough and could expect problems in meeting its short term obligations.
- TIMB has a Quick ratio of 0.88. This is comparable to the rest of the industry: TIMB outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.88 |
3. Growth
3.1 Past
- TIMB shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 27.48%, which is quite impressive.
- Measured over the past years, TIMB shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.47% on average per year.
- Looking at the last year, TIMB shows a small growth in Revenue. The Revenue has grown by 6.77% in the last year.
- TIMB shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.93% yearly.
EPS 1Y (TTM)27.48%
EPS 3Y2.08%
EPS 5Y10.47%
EPS Q2Q%56.25%
Revenue 1Y (TTM)6.77%
Revenue growth 3Y12.11%
Revenue growth 5Y7.93%
Sales Q2Q%4.55%
3.2 Future
- TIMB is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.28% yearly.
- Based on estimates for the next years, TIMB will show a small growth in Revenue. The Revenue will grow by 4.55% on average per year.
EPS Next Y30.88%
EPS Next 2Y21.43%
EPS Next 3Y19.58%
EPS Next 5Y12.28%
Revenue Next Year5.07%
Revenue Next 2Y5.09%
Revenue Next 3Y5.07%
Revenue Next 5Y4.55%
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 stable.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 12.99, the valuation of TIMB can be described as correct.
- 86.36% of the companies in the same industry are more expensive than TIMB, based on the Price/Earnings ratio.
- The average S&P500 Price/Earnings ratio is at 27.30. TIMB is valued rather cheaply when compared to this.
- With a Price/Forward Earnings ratio of 11.35, the valuation of TIMB can be described as very reasonable.
- The rest of the industry has a similar Price/Forward Earnings ratio as TIMB.
- TIMB's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.04.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.99 | ||
| Fwd PE | 11.35 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, TIMB is valued a bit cheaper than the industry average as 77.27% of the companies are valued more expensively.
- TIMB's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. TIMB is cheaper than 77.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.96 | ||
| EV/EBITDA | 4.66 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The decent profitability rating of TIMB may justify a higher PE ratio.
- A more expensive valuation may be justified as TIMB's earnings are expected to grow with 19.58% in the coming years.
PEG (NY)0.42
PEG (5Y)1.24
EPS Next 2Y21.43%
EPS Next 3Y19.58%
5. Dividend
5.1 Amount
- TIMB has a Yearly Dividend Yield of 10.25%, which is a nice return.
- Compared to an average industry Dividend Yield of 5.49, TIMB pays a better dividend. On top of this TIMB pays more dividend than 95.45% of the companies listed in the same industry.
- TIMB's Dividend Yield is rather good when compared to the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.25% |
5.2 History
- On average, the dividend of TIMB grows each year by 23.74%, which is quite nice.
- TIMB has been paying a dividend for at least 10 years, so it has a reliable track record.
- The dividend of TIMB decreased recently.
Dividend Growth(5Y)23.74%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- 84.80% of the earnings are spent on dividend by TIMB. This is not a sustainable payout ratio.
- TIMB's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP84.8%
EPS Next 2Y21.43%
EPS Next 3Y19.58%
20.39
-0.57 (-2.72%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)11-03 2025-11-03/amc
Earnings (Next)02-09 2026-02-09/amc
Inst Owners16.17%
Inst Owner Change0%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap9.78B
Revenue(TTM)25.45B
Net Income(TTM)3.63B
Analysts73
Price Target21.43 (5.1%)
Short Float %1.16%
Short Ratio4.92
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.25% |
Yearly Dividend1.05
Dividend Growth(5Y)23.74%
DP84.8%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.44%
Min EPS beat(2)6.4%
Max EPS beat(2)10.48%
EPS beat(4)2
Avg EPS beat(4)3.07%
Min EPS beat(4)-3.93%
Max EPS beat(4)10.48%
EPS beat(8)4
Avg EPS beat(8)5.73%
EPS beat(12)7
Avg EPS beat(12)9.74%
EPS beat(16)10
Avg EPS beat(16)17.92%
Revenue beat(2)0
Avg Revenue beat(2)-2.95%
Min Revenue beat(2)-3.3%
Max Revenue beat(2)-2.61%
Revenue beat(4)0
Avg Revenue beat(4)-2.64%
Min Revenue beat(4)-3.3%
Max Revenue beat(4)-2.31%
Revenue beat(8)0
Avg Revenue beat(8)-2.21%
Revenue beat(12)0
Avg Revenue beat(12)-2.46%
Revenue beat(16)2
Avg Revenue beat(16)-2.02%
PT rev (1m)-7.02%
PT rev (3m)-2.88%
EPS NQ rev (1m)0%
EPS NQ rev (3m)11.16%
EPS NY rev (1m)1.35%
EPS NY rev (3m)5.78%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.19%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)-0.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.99 | ||
| Fwd PE | 11.35 | ||
| P/S | 2.02 | ||
| P/FCF | 5.96 | ||
| P/OCF | 3.91 | ||
| P/B | 2.1 | ||
| P/tB | 5.02 | ||
| EV/EBITDA | 4.66 |
EPS(TTM)1.57
EY7.7%
EPS(NY)1.8
Fwd EY8.81%
FCF(TTM)3.42
FCFY16.78%
OCF(TTM)5.22
OCFY25.58%
SpS10.09
BVpS9.73
TBVpS4.06
PEG (NY)0.42
PEG (5Y)1.24
Graham Number18.54
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.37% | ||
| ROE | 14.43% | ||
| ROCE | 14.35% | ||
| ROIC | 12.64% | ||
| ROICexc | 14.53% | ||
| ROICexgc | 24.2% | ||
| OM | 23.2% | ||
| PM (TTM) | 13.92% | ||
| GM | 42.37% | ||
| FCFM | 33.92% |
ROA(3y)4.57%
ROA(5y)4.81%
ROE(3y)9.81%
ROE(5y)9.83%
ROIC(3y)9.42%
ROIC(5y)8.71%
ROICexc(3y)10.73%
ROICexc(5y)10.24%
ROICexgc(3y)18.18%
ROICexgc(5y)16.65%
ROCE(3y)10.7%
ROCE(5y)9.89%
ROICexgc growth 3Y13.81%
ROICexgc growth 5Y1.09%
ROICexc growth 3Y11.82%
ROICexc growth 5Y-1.05%
OM growth 3Y8.45%
OM growth 5Y-3.12%
PM growth 3Y-8.87%
PM growth 5Y-11.02%
GM growth 3Y1.92%
GM growth 5Y-5.95%
F-Score8
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | 1.84 | ||
| Debt/EBITDA | 1.05 | ||
| Cap/Depr | 65.81% | ||
| Cap/Sales | 17.78% | ||
| Interest Coverage | 3.66 | ||
| Cash Conversion | 102.95% | ||
| Profit Quality | 243.64% | ||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.88 | ||
| Altman-Z | 2.05 |
F-Score8
WACC14.25%
ROIC/WACC0.89
Cap/Depr(3y)66.4%
Cap/Depr(5y)72.49%
Cap/Sales(3y)19.76%
Cap/Sales(5y)22.21%
Profit Quality(3y)267.59%
Profit Quality(5y)244.86%
High Growth Momentum
Growth
EPS 1Y (TTM)27.48%
EPS 3Y2.08%
EPS 5Y10.47%
EPS Q2Q%56.25%
EPS Next Y30.88%
EPS Next 2Y21.43%
EPS Next 3Y19.58%
EPS Next 5Y12.28%
Revenue 1Y (TTM)6.77%
Revenue growth 3Y12.11%
Revenue growth 5Y7.93%
Sales Q2Q%4.55%
Revenue Next Year5.07%
Revenue Next 2Y5.09%
Revenue Next 3Y5.07%
Revenue Next 5Y4.55%
EBIT growth 1Y13.02%
EBIT growth 3Y21.58%
EBIT growth 5Y4.56%
EBIT Next Year144.66%
EBIT Next 3Y40.43%
EBIT Next 5Y23.91%
FCF growth 1Y36.02%
FCF growth 3Y16.85%
FCF growth 5Y17.75%
OCF growth 1Y21.73%
OCF growth 3Y6.96%
OCF growth 5Y11.26%
TIM SA-ADR / TIMB FAQ
Can you provide the ChartMill fundamental rating for TIM SA-ADR?
ChartMill assigns a fundamental rating of 6 / 10 to TIMB.
What is the valuation status for TIMB stock?
ChartMill assigns a valuation rating of 7 / 10 to TIM SA-ADR (TIMB). This can be considered as Undervalued.
How profitable is TIM SA-ADR (TIMB) stock?
TIM SA-ADR (TIMB) has a profitability rating of 7 / 10.
What are the PE and PB ratios of TIM SA-ADR (TIMB) stock?
The Price/Earnings (PE) ratio for TIM SA-ADR (TIMB) is 12.99 and the Price/Book (PB) ratio is 2.1.
Can you provide the dividend sustainability for TIMB stock?
The dividend rating of TIM SA-ADR (TIMB) is 6 / 10 and the dividend payout ratio is 84.8%.