TAYLOR MORRISON HOME CORP (TMHC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TMHC - US87724P1066 - Common Stock
64.91 USD
-0.44 (-0.67%)
64.91 USD
0 (0%)
TMHC gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 60 industry peers in the Household Durables industry. TMHC has an excellent profitability rating, but there are some minor concerns on its financial health. TMHC is valued quite cheap, while showing a decent growth score. This is a good combination! These ratings would make TMHC suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year TMHC was profitable.
In the past year TMHC had a positive cash flow from operations.
In the past 5 years TMHC has always been profitable.
TMHC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TMHC has a better Return On Assets (8.84%) than 78.33% of its industry peers.
With a decent Return On Equity value of 13.76%, TMHC is doing good in the industry, outperforming 65.00% of the companies in the same industry.
With a decent Return On Invested Capital value of 10.86%, TMHC is doing good in the industry, outperforming 68.33% of the companies in the same industry.
TMHC had an Average Return On Invested Capital over the past 3 years of 12.32%. This is above the industry average of 9.73%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.84% | ||
| ROE | 13.76% | ||
| ROIC | 10.86% |
ROA(3y)10.27%
ROA(5y)8.31%
ROE(3y)17.42%
ROE(5y)15.22%
ROIC(3y)12.32%
ROIC(5y)10.17%
1.3 Margins
Looking at the Profit Margin, with a value of 10.16%, TMHC belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
In the last couple of years the Profit Margin of TMHC has grown nicely.
Looking at the Operating Margin, with a value of 14.53%, TMHC belongs to the top of the industry, outperforming 88.33% of the companies in the same industry.
In the last couple of years the Operating Margin of TMHC has grown nicely.
TMHC has a Gross Margin (23.91%) which is comparable to the rest of the industry.
TMHC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.53% | ||
| PM (TTM) | 10.16% | ||
| GM | 23.91% |
OM growth 3Y8.83%
OM growth 5Y15.82%
PM growth 3Y6.96%
PM growth 5Y15.12%
GM growth 3Y5.68%
GM growth 5Y6.83%
2. Health
2.1 Basic Checks
TMHC has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
TMHC has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, TMHC has less shares outstanding
Compared to 1 year ago, TMHC has an improved debt to assets ratio.
2.2 Solvency
TMHC has an Altman-Z score of 3.87. This indicates that TMHC is financially healthy and has little risk of bankruptcy at the moment.
TMHC has a Altman-Z score of 3.87. This is comparable to the rest of the industry: TMHC outperforms 60.00% of its industry peers.
The Debt to FCF ratio of TMHC is 3.84, which is a good value as it means it would take TMHC, 3.84 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.84, TMHC is in line with its industry, outperforming 58.33% of the companies in the same industry.
TMHC has a Debt/Equity ratio of 0.35. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.35, TMHC perfoms like the industry average, outperforming 46.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 3.84 | ||
| Altman-Z | 3.87 |
ROIC/WACC1.24
WACC8.77%
2.3 Liquidity
A Current Ratio of 6.43 indicates that TMHC has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 6.43, TMHC is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
TMHC has a Quick Ratio of 6.43. This is a bad value and indicates that TMHC is not financially healthy enough and could expect problems in meeting its short term obligations.
TMHC has a Quick ratio of 0.58. This is in the lower half of the industry: TMHC underperforms 68.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 6.43 | ||
| Quick Ratio | 0.58 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 8.21% over the past year.
The Earnings Per Share has been growing by 23.42% on average over the past years. This is a very strong growth
TMHC shows a small growth in Revenue. In the last year, the Revenue has grown by 6.98%.
The Revenue has been growing by 11.39% on average over the past years. This is quite good.
EPS 1Y (TTM)8.21%
EPS 3Y17.06%
EPS 5Y23.42%
EPS Q2Q%-15.19%
Revenue 1Y (TTM)6.98%
Revenue growth 3Y2.88%
Revenue growth 5Y11.39%
Sales Q2Q%-1.39%
3.2 Future
TMHC is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.45% yearly.
Based on estimates for the next years, TMHC will show a decrease in Revenue. The Revenue will decrease by -0.53% on average per year.
EPS Next Y-5.17%
EPS Next 2Y-9.44%
EPS Next 3Y1.45%
EPS Next 5YN/A
Revenue Next Year0.78%
Revenue Next 2Y-4.7%
Revenue Next 3Y-0.53%
Revenue Next 5YN/A
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
With a Price/Earnings ratio of 7.82, the valuation of TMHC can be described as very cheap.
TMHC's Price/Earnings ratio is rather cheap when compared to the industry. TMHC is cheaper than 88.33% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.25. TMHC is valued rather cheaply when compared to this.
TMHC is valuated reasonably with a Price/Forward Earnings ratio of 9.43.
TMHC's Price/Forward Earnings ratio is rather cheap when compared to the industry. TMHC is cheaper than 90.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.98. TMHC is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.82 | ||
| Fwd PE | 9.43 |
4.2 Price Multiples
TMHC's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. TMHC is cheaper than 80.00% of the companies in the same industry.
81.67% of the companies in the same industry are more expensive than TMHC, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.13 | ||
| EV/EBITDA | 6.53 |
4.3 Compensation for Growth
TMHC has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.33
EPS Next 2Y-9.44%
EPS Next 3Y1.45%
5. Dividend
5.1 Amount
TMHC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
64.91
-0.44 (-0.67%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners100.87%
Inst Owner Change0.72%
Ins Owners0.49%
Ins Owner Change-7.45%
Market Cap6.34B
Revenue(TTM)8.38B
Net Income(TTM)850.94M
Analysts82.5
Price Target75.87 (16.88%)
Short Float %5.54%
Short Ratio4.78
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)-0.92%
Min EPS beat(2)-2.85%
Max EPS beat(2)1.01%
EPS beat(4)2
Avg EPS beat(4)0.19%
Min EPS beat(4)-5.59%
Max EPS beat(4)8.2%
EPS beat(8)5
Avg EPS beat(8)1.44%
EPS beat(12)7
Avg EPS beat(12)4.86%
EPS beat(16)11
Avg EPS beat(16)6.37%
Revenue beat(2)1
Avg Revenue beat(2)1.09%
Min Revenue beat(2)-2.35%
Max Revenue beat(2)4.54%
Revenue beat(4)3
Avg Revenue beat(4)1.14%
Min Revenue beat(4)-2.35%
Max Revenue beat(4)4.54%
Revenue beat(8)6
Avg Revenue beat(8)1.28%
Revenue beat(12)10
Avg Revenue beat(12)3.22%
Revenue beat(16)12
Avg Revenue beat(16)2.2%
PT rev (1m)1.26%
PT rev (3m)-2.31%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-13.8%
EPS NY rev (1m)0%
EPS NY rev (3m)-3.36%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.57%
Revenue NY rev (1m)0.16%
Revenue NY rev (3m)-0.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.82 | ||
| Fwd PE | 9.43 | ||
| P/S | 0.76 | ||
| P/FCF | 11.13 | ||
| P/OCF | 10.41 | ||
| P/B | 1.03 | ||
| P/tB | 1.15 | ||
| EV/EBITDA | 6.53 |
EPS(TTM)8.3
EY12.79%
EPS(NY)6.88
Fwd EY10.6%
FCF(TTM)5.83
FCFY8.98%
OCF(TTM)6.23
OCFY9.6%
SpS85.73
BVpS63.28
TBVpS56.49
PEG (NY)N/A
PEG (5Y)0.33
Graham Number108.71
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.84% | ||
| ROE | 13.76% | ||
| ROCE | 14.26% | ||
| ROIC | 10.86% | ||
| ROICexc | 11.36% | ||
| ROICexgc | 12.36% | ||
| OM | 14.53% | ||
| PM (TTM) | 10.16% | ||
| GM | 23.91% | ||
| FCFM | 6.8% |
ROA(3y)10.27%
ROA(5y)8.31%
ROE(3y)17.42%
ROE(5y)15.22%
ROIC(3y)12.32%
ROIC(5y)10.17%
ROICexc(3y)13.54%
ROICexc(5y)11.21%
ROICexgc(3y)15.61%
ROICexgc(5y)12.91%
ROCE(3y)16.18%
ROCE(5y)13.35%
ROICexgc growth 3Y6.33%
ROICexgc growth 5Y16.78%
ROICexc growth 3Y6.48%
ROICexc growth 5Y14.62%
OM growth 3Y8.83%
OM growth 5Y15.82%
PM growth 3Y6.96%
PM growth 5Y15.12%
GM growth 3Y5.68%
GM growth 5Y6.83%
F-Score7
Asset Turnover0.87
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 3.84 | ||
| Debt/EBITDA | 1.74 | ||
| Cap/Depr | 100.08% | ||
| Cap/Sales | 0.47% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 48.49% | ||
| Profit Quality | 66.97% | ||
| Current Ratio | 6.43 | ||
| Quick Ratio | 0.58 | ||
| Altman-Z | 3.87 |
F-Score7
WACC8.77%
ROIC/WACC1.24
Cap/Depr(3y)92.93%
Cap/Depr(5y)86.63%
Cap/Sales(3y)0.42%
Cap/Sales(5y)0.43%
Profit Quality(3y)74.16%
Profit Quality(5y)144.41%
High Growth Momentum
Growth
EPS 1Y (TTM)8.21%
EPS 3Y17.06%
EPS 5Y23.42%
EPS Q2Q%-15.19%
EPS Next Y-5.17%
EPS Next 2Y-9.44%
EPS Next 3Y1.45%
EPS Next 5YN/A
Revenue 1Y (TTM)6.98%
Revenue growth 3Y2.88%
Revenue growth 5Y11.39%
Sales Q2Q%-1.39%
Revenue Next Year0.78%
Revenue Next 2Y-4.7%
Revenue Next 3Y-0.53%
Revenue Next 5YN/A
EBIT growth 1Y4.7%
EBIT growth 3Y11.97%
EBIT growth 5Y29.02%
EBIT Next Year18.94%
EBIT Next 3Y2.89%
EBIT Next 5YN/A
FCF growth 1Y-50.16%
FCF growth 3Y-21.22%
FCF growth 5Y-13.71%
OCF growth 1Y-49.17%
OCF growth 3Y-17.68%
OCF growth 5Y-11.78%
TAYLOR MORRISON HOME CORP / TMHC FAQ
What is the ChartMill fundamental rating of TAYLOR MORRISON HOME CORP (TMHC) stock?
ChartMill assigns a fundamental rating of 6 / 10 to TMHC.
What is the valuation status for TMHC stock?
ChartMill assigns a valuation rating of 8 / 10 to TAYLOR MORRISON HOME CORP (TMHC). This can be considered as Undervalued.
How profitable is TAYLOR MORRISON HOME CORP (TMHC) stock?
TAYLOR MORRISON HOME CORP (TMHC) has a profitability rating of 8 / 10.
What is the earnings growth outlook for TAYLOR MORRISON HOME CORP?
The Earnings per Share (EPS) of TAYLOR MORRISON HOME CORP (TMHC) is expected to decline by -5.17% in the next year.