TAYLOR MORRISON HOME CORP (TMHC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TMHC - US87724P1066 - Common Stock
62.69 USD
-0.68 (-1.07%)
62.69 USD
0 (0%)
TMHC gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 61 industry peers in the Household Durables industry. TMHC has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. 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.
TMHC had a positive operating cash flow in the past year.
Each year in the past 5 years TMHC has been profitable.
TMHC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 8.84%, TMHC is doing good in the industry, outperforming 78.69% of the companies in the same industry.
TMHC has a Return On Equity of 13.76%. This is in the better half of the industry: TMHC outperforms 67.21% of its industry peers.
The Return On Invested Capital of TMHC (10.86%) is better than 70.49% of its industry peers.
TMHC had an Average Return On Invested Capital over the past 3 years of 12.32%. This is above the industry average of 9.75%.
| 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
TMHC has a Profit Margin of 10.16%. This is amongst the best in the industry. TMHC outperforms 83.61% of its industry peers.
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 88.52% of the companies in the same industry.
In the last couple of years the Operating Margin of TMHC has grown nicely.
With a Gross Margin value of 23.91%, TMHC perfoms like the industry average, outperforming 44.26% of the companies in the same industry.
In the last couple of years the Gross Margin of TMHC has grown nicely.
| 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), TMHC is creating some value.
Compared to 1 year ago, TMHC has less shares outstanding
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
An Altman-Z score of 3.82 indicates that TMHC is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 3.82, TMHC is doing good in the industry, outperforming 60.66% of the companies in the same industry.
TMHC has a debt to FCF ratio of 3.84. This is a good value and a sign of high solvency as TMHC would need 3.84 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.84, TMHC is in the better half of the industry, outperforming 60.66% 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.
TMHC has a Debt to Equity ratio (0.35) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 3.84 | ||
| Altman-Z | 3.82 |
ROIC/WACC1.32
WACC8.22%
2.3 Liquidity
TMHC has a Current Ratio of 6.43. This indicates that TMHC is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of TMHC (6.43) is better than 80.33% of its industry peers.
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 worse Quick ratio (0.58) than 67.21% 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.
Measured over the past years, TMHC shows a very strong growth in Earnings Per Share. The EPS has been growing by 23.42% on average per year.
Looking at the last year, TMHC shows a small growth in Revenue. The Revenue has grown by 6.98% in the last year.
TMHC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.39% yearly.
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
Based on estimates for the next years, TMHC will show a small growth in Earnings Per Share. The EPS will grow by 1.45% on average per year.
The Revenue is expected to decrease by -0.61% on average over the next years.
EPS Next Y-5.17%
EPS Next 2Y-9.3%
EPS Next 3Y1.45%
EPS Next 5YN/A
Revenue Next Year0.89%
Revenue Next 2Y-4.68%
Revenue Next 3Y-0.61%
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 decreasing.
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 7.55, the valuation of TMHC can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of TMHC indicates a rather cheap valuation: TMHC is cheaper than 85.25% of the companies listed in the same industry.
TMHC is valuated cheaply when we compare the Price/Earnings ratio to 26.31, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 9.08 indicates a reasonable valuation of TMHC.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TMHC indicates a rather cheap valuation: TMHC is cheaper than 83.61% of the companies listed in the same industry.
TMHC's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.59.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.55 | ||
| Fwd PE | 9.08 |
4.2 Price Multiples
77.05% of the companies in the same industry are more expensive than TMHC, based on the Enterprise Value to EBITDA ratio.
81.97% 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 | 10.75 | ||
| EV/EBITDA | 6.33 |
4.3 Compensation for Growth
TMHC has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.32
EPS Next 2Y-9.3%
EPS Next 3Y1.45%
5. Dividend
5.1 Amount
TMHC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
62.69
-0.68 (-1.07%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners100.58%
Inst Owner Change-0.67%
Ins Owners0.47%
Ins Owner Change-7.45%
Market Cap6.13B
Revenue(TTM)8.38B
Net Income(TTM)850.94M
Analysts82.5
Price Target74.93 (19.52%)
Short Float %4.49%
Short Ratio3.69
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)0%
PT rev (3m)-3.05%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-13.92%
EPS NY rev (1m)-3.36%
EPS NY rev (3m)-3.36%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.57%
Revenue NY rev (1m)-0.65%
Revenue NY rev (3m)-0.24%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.55 | ||
| Fwd PE | 9.08 | ||
| P/S | 0.73 | ||
| P/FCF | 10.75 | ||
| P/OCF | 10.06 | ||
| P/B | 0.99 | ||
| P/tB | 1.11 | ||
| EV/EBITDA | 6.33 |
EPS(TTM)8.3
EY13.24%
EPS(NY)6.9
Fwd EY11.01%
FCF(TTM)5.83
FCFY9.3%
OCF(TTM)6.23
OCFY9.94%
SpS85.73
BVpS63.28
TBVpS56.49
PEG (NY)N/A
PEG (5Y)0.32
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 | 3.82 |
F-Score7
WACC8.22%
ROIC/WACC1.32
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-9.3%
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 Year0.89%
Revenue Next 2Y-4.68%
Revenue Next 3Y-0.61%
Revenue Next 5YN/A
EBIT growth 1Y4.7%
EBIT growth 3Y11.97%
EBIT growth 5Y29.02%
EBIT Next Year18.65%
EBIT Next 3Y4.41%
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 of TAYLOR MORRISON HOME CORP (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 valuation of TAYLOR MORRISON HOME CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for TAYLOR MORRISON HOME CORP (TMHC) is 7.55 and the Price/Book (PB) ratio is 0.99.
What is the financial health of TAYLOR MORRISON HOME CORP (TMHC) stock?
The financial health rating of TAYLOR MORRISON HOME CORP (TMHC) is 7 / 10.