TEEKAY TANKERS LTD-CLASS A (TNK) Stock Fundamental Analysis
NYSE:TNK - New York Stock Exchange, Inc. - BMG8726X1065 - Common Stock - Currency: USD
We assign a fundamental rating of 7 out of 10 to TNK. TNK was compared to 211 industry peers in the Oil, Gas & Consumable Fuels industry. Both the health and profitability get an excellent rating, making TNK a very profitable company, without any liquidiy or solvency issues. TNK is valued quite cheap, but it does not seem to be growing. This makes TNK very considerable for value investing!
1. Profitability
1.1 Basic Checks
TNK had positive earnings in the past year.
In the past year TNK had a positive cash flow from operations.
TNK had positive earnings in 4 of the past 5 years.
Of the past 5 years TNK 4 years had a positive operating cash flow.
1.2 Ratios
TNK has a better Return On Assets (22.04%) than 93.63% of its industry peers.
With an excellent Return On Equity value of 24.20%, TNK belongs to the best of the industry, outperforming 81.37% of the companies in the same industry.
TNK has a better Return On Invested Capital (17.01%) than 86.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 22.04% | ||
| ROE | 24.2% | ||
| ROIC | 17.01% |
ROA(3y)8.43%
ROA(5y)6.38%
ROE(3y)8.72%
ROE(5y)7.69%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of TNK (35.44%) is better than 86.27% of its industry peers.
In the last couple of years the Profit Margin of TNK has grown nicely.
TNK has a better Operating Margin (32.79%) than 68.63% of its industry peers.
TNK's Operating Margin has improved in the last couple of years.
The Gross Margin of TNK (44.82%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of TNK has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 32.79% | ||
| PM (TTM) | 35.44% | ||
| GM | 44.82% |
OM growth 3Y17.23%
OM growth 5Y105.4%
PM growth 3Y56.36%
PM growth 5YN/A
GM growth 3Y5.71%
GM growth 5Y18.03%
2. Health
2.1 Basic Checks
TNK has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for TNK has been increased compared to 1 year ago.
TNK has less shares outstanding than it did 5 years ago.
The debt/assets ratio for TNK has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 6.82 indicates that TNK is not in any danger for bankruptcy at the moment.
TNK's Altman-Z score of 6.82 is amongst the best of the industry. TNK outperforms 93.14% of its industry peers.
TNK has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.82 |
ROIC/WACC1.98
WACC8.57%
2.3 Liquidity
A Current Ratio of 6.80 indicates that TNK has no problem at all paying its short term obligations.
TNK's Current ratio of 6.80 is amongst the best of the industry. TNK outperforms 90.20% of its industry peers.
TNK has a Quick Ratio of 6.35. This indicates that TNK is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 6.35, TNK belongs to the best of the industry, outperforming 90.69% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 6.8 | ||
| Quick Ratio | 6.35 |
3. Growth
3.1 Past
TNK shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -27.11%.
Measured over the past years, TNK shows a very strong growth in Earnings Per Share. The EPS has been growing by 47.81% on average per year.
Looking at the last year, TNK shows a very negative growth in Revenue. The Revenue has decreased by -16.00% in the last year.
The Revenue has been growing by 11.93% on average over the past years. This is quite good.
EPS 1Y (TTM)-27.11%
EPS 3Y47.81%
EPS 5YN/A
EPS Q2Q%-17.86%
Revenue 1Y (TTM)-16%
Revenue growth 3Y15.46%
Revenue growth 5Y11.93%
Sales Q2Q%-14.9%
3.2 Future
TNK is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 2.42% yearly.
The Revenue is expected to decrease by -2.25% on average over the next years.
EPS Next Y-23.86%
EPS Next 2Y-15.01%
EPS Next 3Y-16.54%
EPS Next 5Y2.42%
Revenue Next Year22.13%
Revenue Next 2Y-5.45%
Revenue Next 3Y-10.33%
Revenue Next 5Y-2.25%
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.
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
Based on the Price/Earnings ratio of 3.44, the valuation of TNK can be described as very cheap.
TNK's Price/Earnings ratio is rather cheap when compared to the industry. TNK is cheaper than 95.59% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 30.30, TNK is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 3.81, the valuation of TNK can be described as very cheap.
Based on the Price/Forward Earnings ratio, TNK is valued cheaply inside the industry as 95.59% of the companies are valued more expensively.
TNK is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.06, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.44 | ||
| Fwd PE | 3.81 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TNK is valued cheaper than 96.57% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, TNK is valued cheaply inside the industry as 93.14% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.16 | ||
| EV/EBITDA | 1.9 |
4.3 Compensation for Growth
The decent profitability rating of TNK may justify a higher PE ratio.
TNK's earnings are expected to decrease with -16.54% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-15.01%
EPS Next 3Y-16.54%
5. Dividend
5.1 Amount
TNK has a Yearly Dividend Yield of 2.45%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.74, TNK has a dividend in line with its industry peers.
TNK's Dividend Yield is comparable with the S&P500 average which is at 2.29.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.45% |
5.2 History
On average, the dividend of TNK grows each year by 31.71%, which is quite nice.
TNK has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of TNK decreased recently.
Dividend Growth(5Y)31.71%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
24.33% of the earnings are spent on dividend by TNK. This is a low number and sustainable payout ratio.
The dividend of TNK is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP24.33%
EPS Next 2Y-15.01%
EPS Next 3Y-16.54%
40.3
-0.35 (-0.86%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst OwnersN/A
Inst Owner Change-99.78%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap1.38B
Analysts81.82
Price Target64.6 (60.3%)
Short Float %2.1%
Short Ratio1.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.45% |
Yearly Dividend1.75
Dividend Growth(5Y)31.71%
DP24.33%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-4.11%
Min EPS beat(2)-9.19%
Max EPS beat(2)0.97%
EPS beat(4)2
Avg EPS beat(4)-5.69%
Min EPS beat(4)-17.06%
Max EPS beat(4)2.53%
EPS beat(8)5
Avg EPS beat(8)3.61%
EPS beat(12)8
Avg EPS beat(12)7.7%
EPS beat(16)10
Avg EPS beat(16)5.3%
Revenue beat(2)2
Avg Revenue beat(2)29.1%
Min Revenue beat(2)18.31%
Max Revenue beat(2)39.89%
Revenue beat(4)4
Avg Revenue beat(4)35.34%
Min Revenue beat(4)18.31%
Max Revenue beat(4)51.2%
Revenue beat(8)7
Avg Revenue beat(8)35.16%
Revenue beat(12)11
Avg Revenue beat(12)67.37%
Revenue beat(16)15
Avg Revenue beat(16)71.27%
PT rev (1m)-1.55%
PT rev (3m)-18.98%
EPS NQ rev (1m)-30.62%
EPS NQ rev (3m)-33.11%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.76%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-7.15%
Revenue NY rev (1m)12.24%
Revenue NY rev (3m)7.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.44 | ||
| Fwd PE | 3.81 | ||
| P/S | 1.16 | ||
| P/FCF | 3.16 | ||
| P/OCF | 2.68 | ||
| P/B | 0.79 | ||
| P/tB | 0.79 | ||
| EV/EBITDA | 1.9 |
EPS(TTM)11.72
EY29.08%
EPS(NY)10.59
Fwd EY26.28%
FCF(TTM)12.75
FCFY31.65%
OCF(TTM)15.06
OCFY37.38%
SpS34.74
BVpS50.87
TBVpS50.79
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 22.04% | ||
| ROE | 24.2% | ||
| ROCE | 21.53% | ||
| ROIC | 17.01% | ||
| ROICexc | 22.83% | ||
| ROICexgc | 22.87% | ||
| OM | 32.79% | ||
| PM (TTM) | 35.44% | ||
| GM | 44.82% | ||
| FCFM | 36.71% |
ROA(3y)8.43%
ROA(5y)6.38%
ROE(3y)8.72%
ROE(5y)7.69%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y41.24%
ROICexcg growth 5Y145.31%
ROICexc growth 3Y41.26%
ROICexc growth 5Y145.71%
OM growth 3Y17.23%
OM growth 5Y105.4%
PM growth 3Y56.36%
PM growth 5YN/A
GM growth 3Y5.71%
GM growth 5Y18.03%
F-Score5
Asset Turnover0.62
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 84.55% | ||
| Cap/Sales | 6.65% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 106.64% | ||
| Profit Quality | 103.6% | ||
| Current Ratio | 6.8 | ||
| Quick Ratio | 6.35 | ||
| Altman-Z | 6.82 |
F-Score5
WACC8.57%
ROIC/WACC1.98
Cap/Depr(3y)15.42%
Cap/Depr(5y)13.85%
Cap/Sales(3y)2.05%
Cap/Sales(5y)1.84%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-27.11%
EPS 3Y47.81%
EPS 5YN/A
EPS Q2Q%-17.86%
EPS Next Y-23.86%
EPS Next 2Y-15.01%
EPS Next 3Y-16.54%
EPS Next 5Y2.42%
Revenue 1Y (TTM)-16%
Revenue growth 3Y15.46%
Revenue growth 5Y11.93%
Sales Q2Q%-14.9%
Revenue Next Year22.13%
Revenue Next 2Y-5.45%
Revenue Next 3Y-10.33%
Revenue Next 5Y-2.25%
EBIT growth 1Y-32.62%
EBIT growth 3Y35.36%
EBIT growth 5Y129.91%
EBIT Next Year-19.54%
EBIT Next 3Y-13.37%
EBIT Next 5Y3.49%
FCF growth 1Y8568.81%
FCF growth 3Y22.88%
FCF growth 5YN/A
OCF growth 1Y2162.66%
OCF growth 3Y21.63%
OCF growth 5YN/A