TRAVEL + LEISURE CO (TNL) Stock Fundamental Analysis
USA - NYSE:TNL - US8941641024 - Common Stock
63.04 USD
-0.72 (-1.13%)
63.04 USD
0 (0%)
Overall TNL gets a fundamental rating of 6 out of 10. We evaluated TNL against 132 industry peers in the Hotels, Restaurants & Leisure industry. TNL has only an average score on both its financial health and profitability. TNL may be a bit undervalued, certainly considering the very reasonable score on growth TNL also has an excellent dividend rating. With these ratings, TNL could be worth investigating further for value and dividend investing!.
1. Profitability
1.1 Basic Checks
In the past year TNL was profitable.
TNL had a positive operating cash flow in the past year.
TNL had positive earnings in 4 of the past 5 years.
TNL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 5.96%, TNL is doing good in the industry, outperforming 73.48% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 10.73%, TNL is in the better half of the industry, outperforming 74.24% of the companies in the same industry.
TNL had an Average Return On Invested Capital over the past 3 years of 10.16%. This is in line with the industry average of 10.74%.
The last Return On Invested Capital (10.73%) for TNL is above the 3 year average (10.16%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.96% | ||
| ROE | N/A | ||
| ROIC | 10.73% |
ROA(3y)5.75%
ROA(5y)3.72%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)10.16%
ROIC(5y)8.06%
1.3 Margins
The Profit Margin of TNL (10.36%) is better than 75.76% of its industry peers.
In the last couple of years the Profit Margin of TNL has declined.
With a decent Operating Margin value of 19.84%, TNL is doing good in the industry, outperforming 78.79% of the companies in the same industry.
TNL's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 49.51%, TNL is in line with its industry, outperforming 56.06% of the companies in the same industry.
In the last couple of years the Gross Margin of TNL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.84% | ||
| PM (TTM) | 10.36% | ||
| GM | 49.51% |
OM growth 3Y-0.33%
OM growth 5Y-0.94%
PM growth 3Y2.67%
PM growth 5Y-3.24%
GM growth 3Y-0.05%
GM growth 5Y-1.2%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TNL is still creating some value.
The number of shares outstanding for TNL has been reduced compared to 1 year ago.
Compared to 5 years ago, TNL has less shares outstanding
TNL has a better debt/assets ratio than last year.
2.2 Solvency
TNL has an Altman-Z score of 2.38. This is not the best score and indicates that TNL is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of TNL (2.38) is better than 67.42% of its industry peers.
The Debt to FCF ratio of TNL is 11.05, which is on the high side as it means it would take TNL, 11.05 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 11.05, TNL is in line with its industry, outperforming 54.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 11.05 | ||
| Altman-Z | 2.38 |
ROIC/WACC1.54
WACC6.95%
2.3 Liquidity
TNL has a Current Ratio of 3.79. This indicates that TNL is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 3.79, TNL belongs to the best of the industry, outperforming 94.70% of the companies in the same industry.
A Quick Ratio of 2.76 indicates that TNL has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 2.76, TNL belongs to the top of the industry, outperforming 94.70% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.79 | ||
| Quick Ratio | 2.76 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 3.97% over the past year.
The Earnings Per Share has been growing slightly by 0.53% on average over the past years.
TNL shows a small growth in Revenue. In the last year, the Revenue has grown by 3.58%.
TNL shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.90% yearly.
EPS 1Y (TTM)3.97%
EPS 3Y16.56%
EPS 5Y0.53%
EPS Q2Q%14.65%
Revenue 1Y (TTM)3.58%
Revenue growth 3Y7.23%
Revenue growth 5Y-0.9%
Sales Q2Q%5.14%
3.2 Future
The Earnings Per Share is expected to grow by 14.61% on average over the next years. This is quite good.
Based on estimates for the next years, TNL will show a small growth in Revenue. The Revenue will grow by 4.14% on average per year.
EPS Next Y10.54%
EPS Next 2Y11.94%
EPS Next 3Y14.61%
EPS Next 5YN/A
Revenue Next Year3.83%
Revenue Next 2Y4.24%
Revenue Next 3Y4.14%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 10.04, the valuation of TNL can be described as very reasonable.
Based on the Price/Earnings ratio, TNL is valued cheaply inside the industry as 90.15% of the companies are valued more expensively.
TNL is valuated cheaply when we compare the Price/Earnings ratio to 25.89, which is the current average of the S&P500 Index.
TNL is valuated reasonably with a Price/Forward Earnings ratio of 8.70.
Based on the Price/Forward Earnings ratio, TNL is valued cheaper than 90.15% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.59, TNL is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.04 | ||
| Fwd PE | 8.7 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TNL is valued a bit cheaper than 61.36% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, TNL is valued cheaper than 92.42% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.1 | ||
| EV/EBITDA | 10.44 |
4.3 Compensation for Growth
TNL's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
TNL has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as TNL's earnings are expected to grow with 14.61% in the coming years.
PEG (NY)0.95
PEG (5Y)19.04
EPS Next 2Y11.94%
EPS Next 3Y14.61%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.51%, TNL has a reasonable but not impressive dividend return.
TNL's Dividend Yield is rather good when compared to the industry average which is at 4.57. TNL pays more dividend than 88.64% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.36, TNL pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.51% |
5.2 History
The dividend of TNL has a limited annual growth rate of 2.47%.
TNL has paid a dividend for at least 10 years, which is a reliable track record.
TNL has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)2.47%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
36.01% of the earnings are spent on dividend by TNL. This is a low number and sustainable payout ratio.
TNL's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP36.01%
EPS Next 2Y11.94%
EPS Next 3Y14.61%
63.04
-0.72 (-1.13%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners96.17%
Inst Owner Change0.2%
Ins Owners5.07%
Ins Owner Change-8.73%
Market Cap4.09B
Revenue(TTM)3.97B
Net Income(TTM)411.00M
Analysts81.33
Price Target75.76 (20.18%)
Short Float %4.48%
Short Ratio4.13
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.51% |
Yearly Dividend2.05
Dividend Growth(5Y)2.47%
DP36.01%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.08%
Min EPS beat(2)-0.39%
Max EPS beat(2)2.54%
EPS beat(4)2
Avg EPS beat(4)0.78%
Min EPS beat(4)-0.46%
Max EPS beat(4)2.54%
EPS beat(8)6
Avg EPS beat(8)8.57%
EPS beat(12)9
Avg EPS beat(12)7.55%
EPS beat(16)11
Avg EPS beat(16)6.97%
Revenue beat(2)0
Avg Revenue beat(2)-0.1%
Min Revenue beat(2)-0.1%
Max Revenue beat(2)-0.1%
Revenue beat(4)1
Avg Revenue beat(4)-0.14%
Min Revenue beat(4)-0.85%
Max Revenue beat(4)0.5%
Revenue beat(8)2
Avg Revenue beat(8)-0.78%
Revenue beat(12)4
Avg Revenue beat(12)-0.47%
Revenue beat(16)6
Avg Revenue beat(16)0.35%
PT rev (1m)10.11%
PT rev (3m)11.41%
EPS NQ rev (1m)-1.74%
EPS NQ rev (3m)-0.96%
EPS NY rev (1m)0.29%
EPS NY rev (3m)1.75%
Revenue NQ rev (1m)0.3%
Revenue NQ rev (3m)0.5%
Revenue NY rev (1m)0.35%
Revenue NY rev (3m)0.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.04 | ||
| Fwd PE | 8.7 | ||
| P/S | 1.03 | ||
| P/FCF | 8.1 | ||
| P/OCF | 6.67 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.44 |
EPS(TTM)6.28
EY9.96%
EPS(NY)7.24
Fwd EY11.49%
FCF(TTM)7.78
FCFY12.34%
OCF(TTM)9.46
OCFY15%
SpS61.11
BVpS-12.65
TBVpS-30.75
PEG (NY)0.95
PEG (5Y)19.04
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.96% | ||
| ROE | N/A | ||
| ROCE | 13.91% | ||
| ROIC | 10.73% | ||
| ROICexc | 11.2% | ||
| ROICexgc | 14.31% | ||
| OM | 19.84% | ||
| PM (TTM) | 10.36% | ||
| GM | 49.51% | ||
| FCFM | 12.73% |
ROA(3y)5.75%
ROA(5y)3.72%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)10.16%
ROIC(5y)8.06%
ROICexc(3y)10.81%
ROICexc(5y)8.62%
ROICexgc(3y)13.95%
ROICexgc(5y)11.16%
ROCE(3y)13.17%
ROCE(5y)10.44%
ROICexgc growth 3Y3.54%
ROICexgc growth 5Y0.01%
ROICexc growth 3Y4.33%
ROICexc growth 5Y-0.6%
OM growth 3Y-0.33%
OM growth 5Y-0.94%
PM growth 3Y2.67%
PM growth 5Y-3.24%
GM growth 3Y-0.05%
GM growth 5Y-1.2%
F-Score7
Asset Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 11.05 | ||
| Debt/EBITDA | 6.14 | ||
| Cap/Depr | 90.08% | ||
| Cap/Sales | 2.75% | ||
| Interest Coverage | 3.38 | ||
| Cash Conversion | 67.62% | ||
| Profit Quality | 122.87% | ||
| Current Ratio | 3.79 | ||
| Quick Ratio | 2.76 | ||
| Altman-Z | 2.38 |
F-Score7
WACC6.95%
ROIC/WACC1.54
Cap/Depr(3y)75.17%
Cap/Depr(5y)71.21%
Cap/Sales(3y)2.29%
Cap/Sales(5y)2.62%
Profit Quality(3y)86.45%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)3.97%
EPS 3Y16.56%
EPS 5Y0.53%
EPS Q2Q%14.65%
EPS Next Y10.54%
EPS Next 2Y11.94%
EPS Next 3Y14.61%
EPS Next 5YN/A
Revenue 1Y (TTM)3.58%
Revenue growth 3Y7.23%
Revenue growth 5Y-0.9%
Sales Q2Q%5.14%
Revenue Next Year3.83%
Revenue Next 2Y4.24%
Revenue Next 3Y4.14%
Revenue Next 5YN/A
EBIT growth 1Y4.93%
EBIT growth 3Y6.88%
EBIT growth 5Y-1.84%
EBIT Next Year29.23%
EBIT Next 3Y12.69%
EBIT Next 5YN/A
FCF growth 1Y63.43%
FCF growth 3Y-10.57%
FCF growth 5Y-0.29%
OCF growth 1Y64.61%
OCF growth 3Y-6.52%
OCF growth 5Y0.53%
TRAVEL + LEISURE CO / TNL FAQ
What is the ChartMill fundamental rating of TRAVEL + LEISURE CO (TNL) stock?
ChartMill assigns a fundamental rating of 6 / 10 to TNL.
What is the valuation status of TRAVEL + LEISURE CO (TNL) stock?
ChartMill assigns a valuation rating of 8 / 10 to TRAVEL + LEISURE CO (TNL). This can be considered as Undervalued.
Can you provide the profitability details for TRAVEL + LEISURE CO?
TRAVEL + LEISURE CO (TNL) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for TNL stock?
The Price/Earnings (PE) ratio for TRAVEL + LEISURE CO (TNL) is 10.04 and the Price/Book (PB) ratio is -4.98.
How financially healthy is TRAVEL + LEISURE CO?
The financial health rating of TRAVEL + LEISURE CO (TNL) is 6 / 10.