TRAVEL + LEISURE CO (TNL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TNL - US8941641024 - Common Stock
68.35 USD
+0.11 (+0.16%)
68.35 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to TNL. TNL was compared to 132 industry peers in the Hotels, Restaurants & Leisure industry. TNL has an average financial health and profitability rating. TNL is valued quite cheap, while showing a decent growth score. This is a good combination! TNL also has an excellent dividend rating. These ratings could make TNL a good candidate 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
The Return On Assets of TNL (5.96%) is better than 72.73% of its industry peers.
The Return On Invested Capital of TNL (10.73%) is better than 75.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TNL is in line with the industry average of 10.41%.
The 3 year average ROIC (10.16%) for TNL is below the current ROIC(10.73%), indicating increased profibility in the last year.
| 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
With a decent Profit Margin value of 10.36%, TNL is doing good in the industry, outperforming 75.76% of the companies in the same industry.
In the last couple of years the Profit Margin of TNL has declined.
The Operating Margin of TNL (19.84%) is better than 79.55% of its industry peers.
TNL's Operating Margin has been stable in the last couple of years.
TNL's Gross Margin of 49.51% is in line compared to the rest of the industry. TNL outperforms 56.82% of its industry peers.
TNL's Gross Margin has been stable in the last couple of years.
| 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.
Compared to 1 year ago, TNL has less shares outstanding
The number of shares outstanding for TNL has been reduced compared to 5 years ago.
The debt/assets ratio for TNL has been reduced compared to a year ago.
2.2 Solvency
TNL has an Altman-Z score of 2.41. 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.
Looking at the Altman-Z score, with a value of 2.41, TNL is in the better half of the industry, outperforming 65.91% of the companies in the same industry.
TNL has a debt to FCF ratio of 11.05. This is a negative value and a sign of low solvency as TNL would need 11.05 years to pay back of all of its debts.
TNL has a Debt to FCF ratio (11.05) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 11.05 | ||
| Altman-Z | 2.41 |
ROIC/WACC1.52
WACC7.04%
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.
TNL has a Current ratio of 3.79. This is amongst the best in the industry. TNL outperforms 94.70% of its industry peers.
A Quick Ratio of 2.76 indicates that TNL has no problem at all paying its short term obligations.
TNL's Quick ratio of 2.76 is amongst the best of the industry. TNL outperforms 93.94% of its industry peers.
| 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.
Measured over the past 5 years, TNL shows a small growth in Earnings Per Share. The EPS has been growing by 0.53% on average per year.
Looking at the last year, TNL shows a small growth in Revenue. The Revenue has grown by 3.58% in the last year.
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
TNL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.61% yearly.
The Revenue is expected to grow by 4.14% on average over the next years.
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 10.88, the valuation of TNL can be described as very reasonable.
Based on the Price/Earnings ratio, TNL is valued cheaper than 86.36% of the companies in the same industry.
TNL's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.98.
Based on the Price/Forward Earnings ratio of 9.44, the valuation of TNL can be described as reasonable.
Based on the Price/Forward Earnings ratio, TNL is valued cheaply inside the industry as 88.64% of the companies are valued more expensively.
TNL's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 35.79.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.88 | ||
| Fwd PE | 9.44 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TNL indicates a somewhat cheap valuation: TNL is cheaper than 60.61% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TNL indicates a rather cheap valuation: TNL is cheaper than 93.18% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.79 | ||
| EV/EBITDA | 10.76 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of TNL 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)1.03
PEG (5Y)20.64
EPS Next 2Y11.94%
EPS Next 3Y14.61%
5. Dividend
5.1 Amount
TNL has a Yearly Dividend Yield of 3.65%.
TNL's Dividend Yield is rather good when compared to the industry average which is at 6.40. TNL pays more dividend than 87.88% of the companies in the same industry.
TNL's Dividend Yield is rather good when compared to the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.65% |
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.
The dividend of TNL is growing, but earnings are growing more, so the dividend growth is sustainable.
DP36.01%
EPS Next 2Y11.94%
EPS Next 3Y14.61%
68.35
+0.11 (+0.16%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners96.17%
Inst Owner Change-1.01%
Ins Owners5.07%
Ins Owner Change-16.21%
Market Cap4.44B
Revenue(TTM)3.97B
Net Income(TTM)411.00M
Analysts81.33
Price Target75.85 (10.97%)
Short Float %4.18%
Short Ratio3.8
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.65% |
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)10.24%
PT rev (3m)10.24%
EPS NQ rev (1m)-1.56%
EPS NQ rev (3m)-1.02%
EPS NY rev (1m)0.48%
EPS NY rev (3m)0.39%
Revenue NQ rev (1m)0.5%
Revenue NQ rev (3m)0.5%
Revenue NY rev (1m)0.4%
Revenue NY rev (3m)0.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.88 | ||
| Fwd PE | 9.44 | ||
| P/S | 1.12 | ||
| P/FCF | 8.79 | ||
| P/OCF | 7.23 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.76 |
EPS(TTM)6.28
EY9.19%
EPS(NY)7.24
Fwd EY10.6%
FCF(TTM)7.78
FCFY11.38%
OCF(TTM)9.46
OCFY13.84%
SpS61.11
BVpS-12.65
TBVpS-30.75
PEG (NY)1.03
PEG (5Y)20.64
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 | 2.41 |
F-Score7
WACC7.04%
ROIC/WACC1.52
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 10.88 and the Price/Book (PB) ratio is -5.4.
How financially healthy is TRAVEL + LEISURE CO?
The financial health rating of TRAVEL + LEISURE CO (TNL) is 6 / 10.