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%)
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 only an average score on both its financial health and profitability. 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
TNL had positive earnings in the past year.
In the past year TNL had a positive cash flow from operations.
Of the past 5 years TNL 4 years were profitable.
Each year in the past 5 years TNL had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.96%, TNL is in the better half of 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.
The Average Return On Invested Capital over the past 3 years for TNL is in line with the industry average of 10.59%.
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
TNL's Profit Margin of 10.36% is fine compared to the rest of the industry. TNL outperforms 75.76% of its industry peers.
TNL's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 19.84%, TNL is in the better half of the industry, outperforming 78.79% of the companies in the same industry.
In the last couple of years the Operating Margin of TNL has remained more or less at the same level.
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.
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
TNL has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for TNL has been reduced compared to 1 year ago.
TNL has less shares outstanding than it did 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 2.38. 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.
With a decent Altman-Z score value of 2.38, TNL is doing good in the industry, outperforming 66.67% of the companies in the same industry.
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.
TNL has a Debt to FCF ratio (11.05) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 11.05 | ||
| Altman-Z | 2.38 |
ROIC/WACC1.53
WACC7.01%
2.3 Liquidity
A Current Ratio of 3.79 indicates that TNL has no problem at all paying its short term obligations.
TNL has a better Current ratio (3.79) than 94.70% of its industry peers.
TNL has a Quick Ratio of 2.76. This indicates that TNL is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of TNL (2.76) is better than 94.70% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.79 | ||
| Quick Ratio | 2.76 |
3. Growth
3.1 Past
TNL shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.97%.
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.
The Revenue has been growing slightly by 3.58% in the past year.
Measured over the past years, TNL shows a decrease in Revenue. The Revenue has been decreasing by -0.90% on average per year.
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.
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
Based on the Price/Earnings ratio of 10.04, the valuation of TNL can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of TNL indicates a rather cheap valuation: TNL is cheaper than 89.39% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 25.89. TNL is valued rather cheaply when compared to this.
TNL is valuated reasonably with a Price/Forward Earnings ratio of 8.70.
TNL's Price/Forward Earnings ratio is rather cheap when compared to the industry. TNL is 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
61.36% of the companies in the same industry are more expensive than TNL, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TNL indicates a rather cheap valuation: TNL is cheaper than 92.42% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.1 | ||
| EV/EBITDA | 10.39 |
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.
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)0.95
PEG (5Y)19.04
EPS Next 2Y11.94%
EPS Next 3Y14.61%
5. Dividend
5.1 Amount
TNL has a Yearly Dividend Yield of 3.51%. Purely for dividend investing, there may be better candidates out there.
TNL's Dividend Yield is rather good when compared to the industry average which is at 4.57. TNL pays more dividend than 87.88% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, 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
TNL pays out 36.01% of its income as dividend. This is a 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%
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 Change-1.02%
Ins Owners5.07%
Ins Owner Change-8.2%
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 | 10.39 |
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
WACC7.01%
ROIC/WACC1.53
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.