TRAVEL + LEISURE CO (TNL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TNL - US8941641024 - Common Stock
71.42 USD
+0.14 (+0.2%)
71.42 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to TNL. TNL was compared to 133 industry peers in the Hotels, Restaurants & Leisure industry. TNL has only an average score on both its financial health and profitability. TNL scores decently on growth, while it is valued quite cheap. This could make an interesting combination. Finally TNL also has an excellent dividend rating. These ratings would make TNL suitable for value and dividend investing!
1. Profitability
1.1 Basic Checks
In the past year TNL was profitable.
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
TNL's Return On Assets of 5.96% is fine compared to the rest of the industry. TNL outperforms 72.18% of its industry peers.
TNL has a better Return On Invested Capital (10.73%) than 75.19% of its industry peers.
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 10.39%.
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 77.44% of its industry peers.
In the last couple of years the Profit Margin of TNL has declined.
TNL has a Operating Margin of 19.84%. This is in the better half of the industry: TNL outperforms 79.70% of its industry peers.
TNL's Operating Margin has been stable in the last couple of years.
With a Gross Margin value of 49.51%, TNL perfoms like the industry average, outperforming 56.39% 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
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.
TNL has a better debt/assets ratio than last year.
2.2 Solvency
TNL has an Altman-Z score of 2.42. 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.
TNL has a better Altman-Z score (2.42) than 66.17% 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.
TNL's Debt to FCF ratio of 11.05 is in line compared to the rest of the industry. TNL outperforms 57.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 11.05 | ||
| Altman-Z | 2.42 |
ROIC/WACC1.43
WACC7.52%
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 94.74% 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 91.73% 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.
The Earnings Per Share has been growing slightly by 0.53% on average over the past years.
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
TNL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.31% yearly.
TNL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.79% yearly.
EPS Next Y10.77%
EPS Next 2Y12.34%
EPS Next 3Y13.31%
EPS Next 5YN/A
Revenue Next Year3.78%
Revenue Next 2Y4.04%
Revenue Next 3Y3.79%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
The Price/Earnings ratio is 11.37, which indicates a very decent valuation of TNL.
Based on the Price/Earnings ratio, TNL is valued cheaply inside the industry as 88.72% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.77. TNL is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 9.79, the valuation of TNL can be described as very reasonable.
Based on the Price/Forward Earnings ratio, TNL is valued cheaply inside the industry as 89.47% 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 23.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.37 | ||
| Fwd PE | 9.79 |
4.2 Price Multiples
TNL's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. TNL is cheaper than 60.15% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, TNL is valued cheaper than 93.23% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.1 | ||
| EV/EBITDA | 10.93 |
4.3 Compensation for Growth
TNL's 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 13.31% in the coming years.
PEG (NY)1.06
PEG (5Y)21.57
EPS Next 2Y12.34%
EPS Next 3Y13.31%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.08%, 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 1.66. TNL pays more dividend than 87.97% of the companies in the same industry.
TNL's Dividend Yield is rather good when compared to the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.08% |
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 2Y12.34%
EPS Next 3Y13.31%
71.42
+0.14 (+0.2%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners98.42%
Inst Owner Change-0.99%
Ins Owners4.79%
Ins Owner Change-17.33%
Market Cap4.59B
Revenue(TTM)3.97B
Net Income(TTM)411.00M
Analysts81.25
Price Target76.42 (7%)
Short Float %5.82%
Short Ratio5.47
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.08% |
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)0.74%
PT rev (3m)11.06%
EPS NQ rev (1m)-0.15%
EPS NQ rev (3m)-2.79%
EPS NY rev (1m)0.21%
EPS NY rev (3m)0.49%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.3%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)0.3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.37 | ||
| Fwd PE | 9.79 | ||
| P/S | 1.16 | ||
| P/FCF | 9.1 | ||
| P/OCF | 7.48 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.93 |
EPS(TTM)6.28
EY8.79%
EPS(NY)7.29
Fwd EY10.21%
FCF(TTM)7.85
FCFY10.99%
OCF(TTM)9.54
OCFY13.36%
SpS61.67
BVpS-12.76
TBVpS-31.03
PEG (NY)1.06
PEG (5Y)21.57
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 | 2.42 |
F-Score7
WACC7.52%
ROIC/WACC1.43
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 Y10.77%
EPS Next 2Y12.34%
EPS Next 3Y13.31%
EPS Next 5YN/A
Revenue 1Y (TTM)3.58%
Revenue growth 3Y7.23%
Revenue growth 5Y-0.9%
Sales Q2Q%5.14%
Revenue Next Year3.78%
Revenue Next 2Y4.04%
Revenue Next 3Y3.79%
Revenue Next 5YN/A
EBIT growth 1Y4.93%
EBIT growth 3Y6.88%
EBIT growth 5Y-1.84%
EBIT Next Year30.5%
EBIT Next 3Y12.65%
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 11.37 and the Price/Book (PB) ratio is -5.6.
How financially healthy is TRAVEL + LEISURE CO?
The financial health rating of TRAVEL + LEISURE CO (TNL) is 6 / 10.