129.23 USD
-0.15 (-0.12%)
129.23 USD
0 (0%)
Overall TRI gets a fundamental rating of 5 out of 10. We evaluated TRI against 86 industry peers in the Professional Services industry. TRI scores excellent on profitability, but there are some minor concerns on its financial health. While showing a medium growth rate, TRI is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year TRI was profitable.
In the past year TRI had a positive cash flow from operations.
Each year in the past 5 years TRI has been profitable.
TRI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TRI's Return On Assets of 9.82% is fine compared to the rest of the industry. TRI outperforms 79.07% of its industry peers.
Looking at the Return On Equity, with a value of 14.91%, TRI is in the better half of the industry, outperforming 66.28% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 11.73%, TRI is in the better half of the industry, outperforming 75.58% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for TRI is below the industry average of 11.86%.
The 3 year average ROIC (9.36%) for TRI is below the current ROIC(11.73%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.82% | ||
| ROE | 14.91% | ||
| ROIC | 11.73% |
ROA(3y)10.84%
ROA(5y)12.89%
ROE(3y)17.97%
ROE(5y)21.25%
ROIC(3y)9.36%
ROIC(5y)7.9%
1.3 Margins
The Profit Margin of TRI (23.77%) is better than 93.02% of its industry peers.
TRI's Profit Margin has improved in the last couple of years.
TRI has a Operating Margin of 29.45%. This is amongst the best in the industry. TRI outperforms 96.51% of its industry peers.
In the last couple of years the Operating Margin of TRI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.45% | ||
| PM (TTM) | 23.77% | ||
| GM | N/A |
OM growth 3Y14.62%
OM growth 5Y14.34%
PM growth 3Y-30.27%
PM growth 5Y2.82%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
TRI has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
TRI has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, TRI has less shares outstanding
The debt/assets ratio for TRI has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 7.11 indicates that TRI is not in any danger for bankruptcy at the moment.
TRI has a Altman-Z score of 7.11. This is amongst the best in the industry. TRI outperforms 90.70% of its industry peers.
The Debt to FCF ratio of TRI is 1.33, which is an excellent value as it means it would take TRI, only 1.33 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 1.33, TRI is doing good in the industry, outperforming 76.74% of the companies in the same industry.
A Debt/Equity ratio of 0.16 indicates that TRI is not too dependend on debt financing.
The Debt to Equity ratio of TRI (0.16) is better than 65.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.33 | ||
| Altman-Z | 7.11 |
ROIC/WACC1.54
WACC7.61%
2.3 Liquidity
A Current Ratio of 0.61 indicates that TRI may have some problems paying its short term obligations.
The Current ratio of TRI (0.61) is worse than 88.37% of its industry peers.
TRI has a Quick Ratio of 0.61. This is a bad value and indicates that TRI is not financially healthy enough and could expect problems in meeting its short term obligations.
TRI's Quick ratio of 0.61 is on the low side compared to the rest of the industry. TRI is outperformed by 87.21% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 2.94% over the past year.
Measured over the past years, TRI shows a very strong growth in Earnings Per Share. The EPS has been growing by 23.02% on average per year.
The Revenue has been growing slightly by 2.96% in the past year.
Measured over the past years, TRI shows a small growth in Revenue. The Revenue has been growing by 4.21% on average per year.
EPS 1Y (TTM)2.94%
EPS 3Y23.06%
EPS 5Y23.02%
EPS Q2Q%6.25%
Revenue 1Y (TTM)2.96%
Revenue growth 3Y4.57%
Revenue growth 5Y4.21%
Sales Q2Q%3.36%
3.2 Future
Based on estimates for the next years, TRI will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.21% on average per year.
Based on estimates for the next years, TRI will show a small growth in Revenue. The Revenue will grow by 7.25% on average per year.
EPS Next Y4.36%
EPS Next 2Y9.33%
EPS Next 3Y10.66%
EPS Next 5Y10.21%
Revenue Next Year2.96%
Revenue Next 2Y5.32%
Revenue Next 3Y6.35%
Revenue Next 5Y7.25%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 33.57, the valuation of TRI can be described as expensive.
The rest of the industry has a similar Price/Earnings ratio as TRI.
The average S&P500 Price/Earnings ratio is at 27.19. TRI is valued slightly more expensive when compared to this.
A Price/Forward Earnings ratio of 28.68 indicates a quite expensive valuation of TRI.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TRI indicates a slightly more expensive valuation: TRI is more expensive than 60.47% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of TRI to the average of the S&P500 Index (23.88), we can say TRI is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.57 | ||
| Fwd PE | 28.68 |
4.2 Price Multiples
TRI's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as TRI.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.55 | ||
| EV/EBITDA | 19.21 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
TRI has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)7.7
PEG (5Y)1.46
EPS Next 2Y9.33%
EPS Next 3Y10.66%
5. Dividend
5.1 Amount
TRI has a Yearly Dividend Yield of 1.62%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.54, TRI pays a bit more dividend than its industry peers.
TRI's Dividend Yield is comparable with the S&P500 average which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.62% |
5.2 History
On average, the dividend of TRI grows each year by 8.41%, which is quite nice.
TRI has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)8.41%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
TRI pays out 58.13% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of TRI is growing, but earnings are growing more, so the dividend growth is sustainable.
DP58.13%
EPS Next 2Y9.33%
EPS Next 3Y10.66%
129.23
-0.15 (-0.12%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners26.35%
Inst Owner Change0%
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap57.49B
Revenue(TTM)7.38B
Net Income(TTM)1.75B
Analysts76
Price Target134.3 (3.92%)
Short Float %5.05%
Short Ratio6.11
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.62% |
Yearly Dividend2.1
Dividend Growth(5Y)8.41%
DP58.13%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.61%
Min EPS beat(2)1.96%
Max EPS beat(2)5.25%
EPS beat(4)4
Avg EPS beat(4)4.37%
Min EPS beat(4)1.96%
Max EPS beat(4)6.03%
EPS beat(8)8
Avg EPS beat(8)6.04%
EPS beat(12)12
Avg EPS beat(12)6.89%
EPS beat(16)15
Avg EPS beat(16)6.69%
Revenue beat(2)0
Avg Revenue beat(2)-1.08%
Min Revenue beat(2)-1.33%
Max Revenue beat(2)-0.83%
Revenue beat(4)0
Avg Revenue beat(4)-1.44%
Min Revenue beat(4)-2.71%
Max Revenue beat(4)-0.83%
Revenue beat(8)1
Avg Revenue beat(8)-1.06%
Revenue beat(12)1
Avg Revenue beat(12)-1.12%
Revenue beat(16)2
Avg Revenue beat(16)-0.97%
PT rev (1m)1.12%
PT rev (3m)-3.23%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.57%
EPS NY rev (1m)0%
EPS NY rev (3m)0.08%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.08%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)-0.15%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.57 | ||
| Fwd PE | 28.68 | ||
| P/S | 7.79 | ||
| P/FCF | 31.55 | ||
| P/OCF | 23.38 | ||
| P/B | 4.89 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.21 |
EPS(TTM)3.85
EY2.98%
EPS(NY)4.51
Fwd EY3.49%
FCF(TTM)4.1
FCFY3.17%
OCF(TTM)5.53
OCFY4.28%
SpS16.58
BVpS26.44
TBVpS-2.15
PEG (NY)7.7
PEG (5Y)1.46
Graham Number47.86
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.82% | ||
| ROE | 14.91% | ||
| ROCE | 15.2% | ||
| ROIC | 11.73% | ||
| ROICexc | 12.21% | ||
| ROICexgc | 127.52% | ||
| OM | 29.45% | ||
| PM (TTM) | 23.77% | ||
| GM | N/A | ||
| FCFM | 24.7% |
ROA(3y)10.84%
ROA(5y)12.89%
ROE(3y)17.97%
ROE(5y)21.25%
ROIC(3y)9.36%
ROIC(5y)7.9%
ROICexc(3y)10.43%
ROICexc(5y)8.83%
ROICexgc(3y)71.36%
ROICexgc(5y)52.66%
ROCE(3y)12.07%
ROCE(5y)10.13%
ROICexgc growth 3Y134.34%
ROICexgc growth 5Y38.62%
ROICexc growth 3Y35.26%
ROICexc growth 5Y18.64%
OM growth 3Y14.62%
OM growth 5Y14.34%
PM growth 3Y-30.27%
PM growth 5Y2.82%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.33 | ||
| Debt/EBITDA | 0.6 | ||
| Cap/Depr | 70.94% | ||
| Cap/Sales | 8.64% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 80.1% | ||
| Profit Quality | 103.94% | ||
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.61 | ||
| Altman-Z | 7.11 |
F-Score6
WACC7.61%
ROIC/WACC1.54
Cap/Depr(3y)77.02%
Cap/Depr(5y)71.59%
Cap/Sales(3y)8.45%
Cap/Sales(5y)8.29%
Profit Quality(3y)83.19%
Profit Quality(5y)76.6%
High Growth Momentum
Growth
EPS 1Y (TTM)2.94%
EPS 3Y23.06%
EPS 5Y23.02%
EPS Q2Q%6.25%
EPS Next Y4.36%
EPS Next 2Y9.33%
EPS Next 3Y10.66%
EPS Next 5Y10.21%
Revenue 1Y (TTM)2.96%
Revenue growth 3Y4.57%
Revenue growth 5Y4.21%
Sales Q2Q%3.36%
Revenue Next Year2.96%
Revenue Next 2Y5.32%
Revenue Next 3Y6.35%
Revenue Next 5Y7.25%
EBIT growth 1Y12.77%
EBIT growth 3Y19.85%
EBIT growth 5Y19.16%
EBIT Next Year40.64%
EBIT Next 3Y19.57%
EBIT Next 5Y15.35%
FCF growth 1Y3.23%
FCF growth 3Y12.89%
FCF growth 5Y56.51%
OCF growth 1Y6.36%
OCF growth 3Y11.49%
OCF growth 5Y28.47%
THOMSON REUTERS CORP / TRI FAQ
What is the fundamental rating for TRI stock?
ChartMill assigns a fundamental rating of 5 / 10 to TRI.
What is the valuation status for TRI stock?
ChartMill assigns a valuation rating of 2 / 10 to THOMSON REUTERS CORP (TRI). This can be considered as Overvalued.
Can you provide the profitability details for THOMSON REUTERS CORP?
THOMSON REUTERS CORP (TRI) has a profitability rating of 7 / 10.
How financially healthy is THOMSON REUTERS CORP?
The financial health rating of THOMSON REUTERS CORP (TRI) is 6 / 10.
Is the dividend of THOMSON REUTERS CORP sustainable?
The dividend rating of THOMSON REUTERS CORP (TRI) is 5 / 10 and the dividend payout ratio is 58.13%.