134.3 USD
+0.98 (+0.74%)
134.3 USD
0 (0%)
Taking everything into account, TRI scores 5 out of 10 in our fundamental rating. TRI was compared to 87 industry peers in the Professional Services industry. TRI scores excellent on profitability, but there are some minor concerns on its financial health. TRI is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
TRI had positive earnings in the past year.
In the past year TRI had a positive cash flow from operations.
In the past 5 years TRI has always been profitable.
Each year in the past 5 years TRI had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 9.82%, TRI is doing good in the industry, outperforming 79.31% of the companies in the same industry.
Looking at the Return On Equity, with a value of 14.91%, TRI is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
TRI has a better Return On Invested Capital (11.73%) than 71.26% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TRI is below the industry average of 12.17%.
The last Return On Invested Capital (11.73%) for TRI is above the 3 year average (9.36%), which is a sign of increasing profitability.
| 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 93.10% of its industry peers.
In the last couple of years the Profit Margin of TRI has grown nicely.
TRI has a Operating Margin of 29.45%. This is amongst the best in the industry. TRI outperforms 96.55% 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TRI is still creating some value.
TRI has less shares outstanding than it did 1 year ago.
The number of shares outstanding for TRI has been reduced compared to 5 years ago.
The debt/assets ratio for TRI has been reduced compared to a year ago.
2.2 Solvency
TRI has an Altman-Z score of 7.28. This indicates that TRI is financially healthy and has little risk of bankruptcy at the moment.
TRI's Altman-Z score of 7.28 is amongst the best of the industry. TRI outperforms 90.80% 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.
Looking at the Debt to FCF ratio, with a value of 1.33, TRI is in the better half of the industry, outperforming 73.56% of the companies in the same industry.
TRI has a Debt/Equity ratio of 0.16. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.16, TRI is in the better half of the industry, outperforming 62.07% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.33 | ||
| Altman-Z | 7.28 |
ROIC/WACC1.55
WACC7.58%
2.3 Liquidity
A Current Ratio of 0.61 indicates that TRI may have some problems paying its short term obligations.
TRI has a Current ratio of 0.61. This is amonst the worse of the industry: TRI underperforms 88.51% of its industry peers.
A Quick Ratio of 0.61 indicates that TRI may have some problems paying its short term obligations.
TRI has a Quick ratio of 0.61. This is amonst the worse of the industry: TRI underperforms 87.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
TRI shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 2.94%.
The Earnings Per Share has been growing by 23.92% on average over the past years. This is a very strong growth
Looking at the last year, TRI shows a small growth in Revenue. The Revenue has grown by 2.96% in the last year.
TRI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.21% yearly.
EPS 1Y (TTM)2.94%
EPS 3Y24.58%
EPS 5Y23.92%
EPS Q2Q%6.25%
Revenue 1Y (TTM)2.96%
Revenue growth 3Y4.57%
Revenue growth 5Y4.21%
Sales Q2Q%3.36%
3.2 Future
TRI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.21% yearly.
The Revenue is expected to grow by 7.25% on average over the next years.
EPS Next Y4.05%
EPS Next 2Y8.58%
EPS Next 3Y10.11%
EPS Next 5Y10.21%
Revenue Next Year3.11%
Revenue Next 2Y5.41%
Revenue Next 3Y6.33%
Revenue Next 5Y7.25%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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
With a Price/Earnings ratio of 34.88, TRI can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of TRI is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 26.15, TRI is valued a bit more expensive.
A Price/Forward Earnings ratio of 30.22 indicates a quite expensive valuation of TRI.
Based on the Price/Forward Earnings ratio, TRI is valued a bit more expensive than the industry average as 60.92% of the companies are valued more cheaply.
TRI's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 36.22.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.88 | ||
| Fwd PE | 30.22 |
4.2 Price Multiples
TRI's Enterprise Value to EBITDA is on the same level as the industry average.
TRI's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.79 | ||
| EV/EBITDA | 19.78 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TRI does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of TRI may justify a higher PE ratio.
PEG (NY)8.61
PEG (5Y)1.46
EPS Next 2Y8.58%
EPS Next 3Y10.11%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.55%, TRI has a reasonable but not impressive dividend return.
The stock price of TRI dropped by -23.10% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 4.07, TRI pays a bit more dividend than its industry peers.
TRI's Dividend Yield is slightly below the S&P500 average, which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.55% |
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.
TRI's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP58.13%
EPS Next 2Y8.58%
EPS Next 3Y10.11%
134.3
+0.98 (+0.74%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners27.54%
Inst Owner Change-0.72%
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap59.74B
Revenue(TTM)7.38B
Net Income(TTM)1.75B
Analysts74
Price Target132.81 (-1.11%)
Short Float %4.44%
Short Ratio4.66
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.55% |
Yearly Dividend2.1
Dividend Growth(5Y)8.41%
DP58.13%
Div Incr Years0
Div Non Decr Years0
Ex-Date
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)-4.3%
PT rev (3m)-4%
EPS NQ rev (1m)-0.65%
EPS NQ rev (3m)-0.57%
EPS NY rev (1m)-0.22%
EPS NY rev (3m)0.09%
Revenue NQ rev (1m)-1.08%
Revenue NQ rev (3m)-1.08%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.88 | ||
| Fwd PE | 30.22 | ||
| P/S | 8.1 | ||
| P/FCF | 32.79 | ||
| P/OCF | 24.3 | ||
| P/B | 5.08 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.78 |
EPS(TTM)3.85
EY2.87%
EPS(NY)4.44
Fwd EY3.31%
FCF(TTM)4.1
FCFY3.05%
OCF(TTM)5.53
OCFY4.12%
SpS16.58
BVpS26.44
TBVpS-2.15
PEG (NY)8.61
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 | 7.28 |
F-Score6
WACC7.58%
ROIC/WACC1.55
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 3Y24.58%
EPS 5Y23.92%
EPS Q2Q%6.25%
EPS Next Y4.05%
EPS Next 2Y8.58%
EPS Next 3Y10.11%
EPS Next 5Y10.21%
Revenue 1Y (TTM)2.96%
Revenue growth 3Y4.57%
Revenue growth 5Y4.21%
Sales Q2Q%3.36%
Revenue Next Year3.11%
Revenue Next 2Y5.41%
Revenue Next 3Y6.33%
Revenue Next 5Y7.25%
EBIT growth 1Y12.77%
EBIT growth 3Y19.85%
EBIT growth 5Y19.16%
EBIT Next Year39.32%
EBIT Next 3Y19.09%
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.
Can you provide the valuation status for THOMSON REUTERS CORP?
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.
Can you provide the expected EPS growth for TRI stock?
The Earnings per Share (EPS) of THOMSON REUTERS CORP (TRI) is expected to grow by 4.05% in the next year.
How sustainable is the dividend of THOMSON REUTERS CORP (TRI) stock?
The dividend rating of THOMSON REUTERS CORP (TRI) is 5 / 10 and the dividend payout ratio is 58.13%.