THOMSON REUTERS CORP (TRI) Stock Fundamental Analysis
USA - NASDAQ:TRI - CA8849038085 - Common Stock
139.255 USD
+0.97 (+0.71%)
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. TRI is quite expensive at the moment. It does show a decent growth rate.
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 has a Return On Assets of 9.82%. This is amongst the best in the industry. TRI outperforms 80.23% of its industry peers.
With a decent Return On Equity value of 14.91%, TRI is doing good in the industry, outperforming 65.12% 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 70.93% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for TRI is significantly below the industry average of 22.51%.
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
TRI's Profit Margin of 23.77% is amongst the best of the industry. TRI outperforms 93.02% of its industry peers.
In the last couple of years the Profit Margin of TRI has grown nicely.
TRI's Operating Margin of 29.45% is amongst the best of the industry. TRI outperforms 96.51% of its industry peers.
TRI's Operating Margin has improved in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), TRI is creating some value.
Compared to 1 year ago, TRI has less shares outstanding
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
An Altman-Z score of 7.58 indicates that TRI is not in any danger for bankruptcy at the moment.
TRI has a Altman-Z score of 7.58. This is amongst the best in the industry. TRI outperforms 91.86% of its industry peers.
TRI has a debt to FCF ratio of 1.33. This is a very positive value and a sign of high solvency as it would only need 1.33 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 1.33, TRI is doing good in the industry, outperforming 72.09% of the companies in the same industry.
A Debt/Equity ratio of 0.16 indicates that TRI is not too dependend on debt financing.
TRI's Debt to Equity ratio of 0.16 is fine compared to the rest of the industry. TRI outperforms 63.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.33 | ||
| Altman-Z | 7.58 |
ROIC/WACC1.53
WACC7.67%
2.3 Liquidity
A Current Ratio of 0.61 indicates that TRI may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.61, TRI is doing worse than 87.21% of the companies in the same industry.
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 86.05% 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 grown by an nice 8.00% over the past year.
TRI shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 23.92% yearly.
The Revenue has been growing slightly by 2.96% in the past year.
The Revenue has been growing slightly by 4.21% on average over the past years.
EPS 1Y (TTM)8%
EPS 3Y24.58%
EPS 5Y23.92%
EPS Q2Q%43.68%
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 10.54% yearly.
The Revenue is expected to grow by 7.65% on average over the next years.
EPS Next Y4.05%
EPS Next 2Y8.58%
EPS Next 3Y10.11%
EPS Next 5Y10.54%
Revenue Next Year3.11%
Revenue Next 2Y5.41%
Revenue Next 3Y6.33%
Revenue Next 5Y7.65%
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
A Price/Earnings ratio of 36.94 indicates a quite expensive valuation of TRI.
TRI's Price/Earnings ratio is a bit more expensive when compared to the industry. TRI is more expensive than 61.63% of the companies in the same industry.
When comparing the Price/Earnings ratio of TRI to the average of the S&P500 Index (26.34), we can say TRI is valued slightly more expensively.
TRI is valuated quite expensively with a Price/Forward Earnings ratio of 31.33.
TRI's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. TRI is more expensive than 61.63% of the companies in the same industry.
TRI is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 34.43, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.94 | ||
| Fwd PE | 31.33 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TRI is on the same level as its industry peers.
The rest of the industry has a similar Price/Free Cash Flow ratio as TRI.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.45 | ||
| EV/EBITDA | 20.76 |
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.
TRI has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)9.12
PEG (5Y)1.54
EPS Next 2Y8.58%
EPS Next 3Y10.11%
5. Dividend
5.1 Amount
TRI has a Yearly Dividend Yield of 1.52%.
Compared to an average industry Dividend Yield of 4.33, TRI pays a bit more dividend than its industry peers.
Compared to the average S&P500 Dividend Yield of 2.36, TRI is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.52% |
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 2Y8.58%
EPS Next 3Y10.11%
NASDAQ:TRI (11/13/2025, 12:16:09 PM)
139.255
+0.97 (+0.71%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners27.54%
Inst Owner Change0.52%
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap62.76B
Revenue(TTM)7.38B
Net Income(TTM)1.75B
Analysts74
Price Target139.48 (0.16%)
Short Float %4.31%
Short Ratio4.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.52% |
Yearly Dividend2.1
Dividend Growth(5Y)8.41%
DP58.13%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
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)1.23%
PT rev (3m)-0.85%
EPS NQ rev (1m)0.2%
EPS NQ rev (3m)1.08%
EPS NY rev (1m)-0.22%
EPS NY rev (3m)1.26%
Revenue NQ rev (1m)0.06%
Revenue NQ rev (3m)0.06%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.94 | ||
| Fwd PE | 31.33 | ||
| P/S | 8.51 | ||
| P/FCF | 34.45 | ||
| P/OCF | 25.52 | ||
| P/B | 5.34 | ||
| P/tB | N/A | ||
| EV/EBITDA | 20.76 |
EPS(TTM)3.77
EY2.71%
EPS(NY)4.44
Fwd EY3.19%
FCF(TTM)4.04
FCFY2.9%
OCF(TTM)5.46
OCFY3.92%
SpS16.37
BVpS26.1
TBVpS-2.12
PEG (NY)9.12
PEG (5Y)1.54
Graham Number47.05
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 | 7.58 |
F-Score6
WACC7.67%
ROIC/WACC1.53
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)8%
EPS 3Y24.58%
EPS 5Y23.92%
EPS Q2Q%43.68%
EPS Next Y4.05%
EPS Next 2Y8.58%
EPS Next 3Y10.11%
EPS Next 5Y10.54%
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 5Y7.65%
EBIT growth 1Y12.77%
EBIT growth 3Y19.85%
EBIT growth 5Y19.16%
EBIT Next Year39.32%
EBIT Next 3Y19.09%
EBIT Next 5Y15.17%
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%.