131.63 USD
+0.16 (+0.12%)
131.63 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to TRI. TRI was compared to 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 valied quite expensively at the moment, while 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.
In the past 5 years TRI always reported a positive cash flow from operatings.
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.
TRI's Return On Equity of 14.91% is fine compared to the rest of the industry. TRI outperforms 66.67% of its industry peers.
TRI has a better Return On Invested Capital (11.73%) than 74.71% of its industry peers.
TRI had an Average Return On Invested Capital over the past 3 years of 9.36%. This is below the industry average of 12.03%.
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.
TRI's Profit Margin has improved in the last couple of years.
TRI has a better Operating Margin (29.45%) than 96.55% 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.
The number of shares outstanding for TRI has been reduced compared to 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
TRI has an Altman-Z score of 7.21. This indicates that TRI is financially healthy and has little risk of bankruptcy at the moment.
TRI has a Altman-Z score of 7.21. This is amongst the best in the industry. TRI outperforms 91.95% 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.
Looking at the Debt to FCF ratio, with a value of 1.33, TRI is in the better half of the industry, outperforming 75.86% 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 has a better Debt to Equity ratio (0.16) than 64.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.33 | ||
| Altman-Z | 7.21 |
ROIC/WACC1.55
WACC7.57%
2.3 Liquidity
TRI has a Current 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.
With a Current ratio value of 0.61, TRI is not doing good in the industry: 88.51% of the companies in the same industry are doing better.
A Quick Ratio of 0.61 indicates that TRI may have some problems paying its short term obligations.
TRI has a worse Quick ratio (0.61) than 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
The Revenue has been growing slightly by 2.96% in the past 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.
TRI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.25% yearly.
EPS Next Y4.36%
EPS Next 2Y9.33%
EPS Next 3Y10.66%
EPS Next 5Y10.21%
Revenue Next Year2.94%
Revenue Next 2Y5.32%
Revenue Next 3Y6.35%
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.
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
The Price/Earnings ratio is 34.19, which means the current valuation is very expensive for TRI.
TRI's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of TRI to the average of the S&P500 Index (26.39), we can say TRI is valued slightly more expensively.
The Price/Forward Earnings ratio is 29.21, which means the current valuation is very expensive for TRI.
TRI's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. TRI is more expensive than 60.92% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.84. TRI is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.19 | ||
| Fwd PE | 29.21 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as TRI.
TRI's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.14 | ||
| EV/EBITDA | 19.54 |
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)7.85
PEG (5Y)1.43
EPS Next 2Y9.33%
EPS Next 3Y10.66%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.62%, TRI has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 1.52, TRI pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 1.87, TRI has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.62% |
5.2 History
The dividend of TRI is nicely growing with an annual growth rate of 8.41%!
TRI has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)8.41%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
58.13% of the earnings are spent on dividend by TRI. 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%
131.63
+0.16 (+0.12%)
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 Cap58.55B
Revenue(TTM)7.38B
Net Income(TTM)1.75B
Analysts76
Price Target133.48 (1.41%)
Short Float %4.96%
Short Ratio5.72
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-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)-4.54%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.57%
EPS NY rev (1m)0.3%
EPS NY rev (3m)0.39%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.08%
Revenue NY rev (1m)-0.16%
Revenue NY rev (3m)-0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.19 | ||
| Fwd PE | 29.21 | ||
| P/S | 7.94 | ||
| P/FCF | 32.14 | ||
| P/OCF | 23.81 | ||
| P/B | 4.98 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.54 |
EPS(TTM)3.85
EY2.92%
EPS(NY)4.51
Fwd EY3.42%
FCF(TTM)4.1
FCFY3.11%
OCF(TTM)5.53
OCFY4.2%
SpS16.58
BVpS26.44
TBVpS-2.15
PEG (NY)7.85
PEG (5Y)1.43
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 | 7.21 |
F-Score6
WACC7.57%
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 Y4.36%
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 Year2.94%
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 Year40.08%
EBIT Next 3Y19.48%
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 4.36% 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%.