TRIMBLE INC (TRMB)
US8962391004 - Common Stock
TRMB gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 127 industry peers in the Electronic Equipment, Instruments & Components industry. While TRMB belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. TRMB has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year TRMB was profitable.
In the past year TRMB had a positive cash flow from operations.
In the past 5 years TRMB has always been profitable.
In the past 5 years TRMB always reported a positive cash flow from operatings.
1.2 Ratios
TRMB's Return On Assets of 14.97% is amongst the best of the industry. TRMB outperforms 96.00% of its industry peers.
TRMB has a better Return On Equity (25.14%) than 93.60% of its industry peers.
TRMB has a Return On Invested Capital of 4.41%. This is in the better half of the industry: TRMB outperforms 60.80% of its industry peers.
TRMB had an Average Return On Invested Capital over the past 3 years of 7.04%. This is below the industry average of 9.08%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.97% | ||
| ROE | 25.14% | ||
| ROIC | 4.41% |
ROA(3y)5.46%
ROA(5y)5.96%
ROE(3y)10.17%
ROE(5y)11.57%
ROIC(3y)7.04%
ROIC(5y)6.78%
1.3 Margins
With an excellent Profit Margin value of 40.67%, TRMB belongs to the best of the industry, outperforming 98.40% of the companies in the same industry.
In the last couple of years the Profit Margin of TRMB has declined.
The Operating Margin of TRMB (11.50%) is better than 84.00% of its industry peers.
TRMB's Operating Margin has improved in the last couple of years.
TRMB has a Gross Margin of 63.11%. This is amongst the best in the industry. TRMB outperforms 97.60% of its industry peers.
TRMB's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.5% | ||
| PM (TTM) | 40.67% | ||
| GM | 63.11% |
OM growth 3Y-2.76%
OM growth 5Y4.23%
PM growth 3Y-12.86%
PM growth 5Y-2.07%
GM growth 3Y3.27%
GM growth 5Y2.58%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TRMB is destroying value.
TRMB has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for TRMB has been reduced compared to 5 years ago.
Compared to 1 year ago, TRMB has a worse debt to assets ratio.
2.2 Solvency
TRMB has an Altman-Z score of 3.70. This indicates that TRMB is financially healthy and has little risk of bankruptcy at the moment.
TRMB has a better Altman-Z score (3.70) than 60.80% of its industry peers.
TRMB has a debt to FCF ratio of 3.75. This is a good value and a sign of high solvency as TRMB would need 3.75 years to pay back of all of its debts.
TRMB has a better Debt to FCF ratio (3.75) than 64.80% of its industry peers.
TRMB has a Debt/Equity ratio of 0.24. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.24, TRMB is in line with its industry, outperforming 44.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 3.75 | ||
| Altman-Z | 3.7 |
ROIC/WACC0.44
WACC10.1%
2.3 Liquidity
A Current Ratio of 1.16 indicates that TRMB should not have too much problems paying its short term obligations.
The Current ratio of TRMB (1.16) is worse than 90.40% of its industry peers.
A Quick Ratio of 1.07 indicates that TRMB should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.07, TRMB is doing worse than 77.60% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.16 | ||
| Quick Ratio | 1.07 |
3. Growth
3.1 Past
The earnings per share for TRMB have decreased by -1.89% in the last year.
The Earnings Per Share has been growing slightly by 6.93% on average over the past years.
The Revenue has decreased by -2.43% in the past year.
Measured over the past years, TRMB shows a small growth in Revenue. The Revenue has been growing by 4.09% on average per year.
EPS 1Y (TTM)-1.89%
EPS 3Y6.35%
EPS 5Y6.93%
EPS Q2Q%2.94%
Revenue 1Y (TTM)-2.43%
Revenue growth 3Y6.47%
Revenue growth 5Y4.09%
Sales Q2Q%-8.51%
3.2 Future
TRMB is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.23% yearly.
The Revenue is expected to decrease by -0.57% on average over the next years.
EPS Next Y8.53%
EPS Next 2Y5.35%
EPS Next 3Y8.23%
EPS Next 5YN/A
Revenue Next Year-3.43%
Revenue Next 2Y-4.54%
Revenue Next 3Y-0.57%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 27.66, which means the current valuation is very expensive for TRMB.
64.80% of the companies in the same industry are more expensive than TRMB, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.20, TRMB is valued at the same level.
Based on the Price/Forward Earnings ratio of 24.18, the valuation of TRMB can be described as rather expensive.
The rest of the industry has a similar Price/Forward Earnings ratio as TRMB.
The average S&P500 Price/Forward Earnings ratio is at 23.73. TRMB is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.66 | ||
| Fwd PE | 24.18 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TRMB is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TRMB indicates a somewhat cheap valuation: TRMB is cheaper than 62.40% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.61 | ||
| EV/EBITDA | 27.55 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of TRMB may justify a higher PE ratio.
PEG (NY)3.24
PEG (5Y)3.99
EPS Next 2Y5.35%
EPS Next 3Y8.23%
5. Dividend
5.1 Amount
TRMB does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TRIMBLE INC
NASDAQ:TRMB (12/20/2024, 8:00:01 PM)
After market: 70.33 -1.31 (-1.83%)71.64
+0.9 (+1.27%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners97.02%
Inst Owner Change1.21%
Ins Owners0.27%
Ins Owner Change0.26%
Market Cap17.50B
Analysts82.11
Price Target82.2 (14.74%)
Short Float %0.85%
Short Ratio1.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.77%
Min EPS beat(2)4.51%
Max EPS beat(2)11.03%
EPS beat(4)4
Avg EPS beat(4)5.27%
Min EPS beat(4)1.35%
Max EPS beat(4)11.03%
EPS beat(8)7
Avg EPS beat(8)5.09%
EPS beat(12)9
Avg EPS beat(12)3.58%
EPS beat(16)13
Avg EPS beat(16)6.59%
Revenue beat(2)0
Avg Revenue beat(2)-0.85%
Min Revenue beat(2)-1.02%
Max Revenue beat(2)-0.68%
Revenue beat(4)2
Avg Revenue beat(4)0.31%
Min Revenue beat(4)-1.02%
Max Revenue beat(4)2.42%
Revenue beat(8)2
Avg Revenue beat(8)-1.19%
Revenue beat(12)4
Avg Revenue beat(12)-1.1%
Revenue beat(16)8
Avg Revenue beat(16)0.15%
PT rev (1m)13.74%
PT rev (3m)13.28%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.71%
EPS NY rev (1m)0.68%
EPS NY rev (3m)3.42%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.26%
Revenue NY rev (1m)0.13%
Revenue NY rev (3m)0.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.66 | ||
| Fwd PE | 24.18 | ||
| P/S | 4.82 | ||
| P/FCF | 36.61 | ||
| P/OCF | 33.96 | ||
| P/B | 2.98 | ||
| P/tB | N/A | ||
| EV/EBITDA | 27.55 |
EPS(TTM)2.59
EY3.62%
EPS(NY)2.96
Fwd EY4.14%
FCF(TTM)1.96
FCFY2.73%
OCF(TTM)2.11
OCFY2.94%
SpS14.87
BVpS24.06
TBVpS-1.51
PEG (NY)3.24
PEG (5Y)3.99
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.97% | ||
| ROE | 25.14% | ||
| ROCE | 5.3% | ||
| ROIC | 4.41% | ||
| ROICexc | 5.07% | ||
| ROICexgc | 58.02% | ||
| OM | 11.5% | ||
| PM (TTM) | 40.67% | ||
| GM | 63.11% | ||
| FCFM | 13.16% |
ROA(3y)5.46%
ROA(5y)5.96%
ROE(3y)10.17%
ROE(5y)11.57%
ROIC(3y)7.04%
ROIC(5y)6.78%
ROICexc(3y)7.37%
ROICexc(5y)7.09%
ROICexgc(3y)46.54%
ROICexgc(5y)43.85%
ROCE(3y)8.47%
ROCE(5y)8.16%
ROICexcg growth 3Y2.95%
ROICexcg growth 5Y-14.82%
ROICexc growth 3Y-7.55%
ROICexc growth 5Y-1.78%
OM growth 3Y-2.76%
OM growth 5Y4.23%
PM growth 3Y-12.86%
PM growth 5Y-2.07%
GM growth 3Y3.27%
GM growth 5Y2.58%
F-Score6
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 3.75 | ||
| Debt/EBITDA | 2.1 | ||
| Cap/Depr | 15.25% | ||
| Cap/Sales | 1.03% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 77.79% | ||
| Profit Quality | 32.35% | ||
| Current Ratio | 1.16 | ||
| Quick Ratio | 1.07 | ||
| Altman-Z | 3.7 |
F-Score6
WACC10.1%
ROIC/WACC0.44
Cap/Depr(3y)22.51%
Cap/Depr(5y)25.92%
Cap/Sales(3y)1.18%
Cap/Sales(5y)1.49%
Profit Quality(3y)132.89%
Profit Quality(5y)131.36%
High Growth Momentum
Growth
EPS 1Y (TTM)-1.89%
EPS 3Y6.35%
EPS 5Y6.93%
EPS Q2Q%2.94%
EPS Next Y8.53%
EPS Next 2Y5.35%
EPS Next 3Y8.23%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.43%
Revenue growth 3Y6.47%
Revenue growth 5Y4.09%
Sales Q2Q%-8.51%
Revenue Next Year-3.43%
Revenue Next 2Y-4.54%
Revenue Next 3Y-0.57%
Revenue Next 5YN/A
EBIT growth 1Y-13.77%
EBIT growth 3Y3.52%
EBIT growth 5Y8.49%
EBIT Next Year6.94%
EBIT Next 3Y4.62%
EBIT Next 5YN/A
FCF growth 1Y22.82%
FCF growth 3Y-3.37%
FCF growth 5Y5.78%
OCF growth 1Y16.98%
OCF growth 3Y-3.86%
OCF growth 5Y4.17%