TRANSCAT INC (TRNS) Stock Fundamental Analysis
USA - NASDAQ:TRNS - US8935291075 - Common Stock
60.97 USD
-1.38 (-2.21%)
We assign a fundamental rating of 5 out of 10 to TRNS. TRNS was compared to 51 industry peers in the Trading Companies & Distributors industry. TRNS is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. TRNS 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 TRNS was profitable.
In the past year TRNS had a positive cash flow from operations.
TRNS had positive earnings in each of the past 5 years.
TRNS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TRNS has a Return On Assets of 3.41%. This is comparable to the rest of the industry: TRNS outperforms 49.02% of its industry peers.
With a Return On Equity value of 4.57%, TRNS perfoms like the industry average, outperforming 41.18% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 3.98%, TRNS is doing worse than 60.78% of the companies in the same industry.
TRNS had an Average Return On Invested Capital over the past 3 years of 6.00%. This is below the industry average of 10.20%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.41% | ||
| ROE | 4.57% | ||
| ROIC | 3.98% |
ROA(3y)4.66%
ROA(5y)5.25%
ROE(3y)7.28%
ROE(5y)9.09%
ROIC(3y)6%
ROIC(5y)6.74%
1.3 Margins
The Profit Margin of TRNS (4.64%) is comparable to the rest of the industry.
TRNS's Profit Margin has improved in the last couple of years.
TRNS has a Operating Margin of 6.59%. This is comparable to the rest of the industry: TRNS outperforms 50.98% of its industry peers.
In the last couple of years the Operating Margin of TRNS has grown nicely.
TRNS has a better Gross Margin (32.14%) than 60.78% of its industry peers.
TRNS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.59% | ||
| PM (TTM) | 4.64% | ||
| GM | 32.14% |
OM growth 3Y-2.14%
OM growth 5Y1.69%
PM growth 3Y-2.08%
PM growth 5Y2.27%
GM growth 3Y4.06%
GM growth 5Y5.54%
2. Health
2.1 Basic Checks
TRNS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, TRNS has more shares outstanding
TRNS has more shares outstanding than it did 5 years ago.
The debt/assets ratio for TRNS is higher compared to a year ago.
2.2 Solvency
TRNS has an Altman-Z score of 4.80. This indicates that TRNS is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.80, TRNS belongs to the top of the industry, outperforming 84.31% of the companies in the same industry.
TRNS has a debt to FCF ratio of 1.76. This is a very positive value and a sign of high solvency as it would only need 1.76 years to pay back of all of its debts.
TRNS has a better Debt to FCF ratio (1.76) than 82.35% of its industry peers.
TRNS has a Debt/Equity ratio of 0.11. This is a healthy value indicating a solid balance between debt and equity.
TRNS has a Debt to Equity ratio of 0.11. This is in the better half of the industry: TRNS outperforms 74.51% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 1.76 | ||
| Altman-Z | 4.8 |
ROIC/WACC0.43
WACC9.32%
2.3 Liquidity
A Current Ratio of 2.92 indicates that TRNS has no problem at all paying its short term obligations.
TRNS's Current ratio of 2.92 is fine compared to the rest of the industry. TRNS outperforms 74.51% of its industry peers.
TRNS has a Quick Ratio of 2.36. This indicates that TRNS is financially healthy and has no problem in meeting its short term obligations.
TRNS has a better Quick ratio (2.36) than 84.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.92 | ||
| Quick Ratio | 2.36 |
3. Growth
3.1 Past
TRNS shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -15.66%.
The Earnings Per Share has been growing slightly by 6.36% on average over the past years.
Looking at the last year, TRNS shows a small growth in Revenue. The Revenue has grown by 7.30% in the last year.
TRNS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.97% yearly.
EPS 1Y (TTM)-15.66%
EPS 3Y-2.79%
EPS 5Y6.36%
EPS Q2Q%25.71%
Revenue 1Y (TTM)7.3%
Revenue growth 3Y10.75%
Revenue growth 5Y9.97%
Sales Q2Q%21.3%
3.2 Future
Based on estimates for the next years, TRNS will show a very strong growth in Earnings Per Share. The EPS will grow by 20.16% on average per year.
Based on estimates for the next years, TRNS will show a quite strong growth in Revenue. The Revenue will grow by 9.34% on average per year.
EPS Next Y56.64%
EPS Next 2Y33.21%
EPS Next 3Y13.91%
EPS Next 5Y20.16%
Revenue Next Year16.45%
Revenue Next 2Y11.88%
Revenue Next 3Y10.93%
Revenue Next 5Y9.34%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 36.51 indicates a quite expensive valuation of TRNS.
60.78% of the companies in the same industry are cheaper than TRNS, based on the Price/Earnings ratio.
TRNS is valuated rather expensively when we compare the Price/Earnings ratio to 26.13, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 23.37, TRNS is valued on the expensive side.
TRNS's Price/Forward Earnings ratio is in line with the industry average.
TRNS's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.51 | ||
| Fwd PE | 23.37 |
4.2 Price Multiples
TRNS's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TRNS indicates a somewhat cheap valuation: TRNS is cheaper than 62.75% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.05 | ||
| EV/EBITDA | 15.38 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as TRNS's earnings are expected to grow with 13.91% in the coming years.
PEG (NY)0.64
PEG (5Y)5.74
EPS Next 2Y33.21%
EPS Next 3Y13.91%
5. Dividend
5.1 Amount
TRNS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:TRNS (11/5/2025, 8:00:02 PM)
60.97
-1.38 (-2.21%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners95.92%
Inst Owner Change-1.73%
Ins Owners0.99%
Ins Owner Change1.01%
Market Cap568.24M
Revenue(TTM)278.42M
Net Income(TTM)13.37M
Analysts80
Price Target113.63 (86.37%)
Short Float %4.34%
Short Ratio4.43
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/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)24.54%
Min EPS beat(2)2.65%
Max EPS beat(2)46.44%
EPS beat(4)2
Avg EPS beat(4)-0.21%
Min EPS beat(4)-25.94%
Max EPS beat(4)46.44%
EPS beat(8)5
Avg EPS beat(8)-0.38%
EPS beat(12)7
Avg EPS beat(12)3%
EPS beat(16)9
Avg EPS beat(16)5.31%
Revenue beat(2)1
Avg Revenue beat(2)1.32%
Min Revenue beat(2)-1.01%
Max Revenue beat(2)3.66%
Revenue beat(4)1
Avg Revenue beat(4)-2.42%
Min Revenue beat(4)-6.92%
Max Revenue beat(4)3.66%
Revenue beat(8)3
Avg Revenue beat(8)-1.9%
Revenue beat(12)5
Avg Revenue beat(12)-1.22%
Revenue beat(16)7
Avg Revenue beat(16)-0.8%
PT rev (1m)1.83%
PT rev (3m)2.96%
EPS NQ rev (1m)0%
EPS NQ rev (3m)12.22%
EPS NY rev (1m)0%
EPS NY rev (3m)17.58%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)6.65%
Revenue NY rev (1m)0%
Revenue NY rev (3m)6.9%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.51 | ||
| Fwd PE | 23.37 | ||
| P/S | 1.97 | ||
| P/FCF | 29.05 | ||
| P/OCF | 16.87 | ||
| P/B | 1.94 | ||
| P/tB | 8.95 | ||
| EV/EBITDA | 15.38 |
EPS(TTM)1.67
EY2.74%
EPS(NY)2.61
Fwd EY4.28%
FCF(TTM)2.1
FCFY3.44%
OCF(TTM)3.61
OCFY5.93%
SpS30.92
BVpS31.39
TBVpS6.81
PEG (NY)0.64
PEG (5Y)5.74
Graham Number34.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.41% | ||
| ROE | 4.57% | ||
| ROCE | 5.2% | ||
| ROIC | 3.98% | ||
| ROICexc | 4.01% | ||
| ROICexgc | 10.83% | ||
| OM | 6.59% | ||
| PM (TTM) | 4.64% | ||
| GM | 32.14% | ||
| FCFM | 6.79% |
ROA(3y)4.66%
ROA(5y)5.25%
ROE(3y)7.28%
ROE(5y)9.09%
ROIC(3y)6%
ROIC(5y)6.74%
ROICexc(3y)6.37%
ROICexc(5y)6.98%
ROICexgc(3y)14.95%
ROICexgc(5y)15.39%
ROCE(3y)7.84%
ROCE(5y)8.8%
ROICexgc growth 3Y-9.42%
ROICexgc growth 5Y-3.25%
ROICexc growth 3Y-18.51%
ROICexc growth 5Y-11.8%
OM growth 3Y-2.14%
OM growth 5Y1.69%
PM growth 3Y-2.08%
PM growth 5Y2.27%
GM growth 3Y4.06%
GM growth 5Y5.54%
F-Score4
Asset Turnover0.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 1.76 | ||
| Debt/EBITDA | 0.85 | ||
| Cap/Depr | 70.4% | ||
| Cap/Sales | 4.9% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 86.24% | ||
| Profit Quality | 146.34% | ||
| Current Ratio | 2.92 | ||
| Quick Ratio | 2.36 | ||
| Altman-Z | 4.8 |
F-Score4
WACC9.32%
ROIC/WACC0.43
Cap/Depr(3y)85.02%
Cap/Depr(5y)89.69%
Cap/Sales(3y)4.65%
Cap/Sales(5y)4.54%
Profit Quality(3y)129.96%
Profit Quality(5y)134.79%
High Growth Momentum
Growth
EPS 1Y (TTM)-15.66%
EPS 3Y-2.79%
EPS 5Y6.36%
EPS Q2Q%25.71%
EPS Next Y56.64%
EPS Next 2Y33.21%
EPS Next 3Y13.91%
EPS Next 5Y20.16%
Revenue 1Y (TTM)7.3%
Revenue growth 3Y10.75%
Revenue growth 5Y9.97%
Sales Q2Q%21.3%
Revenue Next Year16.45%
Revenue Next 2Y11.88%
Revenue Next 3Y10.93%
Revenue Next 5Y9.34%
EBIT growth 1Y-13.17%
EBIT growth 3Y8.38%
EBIT growth 5Y11.83%
EBIT Next Year191.83%
EBIT Next 3Y51.48%
EBIT Next 5Y35.99%
FCF growth 1Y54.5%
FCF growth 3Y51.16%
FCF growth 5Y38.93%
OCF growth 1Y50.08%
OCF growth 3Y30.31%
OCF growth 5Y27.52%
TRANSCAT INC / TRNS FAQ
What is the fundamental rating for TRNS stock?
ChartMill assigns a fundamental rating of 5 / 10 to TRNS.
What is the valuation status for TRNS stock?
ChartMill assigns a valuation rating of 3 / 10 to TRANSCAT INC (TRNS). This can be considered as Overvalued.
How profitable is TRANSCAT INC (TRNS) stock?
TRANSCAT INC (TRNS) has a profitability rating of 5 / 10.
What are the PE and PB ratios of TRANSCAT INC (TRNS) stock?
The Price/Earnings (PE) ratio for TRANSCAT INC (TRNS) is 36.51 and the Price/Book (PB) ratio is 1.94.
Can you provide the expected EPS growth for TRNS stock?
The Earnings per Share (EPS) of TRANSCAT INC (TRNS) is expected to grow by 56.64% in the next year.