TPG RE FINANCE TRUST INC (TRTX) Stock Fundamental Analysis
USA - NYSE:TRTX - US87266M1071 - REIT
8.92 USD
-0.01 (-0.11%)
8.92 USD
0 (0%)
Taking everything into account, TRTX scores 6 out of 10 in our fundamental rating. TRTX was compared to 68 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. TRTX scores excellent on profitability, but there are some minor concerns on its financial health. TRTX is valued quite cheap, while showing a decent growth score. This is a good combination! These ratings could make TRTX a good candidate for value investing.
1. Profitability
1.1 Basic Checks
In the past year TRTX was profitable.
TRTX had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: TRTX reported negative net income in multiple years.
TRTX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 1.28%, TRTX belongs to the best of the industry, outperforming 88.24% of the companies in the same industry.
The Return On Equity of TRTX (4.82%) is better than 77.94% of its industry peers.
TRTX has a Return On Invested Capital of 4.90%. This is amongst the best in the industry. TRTX outperforms 95.59% of its industry peers.
TRTX had an Average Return On Invested Capital over the past 3 years of 5.39%. This is above the industry average of 1.18%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.28% | ||
| ROE | 4.82% | ||
| ROIC | 4.9% |
ROA(3y)-0.94%
ROA(5y)-0.93%
ROE(3y)-3.95%
ROE(5y)-3.53%
ROIC(3y)5.39%
ROIC(5y)4.65%
1.3 Margins
TRTX has a Profit Margin of 15.93%. This is amongst the best in the industry. TRTX outperforms 86.76% of its industry peers.
In the last couple of years the Profit Margin of TRTX has declined.
TRTX has a Operating Margin of 76.07%. This is amongst the best in the industry. TRTX outperforms 98.53% of its industry peers.
TRTX's Operating Margin has declined in the last couple of years.
TRTX's Gross Margin of 91.36% is amongst the best of the industry. TRTX outperforms 100.00% of its industry peers.
TRTX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 76.07% | ||
| PM (TTM) | 15.93% | ||
| GM | 91.36% |
OM growth 3Y-2.13%
OM growth 5Y-2.23%
PM growth 3Y-16.74%
PM growth 5Y-14.35%
GM growth 3Y1.36%
GM growth 5Y0.46%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TRTX is destroying value.
Compared to 1 year ago, TRTX has more shares outstanding
TRTX has more shares outstanding than it did 5 years ago.
TRTX has a better debt/assets ratio than last year.
2.2 Solvency
TRTX has an Altman-Z score of 0.24. This is a bad value and indicates that TRTX is not financially healthy and even has some risk of bankruptcy.
TRTX has a Altman-Z score of 0.24. This is amongst the best in the industry. TRTX outperforms 83.82% of its industry peers.
TRTX has a debt to FCF ratio of 33.83. This is a negative value and a sign of low solvency as TRTX would need 33.83 years to pay back of all of its debts.
TRTX's Debt to FCF ratio of 33.83 is fine compared to the rest of the industry. TRTX outperforms 77.94% of its industry peers.
A Debt/Equity ratio of 2.71 is on the high side and indicates that TRTX has dependencies on debt financing.
With a decent Debt to Equity ratio value of 2.71, TRTX is doing good in the industry, outperforming 76.47% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.71 | ||
| Debt/FCF | 33.83 | ||
| Altman-Z | 0.24 |
ROIC/WACC0.73
WACC6.69%
2.3 Liquidity
A Current Ratio of 4.20 indicates that TRTX has no problem at all paying its short term obligations.
TRTX's Current ratio of 4.20 is amongst the best of the industry. TRTX outperforms 94.12% of its industry peers.
A Quick Ratio of 4.20 indicates that TRTX has no problem at all paying its short term obligations.
TRTX has a Quick ratio of 4.20. This is amongst the best in the industry. TRTX outperforms 94.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.2 | ||
| Quick Ratio | 4.2 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 169.75% over the past year.
Measured over the past years, TRTX shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -11.01% on average per year.
TRTX shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -10.78%.
Measured over the past years, TRTX shows a small growth in Revenue. The Revenue has been growing by 0.60% on average per year.
EPS 1Y (TTM)169.75%
EPS 3Y-4.44%
EPS 5Y-11.01%
EPS Q2Q%-10.71%
Revenue 1Y (TTM)-10.78%
Revenue growth 3Y13.5%
Revenue growth 5Y0.6%
Sales Q2Q%29.23%
3.2 Future
TRTX is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.91% yearly.
TRTX is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.68% yearly.
EPS Next Y4.97%
EPS Next 2Y8.89%
EPS Next 3Y6.91%
EPS Next 5YN/A
Revenue Next Year3.11%
Revenue Next 2Y4.85%
Revenue Next 3Y2.68%
Revenue Next 5YN/A
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.
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
With a Price/Earnings ratio of 10.75, the valuation of TRTX can be described as very reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of TRTX indicates a somewhat cheap valuation: TRTX is cheaper than 67.65% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 25.83. TRTX is valued rather cheaply when compared to this.
TRTX is valuated cheaply with a Price/Forward Earnings ratio of 7.84.
66.18% of the companies in the same industry are more expensive than TRTX, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 32.68, TRTX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.75 | ||
| Fwd PE | 7.84 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TRTX is valued cheaper than 98.53% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, TRTX is valued cheaper than 82.35% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.09 | ||
| EV/EBITDA | 13.44 |
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 decent profitability rating of TRTX may justify a higher PE ratio.
PEG (NY)2.16
PEG (5Y)N/A
EPS Next 2Y8.89%
EPS Next 3Y6.91%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 10.61%, TRTX is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 13.24, TRTX is paying slightly less dividend.
TRTX's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.61% |
5.2 History
The dividend of TRTX decreases each year by -8.14%.
TRTX has been paying a dividend for over 5 years, so it has already some track record.
TRTX has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-8.14%
Div Incr Years1
Div Non Decr Years3
5.3 Sustainability
TRTX pays out 175.66% of its income as dividend. This is not a sustainable payout ratio.
DP175.66%
EPS Next 2Y8.89%
EPS Next 3Y6.91%
8.92
-0.01 (-0.11%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners75.74%
Inst Owner Change-0.25%
Ins Owners2.28%
Ins Owner Change-1.76%
Market Cap701.02M
Revenue(TTM)327.61M
Net Income(TTM)52.20M
Analysts78.18
Price Target10.2 (14.35%)
Short Float %7.09%
Short Ratio7.55
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.61% |
Yearly Dividend1.14
Dividend Growth(5Y)-8.14%
DP175.66%
Div Incr Years1
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.69%
Min EPS beat(2)-2.74%
Max EPS beat(2)4.11%
EPS beat(4)1
Avg EPS beat(4)-17.25%
Min EPS beat(4)-63%
Max EPS beat(4)4.11%
EPS beat(8)4
Avg EPS beat(8)-136.16%
EPS beat(12)5
Avg EPS beat(12)-151.15%
EPS beat(16)5
Avg EPS beat(16)-118.99%
Revenue beat(2)2
Avg Revenue beat(2)24.15%
Min Revenue beat(2)6.71%
Max Revenue beat(2)41.6%
Revenue beat(4)2
Avg Revenue beat(4)7.62%
Min Revenue beat(4)-15.5%
Max Revenue beat(4)41.6%
Revenue beat(8)4
Avg Revenue beat(8)3.45%
Revenue beat(12)5
Avg Revenue beat(12)12.62%
Revenue beat(16)9
Avg Revenue beat(16)29.54%
PT rev (1m)0%
PT rev (3m)5.26%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.44%
EPS NY rev (1m)-0.81%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)4.66%
Revenue NY rev (1m)0.21%
Revenue NY rev (3m)-1.9%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.75 | ||
| Fwd PE | 7.84 | ||
| P/S | 2.14 | ||
| P/FCF | 8.09 | ||
| P/OCF | 7.69 | ||
| P/B | 0.65 | ||
| P/tB | 0.66 | ||
| EV/EBITDA | 13.44 |
EPS(TTM)0.83
EY9.3%
EPS(NY)1.14
Fwd EY12.76%
FCF(TTM)1.1
FCFY12.37%
OCF(TTM)1.16
OCFY13.01%
SpS4.17
BVpS13.77
TBVpS13.58
PEG (NY)2.16
PEG (5Y)N/A
Graham Number16.04
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.28% | ||
| ROE | 4.82% | ||
| ROCE | 6.2% | ||
| ROIC | 4.9% | ||
| ROICexc | 5.02% | ||
| ROICexgc | 5.06% | ||
| OM | 76.07% | ||
| PM (TTM) | 15.93% | ||
| GM | 91.36% | ||
| FCFM | 26.46% |
ROA(3y)-0.94%
ROA(5y)-0.93%
ROE(3y)-3.95%
ROE(5y)-3.53%
ROIC(3y)5.39%
ROIC(5y)4.65%
ROICexc(3y)5.67%
ROICexc(5y)4.9%
ROICexgc(3y)5.74%
ROICexgc(5y)4.97%
ROCE(3y)6.82%
ROCE(5y)5.88%
ROICexgc growth 3Y24.39%
ROICexgc growth 5Y8.93%
ROICexc growth 3Y24.45%
ROICexc growth 5Y8.68%
OM growth 3Y-2.13%
OM growth 5Y-2.23%
PM growth 3Y-16.74%
PM growth 5Y-14.35%
GM growth 3Y1.36%
GM growth 5Y0.46%
F-Score4
Asset Turnover0.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.71 | ||
| Debt/FCF | 33.83 | ||
| Debt/EBITDA | 11.13 | ||
| Cap/Depr | 31.59% | ||
| Cap/Sales | 1.37% | ||
| Interest Coverage | 1.41 | ||
| Cash Conversion | 34.62% | ||
| Profit Quality | 166.09% | ||
| Current Ratio | 4.2 | ||
| Quick Ratio | 4.2 | ||
| Altman-Z | 0.24 |
F-Score4
WACC6.69%
ROIC/WACC0.73
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)1.52%
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)169.75%
EPS 3Y-4.44%
EPS 5Y-11.01%
EPS Q2Q%-10.71%
EPS Next Y4.97%
EPS Next 2Y8.89%
EPS Next 3Y6.91%
EPS Next 5YN/A
Revenue 1Y (TTM)-10.78%
Revenue growth 3Y13.5%
Revenue growth 5Y0.6%
Sales Q2Q%29.23%
Revenue Next Year3.11%
Revenue Next 2Y4.85%
Revenue Next 3Y2.68%
Revenue Next 5YN/A
EBIT growth 1Y-16.3%
EBIT growth 3Y11.09%
EBIT growth 5Y-1.64%
EBIT Next Year39.47%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y28.44%
FCF growth 3Y-6.86%
FCF growth 5Y-2.58%
OCF growth 1Y21.76%
OCF growth 3Y-5.34%
OCF growth 5Y-1.62%
TPG RE FINANCE TRUST INC / TRTX FAQ
What is the ChartMill fundamental rating of TPG RE FINANCE TRUST INC (TRTX) stock?
ChartMill assigns a fundamental rating of 6 / 10 to TRTX.
What is the valuation status of TPG RE FINANCE TRUST INC (TRTX) stock?
ChartMill assigns a valuation rating of 7 / 10 to TPG RE FINANCE TRUST INC (TRTX). This can be considered as Undervalued.
What is the profitability of TRTX stock?
TPG RE FINANCE TRUST INC (TRTX) has a profitability rating of 7 / 10.
Can you provide the expected EPS growth for TRTX stock?
The Earnings per Share (EPS) of TPG RE FINANCE TRUST INC (TRTX) is expected to grow by 4.97% in the next year.
How sustainable is the dividend of TPG RE FINANCE TRUST INC (TRTX) stock?
The dividend rating of TPG RE FINANCE TRUST INC (TRTX) is 4 / 10 and the dividend payout ratio is 175.66%.