TENARIS SA-ADR (TS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TS - US88031M1099 - ADR
40.57 USD
+1.16 (+2.94%)
41.31 USD
+0.74 (+1.82%)
TS gets a fundamental rating of 8 out of 10. The analysis compared the fundamentals against 62 industry peers in the Energy Equipment & Services industry. TS has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. TS is valued quite cheap, but it does not seem to be growing. TS also has an excellent dividend rating. With these ratings, TS could be worth investigating further for value and dividend investing!.
1. Profitability
1.1 Basic Checks
In the past year TS was profitable.
In the past year TS had a positive cash flow from operations.
Of the past 5 years TS 4 years were profitable.
TS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of TS (9.77%) is better than 95.16% of its industry peers.
TS has a better Return On Equity (11.74%) than 72.58% of its industry peers.
TS has a better Return On Invested Capital (10.23%) than 80.65% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TS is above the industry average of 12.79%.
The last Return On Invested Capital (10.23%) for TS is well below the 3 year average (16.25%), which needs to be investigated, but indicates that TS had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.77% | ||
| ROE | 11.74% | ||
| ROIC | 10.23% |
ROA(3y)14.36%
ROA(5y)9.22%
ROE(3y)17.97%
ROE(5y)11.49%
ROIC(3y)16.25%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 16.91%, TS belongs to the top of the industry, outperforming 95.16% of the companies in the same industry.
In the last couple of years the Profit Margin of TS has grown nicely.
TS has a better Operating Margin (18.86%) than 82.26% of its industry peers.
In the last couple of years the Operating Margin of TS has grown nicely.
TS has a Gross Margin of 34.05%. This is in the better half of the industry: TS outperforms 75.81% of its industry peers.
In the last couple of years the Gross Margin of TS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.86% | ||
| PM (TTM) | 16.91% | ||
| GM | 34.05% |
OM growth 3Y18.67%
OM growth 5Y12.05%
PM growth 3Y-1.22%
PM growth 5Y9.81%
GM growth 3Y5.93%
GM growth 5Y3.17%
2. Health
2.1 Basic Checks
TS has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for TS has been reduced compared to 1 year ago.
The number of shares outstanding for TS has been reduced compared to 5 years ago.
The debt/assets ratio for TS has been reduced compared to a year ago.
2.2 Solvency
TS has an Altman-Z score of 6.14. This indicates that TS is financially healthy and has little risk of bankruptcy at the moment.
TS's Altman-Z score of 6.14 is amongst the best of the industry. TS outperforms 96.77% of its industry peers.
TS has a debt to FCF ratio of 0.29. This is a very positive value and a sign of high solvency as it would only need 0.29 years to pay back of all of its debts.
TS has a better Debt to FCF ratio (0.29) than 91.94% of its industry peers.
A Debt/Equity ratio of 0.01 indicates that TS is not too dependend on debt financing.
TS has a Debt to Equity ratio of 0.01. This is amongst the best in the industry. TS outperforms 91.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.29 | ||
| Altman-Z | 6.14 |
ROIC/WACC1.35
WACC7.6%
2.3 Liquidity
A Current Ratio of 4.08 indicates that TS has no problem at all paying its short term obligations.
TS's Current ratio of 4.08 is amongst the best of the industry. TS outperforms 91.94% of its industry peers.
A Quick Ratio of 2.55 indicates that TS has no problem at all paying its short term obligations.
TS has a better Quick ratio (2.55) than 87.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.08 | ||
| Quick Ratio | 2.55 |
3. Growth
3.1 Past
TS shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -17.98%.
Measured over the past years, TS shows a very strong growth in Earnings Per Share. The EPS has been growing by 23.23% on average per year.
TS shows a decrease in Revenue. In the last year, the revenue decreased by -9.64%.
The Revenue has been growing by 11.42% on average over the past years. This is quite good.
EPS 1Y (TTM)-17.98%
EPS 3Y24.76%
EPS 5Y23.23%
EPS Q2Q%10.26%
Revenue 1Y (TTM)-9.64%
Revenue growth 3Y24.3%
Revenue growth 5Y11.42%
Sales Q2Q%2.15%
3.2 Future
The Earnings Per Share is expected to decrease by -0.48% on average over the next years.
The Revenue is expected to grow by 1.51% on average over the next years.
EPS Next Y7.74%
EPS Next 2Y2.2%
EPS Next 3Y3.58%
EPS Next 5Y-0.48%
Revenue Next Year-4.18%
Revenue Next 2Y-2.02%
Revenue Next 3Y-0.36%
Revenue Next 5Y1.51%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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 10.76, which indicates a very decent valuation of TS.
91.94% of the companies in the same industry are more expensive than TS, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.00, TS is valued rather cheaply.
The Price/Forward Earnings ratio is 10.75, which indicates a very decent valuation of TS.
Based on the Price/Forward Earnings ratio, TS is valued cheaply inside the industry as 95.16% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 23.70. TS is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.76 | ||
| Fwd PE | 10.75 |
4.2 Price Multiples
TS's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. TS is cheaper than 75.81% of the companies in the same industry.
TS's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. TS is cheaper than 70.97% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.91 | ||
| EV/EBITDA | 5.44 |
4.3 Compensation for Growth
TS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of TS may justify a higher PE ratio.
PEG (NY)1.39
PEG (5Y)0.46
EPS Next 2Y2.2%
EPS Next 3Y3.58%
5. Dividend
5.1 Amount
TS has a Yearly Dividend Yield of 4.28%, which is a nice return.
TS's Dividend Yield is rather good when compared to the industry average which is at 1.29. TS pays more dividend than 91.94% of the companies in the same industry.
TS's Dividend Yield is rather good when compared to the S&P500 average which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.28% |
5.2 History
The dividend of TS is nicely growing with an annual growth rate of 10.42%!
TS has been paying a dividend for at least 10 years, so it has a reliable track record.
TS has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)10.42%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
44.97% of the earnings are spent on dividend by TS. This is a bit on the high side, but may be sustainable.
DP44.97%
EPS Next 2Y2.2%
EPS Next 3Y3.58%
40.57
+1.16 (+2.94%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners13.4%
Inst Owner Change0%
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap21.07B
Revenue(TTM)11.83B
Net Income(TTM)2.00B
Analysts76.67
Price Target42.38 (4.46%)
Short Float %4.43%
Short Ratio5.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.28% |
Yearly Dividend0.67
Dividend Growth(5Y)10.42%
DP44.97%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-7.37%
Min EPS beat(2)-11.07%
Max EPS beat(2)-3.68%
EPS beat(4)1
Avg EPS beat(4)2.73%
Min EPS beat(4)-19.77%
Max EPS beat(4)45.42%
EPS beat(8)4
Avg EPS beat(8)10.86%
EPS beat(12)6
Avg EPS beat(12)7.64%
EPS beat(16)9
Avg EPS beat(16)9.55%
Revenue beat(2)2
Avg Revenue beat(2)2.76%
Min Revenue beat(2)2.14%
Max Revenue beat(2)3.37%
Revenue beat(4)3
Avg Revenue beat(4)2.06%
Min Revenue beat(4)-1.14%
Max Revenue beat(4)3.88%
Revenue beat(8)6
Avg Revenue beat(8)2.83%
Revenue beat(12)10
Avg Revenue beat(12)2.95%
Revenue beat(16)14
Avg Revenue beat(16)2.58%
PT rev (1m)-2.1%
PT rev (3m)-0.93%
EPS NQ rev (1m)2.1%
EPS NQ rev (3m)-33.52%
EPS NY rev (1m)7.08%
EPS NY rev (3m)-4.03%
Revenue NQ rev (1m)-0.37%
Revenue NQ rev (3m)-0.37%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)0.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.76 | ||
| Fwd PE | 10.75 | ||
| P/S | 1.78 | ||
| P/FCF | 12.91 | ||
| P/OCF | 9.14 | ||
| P/B | 1.24 | ||
| P/tB | 1.34 | ||
| EV/EBITDA | 5.44 |
EPS(TTM)3.77
EY9.29%
EPS(NY)3.77
Fwd EY9.3%
FCF(TTM)3.14
FCFY7.75%
OCF(TTM)4.44
OCFY10.94%
SpS22.78
BVpS32.81
TBVpS30.19
PEG (NY)1.39
PEG (5Y)0.46
Graham Number52.75
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.77% | ||
| ROE | 11.74% | ||
| ROCE | 12.28% | ||
| ROIC | 10.23% | ||
| ROICexc | 12.25% | ||
| ROICexgc | 13.45% | ||
| OM | 18.86% | ||
| PM (TTM) | 16.91% | ||
| GM | 34.05% | ||
| FCFM | 13.8% |
ROA(3y)14.36%
ROA(5y)9.22%
ROE(3y)17.97%
ROE(5y)11.49%
ROIC(3y)16.25%
ROIC(5y)N/A
ROICexc(3y)19.35%
ROICexc(5y)N/A
ROICexgc(3y)21.4%
ROICexgc(5y)N/A
ROCE(3y)19.51%
ROCE(5y)N/A
ROICexgc growth 3Y37.2%
ROICexgc growth 5Y17.07%
ROICexc growth 3Y38.27%
ROICexc growth 5Y18.31%
OM growth 3Y18.67%
OM growth 5Y12.05%
PM growth 3Y-1.22%
PM growth 5Y9.81%
GM growth 3Y5.93%
GM growth 5Y3.17%
F-Score6
Asset Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.29 | ||
| Debt/EBITDA | 0.03 | ||
| Cap/Depr | 108.27% | ||
| Cap/Sales | 5.68% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 80.79% | ||
| Profit Quality | 81.61% | ||
| Current Ratio | 4.08 | ||
| Quick Ratio | 2.55 | ||
| Altman-Z | 6.14 |
F-Score6
WACC7.6%
ROIC/WACC1.35
Cap/Depr(3y)96.54%
Cap/Depr(5y)71.87%
Cap/Sales(3y)4.39%
Cap/Sales(5y)4.14%
Profit Quality(3y)77.56%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-17.98%
EPS 3Y24.76%
EPS 5Y23.23%
EPS Q2Q%10.26%
EPS Next Y7.74%
EPS Next 2Y2.2%
EPS Next 3Y3.58%
EPS Next 5Y-0.48%
Revenue 1Y (TTM)-9.64%
Revenue growth 3Y24.3%
Revenue growth 5Y11.42%
Sales Q2Q%2.15%
Revenue Next Year-4.18%
Revenue Next 2Y-2.02%
Revenue Next 3Y-0.36%
Revenue Next 5Y1.51%
EBIT growth 1Y-17.16%
EBIT growth 3Y47.51%
EBIT growth 5Y24.84%
EBIT Next Year18.88%
EBIT Next 3Y5.97%
EBIT Next 5Y2.42%
FCF growth 1Y-53.5%
FCF growth 3YN/A
FCF growth 5Y12.92%
OCF growth 1Y-43.56%
OCF growth 3Y188.73%
OCF growth 5Y13.41%
TENARIS SA-ADR / TS FAQ
Can you provide the ChartMill fundamental rating for TENARIS SA-ADR?
ChartMill assigns a fundamental rating of 8 / 10 to TS.
What is the valuation status for TS stock?
ChartMill assigns a valuation rating of 7 / 10 to TENARIS SA-ADR (TS). This can be considered as Undervalued.
Can you provide the profitability details for TENARIS SA-ADR?
TENARIS SA-ADR (TS) has a profitability rating of 9 / 10.
Can you provide the PE and PB ratios for TS stock?
The Price/Earnings (PE) ratio for TENARIS SA-ADR (TS) is 10.76 and the Price/Book (PB) ratio is 1.24.
How sustainable is the dividend of TENARIS SA-ADR (TS) stock?
The dividend rating of TENARIS SA-ADR (TS) is 7 / 10 and the dividend payout ratio is 44.97%.