TENARIS SA-ADR (TS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TS - US88031M1099 - ADR
38.45 USD
-0.39 (-1%)
38.45 USD
0 (0%)
TS gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 62 industry peers in the Energy Equipment & Services industry. TS gets an excellent profitability rating and is at the same time showing great financial health properties. TS is valued quite cheap, but it does not seem to be growing. TS also has an excellent dividend rating. These ratings would make TS suitable 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.
Each year in the past 5 years TS had a positive operating cash flow.
1.2 Ratios
The Return On Assets of TS (9.77%) is better than 93.55% of its industry peers.
TS has a Return On Equity of 11.74%. This is in the better half of the industry: TS outperforms 70.97% of its industry peers.
TS has a better Return On Invested Capital (10.23%) than 79.03% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TS is above the industry average of 12.99%.
The 3 year average ROIC (16.25%) for TS is well above the current ROIC(10.23%). The reason for the recent decline needs to be investigated.
| 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
TS has a better Profit Margin (16.91%) than 95.16% of its industry peers.
TS's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 18.86%, TS belongs to the best of the industry, outperforming 82.26% of the companies in the same industry.
TS's Operating Margin has improved in the last couple of years.
TS's Gross Margin of 34.05% is fine compared to the rest 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.
Compared to 1 year ago, TS has less shares outstanding
Compared to 5 years ago, TS has less shares outstanding
The debt/assets ratio for TS has been reduced compared to a year ago.
2.2 Solvency
TS has an Altman-Z score of 6.05. This indicates that TS is financially healthy and has little risk of bankruptcy at the moment.
TS has a Altman-Z score of 6.05. This is amongst the best in the industry. TS outperforms 98.39% 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.
Looking at the Debt to FCF ratio, with a value of 0.29, TS belongs to the top of the industry, outperforming 91.94% of the companies in the same industry.
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 | 6.05 |
ROIC/WACC1.35
WACC7.6%
2.3 Liquidity
TS has a Current Ratio of 4.08. This indicates that TS is financially healthy and has no problem in meeting its short term obligations.
TS has a better Current ratio (4.08) than 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.
With an excellent Quick ratio value of 2.55, TS belongs to the best of the industry, outperforming 87.10% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.08 | ||
| Quick Ratio | 2.55 |
3. Growth
3.1 Past
The earnings per share for TS have decreased strongly by -17.98% in the last year.
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
Based on estimates for the next years, TS will show a decrease in Earnings Per Share. The EPS will decrease by -0.48% on average per year.
Based on estimates for the next years, TS will show a small growth in Revenue. The Revenue will grow by 1.51% on average per year.
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
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 10.20, the valuation of TS can be described as very reasonable.
88.71% of the companies in the same industry are more expensive than TS, based on the Price/Earnings ratio.
TS is valuated cheaply when we compare the Price/Earnings ratio to 26.51, which is the current average of the S&P500 Index.
TS is valuated reasonably with a Price/Forward Earnings ratio of 10.19.
TS's Price/Forward Earnings ratio is rather cheap when compared to the industry. TS is cheaper than 95.16% of the companies in the same industry.
TS's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.13.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.2 | ||
| Fwd PE | 10.19 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TS is valued a bit cheaper than 75.81% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, TS is valued a bit cheaper than the industry average as 69.35% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.24 | ||
| EV/EBITDA | 5.27 |
4.3 Compensation for Growth
TS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
TS has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.32
PEG (5Y)0.44
EPS Next 2Y2.2%
EPS Next 3Y3.58%
5. Dividend
5.1 Amount
TS has a Yearly Dividend Yield of 4.32%, which is a nice return.
Compared to an average industry Dividend Yield of 1.30, TS pays a better dividend. On top of this TS pays more dividend than 91.94% of the companies listed in the same industry.
TS's Dividend Yield is rather good when compared to the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.32% |
5.2 History
On average, the dividend of TS grows each year by 10.42%, which is quite nice.
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
TS pays out 44.97% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP44.97%
EPS Next 2Y2.2%
EPS Next 3Y3.58%
38.45
-0.39 (-1%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners13.38%
Inst Owner Change-23.11%
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap19.97B
Revenue(TTM)11.83B
Net Income(TTM)2.00B
Analysts76.67
Price Target42.38 (10.22%)
Short Float %4.43%
Short Ratio5.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.32% |
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)-5.08%
EPS NQ rev (3m)-33.52%
EPS NY rev (1m)0.97%
EPS NY rev (3m)-4.03%
Revenue NQ rev (1m)-0.6%
Revenue NQ rev (3m)-0.37%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)0.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.2 | ||
| Fwd PE | 10.19 | ||
| P/S | 1.69 | ||
| P/FCF | 12.24 | ||
| P/OCF | 8.67 | ||
| P/B | 1.17 | ||
| P/tB | 1.27 | ||
| EV/EBITDA | 5.27 |
EPS(TTM)3.77
EY9.8%
EPS(NY)3.77
Fwd EY9.81%
FCF(TTM)3.14
FCFY8.17%
OCF(TTM)4.44
OCFY11.54%
SpS22.78
BVpS32.81
TBVpS30.19
PEG (NY)1.32
PEG (5Y)0.44
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 | 6.05 |
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 7 / 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 8 / 10.
Can you provide the PE and PB ratios for TS stock?
The Price/Earnings (PE) ratio for TENARIS SA-ADR (TS) is 10.2 and the Price/Book (PB) ratio is 1.17.
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%.