TENARIS SA-ADR (TS) Stock Fundamental Analysis
USA - NYSE:TS - US88031M1099 - ADR
40.31 USD
+0.1 (+0.25%)
40.31 USD
0 (0%)
Taking everything into account, TS scores 8 out of 10 in our fundamental rating. TS was compared to 60 industry peers in the Energy Equipment & Services industry. TS scores excellent points on both the profitability and health parts. This is a solid base for a good stock. TS is valued quite cheap, but it does not seem to be growing. TS also has an excellent dividend rating. These ratings could make TS a good candidate for value and dividend investing.
1. Profitability
1.1 Basic Checks
TS had positive earnings in the past year.
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
Looking at the Return On Assets, with a value of 9.77%, TS belongs to the top of the industry, outperforming 93.33% of the companies in the same industry.
Looking at the Return On Equity, with a value of 11.74%, TS is in the better half of the industry, outperforming 65.00% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 10.23%, TS is in the better half of the industry, outperforming 78.33% of the companies in the same industry.
TS had an Average Return On Invested Capital over the past 3 years of 16.25%. This is significantly above the industry average of 7.78%.
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
With an excellent Profit Margin value of 16.91%, TS belongs to the best of the industry, outperforming 93.33% of the companies in the same industry.
In the last couple of years the Profit Margin of TS has grown nicely.
Looking at the Operating Margin, with a value of 18.86%, TS belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
In the last couple of years the Operating Margin of TS has grown nicely.
Looking at the Gross Margin, with a value of 34.05%, TS is in the better half of the industry, outperforming 73.33% of the companies in the same industry.
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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so TS 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.
Compared to 1 year ago, TS has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 6.22 indicates that TS is not in any danger for bankruptcy at the moment.
TS has a Altman-Z score of 6.22. This is amongst the best in the industry. TS outperforms 98.33% 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 93.33% of its industry peers.
A Debt/Equity ratio of 0.01 indicates that TS is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.01, TS belongs to the top of the industry, outperforming 91.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.29 | ||
| Altman-Z | 6.22 |
ROIC/WACC1.35
WACC7.57%
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.
With an excellent Current ratio value of 4.08, TS belongs to the best of the industry, outperforming 88.33% of the companies in the same industry.
A Quick Ratio of 2.55 indicates that TS has no problem at all paying its short term obligations.
The Quick ratio of TS (2.55) is better than 83.33% 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.
The Revenue has decreased by -9.64% in the past year.
TS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.42% yearly.
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
TS is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -0.48% yearly.
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 Y6.71%
EPS Next 2Y1.79%
EPS Next 3Y2.3%
EPS Next 5Y-0.48%
Revenue Next Year-4.25%
Revenue Next 2Y-1.76%
Revenue Next 3Y-0.03%
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.
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
Based on the Price/Earnings ratio of 10.69, the valuation of TS can be described as reasonable.
Based on the Price/Earnings ratio, TS is valued cheaper than 90.00% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.51, TS is valued rather cheaply.
With a Price/Forward Earnings ratio of 10.77, the valuation of TS can be described as very reasonable.
TS's Price/Forward Earnings ratio is rather cheap when compared to the industry. TS is cheaper than 93.33% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.98, TS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.69 | ||
| Fwd PE | 10.77 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TS is valued a bit cheaper than 65.00% of the companies in the same industry.
61.67% of the companies in the same industry are more expensive than TS, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.83 | ||
| EV/EBITDA | 5.6 |
4.3 Compensation for Growth
The 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)1.59
PEG (5Y)0.46
EPS Next 2Y1.79%
EPS Next 3Y2.3%
5. Dividend
5.1 Amount
TS has a Yearly Dividend Yield of 4.00%, which is a nice return.
Compared to an average industry Dividend Yield of 2.95, TS pays a better dividend. On top of this TS pays more dividend than 91.67% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, TS pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4% |
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
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 2Y1.79%
EPS Next 3Y2.3%
40.31
+0.1 (+0.25%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners13.42%
Inst Owner Change-39.45%
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap20.94B
Revenue(TTM)11.83B
Net Income(TTM)2.00B
Analysts76.67
Price Target42.61 (5.71%)
Short Float %4.71%
Short Ratio5
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4% |
Yearly Dividend0.67
Dividend Growth(5Y)10.42%
DP44.97%
Div Incr Years3
Div Non Decr Years3
Ex-Date
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)0.06%
PT rev (3m)0.58%
EPS NQ rev (1m)-10.1%
EPS NQ rev (3m)-6.64%
EPS NY rev (1m)-5.35%
EPS NY rev (3m)-11.68%
Revenue NQ rev (1m)-1.2%
Revenue NQ rev (3m)-1.72%
Revenue NY rev (1m)-0.14%
Revenue NY rev (3m)0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.69 | ||
| Fwd PE | 10.77 | ||
| P/S | 1.77 | ||
| P/FCF | 12.83 | ||
| P/OCF | 9.09 | ||
| P/B | 1.23 | ||
| P/tB | 1.34 | ||
| EV/EBITDA | 5.6 |
EPS(TTM)3.77
EY9.35%
EPS(NY)3.74
Fwd EY9.28%
FCF(TTM)3.14
FCFY7.8%
OCF(TTM)4.44
OCFY11.01%
SpS22.78
BVpS32.8
TBVpS30.19
PEG (NY)1.59
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 | 6.22 |
F-Score6
WACC7.57%
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 Y6.71%
EPS Next 2Y1.79%
EPS Next 3Y2.3%
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-4.25%
Revenue Next 2Y-1.76%
Revenue Next 3Y-0.03%
Revenue Next 5Y1.51%
EBIT growth 1Y-17.16%
EBIT growth 3Y47.51%
EBIT growth 5Y24.84%
EBIT Next Year14.46%
EBIT Next 3Y4.78%
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 of TENARIS SA-ADR (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.
What is the valuation of TENARIS SA-ADR based on its PE and PB ratios?
The Price/Earnings (PE) ratio for TENARIS SA-ADR (TS) is 10.69 and the Price/Book (PB) ratio is 1.23.
What is the expected EPS growth for TENARIS SA-ADR (TS) stock?
The Earnings per Share (EPS) of TENARIS SA-ADR (TS) is expected to grow by 6.71% in the next year.