TENARIS SA-ADR (TS)
US88031M1099 - ADR
TS gets a fundamental rating of 8 out of 10. The analysis compared the fundamentals against 60 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, while showing a decent growth score. This is a good combination! With these ratings, TS could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
TS had positive earnings in the past year.
TS had a positive operating cash flow in the past year.
TS had positive earnings in 4 of the past 5 years.
TS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TS has a better Return On Assets (12.98%) than 91.67% of its industry peers.
TS has a better Return On Equity (16.39%) than 76.67% of its industry peers.
Looking at the Return On Invested Capital, with a value of 14.54%, TS belongs to the top of the industry, outperforming 90.00% of the companies in the same industry.
TS had an Average Return On Invested Capital over the past 3 years of 13.95%. This is significantly above the industry average of 8.29%.
The last Return On Invested Capital (14.54%) for TS is above the 3 year average (13.95%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.98% | ||
| ROE | 16.39% | ||
| ROIC | 14.54% |
ROA(3y)13.58%
ROA(5y)8.23%
ROE(3y)16.94%
ROE(5y)10.28%
ROIC(3y)13.95%
ROIC(5y)N/A
1.3 Margins
With an excellent Profit Margin value of 20.41%, TS belongs to the best of the industry, outperforming 95.00% of the companies in the same industry.
TS's Profit Margin has improved in the last couple of years.
The Operating Margin of TS (23.44%) is better than 88.33% of its industry peers.
In the last couple of years the Operating Margin of TS has grown nicely.
With a decent Gross Margin value of 37.60%, TS is doing good in the industry, outperforming 73.33% of the companies in the same industry.
TS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.44% | ||
| PM (TTM) | 20.41% | ||
| GM | 37.6% |
OM growth 3YN/A
OM growth 5Y20.38%
PM growth 3YN/A
PM growth 5Y18.16%
GM growth 3Y26.53%
GM growth 5Y6.06%
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 5.42 indicates that TS is not in any danger for bankruptcy at the moment.
The Altman-Z score of TS (5.42) is better than 91.67% of its industry peers.
The Debt to FCF ratio of TS is 0.23, which is an excellent value as it means it would take TS, only 0.23 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of TS (0.23) is better than 93.33% of its industry peers.
TS has a Debt/Equity ratio of 0.01. This is a healthy value indicating a solid balance between debt and equity.
With an excellent Debt to Equity ratio value of 0.01, TS belongs to the best of the industry, outperforming 90.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.23 | ||
| Altman-Z | 5.42 |
ROIC/WACC2.03
WACC7.18%
2.3 Liquidity
TS has a Current Ratio of 3.11. This indicates that TS is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 3.11, TS belongs to the top of the industry, outperforming 81.67% of the companies in the same industry.
A Quick Ratio of 1.89 indicates that TS should not have too much problems paying its short term obligations.
TS has a Quick ratio of 1.89. This is in the better half of the industry: TS outperforms 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.11 | ||
| Quick Ratio | 1.89 |
3. Growth
3.1 Past
The earnings per share for TS have decreased strongly by -11.48% 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 35.10% on average per year.
TS shows a strong growth in Revenue. In the last year, the Revenue has grown by 26.41%.
The Revenue has been growing by 14.19% on average over the past years. This is quite good.
EPS 1Y (TTM)-11.48%
EPS 3YN/A
EPS 5Y35.1%
EPS Q2Q%76.09%
Revenue 1Y (TTM)26.41%
Revenue growth 3Y42.42%
Revenue growth 5Y14.19%
Sales Q2Q%-9.96%
3.2 Future
TS is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -14.63% yearly.
Based on estimates for the next years, TS will show a decrease in Revenue. The Revenue will decrease by -3.51% on average per year.
EPS Next Y-41.99%
EPS Next 2Y-23.38%
EPS Next 3Y-15.87%
EPS Next 5Y-14.63%
Revenue Next Year-15.29%
Revenue Next 2Y-8.73%
Revenue Next 3Y-5.68%
Revenue Next 5Y-3.51%
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
TS is valuated cheaply with a Price/Earnings ratio of 6.68.
Based on the Price/Earnings ratio, TS is valued cheaper than 95.00% of the companies in the same industry.
TS's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.96.
Based on the Price/Forward Earnings ratio of 9.22, the valuation of TS can be described as reasonable.
Based on the Price/Forward Earnings ratio, TS is valued a bit cheaper than the industry average as 78.33% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of TS to the average of the S&P500 Index (23.82), we can say TS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.68 | ||
| Fwd PE | 9.22 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TS is valued cheaper than 83.33% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TS indicates a rather cheap valuation: TS is cheaper than 90.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.27 | ||
| EV/EBITDA | 4.13 |
4.3 Compensation for Growth
The excellent profitability rating of TS may justify a higher PE ratio.
TS's earnings are expected to decrease with -15.87% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.19
EPS Next 2Y-23.38%
EPS Next 3Y-15.87%
5. Dividend
5.1 Amount
TS has a Yearly Dividend Yield of 3.63%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.50, TS pays a better dividend. On top of this TS pays more dividend than 85.00% 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 2.23.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.63% |
5.2 History
The dividend of TS has a limited annual growth rate of 5.74%.
TS has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of TS decreased in the last 3 years.
Dividend Growth(5Y)5.74%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
TS pays out 25.33% of its income as dividend. This is a sustainable payout ratio.
DP25.33%
EPS Next 2Y-23.38%
EPS Next 3Y-15.87%
TENARIS SA-ADR
NYSE:TS (11/21/2024, 8:04:00 PM)
After market: 37 0 (0%)37
-0.01 (-0.03%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap20.51B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.63% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
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Revenue beat(2)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.68 | ||
| Fwd PE | 9.22 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.19
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.98% | ||
| ROE | 16.39% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 23.44% | ||
| PM (TTM) | 20.41% | ||
| GM | 37.6% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.11 | ||
| Quick Ratio | 1.89 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-11.48%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y-41.99%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)26.41%
Revenue growth 3Y42.42%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y