TOWNSQUARE MEDIA INC - CL A (TSQ) Stock Fundamental Analysis
USA - NYSE:TSQ - US8922311019 - Common Stock
7.02 USD
+0.15 (+2.18%)
7.02 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to TSQ. TSQ was compared to 99 industry peers in the Media industry. There are concerns on the financial health of TSQ while its profitability can be described as average. A decent growth rate in combination with a cheap valuation! Better keep an eye on TSQ. TSQ also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
TSQ had positive earnings in the past year.
In the past year TSQ had a positive cash flow from operations.
In multiple years TSQ reported negative net income over the last 5 years.
TSQ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of TSQ (6.41%) is better than 81.82% of its industry peers.
The Return On Invested Capital of TSQ (11.59%) is better than 89.90% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TSQ is in line with the industry average of 8.87%.
The 3 year average ROIC (10.20%) for TSQ is below the current ROIC(11.59%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.41% | ||
| ROE | N/A | ||
| ROIC | 11.59% |
ROA(3y)-2.48%
ROA(5y)-3.17%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)10.2%
ROIC(5y)9.02%
1.3 Margins
TSQ has a Profit Margin of 7.82%. This is in the better half of the industry: TSQ outperforms 75.76% of its industry peers.
TSQ has a better Operating Margin (15.33%) than 79.80% of its industry peers.
In the last couple of years the Operating Margin of TSQ has declined.
With a Gross Margin value of 27.78%, TSQ is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
TSQ's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.33% | ||
| PM (TTM) | 7.82% | ||
| GM | 27.78% |
OM growth 3Y-10.55%
OM growth 5Y-3.86%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.9%
GM growth 5Y-1.93%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TSQ is still creating some value.
The number of shares outstanding for TSQ has been reduced compared to 1 year ago.
Compared to 5 years ago, TSQ has less shares outstanding
The debt/assets ratio for TSQ is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.49, we must say that TSQ is in the distress zone and has some risk of bankruptcy.
TSQ's Altman-Z score of 0.49 is on the low side compared to the rest of the industry. TSQ is outperformed by 65.66% of its industry peers.
TSQ has a debt to FCF ratio of 14.11. This is a negative value and a sign of low solvency as TSQ would need 14.11 years to pay back of all of its debts.
The Debt to FCF ratio of TSQ (14.11) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 14.11 | ||
| Altman-Z | 0.49 |
ROIC/WACC1.66
WACC6.99%
2.3 Liquidity
TSQ has a Current Ratio of 0.98. This is a bad value and indicates that TSQ is not financially healthy enough and could expect problems in meeting its short term obligations.
TSQ has a worse Current ratio (0.98) than 62.63% of its industry peers.
TSQ has a Quick Ratio of 0.98. This is a bad value and indicates that TSQ is not financially healthy enough and could expect problems in meeting its short term obligations.
TSQ has a Quick ratio of 0.98. This is in the lower half of the industry: TSQ underperforms 61.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.98 |
3. Growth
3.1 Past
TSQ shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 142.60%, which is quite impressive.
Looking at the last year, TSQ shows a decrease in Revenue. The Revenue has decreased by -0.11% in the last year.
The Revenue has been growing slightly by 0.89% on average over the past years.
EPS 1Y (TTM)142.6%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%106.75%
Revenue 1Y (TTM)-0.11%
Revenue growth 3Y2.56%
Revenue growth 5Y0.89%
Sales Q2Q%-2.35%
3.2 Future
The Earnings Per Share is expected to grow by 39.26% on average over the next years. This is a very strong growth
Based on estimates for the next years, TSQ will show a small growth in Revenue. The Revenue will grow by 0.77% on average per year.
EPS Next Y128.86%
EPS Next 2Y74.68%
EPS Next 3Y39.26%
EPS Next 5YN/A
Revenue Next Year-3.54%
Revenue Next 2Y0.39%
Revenue Next 3Y0.77%
Revenue Next 5YN/A
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 2.94, the valuation of TSQ can be described as very cheap.
Based on the Price/Earnings ratio, TSQ is valued cheaper than 98.99% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.38, TSQ is valued rather cheaply.
TSQ is valuated cheaply with a Price/Forward Earnings ratio of 6.81.
84.85% of the companies in the same industry are more expensive than TSQ, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.86. TSQ is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 2.94 | ||
| Fwd PE | 6.81 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TSQ indicates a rather cheap valuation: TSQ is cheaper than 80.81% of the companies listed in the same industry.
TSQ's Price/Free Cash Flow ratio is rather cheap when compared to the industry. TSQ is cheaper than 89.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.71 | ||
| EV/EBITDA | 6.08 |
4.3 Compensation for Growth
TSQ's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as TSQ's earnings are expected to grow with 39.26% in the coming years.
PEG (NY)0.02
PEG (5Y)N/A
EPS Next 2Y74.68%
EPS Next 3Y39.26%
5. Dividend
5.1 Amount
TSQ has a Yearly Dividend Yield of 11.64%, which is a nice return.
TSQ's Dividend Yield is rather good when compared to the industry average which is at 4.59. TSQ pays more dividend than 98.99% of the companies in the same industry.
TSQ's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.64% |
5.2 History
The dividend of TSQ is nicely growing with an annual growth rate of 18.02%!
TSQ has been paying a dividend for over 5 years, so it has already some track record.
TSQ has decreased its dividend recently.
Dividend Growth(5Y)18.02%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
36.05% of the earnings are spent on dividend by TSQ. This is a low number and sustainable payout ratio.
TSQ's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP36.05%
EPS Next 2Y74.68%
EPS Next 3Y39.26%
7.02
+0.15 (+2.18%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners53.22%
Inst Owner Change-4.03%
Ins Owners9.5%
Ins Owner Change0.19%
Market Cap115.48M
Analysts83.33
Price Target17.34 (147.01%)
Short Float %0.95%
Short Ratio1.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.64% |
Yearly Dividend0.76
Dividend Growth(5Y)18.02%
DP36.05%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-8.75%
Min EPS beat(2)-23.76%
Max EPS beat(2)6.25%
EPS beat(4)3
Avg EPS beat(4)56.42%
Min EPS beat(4)-23.76%
Max EPS beat(4)162.38%
EPS beat(8)4
Avg EPS beat(8)-215%
EPS beat(12)4
Avg EPS beat(12)-191.98%
EPS beat(16)6
Avg EPS beat(16)-146.79%
Revenue beat(2)0
Avg Revenue beat(2)-0.83%
Min Revenue beat(2)-1.26%
Max Revenue beat(2)-0.4%
Revenue beat(4)1
Avg Revenue beat(4)-0.65%
Min Revenue beat(4)-1.26%
Max Revenue beat(4)0.2%
Revenue beat(8)3
Avg Revenue beat(8)-0.44%
Revenue beat(12)5
Avg Revenue beat(12)-0.37%
Revenue beat(16)9
Avg Revenue beat(16)0.09%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-48%
EPS NY rev (1m)-39.13%
EPS NY rev (3m)-39.13%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.76%
Revenue NY rev (1m)-0.5%
Revenue NY rev (3m)-0.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 2.94 | ||
| Fwd PE | 6.81 | ||
| P/S | 0.26 | ||
| P/FCF | 3.71 | ||
| P/OCF | 2.4 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.08 |
EPS(TTM)2.39
EY34.05%
EPS(NY)1.03
Fwd EY14.68%
FCF(TTM)1.89
FCFY26.99%
OCF(TTM)2.93
OCFY41.73%
SpS27.19
BVpS-1.83
TBVpS-20.78
PEG (NY)0.02
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.41% | ||
| ROE | N/A | ||
| ROCE | 14.67% | ||
| ROIC | 11.59% | ||
| ROICexc | 11.67% | ||
| ROICexgc | 35.58% | ||
| OM | 15.33% | ||
| PM (TTM) | 7.82% | ||
| GM | 27.78% | ||
| FCFM | 6.97% |
ROA(3y)-2.48%
ROA(5y)-3.17%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)10.2%
ROIC(5y)9.02%
ROICexc(3y)11.08%
ROICexc(5y)9.83%
ROICexgc(3y)35.42%
ROICexgc(5y)32.69%
ROCE(3y)12.92%
ROCE(5y)11.42%
ROICexcg growth 3Y-6.81%
ROICexcg growth 5Y-0.4%
ROICexc growth 3Y-0.57%
ROICexc growth 5Y5.71%
OM growth 3Y-10.55%
OM growth 5Y-3.86%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.9%
GM growth 5Y-1.93%
F-Score7
Asset Turnover0.82
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 14.11 | ||
| Debt/EBITDA | 4.73 | ||
| Cap/Depr | 77.84% | ||
| Cap/Sales | 3.81% | ||
| Interest Coverage | 1.46 | ||
| Cash Conversion | 53.3% | ||
| Profit Quality | 89.07% | ||
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.98 | ||
| Altman-Z | 0.49 |
F-Score7
WACC6.99%
ROIC/WACC1.66
Cap/Depr(3y)67.01%
Cap/Depr(5y)68.08%
Cap/Sales(3y)3.53%
Cap/Sales(5y)3.52%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)142.6%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%106.75%
EPS Next Y128.86%
EPS Next 2Y74.68%
EPS Next 3Y39.26%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.11%
Revenue growth 3Y2.56%
Revenue growth 5Y0.89%
Sales Q2Q%-2.35%
Revenue Next Year-3.54%
Revenue Next 2Y0.39%
Revenue Next 3Y0.77%
Revenue Next 5YN/A
EBIT growth 1Y12.41%
EBIT growth 3Y-8.26%
EBIT growth 5Y-3%
EBIT Next Year297.76%
EBIT Next 3Y62.7%
EBIT Next 5YN/A
FCF growth 1Y-27.94%
FCF growth 3Y-13.71%
FCF growth 5Y9.04%
OCF growth 1Y-17.75%
OCF growth 3Y-7.27%
OCF growth 5Y4.04%