TORO CO (TTC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TTC - US8910921084 - Common Stock
89.57 USD
0 (0%)
89.57 USD
0 (0%)
Taking everything into account, TTC scores 5 out of 10 in our fundamental rating. TTC was compared to 132 industry peers in the Machinery industry. TTC has an average financial health and profitability rating. TTC has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
- In the past year TTC was profitable.
- TTC had a positive operating cash flow in the past year.
- Each year in the past 5 years TTC has been profitable.
- Each year in the past 5 years TTC had a positive operating cash flow.
1.2 Ratios
- With a decent Return On Assets value of 9.19%, TTC is doing good in the industry, outperforming 77.27% of the companies in the same industry.
- With an excellent Return On Equity value of 21.75%, TTC belongs to the best of the industry, outperforming 89.39% of the companies in the same industry.
- The Return On Invested Capital of TTC (16.07%) is better than 91.67% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for TTC is significantly above the industry average of 10.24%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.19% | ||
| ROE | 21.75% | ||
| ROIC | 16.07% |
ROA(3y)9.98%
ROA(5y)11.27%
ROE(3y)23.52%
ROE(5y)27.79%
ROIC(3y)16.95%
ROIC(5y)18.18%
1.3 Margins
- TTC's Profit Margin of 7.01% is fine compared to the rest of the industry. TTC outperforms 61.36% of its industry peers.
- TTC's Profit Margin has declined in the last couple of years.
- The Operating Margin of TTC (10.89%) is comparable to the rest of the industry.
- In the last couple of years the Operating Margin of TTC has declined.
- TTC has a Gross Margin (33.36%) which is comparable to the rest of the industry.
- TTC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.89% | ||
| PM (TTM) | 7.01% | ||
| GM | 33.36% |
OM growth 3Y-5.13%
OM growth 5Y-2.91%
PM growth 3Y-10.64%
PM growth 5Y-6.41%
GM growth 3Y0.04%
GM growth 5Y-1.07%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TTC is still creating some value.
- The number of shares outstanding for TTC has been reduced compared to 1 year ago.
- TTC has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, TTC has a worse debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 5.27 indicates that TTC is not in any danger for bankruptcy at the moment.
- TTC has a Altman-Z score of 5.27. This is in the better half of the industry: TTC outperforms 75.00% of its industry peers.
- TTC has a debt to FCF ratio of 1.61. This is a very positive value and a sign of high solvency as it would only need 1.61 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 1.61, TTC belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
- A Debt/Equity ratio of 0.63 indicates that TTC is somewhat dependend on debt financing.
- With a Debt to Equity ratio value of 0.63, TTC is not doing good in the industry: 62.12% of the companies in the same industry are doing better.
- Although TTC does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.63 | ||
| Debt/FCF | 1.61 | ||
| Altman-Z | 5.27 |
ROIC/WACC1.64
WACC9.81%
2.3 Liquidity
- A Current Ratio of 1.87 indicates that TTC should not have too much problems paying its short term obligations.
- TTC's Current ratio of 1.87 is in line compared to the rest of the industry. TTC outperforms 40.91% of its industry peers.
- TTC has a Quick Ratio of 1.87. This is a bad value and indicates that TTC is not financially healthy enough and could expect problems in meeting its short term obligations.
- TTC's Quick ratio of 0.86 is on the low side compared to the rest of the industry. TTC is outperformed by 71.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.87 | ||
| Quick Ratio | 0.86 |
3. Growth
3.1 Past
- TTC shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.20%.
- Measured over the past 5 years, TTC shows a small growth in Earnings Per Share. The EPS has been growing by 6.92% on average per year.
- Looking at the last year, TTC shows a decrease in Revenue. The Revenue has decreased by -1.60% in the last year.
- TTC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.95% yearly.
EPS 1Y (TTM)1.2%
EPS 3Y0.16%
EPS 5Y6.92%
EPS Q2Q%-4.21%
Revenue 1Y (TTM)-1.6%
Revenue growth 3Y-0.03%
Revenue growth 5Y5.95%
Sales Q2Q%-0.91%
3.2 Future
- TTC is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.82% yearly.
- The Revenue is expected to grow by 3.09% on average over the next years.
EPS Next Y8%
EPS Next 2Y9.5%
EPS Next 3Y9.3%
EPS Next 5Y6.82%
Revenue Next Year3.64%
Revenue Next 2Y4.14%
Revenue Next 3Y3.46%
Revenue Next 5Y3.09%
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same 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
- A Price/Earnings ratio of 21.23 indicates a rather expensive valuation of TTC.
- Compared to the rest of the industry, the Price/Earnings ratio of TTC indicates a somewhat cheap valuation: TTC is cheaper than 72.73% of the companies listed in the same industry.
- TTC is valuated rather cheaply when we compare the Price/Earnings ratio to 27.38, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 19.65, the valuation of TTC can be described as rather expensive.
- Based on the Price/Forward Earnings ratio, TTC is valued a bit cheaper than the industry average as 63.64% of the companies are valued more expensively.
- The average S&P500 Price/Forward Earnings ratio is at 24.29. TTC is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.23 | ||
| Fwd PE | 19.65 |
4.2 Price Multiples
- TTC's Enterprise Value to EBITDA is on the same level as the industry average.
- Based on the Price/Free Cash Flow ratio, TTC is valued cheaply inside the industry as 85.61% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.27 | ||
| EV/EBITDA | 14.74 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TTC does not grow enough to justify the current Price/Earnings ratio.
- TTC has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.65
PEG (5Y)3.07
EPS Next 2Y9.5%
EPS Next 3Y9.3%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.74%, TTC has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 0.98, TTC pays a better dividend. On top of this TTC pays more dividend than 84.09% of the companies listed in the same industry.
- TTC's Dividend Yield is comparable with the S&P500 average which is at 1.85.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.74% |
5.2 History
- The dividend of TTC is nicely growing with an annual growth rate of 8.56%!
- TTC has paid a dividend for at least 10 years, which is a reliable track record.
- TTC has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)8.56%
Div Incr Years21
Div Non Decr Years34
5.3 Sustainability
- 47.80% of the earnings are spent on dividend by TTC. This is a bit on the high side, but may be sustainable.
- The dividend of TTC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP47.8%
EPS Next 2Y9.5%
EPS Next 3Y9.3%
89.57
0 (0%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)12-17 2025-12-17/bmo
Earnings (Next)03-04 2026-03-04
Inst Owners93.81%
Inst Owner Change0.59%
Ins Owners0.36%
Ins Owner Change1.44%
Market Cap8.77B
Revenue(TTM)4.51B
Net Income(TTM)316.10M
Analysts75.56
Price Target94.45 (5.45%)
Short Float %2.69%
Short Ratio2.97
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.74% |
Yearly Dividend1.52
Dividend Growth(5Y)8.56%
DP47.8%
Div Incr Years21
Div Non Decr Years34
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.2%
Min EPS beat(2)0.84%
Max EPS beat(2)3.56%
EPS beat(4)4
Avg EPS beat(4)1.78%
Min EPS beat(4)0.57%
Max EPS beat(4)3.56%
EPS beat(8)5
Avg EPS beat(8)0.61%
EPS beat(12)8
Avg EPS beat(12)1.11%
EPS beat(16)11
Avg EPS beat(16)1.47%
Revenue beat(2)1
Avg Revenue beat(2)-1.35%
Min Revenue beat(2)-3.47%
Max Revenue beat(2)0.78%
Revenue beat(4)1
Avg Revenue beat(4)-2.05%
Min Revenue beat(4)-3.52%
Max Revenue beat(4)0.78%
Revenue beat(8)1
Avg Revenue beat(8)-2.66%
Revenue beat(12)1
Avg Revenue beat(12)-3.61%
Revenue beat(16)1
Avg Revenue beat(16)-3.4%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-19.25%
EPS NQ rev (3m)-19.25%
EPS NY rev (1m)-4.19%
EPS NY rev (3m)-3.74%
Revenue NQ rev (1m)-2.32%
Revenue NQ rev (3m)-2.23%
Revenue NY rev (1m)-0.17%
Revenue NY rev (3m)0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.23 | ||
| Fwd PE | 19.65 | ||
| P/S | 1.94 | ||
| P/FCF | 15.27 | ||
| P/OCF | 13.24 | ||
| P/B | 6.03 | ||
| P/tB | 14.32 | ||
| EV/EBITDA | 14.74 |
EPS(TTM)4.22
EY4.71%
EPS(NY)4.56
Fwd EY5.09%
FCF(TTM)5.87
FCFY6.55%
OCF(TTM)6.76
OCFY7.55%
SpS46.09
BVpS14.85
TBVpS6.25
PEG (NY)2.65
PEG (5Y)3.07
Graham Number37.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.19% | ||
| ROE | 21.75% | ||
| ROCE | 19.43% | ||
| ROIC | 16.07% | ||
| ROICexc | 18.58% | ||
| ROICexgc | 30.21% | ||
| OM | 10.89% | ||
| PM (TTM) | 7.01% | ||
| GM | 33.36% | ||
| FCFM | 12.73% |
ROA(3y)9.98%
ROA(5y)11.27%
ROE(3y)23.52%
ROE(5y)27.79%
ROIC(3y)16.95%
ROIC(5y)18.18%
ROICexc(3y)18.71%
ROICexc(5y)20.62%
ROICexgc(3y)30.76%
ROICexgc(5y)38%
ROCE(3y)20.49%
ROCE(5y)21.99%
ROICexgc growth 3Y-10.36%
ROICexgc growth 5Y-10.11%
ROICexc growth 3Y-3.48%
ROICexc growth 5Y-4.37%
OM growth 3Y-5.13%
OM growth 5Y-2.91%
PM growth 3Y-10.64%
PM growth 5Y-6.41%
GM growth 3Y0.04%
GM growth 5Y-1.07%
F-Score6
Asset Turnover1.31
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.63 | ||
| Debt/FCF | 1.61 | ||
| Debt/EBITDA | 1.45 | ||
| Cap/Depr | 61.51% | ||
| Cap/Sales | 1.95% | ||
| Interest Coverage | 7.86 | ||
| Cash Conversion | 104.43% | ||
| Profit Quality | 181.62% | ||
| Current Ratio | 1.87 | ||
| Quick Ratio | 0.86 | ||
| Altman-Z | 5.27 |
F-Score6
WACC9.81%
ROIC/WACC1.64
Cap/Depr(3y)89.43%
Cap/Depr(5y)107.78%
Cap/Sales(3y)2.5%
Cap/Sales(5y)2.83%
Profit Quality(3y)113.49%
Profit Quality(5y)95.41%
High Growth Momentum
Growth
EPS 1Y (TTM)1.2%
EPS 3Y0.16%
EPS 5Y6.92%
EPS Q2Q%-4.21%
EPS Next Y8%
EPS Next 2Y9.5%
EPS Next 3Y9.3%
EPS Next 5Y6.82%
Revenue 1Y (TTM)-1.6%
Revenue growth 3Y-0.03%
Revenue growth 5Y5.95%
Sales Q2Q%-0.91%
Revenue Next Year3.64%
Revenue Next 2Y4.14%
Revenue Next 3Y3.46%
Revenue Next 5Y3.09%
EBIT growth 1Y-7.93%
EBIT growth 3Y-5.16%
EBIT growth 5Y2.86%
EBIT Next Year32.26%
EBIT Next 3Y17%
EBIT Next 5YN/A
FCF growth 1Y23.3%
FCF growth 3Y57.67%
FCF growth 5Y4.47%
OCF growth 1Y16.16%
OCF growth 3Y30.6%
OCF growth 5Y4.18%
TORO CO / TTC FAQ
What is the ChartMill fundamental rating of TORO CO (TTC) stock?
ChartMill assigns a fundamental rating of 5 / 10 to TTC.
What is the valuation status of TORO CO (TTC) stock?
ChartMill assigns a valuation rating of 4 / 10 to TORO CO (TTC). This can be considered as Fairly Valued.
What is the profitability of TTC stock?
TORO CO (TTC) has a profitability rating of 6 / 10.
What is the valuation of TORO CO based on its PE and PB ratios?
The Price/Earnings (PE) ratio for TORO CO (TTC) is 21.23 and the Price/Book (PB) ratio is 6.03.
What is the financial health of TORO CO (TTC) stock?
The financial health rating of TORO CO (TTC) is 6 / 10.