TETRA TECHNOLOGIES INC (TTI) Stock Fundamental Analysis
NYSE:TTI - New York Stock Exchange, Inc. - US88162F1057 - Common Stock - Currency: USD
Overall TTI gets a fundamental rating of 5 out of 10. We evaluated TTI against 62 industry peers in the Energy Equipment & Services industry. While TTI belongs to the best of the industry regarding profitability, there are concerns on its financial health. TTI has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
TTI had positive earnings in the past year.
TTI had a positive operating cash flow in the past year.
TTI had positive earnings in 4 of the past 5 years.
In the past 5 years TTI always reported a positive cash flow from operatings.
1.2 Ratios
TTI has a better Return On Assets (17.89%) than 96.77% of its industry peers.
TTI has a better Return On Equity (42.54%) than 95.16% of its industry peers.
TTI's Return On Invested Capital of 8.34% is fine compared to the rest of the industry. TTI outperforms 67.74% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TTI is in line with the industry average of 8.11%.
The 3 year average ROIC (8.06%) for TTI is below the current ROIC(8.34%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.89% | ||
| ROE | 42.54% | ||
| ROIC | 8.34% |
ROA(3y)8.36%
ROA(5y)9.3%
ROE(3y)22.39%
ROE(5y)N/A
ROIC(3y)8.06%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of TTI (18.07%) is better than 95.16% of its industry peers.
In the last couple of years the Profit Margin of TTI has declined.
TTI has a worse Operating Margin (8.34%) than 61.29% of its industry peers.
TTI's Operating Margin has improved in the last couple of years.
TTI has a Gross Margin (23.36%) which is in line with its industry peers.
TTI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.34% | ||
| PM (TTM) | 18.07% | ||
| GM | 23.36% |
OM growth 3YN/A
OM growth 5Y50.03%
PM growth 3Y-12.1%
PM growth 5YN/A
GM growth 3Y14.89%
GM growth 5Y5.02%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TTI is destroying value.
TTI has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, TTI has more shares outstanding
TTI has a better debt/assets ratio than last year.
2.2 Solvency
TTI has an Altman-Z score of 1.72. This is a bad value and indicates that TTI is not financially healthy and even has some risk of bankruptcy.
TTI has a Altman-Z score of 1.72. This is comparable to the rest of the industry: TTI outperforms 50.00% of its industry peers.
A Debt/Equity ratio of 0.71 indicates that TTI is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.71, TTI is doing worse than 72.58% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.72 |
ROIC/WACC0.79
WACC10.58%
2.3 Liquidity
TTI has a Current Ratio of 2.19. This indicates that TTI is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 2.19, TTI is doing good in the industry, outperforming 61.29% of the companies in the same industry.
TTI has a Quick Ratio of 1.36. This is a normal value and indicates that TTI is financially healthy and should not expect problems in meeting its short term obligations.
TTI has a worse Quick ratio (1.36) than 64.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.19 | ||
| Quick Ratio | 1.36 |
3. Growth
3.1 Past
TTI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -30.77%.
TTI shows a decrease in Revenue. In the last year, the revenue decreased by -4.34%.
TTI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.31% yearly.
EPS 1Y (TTM)-30.77%
EPS 3Y0%
EPS 5YN/A
EPS Q2Q%0%
Revenue 1Y (TTM)-4.34%
Revenue growth 3Y15.56%
Revenue growth 5Y1.31%
Sales Q2Q%-12.16%
3.2 Future
TTI is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 61.75% yearly.
The Revenue is expected to grow by 12.01% on average over the next years. This is quite good.
EPS Next Y53.56%
EPS Next 2Y57.22%
EPS Next 3Y67%
EPS Next 5Y61.75%
Revenue Next Year6.87%
Revenue Next 2Y8.75%
Revenue Next 3Y16.32%
Revenue Next 5Y12.01%
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 accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 14.56, TTI is valued correctly.
The rest of the industry has a similar Price/Earnings ratio as TTI.
Compared to an average S&P500 Price/Earnings ratio of 28.92, TTI is valued a bit cheaper.
TTI is valuated reasonably with a Price/Forward Earnings ratio of 9.48.
77.42% of the companies in the same industry are more expensive than TTI, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of TTI to the average of the S&P500 Index (21.65), we can say TTI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.56 | ||
| Fwd PE | 9.48 |
4.2 Price Multiples
TTI's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.48 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
TTI has a very decent profitability rating, which may justify a higher PE ratio.
TTI's earnings are expected to grow with 67.00% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.27
PEG (5Y)N/A
EPS Next 2Y57.22%
EPS Next 3Y67%
5. Dividend
5.1 Amount
No dividends for TTI!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
2.62
+0.15 (+6.07%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners70.48%
Inst Owner Change0.06%
Ins Owners4.84%
Ins Owner Change5.26%
Market Cap346.86M
Analysts82.5
Price Target6.38 (143.51%)
Short Float %2.58%
Short Ratio2.94
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-4.46%
Min EPS beat(2)-21%
Max EPS beat(2)12.09%
EPS beat(4)2
Avg EPS beat(4)5.56%
Min EPS beat(4)-29.57%
Max EPS beat(4)60.73%
EPS beat(8)3
Avg EPS beat(8)-5.6%
EPS beat(12)4
Avg EPS beat(12)78.4%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-4.56%
Min Revenue beat(2)-5.47%
Max Revenue beat(2)-3.64%
Revenue beat(4)0
Avg Revenue beat(4)-4.51%
Min Revenue beat(4)-6.2%
Max Revenue beat(4)-2.71%
Revenue beat(8)2
Avg Revenue beat(8)-3.2%
Revenue beat(12)5
Avg Revenue beat(12)-0.35%
Revenue beat(16)6
Avg Revenue beat(16)-1.05%
PT rev (1m)-2.34%
PT rev (3m)-0.79%
EPS NQ rev (1m)-10.31%
EPS NQ rev (3m)-25.16%
EPS NY rev (1m)-27.93%
EPS NY rev (3m)-28.41%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.31%
Revenue NY rev (1m)-1.79%
Revenue NY rev (3m)-4.63%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.56 | ||
| Fwd PE | 9.48 | ||
| P/S | 0.58 | ||
| P/FCF | N/A | ||
| P/OCF | 9.5 | ||
| P/B | 1.36 | ||
| P/tB | 1.51 | ||
| EV/EBITDA | 5.48 |
EPS(TTM)0.18
EY6.87%
EPS(NY)0.28
Fwd EY10.55%
FCF(TTM)-0.18
FCFYN/A
OCF(TTM)0.28
OCFY10.53%
SpS4.53
BVpS1.92
TBVpS1.73
PEG (NY)0.27
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.89% | ||
| ROE | 42.54% | ||
| ROCE | 10.38% | ||
| ROIC | 8.34% | ||
| ROICexc | 9.03% | ||
| ROICexgc | 9.57% | ||
| OM | 8.34% | ||
| PM (TTM) | 18.07% | ||
| GM | 23.36% | ||
| FCFM | N/A |
ROA(3y)8.36%
ROA(5y)9.3%
ROE(3y)22.39%
ROE(5y)N/A
ROIC(3y)8.06%
ROIC(5y)N/A
ROICexc(3y)8.98%
ROICexc(5y)N/A
ROICexgc(3y)9.83%
ROICexgc(5y)N/A
ROCE(3y)10.03%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y80.49%
ROICexc growth 3YN/A
ROICexc growth 5Y81.01%
OM growth 3YN/A
OM growth 5Y50.03%
PM growth 3Y-12.1%
PM growth 5YN/A
GM growth 3Y14.89%
GM growth 5Y5.02%
F-Score5
Asset Turnover0.99
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.1 | ||
| Cap/Depr | 169.87% | ||
| Cap/Sales | 10.13% | ||
| Interest Coverage | 2.31 | ||
| Cash Conversion | 42.61% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.19 | ||
| Quick Ratio | 1.36 | ||
| Altman-Z | 1.72 |
F-Score5
WACC10.58%
ROIC/WACC0.79
Cap/Depr(3y)134.35%
Cap/Depr(5y)97.81%
Cap/Sales(3y)7.82%
Cap/Sales(5y)7.31%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-30.77%
EPS 3Y0%
EPS 5YN/A
EPS Q2Q%0%
EPS Next Y53.56%
EPS Next 2Y57.22%
EPS Next 3Y67%
EPS Next 5Y61.75%
Revenue 1Y (TTM)-4.34%
Revenue growth 3Y15.56%
Revenue growth 5Y1.31%
Sales Q2Q%-12.16%
Revenue Next Year6.87%
Revenue Next 2Y8.75%
Revenue Next 3Y16.32%
Revenue Next 5Y12.01%
EBIT growth 1Y10.97%
EBIT growth 3YN/A
EBIT growth 5Y52%
EBIT Next Year120.41%
EBIT Next 3Y58.91%
EBIT Next 5Y51.81%
FCF growth 1Y-175.37%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-47.98%
OCF growth 3Y98.67%
OCF growth 5Y-16.55%