TTM TECHNOLOGIES (TTMI) Stock Fundamental Analysis
USA - NASDAQ:TTMI - US87305R1095 - Common Stock
49.4 USD
+2.63 (+5.62%)
49.4998 USD
+0.1 (+0.2%)
We assign a fundamental rating of 5 out of 10 to TTMI. TTMI was compared to 125 industry peers in the Electronic Equipment, Instruments & Components industry. TTMI scores excellent on profitability, but there are some minor concerns on its financial health. TTMI has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
TTMI had positive earnings in the past year.
TTMI had a positive operating cash flow in the past year.
TTMI had positive earnings in 4 of the past 5 years.
TTMI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.60%, TTMI is in the better half of the industry, outperforming 60.80% of the companies in the same industry.
The Return On Equity of TTMI (5.69%) is better than 61.60% of its industry peers.
With a decent Return On Invested Capital value of 6.12%, TTMI is doing good in the industry, outperforming 65.60% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for TTMI is significantly below the industry average of 9.48%.
The last Return On Invested Capital (6.12%) for TTMI is above the 3 year average (4.37%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.6% | ||
| ROE | 5.69% | ||
| ROIC | 6.12% |
ROA(3y)1.3%
ROA(5y)2.37%
ROE(3y)2.84%
ROE(5y)4.91%
ROIC(3y)4.37%
ROIC(5y)4.21%
1.3 Margins
TTMI has a Profit Margin of 3.52%. This is in the better half of the industry: TTMI outperforms 64.00% of its industry peers.
In the last couple of years the Profit Margin of TTMI has grown nicely.
TTMI's Operating Margin of 8.05% is fine compared to the rest of the industry. TTMI outperforms 75.20% of its industry peers.
In the last couple of years the Operating Margin of TTMI has grown nicely.
With a Gross Margin value of 20.23%, TTMI is not doing good in the industry: 66.40% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of TTMI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.05% | ||
| PM (TTM) | 3.52% | ||
| GM | 20.23% |
OM growth 3Y4.14%
OM growth 5Y3.95%
PM growth 3Y-1.6%
PM growth 5Y3.55%
GM growth 3Y5.71%
GM growth 5Y2.02%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TTMI is destroying value.
The number of shares outstanding for TTMI remains at a similar level compared to 1 year ago.
TTMI has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, TTMI has an improved debt to assets ratio.
2.2 Solvency
TTMI has an Altman-Z score of 3.07. This indicates that TTMI is financially healthy and has little risk of bankruptcy at the moment.
With a Altman-Z score value of 3.07, TTMI perfoms like the industry average, outperforming 45.60% of the companies in the same industry.
The Debt to FCF ratio of TTMI is 52.91, which is on the high side as it means it would take TTMI, 52.91 years of fcf income to pay off all of its debts.
TTMI's Debt to FCF ratio of 52.91 is in line compared to the rest of the industry. TTMI outperforms 50.40% of its industry peers.
A Debt/Equity ratio of 0.57 indicates that TTMI is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.57, TTMI is doing worse than 72.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.57 | ||
| Debt/FCF | 52.91 | ||
| Altman-Z | 3.07 |
ROIC/WACC0.67
WACC9.15%
2.3 Liquidity
TTMI has a Current Ratio of 2.03. This indicates that TTMI is financially healthy and has no problem in meeting its short term obligations.
With a Current ratio value of 2.03, TTMI perfoms like the industry average, outperforming 43.20% of the companies in the same industry.
A Quick Ratio of 1.72 indicates that TTMI should not have too much problems paying its short term obligations.
TTMI has a Quick ratio of 1.72. This is comparable to the rest of the industry: TTMI outperforms 52.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.03 | ||
| Quick Ratio | 1.72 |
3. Growth
3.1 Past
TTMI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 35.71%, which is quite impressive.
Measured over the past 5 years, TTMI shows a small growth in Earnings Per Share. The EPS has been growing by 7.89% on average per year.
TTMI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.24%.
Measured over the past years, TTMI shows a small growth in Revenue. The Revenue has been growing by 2.75% on average per year.
EPS 1Y (TTM)35.71%
EPS 3Y10.42%
EPS 5Y7.89%
EPS Q2Q%48.72%
Revenue 1Y (TTM)14.24%
Revenue growth 3Y2.8%
Revenue growth 5Y2.75%
Sales Q2Q%20.74%
3.2 Future
Based on estimates for the next years, TTMI will show a quite strong growth in Earnings Per Share. The EPS will grow by 17.79% on average per year.
Based on estimates for the next years, TTMI will show a small growth in Revenue. The Revenue will grow by 7.87% on average per year.
EPS Next Y37.63%
EPS Next 2Y24.47%
EPS Next 3Y17.79%
EPS Next 5YN/A
Revenue Next Year16.4%
Revenue Next 2Y10.81%
Revenue Next 3Y7.87%
Revenue Next 5YN/A
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 23.64, the valuation of TTMI can be described as rather expensive.
Based on the Price/Earnings ratio, TTMI is valued a bit cheaper than the industry average as 77.60% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of TTMI to the average of the S&P500 Index (27.27), we can say TTMI is valued inline with the index average.
TTMI is valuated rather expensively with a Price/Forward Earnings ratio of 18.65.
Based on the Price/Forward Earnings ratio, TTMI is valued a bit cheaper than the industry average as 74.40% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of TTMI to the average of the S&P500 Index (22.77), we can say TTMI is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.64 | ||
| Fwd PE | 18.65 |
4.2 Price Multiples
TTMI's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. TTMI is cheaper than 73.60% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as TTMI.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 289.33 | ||
| EV/EBITDA | 14.82 |
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.
The decent profitability rating of TTMI may justify a higher PE ratio.
A more expensive valuation may be justified as TTMI's earnings are expected to grow with 17.79% in the coming years.
PEG (NY)0.63
PEG (5Y)3
EPS Next 2Y24.47%
EPS Next 3Y17.79%
5. Dividend
5.1 Amount
TTMI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
49.4
+2.63 (+5.62%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners104.09%
Inst Owner Change-0.49%
Ins Owners1.86%
Ins Owner Change-1.29%
Market Cap5.10B
Analysts84
Price Target57.89 (17.19%)
Short Float %3.41%
Short Ratio1.44
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)2
Avg EPS beat(2)16.58%
Min EPS beat(2)8.83%
Max EPS beat(2)24.34%
EPS beat(4)3
Avg EPS beat(4)14.02%
Min EPS beat(4)-1.36%
Max EPS beat(4)24.34%
EPS beat(8)7
Avg EPS beat(8)18.1%
EPS beat(12)10
Avg EPS beat(12)18.98%
EPS beat(16)13
Avg EPS beat(16)18.56%
Revenue beat(2)2
Avg Revenue beat(2)4.74%
Min Revenue beat(2)2.33%
Max Revenue beat(2)7.15%
Revenue beat(4)4
Avg Revenue beat(4)2.71%
Min Revenue beat(4)0.07%
Max Revenue beat(4)7.15%
Revenue beat(8)6
Avg Revenue beat(8)1.29%
Revenue beat(12)6
Avg Revenue beat(12)-0.74%
Revenue beat(16)9
Avg Revenue beat(16)0.01%
PT rev (1m)0%
PT rev (3m)62.14%
EPS NQ rev (1m)0.84%
EPS NQ rev (3m)12.71%
EPS NY rev (1m)7.06%
EPS NY rev (3m)7.69%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)6.94%
Revenue NY rev (1m)5.5%
Revenue NY rev (3m)6.68%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.64 | ||
| Fwd PE | 18.65 | ||
| P/S | 1.93 | ||
| P/FCF | 289.33 | ||
| P/OCF | 21.42 | ||
| P/B | 3.12 | ||
| P/tB | 6.43 | ||
| EV/EBITDA | 14.82 |
EPS(TTM)2.09
EY4.23%
EPS(NY)2.65
Fwd EY5.36%
FCF(TTM)0.17
FCFY0.35%
OCF(TTM)2.31
OCFY4.67%
SpS25.62
BVpS15.84
TBVpS7.68
PEG (NY)0.63
PEG (5Y)3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.6% | ||
| ROE | 5.69% | ||
| ROCE | 7.74% | ||
| ROIC | 6.12% | ||
| ROICexc | 7.31% | ||
| ROICexgc | 11.53% | ||
| OM | 8.05% | ||
| PM (TTM) | 3.52% | ||
| GM | 20.23% | ||
| FCFM | 0.67% |
ROA(3y)1.3%
ROA(5y)2.37%
ROE(3y)2.84%
ROE(5y)4.91%
ROIC(3y)4.37%
ROIC(5y)4.21%
ROICexc(3y)5.28%
ROICexc(5y)5.17%
ROICexgc(3y)9.47%
ROICexgc(5y)9.43%
ROCE(3y)5.53%
ROCE(5y)5.33%
ROICexcg growth 3Y-0.17%
ROICexcg growth 5Y3.47%
ROICexc growth 3Y3.11%
ROICexc growth 5Y7.34%
OM growth 3Y4.14%
OM growth 5Y3.95%
PM growth 3Y-1.6%
PM growth 5Y3.55%
GM growth 3Y5.71%
GM growth 5Y2.02%
F-Score8
Asset Turnover0.74
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.57 | ||
| Debt/FCF | 52.91 | ||
| Debt/EBITDA | 2.59 | ||
| Cap/Depr | 151.24% | ||
| Cap/Sales | 8.34% | ||
| Interest Coverage | 4.68 | ||
| Cash Conversion | 66.4% | ||
| Profit Quality | 18.93% | ||
| Current Ratio | 2.03 | ||
| Quick Ratio | 1.72 | ||
| Altman-Z | 3.07 |
F-Score8
WACC9.15%
ROIC/WACC0.67
Cap/Depr(3y)100.09%
Cap/Depr(5y)85.37%
Cap/Sales(3y)6.3%
Cap/Sales(5y)5.49%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)35.71%
EPS 3Y10.42%
EPS 5Y7.89%
EPS Q2Q%48.72%
EPS Next Y37.63%
EPS Next 2Y24.47%
EPS Next 3Y17.79%
EPS Next 5YN/A
Revenue 1Y (TTM)14.24%
Revenue growth 3Y2.8%
Revenue growth 5Y2.75%
Sales Q2Q%20.74%
Revenue Next Year16.4%
Revenue Next 2Y10.81%
Revenue Next 3Y7.87%
Revenue Next 5YN/A
EBIT growth 1Y53.33%
EBIT growth 3Y7.05%
EBIT growth 5Y6.81%
EBIT Next Year82.36%
EBIT Next 3Y26.82%
EBIT Next 5YN/A
FCF growth 1Y-83.22%
FCF growth 3Y-18.53%
FCF growth 5Y-21.29%
OCF growth 1Y-0.13%
OCF growth 3Y10.29%
OCF growth 5Y-5.35%