TERRAVEST INDUSTRIES INC (TVK.CA) Stock Fundamental Analysis
TSX:TVK - Toronto Stock Exchange - CA88105G1037 - Common Stock - Currency: CAD
TVK gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 26 industry peers in the Energy Equipment & Services industry. TVK has an excellent profitability rating, but there are some minor concerns on its financial health. TVK shows excellent growth, but is valued quite expensive already. These ratings could make TVK a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
TVK had positive earnings in the past year.
TVK had a positive operating cash flow in the past year.
In the past 5 years TVK has always been profitable.
Each year in the past 5 years TVK had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.30%, TVK is in the better half of the industry, outperforming 65.38% of the companies in the same industry.
The Return On Equity of TVK (18.79%) is better than 76.92% of its industry peers.
TVK has a Return On Invested Capital of 11.90%. This is amongst the best in the industry. TVK outperforms 80.77% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TVK is in line with the industry average of 9.31%.
The last Return On Invested Capital (11.90%) for TVK is above the 3 year average (11.02%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.3% | ||
| ROE | 18.79% | ||
| ROIC | 11.9% |
ROA(3y)7.05%
ROA(5y)7.71%
ROE(3y)20.45%
ROE(5y)22.07%
ROIC(3y)11.02%
ROIC(5y)10.81%
1.3 Margins
The Profit Margin of TVK (8.16%) is better than 69.23% of its industry peers.
In the last couple of years the Profit Margin of TVK has remained more or less at the same level.
TVK has a Operating Margin of 12.64%. This is amongst the best in the industry. TVK outperforms 80.77% of its industry peers.
In the last couple of years the Operating Margin of TVK has grown nicely.
With a decent Gross Margin value of 29.24%, TVK is doing good in the industry, outperforming 73.08% of the companies in the same industry.
TVK's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.64% | ||
| PM (TTM) | 8.16% | ||
| GM | 29.24% |
OM growth 3Y-4.18%
OM growth 5Y2.11%
PM growth 3Y-16.33%
PM growth 5Y-1.04%
GM growth 3Y3.29%
GM growth 5Y4.59%
2. Health
2.1 Basic Checks
TVK has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
TVK has more shares outstanding than it did 1 year ago.
TVK has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, TVK has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 5.22 indicates that TVK is not in any danger for bankruptcy at the moment.
TVK's Altman-Z score of 5.22 is amongst the best of the industry. TVK outperforms 92.31% of its industry peers.
TVK has a debt to FCF ratio of 3.07. This is a good value and a sign of high solvency as TVK would need 3.07 years to pay back of all of its debts.
TVK has a better Debt to FCF ratio (3.07) than 65.38% of its industry peers.
TVK has a Debt/Equity ratio of 0.67. This is a neutral value indicating TVK is somewhat dependend on debt financing.
TVK's Debt to Equity ratio of 0.67 is on the low side compared to the rest of the industry. TVK is outperformed by 65.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 3.07 | ||
| Altman-Z | 5.22 |
ROIC/WACC1.52
WACC7.81%
2.3 Liquidity
A Current Ratio of 2.38 indicates that TVK has no problem at all paying its short term obligations.
The Current ratio of TVK (2.38) is better than 73.08% of its industry peers.
A Quick Ratio of 1.15 indicates that TVK should not have too much problems paying its short term obligations.
TVK has a Quick ratio (1.15) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.38 | ||
| Quick Ratio | 1.15 |
3. Growth
3.1 Past
TVK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 46.41%, which is quite impressive.
TVK shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 22.76% yearly.
Looking at the last year, TVK shows a very strong growth in Revenue. The Revenue has grown by 25.92%.
Measured over the past years, TVK shows a very strong growth in Revenue. The Revenue has been growing by 24.38% on average per year.
EPS 1Y (TTM)46.41%
EPS 3Y18.04%
EPS 5Y22.76%
EPS Q2Q%50.39%
Revenue 1Y (TTM)25.92%
Revenue growth 3Y43.67%
Revenue growth 5Y24.38%
Sales Q2Q%2.85%
3.2 Future
The Earnings Per Share is expected to grow by 39.33% on average over the next years. This is a very strong growth
TVK is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.55% yearly.
EPS Next Y43.48%
EPS Next 2Y39.33%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year12.56%
Revenue Next 2Y10.55%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
TVK is valuated quite expensively with a Price/Earnings ratio of 38.46.
Compared to the rest of the industry, the Price/Earnings ratio of TVK indicates a slightly more expensive valuation: TVK is more expensive than 69.23% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 28.92. TVK is valued slightly more expensive when compared to this.
A Price/Forward Earnings ratio of 22.75 indicates a rather expensive valuation of TVK.
Based on the Price/Forward Earnings ratio, TVK is valued a bit more expensive than the industry average as 61.54% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.65, TVK is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.46 | ||
| Fwd PE | 22.75 |
4.2 Price Multiples
80.77% of the companies in the same industry are cheaper than TVK, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TVK is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.84 | ||
| EV/EBITDA | 16.01 |
4.3 Compensation for Growth
TVK's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
TVK has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as TVK's earnings are expected to grow with 39.33% in the coming years.
PEG (NY)0.88
PEG (5Y)1.69
EPS Next 2Y39.33%
EPS Next 3YN/A
5. Dividend
5.1 Amount
TVK has a yearly dividend return of 0.52%, which is pretty low.
Compared to an average industry Dividend Yield of 21.34, TVK pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.51, TVK's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.52% |
5.2 History
The dividend of TVK is nicely growing with an annual growth rate of 7.57%!
TVK has been paying a dividend for at least 10 years, so it has a reliable track record.
As TVK did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)7.57%
Div Incr Years3
Div Non Decr Years9
5.3 Sustainability
TVK pays out 15.07% of its income as dividend. This is a sustainable payout ratio.
The dividend of TVK is growing, but earnings are growing more, so the dividend growth is sustainable.
DP15.07%
EPS Next 2Y39.33%
EPS Next 3YN/A
TSX:TVK (4/24/2025, 7:00:00 PM)
146.55
+5.69 (+4.04%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners23.47%
Inst Owner ChangeN/A
Ins Owners29.26%
Ins Owner ChangeN/A
Market Cap2.86B
Analysts77.5
Price Target151.47 (3.36%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.52% |
Yearly Dividend0.57
Dividend Growth(5Y)7.57%
DP15.07%
Div Incr Years3
Div Non Decr Years9
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.69%
Min EPS beat(2)-18.87%
Max EPS beat(2)26.24%
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-10.31%
Min Revenue beat(2)-12.63%
Max Revenue beat(2)-7.99%
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)16.7%
PT rev (3m)15.71%
EPS NQ rev (1m)-15.18%
EPS NQ rev (3m)N/A
EPS NY rev (1m)5.13%
EPS NY rev (3m)13.03%
Revenue NQ rev (1m)9.11%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.46 | ||
| Fwd PE | 22.75 | ||
| P/S | 3.11 | ||
| P/FCF | 29.84 | ||
| P/OCF | 18.49 | ||
| P/B | 7.17 | ||
| P/tB | 10.98 | ||
| EV/EBITDA | 16.01 |
EPS(TTM)3.81
EY2.6%
EPS(NY)6.44
Fwd EY4.39%
FCF(TTM)4.91
FCFY3.35%
OCF(TTM)7.92
OCFY5.41%
SpS47.09
BVpS20.45
TBVpS13.35
PEG (NY)0.88
PEG (5Y)1.69
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.3% | ||
| ROE | 18.79% | ||
| ROCE | 15.91% | ||
| ROIC | 11.9% | ||
| ROICexc | 12.17% | ||
| ROICexgc | 15.11% | ||
| OM | 12.64% | ||
| PM (TTM) | 8.16% | ||
| GM | 29.24% | ||
| FCFM | 10.43% |
ROA(3y)7.05%
ROA(5y)7.71%
ROE(3y)20.45%
ROE(5y)22.07%
ROIC(3y)11.02%
ROIC(5y)10.81%
ROICexc(3y)11.46%
ROICexc(5y)11.38%
ROICexgc(3y)13.53%
ROICexgc(5y)13.38%
ROCE(3y)15.1%
ROCE(5y)14.71%
ROICexcg growth 3Y9.18%
ROICexcg growth 5Y1.78%
ROICexc growth 3Y6.92%
ROICexc growth 5Y1.11%
OM growth 3Y-4.18%
OM growth 5Y2.11%
PM growth 3Y-16.33%
PM growth 5Y-1.04%
GM growth 3Y3.29%
GM growth 5Y4.59%
F-Score8
Asset Turnover1.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.67 | ||
| Debt/FCF | 3.07 | ||
| Debt/EBITDA | 1.41 | ||
| Cap/Depr | 80.82% | ||
| Cap/Sales | 6.4% | ||
| Interest Coverage | 5.22 | ||
| Cash Conversion | 81.87% | ||
| Profit Quality | 127.81% | ||
| Current Ratio | 2.38 | ||
| Quick Ratio | 1.15 | ||
| Altman-Z | 5.22 |
F-Score8
WACC7.81%
ROIC/WACC1.52
Cap/Depr(3y)88.83%
Cap/Depr(5y)84.51%
Cap/Sales(3y)5.77%
Cap/Sales(5y)5.41%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)46.41%
EPS 3Y18.04%
EPS 5Y22.76%
EPS Q2Q%50.39%
EPS Next Y43.48%
EPS Next 2Y39.33%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)25.92%
Revenue growth 3Y43.67%
Revenue growth 5Y24.38%
Sales Q2Q%2.85%
Revenue Next Year12.56%
Revenue Next 2Y10.55%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y22.12%
EBIT growth 3Y37.66%
EBIT growth 5Y27%
EBIT Next Year113.08%
EBIT Next 3Y32.73%
EBIT Next 5Y23.59%
FCF growth 1Y487.88%
FCF growth 3Y193.03%
FCF growth 5Y49.63%
OCF growth 1Y196.2%
OCF growth 3Y89.32%
OCF growth 5Y38.25%