TITAN INTERNATIONAL INC (TWI) Stock Fundamental Analysis
USA - NYSE:TWI - US88830M1027 - Common Stock
7.49 USD
+0.09 (+1.22%)
7.49 USD
0 (0%)
TWI gets a fundamental rating of 2 out of 10. The analysis compared the fundamentals against 129 industry peers in the Machinery industry. TWI may be in some trouble as it scores bad on both profitability and health. TWI is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
TWI had negative earnings in the past year.
TWI had a positive operating cash flow in the past year.
In multiple years TWI reported negative net income over the last 5 years.
Each year in the past 5 years TWI had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of -1.26%, TWI is not doing good in the industry: 72.09% of the companies in the same industry are doing better.
Looking at the Return On Equity, with a value of -3.87%, TWI is doing worse than 72.09% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 0.47%, TWI is doing worse than 72.87% of the companies in the same industry.
TWI had an Average Return On Invested Capital over the past 3 years of 11.56%. This is in line with the industry average of 10.01%.
The last Return On Invested Capital (0.47%) for TWI is well below the 3 year average (11.56%), which needs to be investigated, but indicates that TWI had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.26% | ||
| ROE | -3.87% | ||
| ROIC | 0.47% |
ROA(3y)6.49%
ROA(5y)3.56%
ROE(3y)20.66%
ROE(5y)9.99%
ROIC(3y)11.56%
ROIC(5y)N/A
1.3 Margins
TWI's Operating Margin of 0.43% is on the low side compared to the rest of the industry. TWI is outperformed by 72.09% of its industry peers.
In the last couple of years the Operating Margin of TWI has declined.
TWI has a worse Gross Margin (12.80%) than 86.82% of its industry peers.
TWI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.43% | ||
| PM (TTM) | N/A | ||
| GM | 12.8% |
OM growth 3Y-23.6%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.71%
GM growth 5Y10.29%
2. Health
2.1 Basic Checks
TWI has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for TWI has been increased compared to 1 year ago.
TWI has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, TWI has a worse debt to assets ratio.
2.2 Solvency
TWI has an Altman-Z score of 1.81. This is a bad value and indicates that TWI is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of TWI (1.81) is worse than 70.54% of its industry peers.
TWI has a Debt/Equity ratio of 1.00. This is a neutral value indicating TWI is somewhat dependend on debt financing.
The Debt to Equity ratio of TWI (1.00) is worse than 77.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.81 |
ROIC/WACC0.05
WACC9.83%
2.3 Liquidity
TWI has a Current Ratio of 2.35. This indicates that TWI is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of TWI (2.35) is comparable to the rest of the industry.
TWI has a Quick Ratio of 1.27. This is a normal value and indicates that TWI is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of TWI (1.27) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.35 | ||
| Quick Ratio | 1.27 |
3. Growth
3.1 Past
The earnings per share for TWI have decreased strongly by -110.78% in the last year.
Measured over the past years, TWI shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -30.12% on average per year.
Looking at the last year, TWI shows a decrease in Revenue. The Revenue has decreased by -1.29% in the last year.
Measured over the past years, TWI shows a small growth in Revenue. The Revenue has been growing by 4.97% on average per year.
EPS 1Y (TTM)-110.78%
EPS 3Y-30.12%
EPS 5YN/A
EPS Q2Q%-120%
Revenue 1Y (TTM)-1.29%
Revenue growth 3Y1.22%
Revenue growth 5Y4.97%
Sales Q2Q%-13.41%
3.2 Future
The Earnings Per Share is expected to grow by 28.62% on average over the next years. This is a very strong growth
TWI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.06% yearly.
EPS Next Y-149.63%
EPS Next 2Y28.62%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-0.91%
Revenue Next 2Y2.06%
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.
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
TWI reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
The Price/Forward Earnings ratio is 15.61, which indicates a correct valuation of TWI.
Based on the Price/Forward Earnings ratio, TWI is valued a bit cheaper than 70.54% of the companies in the same industry.
TWI is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.99, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 15.61 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TWI is valued a bit cheaper than the industry average as 64.34% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.93 |
4.3 Compensation for Growth
A more expensive valuation may be justified as TWI's earnings are expected to grow with 28.62% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y28.62%
EPS Next 3YN/A
5. Dividend
5.1 Amount
TWI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
7.49
+0.09 (+1.22%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners74.34%
Inst Owner Change0.09%
Ins Owners6.02%
Ins Owner Change1.75%
Market Cap478.61M
Analysts80
Price Target11.22 (49.8%)
Short Float %5.38%
Short Ratio5.13
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-117.15%
Min EPS beat(2)-157.68%
Max EPS beat(2)-76.61%
EPS beat(4)1
Avg EPS beat(4)-355.52%
Min EPS beat(4)-1354.13%
Max EPS beat(4)166.34%
EPS beat(8)3
Avg EPS beat(8)-186.16%
EPS beat(12)5
Avg EPS beat(12)-122.92%
EPS beat(16)8
Avg EPS beat(16)-80.25%
Revenue beat(2)1
Avg Revenue beat(2)0.05%
Min Revenue beat(2)-4.55%
Max Revenue beat(2)4.65%
Revenue beat(4)1
Avg Revenue beat(4)-2.39%
Min Revenue beat(4)-5.95%
Max Revenue beat(4)4.65%
Revenue beat(8)1
Avg Revenue beat(8)-4.76%
Revenue beat(12)1
Avg Revenue beat(12)-4.52%
Revenue beat(16)4
Avg Revenue beat(16)-1.97%
PT rev (1m)0%
PT rev (3m)-5.17%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-154.54%
EPS NY rev (1m)-375%
EPS NY rev (3m)-575%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.49%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.22%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 15.61 | ||
| P/S | 0.27 | ||
| P/FCF | N/A | ||
| P/OCF | 10.79 | ||
| P/B | 0.84 | ||
| P/tB | 0.9 | ||
| EV/EBITDA | 11.93 |
EPS(TTM)-0.11
EYN/A
EPS(NY)0.48
Fwd EY6.41%
FCF(TTM)-0.19
FCFYN/A
OCF(TTM)0.69
OCFY9.27%
SpS27.9
BVpS8.93
TBVpS8.29
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.26% | ||
| ROE | -3.87% | ||
| ROCE | 0.59% | ||
| ROIC | 0.47% | ||
| ROICexc | 0.54% | ||
| ROICexgc | 0.56% | ||
| OM | 0.43% | ||
| PM (TTM) | N/A | ||
| GM | 12.8% | ||
| FCFM | N/A |
ROA(3y)6.49%
ROA(5y)3.56%
ROE(3y)20.66%
ROE(5y)9.99%
ROIC(3y)11.56%
ROIC(5y)N/A
ROICexc(3y)14.56%
ROICexc(5y)N/A
ROICexgc(3y)14.66%
ROICexgc(5y)N/A
ROCE(3y)14.63%
ROCE(5y)N/A
ROICexcg growth 3Y-32.78%
ROICexcg growth 5YN/A
ROICexc growth 3Y-33.62%
ROICexc growth 5YN/A
OM growth 3Y-23.6%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.71%
GM growth 5Y10.29%
F-Score3
Asset Turnover1.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 7.73 | ||
| Cap/Depr | 85.97% | ||
| Cap/Sales | 3.17% | ||
| Interest Coverage | 0.19 | ||
| Cash Conversion | 60.34% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.35 | ||
| Quick Ratio | 1.27 | ||
| Altman-Z | 1.81 |
F-Score3
WACC9.83%
ROIC/WACC0.05
Cap/Depr(3y)120.42%
Cap/Depr(5y)96.36%
Cap/Sales(3y)3.02%
Cap/Sales(5y)2.59%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-110.78%
EPS 3Y-30.12%
EPS 5YN/A
EPS Q2Q%-120%
EPS Next Y-149.63%
EPS Next 2Y28.62%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-1.29%
Revenue growth 3Y1.22%
Revenue growth 5Y4.97%
Sales Q2Q%-13.41%
Revenue Next Year-0.91%
Revenue Next 2Y2.06%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-92.35%
EBIT growth 3Y-22.67%
EBIT growth 5YN/A
EBIT Next Year115.42%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-108.37%
FCF growth 3YN/A
FCF growth 5Y53.16%
OCF growth 1Y-77.89%
OCF growth 3Y136.28%
OCF growth 5Y25.53%