TRAVELZOO (TZOO) Stock Fundamental Analysis
USA - NASDAQ:TZOO - US89421Q2057 - Common Stock
7.1 USD
-0.15 (-2.07%)
7.1 USD
0 (0%)
TZOO gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 70 industry peers in the Interactive Media & Services industry. TZOO has an excellent profitability rating, but there are some minor concerns on its financial health. TZOO may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make TZOO suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year TZOO was profitable.
TZOO had a positive operating cash flow in the past year.
Of the past 5 years TZOO 4 years were profitable.
In multiple years TZOO reported negative operating cash flow during the last 5 years.
1.2 Ratios
TZOO has a better Return On Assets (17.19%) than 87.14% of its industry peers.
The Return On Invested Capital of TZOO (77.02%) is better than 100.00% of its industry peers.
TZOO had an Average Return On Invested Capital over the past 3 years of 50.44%. This is significantly above the industry average of 13.26%.
The 3 year average ROIC (50.44%) for TZOO is below the current ROIC(77.02%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.19% | ||
| ROE | N/A | ||
| ROIC | 77.02% |
ROA(3y)18.97%
ROA(5y)8.95%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)50.44%
ROIC(5y)N/A
1.3 Margins
TZOO's Profit Margin of 8.83% is fine compared to the rest of the industry. TZOO outperforms 75.71% of its industry peers.
In the last couple of years the Profit Margin of TZOO has grown nicely.
Looking at the Operating Margin, with a value of 12.46%, TZOO is in the better half of the industry, outperforming 72.86% of the companies in the same industry.
In the last couple of years the Operating Margin of TZOO has grown nicely.
The Gross Margin of TZOO (81.52%) is better than 80.00% of its industry peers.
In the last couple of years the Gross Margin of TZOO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.46% | ||
| PM (TTM) | 8.83% | ||
| GM | 81.52% |
OM growth 3YN/A
OM growth 5Y6.35%
PM growth 3Y124.15%
PM growth 5Y32.2%
GM growth 3Y2.27%
GM growth 5Y-0.36%
2. Health
2.1 Basic Checks
TZOO has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for TZOO has been reduced compared to 1 year ago.
TZOO has more shares outstanding than it did 5 years ago.
TZOO has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
TZOO has an Altman-Z score of 3.54. This indicates that TZOO is financially healthy and has little risk of bankruptcy at the moment.
TZOO has a better Altman-Z score (3.54) than 77.14% of its industry peers.
There is no outstanding debt for TZOO. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 0 | ||
| Altman-Z | 3.54 |
ROIC/WACC7.63
WACC10.1%
2.3 Liquidity
TZOO has a Current Ratio of 0.68. This is a bad value and indicates that TZOO is not financially healthy enough and could expect problems in meeting its short term obligations.
TZOO has a worse Current ratio (0.68) than 84.29% of its industry peers.
TZOO has a Quick Ratio of 0.68. This is a bad value and indicates that TZOO is not financially healthy enough and could expect problems in meeting its short term obligations.
TZOO has a worse Quick ratio (0.68) than 82.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.68 |
3. Growth
3.1 Past
The earnings per share for TZOO have decreased strongly by -39.25% in the last year.
Measured over the past years, TZOO shows a very strong growth in Earnings Per Share. The EPS has been growing by 24.81% on average per year.
Looking at the last year, TZOO shows a small growth in Revenue. The Revenue has grown by 6.58% in the last year.
The Revenue has been decreasing by -4.37% on average over the past years.
EPS 1Y (TTM)-39.25%
EPS 3Y84.06%
EPS 5Y24.81%
EPS Q2Q%-96.15%
Revenue 1Y (TTM)6.58%
Revenue growth 3Y10.2%
Revenue growth 5Y-4.37%
Sales Q2Q%10.45%
3.2 Future
TZOO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 27.49% yearly.
TZOO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.01% yearly.
EPS Next Y-41.54%
EPS Next 2Y11.67%
EPS Next 3Y14.01%
EPS Next 5Y27.49%
Revenue Next Year9.35%
Revenue Next 2Y12.75%
Revenue Next 3Y7.31%
Revenue Next 5Y7.01%
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 stable.
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
Based on the Price/Earnings ratio of 10.92, the valuation of TZOO can be described as reasonable.
Based on the Price/Earnings ratio, TZOO is valued a bit cheaper than the industry average as 77.14% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 25.56. TZOO is valued rather cheaply when compared to this.
TZOO is valuated cheaply with a Price/Forward Earnings ratio of 5.37.
Based on the Price/Forward Earnings ratio, TZOO is valued cheaply inside the industry as 92.86% of the companies are valued more expensively.
TZOO's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.62.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.92 | ||
| Fwd PE | 5.37 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TZOO is valued cheaply inside the industry as 82.86% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, TZOO is valued cheaper than 92.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.52 | ||
| EV/EBITDA | 6.12 |
4.3 Compensation for Growth
The decent profitability rating of TZOO may justify a higher PE ratio.
TZOO's earnings are expected to grow with 14.01% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)0.44
EPS Next 2Y11.67%
EPS Next 3Y14.01%
5. Dividend
5.1 Amount
TZOO does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
7.1
-0.15 (-2.07%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners41.96%
Inst Owner Change-6.07%
Ins Owners0.53%
Ins Owner Change0.05%
Market Cap77.96M
Revenue(TTM)89.92M
Net Income(TTM)7.94M
Analysts84
Price Target25.76 (262.82%)
Short Float %6.76%
Short Ratio4.08
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)0
Avg EPS beat(2)-70.01%
Min EPS beat(2)-94.84%
Max EPS beat(2)-45.18%
EPS beat(4)0
Avg EPS beat(4)-39.01%
Min EPS beat(4)-94.84%
Max EPS beat(4)-0.97%
EPS beat(8)4
Avg EPS beat(8)-13.56%
EPS beat(12)7
Avg EPS beat(12)8.6%
EPS beat(16)8
Avg EPS beat(16)-3.86%
Revenue beat(2)1
Avg Revenue beat(2)-2.82%
Min Revenue beat(2)-6.07%
Max Revenue beat(2)0.43%
Revenue beat(4)1
Avg Revenue beat(4)-3.77%
Min Revenue beat(4)-8.1%
Max Revenue beat(4)0.43%
Revenue beat(8)1
Avg Revenue beat(8)-4.89%
Revenue beat(12)3
Avg Revenue beat(12)-2.37%
Revenue beat(16)4
Avg Revenue beat(16)-4.72%
PT rev (1m)0%
PT rev (3m)1%
EPS NQ rev (1m)-54.67%
EPS NQ rev (3m)-58.54%
EPS NY rev (1m)-27.46%
EPS NY rev (3m)-48.69%
Revenue NQ rev (1m)-6.13%
Revenue NQ rev (3m)-3.73%
Revenue NY rev (1m)-0.95%
Revenue NY rev (3m)-0.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.92 | ||
| Fwd PE | 5.37 | ||
| P/S | 0.87 | ||
| P/FCF | 6.52 | ||
| P/OCF | 6.47 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.12 |
EPS(TTM)0.65
EY9.15%
EPS(NY)1.32
Fwd EY18.62%
FCF(TTM)1.09
FCFY15.34%
OCF(TTM)1.1
OCFY15.46%
SpS8.19
BVpS-0.74
TBVpS-1.87
PEG (NY)N/A
PEG (5Y)0.44
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.19% | ||
| ROE | N/A | ||
| ROCE | 108.59% | ||
| ROIC | 77.02% | ||
| ROICexc | 435.16% | ||
| ROICexgc | N/A | ||
| OM | 12.46% | ||
| PM (TTM) | 8.83% | ||
| GM | 81.52% | ||
| FCFM | 13.29% |
ROA(3y)18.97%
ROA(5y)8.95%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)50.44%
ROIC(5y)N/A
ROICexc(3y)606.91%
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)71.12%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5Y-5.61%
OM growth 3YN/A
OM growth 5Y6.35%
PM growth 3Y124.15%
PM growth 5Y32.2%
GM growth 3Y2.27%
GM growth 5Y-0.36%
F-Score6
Asset Turnover1.95
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 23.72% | ||
| Cap/Sales | 0.11% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 103.79% | ||
| Profit Quality | 150.62% | ||
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.68 | ||
| Altman-Z | 3.54 |
F-Score6
WACC10.1%
ROIC/WACC7.63
Cap/Depr(3y)33.98%
Cap/Depr(5y)22.88%
Cap/Sales(3y)0.88%
Cap/Sales(5y)0.63%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-39.25%
EPS 3Y84.06%
EPS 5Y24.81%
EPS Q2Q%-96.15%
EPS Next Y-41.54%
EPS Next 2Y11.67%
EPS Next 3Y14.01%
EPS Next 5Y27.49%
Revenue 1Y (TTM)6.58%
Revenue growth 3Y10.2%
Revenue growth 5Y-4.37%
Sales Q2Q%10.45%
Revenue Next Year9.35%
Revenue Next 2Y12.75%
Revenue Next 3Y7.31%
Revenue Next 5Y7.01%
EBIT growth 1Y-38.19%
EBIT growth 3YN/A
EBIT growth 5Y1.7%
EBIT Next Year-14.95%
EBIT Next 3Y2.11%
EBIT Next 5Y-1.02%
FCF growth 1Y81.69%
FCF growth 3YN/A
FCF growth 5Y14.2%
OCF growth 1Y71.68%
OCF growth 3YN/A
OCF growth 5Y13.42%
TRAVELZOO / TZOO FAQ
What is the fundamental rating for TZOO stock?
ChartMill assigns a fundamental rating of 6 / 10 to TZOO.
What is the valuation status of TRAVELZOO (TZOO) stock?
ChartMill assigns a valuation rating of 8 / 10 to TRAVELZOO (TZOO). This can be considered as Undervalued.
Can you provide the profitability details for TRAVELZOO?
TRAVELZOO (TZOO) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for TZOO stock?
The Price/Earnings (PE) ratio for TRAVELZOO (TZOO) is 10.92 and the Price/Book (PB) ratio is -9.63.
What is the earnings growth outlook for TRAVELZOO?
The Earnings per Share (EPS) of TRAVELZOO (TZOO) is expected to decline by -41.54% in the next year.