TRAVELZOO (TZOO) Stock Fundamental Analysis
USA - NASDAQ:TZOO - US89421Q2057 - Common Stock
7.25 USD
-0.17 (-2.29%)
7.16 USD
-0.09 (-1.24%)
We assign a fundamental rating of 6 out of 10 to TZOO. TZOO was compared to 70 industry peers in the Interactive Media & Services industry. While TZOO has a great profitability rating, there are some minor concerns on its financial health. TZOO is valued quite cheap, while showing a decent growth score. This is a good combination! These ratings would make TZOO suitable for value investing!
1. Profitability
1.1 Basic Checks
TZOO had positive earnings in the past year.
In the past year TZOO had a positive cash flow from operations.
Of the past 5 years TZOO 4 years were profitable.
The reported operating cash flow has been mixed in the past 5 years: TZOO reported negative operating cash flow in multiple years.
1.2 Ratios
The Return On Assets of TZOO (17.19%) is better than 87.14% of its industry peers.
TZOO has a better Return On Invested Capital (77.02%) than 100.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TZOO is significantly above the industry average of 13.59%.
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
Looking at the Profit Margin, with a value of 8.83%, TZOO is in the better half of the industry, outperforming 74.29% of the companies in the same industry.
In the last couple of years the Profit Margin of TZOO has grown nicely.
TZOO has a Operating Margin of 12.46%. This is in the better half of the industry: TZOO outperforms 74.29% of its industry peers.
In the last couple of years the Operating Margin of TZOO has grown nicely.
TZOO has a Gross Margin of 81.52%. This is in the better half of the industry: TZOO outperforms 80.00% of its industry peers.
TZOO's Gross Margin has been stable in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), TZOO is creating value.
The number of shares outstanding for TZOO has been reduced compared to 1 year ago.
Compared to 5 years ago, TZOO has more shares outstanding
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
An Altman-Z score of 3.56 indicates that TZOO is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.56, TZOO is in the better half of the industry, outperforming 78.57% of the companies in the same industry.
TZOO has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 0 | ||
| Altman-Z | 3.56 |
ROIC/WACC7.78
WACC9.9%
2.3 Liquidity
A Current Ratio of 0.68 indicates that TZOO may have some problems paying its short term obligations.
TZOO has a Current ratio of 0.68. This is amonst the worse of the industry: TZOO underperforms 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.
Looking at the Quick ratio, with a value of 0.68, TZOO is doing worse than 82.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.68 |
3. Growth
3.1 Past
TZOO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -39.25%.
TZOO shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 24.81% yearly.
TZOO shows a small growth in Revenue. In the last year, the Revenue has grown by 6.58%.
Measured over the past years, TZOO shows a decrease in Revenue. The Revenue has been decreasing by -4.37% on average per year.
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
The EPS growth rate is stable: in the next years the growth will be about the same 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 11.15, the valuation of TZOO can be described as very reasonable.
TZOO's Price/Earnings ratio is a bit cheaper when compared to the industry. TZOO is cheaper than 77.14% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.89, TZOO is valued rather cheaply.
A Price/Forward Earnings ratio of 5.48 indicates a rather cheap valuation of TZOO.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TZOO indicates a rather cheap valuation: TZOO is cheaper than 92.86% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of TZOO to the average of the S&P500 Index (34.59), we can say TZOO is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.15 | ||
| Fwd PE | 5.48 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TZOO is valued cheaply inside the industry as 85.71% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TZOO indicates a rather cheap valuation: TZOO is cheaper than 91.43% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.66 | ||
| EV/EBITDA | 6.28 |
4.3 Compensation for Growth
TZOO has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as TZOO's earnings are expected to grow with 14.01% in the coming years.
PEG (NY)N/A
PEG (5Y)0.45
EPS Next 2Y11.67%
EPS Next 3Y14.01%
5. Dividend
5.1 Amount
No dividends for TZOO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
7.25
-0.17 (-2.29%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners41.96%
Inst Owner Change-2.22%
Ins Owners0.53%
Ins Owner Change0.05%
Market Cap79.61M
Revenue(TTM)89.92M
Net Income(TTM)7.94M
Analysts84
Price Target25.76 (255.31%)
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 | 11.15 | ||
| Fwd PE | 5.48 | ||
| P/S | 0.89 | ||
| P/FCF | 6.66 | ||
| P/OCF | 6.61 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.28 |
EPS(TTM)0.65
EY8.97%
EPS(NY)1.32
Fwd EY18.23%
FCF(TTM)1.09
FCFY15.02%
OCF(TTM)1.1
OCFY15.14%
SpS8.19
BVpS-0.74
TBVpS-1.87
PEG (NY)N/A
PEG (5Y)0.45
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 | 3.56 |
F-Score6
WACC9.9%
ROIC/WACC7.78
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 11.15 and the Price/Book (PB) ratio is -9.83.
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.