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%)
Taking everything into account, TZOO scores 6 out of 10 in our fundamental rating. TZOO was compared to 70 industry peers in the Interactive Media & Services industry. TZOO scores excellent on profitability, 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.
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
TZOO has a Return On Assets of 17.19%. This is amongst the best in the industry. TZOO outperforms 87.14% of its industry peers.
With an excellent Return On Invested Capital value of 77.02%, TZOO belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for TZOO 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
The Profit Margin of TZOO (8.83%) is better than 75.71% of its industry peers.
In the last couple of years the Profit Margin of TZOO has grown nicely.
With a decent Operating Margin value of 12.46%, TZOO is doing good in the industry, outperforming 72.86% of the companies in the same industry.
TZOO's Operating Margin has improved in the last couple of years.
TZOO's Gross Margin of 81.52% is fine compared to the rest 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.
TZOO has less shares outstanding than it did 1 year ago.
The number of shares outstanding for TZOO has been increased compared to 5 years ago.
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.
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.
Looking at the Altman-Z score, with a value of 3.54, TZOO is in the better half of the industry, outperforming 77.14% 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 | 3.54 |
ROIC/WACC7.63
WACC10.1%
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.
A Quick Ratio of 0.68 indicates that TZOO may have some problems paying its short term obligations.
With a Quick ratio value of 0.68, TZOO is not doing good in the industry: 82.86% of the companies in the same industry are doing better.
| 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%.
The Earnings Per Share has been growing by 24.81% on average over the past years. This is a very strong growth
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
Based on estimates for the next years, TZOO will show a very strong growth in Earnings Per Share. The EPS will grow by 27.49% on average per year.
Based on estimates for the next years, TZOO will show a small growth in Revenue. The Revenue will grow by 7.01% on average per year.
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.
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
The Price/Earnings ratio is 11.15, which indicates a very decent valuation of TZOO.
Based on the Price/Earnings ratio, TZOO is valued a bit cheaper than 77.14% of the companies in the same industry.
TZOO's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.89.
The Price/Forward Earnings ratio is 5.48, which indicates a rather cheap valuation of TZOO.
TZOO's Price/Forward Earnings ratio is rather cheap when compared to the industry. TZOO is cheaper than 92.86% of the companies in the same industry.
TZOO's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.59.
| 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 82.86% of the companies are valued more expensively.
TZOO's Price/Free Cash Flow ratio is rather cheap when compared to the industry. TZOO is cheaper than 92.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.66 | ||
| EV/EBITDA | 6.12 |
4.3 Compensation for Growth
TZOO has a very decent profitability rating, which 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)0.45
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-6.07%
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 | 6.12 |
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 | 3.54 |
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 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.