TELEFLEX INC (TFX) Stock Fundamental Analysis
USA - NYSE:TFX - US8793691069 - Common Stock
125.62 USD
-0.2 (-0.16%)
125.62 USD
0 (0%)
Taking everything into account, TFX scores 6 out of 10 in our fundamental rating. TFX was compared to 191 industry peers in the Health Care Equipment & Supplies industry. While TFX has a great profitability rating, there are some minor concerns on its financial health. TFX scores decently on growth, while it is valued quite cheap. This could make an interesting combination. This makes TFX very considerable for value investing!
1. Profitability
1.1 Basic Checks
In the past year TFX was profitable.
TFX had a positive operating cash flow in the past year.
TFX had positive earnings in each of the past 5 years.
Each year in the past 5 years TFX had a positive operating cash flow.
1.2 Ratios
TFX has a better Return On Assets (2.60%) than 76.96% of its industry peers.
TFX has a Return On Equity of 4.52%. This is in the better half of the industry: TFX outperforms 76.44% of its industry peers.
TFX has a better Return On Invested Capital (7.80%) than 85.86% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TFX is in line with the industry average of 8.46%.
The 3 year average ROIC (7.21%) for TFX is below the current ROIC(7.80%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.6% | ||
| ROE | 4.52% | ||
| ROIC | 7.8% |
ROA(3y)3.65%
ROA(5y)4.54%
ROE(3y)6.23%
ROE(5y)8.33%
ROIC(3y)7.21%
ROIC(5y)7.23%
1.3 Margins
TFX has a better Profit Margin (6.31%) than 78.01% of its industry peers.
In the last couple of years the Profit Margin of TFX has declined.
The Operating Margin of TFX (19.49%) is better than 92.15% of its industry peers.
TFX's Operating Margin has been stable in the last couple of years.
The Gross Margin of TFX (55.59%) is comparable to the rest of the industry.
TFX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.49% | ||
| PM (TTM) | 6.31% | ||
| GM | 55.59% |
OM growth 3Y-3.43%
OM growth 5Y0.95%
PM growth 3Y-49.04%
PM growth 5Y-33.65%
GM growth 3Y0.43%
GM growth 5Y-0.56%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), TFX is creating some value.
The number of shares outstanding for TFX has been reduced compared to 1 year ago.
The number of shares outstanding for TFX has been reduced compared to 5 years ago.
The debt/assets ratio for TFX has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.72 indicates that TFX is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.72, TFX is in the better half of the industry, outperforming 68.06% of the companies in the same industry.
TFX has a debt to FCF ratio of 4.80. This is a neutral value as TFX would need 4.80 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.80, TFX belongs to the top of the industry, outperforming 81.15% of the companies in the same industry.
TFX has a Debt/Equity ratio of 0.42. This is a healthy value indicating a solid balance between debt and equity.
TFX has a Debt to Equity ratio (0.42) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 4.8 | ||
| Altman-Z | 2.72 |
ROIC/WACC1
WACC7.8%
2.3 Liquidity
TFX has a Current Ratio of 2.41. This indicates that TFX is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of TFX (2.41) is comparable to the rest of the industry.
TFX has a Quick Ratio of 1.44. This is a normal value and indicates that TFX is financially healthy and should not expect problems in meeting its short term obligations.
TFX's Quick ratio of 1.44 is on the low side compared to the rest of the industry. TFX is outperformed by 60.21% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.41 | ||
| Quick Ratio | 1.44 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 2.71% over the past year.
Measured over the past 5 years, TFX shows a small growth in Earnings Per Share. The EPS has been growing by 4.67% on average per year.
Looking at the last year, TFX shows a small growth in Revenue. The Revenue has grown by 1.11% in the last year.
The Revenue has been growing slightly by 3.26% on average over the past years.
EPS 1Y (TTM)2.71%
EPS 3Y1.67%
EPS 5Y4.67%
EPS Q2Q%9.06%
Revenue 1Y (TTM)1.11%
Revenue growth 3Y2.74%
Revenue growth 5Y3.26%
Sales Q2Q%2.28%
3.2 Future
The Earnings Per Share is expected to grow by 8.54% on average over the next years. This is quite good.
Based on estimates for the next years, TFX will show a small growth in Revenue. The Revenue will grow by 7.72% on average per year.
EPS Next Y1.3%
EPS Next 2Y3.42%
EPS Next 3Y3.82%
EPS Next 5Y8.54%
Revenue Next Year8.17%
Revenue Next 2Y9.41%
Revenue Next 3Y7.86%
Revenue Next 5Y7.72%
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 accelerating.
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 8.96, the valuation of TFX can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of TFX indicates a rather cheap valuation: TFX is cheaper than 94.76% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.20. TFX is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 8.38, the valuation of TFX can be described as very reasonable.
TFX's Price/Forward Earnings ratio is rather cheap when compared to the industry. TFX is cheaper than 95.81% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.70, TFX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.96 | ||
| Fwd PE | 8.38 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TFX is valued cheaper than 94.24% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TFX indicates a rather cheap valuation: TFX is cheaper than 93.72% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14 | ||
| EV/EBITDA | 8.31 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TFX does not grow enough to justify the current Price/Earnings ratio.
TFX has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)6.87
PEG (5Y)1.92
EPS Next 2Y3.42%
EPS Next 3Y3.82%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.03%, TFX has a reasonable but not impressive dividend return.
TFX's Dividend Yield is rather good when compared to the industry average which is at 1.69. TFX pays more dividend than 94.76% of the companies in the same industry.
With a Dividend Yield of 1.03, TFX pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.03% |
5.2 History
The dividend of TFX has a limited annual growth rate of 0.04%.
TFX has been paying a dividend for at least 10 years, so it has a reliable track record.
TFX has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)0.04%
Div Incr Years0
Div Non Decr Years6
5.3 Sustainability
32.17% of the earnings are spent on dividend by TFX. This is a low number and sustainable payout ratio.
The dividend of TFX is growing, but earnings are growing more, so the dividend growth is sustainable.
DP32.17%
EPS Next 2Y3.42%
EPS Next 3Y3.82%
125.62
-0.2 (-0.16%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners109.15%
Inst Owner Change-5.71%
Ins Owners0.29%
Ins Owner Change3.7%
Market Cap5.55B
Analysts54.29
Price Target142.6 (13.52%)
Short Float %2.14%
Short Ratio1.59
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.03% |
Yearly Dividend1.36
Dividend Growth(5Y)0.04%
DP32.17%
Div Incr Years0
Div Non Decr Years6
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.31%
Min EPS beat(2)-1.22%
Max EPS beat(2)9.84%
EPS beat(4)2
Avg EPS beat(4)2.55%
Min EPS beat(4)-1.22%
Max EPS beat(4)9.84%
EPS beat(8)6
Avg EPS beat(8)3.51%
EPS beat(12)10
Avg EPS beat(12)3.46%
EPS beat(16)14
Avg EPS beat(16)3.84%
Revenue beat(2)1
Avg Revenue beat(2)-0.29%
Min Revenue beat(2)-0.8%
Max Revenue beat(2)0.22%
Revenue beat(4)1
Avg Revenue beat(4)-1.35%
Min Revenue beat(4)-3.16%
Max Revenue beat(4)0.22%
Revenue beat(8)3
Avg Revenue beat(8)-0.7%
Revenue beat(12)5
Avg Revenue beat(12)-0.44%
Revenue beat(16)7
Avg Revenue beat(16)-0.52%
PT rev (1m)-0.32%
PT rev (3m)-7.36%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.17%
EPS NY rev (1m)4.8%
EPS NY rev (3m)5.17%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)12.92%
Revenue NY rev (1m)6.66%
Revenue NY rev (3m)7.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.96 | ||
| Fwd PE | 8.38 | ||
| P/S | 1.83 | ||
| P/FCF | 14 | ||
| P/OCF | 10.79 | ||
| P/B | 1.31 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.31 |
EPS(TTM)14.02
EY11.16%
EPS(NY)14.98
Fwd EY11.93%
FCF(TTM)8.97
FCFY7.14%
OCF(TTM)11.64
OCFY9.26%
SpS68.82
BVpS96.01
TBVpS-14.38
PEG (NY)6.87
PEG (5Y)1.92
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.6% | ||
| ROE | 4.52% | ||
| ROCE | 8.9% | ||
| ROIC | 7.8% | ||
| ROICexc | 8.11% | ||
| ROICexgc | 34.04% | ||
| OM | 19.49% | ||
| PM (TTM) | 6.31% | ||
| GM | 55.59% | ||
| FCFM | 13.04% |
ROA(3y)3.65%
ROA(5y)4.54%
ROE(3y)6.23%
ROE(5y)8.33%
ROIC(3y)7.21%
ROIC(5y)7.23%
ROICexc(3y)7.52%
ROICexc(5y)7.62%
ROICexgc(3y)37.85%
ROICexgc(5y)40.71%
ROCE(3y)8.23%
ROCE(5y)8.25%
ROICexcg growth 3Y-9.53%
ROICexcg growth 5Y0.44%
ROICexc growth 3Y-3.04%
ROICexc growth 5Y1.71%
OM growth 3Y-3.43%
OM growth 5Y0.95%
PM growth 3Y-49.04%
PM growth 5Y-33.65%
GM growth 3Y0.43%
GM growth 5Y-0.56%
F-Score5
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 4.8 | ||
| Debt/EBITDA | 2.08 | ||
| Cap/Depr | 43.09% | ||
| Cap/Sales | 3.87% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 59.37% | ||
| Profit Quality | 206.56% | ||
| Current Ratio | 2.41 | ||
| Quick Ratio | 1.44 | ||
| Altman-Z | 2.72 |
F-Score5
WACC7.8%
ROIC/WACC1
Cap/Depr(3y)39.38%
Cap/Depr(5y)37.65%
Cap/Sales(3y)3.35%
Cap/Sales(5y)3.24%
Profit Quality(3y)307.01%
Profit Quality(5y)228.72%
High Growth Momentum
Growth
EPS 1Y (TTM)2.71%
EPS 3Y1.67%
EPS 5Y4.67%
EPS Q2Q%9.06%
EPS Next Y1.3%
EPS Next 2Y3.42%
EPS Next 3Y3.82%
EPS Next 5Y8.54%
Revenue 1Y (TTM)1.11%
Revenue growth 3Y2.74%
Revenue growth 5Y3.26%
Sales Q2Q%2.28%
Revenue Next Year8.17%
Revenue Next 2Y9.41%
Revenue Next 3Y7.86%
Revenue Next 5Y7.72%
EBIT growth 1Y5.63%
EBIT growth 3Y-0.78%
EBIT growth 5Y4.24%
EBIT Next Year10.81%
EBIT Next 3Y9.27%
EBIT Next 5Y6.67%
FCF growth 1Y22.13%
FCF growth 3Y-4.23%
FCF growth 5Y8.62%
OCF growth 1Y25.21%
OCF growth 3Y-0.81%
OCF growth 5Y7.66%