NYSE:TNL appears to be flying under the radar despite its strong fundamentals.

Our stock screener has singled out TRAVEL + LEISURE CO (NYSE:TNL) as a stellar value proposition. NYSE:TNL not only scores well in profitability, solvency, and liquidity but also maintains a very reasonable price point. We'll explore this further.

Valuation Insights: NYSE:TNL

To assess a stock's valuation, ChartMill utilizes a Valuation Rating on a scale of 0 to 10. This comprehensive assessment considers various valuation aspects, comparing price to earnings and cash flows, while factoring in profitability and growth. NYSE:TNL has achieved a 8 out of 10:

• The Price/Earnings ratio is 7.68, which indicates a rather cheap valuation of TNL.
• 94.74% of the companies in the same industry are more expensive than TNL, based on the Price/Earnings ratio.
• Compared to an average S&P500 Price/Earnings ratio of 27.73, TNL is valued rather cheaply.
• The Price/Forward Earnings ratio is 7.28, which indicates a rather cheap valuation of TNL.
• Based on the Price/Forward Earnings ratio, TNL is valued cheaper than 98.50% of the companies in the same industry.
• TNL is valuated cheaply when we compare the Price/Forward Earnings ratio to 20.41, which is the current average of the S&P500 Index.
• Based on the Price/Free Cash Flow ratio, TNL is valued cheaper than 85.71% of the companies in the same industry.
• TNL has a very decent profitability rating, which may justify a higher PE ratio.
• TNL's earnings are expected to grow with 15.03% in the coming years. This may justify a more expensive valuation.

Assessing Profitability for NYSE:TNL

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NYSE:TNL was assigned a score of 6 for profitability:

• Looking at the Return On Assets, with a value of 5.68%, TNL is in the better half of the industry, outperforming 70.68% of the companies in the same industry.
• With a decent Return On Invested Capital value of 10.07%, TNL is doing good in the industry, outperforming 71.43% of the companies in the same industry.
• The last Return On Invested Capital (10.07%) for TNL is above the 3 year average (9.59%), which is a sign of increasing profitability.
• TNL has a better Profit Margin (10.54%) than 73.68% of its industry peers.
• With a decent Operating Margin value of 20.02%, TNL is doing good in the industry, outperforming 78.95% of the companies in the same industry.

Understanding NYSE:TNL's Health

ChartMill utilizes a Health Rating to assess stocks, scoring them on a scale of 0 to 10. This rating takes into account a variety of liquidity and solvency ratios, both in absolute terms and in comparison to industry peers. NYSE:TNL has earned a 6 out of 10:

• TNL has a Altman-Z score of 2.17. This is in the better half of the industry: TNL outperforms 63.91% of its industry peers.
• A Current Ratio of 3.91 indicates that TNL has no problem at all paying its short term obligations.
• With an excellent Current ratio value of 3.91, TNL belongs to the best of the industry, outperforming 97.74% of the companies in the same industry.
• TNL has a Quick Ratio of 2.95. This indicates that TNL is financially healthy and has no problem in meeting its short term obligations.
• TNL has a Quick ratio of 2.95. This is amongst the best in the industry. TNL outperforms 95.49% of its industry peers.

What does the Growth looks like for NYSE:TNL

Every stock receives a Growth Rating from ChartMill, ranging from 0 to 10. This rating assesses various growth aspects, including historical and projected EPS and revenue growth. NYSE:TNL boasts a 5 out of 10:

• TNL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 22.78%, which is quite impressive.
• TNL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.03% yearly.
• 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.

Our Decent Value screener lists more Decent Value stocks and is updated daily.

Check the latest full fundamental report of TNL for a complete fundamental analysis.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.