Best Dividend Stocks. Analyze the stocks with the best dividend, while also showing decent profitability and health.


TRAVEL + LEISURE CO

New York Stock Exchange, Inc. / Consumer Discretionary / Hotels, Restaurants & Leisure

Fundamental Rating

6

Overall TNL gets a fundamental rating of 6 out of 10. We evaluated TNL against 134 industry peers in the Hotels, Restaurants & Leisure industry. TNL has only an average score on both its financial health and profitability. TNL is valued quite cheap, while showing a decent growth score. This is a good combination! Finally TNL also has an excellent dividend rating. With these ratings, TNL could be worth investigating further for value and dividend investing!.


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

TNL had positive earnings in the past year.
In the past year TNL had a positive cash flow from operations.
TNL had positive earnings in 4 of the past 5 years.
In the past 5 years TNL always reported a positive cash flow from operatings.
TNL Yearly Net Income VS EBIT VS OCF VS FCFTNL Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M -200M 400M 600M 800M

1.2 Ratios

TNL's Return On Assets of 6.18% is fine compared to the rest of the industry. TNL outperforms 76.12% of its industry peers.
TNL's Return On Invested Capital of 10.49% is fine compared to the rest of the industry. TNL outperforms 75.37% of its industry peers.
TNL had an Average Return On Invested Capital over the past 3 years of 10.16%. This is below the industry average of 13.88%.
The last Return On Invested Capital (10.49%) for TNL is above the 3 year average (10.16%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 6.18%
ROE N/A
ROIC 10.49%
ROA(3y)5.75%
ROA(5y)3.72%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)10.16%
ROIC(5y)8.06%
TNL Yearly ROA, ROE, ROICTNL Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50 -50 100 -100

1.3 Margins

Looking at the Profit Margin, with a value of 10.76%, TNL is in the better half of the industry, outperforming 76.87% of the companies in the same industry.
TNL's Profit Margin has declined in the last couple of years.
The Operating Margin of TNL (19.55%) is better than 77.61% of its industry peers.
TNL's Operating Margin has been stable in the last couple of years.
The Gross Margin of TNL (49.29%) is comparable to the rest of the industry.
TNL's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 19.55%
PM (TTM) 10.76%
GM 49.29%
OM growth 3Y-0.33%
OM growth 5Y-0.94%
PM growth 3Y2.67%
PM growth 5Y-3.24%
GM growth 3Y-0.05%
GM growth 5Y-1.2%
TNL Yearly Profit, Operating, Gross MarginsTNL Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 40

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6

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TNL is still creating some value.
Compared to 1 year ago, TNL has less shares outstanding
TNL has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, TNL has an improved debt to assets ratio.
TNL Yearly Shares OutstandingTNL Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M 80M 100M
TNL Yearly Total Debt VS Total AssetsTNL Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B 10B

2.2 Solvency

TNL has an Altman-Z score of 2.29. This is not the best score and indicates that TNL is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.29, TNL is in the better half of the industry, outperforming 66.42% of the companies in the same industry.
The Debt to FCF ratio of TNL is 12.63, which is on the high side as it means it would take TNL, 12.63 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of TNL (12.63) is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 12.63
Altman-Z 2.29
ROIC/WACC1.39
WACC7.54%
TNL Yearly LT Debt VS Equity VS FCFTNL Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 2B 4B 6B

2.3 Liquidity

TNL has a Current Ratio of 3.88. This indicates that TNL is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 3.88, TNL belongs to the best of the industry, outperforming 97.01% of the companies in the same industry.
TNL has a Quick Ratio of 2.85. This indicates that TNL is financially healthy and has no problem in meeting its short term obligations.
TNL has a Quick ratio of 2.85. This is amongst the best in the industry. TNL outperforms 94.03% of its industry peers.
Industry RankSector Rank
Current Ratio 3.88
Quick Ratio 2.85
TNL Yearly Current Assets VS Current LiabilitesTNL Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B 5B

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4

3. Growth

3.1 Past

The Earnings Per Share has been growing slightly by 1.72% over the past year.
TNL shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 0.53% yearly.
The Revenue has been growing slightly by 2.53% in the past year.
TNL shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.90% yearly.
EPS 1Y (TTM)1.72%
EPS 3Y16.56%
EPS 5Y0.53%
EPS Q2Q%14.43%
Revenue 1Y (TTM)2.53%
Revenue growth 3Y7.23%
Revenue growth 5Y-0.9%
Sales Q2Q%1.97%

3.2 Future

The Earnings Per Share is expected to grow by 14.80% on average over the next years. This is quite good.
Based on estimates for the next years, TNL will show a small growth in Revenue. The Revenue will grow by 3.64% on average per year.
EPS Next Y10.86%
EPS Next 2Y13.32%
EPS Next 3Y14.8%
EPS Next 5YN/A
Revenue Next Year3.34%
Revenue Next 2Y3.54%
Revenue Next 3Y3.64%
Revenue Next 5YN/A

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.
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.
TNL Yearly Revenue VS EstimatesTNL Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 1B 2B 3B 4B 5B
TNL Yearly EPS VS EstimatesTNL Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 0 2 4 6 8

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8

4. Valuation

4.1 Price/Earnings Ratio

TNL is valuated reasonably with a Price/Earnings ratio of 8.28.
Compared to the rest of the industry, the Price/Earnings ratio of TNL indicates a rather cheap valuation: TNL is cheaper than 96.27% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.35, TNL is valued rather cheaply.
With a Price/Forward Earnings ratio of 6.60, the valuation of TNL can be described as very cheap.
TNL's Price/Forward Earnings ratio is rather cheap when compared to the industry. TNL is cheaper than 95.52% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.20. TNL is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 8.28
Fwd PE 6.6
TNL Price Earnings VS Forward Price EarningsTNL Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

66.42% of the companies in the same industry are more expensive than TNL, based on the Enterprise Value to EBITDA ratio.
97.76% of the companies in the same industry are more expensive than TNL, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 7.26
EV/EBITDA 9.96
TNL Per share dataTNL EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 20 -20 40

4.3 Compensation for Growth

The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as TNL's earnings are expected to grow with 14.80% in the coming years.
PEG (NY)0.76
PEG (5Y)15.7
EPS Next 2Y13.32%
EPS Next 3Y14.8%

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8

5. Dividend

5.1 Amount

TNL has a Yearly Dividend Yield of 4.65%, which is a nice return.
TNL's Dividend Yield is rather good when compared to the industry average which is at 3.85. TNL pays more dividend than 91.04% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, TNL pays a better dividend.
Industry RankSector Rank
Dividend Yield 4.65%

5.2 History

The dividend of TNL has a limited annual growth rate of 2.47%.
TNL has paid a dividend for at least 10 years, which is a reliable track record.
TNL has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)2.47%
Div Incr Years3
Div Non Decr Years3
TNL Yearly Dividends per shareTNL Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5

5.3 Sustainability

34.69% of the earnings are spent on dividend by TNL. This is a low number and sustainable payout ratio.
TNL's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP34.69%
EPS Next 2Y13.32%
EPS Next 3Y14.8%
TNL Yearly Income VS Free CF VS DividendTNL Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M -200M 400M 600M 800M
TNL Dividend Payout.TNL Dividend Payout, showing the Payout Ratio.TNL Dividend Payout.PayoutRetained Earnings

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