TECHNIPFMC PLC (FTI) Stock Fundamental Analysis
USA - NYSE:FTI - GB00BDSFG982 - Common Stock
36.9 USD
-1.02 (-2.69%)
36.9 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to FTI. FTI was compared to 61 industry peers in the Energy Equipment & Services industry. While FTI has a great profitability rating, there are some minor concerns on its financial health. FTI is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year FTI was profitable.
FTI had a positive operating cash flow in the past year.
In multiple years FTI reported negative net income over the last 5 years.
FTI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
FTI has a Return On Assets of 9.03%. This is amongst the best in the industry. FTI outperforms 85.25% of its industry peers.
FTI has a Return On Equity of 28.01%. This is amongst the best in the industry. FTI outperforms 91.80% of its industry peers.
FTI's Return On Invested Capital of 13.67% is amongst the best of the industry. FTI outperforms 88.52% of its industry peers.
FTI had an Average Return On Invested Capital over the past 3 years of 6.55%. This is in line with the industry average of 8.04%.
The 3 year average ROIC (6.55%) for FTI is below the current ROIC(13.67%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.03% | ||
| ROE | 28.01% | ||
| ROIC | 13.67% |
ROA(3y)2.66%
ROA(5y)-1.72%
ROE(3y)8.58%
ROE(5y)-10.61%
ROIC(3y)6.55%
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 9.60%, FTI is doing good in the industry, outperforming 77.05% of the companies in the same industry.
FTI's Profit Margin has improved in the last couple of years.
FTI has a better Operating Margin (12.39%) than 65.57% of its industry peers.
In the last couple of years the Operating Margin of FTI has grown nicely.
With a Gross Margin value of 20.45%, FTI is not doing good in the industry: 68.85% of the companies in the same industry are doing better.
FTI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.39% | ||
| PM (TTM) | 9.6% | ||
| GM | 20.45% |
OM growth 3Y90%
OM growth 5Y46.09%
PM growth 3Y257.56%
PM growth 5YN/A
GM growth 3Y13.81%
GM growth 5Y4.5%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so FTI is still creating some value.
FTI has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, FTI has less shares outstanding
The debt/assets ratio for FTI has been reduced compared to a year ago.
2.2 Solvency
FTI has an Altman-Z score of 2.19. This is not the best score and indicates that FTI is in the grey zone with still only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.19, FTI is doing good in the industry, outperforming 62.30% of the companies in the same industry.
FTI has a debt to FCF ratio of 0.60. This is a very positive value and a sign of high solvency as it would only need 0.60 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.60, FTI belongs to the top of the industry, outperforming 86.89% of the companies in the same industry.
FTI has a Debt/Equity ratio of 0.15. This is a healthy value indicating a solid balance between debt and equity.
FTI's Debt to Equity ratio of 0.15 is fine compared to the rest of the industry. FTI outperforms 73.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 0.6 | ||
| Altman-Z | 2.19 |
ROIC/WACC1.54
WACC8.88%
2.3 Liquidity
FTI has a Current Ratio of 1.10. This is a normal value and indicates that FTI is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of FTI (1.10) is worse than 90.16% of its industry peers.
A Quick Ratio of 0.84 indicates that FTI may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.84, FTI is doing worse than 88.52% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.1 | ||
| Quick Ratio | 0.84 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 119.00% over the past year.
Measured over the past years, FTI shows a very strong growth in Earnings Per Share. The EPS has been growing by 24.99% on average per year.
FTI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.55%.
The Revenue has been growing slightly by 5.50% on average over the past years.
EPS 1Y (TTM)119%
EPS 3Y357.37%
EPS 5Y24.99%
EPS Q2Q%58.14%
Revenue 1Y (TTM)11.55%
Revenue growth 3Y12.36%
Revenue growth 5Y5.5%
Sales Q2Q%8.99%
3.2 Future
FTI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.01% yearly.
FTI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.53% yearly.
EPS Next Y21.25%
EPS Next 2Y20.69%
EPS Next 3Y19.42%
EPS Next 5Y12.01%
Revenue Next Year9.77%
Revenue Next 2Y8.67%
Revenue Next 3Y7.51%
Revenue Next 5Y4.53%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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 stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 16.85 indicates a correct valuation of FTI.
The rest of the industry has a similar Price/Earnings ratio as FTI.
When comparing the Price/Earnings ratio of FTI to the average of the S&P500 Index (27.70), we can say FTI is valued slightly cheaper.
The Price/Forward Earnings ratio is 13.84, which indicates a correct valuation of FTI.
The rest of the industry has a similar Price/Forward Earnings ratio as FTI.
FTI is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.15, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.85 | ||
| Fwd PE | 13.84 |
4.2 Price Multiples
FTI's Enterprise Value to EBITDA ratio is rather expensive when compared to the industry. FTI is more expensive than 80.33% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as FTI.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.5 | ||
| EV/EBITDA | 9.68 |
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.
The decent profitability rating of FTI may justify a higher PE ratio.
FTI's earnings are expected to grow with 19.42% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.79
PEG (5Y)0.67
EPS Next 2Y20.69%
EPS Next 3Y19.42%
5. Dividend
5.1 Amount
FTI has a yearly dividend return of 0.52%, which is pretty low.
FTI's Dividend Yield is comparable with the industry average which is at 3.26.
Compared to an average S&P500 Dividend Yield of 2.44, FTI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.52% |
5.2 History
The dividend of FTI decreases each year by -17.29%.
FTI has paid a dividend for at least 10 years, which is a reliable track record.
FTI has decreased its dividend recently.
Dividend Growth(5Y)-17.29%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
FTI pays out 9.28% of its income as dividend. This is a sustainable payout ratio.
DP9.28%
EPS Next 2Y20.69%
EPS Next 3Y19.42%
36.9
-1.02 (-2.69%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners99.1%
Inst Owner Change0%
Ins Owners1.11%
Ins Owner Change-14.91%
Market Cap15.17B
Analysts77.78
Price Target42.13 (14.17%)
Short Float %4.39%
Short Ratio3.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.52% |
Yearly Dividend0.2
Dividend Growth(5Y)-17.29%
DP9.28%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.46%
Min EPS beat(2)-7.03%
Max EPS beat(2)15.95%
EPS beat(4)3
Avg EPS beat(4)31.11%
Min EPS beat(4)-7.03%
Max EPS beat(4)63.37%
EPS beat(8)7
Avg EPS beat(8)28.3%
EPS beat(12)7
Avg EPS beat(12)-19.47%
EPS beat(16)7
Avg EPS beat(16)-209.23%
Revenue beat(2)1
Avg Revenue beat(2)-0.53%
Min Revenue beat(2)-2.29%
Max Revenue beat(2)1.23%
Revenue beat(4)2
Avg Revenue beat(4)0%
Min Revenue beat(4)-2.29%
Max Revenue beat(4)1.91%
Revenue beat(8)6
Avg Revenue beat(8)2.04%
Revenue beat(12)9
Avg Revenue beat(12)1.55%
Revenue beat(16)10
Avg Revenue beat(16)0.18%
PT rev (1m)0.61%
PT rev (3m)17.39%
EPS NQ rev (1m)0.45%
EPS NQ rev (3m)5.7%
EPS NY rev (1m)0.52%
EPS NY rev (3m)5.27%
Revenue NQ rev (1m)0.49%
Revenue NQ rev (3m)1.03%
Revenue NY rev (1m)0.11%
Revenue NY rev (3m)0.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.85 | ||
| Fwd PE | 13.84 | ||
| P/S | 1.6 | ||
| P/FCF | 11.5 | ||
| P/OCF | 9.23 | ||
| P/B | 4.66 | ||
| P/tB | 5.5 | ||
| EV/EBITDA | 9.68 |
EPS(TTM)2.19
EY5.93%
EPS(NY)2.67
Fwd EY7.22%
FCF(TTM)3.21
FCFY8.7%
OCF(TTM)4
OCFY10.83%
SpS23.07
BVpS7.91
TBVpS6.71
PEG (NY)0.79
PEG (5Y)0.67
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.03% | ||
| ROE | 28.01% | ||
| ROCE | 23.55% | ||
| ROIC | 13.67% | ||
| ROICexc | 16.88% | ||
| ROICexgc | 19.23% | ||
| OM | 12.39% | ||
| PM (TTM) | 9.6% | ||
| GM | 20.45% | ||
| FCFM | 13.91% |
ROA(3y)2.66%
ROA(5y)-1.72%
ROE(3y)8.58%
ROE(5y)-10.61%
ROIC(3y)6.55%
ROIC(5y)N/A
ROICexc(3y)8.36%
ROICexc(5y)N/A
ROICexgc(3y)9.72%
ROICexgc(5y)N/A
ROCE(3y)11.29%
ROCE(5y)N/A
ROICexcg growth 3Y120.68%
ROICexcg growth 5Y29.85%
ROICexc growth 3Y124.98%
ROICexc growth 5Y78.94%
OM growth 3Y90%
OM growth 5Y46.09%
PM growth 3Y257.56%
PM growth 5YN/A
GM growth 3Y13.81%
GM growth 5Y4.5%
F-Score9
Asset Turnover0.94
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 0.6 | ||
| Debt/EBITDA | 0.31 | ||
| Cap/Depr | 77.46% | ||
| Cap/Sales | 3.42% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 103.09% | ||
| Profit Quality | 144.81% | ||
| Current Ratio | 1.1 | ||
| Quick Ratio | 0.84 | ||
| Altman-Z | 2.19 |
F-Score9
WACC8.88%
ROIC/WACC1.54
Cap/Depr(3y)57.73%
Cap/Depr(5y)57.63%
Cap/Sales(3y)2.78%
Cap/Sales(5y)3.16%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)119%
EPS 3Y357.37%
EPS 5Y24.99%
EPS Q2Q%58.14%
EPS Next Y21.25%
EPS Next 2Y20.69%
EPS Next 3Y19.42%
EPS Next 5Y12.01%
Revenue 1Y (TTM)11.55%
Revenue growth 3Y12.36%
Revenue growth 5Y5.5%
Sales Q2Q%8.99%
Revenue Next Year9.77%
Revenue Next 2Y8.67%
Revenue Next 3Y7.51%
Revenue Next 5Y4.53%
EBIT growth 1Y49.09%
EBIT growth 3Y113.48%
EBIT growth 5Y54.12%
EBIT Next Year83.47%
EBIT Next 3Y29.67%
EBIT Next 5Y15.6%
FCF growth 1Y283.62%
FCF growth 3Y4.84%
FCF growth 5Y11.51%
OCF growth 1Y199.58%
OCF growth 3Y7.14%
OCF growth 5Y2.52%