TURTLE BEACH CORP (TBCH) Stock Fundamental Analysis
USA - NASDAQ:TBCH - US9004502061 - Common Stock
15.21 USD
-0.23 (-1.49%)
15.21 USD
0 (0%)
Taking everything into account, TBCH scores 5 out of 10 in our fundamental rating. TBCH was compared to 33 industry peers in the Technology Hardware, Storage & Peripherals industry. TBCH has only an average score on both its financial health and profitability. TBCH may be a bit undervalued, certainly considering the very reasonable score on growth These ratings would make TBCH suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year TBCH was profitable.
In the past year TBCH had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: TBCH reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: TBCH reported negative operating cash flow in multiple years.
1.2 Ratios
The Return On Assets of TBCH (8.31%) is better than 84.85% of its industry peers.
Looking at the Return On Equity, with a value of 17.08%, TBCH belongs to the top of the industry, outperforming 87.88% of the companies in the same industry.
TBCH has a Return On Invested Capital of 11.45%. This is in the better half of the industry: TBCH outperforms 72.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.31% | ||
| ROE | 17.08% | ||
| ROIC | 11.45% |
ROA(3y)-14.26%
ROA(5y)-3.22%
ROE(3y)-24.76%
ROE(5y)-5.71%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With an excellent Profit Margin value of 5.53%, TBCH belongs to the best of the industry, outperforming 81.82% of the companies in the same industry.
In the last couple of years the Profit Margin of TBCH has declined.
The Operating Margin of TBCH (7.42%) is better than 75.76% of its industry peers.
TBCH's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 35.93%, TBCH is doing good in the industry, outperforming 69.70% of the companies in the same industry.
In the last couple of years the Gross Margin of TBCH has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.42% | ||
| PM (TTM) | 5.53% | ||
| GM | 35.93% |
OM growth 3Y14.14%
OM growth 5Y13.32%
PM growth 3Y-3.5%
PM growth 5Y-10.66%
GM growth 3Y-0.42%
GM growth 5Y0.63%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), TBCH is creating some value.
Compared to 1 year ago, TBCH has more shares outstanding
The number of shares outstanding for TBCH has been increased compared to 5 years ago.
TBCH has a worse debt/assets ratio than last year.
2.2 Solvency
TBCH has an Altman-Z score of 2.96. This is not the best score and indicates that TBCH is in the grey zone with still only limited risk for bankruptcy at the moment.
TBCH has a Altman-Z score of 2.96. This is in the better half of the industry: TBCH outperforms 63.64% of its industry peers.
The Debt to FCF ratio of TBCH is 2.47, which is a good value as it means it would take TBCH, 2.47 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.47, TBCH is in the better half of the industry, outperforming 78.79% of the companies in the same industry.
TBCH has a Debt/Equity ratio of 0.51. This is a neutral value indicating TBCH is somewhat dependend on debt financing.
TBCH's Debt to Equity ratio of 0.51 is in line compared to the rest of the industry. TBCH outperforms 48.48% of its industry peers.
Although TBCH does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 2.47 | ||
| Altman-Z | 2.96 |
ROIC/WACC1.24
WACC9.22%
2.3 Liquidity
A Current Ratio of 1.83 indicates that TBCH should not have too much problems paying its short term obligations.
The Current ratio of TBCH (1.83) is better than 66.67% of its industry peers.
A Quick Ratio of 0.81 indicates that TBCH may have some problems paying its short term obligations.
The Quick ratio of TBCH (0.81) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.83 | ||
| Quick Ratio | 0.81 |
3. Growth
3.1 Past
TBCH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 496.43%, which is quite impressive.
The Earnings Per Share has been growing slightly by 6.11% on average over the past years.
TBCH shows a strong growth in Revenue. In the last year, the Revenue has grown by 24.07%.
The Revenue has been growing by 9.69% on average over the past years. This is quite good.
EPS 1Y (TTM)496.43%
EPS 3Y-11.84%
EPS 5Y6.11%
EPS Q2Q%53.33%
Revenue 1Y (TTM)24.07%
Revenue growth 3Y0.58%
Revenue growth 5Y9.69%
Sales Q2Q%-25.76%
3.2 Future
Based on estimates for the next years, TBCH will show a very strong growth in Earnings Per Share. The EPS will grow by 22.08% on average per year.
TBCH is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.03% yearly.
EPS Next Y33.43%
EPS Next 2Y28.5%
EPS Next 3Y22.08%
EPS Next 5YN/A
Revenue Next Year-7.6%
Revenue Next 2Y2.45%
Revenue Next 3Y4.03%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 18.11, TBCH is valued on the expensive side.
81.82% of the companies in the same industry are more expensive than TBCH, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.76. TBCH is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 12.45, TBCH is valued correctly.
72.73% of the companies in the same industry are more expensive than TBCH, based on the Price/Forward Earnings ratio.
TBCH is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.21, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.11 | ||
| Fwd PE | 12.45 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TBCH is valued cheaply inside the industry as 87.88% of the companies are valued more expensively.
TBCH's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. TBCH is cheaper than 75.76% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.05 | ||
| EV/EBITDA | 8.48 |
4.3 Compensation for Growth
TBCH's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
TBCH has a very decent profitability rating, which may justify a higher PE ratio.
TBCH's earnings are expected to grow with 22.08% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.54
PEG (5Y)2.96
EPS Next 2Y28.5%
EPS Next 3Y22.08%
5. Dividend
5.1 Amount
No dividends for TBCH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
15.21
-0.23 (-1.49%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryTechnology Hardware, Storage & Peripherals
Earnings (Last)
Earnings (Next)
Inst Owners63.07%
Inst Owner ChangeN/A
Ins Owners11.94%
Ins Owner Change-30.89%
Market Cap301.31M
Analysts81.82
Price Target18.67 (22.75%)
Short Float %15.96%
Short Ratio10.96
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)29.56%
Min EPS beat(2)1.23%
Max EPS beat(2)57.9%
EPS beat(4)3
Avg EPS beat(4)12.26%
Min EPS beat(4)-15.85%
Max EPS beat(4)57.9%
EPS beat(8)6
Avg EPS beat(8)24.11%
EPS beat(12)7
Avg EPS beat(12)11.1%
EPS beat(16)9
Avg EPS beat(16)32.13%
Revenue beat(2)1
Avg Revenue beat(2)0.08%
Min Revenue beat(2)-1.21%
Max Revenue beat(2)1.36%
Revenue beat(4)2
Avg Revenue beat(4)-0.05%
Min Revenue beat(4)-6.18%
Max Revenue beat(4)5.83%
Revenue beat(8)5
Avg Revenue beat(8)0.57%
Revenue beat(12)6
Avg Revenue beat(12)-0.83%
Revenue beat(16)8
Avg Revenue beat(16)-1.02%
PT rev (1m)0%
PT rev (3m)3.39%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-56.9%
EPS NY rev (1m)-0.82%
EPS NY rev (3m)20.64%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.76%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.11 | ||
| Fwd PE | 12.45 | ||
| P/S | 0.83 | ||
| P/FCF | 12.05 | ||
| P/OCF | 10.59 | ||
| P/B | 2.58 | ||
| P/tB | 10.75 | ||
| EV/EBITDA | 8.48 |
EPS(TTM)0.84
EY5.52%
EPS(NY)1.22
Fwd EY8.03%
FCF(TTM)1.26
FCFY8.3%
OCF(TTM)1.44
OCFY9.44%
SpS18.23
BVpS5.9
TBVpS1.42
PEG (NY)0.54
PEG (5Y)2.96
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.31% | ||
| ROE | 17.08% | ||
| ROCE | 16.24% | ||
| ROIC | 11.45% | ||
| ROICexc | 12.22% | ||
| ROICexgc | 25.09% | ||
| OM | 7.42% | ||
| PM (TTM) | 5.53% | ||
| GM | 35.93% | ||
| FCFM | 6.93% |
ROA(3y)-14.26%
ROA(5y)-3.22%
ROE(3y)-24.76%
ROE(5y)-5.71%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y8.48%
ROICexcg growth 5Y8.82%
ROICexc growth 3Y-6.43%
ROICexc growth 5Y0.82%
OM growth 3Y14.14%
OM growth 5Y13.32%
PM growth 3Y-3.5%
PM growth 5Y-10.66%
GM growth 3Y-0.42%
GM growth 5Y0.63%
F-Score9
Asset Turnover1.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 2.47 | ||
| Debt/EBITDA | 1.51 | ||
| Cap/Depr | 26.83% | ||
| Cap/Sales | 0.95% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 71.8% | ||
| Profit Quality | 125.31% | ||
| Current Ratio | 1.83 | ||
| Quick Ratio | 0.81 | ||
| Altman-Z | 2.96 |
F-Score9
WACC9.22%
ROIC/WACC1.24
Cap/Depr(3y)49.58%
Cap/Depr(5y)72.48%
Cap/Sales(3y)1.21%
Cap/Sales(5y)1.35%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)496.43%
EPS 3Y-11.84%
EPS 5Y6.11%
EPS Q2Q%53.33%
EPS Next Y33.43%
EPS Next 2Y28.5%
EPS Next 3Y22.08%
EPS Next 5YN/A
Revenue 1Y (TTM)24.07%
Revenue growth 3Y0.58%
Revenue growth 5Y9.69%
Sales Q2Q%-25.76%
Revenue Next Year-7.6%
Revenue Next 2Y2.45%
Revenue Next 3Y4.03%
Revenue Next 5YN/A
EBIT growth 1Y1045.45%
EBIT growth 3Y14.8%
EBIT growth 5Y24.3%
EBIT Next Year81.95%
EBIT Next 3Y34.03%
EBIT Next 5YN/A
FCF growth 1Y24.92%
FCF growth 3YN/A
FCF growth 5Y-53.13%
OCF growth 1Y20.5%
OCF growth 3YN/A
OCF growth 5Y-31.91%