TRANSCONTINENTAL INC-CL A (TCL-A.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:TCL-A - CA8935781044 - Common Stock
22.89 CAD
+0.21 (+0.93%)
Overall TCL-A gets a fundamental rating of 5 out of 10. We evaluated TCL-A against 9 industry peers in the Containers & Packaging industry. Both the profitability and the financial health of TCL-A get a neutral evaluation. Nothing too spectacular is happening here. TCL-A has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year TCL-A was profitable.
TCL-A had a positive operating cash flow in the past year.
In the past 5 years TCL-A has always been profitable.
TCL-A had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TCL-A has a Return On Assets of 5.11%. This is comparable to the rest of the industry: TCL-A outperforms 55.56% of its industry peers.
TCL-A has a Return On Equity of 8.94%. This is comparable to the rest of the industry: TCL-A outperforms 55.56% of its industry peers.
Looking at the Return On Invested Capital, with a value of 7.77%, TCL-A is in line with its industry, outperforming 55.56% of the companies in the same industry.
TCL-A had an Average Return On Invested Capital over the past 3 years of 6.69%. This is in line with the industry average of 7.93%.
The 3 year average ROIC (6.69%) for TCL-A is below the current ROIC(7.77%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.11% | ||
| ROE | 8.94% | ||
| ROIC | 7.77% |
ROA(3y)3.59%
ROA(5y)3.62%
ROE(3y)6.6%
ROE(5y)6.95%
ROIC(3y)6.69%
ROIC(5y)6.31%
1.3 Margins
The Profit Margin of TCL-A (6.23%) is better than 66.67% of its industry peers.
In the last couple of years the Profit Margin of TCL-A has grown nicely.
With a Operating Margin value of 9.34%, TCL-A perfoms like the industry average, outperforming 55.56% of the companies in the same industry.
TCL-A's Operating Margin has been stable in the last couple of years.
With an excellent Gross Margin value of 50.10%, TCL-A belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
TCL-A's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.34% | ||
| PM (TTM) | 6.23% | ||
| GM | 50.1% |
OM growth 3Y7.14%
OM growth 5Y1.45%
PM growth 3Y9.27%
PM growth 5Y4.02%
GM growth 3Y3.81%
GM growth 5Y0.58%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TCL-A is still creating some value.
TCL-A has less shares outstanding than it did 1 year ago.
The number of shares outstanding for TCL-A has been reduced compared to 5 years ago.
TCL-A has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.48 indicates that TCL-A is not a great score, but indicates only limited risk for bankruptcy at the moment.
TCL-A's Altman-Z score of 2.48 is on the low side compared to the rest of the industry. TCL-A is outperformed by 66.67% of its industry peers.
TCL-A has a debt to FCF ratio of 3.09. This is a good value and a sign of high solvency as TCL-A would need 3.09 years to pay back of all of its debts.
TCL-A has a better Debt to FCF ratio (3.09) than 66.67% of its industry peers.
TCL-A has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of TCL-A (0.27) is better than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 3.09 | ||
| Altman-Z | 2.48 |
ROIC/WACC1.01
WACC7.67%
2.3 Liquidity
TCL-A has a Current Ratio of 1.29. This is a normal value and indicates that TCL-A is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of TCL-A (1.29) is worse than 77.78% of its industry peers.
TCL-A has a Quick Ratio of 1.29. This is a bad value and indicates that TCL-A is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of TCL-A (0.77) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.29 | ||
| Quick Ratio | 0.77 |
3. Growth
3.1 Past
TCL-A shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.68%, which is quite good.
The Earnings Per Share has been decreasing by -0.08% on average over the past years.
The Revenue has decreased by -2.45% in the past year.
TCL-A shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.29% yearly.
EPS 1Y (TTM)10.68%
EPS 3Y5.75%
EPS 5Y-0.08%
EPS Q2Q%3.8%
Revenue 1Y (TTM)-2.45%
Revenue growth 3Y-2.45%
Revenue growth 5Y1.29%
Sales Q2Q%-2.26%
3.2 Future
TCL-A is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -26.46% yearly.
Based on estimates for the next years, TCL-A will show a very negative growth in Revenue. The Revenue will decrease by -25.18% on average per year.
EPS Next Y-39.62%
EPS Next 2Y-33.62%
EPS Next 3Y-26.46%
EPS Next 5YN/A
Revenue Next Year-55.23%
Revenue Next 2Y-36.07%
Revenue Next 3Y-25.18%
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 decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 8.84, the valuation of TCL-A can be described as very reasonable.
100.00% of the companies in the same industry are more expensive than TCL-A, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of TCL-A to the average of the S&P500 Index (26.92), we can say TCL-A is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 14.64, the valuation of TCL-A can be described as correct.
Based on the Price/Forward Earnings ratio, TCL-A is valued a bit cheaper than 66.67% of the companies in the same industry.
TCL-A's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.57.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.84 | ||
| Fwd PE | 14.64 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TCL-A indicates a rather cheap valuation: TCL-A is cheaper than 100.00% of the companies listed in the same industry.
88.89% of the companies in the same industry are more expensive than TCL-A, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.51 | ||
| EV/EBITDA | 5.7 |
4.3 Compensation for Growth
TCL-A has a very decent profitability rating, which may justify a higher PE ratio.
TCL-A's earnings are expected to decrease with -26.46% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-33.62%
EPS Next 3Y-26.46%
5. Dividend
5.1 Amount
TCL-A has a Yearly Dividend Yield of 3.96%.
TCL-A's Dividend Yield is rather good when compared to the industry average which is at 2.08. TCL-A pays more dividend than 88.89% of the companies in the same industry.
TCL-A's Dividend Yield is rather good when compared to the S&P500 average which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.96% |
5.2 History
The dividend of TCL-A is nicely growing with an annual growth rate of 16.17%!
TCL-A has been paying a dividend for at least 10 years, so it has a reliable track record.
TCL-A has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)16.17%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
92.98% of the earnings are spent on dividend by TCL-A. This is not a sustainable payout ratio.
TCL-A's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP92.98%
EPS Next 2Y-33.62%
EPS Next 3Y-26.46%
TSX:TCL-A (1/6/2026, 7:00:00 PM)
22.89
+0.21 (+0.93%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryContainers & Packaging
Earnings (Last)
Earnings (Next)
Inst Owners33.68%
Inst Owner ChangeN/A
Ins Owners0.11%
Ins Owner ChangeN/A
Market Cap1.91B
Revenue(TTM)2.74B
Net Income(TTM)171.00M
Analysts80
Price Target28.22 (23.29%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.96% |
Yearly Dividend1.89
Dividend Growth(5Y)16.17%
DP92.98%
Div Incr Years1
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-4.67%
Min EPS beat(2)-8.32%
Max EPS beat(2)-1.03%
EPS beat(4)2
Avg EPS beat(4)6.16%
Min EPS beat(4)-8.32%
Max EPS beat(4)30.34%
EPS beat(8)6
Avg EPS beat(8)9.76%
EPS beat(12)8
Avg EPS beat(12)6.62%
EPS beat(16)11
Avg EPS beat(16)4.62%
Revenue beat(2)0
Avg Revenue beat(2)-3.22%
Min Revenue beat(2)-4.29%
Max Revenue beat(2)-2.14%
Revenue beat(4)1
Avg Revenue beat(4)-2.49%
Min Revenue beat(4)-4.29%
Max Revenue beat(4)0.21%
Revenue beat(8)1
Avg Revenue beat(8)-3.66%
Revenue beat(12)2
Avg Revenue beat(12)-3.86%
Revenue beat(16)4
Avg Revenue beat(16)-2.62%
PT rev (1m)11.78%
PT rev (3m)11.78%
EPS NQ rev (1m)-31.3%
EPS NQ rev (3m)-31.3%
EPS NY rev (1m)-41.22%
EPS NY rev (3m)-41.28%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-55.49%
Revenue NY rev (3m)-55.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.84 | ||
| Fwd PE | 14.64 | ||
| P/S | 0.7 | ||
| P/FCF | 7.51 | ||
| P/OCF | 5.4 | ||
| P/B | 1 | ||
| P/tB | 4.72 | ||
| EV/EBITDA | 5.7 |
EPS(TTM)2.59
EY11.31%
EPS(NY)1.56
Fwd EY6.83%
FCF(TTM)3.05
FCFY13.31%
OCF(TTM)4.24
OCFY18.51%
SpS32.81
BVpS22.88
TBVpS4.85
PEG (NY)N/A
PEG (5Y)N/A
Graham Number36.51
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.11% | ||
| ROE | 8.94% | ||
| ROCE | 9.78% | ||
| ROIC | 7.77% | ||
| ROICexc | 7.91% | ||
| ROICexgc | 19.1% | ||
| OM | 9.34% | ||
| PM (TTM) | 6.23% | ||
| GM | 50.1% | ||
| FCFM | 9.28% |
ROA(3y)3.59%
ROA(5y)3.62%
ROE(3y)6.6%
ROE(5y)6.95%
ROIC(3y)6.69%
ROIC(5y)6.31%
ROICexc(3y)6.98%
ROICexc(5y)6.61%
ROICexgc(3y)16.07%
ROICexgc(5y)15.23%
ROCE(3y)8.43%
ROCE(5y)7.95%
ROICexgc growth 3Y17.29%
ROICexgc growth 5Y1.7%
ROICexc growth 3Y12.48%
ROICexc growth 5Y3.59%
OM growth 3Y7.14%
OM growth 5Y1.45%
PM growth 3Y9.27%
PM growth 5Y4.02%
GM growth 3Y3.81%
GM growth 5Y0.58%
F-Score8
Asset Turnover0.82
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 3.09 | ||
| Debt/EBITDA | 1.09 | ||
| Cap/Depr | 47.61% | ||
| Cap/Sales | 3.63% | ||
| Interest Coverage | 5.91 | ||
| Cash Conversion | 76.11% | ||
| Profit Quality | 148.95% | ||
| Current Ratio | 1.29 | ||
| Quick Ratio | 0.77 | ||
| Altman-Z | 2.48 |
F-Score8
WACC7.67%
ROIC/WACC1.01
Cap/Depr(3y)59.88%
Cap/Depr(5y)60.38%
Cap/Sales(3y)4.66%
Cap/Sales(5y)4.81%
Profit Quality(3y)244.48%
Profit Quality(5y)184.9%
High Growth Momentum
Growth
EPS 1Y (TTM)10.68%
EPS 3Y5.75%
EPS 5Y-0.08%
EPS Q2Q%3.8%
EPS Next Y-39.62%
EPS Next 2Y-33.62%
EPS Next 3Y-26.46%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.45%
Revenue growth 3Y-2.45%
Revenue growth 5Y1.29%
Sales Q2Q%-2.26%
Revenue Next Year-55.23%
Revenue Next 2Y-36.07%
Revenue Next 3Y-25.18%
Revenue Next 5YN/A
EBIT growth 1Y0.87%
EBIT growth 3Y4.51%
EBIT growth 5Y2.76%
EBIT Next Year-25.29%
EBIT Next 3Y-11.32%
EBIT Next 5YN/A
FCF growth 1Y-12.83%
FCF growth 3Y48.11%
FCF growth 5Y-5.02%
OCF growth 1Y-14.38%
OCF growth 3Y17.06%
OCF growth 5Y-3.67%
TRANSCONTINENTAL INC-CL A / TCL-A.CA FAQ
What is the fundamental rating for TCL-A stock?
ChartMill assigns a fundamental rating of 5 / 10 to TCL-A.CA.
Can you provide the valuation status for TRANSCONTINENTAL INC-CL A?
ChartMill assigns a valuation rating of 6 / 10 to TRANSCONTINENTAL INC-CL A (TCL-A.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for TRANSCONTINENTAL INC-CL A?
TRANSCONTINENTAL INC-CL A (TCL-A.CA) has a profitability rating of 6 / 10.
What is the valuation of TRANSCONTINENTAL INC-CL A based on its PE and PB ratios?
The Price/Earnings (PE) ratio for TRANSCONTINENTAL INC-CL A (TCL-A.CA) is 8.84 and the Price/Book (PB) ratio is 1.
Can you provide the expected EPS growth for TCL-A stock?
The Earnings per Share (EPS) of TRANSCONTINENTAL INC-CL A (TCL-A.CA) is expected to decline by -39.62% in the next year.