TRANSCONTINENTAL INC-CL A (TCL-A.CA) Stock Fundamental Analysis
TSX:TCL-A • CA8935781044
23.26 CAD
+0.11 (+0.48%)
Last: Feb 27, 2026, 07:00 PM
We assign a fundamental rating of 5 out of 10 to TCL-A. TCL-A was compared to 8 industry peers in the Containers & Packaging industry. While TCL-A has a great profitability rating, there are some minor concerns on its financial health. TCL-A has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- In the past year TCL-A was profitable.
- In the past year TCL-A had a positive cash flow from operations.
- TCL-A had positive earnings in each of the past 5 years.
- In the past 5 years TCL-A always reported a positive cash flow from operatings.
1.2 Ratios
- TCL-A's Return On Assets of 5.11% is fine compared to the rest of the industry. TCL-A outperforms 62.50% of its industry peers.
- With a decent Return On Equity value of 8.94%, TCL-A is doing good in the industry, outperforming 62.50% of the companies in the same industry.
- TCL-A's Return On Invested Capital of 7.77% is fine compared to the rest of the industry. TCL-A outperforms 62.50% of its industry peers.
- 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 7.68%.
- The last Return On Invested Capital (7.77%) for TCL-A is above the 3 year average (6.69%), which is a sign of increasing profitability.
| 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
- Looking at the Profit Margin, with a value of 6.23%, TCL-A is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
- In the last couple of years the Profit Margin of TCL-A has grown nicely.
- TCL-A's Operating Margin of 9.34% is fine compared to the rest of the industry. TCL-A outperforms 62.50% of its industry peers.
- TCL-A's Operating Margin has been stable in the last couple of years.
- TCL-A has a Gross Margin of 50.10%. This is amongst the best in the industry. TCL-A outperforms 100.00% of its industry peers.
- In the last couple of years the Gross Margin of TCL-A has remained more or less at the same level.
| 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
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TCL-A is destroying value.
- Compared to 1 year ago, TCL-A has less shares outstanding
- TCL-A has less shares outstanding than it did 5 years ago.
- TCL-A has a better debt/assets ratio than last year.
2.2 Solvency
- TCL-A has an Altman-Z score of 2.49. This is not the best score and indicates that TCL-A is in the grey zone with still only limited risk for bankruptcy at the moment.
- TCL-A has a Altman-Z score of 2.49. This is in the lower half of the industry: TCL-A underperforms 62.50% 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 62.50% of its industry peers.
- A Debt/Equity ratio of 0.27 indicates that TCL-A is not too dependend on debt financing.
- TCL-A's Debt to Equity ratio of 0.27 is fine compared to the rest of the industry. TCL-A outperforms 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 3.09 | ||
| Altman-Z | 2.49 |
ROIC/WACC0.99
WACC7.87%
2.3 Liquidity
- A Current Ratio of 1.29 indicates that TCL-A should not have too much problems paying its short term obligations.
- With a Current ratio value of 1.29, TCL-A is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
- A Quick Ratio of 0.77 indicates that TCL-A may have some problems paying its short term obligations.
- TCL-A's Quick ratio of 0.77 is in line compared to the rest of the industry. TCL-A outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.29 | ||
| Quick Ratio | 0.77 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 10.68% over the past year.
- TCL-A shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.08% yearly.
- Looking at the last year, TCL-A shows a decrease in Revenue. The Revenue has decreased by -2.45% in the last year.
- The Revenue has been growing slightly by 1.29% on average over the past years.
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-52.28%
EPS Next 2Y-33.62%
EPS Next 3Y-26.46%
EPS Next 5YN/A
Revenue Next Year-55.23%
Revenue Next 2Y-36.32%
Revenue Next 3Y-25.18%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 8.98, the valuation of TCL-A can be described as very reasonable.
- TCL-A's Price/Earnings ratio is rather cheap when compared to the industry. TCL-A is cheaper than 100.00% of the companies in the same industry.
- TCL-A's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.10.
- Based on the Price/Forward Earnings ratio of 18.82, the valuation of TCL-A can be described as rather expensive.
- Based on the Price/Forward Earnings ratio, TCL-A is valued a bit more expensive than the industry average as 62.50% of the companies are valued more cheaply.
- The average S&P500 Price/Forward Earnings ratio is at 28.06. TCL-A is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.98 | ||
| Fwd PE | 18.82 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, TCL-A is valued cheaper than 87.50% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of TCL-A indicates a rather cheap valuation: TCL-A is cheaper than 87.50% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.64 | ||
| EV/EBITDA | 5.75 |
4.3 Compensation for Growth
- TCL-A has a very decent profitability rating, which may justify a higher PE ratio.
- A cheap valuation may be justified as TCL-A's earnings are expected to decrease with -26.46% in the coming years.
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 3.89%.
- TCL-A's Dividend Yield is rather good when compared to the industry average which is at 2.07. TCL-A pays more dividend than 87.50% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.80, TCL-A pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.89% |
5.2 History
- On average, the dividend of TCL-A grows each year by 16.17%, which is quite nice.
- TCL-A has paid a dividend for at least 10 years, which is 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 (2/27/2026, 7:00:00 PM)
23.26
+0.11 (+0.48%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryContainers & Packaging
Earnings (Last)12-10 2025-12-10/amc
Earnings (Next)03-10 2026-03-10
Inst Owners33.68%
Inst Owner ChangeN/A
Ins Owners0.11%
Ins Owner ChangeN/A
Market Cap1.95B
Revenue(TTM)2.74B
Net Income(TTM)171.00M
Analysts80
Price Target28.15 (21.02%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.89% |
Yearly Dividend1.89
Dividend Growth(5Y)16.17%
DP92.98%
Div Incr Years1
Div Non Decr Years4
Ex-Date01-06 2026-01-06 (0.225)
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)0%
PT rev (3m)11.78%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-31.3%
EPS NY rev (1m)0%
EPS NY rev (3m)-53.59%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-55.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.98 | ||
| Fwd PE | 18.82 | ||
| P/S | 0.71 | ||
| P/FCF | 7.64 | ||
| P/OCF | 5.49 | ||
| P/B | 1.02 | ||
| P/tB | 4.8 | ||
| EV/EBITDA | 5.75 |
EPS(TTM)2.59
EY11.13%
EPS(NY)1.24
Fwd EY5.31%
FCF(TTM)3.05
FCFY13.1%
OCF(TTM)4.24
OCFY18.21%
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 | 2.49 |
F-Score8
WACC7.87%
ROIC/WACC0.99
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-52.28%
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-36.32%
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 7 / 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 8.98 and the Price/Book (PB) ratio is 1.02.
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 -52.28% in the next year.