TRANSCONTINENTAL INC-CL B (TCL-B.CA) Stock Fundamental Analysis
Canada - TSX:TCL-B - CA8935782034 - Common Stock
19.7 CAD
-0.1 (-0.51%)
Overall TCL-B gets a fundamental rating of 5 out of 10. We evaluated TCL-B against 8 industry peers in the Containers & Packaging industry. Both the profitability and the financial health of TCL-B get a neutral evaluation. Nothing too spectacular is happening here. TCL-B has a bad growth rate and is valued cheaply. These ratings would make TCL-B suitable for value investing!
1. Profitability
1.1 Basic Checks
TCL-B had positive earnings in the past year.
TCL-B had a positive operating cash flow in the past year.
Each year in the past 5 years TCL-B has been profitable.
In the past 5 years TCL-B always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.39%, TCL-B is in line with its industry, outperforming 50.00% of the companies in the same industry.
TCL-B's Return On Equity of 9.40% is in line compared to the rest of the industry. TCL-B outperforms 50.00% of its industry peers.
TCL-B has a Return On Invested Capital of 8.40%. This is comparable to the rest of the industry: TCL-B outperforms 50.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TCL-B is in line with the industry average of 7.91%.
The last Return On Invested Capital (8.40%) for TCL-B is above the 3 year average (6.31%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.39% | ||
| ROE | 9.4% | ||
| ROIC | 8.4% |
ROA(3y)3.12%
ROA(5y)3.33%
ROE(3y)6.13%
ROE(5y)6.68%
ROIC(3y)6.31%
ROIC(5y)6.35%
1.3 Margins
TCL-B has a Profit Margin of 6.37%. This is in the better half of the industry: TCL-B outperforms 62.50% of its industry peers.
TCL-B's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 9.40%, TCL-B perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
TCL-B's Operating Margin has been stable in the last couple of years.
The Gross Margin of TCL-B (50.06%) is better than 87.50% of its industry peers.
TCL-B's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.4% | ||
| PM (TTM) | 6.37% | ||
| GM | 50.06% |
OM growth 3Y2.61%
OM growth 5Y-1.39%
PM growth 3Y-4.43%
PM growth 5Y-4.63%
GM growth 3Y1.42%
GM growth 5Y1.1%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), TCL-B is creating some value.
Compared to 1 year ago, TCL-B has less shares outstanding
Compared to 5 years ago, TCL-B has less shares outstanding
The debt/assets ratio for TCL-B has been reduced compared to a year ago.
2.2 Solvency
TCL-B has an Altman-Z score of 2.44. This is not the best score and indicates that TCL-B is in the grey zone with still only limited risk for bankruptcy at the moment.
TCL-B's Altman-Z score of 2.44 is on the low side compared to the rest of the industry. TCL-B is outperformed by 62.50% of its industry peers.
TCL-B has a debt to FCF ratio of 3.10. This is a good value and a sign of high solvency as TCL-B would need 3.10 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 3.10, TCL-B is doing good in the industry, outperforming 62.50% of the companies in the same industry.
TCL-B has a Debt/Equity ratio of 0.29. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of TCL-B (0.29) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 3.1 | ||
| Altman-Z | 2.44 |
ROIC/WACC1.03
WACC8.16%
2.3 Liquidity
TCL-B has a Current Ratio of 1.39. This is a normal value and indicates that TCL-B is financially healthy and should not expect problems in meeting its short term obligations.
TCL-B's Current ratio of 1.39 is on the low side compared to the rest of the industry. TCL-B is outperformed by 87.50% of its industry peers.
A Quick Ratio of 0.80 indicates that TCL-B may have some problems paying its short term obligations.
TCL-B has a worse Quick ratio (0.80) than 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.39 | ||
| Quick Ratio | 0.8 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 7.56% over the past year.
The Earnings Per Share has been decreasing by -1.47% on average over the past years.
TCL-B shows a decrease in Revenue. In the last year, the revenue decreased by -2.90%.
Measured over the past years, TCL-B shows a decrease in Revenue. The Revenue has been decreasing by -1.53% on average per year.
EPS 1Y (TTM)7.56%
EPS 3Y-0.42%
EPS 5Y-1.47%
EPS Q2Q%16.67%
Revenue 1Y (TTM)-2.9%
Revenue growth 3Y2.09%
Revenue growth 5Y-1.53%
Sales Q2Q%-2.23%
3.2 Future
The Earnings Per Share is expected to grow by 5.79% on average over the next years.
TCL-B is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.77% yearly.
EPS Next Y16.14%
EPS Next 2Y8.41%
EPS Next 3Y5.79%
EPS Next 5YN/A
Revenue Next Year-2.48%
Revenue Next 2Y-0.86%
Revenue Next 3Y-0.77%
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 7.70, which indicates a rather cheap valuation of TCL-B.
Based on the Price/Earnings ratio, TCL-B is valued cheaply inside the industry as 87.50% of the companies are valued more expensively.
TCL-B's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.32.
The Price/Forward Earnings ratio is 7.16, which indicates a rather cheap valuation of TCL-B.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TCL-B indicates a somewhat cheap valuation: TCL-B is cheaper than 75.00% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of TCL-B to the average of the S&P500 Index (22.89), we can say TCL-B is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.7 | ||
| Fwd PE | 7.16 |
4.2 Price Multiples
TCL-B's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. TCL-B is cheaper than 75.00% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, TCL-B is valued a bit cheaper than 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.19 | ||
| EV/EBITDA | 5.19 |
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 TCL-B may justify a higher PE ratio.
PEG (NY)0.48
PEG (5Y)N/A
EPS Next 2Y8.41%
EPS Next 3Y5.79%
5. Dividend
5.1 Amount
TCL-B has a Yearly Dividend Yield of 4.50%, which is a nice return.
TCL-B's Dividend Yield is a higher than the industry average which is at 3.28.
Compared to an average S&P500 Dividend Yield of 2.42, TCL-B pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.5% |
5.2 History
The dividend of TCL-B has a limited annual growth rate of 0.76%.
TCL-B has paid a dividend for at least 10 years, which is a reliable track record.
TCL-B has decreased its dividend recently.
Dividend Growth(5Y)0.76%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
90.45% of the earnings are spent on dividend by TCL-B. This is not a sustainable payout ratio.
TCL-B's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP90.45%
EPS Next 2Y8.41%
EPS Next 3Y5.79%
TSX:TCL-B (9/18/2025, 7:00:00 PM)
19.7
-0.1 (-0.51%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryContainers & Packaging
Earnings (Last)
Earnings (Next)
Inst Owners32.62%
Inst Owner ChangeN/A
Ins Owners0.13%
Ins Owner ChangeN/A
Market Cap1.65B
Analysts80
Price Target24.69 (25.33%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.5% |
Yearly Dividend0.9
Dividend Growth(5Y)0.76%
DP90.45%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.31%
Min EPS beat(2)-1.03%
Max EPS beat(2)3.64%
EPS beat(4)3
Avg EPS beat(4)9.58%
Min EPS beat(4)-1.03%
Max EPS beat(4)30.34%
EPS beat(8)7
Avg EPS beat(8)14.1%
EPS beat(12)9
Avg EPS beat(12)8.08%
EPS beat(16)12
Avg EPS beat(16)5.61%
Revenue beat(2)1
Avg Revenue beat(2)-0.97%
Min Revenue beat(2)-2.14%
Max Revenue beat(2)0.21%
Revenue beat(4)1
Avg Revenue beat(4)-2.44%
Min Revenue beat(4)-4.08%
Max Revenue beat(4)0.21%
Revenue beat(8)1
Avg Revenue beat(8)-3.62%
Revenue beat(12)2
Avg Revenue beat(12)-3.77%
Revenue beat(16)5
Avg Revenue beat(16)-1.93%
PT rev (1m)0%
PT rev (3m)5.33%
EPS NQ rev (1m)2.29%
EPS NQ rev (3m)7.06%
EPS NY rev (1m)1.88%
EPS NY rev (3m)1.88%
Revenue NQ rev (1m)1.11%
Revenue NQ rev (3m)1.29%
Revenue NY rev (1m)0.18%
Revenue NY rev (3m)0.85%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.7 | ||
| Fwd PE | 7.16 | ||
| P/S | 0.6 | ||
| P/FCF | 6.19 | ||
| P/OCF | 4.49 | ||
| P/B | 0.88 | ||
| P/tB | 3.98 | ||
| EV/EBITDA | 5.19 |
EPS(TTM)2.56
EY12.99%
EPS(NY)2.75
Fwd EY13.96%
FCF(TTM)3.18
FCFY16.17%
OCF(TTM)4.39
OCFY22.26%
SpS33.02
BVpS22.38
TBVpS4.95
PEG (NY)0.48
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.39% | ||
| ROE | 9.4% | ||
| ROCE | 9.95% | ||
| ROIC | 8.4% | ||
| ROICexc | 8.52% | ||
| ROICexgc | 19.69% | ||
| OM | 9.4% | ||
| PM (TTM) | 6.37% | ||
| GM | 50.06% | ||
| FCFM | 9.65% |
ROA(3y)3.12%
ROA(5y)3.33%
ROE(3y)6.13%
ROE(5y)6.68%
ROIC(3y)6.31%
ROIC(5y)6.35%
ROICexc(3y)6.59%
ROICexc(5y)6.75%
ROICexgc(3y)14.51%
ROICexgc(5y)15.86%
ROCE(3y)7.47%
ROCE(5y)7.53%
ROICexcg growth 3Y1.96%
ROICexcg growth 5Y-1.59%
ROICexc growth 3Y4.74%
ROICexc growth 5Y-0.14%
OM growth 3Y2.61%
OM growth 5Y-1.39%
PM growth 3Y-4.43%
PM growth 5Y-4.63%
GM growth 3Y1.42%
GM growth 5Y1.1%
F-Score8
Asset Turnover0.85
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 3.1 | ||
| Debt/EBITDA | 1.17 | ||
| Cap/Depr | 47.76% | ||
| Cap/Sales | 3.64% | ||
| Interest Coverage | 5.09 | ||
| Cash Conversion | 78.09% | ||
| Profit Quality | 151.31% | ||
| Current Ratio | 1.39 | ||
| Quick Ratio | 0.8 | ||
| Altman-Z | 2.44 |
F-Score8
WACC8.16%
ROIC/WACC1.03
Cap/Depr(3y)64.48%
Cap/Depr(5y)59.07%
Cap/Sales(3y)5.06%
Cap/Sales(5y)4.84%
Profit Quality(3y)213.34%
Profit Quality(5y)205.14%
High Growth Momentum
Growth
EPS 1Y (TTM)7.56%
EPS 3Y-0.42%
EPS 5Y-1.47%
EPS Q2Q%16.67%
EPS Next Y16.14%
EPS Next 2Y8.41%
EPS Next 3Y5.79%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.9%
Revenue growth 3Y2.09%
Revenue growth 5Y-1.53%
Sales Q2Q%-2.23%
Revenue Next Year-2.48%
Revenue Next 2Y-0.86%
Revenue Next 3Y-0.77%
Revenue Next 5YN/A
EBIT growth 1Y2.33%
EBIT growth 3Y4.76%
EBIT growth 5Y-2.9%
EBIT Next Year58.75%
EBIT Next 3Y16.17%
EBIT Next 5YN/A
FCF growth 1Y81.28%
FCF growth 3Y18.19%
FCF growth 5Y-0.92%
OCF growth 1Y11.26%
OCF growth 3Y9.48%
OCF growth 5Y-0.84%