TRICON RESIDENTIAL INC (TCN) Stock Fundamental Analysis
USA - NYSE:TCN - CA89612W1023 - Common Stock
11.25 USD
+0.02 (+0.18%)
11.23 USD
-0.02 (-0.18%)
TCN gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 63 industry peers in the Real Estate Management & Development industry. While TCN is still in line with the averages on profitability rating, there are concerns on its financial health. TCN has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
TCN had positive earnings in the past year.
TCN had a positive operating cash flow in the past year.
In the past 5 years TCN has always been profitable.
Of the past 5 years TCN 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of TCN (0.86%) is better than 69.23% of its industry peers.
TCN has a Return On Equity of 2.96%. This is in the better half of the industry: TCN outperforms 72.31% of its industry peers.
TCN has a better Return On Invested Capital (1.64%) than 72.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.86% | ||
| ROE | 2.96% | ||
| ROIC | 1.64% |
ROA(3y)4.08%
ROA(5y)3.73%
ROE(3y)12.96%
ROE(5y)10.43%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
TCN has a Profit Margin of 13.44%. This is amongst the best in the industry. TCN outperforms 90.77% of its industry peers.
In the last couple of years the Profit Margin of TCN has declined.
Looking at the Operating Margin, with a value of 29.82%, TCN belongs to the top of the industry, outperforming 96.92% of the companies in the same industry.
TCN's Operating Margin has declined in the last couple of years.
The Gross Margin of TCN (69.17%) is better than 87.69% of its industry peers.
In the last couple of years the Gross Margin of TCN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.82% | ||
| PM (TTM) | 13.44% | ||
| GM | 69.17% |
OM growth 3Y-5.22%
OM growth 5YN/A
PM growth 3Y-21.94%
PM growth 5Y-54.81%
GM growth 3Y-0.28%
GM growth 5YN/A
2. Health
2.1 Basic Checks
TCN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for TCN remains at a similar level compared to 1 year ago.
TCN has more shares outstanding than it did 5 years ago.
TCN has a better debt/assets ratio than last year.
2.2 Solvency
TCN has an Altman-Z score of 0.49. This is a bad value and indicates that TCN is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.49, TCN is not doing good in the industry: 63.08% of the companies in the same industry are doing better.
The Debt to FCF ratio of TCN is 65.95, which is on the high side as it means it would take TCN, 65.95 years of fcf income to pay off all of its debts.
TCN has a Debt to FCF ratio (65.95) which is in line with its industry peers.
A Debt/Equity ratio of 1.48 is on the high side and indicates that TCN has dependencies on debt financing.
The Debt to Equity ratio of TCN (1.48) is worse than 69.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.48 | ||
| Debt/FCF | 65.95 | ||
| Altman-Z | 0.49 |
ROIC/WACC0.22
WACC7.57%
2.3 Liquidity
TCN has a Current Ratio of 0.49. This is a bad value and indicates that TCN is not financially healthy enough and could expect problems in meeting its short term obligations.
TCN has a Current ratio of 0.49. This is amonst the worse of the industry: TCN underperforms 86.15% of its industry peers.
TCN has a Quick Ratio of 0.49. This is a bad value and indicates that TCN is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.49, TCN is not doing good in the industry: 83.08% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.49 | ||
| Quick Ratio | 0.49 |
3. Growth
3.1 Past
The earnings per share for TCN have decreased strongly by -66.47% in the last year.
The earnings per share for TCN have been decreasing by -17.03% on average. This is quite bad
TCN shows a small growth in Revenue. In the last year, the Revenue has grown by 5.48%.
TCN shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 94.79% yearly.
EPS 1Y (TTM)-66.47%
EPS 3Y4.46%
EPS 5Y-17.03%
EPS Q2Q%36.36%
Revenue 1Y (TTM)5.48%
Revenue growth 3Y28.44%
Revenue growth 5Y94.79%
Sales Q2Q%15.69%
3.2 Future
The Earnings Per Share is expected to decrease by -15.81% on average over the next years. This is quite bad
Based on estimates for the next years, TCN will show a quite strong growth in Revenue. The Revenue will grow by 8.50% on average per year.
EPS Next Y-48.61%
EPS Next 2Y-15.81%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year6.66%
Revenue Next 2Y8.5%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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
A Price/Earnings ratio of 19.74 indicates a rather expensive valuation of TCN.
Based on the Price/Earnings ratio, TCN is valued cheaper than 84.62% of the companies in the same industry.
When comparing the Price/Earnings ratio of TCN to the average of the S&P500 Index (26.13), we can say TCN is valued slightly cheaper.
A Price/Forward Earnings ratio of 38.41 indicates a quite expensive valuation of TCN.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TCN indicates a somewhat cheap valuation: TCN is cheaper than 72.31% of the companies listed in the same industry.
TCN is valuated expensively when we compare the Price/Forward Earnings ratio to 22.35, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.74 | ||
| Fwd PE | 38.41 |
4.2 Price Multiples
TCN's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. TCN is cheaper than 64.62% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TCN indicates a somewhat cheap valuation: TCN is cheaper than 70.77% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.46 | ||
| EV/EBITDA | 33.96 |
4.3 Compensation for Growth
The decent profitability rating of TCN may justify a higher PE ratio.
A cheap valuation may be justified as TCN's earnings are expected to decrease with -15.81% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-15.81%
EPS Next 3YN/A
5. Dividend
5.1 Amount
TCN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
11.25
+0.02 (+0.18%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst OwnersN/A
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap3.34B
Revenue(TTM)849.71M
Net Income(TTM)114.24M
Analysts71.11
Price Target8.93 (-20.62%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP84%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)172.28%
Min EPS beat(2)147.53%
Max EPS beat(2)197.03%
EPS beat(4)3
Avg EPS beat(4)110.4%
Min EPS beat(4)-0.99%
Max EPS beat(4)197.03%
EPS beat(8)7
Avg EPS beat(8)235.95%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)85.19%
Min Revenue beat(2)79.44%
Max Revenue beat(2)90.95%
Revenue beat(4)4
Avg Revenue beat(4)80.48%
Min Revenue beat(4)72.02%
Max Revenue beat(4)90.95%
Revenue beat(8)8
Avg Revenue beat(8)71.53%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-6.56%
PT rev (3m)2.48%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.74 | ||
| Fwd PE | 38.41 | ||
| P/S | 3.93 | ||
| P/FCF | 36.46 | ||
| P/OCF | 24.19 | ||
| P/B | 0.86 | ||
| P/tB | 0.87 | ||
| EV/EBITDA | 33.96 |
EPS(TTM)0.57
EY5.07%
EPS(NY)0.29
Fwd EY2.6%
FCF(TTM)0.31
FCFY2.74%
OCF(TTM)0.47
OCFY4.13%
SpS2.86
BVpS13.02
TBVpS12.9
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.86% | ||
| ROE | 2.96% | ||
| ROCE | 2% | ||
| ROIC | 1.64% | ||
| ROICexc | 1.67% | ||
| ROICexgc | 1.67% | ||
| OM | 29.82% | ||
| PM (TTM) | 13.44% | ||
| GM | 69.17% | ||
| FCFM | 10.78% |
ROA(3y)4.08%
ROA(5y)3.73%
ROE(3y)12.96%
ROE(5y)10.43%
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
ROICexgc growth 3Y-1.7%
ROICexgc growth 5YN/A
ROICexc growth 3Y-1.2%
ROICexc growth 5YN/A
OM growth 3Y-5.22%
OM growth 5YN/A
PM growth 3Y-21.94%
PM growth 5Y-54.81%
GM growth 3Y-0.28%
GM growth 5YN/A
F-Score5
Asset Turnover0.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.48 | ||
| Debt/FCF | 65.95 | ||
| Debt/EBITDA | 21.13 | ||
| Cap/Depr | 261.04% | ||
| Cap/Sales | 5.47% | ||
| Interest Coverage | 0.87 | ||
| Cash Conversion | 50.9% | ||
| Profit Quality | 80.17% | ||
| Current Ratio | 0.49 | ||
| Quick Ratio | 0.49 | ||
| Altman-Z | 0.49 |
F-Score5
WACC7.57%
ROIC/WACC0.22
Cap/Depr(3y)254.57%
Cap/Depr(5y)208.56%
Cap/Sales(3y)5.52%
Cap/Sales(5y)8.97%
Profit Quality(3y)42.83%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-66.47%
EPS 3Y4.46%
EPS 5Y-17.03%
EPS Q2Q%36.36%
EPS Next Y-48.61%
EPS Next 2Y-15.81%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)5.48%
Revenue growth 3Y28.44%
Revenue growth 5Y94.79%
Sales Q2Q%15.69%
Revenue Next Year6.66%
Revenue Next 2Y8.5%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y152.14%
EBIT growth 3Y21.74%
EBIT growth 5YN/A
EBIT Next Year27.82%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-60.91%
FCF growth 3Y-11.02%
FCF growth 5YN/A
OCF growth 1Y-48.93%
OCF growth 3Y-1.17%
OCF growth 5YN/A
TRICON RESIDENTIAL INC / TCN FAQ
Can you provide the ChartMill fundamental rating for TRICON RESIDENTIAL INC?
ChartMill assigns a fundamental rating of 3 / 10 to TCN.
What is the valuation status for TCN stock?
ChartMill assigns a valuation rating of 4 / 10 to TRICON RESIDENTIAL INC (TCN). This can be considered as Fairly Valued.
Can you provide the profitability details for TRICON RESIDENTIAL INC?
TRICON RESIDENTIAL INC (TCN) has a profitability rating of 6 / 10.
What are the PE and PB ratios of TRICON RESIDENTIAL INC (TCN) stock?
The Price/Earnings (PE) ratio for TRICON RESIDENTIAL INC (TCN) is 19.74 and the Price/Book (PB) ratio is 0.86.
Is the dividend of TRICON RESIDENTIAL INC sustainable?
The dividend rating of TRICON RESIDENTIAL INC (TCN) is 0 / 10 and the dividend payout ratio is 84%.