TRIP.COM GROUP LTD-ADR (TCOM) Stock Fundamental Analysis
USA - NASDAQ:TCOM - US89677Q1076 - ADR
72.79 USD
+1.71 (+2.41%)
72.93 USD
+0.14 (+0.19%)
We assign a fundamental rating of 5 out of 10 to TCOM. TCOM was compared to 133 industry peers in the Hotels, Restaurants & Leisure industry. TCOM scores excellent on profitability, but there are concerns on its financial health. TCOM shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
In the past year TCOM was profitable.
The reported net income has been mixed in the past 5 years: TCOM reported negative net income in multiple years.
TCOM had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of TCOM (6.87%) is better than 75.37% of its industry peers.
TCOM has a better Return On Equity (11.67%) than 69.40% of its industry peers.
TCOM's Return On Invested Capital of 7.10% is fine compared to the rest of the industry. TCOM outperforms 61.94% of its industry peers.
TCOM had an Average Return On Invested Capital over the past 3 years of 4.09%. This is significantly below the industry average of 10.67%.
The last Return On Invested Capital (7.10%) for TCOM is above the 3 year average (4.09%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.87% | ||
| ROE | 11.67% | ||
| ROIC | 7.1% |
ROA(3y)4.1%
ROA(5y)2.05%
ROE(3y)7.11%
ROE(5y)3.52%
ROIC(3y)4.09%
ROIC(5y)N/A
1.3 Margins
With an excellent Profit Margin value of 30.85%, TCOM belongs to the best of the industry, outperforming 98.51% of the companies in the same industry.
In the last couple of years the Profit Margin of TCOM has grown nicely.
TCOM has a Operating Margin of 26.12%. This is amongst the best in the industry. TCOM outperforms 93.28% of its industry peers.
In the last couple of years the Operating Margin of TCOM has grown nicely.
TCOM's Gross Margin of 81.06% is amongst the best of the industry. TCOM outperforms 94.78% of its industry peers.
TCOM's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.12% | ||
| PM (TTM) | 30.85% | ||
| GM | 81.06% |
OM growth 3YN/A
OM growth 5Y13.49%
PM growth 3YN/A
PM growth 5Y10.25%
GM growth 3Y1.79%
GM growth 5Y0.48%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TCOM is destroying value.
TCOM has more shares outstanding than it did 1 year ago.
The number of shares outstanding for TCOM has been increased compared to 5 years ago.
Compared to 1 year ago, TCOM has an improved debt to assets ratio.
2.2 Solvency
TCOM has a Debt/Equity ratio of 0.13. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.13, TCOM is in the better half of the industry, outperforming 79.85% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACC0.97
WACC7.3%
2.3 Liquidity
A Current Ratio of 1.46 indicates that TCOM should not have too much problems paying its short term obligations.
TCOM has a Current ratio of 1.46. This is in the better half of the industry: TCOM outperforms 71.64% of its industry peers.
A Quick Ratio of 1.46 indicates that TCOM should not have too much problems paying its short term obligations.
TCOM has a better Quick ratio (1.46) than 75.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.46 | ||
| Quick Ratio | 1.46 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 12.95% over the past year.
Measured over the past years, TCOM shows a very strong growth in Earnings Per Share. The EPS has been growing by 21.30% on average per year.
Looking at the last year, TCOM shows a quite strong growth in Revenue. The Revenue has grown by 19.73% in the last year.
TCOM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.36% yearly.
EPS 1Y (TTM)12.95%
EPS 3YN/A
EPS 5Y21.3%
EPS Q2Q%-0.69%
Revenue 1Y (TTM)19.73%
Revenue growth 3Y38.59%
Revenue growth 5Y8.36%
Sales Q2Q%16.23%
3.2 Future
TCOM is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.61% yearly.
Based on estimates for the next years, TCOM will show a quite strong growth in Revenue. The Revenue will grow by 12.57% on average per year.
EPS Next Y3.1%
EPS Next 2Y7.08%
EPS Next 3Y10.37%
EPS Next 5Y12.61%
Revenue Next Year15.96%
Revenue Next 2Y14.89%
Revenue Next 3Y14.38%
Revenue Next 5Y12.57%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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
With a Price/Earnings ratio of 18.29, TCOM is valued on the expensive side.
TCOM's Price/Earnings ratio is a bit cheaper when compared to the industry. TCOM is cheaper than 72.39% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.89. TCOM is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 15.92, which indicates a correct valuation of TCOM.
Based on the Price/Forward Earnings ratio, TCOM is valued a bit cheaper than 70.90% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.99, TCOM is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.29 | ||
| Fwd PE | 15.92 |
4.2 Price Multiples
74.63% of the companies in the same industry are cheaper than TCOM, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 24.86 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TCOM does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of TCOM may justify a higher PE ratio.
PEG (NY)5.91
PEG (5Y)0.86
EPS Next 2Y7.08%
EPS Next 3Y10.37%
5. Dividend
5.1 Amount
With a yearly dividend of 0.43%, TCOM is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.90, TCOM pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.31, TCOM's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.43% |
5.2 History
TCOM has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y7.08%
EPS Next 3Y10.37%
72.79
+1.71 (+2.41%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners38.53%
Inst Owner Change-1.32%
Ins Owners1.18%
Ins Owner ChangeN/A
Market Cap47.39B
Revenue(TTM)53.29B
Net Income(TTM)17.03B
Analysts87.33
Price Target84.88 (16.61%)
Short Float %1.52%
Short Ratio3.5
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.43% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.57%
Min EPS beat(2)4.7%
Max EPS beat(2)10.44%
EPS beat(4)4
Avg EPS beat(4)18.59%
Min EPS beat(4)4.7%
Max EPS beat(4)35.25%
EPS beat(8)8
Avg EPS beat(8)27.33%
EPS beat(12)11
Avg EPS beat(12)42.83%
EPS beat(16)15
Avg EPS beat(16)120.8%
Revenue beat(2)1
Avg Revenue beat(2)-0.11%
Min Revenue beat(2)-1.79%
Max Revenue beat(2)1.56%
Revenue beat(4)1
Avg Revenue beat(4)-0.49%
Min Revenue beat(4)-1.79%
Max Revenue beat(4)1.56%
Revenue beat(8)3
Avg Revenue beat(8)-0.27%
Revenue beat(12)7
Avg Revenue beat(12)2.12%
Revenue beat(16)11
Avg Revenue beat(16)2.45%
PT rev (1m)0.59%
PT rev (3m)11.8%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.49%
EPS NY rev (1m)0%
EPS NY rev (3m)4.37%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.03%
Revenue NY rev (1m)0.06%
Revenue NY rev (3m)0.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.29 | ||
| Fwd PE | 15.92 | ||
| P/S | 6.11 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 2.31 | ||
| P/tB | 4.69 | ||
| EV/EBITDA | 24.86 |
EPS(TTM)3.98
EY5.47%
EPS(NY)4.57
Fwd EY6.28%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS11.91
BVpS31.48
TBVpS15.53
PEG (NY)5.91
PEG (5Y)0.86
Graham Number53.09
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.87% | ||
| ROE | 11.67% | ||
| ROCE | 8.44% | ||
| ROIC | 7.1% | ||
| ROICexc | 7.1% | ||
| ROICexgc | 12.51% | ||
| OM | 26.12% | ||
| PM (TTM) | 30.85% | ||
| GM | 81.06% | ||
| FCFM | N/A |
ROA(3y)4.1%
ROA(5y)2.05%
ROE(3y)7.11%
ROE(5y)3.52%
ROIC(3y)4.09%
ROIC(5y)N/A
ROICexc(3y)6.72%
ROICexc(5y)N/A
ROICexgc(3y)21.27%
ROICexgc(5y)N/A
ROCE(3y)5.4%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y27.19%
ROICexc growth 3YN/A
ROICexc growth 5Y23.82%
OM growth 3YN/A
OM growth 5Y13.49%
PM growth 3YN/A
PM growth 5Y10.25%
GM growth 3Y1.79%
GM growth 5Y0.48%
F-ScoreN/A
Asset Turnover0.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.29 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.46 | ||
| Quick Ratio | 1.46 | ||
| Altman-Z | N/A |
F-ScoreN/A
WACC7.3%
ROIC/WACC0.97
Cap/Depr(3y)66.85%
Cap/Depr(5y)60.02%
Cap/Sales(3y)1.65%
Cap/Sales(5y)2.14%
Profit Quality(3y)160%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)12.95%
EPS 3YN/A
EPS 5Y21.3%
EPS Q2Q%-0.69%
EPS Next Y3.1%
EPS Next 2Y7.08%
EPS Next 3Y10.37%
EPS Next 5Y12.61%
Revenue 1Y (TTM)19.73%
Revenue growth 3Y38.59%
Revenue growth 5Y8.36%
Sales Q2Q%16.23%
Revenue Next Year15.96%
Revenue Next 2Y14.89%
Revenue Next 3Y14.38%
Revenue Next 5Y12.57%
EBIT growth 1Y16.35%
EBIT growth 3YN/A
EBIT growth 5Y22.98%
EBIT Next Year15.6%
EBIT Next 3Y16.92%
EBIT Next 5Y17.38%
FCF growth 1Y-11.05%
FCF growth 3Y115.38%
FCF growth 5Y23.98%
OCF growth 1Y-10.81%
OCF growth 3Y99.41%
OCF growth 5Y21.76%
TRIP.COM GROUP LTD-ADR / TCOM FAQ
What is the ChartMill fundamental rating of TRIP.COM GROUP LTD-ADR (TCOM) stock?
ChartMill assigns a fundamental rating of 5 / 10 to TCOM.
Can you provide the valuation status for TRIP.COM GROUP LTD-ADR?
ChartMill assigns a valuation rating of 3 / 10 to TRIP.COM GROUP LTD-ADR (TCOM). This can be considered as Overvalued.
What is the profitability of TCOM stock?
TRIP.COM GROUP LTD-ADR (TCOM) has a profitability rating of 7 / 10.
What is the earnings growth outlook for TRIP.COM GROUP LTD-ADR?
The Earnings per Share (EPS) of TRIP.COM GROUP LTD-ADR (TCOM) is expected to grow by 3.1% in the next year.