TELEDYNE TECHNOLOGIES INC (TDY) Stock Fundamental Analysis
NYSE:TDY - New York Stock Exchange, Inc. - US8793601050 - Common Stock - Currency: USD
TDY gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 125 industry peers in the Electronic Equipment, Instruments & Components industry. While TDY has a great profitability rating, there are some minor concerns on its financial health. TDY has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year TDY was profitable.
TDY had a positive operating cash flow in the past year.
Each year in the past 5 years TDY has been profitable.
Each year in the past 5 years TDY had a positive operating cash flow.
1.2 Ratios
The Return On Assets of TDY (5.51%) is better than 76.80% of its industry peers.
With a decent Return On Equity value of 8.36%, TDY is doing good in the industry, outperforming 71.20% of the companies in the same industry.
TDY's Return On Invested Capital of 7.01% is fine compared to the rest of the industry. TDY outperforms 72.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TDY is below the industry average of 9.30%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.51% | ||
| ROE | 8.36% | ||
| ROIC | 7.01% |
ROA(3y)5.79%
ROA(5y)5.67%
ROE(3y)9.28%
ROE(5y)9.23%
ROIC(3y)7.12%
ROIC(5y)7.17%
1.3 Margins
Looking at the Profit Margin, with a value of 14.37%, TDY belongs to the top of the industry, outperforming 90.40% of the companies in the same industry.
TDY's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 18.49%, TDY belongs to the best of the industry, outperforming 95.20% of the companies in the same industry.
TDY's Operating Margin has improved in the last couple of years.
The Gross Margin of TDY (42.89%) is better than 74.40% of its industry peers.
In the last couple of years the Gross Margin of TDY has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.49% | ||
| PM (TTM) | 14.37% | ||
| GM | 42.89% |
OM growth 3Y9.21%
OM growth 5Y3.4%
PM growth 3Y14.4%
PM growth 5Y2.59%
GM growth 3Y2.43%
GM growth 5Y1.79%
2. Health
2.1 Basic Checks
TDY has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
TDY has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, TDY has more shares outstanding
The debt/assets ratio for TDY has been reduced compared to a year ago.
2.2 Solvency
TDY has an Altman-Z score of 4.15. This indicates that TDY is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 4.15, TDY is doing good in the industry, outperforming 66.40% of the companies in the same industry.
The Debt to FCF ratio of TDY is 2.80, which is a good value as it means it would take TDY, 2.80 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.80, TDY is in the better half of the industry, outperforming 72.00% of the companies in the same industry.
TDY has a Debt/Equity ratio of 0.30. This is a healthy value indicating a solid balance between debt and equity.
TDY has a worse Debt to Equity ratio (0.30) than 61.60% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 2.8 | ||
| Altman-Z | 4.15 |
ROIC/WACC0.85
WACC8.22%
2.3 Liquidity
A Current Ratio of 2.19 indicates that TDY has no problem at all paying its short term obligations.
The Current ratio of TDY (2.19) is comparable to the rest of the industry.
A Quick Ratio of 1.44 indicates that TDY should not have too much problems paying its short term obligations.
TDY's Quick ratio of 1.44 is on the low side compared to the rest of the industry. TDY is outperformed by 60.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.19 | ||
| Quick Ratio | 1.44 |
3. Growth
3.1 Past
TDY shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.30%.
TDY shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.94% yearly.
Looking at the last year, TDY shows a small growth in Revenue. The Revenue has grown by 0.61% in the last year.
The Revenue has been growing by 12.38% on average over the past years. This is quite good.
EPS 1Y (TTM)0.3%
EPS 3Y6.11%
EPS 5Y12.94%
EPS Q2Q%0%
Revenue 1Y (TTM)0.61%
Revenue growth 3Y7.11%
Revenue growth 5Y12.38%
Sales Q2Q%0%
3.2 Future
Based on estimates for the next years, TDY will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.75% on average per year.
TDY is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.97% yearly.
EPS Next Y9.31%
EPS Next 2Y10.11%
EPS Next 3Y9.75%
EPS Next 5YN/A
Revenue Next Year7.56%
Revenue Next 2Y6.5%
Revenue Next 3Y5.97%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 25.80, the valuation of TDY can be described as expensive.
66.40% of the companies in the same industry are more expensive than TDY, based on the Price/Earnings ratio.
TDY is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 21.28, TDY is valued on the expensive side.
Based on the Price/Forward Earnings ratio, TDY is valued a bit cheaper than the industry average as 64.80% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of TDY to the average of the S&P500 Index (21.70), we can say TDY is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.8 | ||
| Fwd PE | 21.28 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TDY is on the same level as its industry peers.
TDY's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. TDY is cheaper than 74.40% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.57 | ||
| EV/EBITDA | 19.2 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of TDY may justify a higher PE ratio.
PEG (NY)2.77
PEG (5Y)1.99
EPS Next 2Y10.11%
EPS Next 3Y9.75%
5. Dividend
5.1 Amount
No dividends for TDY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
509.51
-2.06 (-0.4%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners95.84%
Inst Owner Change1.32%
Ins Owners0.89%
Ins Owner Change-0.81%
Market Cap23.88B
Analysts81.33
Price Target565.95 (11.08%)
Short Float %1.2%
Short Ratio1.59
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.1%
Min EPS beat(2)-0.41%
Max EPS beat(2)4.61%
EPS beat(4)3
Avg EPS beat(4)1.66%
Min EPS beat(4)-0.41%
Max EPS beat(4)4.61%
EPS beat(8)5
Avg EPS beat(8)1.94%
EPS beat(12)9
Avg EPS beat(12)2.43%
EPS beat(16)13
Avg EPS beat(16)7.59%
Revenue beat(2)2
Avg Revenue beat(2)1.58%
Min Revenue beat(2)0.62%
Max Revenue beat(2)2.55%
Revenue beat(4)3
Avg Revenue beat(4)0.99%
Min Revenue beat(4)-0.07%
Max Revenue beat(4)2.55%
Revenue beat(8)3
Avg Revenue beat(8)-0.83%
Revenue beat(12)3
Avg Revenue beat(12)-0.81%
Revenue beat(16)6
Avg Revenue beat(16)-0.18%
PT rev (1m)-0.34%
PT rev (3m)-2.74%
EPS NQ rev (1m)-0.35%
EPS NQ rev (3m)-2.43%
EPS NY rev (1m)0.02%
EPS NY rev (3m)-0.71%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.47%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.8 | ||
| Fwd PE | 21.28 | ||
| P/S | 4.14 | ||
| P/FCF | 22.57 | ||
| P/OCF | 20.88 | ||
| P/B | 2.41 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.2 |
EPS(TTM)19.75
EY3.88%
EPS(NY)23.95
Fwd EY4.7%
FCF(TTM)22.57
FCFY4.43%
OCF(TTM)24.4
OCFY4.79%
SpS123.13
BVpS211.81
TBVpS-17
PEG (NY)2.77
PEG (5Y)1.99
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.51% | ||
| ROE | 8.36% | ||
| ROCE | 7.79% | ||
| ROIC | 7.01% | ||
| ROICexc | 7.26% | ||
| ROICexgc | 38.38% | ||
| OM | 18.49% | ||
| PM (TTM) | 14.37% | ||
| GM | 42.89% | ||
| FCFM | 18.33% |
ROA(3y)5.79%
ROA(5y)5.67%
ROE(3y)9.28%
ROE(5y)9.23%
ROIC(3y)7.12%
ROIC(5y)7.17%
ROICexc(3y)7.49%
ROICexc(5y)7.8%
ROICexgc(3y)46.11%
ROICexgc(5y)42.36%
ROCE(3y)7.91%
ROCE(5y)7.97%
ROICexcg growth 3Y6.58%
ROICexcg growth 5Y1.03%
ROICexc growth 3Y17.51%
ROICexc growth 5Y-9.02%
OM growth 3Y9.21%
OM growth 5Y3.4%
PM growth 3Y14.4%
PM growth 5Y2.59%
GM growth 3Y2.43%
GM growth 5Y1.79%
F-Score6
Asset Turnover0.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 2.8 | ||
| Debt/EBITDA | 2.15 | ||
| Cap/Depr | 27.45% | ||
| Cap/Sales | 1.49% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 82.91% | ||
| Profit Quality | 127.54% | ||
| Current Ratio | 2.19 | ||
| Quick Ratio | 1.44 | ||
| Altman-Z | 4.15 |
F-Score6
WACC8.22%
ROIC/WACC0.85
Cap/Depr(3y)30.4%
Cap/Depr(5y)35.99%
Cap/Sales(3y)1.74%
Cap/Sales(5y)1.95%
Profit Quality(3y)88.9%
Profit Quality(5y)113.06%
High Growth Momentum
Growth
EPS 1Y (TTM)0.3%
EPS 3Y6.11%
EPS 5Y12.94%
EPS Q2Q%0%
EPS Next Y9.31%
EPS Next 2Y10.11%
EPS Next 3Y9.75%
EPS Next 5YN/A
Revenue 1Y (TTM)0.61%
Revenue growth 3Y7.11%
Revenue growth 5Y12.38%
Sales Q2Q%0%
Revenue Next Year7.56%
Revenue Next 2Y6.5%
Revenue Next 3Y5.97%
Revenue Next 5YN/A
EBIT growth 1Y3.94%
EBIT growth 3Y16.98%
EBIT growth 5Y16.2%
EBIT Next Year29.04%
EBIT Next 3Y14.42%
EBIT Next 5YN/A
FCF growth 1Y30.5%
FCF growth 3Y15.3%
FCF growth 5Y23%
OCF growth 1Y26.14%
OCF growth 3Y13.07%
OCF growth 5Y19.85%