TELEDYNE TECHNOLOGIES INC (TDY) Stock Fundamental Analysis
NYSE:TDY - New York Stock Exchange, Inc. - US8793601050 - Common Stock - Currency: USD
Taking everything into account, TDY scores 5 out of 10 in our fundamental rating. TDY was compared to 125 industry peers in the Electronic Equipment, Instruments & Components industry. TDY scores excellent on profitability, but there are some minor concerns on its financial health. TDY is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year TDY was profitable.
In the past year TDY had a positive cash flow from operations.
TDY had positive earnings in each of the past 5 years.
In the past 5 years TDY always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.51%, TDY is in the better half of the industry, outperforming 77.60% of the companies in the same industry.
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 71.20% of its industry peers.
TDY had an Average Return On Invested Capital over the past 3 years of 7.12%. This is below the industry average of 9.29%.
| 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.
In the last couple of years the Operating Margin of TDY has grown nicely.
The Gross Margin of TDY (42.89%) is better than 76.00% 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TDY is destroying value.
Compared to 1 year ago, TDY has less shares outstanding
TDY has more shares outstanding than it did 5 years ago.
The debt/assets ratio for TDY has been reduced compared to a year ago.
2.2 Solvency
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 71.20% of the companies in the same industry.
A Debt/Equity ratio of 0.30 indicates that TDY is not too dependend on debt financing.
The Debt to Equity ratio of TDY (0.30) is worse than 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 2.8 | ||
| Altman-Z | N/A |
ROIC/WACC0.78
WACC9.02%
2.3 Liquidity
TDY has a Current Ratio of 2.19. This indicates that TDY is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.19, TDY is in line with its industry, outperforming 48.80% of the companies in the same industry.
A Quick Ratio of 1.44 indicates that TDY should not have too much problems paying its short term obligations.
TDY has a Quick ratio (1.44) which is comparable to the rest of the industry.
| 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%.
Measured over the past years, TDY shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.94% on average per year.
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
The Earnings Per Share is expected to grow by 9.75% on average over the next years. This is quite good.
The Revenue is expected to grow by 5.97% on average over the next years.
EPS Next Y9.29%
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.
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 25.09, TDY can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of TDY indicates a somewhat cheap valuation: TDY is cheaper than 63.20% of the companies listed in the same industry.
TDY's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.60.
TDY is valuated rather expensively with a Price/Forward Earnings ratio of 20.69.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TDY indicates a somewhat cheap valuation: TDY is cheaper than 60.80% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of TDY to the average of the S&P500 Index (22.43), we can say TDY is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.09 | ||
| Fwd PE | 20.69 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as TDY.
Based on the Price/Free Cash Flow ratio, TDY is valued a bit cheaper than 72.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.95 | ||
| EV/EBITDA | 18.7 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TDY does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of TDY may justify a higher PE ratio.
PEG (NY)2.7
PEG (5Y)1.94
EPS Next 2Y10.11%
EPS Next 3Y9.75%
5. Dividend
5.1 Amount
TDY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
495.44
-1.6 (-0.32%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners94.83%
Inst Owner Change0.78%
Ins Owners1%
Ins Owner Change-1.31%
Market Cap23.22B
Analysts81.33
Price Target567.87 (14.62%)
Short Float %1.03%
Short Ratio1.5
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)-2.95%
PT rev (3m)0.41%
EPS NQ rev (1m)-2.09%
EPS NQ rev (3m)-2.42%
EPS NY rev (1m)-0.66%
EPS NY rev (3m)-0.82%
Revenue NQ rev (1m)0.47%
Revenue NQ rev (3m)-0.33%
Revenue NY rev (1m)0.26%
Revenue NY rev (3m)0.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.09 | ||
| Fwd PE | 20.69 | ||
| P/S | 4.02 | ||
| P/FCF | 21.95 | ||
| P/OCF | 20.3 | ||
| P/B | 2.34 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.7 |
EPS(TTM)19.75
EY3.99%
EPS(NY)23.95
Fwd EY4.83%
FCF(TTM)22.57
FCFY4.56%
OCF(TTM)24.4
OCFY4.93%
SpS123.13
BVpS211.81
TBVpS-17
PEG (NY)2.7
PEG (5Y)1.94
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 | N/A |
F-Score6
WACC9.02%
ROIC/WACC0.78
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 Y9.29%
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 Year29.99%
EBIT Next 3Y13.75%
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%