TESSENDERLO GROUP (TESB.BR) Stock Fundamental Analysis
EBR:TESB - Euronext Brussels - BE0003555639 - Common Stock - Currency: EUR
TESB gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 61 industry peers in the Chemicals industry. TESB has an average financial health and profitability rating. TESB is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year TESB was profitable.
TESB had a positive operating cash flow in the past year.
In the past 5 years TESB has always been profitable.
TESB had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TESB has a Return On Assets (1.46%) which is in line with its industry peers.
TESB has a Return On Equity (2.26%) which is comparable to the rest of the industry.
TESB has a Return On Invested Capital (2.05%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TESB is in line with the industry average of 6.29%.
The last Return On Invested Capital (2.05%) for TESB is well below the 3 year average (6.25%), which needs to be investigated, but indicates that TESB had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.46% | ||
| ROE | 2.26% | ||
| ROIC | 2.05% |
ROA(3y)5.03%
ROA(5y)5.73%
ROE(3y)8.04%
ROE(5y)10.34%
ROIC(3y)6.25%
ROIC(5y)7.52%
1.3 Margins
TESB's Profit Margin of 1.62% is in line compared to the rest of the industry. TESB outperforms 54.10% of its industry peers.
In the last couple of years the Profit Margin of TESB has declined.
TESB has a Operating Margin of 2.41%. This is comparable to the rest of the industry: TESB outperforms 47.54% of its industry peers.
In the last couple of years the Operating Margin of TESB has declined.
TESB has a worse Gross Margin (19.38%) than 67.21% of its industry peers.
In the last couple of years the Gross Margin of TESB has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.41% | ||
| PM (TTM) | 1.62% | ||
| GM | 19.38% |
OM growth 3Y-39.29%
OM growth 5Y-20.88%
PM growth 3Y-43.63%
PM growth 5Y-21.76%
GM growth 3Y-9.65%
GM growth 5Y-5.01%
2. Health
2.1 Basic Checks
TESB has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, TESB has less shares outstanding
Compared to 5 years ago, TESB has more shares outstanding
The debt/assets ratio for TESB is higher compared to a year ago.
2.2 Solvency
TESB has an Altman-Z score of 2.05. This is not the best score and indicates that TESB is in the grey zone with still only limited risk for bankruptcy at the moment.
TESB has a Altman-Z score (2.05) which is in line with its industry peers.
TESB has a debt to FCF ratio of 1.69. This is a very positive value and a sign of high solvency as it would only need 1.69 years to pay back of all of its debts.
TESB has a Debt to FCF ratio of 1.69. This is amongst the best in the industry. TESB outperforms 93.44% of its industry peers.
TESB has a Debt/Equity ratio of 0.07. This is a healthy value indicating a solid balance between debt and equity.
With an excellent Debt to Equity ratio value of 0.07, TESB belongs to the best of the industry, outperforming 91.80% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 1.69 | ||
| Altman-Z | 2.05 |
ROIC/WACC0.28
WACC7.26%
2.3 Liquidity
A Current Ratio of 2.11 indicates that TESB has no problem at all paying its short term obligations.
The Current ratio of TESB (2.11) is better than 67.21% of its industry peers.
A Quick Ratio of 1.18 indicates that TESB should not have too much problems paying its short term obligations.
TESB has a Quick ratio (1.18) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.11 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
TESB shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -60.46%.
The earnings per share for TESB have been decreasing by -20.75% on average. This is quite bad
The Revenue has decreased by -9.58% in the past year.
Measured over the past years, TESB shows a quite strong growth in Revenue. The Revenue has been growing by 8.72% on average per year.
EPS 1Y (TTM)-60.46%
EPS 3Y-45.77%
EPS 5Y-20.75%
EPS Q2Q%-162.24%
Revenue 1Y (TTM)-9.58%
Revenue growth 3Y8.35%
Revenue growth 5Y8.72%
Sales Q2Q%-3.32%
3.2 Future
Based on estimates for the next years, TESB will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.03% on average per year.
Based on estimates for the next years, TESB will show a small growth in Revenue. The Revenue will grow by 2.57% on average per year.
EPS Next Y39.56%
EPS Next 2Y33.42%
EPS Next 3Y11.03%
EPS Next 5YN/A
Revenue Next Year7.68%
Revenue Next 2Y5.78%
Revenue Next 3Y2.57%
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.
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 38.53 indicates a quite expensive valuation of TESB.
TESB's Price/Earnings is on the same level as the industry average.
TESB's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 28.10.
A Price/Forward Earnings ratio of 16.36 indicates a correct valuation of TESB.
Based on the Price/Forward Earnings ratio, TESB is valued a bit cheaper than the industry average as 63.93% of the companies are valued more expensively.
TESB's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 20.74.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.53 | ||
| Fwd PE | 16.36 |
4.2 Price Multiples
83.61% of the companies in the same industry are more expensive than TESB, based on the Enterprise Value to EBITDA ratio.
81.97% of the companies in the same industry are more expensive than TESB, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.33 | ||
| EV/EBITDA | 5.48 |
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.
PEG (NY)0.97
PEG (5Y)N/A
EPS Next 2Y33.42%
EPS Next 3Y11.03%
5. Dividend
5.1 Amount
TESB has a Yearly Dividend Yield of 2.01%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.10, TESB has a dividend in line with its industry peers.
TESB's Dividend Yield is comparable with the S&P500 average which is at 2.43.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.01% |
5.2 History
The dividend of TESB is nicely growing with an annual growth rate of 6.16%!
Dividend Growth(5Y)6.16%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
126.17% of the earnings are spent on dividend by TESB. This is not a sustainable payout ratio.
TESB's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP126.17%
EPS Next 2Y33.42%
EPS Next 3Y11.03%
EBR:TESB (5/5/2025, 7:00:00 PM)
26.2
+0.05 (+0.19%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners4.44%
Inst Owner ChangeN/A
Ins Owners47.46%
Ins Owner ChangeN/A
Market Cap1.58B
Analysts78
Price Target28.56 (9.01%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.01% |
Yearly Dividend0.88
Dividend Growth(5Y)6.16%
DP126.17%
Div Incr Years0
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
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)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
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)3.7%
PT rev (3m)3.7%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)4.9%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)2.89%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.53 | ||
| Fwd PE | 16.36 | ||
| P/S | 0.6 | ||
| P/FCF | 10.33 | ||
| P/OCF | 4.73 | ||
| P/B | 0.83 | ||
| P/tB | 1 | ||
| EV/EBITDA | 5.48 |
EPS(TTM)0.68
EY2.6%
EPS(NY)1.6
Fwd EY6.11%
FCF(TTM)2.54
FCFY9.68%
OCF(TTM)5.54
OCFY21.14%
SpS44.01
BVpS31.52
TBVpS26.21
PEG (NY)0.97
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.46% | ||
| ROE | 2.26% | ||
| ROCE | 2.73% | ||
| ROIC | 2.05% | ||
| ROICexc | 2.3% | ||
| ROICexgc | 2.71% | ||
| OM | 2.41% | ||
| PM (TTM) | 1.62% | ||
| GM | 19.38% | ||
| FCFM | 5.76% |
ROA(3y)5.03%
ROA(5y)5.73%
ROE(3y)8.04%
ROE(5y)10.34%
ROIC(3y)6.25%
ROIC(5y)7.52%
ROICexc(3y)6.83%
ROICexc(5y)8.71%
ROICexgc(3y)7.61%
ROICexgc(5y)9.79%
ROCE(3y)8.33%
ROCE(5y)10.06%
ROICexcg growth 3Y-43.17%
ROICexcg growth 5Y-19.86%
ROICexc growth 3Y-44.09%
ROICexc growth 5Y-20.16%
OM growth 3Y-39.29%
OM growth 5Y-20.88%
PM growth 3Y-43.63%
PM growth 5Y-21.76%
GM growth 3Y-9.65%
GM growth 5Y-5.01%
F-Score6
Asset Turnover0.9
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 1.69 | ||
| Debt/EBITDA | 0.49 | ||
| Cap/Depr | 85.39% | ||
| Cap/Sales | 6.82% | ||
| Interest Coverage | 7.01 | ||
| Cash Conversion | 121.03% | ||
| Profit Quality | 356.54% | ||
| Current Ratio | 2.11 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | 2.05 |
F-Score6
WACC7.26%
ROIC/WACC0.28
Cap/Depr(3y)86.45%
Cap/Depr(5y)81.94%
Cap/Sales(3y)5.77%
Cap/Sales(5y)5.54%
Profit Quality(3y)143.93%
Profit Quality(5y)139.31%
High Growth Momentum
Growth
EPS 1Y (TTM)-60.46%
EPS 3Y-45.77%
EPS 5Y-20.75%
EPS Q2Q%-162.24%
EPS Next Y39.56%
EPS Next 2Y33.42%
EPS Next 3Y11.03%
EPS Next 5YN/A
Revenue 1Y (TTM)-9.58%
Revenue growth 3Y8.35%
Revenue growth 5Y8.72%
Sales Q2Q%-3.32%
Revenue Next Year7.68%
Revenue Next 2Y5.78%
Revenue Next 3Y2.57%
Revenue Next 5YN/A
EBIT growth 1Y-46.88%
EBIT growth 3Y-34.22%
EBIT growth 5Y-13.98%
EBIT Next Year288.09%
EBIT Next 3Y57.98%
EBIT Next 5YN/A
FCF growth 1Y274.94%
FCF growth 3Y0.11%
FCF growth 5Y5.75%
OCF growth 1Y52.01%
OCF growth 3Y10.33%
OCF growth 5Y8.69%