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 67 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.
In the past year TESB had a positive cash flow from operations.
TESB had positive earnings in each of the past 5 years.
Each year in the past 5 years TESB had a positive operating cash flow.
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 in line with its industry peers.
Looking at the Return On Invested Capital, with a value of 2.05%, TESB is in line with its industry, outperforming 44.78% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for TESB is in line with the industry average of 6.51%.
The 3 year average ROIC (6.25%) for TESB is well above the current ROIC(2.05%). The reason for the recent decline needs to be investigated.
| 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
With a Profit Margin value of 1.62%, TESB perfoms like the industry average, outperforming 49.25% of the companies in the same industry.
TESB's Profit Margin has declined in the last couple of years.
TESB's Operating Margin of 2.41% is in line compared to the rest of the industry. TESB outperforms 41.79% of its industry peers.
In the last couple of years the Operating Margin of TESB has declined.
Looking at the Gross Margin, with a value of 19.38%, TESB is doing worse than 73.13% of the companies in the same industry.
TESB's Gross Margin has declined in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TESB is destroying value.
Compared to 1 year ago, TESB has less shares outstanding
TESB has more shares outstanding than it did 5 years ago.
TESB has a worse debt/assets ratio than last year.
2.2 Solvency
TESB has an Altman-Z score of 2.04. 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.
The Altman-Z score of TESB (2.04) is comparable to the rest of the industry.
The Debt to FCF ratio of TESB is 1.69, which is an excellent value as it means it would take TESB, only 1.69 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of TESB (1.69) is better than 94.03% of its industry peers.
A Debt/Equity ratio of 0.07 indicates that TESB is not too dependend on debt financing.
The Debt to Equity ratio of TESB (0.07) is better than 89.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 1.69 | ||
| Altman-Z | 2.04 |
ROIC/WACC0.29
WACC7.09%
2.3 Liquidity
A Current Ratio of 2.11 indicates that TESB has no problem at all paying its short term obligations.
TESB has a better Current ratio (2.11) than 67.16% of its industry peers.
TESB has a Quick Ratio of 1.18. This is a normal value and indicates that TESB is financially healthy and should not expect problems in meeting its short term obligations.
TESB's Quick ratio of 1.18 is in line compared to the rest of the industry. TESB outperforms 56.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.11 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
The earnings per share for TESB have decreased strongly by -60.46% in the last year.
Measured over the past years, TESB shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -20.75% on average per year.
TESB shows a decrease in Revenue. In the last year, the revenue decreased by -9.58%.
The Revenue has been growing by 8.72% on average over the past years. This is quite good.
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
The Earnings Per Share is expected to grow by 11.03% on average over the next years. This is quite good.
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 Year4.65%
Revenue Next 2Y4.39%
Revenue Next 3Y2.57%
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 accelerating.
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
A Price/Earnings ratio of 38.38 indicates a quite expensive valuation of TESB.
Based on the Price/Earnings ratio, TESB is valued a bit more expensive than the industry average as 61.19% of the companies are valued more cheaply.
TESB's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 27.21.
With a Price/Forward Earnings ratio of 16.30, TESB is valued correctly.
61.19% of the companies in the same industry are more expensive than TESB, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.70, TESB is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.38 | ||
| Fwd PE | 16.3 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TESB is valued cheaply inside the industry as 83.58% of the companies are valued more expensively.
88.06% 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 | 10.29 | ||
| EV/EBITDA | 5.37 |
4.3 Compensation for Growth
TESB's 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
With a Yearly Dividend Yield of 2.04%, TESB has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.08, TESB has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.42, TESB has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.04% |
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 Years2
5.3 Sustainability
126.17% of the earnings are spent on dividend by TESB. This is not a sustainable payout ratio.
The dividend of TESB is growing, but earnings are growing more, so the dividend growth is sustainable.
DP126.17%
EPS Next 2Y33.42%
EPS Next 3Y11.03%
EBR:TESB (7/2/2025, 5:29:57 PM)
26.1
+0.45 (+1.75%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners5.92%
Inst Owner ChangeN/A
Ins Owners67.43%
Ins Owner ChangeN/A
Market Cap1.57B
Analysts78
Price Target27.54 (5.52%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.04% |
Yearly Dividend0.88
Dividend Growth(5Y)6.16%
DP126.17%
Div Incr Years0
Div Non Decr Years2
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)0%
PT rev (3m)0%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)4.9%
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 | 38.38 | ||
| Fwd PE | 16.3 | ||
| P/S | 0.59 | ||
| P/FCF | 10.29 | ||
| P/OCF | 4.71 | ||
| P/B | 0.83 | ||
| P/tB | 1 | ||
| EV/EBITDA | 5.37 |
EPS(TTM)0.68
EY2.61%
EPS(NY)1.6
Fwd EY6.14%
FCF(TTM)2.54
FCFY9.72%
OCF(TTM)5.54
OCFY21.22%
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 | 2.04 |
F-Score6
WACC7.09%
ROIC/WACC0.29
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 Year4.65%
Revenue Next 2Y4.39%
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 Year266.59%
EBIT Next 3Y56.25%
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%