TELEFLEX INC (TFX)

US8793691069 - Common Stock

226.17  +2.3 (+1.03%)

After market: 226.17 0 (0%)

Fundamental Rating

6

We assign a fundamental rating of 6 out of 10 to TFX. TFX was compared to 196 industry peers in the Health Care Equipment & Supplies industry. TFX has an excellent profitability rating, but there are some minor concerns on its financial health. TFX has a decent growth rate and is not valued too expensively.



8

1. Profitability

1.1 Basic Checks

TFX had positive earnings in the past year.
In the past year TFX had a positive cash flow from operations.
Each year in the past 5 years TFX has been profitable.
In the past 5 years TFX always reported a positive cash flow from operatings.

1.2 Ratios

With an excellent Return On Assets value of 4.73%, TFX belongs to the best of the industry, outperforming 82.65% of the companies in the same industry.
TFX's Return On Equity of 8.02% is amongst the best of the industry. TFX outperforms 82.65% of its industry peers.
The Return On Invested Capital of TFX (6.65%) is better than 84.69% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TFX is in line with the industry average of 8.51%.
Industry RankSector Rank
ROA 4.73%
ROE 8.02%
ROIC 6.65%
ROA(3y)5.68%
ROA(5y)5.81%
ROE(3y)9.99%
ROE(5y)11.1%
ROIC(3y)6.89%
ROIC(5y)6.63%

1.3 Margins

With an excellent Profit Margin value of 11.98%, TFX belongs to the best of the industry, outperforming 88.78% of the companies in the same industry.
In the last couple of years the Profit Margin of TFX has grown nicely.
The Operating Margin of TFX (18.92%) is better than 92.35% of its industry peers.
TFX's Operating Margin has improved in the last couple of years.
The Gross Margin of TFX (55.37%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of TFX has remained more or less at the same level.
Industry RankSector Rank
OM 18.92%
PM (TTM) 11.98%
GM 55.37%
OM growth 3Y-1.24%
OM growth 5Y3%
PM growth 3Y-3.22%
PM growth 5Y7.87%
GM growth 3Y1.97%
GM growth 5Y-0.42%

5

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TFX is destroying value.
TFX has more shares outstanding than it did 1 year ago.
The number of shares outstanding for TFX has been increased compared to 5 years ago.
Compared to 1 year ago, TFX has an improved debt to assets ratio.

2.2 Solvency

An Altman-Z score of 3.60 indicates that TFX is not in any danger for bankruptcy at the moment.
The Altman-Z score of TFX (3.60) is better than 68.37% of its industry peers.
The Debt to FCF ratio of TFX is 4.33, which is a neutral value as it means it would take TFX, 4.33 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of TFX (4.33) is better than 85.20% of its industry peers.
TFX has a Debt/Equity ratio of 0.39. This is a healthy value indicating a solid balance between debt and equity.
TFX has a worse Debt to Equity ratio (0.39) than 60.20% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.39
Debt/FCF 4.33
Altman-Z 3.6
ROIC/WACC0.71
WACC9.34%

2.3 Liquidity

A Current Ratio of 2.32 indicates that TFX has no problem at all paying its short term obligations.
With a Current ratio value of 2.32, TFX is not doing good in the industry: 67.86% of the companies in the same industry are doing better.
TFX has a Quick Ratio of 1.29. This is a normal value and indicates that TFX is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.29, TFX is doing worse than 75.00% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 2.32
Quick Ratio 1.29

5

3. Growth

3.1 Past

The Earnings Per Share has been growing slightly by 3.52% over the past year.
The Earnings Per Share has been growing slightly by 6.41% on average over the past years.
Looking at the last year, TFX shows a small growth in Revenue. The Revenue has grown by 6.57% in the last year.
The Revenue has been growing slightly by 3.97% on average over the past years.
EPS 1Y (TTM)3.52%
EPS 3Y8.21%
EPS 5Y6.41%
EPS growth Q2Q-3.98%
Revenue 1Y (TTM)6.57%
Revenue growth 3Y5.44%
Revenue growth 5Y3.97%
Revenue growth Q2Q2.1%

3.2 Future

TFX is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.59% yearly.
Based on estimates for the next years, TFX will show a small growth in Revenue. The Revenue will grow by 5.72% on average per year.
EPS Next Y2.74%
EPS Next 2Y6.53%
EPS Next 3Y8.02%
EPS Next 5Y8.59%
Revenue Next Year4.2%
Revenue Next 2Y4.85%
Revenue Next 3Y5.08%
Revenue Next 5Y5.72%

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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.

6

4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings ratio is 16.73, which indicates a correct valuation of TFX.
89.29% of the companies in the same industry are more expensive than TFX, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.48, TFX is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 16.28, the valuation of TFX can be described as correct.
Based on the Price/Forward Earnings ratio, TFX is valued cheaply inside the industry as 90.82% of the companies are valued more expensively.
TFX's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.79.
Industry RankSector Rank
PE 16.73
Fwd PE 16.28

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, TFX is valued cheaply inside the industry as 89.29% of the companies are valued more expensively.
TFX's Price/Free Cash Flow ratio is rather cheap when compared to the industry. TFX is cheaper than 88.78% of the companies in the same industry.
Industry RankSector Rank
P/FCF 25.39
EV/EBITDA 15.2

4.3 Compensation for Growth

The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TFX does not grow enough to justify the current Price/Earnings ratio.
TFX has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)6.11
PEG (5Y)2.61
EPS Next 2Y6.53%
EPS Next 3Y8.02%

5

5. Dividend

5.1 Amount

TFX has a yearly dividend return of 0.61%, which is pretty low.
Compared to an average industry Dividend Yield of 2.88, TFX pays a better dividend. On top of this TFX pays more dividend than 91.33% of the companies listed in the same industry.
With a Dividend Yield of 0.61, TFX pays less dividend than the S&P500 average, which is at 2.34.
Industry RankSector Rank
Dividend Yield 0.61%

5.2 History

The dividend of TFX decreases each year by -0.06%.
TFX has been paying a dividend for at least 10 years, so it has a reliable track record.
TFX has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-0.06%
Div Incr Years0
Div Non Decr Years19

5.3 Sustainability

TFX pays out 17.93% of its income as dividend. This is a sustainable payout ratio.
DP17.93%
EPS Next 2Y6.53%
EPS Next 3Y8.02%

TELEFLEX INC

NYSE:TFX (3/28/2024, 8:04:00 PM)

After market: 226.17 0 (0%)

226.17

+2.3 (+1.03%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap10.64B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield 0.61%
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
Industry RankSector Rank
PE 16.73
Fwd PE 16.28
P/S
P/FCF
P/OCF
P/B
P/tB
EV/EBITDA
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)6.11
PEG (5Y)2.61
Profitability
Industry RankSector Rank
ROA 4.73%
ROE 8.02%
ROCE
ROIC
ROICexc
ROICexgc
OM 18.92%
PM (TTM) 11.98%
GM 55.37%
FCFM
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.39
Health
Industry RankSector Rank
Debt/Equity 0.39
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 2.32
Quick Ratio 1.29
Altman-Z
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)3.52%
EPS 3Y8.21%
EPS 5Y
EPS growth Q2Q
EPS Next Y2.74%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)6.57%
Revenue growth 3Y5.44%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y