TELEFLEX INC (TFX) Stock Fundamental Analysis
USA - NYSE:TFX - US8793691069 - Common Stock
124.47 USD
-0.37 (-0.3%)
124.47 USD
0 (0%)
TFX gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 189 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 may be a bit undervalued, certainly considering the very reasonable score on growth These ratings could make TFX a good candidate for value investing.
1. Profitability
1.1 Basic Checks
In the past year TFX was profitable.
In the past year TFX had a positive cash flow from operations.
Each year in the past 5 years TFX has been profitable.
TFX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TFX has a Return On Assets of 2.60%. This is in the better half of the industry: TFX outperforms 76.19% of its industry peers.
TFX has a better Return On Equity (4.52%) than 76.19% of its industry peers.
TFX has a Return On Invested Capital of 7.80%. This is amongst the best in the industry. TFX outperforms 85.71% of its industry peers.
TFX had an Average Return On Invested Capital over the past 3 years of 7.21%. This is in line with the industry average of 9.02%.
The last Return On Invested Capital (7.80%) for TFX is above the 3 year average (7.21%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.6% | ||
| ROE | 4.52% | ||
| ROIC | 7.8% |
ROA(3y)3.65%
ROA(5y)4.54%
ROE(3y)6.23%
ROE(5y)8.33%
ROIC(3y)7.21%
ROIC(5y)7.23%
1.3 Margins
With a decent Profit Margin value of 6.31%, TFX is doing good in the industry, outperforming 77.78% of the companies in the same industry.
TFX's Profit Margin has declined in the last couple of years.
TFX has a Operating Margin of 19.49%. This is amongst the best in the industry. TFX outperforms 92.06% of its industry peers.
In the last couple of years the Operating Margin of TFX has remained more or less at the same level.
TFX has a Gross Margin (55.59%) which is comparable to the rest of the industry.
TFX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.49% | ||
| PM (TTM) | 6.31% | ||
| GM | 55.59% |
OM growth 3Y-3.43%
OM growth 5Y0.95%
PM growth 3Y-49.04%
PM growth 5Y-33.65%
GM growth 3Y0.43%
GM growth 5Y-0.56%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TFX is destroying value.
Compared to 1 year ago, TFX has less shares outstanding
Compared to 5 years ago, TFX has less shares outstanding
TFX has a better debt/assets ratio than last year.
2.2 Solvency
TFX has an Altman-Z score of 2.71. This is not the best score and indicates that TFX is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.71, TFX is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
The Debt to FCF ratio of TFX is 4.80, which is a neutral value as it means it would take TFX, 4.80 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.80, TFX is in the better half of the industry, outperforming 79.89% of the companies in the same industry.
A Debt/Equity ratio of 0.42 indicates that TFX is not too dependend on debt financing.
TFX has a Debt to Equity ratio of 0.42. This is comparable to the rest of the industry: TFX outperforms 46.03% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 4.8 | ||
| Altman-Z | 2.71 |
ROIC/WACC1
WACC7.84%
2.3 Liquidity
TFX has a Current Ratio of 2.41. This indicates that TFX is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of TFX (2.41) is comparable to the rest of the industry.
A Quick Ratio of 1.44 indicates that TFX should not have too much problems paying its short term obligations.
The Quick ratio of TFX (1.44) is worse than 61.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.41 | ||
| Quick Ratio | 1.44 |
3. Growth
3.1 Past
TFX shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 2.71%.
The Earnings Per Share has been growing slightly by 4.67% on average over the past years.
The Revenue has been growing slightly by 1.11% in the past year.
The Revenue has been growing slightly by 3.26% on average over the past years.
EPS 1Y (TTM)2.71%
EPS 3Y1.67%
EPS 5Y4.67%
EPS Q2Q%9.06%
Revenue 1Y (TTM)1.11%
Revenue growth 3Y2.74%
Revenue growth 5Y3.26%
Sales Q2Q%2.28%
3.2 Future
Based on estimates for the next years, TFX will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.54% on average per year.
Based on estimates for the next years, TFX will show a small growth in Revenue. The Revenue will grow by 7.72% on average per year.
EPS Next Y1.17%
EPS Next 2Y4.06%
EPS Next 3Y6.34%
EPS Next 5Y8.54%
Revenue Next Year8.2%
Revenue Next 2Y9.38%
Revenue Next 3Y7.84%
Revenue Next 5Y7.72%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 8.88, the valuation of TFX can be described as very reasonable.
TFX's Price/Earnings ratio is rather cheap when compared to the industry. TFX is cheaper than 94.71% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.11. TFX is valued rather cheaply when compared to this.
TFX is valuated reasonably with a Price/Forward Earnings ratio of 8.21.
Based on the Price/Forward Earnings ratio, TFX is valued cheaper than 96.83% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of TFX to the average of the S&P500 Index (22.55), we can say TFX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.88 | ||
| Fwd PE | 8.21 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TFX is valued cheaply inside the industry as 93.12% of the companies are valued more expensively.
93.65% of the companies in the same industry are more expensive than TFX, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.87 | ||
| EV/EBITDA | 8.25 |
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 TFX may justify a higher PE ratio.
PEG (NY)7.6
PEG (5Y)1.9
EPS Next 2Y4.06%
EPS Next 3Y6.34%
5. Dividend
5.1 Amount
TFX has a Yearly Dividend Yield of 1.09%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.89, TFX pays a better dividend. On top of this TFX pays more dividend than 94.71% of the companies listed in the same industry.
With a Dividend Yield of 1.09, TFX pays less dividend than the S&P500 average, which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.09% |
5.2 History
The dividend of TFX has a limited annual growth rate of 0.04%.
TFX has been paying a dividend for at least 10 years, so it has a reliable track record.
As TFX did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)0.04%
Div Incr Years0
Div Non Decr Years6
5.3 Sustainability
TFX pays out 32.17% of its income as dividend. This is a sustainable payout ratio.
TFX's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP32.17%
EPS Next 2Y4.06%
EPS Next 3Y6.34%
124.47
-0.37 (-0.3%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners102.68%
Inst Owner Change0.66%
Ins Owners0.3%
Ins Owner Change4.04%
Market Cap5.50B
Revenue(TTM)3.04B
Net Income(TTM)191.93M
Analysts54.29
Price Target142.71 (14.65%)
Short Float %4.22%
Short Ratio3.31
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.09% |
Yearly Dividend1.36
Dividend Growth(5Y)0.04%
DP32.17%
Div Incr Years0
Div Non Decr Years6
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.31%
Min EPS beat(2)-1.22%
Max EPS beat(2)9.84%
EPS beat(4)2
Avg EPS beat(4)2.55%
Min EPS beat(4)-1.22%
Max EPS beat(4)9.84%
EPS beat(8)6
Avg EPS beat(8)3.51%
EPS beat(12)10
Avg EPS beat(12)3.46%
EPS beat(16)14
Avg EPS beat(16)3.84%
Revenue beat(2)1
Avg Revenue beat(2)-0.29%
Min Revenue beat(2)-0.8%
Max Revenue beat(2)0.22%
Revenue beat(4)1
Avg Revenue beat(4)-1.35%
Min Revenue beat(4)-3.16%
Max Revenue beat(4)0.22%
Revenue beat(8)3
Avg Revenue beat(8)-0.7%
Revenue beat(12)5
Avg Revenue beat(12)-0.44%
Revenue beat(16)7
Avg Revenue beat(16)-0.52%
PT rev (1m)0.08%
PT rev (3m)-4.98%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.41%
EPS NY rev (1m)0%
EPS NY rev (3m)4.66%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)11.65%
Revenue NY rev (1m)0%
Revenue NY rev (3m)6.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.88 | ||
| Fwd PE | 8.21 | ||
| P/S | 1.81 | ||
| P/FCF | 13.87 | ||
| P/OCF | 10.7 | ||
| P/B | 1.3 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.25 |
EPS(TTM)14.02
EY11.26%
EPS(NY)15.17
Fwd EY12.19%
FCF(TTM)8.97
FCFY7.21%
OCF(TTM)11.64
OCFY9.35%
SpS68.82
BVpS96.01
TBVpS-14.38
PEG (NY)7.6
PEG (5Y)1.9
Graham Number174.03
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.6% | ||
| ROE | 4.52% | ||
| ROCE | 8.9% | ||
| ROIC | 7.8% | ||
| ROICexc | 8.11% | ||
| ROICexgc | 34.04% | ||
| OM | 19.49% | ||
| PM (TTM) | 6.31% | ||
| GM | 55.59% | ||
| FCFM | 13.04% |
ROA(3y)3.65%
ROA(5y)4.54%
ROE(3y)6.23%
ROE(5y)8.33%
ROIC(3y)7.21%
ROIC(5y)7.23%
ROICexc(3y)7.52%
ROICexc(5y)7.62%
ROICexgc(3y)37.85%
ROICexgc(5y)40.71%
ROCE(3y)8.23%
ROCE(5y)8.25%
ROICexgc growth 3Y-9.53%
ROICexgc growth 5Y0.44%
ROICexc growth 3Y-3.04%
ROICexc growth 5Y1.71%
OM growth 3Y-3.43%
OM growth 5Y0.95%
PM growth 3Y-49.04%
PM growth 5Y-33.65%
GM growth 3Y0.43%
GM growth 5Y-0.56%
F-Score5
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 4.8 | ||
| Debt/EBITDA | 2.08 | ||
| Cap/Depr | 43.09% | ||
| Cap/Sales | 3.87% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 59.37% | ||
| Profit Quality | 206.56% | ||
| Current Ratio | 2.41 | ||
| Quick Ratio | 1.44 | ||
| Altman-Z | 2.71 |
F-Score5
WACC7.84%
ROIC/WACC1
Cap/Depr(3y)39.38%
Cap/Depr(5y)37.65%
Cap/Sales(3y)3.35%
Cap/Sales(5y)3.24%
Profit Quality(3y)307.01%
Profit Quality(5y)228.72%
High Growth Momentum
Growth
EPS 1Y (TTM)2.71%
EPS 3Y1.67%
EPS 5Y4.67%
EPS Q2Q%9.06%
EPS Next Y1.17%
EPS Next 2Y4.06%
EPS Next 3Y6.34%
EPS Next 5Y8.54%
Revenue 1Y (TTM)1.11%
Revenue growth 3Y2.74%
Revenue growth 5Y3.26%
Sales Q2Q%2.28%
Revenue Next Year8.2%
Revenue Next 2Y9.38%
Revenue Next 3Y7.84%
Revenue Next 5Y7.72%
EBIT growth 1Y5.63%
EBIT growth 3Y-0.78%
EBIT growth 5Y4.24%
EBIT Next Year12.96%
EBIT Next 3Y11.13%
EBIT Next 5Y6.67%
FCF growth 1Y22.13%
FCF growth 3Y-4.23%
FCF growth 5Y8.62%
OCF growth 1Y25.21%
OCF growth 3Y-0.81%
OCF growth 5Y7.66%
TELEFLEX INC / TFX FAQ
What is the ChartMill fundamental rating of TELEFLEX INC (TFX) stock?
ChartMill assigns a fundamental rating of 6 / 10 to TFX.
Can you provide the valuation status for TELEFLEX INC?
ChartMill assigns a valuation rating of 7 / 10 to TELEFLEX INC (TFX). This can be considered as Undervalued.
What is the profitability of TFX stock?
TELEFLEX INC (TFX) has a profitability rating of 7 / 10.
What are the PE and PB ratios of TELEFLEX INC (TFX) stock?
The Price/Earnings (PE) ratio for TELEFLEX INC (TFX) is 8.88 and the Price/Book (PB) ratio is 1.3.
What is the expected EPS growth for TELEFLEX INC (TFX) stock?
The Earnings per Share (EPS) of TELEFLEX INC (TFX) is expected to grow by 1.17% in the next year.