TECNOGLASS INC (TGLS) Stock Fundamental Analysis
NYSE:TGLS - New York Stock Exchange, Inc. - KYG872641009 - Common Stock - Currency: USD
Taking everything into account, TGLS scores 7 out of 10 in our fundamental rating. TGLS was compared to 41 industry peers in the Building Products industry. TGLS gets an excellent profitability rating and is at the same time showing great financial health properties. TGLS has a decent growth rate and is not valued too expensively. These ratings would make TGLS suitable for quality investing!
1. Profitability
1.1 Basic Checks
TGLS had positive earnings in the past year.
In the past year TGLS had a positive cash flow from operations.
TGLS had positive earnings in each of the past 5 years.
TGLS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 15.26%, TGLS belongs to the best of the industry, outperforming 92.68% of the companies in the same industry.
With a decent Return On Equity value of 25.36%, TGLS is doing good in the industry, outperforming 78.05% of the companies in the same industry.
TGLS has a Return On Invested Capital of 21.49%. This is amongst the best in the industry. TGLS outperforms 87.80% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TGLS is significantly above the industry average of 12.68%.
The 3 year average ROIC (25.80%) for TGLS is well above the current ROIC(21.49%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.26% | ||
| ROE | 25.36% | ||
| ROIC | 21.49% |
ROA(3y)18.69%
ROA(5y)14.42%
ROE(3y)34.52%
ROE(5y)28.6%
ROIC(3y)25.8%
ROIC(5y)21.42%
1.3 Margins
With an excellent Profit Margin value of 18.89%, TGLS belongs to the best of the industry, outperforming 97.56% of the companies in the same industry.
In the last couple of years the Profit Margin of TGLS has grown nicely.
With an excellent Operating Margin value of 26.65%, TGLS belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
TGLS's Operating Margin has improved in the last couple of years.
The Gross Margin of TGLS (43.79%) is better than 85.37% of its industry peers.
In the last couple of years the Gross Margin of TGLS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.65% | ||
| PM (TTM) | 18.89% | ||
| GM | 43.79% |
OM growth 3Y2.69%
OM growth 5Y13.32%
PM growth 3Y9.7%
PM growth 5Y26.09%
GM growth 3Y1.53%
GM growth 5Y6.26%
2. Health
2.1 Basic Checks
TGLS has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for TGLS remains at a similar level compared to 1 year ago.
The number of shares outstanding for TGLS has been increased compared to 5 years ago.
Compared to 1 year ago, TGLS has an improved debt to assets ratio.
2.2 Solvency
TGLS has an Altman-Z score of 7.18. This indicates that TGLS is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 7.18, TGLS belongs to the top of the industry, outperforming 82.93% of the companies in the same industry.
TGLS has a debt to FCF ratio of 1.29. This is a very positive value and a sign of high solvency as it would only need 1.29 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 1.29, TGLS belongs to the best of the industry, outperforming 85.37% of the companies in the same industry.
TGLS has a Debt/Equity ratio of 0.16. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.16, TGLS is in the better half of the industry, outperforming 73.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.29 | ||
| Altman-Z | 7.18 |
ROIC/WACC2.19
WACC9.83%
2.3 Liquidity
A Current Ratio of 1.93 indicates that TGLS should not have too much problems paying its short term obligations.
TGLS has a Current ratio (1.93) which is in line with its industry peers.
TGLS has a Quick Ratio of 1.46. This is a normal value and indicates that TGLS is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of TGLS (1.46) is better than 60.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.93 | ||
| Quick Ratio | 1.46 |
3. Growth
3.1 Past
TGLS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 23.64%, which is quite impressive.
Measured over the past years, TGLS shows a very strong growth in Earnings Per Share. The EPS has been growing by 39.54% on average per year.
The Revenue has been growing slightly by 6.83% in the past year.
Measured over the past years, TGLS shows a quite strong growth in Revenue. The Revenue has been growing by 15.62% on average per year.
EPS 1Y (TTM)23.64%
EPS 3Y28.76%
EPS 5Y39.54%
EPS Q2Q%19.77%
Revenue 1Y (TTM)6.83%
Revenue growth 3Y21.46%
Revenue growth 5Y15.62%
Sales Q2Q%16.34%
3.2 Future
The Earnings Per Share is expected to grow by 11.26% on average over the next years. This is quite good.
The Revenue is expected to grow by 7.23% on average over the next years.
EPS Next Y16.64%
EPS Next 2Y16.42%
EPS Next 3Y13.63%
EPS Next 5Y11.26%
Revenue Next Year11.94%
Revenue Next 2Y11.53%
Revenue Next 3Y8.71%
Revenue Next 5Y7.23%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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
TGLS is valuated rather expensively with a Price/Earnings ratio of 18.22.
Compared to the rest of the industry, the Price/Earnings ratio of TGLS indicates a somewhat cheap valuation: TGLS is cheaper than 65.85% of the companies listed in the same industry.
TGLS is valuated rather cheaply when we compare the Price/Earnings ratio to 26.48, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 15.03, TGLS is valued correctly.
65.85% of the companies in the same industry are more expensive than TGLS, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 34.04. TGLS is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.22 | ||
| Fwd PE | 15.03 |
4.2 Price Multiples
TGLS's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, TGLS is valued a bit more expensive than the industry average as 60.98% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 41.43 | ||
| EV/EBITDA | 12.61 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of TGLS may justify a higher PE ratio.
A more expensive valuation may be justified as TGLS's earnings are expected to grow with 13.63% in the coming years.
PEG (NY)1.09
PEG (5Y)0.46
EPS Next 2Y16.42%
EPS Next 3Y13.63%
5. Dividend
5.1 Amount
TGLS has a yearly dividend return of 0.80%, which is pretty low.
Compared to an average industry Dividend Yield of 1.15, TGLS pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.80, TGLS pays less dividend than the S&P500 average, which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.8% |
5.2 History
The dividend of TGLS is nicely growing with an annual growth rate of 27.74%!
TGLS has been paying a dividend for at least 10 years, so it has a reliable track record.
TGLS has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)27.74%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
TGLS pays out 12.98% of its income as dividend. This is a sustainable payout ratio.
TGLS's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP12.98%
EPS Next 2Y16.42%
EPS Next 3Y13.63%
74.35
-0.8 (-1.06%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners55.16%
Inst Owner Change-1.02%
Ins Owners0%
Ins Owner Change-3.42%
Market Cap3.49B
Analysts80
Price Target96.65 (29.99%)
Short Float %10.29%
Short Ratio8.3
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.8% |
Yearly Dividend0.42
Dividend Growth(5Y)27.74%
DP12.98%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.27%
Min EPS beat(2)0.68%
Max EPS beat(2)9.86%
EPS beat(4)4
Avg EPS beat(4)4.58%
Min EPS beat(4)0.68%
Max EPS beat(4)9.86%
EPS beat(8)6
Avg EPS beat(8)3%
EPS beat(12)10
Avg EPS beat(12)9.02%
EPS beat(16)14
Avg EPS beat(16)12.27%
Revenue beat(2)1
Avg Revenue beat(2)0.15%
Min Revenue beat(2)-1.89%
Max Revenue beat(2)2.18%
Revenue beat(4)1
Avg Revenue beat(4)-1.06%
Min Revenue beat(4)-2.72%
Max Revenue beat(4)2.18%
Revenue beat(8)2
Avg Revenue beat(8)-0.6%
Revenue beat(12)6
Avg Revenue beat(12)2.46%
Revenue beat(16)9
Avg Revenue beat(16)3.25%
PT rev (1m)0%
PT rev (3m)13.25%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-6.99%
EPS NY rev (1m)0%
EPS NY rev (3m)2.1%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.8%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.89%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.22 | ||
| Fwd PE | 15.03 | ||
| P/S | 3.8 | ||
| P/FCF | 41.43 | ||
| P/OCF | 18.94 | ||
| P/B | 5.1 | ||
| P/tB | 5.32 | ||
| EV/EBITDA | 12.61 |
EPS(TTM)4.08
EY5.49%
EPS(NY)4.95
Fwd EY6.65%
FCF(TTM)1.79
FCFY2.41%
OCF(TTM)3.92
OCFY5.28%
SpS19.58
BVpS14.58
TBVpS13.98
PEG (NY)1.09
PEG (5Y)0.46
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.26% | ||
| ROE | 25.36% | ||
| ROCE | 30.3% | ||
| ROIC | 21.49% | ||
| ROICexc | 26.79% | ||
| ROICexgc | 28.02% | ||
| OM | 26.65% | ||
| PM (TTM) | 18.89% | ||
| GM | 43.79% | ||
| FCFM | 9.17% |
ROA(3y)18.69%
ROA(5y)14.42%
ROE(3y)34.52%
ROE(5y)28.6%
ROIC(3y)25.8%
ROIC(5y)21.42%
ROICexc(3y)31.86%
ROICexc(5y)26.41%
ROICexgc(3y)33.63%
ROICexgc(5y)28.08%
ROCE(3y)36.38%
ROCE(5y)30.2%
ROICexcg growth 3Y2.27%
ROICexcg growth 5Y18.89%
ROICexc growth 3Y3.41%
ROICexc growth 5Y19.71%
OM growth 3Y2.69%
OM growth 5Y13.32%
PM growth 3Y9.7%
PM growth 5Y26.09%
GM growth 3Y1.53%
GM growth 5Y6.26%
F-Score5
Asset Turnover0.81
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.29 | ||
| Debt/EBITDA | 0.4 | ||
| Cap/Depr | 364% | ||
| Cap/Sales | 10.88% | ||
| Interest Coverage | 27.71 | ||
| Cash Conversion | 67.64% | ||
| Profit Quality | 48.54% | ||
| Current Ratio | 1.93 | ||
| Quick Ratio | 1.46 | ||
| Altman-Z | 7.18 |
F-Score5
WACC9.83%
ROIC/WACC2.19
Cap/Depr(3y)339.62%
Cap/Depr(5y)270.82%
Cap/Sales(3y)9.41%
Cap/Sales(5y)8.69%
Profit Quality(3y)45.01%
Profit Quality(5y)90.99%
High Growth Momentum
Growth
EPS 1Y (TTM)23.64%
EPS 3Y28.76%
EPS 5Y39.54%
EPS Q2Q%19.77%
EPS Next Y16.64%
EPS Next 2Y16.42%
EPS Next 3Y13.63%
EPS Next 5Y11.26%
Revenue 1Y (TTM)6.83%
Revenue growth 3Y21.46%
Revenue growth 5Y15.62%
Sales Q2Q%16.34%
Revenue Next Year11.94%
Revenue Next 2Y11.53%
Revenue Next 3Y8.71%
Revenue Next 5Y7.23%
EBIT growth 1Y7.97%
EBIT growth 3Y24.72%
EBIT growth 5Y31.02%
EBIT Next Year38.21%
EBIT Next 3Y16.14%
EBIT Next 5Y12.92%
FCF growth 1Y5.02%
FCF growth 3Y11.4%
FCF growth 5Y164.7%
OCF growth 1Y16.8%
OCF growth 3Y13.28%
OCF growth 5Y46.01%