TREEHOUSE FOODS INC (THS)
US89469A1043 - Common Stock
THS gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 92 industry peers in the Food Products industry. THS has a medium profitability rating, but doesn't score so well on its financial health evaluation. THS does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
THS had positive earnings in the past year.
In the past year THS had a positive cash flow from operations.
In multiple years THS reported negative net income over the last 5 years.
THS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
THS's Return On Assets of 1.05% is in line compared to the rest of the industry. THS outperforms 48.35% of its industry peers.
With a Return On Equity value of 2.57%, THS perfoms like the industry average, outperforming 51.65% of the companies in the same industry.
THS has a Return On Invested Capital (5.43%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for THS is significantly below the industry average of 8.76%.
The last Return On Invested Capital (5.43%) for THS is above the 3 year average (2.57%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.05% | ||
| ROE | 2.57% | ||
| ROIC | 5.43% |
ROA(3y)-0.8%
ROA(5y)-1.83%
ROE(3y)-2.05%
ROE(5y)-5.03%
ROIC(3y)2.57%
ROIC(5y)3.49%
1.3 Margins
THS has a Profit Margin (0.97%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of THS has grown nicely.
With a decent Operating Margin value of 5.39%, THS is doing good in the industry, outperforming 63.74% of the companies in the same industry.
THS's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 16.87%, THS is in line with its industry, outperforming 43.96% of the companies in the same industry.
THS's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.39% | ||
| PM (TTM) | 0.97% | ||
| GM | 16.87% |
OM growth 3Y-0.82%
OM growth 5Y1.13%
PM growth 3Y69.57%
PM growth 5YN/A
GM growth 3Y-3.45%
GM growth 5Y-2.2%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), THS is destroying value.
THS has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, THS has less shares outstanding
The debt/assets ratio for THS is higher compared to a year ago.
2.2 Solvency
THS has an Altman-Z score of 1.79. This is a bad value and indicates that THS is not financially healthy and even has some risk of bankruptcy.
THS has a Altman-Z score (1.79) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.87 indicates that THS is somewhat dependend on debt financing.
THS's Debt to Equity ratio of 0.87 is on the low side compared to the rest of the industry. THS is outperformed by 62.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.87 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.79 |
ROIC/WACC0.73
WACC7.44%
2.3 Liquidity
A Current Ratio of 1.52 indicates that THS should not have too much problems paying its short term obligations.
The Current ratio of THS (1.52) is comparable to the rest of the industry.
A Quick Ratio of 0.66 indicates that THS may have some problems paying its short term obligations.
THS's Quick ratio of 0.66 is on the low side compared to the rest of the industry. THS is outperformed by 63.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.52 | ||
| Quick Ratio | 0.66 |
3. Growth
3.1 Past
THS shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.89%.
The Earnings Per Share has been growing slightly by 2.09% on average over the past years.
THS shows a decrease in Revenue. In the last year, the revenue decreased by -2.29%.
THS shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -5.64% yearly.
EPS 1Y (TTM)-3.89%
EPS 3Y-3.67%
EPS 5Y2.09%
EPS Q2Q%-104.41%
Revenue 1Y (TTM)-2.29%
Revenue growth 3Y-7.59%
Revenue growth 5Y-5.64%
Sales Q2Q%-8.28%
3.2 Future
Based on estimates for the next years, THS will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.75% on average per year.
THS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.22% yearly.
EPS Next Y-6.63%
EPS Next 2Y10.25%
EPS Next 3Y15.75%
EPS Next 5YN/A
Revenue Next Year-0.17%
Revenue Next 2Y1.19%
Revenue Next 3Y1.91%
Revenue Next 5Y3.22%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
Based on the Price/Earnings ratio of 22.56, the valuation of THS can be described as rather expensive.
Based on the Price/Earnings ratio, THS is valued a bit cheaper than 62.64% of the companies in the same industry.
When comparing the Price/Earnings ratio of THS to the average of the S&P500 Index (24.29), we can say THS is valued inline with the index average.
With a Price/Forward Earnings ratio of 13.16, THS is valued correctly.
Based on the Price/Forward Earnings ratio, THS is valued a bit cheaper than the industry average as 79.12% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 20.35. THS is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.56 | ||
| Fwd PE | 13.16 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, THS is valued a bit cheaper than the industry average as 76.92% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.7 |
4.3 Compensation for Growth
THS's earnings are expected to grow with 15.75% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)10.78
EPS Next 2Y10.25%
EPS Next 3Y15.75%
5. Dividend
5.1 Amount
No dividends for THS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TREEHOUSE FOODS INC
NYSE:THS (7/26/2024, 8:47:38 AM)
39.03
+0.51 (+1.32%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap2.05B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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 Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.56 | ||
| Fwd PE | 13.16 | ||
| 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)N/A
PEG (5Y)10.78
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.05% | ||
| ROE | 2.57% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 5.39% | ||
| PM (TTM) | 0.97% | ||
| GM | 16.87% | ||
| 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 Turnover1.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.87 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.52 | ||
| Quick Ratio | 0.66 | ||
| 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)
High Growth Momentum
Growth
EPS 1Y (TTM)-3.89%
EPS 3Y-3.67%
EPS 5Y
EPS Q2Q%
EPS Next Y-6.63%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-2.29%
Revenue growth 3Y-7.59%
Revenue growth 5Y
Sales 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