TOMRA SYSTEMS ASA (TOM.OL) Stock Fundamental Analysis
Europe - OSL:TOM - NO0012470089 - Common Stock
156 NOK
+1 (+0.65%)
TOM gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 103 industry peers in the Machinery industry. While TOM has a great profitability rating, there are some minor concerns on its financial health. TOM is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year TOM was profitable.
TOM had a positive operating cash flow in the past year.
TOM had positive earnings in each of the past 5 years.
In the past 5 years TOM always reported a positive cash flow from operatings.
1.2 Ratios
TOM's Return On Assets of 5.98% is fine compared to the rest of the industry. TOM outperforms 78.64% of its industry peers.
The Return On Equity of TOM (18.28%) is better than 85.44% of its industry peers.
With an excellent Return On Invested Capital value of 11.10%, TOM belongs to the best of the industry, outperforming 84.47% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for TOM is in line with the industry average of 8.77%.
The last Return On Invested Capital (11.10%) for TOM is above the 3 year average (9.98%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.98% | ||
| ROE | 18.28% | ||
| ROIC | 11.1% |
ROA(3y)5.79%
ROA(5y)6.71%
ROE(3y)14.13%
ROE(5y)14.86%
ROIC(3y)9.98%
ROIC(5y)11.24%
1.3 Margins
With a decent Profit Margin value of 7.37%, TOM is doing good in the industry, outperforming 79.61% of the companies in the same industry.
In the last couple of years the Profit Margin of TOM has declined.
TOM's Operating Margin of 12.51% is amongst the best of the industry. TOM outperforms 80.58% of its industry peers.
In the last couple of years the Operating Margin of TOM has remained more or less at the same level.
Looking at the Gross Margin, with a value of 60.25%, TOM belongs to the top of the industry, outperforming 82.52% of the companies in the same industry.
In the last couple of years the Gross Margin of TOM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.51% | ||
| PM (TTM) | 7.37% | ||
| GM | 60.25% |
OM growth 3Y-6.12%
OM growth 5Y-0.57%
PM growth 3Y-11.39%
PM growth 5Y-4.58%
GM growth 3Y-0.18%
GM growth 5Y-0.26%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), TOM is creating some value.
Compared to 1 year ago, TOM has about the same amount of shares outstanding.
Compared to 5 years ago, TOM has more shares outstanding
Compared to 1 year ago, TOM has a worse debt to assets ratio.
2.2 Solvency
TOM has an Altman-Z score of 3.76. This indicates that TOM is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of TOM (3.76) is better than 81.55% of its industry peers.
TOM has a debt to FCF ratio of 2.30. This is a good value and a sign of high solvency as TOM would need 2.30 years to pay back of all of its debts.
TOM's Debt to FCF ratio of 2.30 is fine compared to the rest of the industry. TOM outperforms 76.70% of its industry peers.
A Debt/Equity ratio of 1.03 is on the high side and indicates that TOM has dependencies on debt financing.
TOM's Debt to Equity ratio of 1.03 is on the low side compared to the rest of the industry. TOM is outperformed by 78.64% of its industry peers.
Even though the debt/equity ratio score it not favorable for TOM, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.03 | ||
| Debt/FCF | 2.3 | ||
| Altman-Z | 3.76 |
ROIC/WACC1.31
WACC8.47%
2.3 Liquidity
TOM has a Current Ratio of 1.47. This is a normal value and indicates that TOM is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.47, TOM is in line with its industry, outperforming 43.69% of the companies in the same industry.
A Quick Ratio of 1.00 indicates that TOM should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.00, TOM perfoms like the industry average, outperforming 48.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.47 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
TOM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -63.43%.
Measured over the past years, TOM shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -34.95% on average per year.
The Revenue has grown by 45.28% in the past year. This is a very strong growth!
The Revenue has been growing slightly by 7.25% on average over the past years.
EPS 1Y (TTM)-63.43%
EPS 3Y-55.56%
EPS 5Y-34.95%
EPS Q2Q%12.56%
Revenue 1Y (TTM)45.28%
Revenue growth 3Y7.86%
Revenue growth 5Y7.25%
Sales Q2Q%-2.4%
3.2 Future
TOM is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 22.62% yearly.
TOM is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.94% yearly.
EPS Next Y19.11%
EPS Next 2Y32.74%
EPS Next 3Y30.88%
EPS Next 5Y22.62%
Revenue Next Year6.48%
Revenue Next 2Y12.51%
Revenue Next 3Y14.41%
Revenue Next 5Y11.94%
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.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 37.41 indicates a quite expensive valuation of TOM.
The rest of the industry has a similar Price/Earnings ratio as TOM.
Compared to an average S&P500 Price/Earnings ratio of 27.38, TOM is valued a bit more expensive.
Based on the Price/Forward Earnings ratio of 23.56, the valuation of TOM can be described as rather expensive.
64.08% of the companies in the same industry are cheaper than TOM, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.86. TOM is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.41 | ||
| Fwd PE | 23.56 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TOM is valued a bit more expensive than 66.99% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, TOM is valued a bit cheaper than 66.02% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.01 | ||
| EV/EBITDA | 16.22 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TOM does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of TOM may justify a higher PE ratio.
TOM's earnings are expected to grow with 30.88% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.96
PEG (5Y)N/A
EPS Next 2Y32.74%
EPS Next 3Y30.88%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.41%, TOM has a reasonable but not impressive dividend return.
TOM's Dividend Yield is comparable with the industry average which is at 2.88.
With a Dividend Yield of 1.41, TOM pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.41% |
5.2 History
The dividend of TOM decreases each year by -5.95%.
Dividend Growth(5Y)-5.95%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
TOM pays out 54.91% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP54.91%
EPS Next 2Y32.74%
EPS Next 3Y30.88%
OSL:TOM (9/19/2025, 7:00:00 PM)
156
+1 (+0.65%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners86.65%
Inst Owner ChangeN/A
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap46.18B
Analysts75
Price Target169.07 (8.38%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.41% |
Yearly Dividend1.95
Dividend Growth(5Y)-5.95%
DP54.91%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-10.45%
Min EPS beat(2)-25.74%
Max EPS beat(2)4.83%
EPS beat(4)2
Avg EPS beat(4)-2.07%
Min EPS beat(4)-25.74%
Max EPS beat(4)20.23%
EPS beat(8)3
Avg EPS beat(8)-23.11%
EPS beat(12)4
Avg EPS beat(12)-18.26%
EPS beat(16)7
Avg EPS beat(16)-12.86%
Revenue beat(2)0
Avg Revenue beat(2)-4.77%
Min Revenue beat(2)-6.56%
Max Revenue beat(2)-2.97%
Revenue beat(4)2
Avg Revenue beat(4)-0.9%
Min Revenue beat(4)-6.56%
Max Revenue beat(4)4.11%
Revenue beat(8)5
Avg Revenue beat(8)1.82%
Revenue beat(12)6
Avg Revenue beat(12)-20.83%
Revenue beat(16)6
Avg Revenue beat(16)-38.03%
PT rev (1m)0.52%
PT rev (3m)-0.87%
EPS NQ rev (1m)1.76%
EPS NQ rev (3m)-25.64%
EPS NY rev (1m)-12.18%
EPS NY rev (3m)-12.18%
Revenue NQ rev (1m)1.17%
Revenue NQ rev (3m)-9.39%
Revenue NY rev (1m)-1.45%
Revenue NY rev (3m)-3.9%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.41 | ||
| Fwd PE | 23.56 | ||
| P/S | 2.94 | ||
| P/FCF | 15.01 | ||
| P/OCF | 15.01 | ||
| P/B | 7.3 | ||
| P/tB | 37.25 | ||
| EV/EBITDA | 16.22 |
EPS(TTM)4.17
EY2.67%
EPS(NY)6.62
Fwd EY4.24%
FCF(TTM)10.39
FCFY6.66%
OCF(TTM)10.39
OCFY6.66%
SpS53.02
BVpS21.37
TBVpS4.19
PEG (NY)1.96
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.98% | ||
| ROE | 18.28% | ||
| ROCE | 14.65% | ||
| ROIC | 11.1% | ||
| ROICexc | 12.37% | ||
| ROICexgc | 21.43% | ||
| OM | 12.51% | ||
| PM (TTM) | 7.37% | ||
| GM | 60.25% | ||
| FCFM | 19.6% |
ROA(3y)5.79%
ROA(5y)6.71%
ROE(3y)14.13%
ROE(5y)14.86%
ROIC(3y)9.98%
ROIC(5y)11.24%
ROICexc(3y)10.99%
ROICexc(5y)12.25%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)13.18%
ROCE(5y)14.84%
ROICexcg growth 3Y-10.82%
ROICexcg growth 5Y1.85%
ROICexc growth 3Y-8.67%
ROICexc growth 5Y1.89%
OM growth 3Y-6.12%
OM growth 5Y-0.57%
PM growth 3Y-11.39%
PM growth 5Y-4.58%
GM growth 3Y-0.18%
GM growth 5Y-0.26%
F-Score5
Asset Turnover0.81
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.03 | ||
| Debt/FCF | 2.3 | ||
| Debt/EBITDA | 2.05 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 96.72% | ||
| Profit Quality | 266.03% | ||
| Current Ratio | 1.47 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 3.76 |
F-Score5
WACC8.47%
ROIC/WACC1.31
Cap/Depr(3y)104.67%
Cap/Depr(5y)90.87%
Cap/Sales(3y)7.6%
Cap/Sales(5y)6.88%
Profit Quality(3y)76.57%
Profit Quality(5y)96.08%
High Growth Momentum
Growth
EPS 1Y (TTM)-63.43%
EPS 3Y-55.56%
EPS 5Y-34.95%
EPS Q2Q%12.56%
EPS Next Y19.11%
EPS Next 2Y32.74%
EPS Next 3Y30.88%
EPS Next 5Y22.62%
Revenue 1Y (TTM)45.28%
Revenue growth 3Y7.86%
Revenue growth 5Y7.25%
Sales Q2Q%-2.4%
Revenue Next Year6.48%
Revenue Next 2Y12.51%
Revenue Next 3Y14.41%
Revenue Next 5Y11.94%
EBIT growth 1Y120.54%
EBIT growth 3Y1.26%
EBIT growth 5Y6.64%
EBIT Next Year81.59%
EBIT Next 3Y40.85%
EBIT Next 5YN/A
FCF growth 1Y-31.45%
FCF growth 3Y0.11%
FCF growth 5Y11.27%
OCF growth 1Y-78.3%
OCF growth 3Y10.38%
OCF growth 5Y12.04%