TOMRA SYSTEMS ASA (TOM.OL) Stock Fundamental Analysis
Europe - Euronext Oslo - OSL:TOM - NO0012470089 - Common Stock
132.8 NOK
+1.3 (+0.99%)
We assign a fundamental rating of 5 out of 10 to TOM. TOM was compared to 110 industry peers in the Machinery industry. While TOM belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. TOM is quite expensive at the moment. 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.
In the past 5 years TOM has always been profitable.
TOM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of TOM (5.42%) is better than 71.82% of its industry peers.
TOM's Return On Equity of 17.51% is amongst the best of the industry. TOM outperforms 82.73% of its industry peers.
TOM's Return On Invested Capital of 9.51% is amongst the best of the industry. TOM outperforms 80.91% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TOM is in line with the industry average of 8.83%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.42% | ||
| ROE | 17.51% | ||
| ROIC | 9.51% |
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
TOM's Profit Margin of 7.18% is fine compared to the rest of the industry. TOM outperforms 74.55% of its industry peers.
In the last couple of years the Profit Margin of TOM has declined.
TOM has a better Operating Margin (11.65%) than 75.45% of its industry peers.
TOM's Operating Margin has been stable in the last couple of years.
TOM's Gross Margin of 60.71% is amongst the best of the industry. TOM outperforms 84.55% of its industry peers.
TOM's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.65% | ||
| PM (TTM) | 7.18% | ||
| GM | 60.71% |
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TOM is still creating some value.
The number of shares outstanding for TOM remains at a similar level compared to 1 year ago.
The number of shares outstanding for TOM has been increased compared to 5 years ago.
The debt/assets ratio for TOM is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.16 indicates that TOM is not in any danger for bankruptcy at the moment.
The Altman-Z score of TOM (3.16) is better than 71.82% of its industry peers.
The Debt to FCF ratio of TOM is 3.03, which is a good value as it means it would take TOM, 3.03 years of fcf income to pay off all of its debts.
TOM has a better Debt to FCF ratio (3.03) than 71.82% of its industry peers.
A Debt/Equity ratio of 1.18 is on the high side and indicates that TOM has dependencies on debt financing.
The Debt to Equity ratio of TOM (1.18) is worse than 79.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | 3.03 | ||
| Altman-Z | 3.16 |
ROIC/WACC1.12
WACC8.5%
2.3 Liquidity
A Current Ratio of 1.48 indicates that TOM should not have too much problems paying its short term obligations.
TOM has a Current ratio (1.48) which is comparable to the rest of the industry.
A Quick Ratio of 0.99 indicates that TOM may have some problems paying its short term obligations.
With a Quick ratio value of 0.99, TOM perfoms like the industry average, outperforming 49.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.48 | ||
| Quick Ratio | 0.99 |
3. Growth
3.1 Past
TOM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -25.17%.
The earnings per share for TOM have been decreasing by -34.95% on average. This is quite bad
The Revenue has grown by 40.48% in the past year. This is a very strong growth!
Measured over the past years, TOM shows a small growth in Revenue. The Revenue has been growing by 7.25% on average per year.
EPS 1Y (TTM)-25.17%
EPS 3Y-55.56%
EPS 5Y-34.95%
EPS Q2Q%-28.57%
Revenue 1Y (TTM)40.48%
Revenue growth 3Y7.86%
Revenue growth 5Y7.25%
Sales Q2Q%-6.13%
3.2 Future
TOM is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 22.80% yearly.
Based on estimates for the next years, TOM will show a quite strong growth in Revenue. The Revenue will grow by 11.84% on average per year.
EPS Next Y-6.58%
EPS Next 2Y22.97%
EPS Next 3Y30.27%
EPS Next 5Y22.8%
Revenue Next Year0.22%
Revenue Next 2Y9.69%
Revenue Next 3Y13.16%
Revenue Next 5Y11.84%
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
With a Price/Earnings ratio of 32.95, TOM can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of TOM is on the same level as its industry peers.
TOM is valuated rather expensively when we compare the Price/Earnings ratio to 26.59, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 22.85, which indicates a rather expensive current valuation of TOM.
65.45% of the companies in the same industry are cheaper than TOM, based on the Price/Forward Earnings ratio.
TOM is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 24.03, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.95 | ||
| Fwd PE | 22.85 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TOM is valued a bit more expensive than the industry average as 64.55% of the companies are valued more cheaply.
Based on the Price/Free Cash Flow ratio, TOM is valued a bit cheaper than the industry average as 60.91% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.58 | ||
| EV/EBITDA | 14.67 |
4.3 Compensation for Growth
The decent profitability rating of TOM may justify a higher PE ratio.
TOM's earnings are expected to grow with 30.27% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y22.97%
EPS Next 3Y30.27%
5. Dividend
5.1 Amount
TOM has a Yearly Dividend Yield of 1.61%. Purely for dividend investing, there may be better candidates out there.
TOM's Dividend Yield is comparable with the industry average which is at 1.55.
TOM's Dividend Yield is comparable with the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.61% |
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
60.33% of the earnings are spent on dividend by TOM. This is not a sustainable payout ratio.
DP60.33%
EPS Next 2Y22.97%
EPS Next 3Y30.27%
OSL:TOM (12/23/2025, 7:00:00 PM)
132.8
+1.3 (+0.99%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners83.01%
Inst Owner ChangeN/A
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap39.31B
Revenue(TTM)1.33B
Net Income(TTM)95.80M
Analysts76.25
Price Target155.65 (17.21%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.61% |
Yearly Dividend2.01
Dividend Growth(5Y)-5.95%
DP60.33%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-6.33%
Min EPS beat(2)-17.49%
Max EPS beat(2)4.83%
EPS beat(4)2
Avg EPS beat(4)-4.54%
Min EPS beat(4)-25.74%
Max EPS beat(4)20.23%
EPS beat(8)3
Avg EPS beat(8)-21.01%
EPS beat(12)4
Avg EPS beat(12)-18.61%
EPS beat(16)6
Avg EPS beat(16)-14.24%
Revenue beat(2)0
Avg Revenue beat(2)-4.22%
Min Revenue beat(2)-6.56%
Max Revenue beat(2)-1.87%
Revenue beat(4)1
Avg Revenue beat(4)-1.82%
Min Revenue beat(4)-6.56%
Max Revenue beat(4)4.11%
Revenue beat(8)5
Avg Revenue beat(8)2.32%
Revenue beat(12)6
Avg Revenue beat(12)-13.46%
Revenue beat(16)6
Avg Revenue beat(16)-32.53%
PT rev (1m)-4.13%
PT rev (3m)-7.93%
EPS NQ rev (1m)2.94%
EPS NQ rev (3m)-12.5%
EPS NY rev (1m)-7.41%
EPS NY rev (3m)-21.57%
Revenue NQ rev (1m)0.45%
Revenue NQ rev (3m)-7.24%
Revenue NY rev (1m)-2.75%
Revenue NY rev (3m)-5.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.95 | ||
| Fwd PE | 22.85 | ||
| P/S | 2.49 | ||
| P/FCF | 14.58 | ||
| P/OCF | 14.58 | ||
| P/B | 6.07 | ||
| P/tB | 51.84 | ||
| EV/EBITDA | 14.67 |
EPS(TTM)4.03
EY3.03%
EPS(NY)5.81
Fwd EY4.38%
FCF(TTM)9.11
FCFY6.86%
OCF(TTM)9.11
OCFY6.86%
SpS53.42
BVpS21.89
TBVpS2.56
PEG (NY)N/A
PEG (5Y)N/A
Graham Number44.56
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.42% | ||
| ROE | 17.51% | ||
| ROCE | 12.56% | ||
| ROIC | 9.51% | ||
| ROICexc | 10.46% | ||
| ROICexgc | 18.32% | ||
| OM | 11.65% | ||
| PM (TTM) | 7.18% | ||
| GM | 60.71% | ||
| FCFM | 17.05% |
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%
ROICexgc growth 3Y-10.82%
ROICexgc 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-Score6
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | 3.03 | ||
| Debt/EBITDA | 2.42 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 85.69% | ||
| Profit Quality | 237.47% | ||
| Current Ratio | 1.48 | ||
| Quick Ratio | 0.99 | ||
| Altman-Z | 3.16 |
F-Score6
WACC8.5%
ROIC/WACC1.12
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)-25.17%
EPS 3Y-55.56%
EPS 5Y-34.95%
EPS Q2Q%-28.57%
EPS Next Y-6.58%
EPS Next 2Y22.97%
EPS Next 3Y30.27%
EPS Next 5Y22.8%
Revenue 1Y (TTM)40.48%
Revenue growth 3Y7.86%
Revenue growth 5Y7.25%
Sales Q2Q%-6.13%
Revenue Next Year0.22%
Revenue Next 2Y9.69%
Revenue Next 3Y13.16%
Revenue Next 5Y11.84%
EBIT growth 1Y119.2%
EBIT growth 3Y1.26%
EBIT growth 5Y6.64%
EBIT Next Year59.7%
EBIT Next 3Y40.49%
EBIT Next 5YN/A
FCF growth 1Y198.57%
FCF growth 3Y0.11%
FCF growth 5Y11.27%
OCF growth 1Y-63.23%
OCF growth 3Y10.38%
OCF growth 5Y12.04%
TOMRA SYSTEMS ASA / TOM.OL FAQ
What is the ChartMill fundamental rating of TOMRA SYSTEMS ASA (TOM.OL) stock?
ChartMill assigns a fundamental rating of 5 / 10 to TOM.OL.
What is the valuation status for TOM stock?
ChartMill assigns a valuation rating of 3 / 10 to TOMRA SYSTEMS ASA (TOM.OL). This can be considered as Overvalued.
What is the profitability of TOM stock?
TOMRA SYSTEMS ASA (TOM.OL) has a profitability rating of 7 / 10.
What is the financial health of TOMRA SYSTEMS ASA (TOM.OL) stock?
The financial health rating of TOMRA SYSTEMS ASA (TOM.OL) is 4 / 10.
Is the dividend of TOMRA SYSTEMS ASA sustainable?
The dividend rating of TOMRA SYSTEMS ASA (TOM.OL) is 2 / 10 and the dividend payout ratio is 60.33%.