TRI POINTE HOMES INC (TPH) Stock Fundamental Analysis
NYSE:TPH - New York Stock Exchange, Inc. - US87265H1095 - Common Stock - Currency: USD
Overall TPH gets a fundamental rating of 6 out of 10. We evaluated TPH against 64 industry peers in the Household Durables industry. TPH scores excellent points on both the profitability and health parts. This is a solid base for a good stock. TPH has a bad growth rate and is valued cheaply. With these ratings, TPH could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
In the past year TPH was profitable.
In the past year TPH had a positive cash flow from operations.
Each year in the past 5 years TPH has been profitable.
Each year in the past 5 years TPH had a positive operating cash flow.
1.2 Ratios
The Return On Assets of TPH (8.77%) is better than 67.19% of its industry peers.
TPH's Return On Equity of 12.73% is in line compared to the rest of the industry. TPH outperforms 59.38% of its industry peers.
TPH has a Return On Invested Capital of 9.27%. This is in the better half of the industry: TPH outperforms 64.06% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TPH is in line with the industry average of 10.34%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.77% | ||
| ROE | 12.73% | ||
| ROIC | 9.27% |
ROA(3y)9.52%
ROA(5y)9.28%
ROE(3y)15.16%
ROE(5y)15.46%
ROIC(3y)10.2%
ROIC(5y)10.07%
1.3 Margins
The Profit Margin of TPH (9.85%) is better than 79.69% of its industry peers.
TPH's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 12.54%, TPH is in the better half of the industry, outperforming 76.56% of the companies in the same industry.
In the last couple of years the Operating Margin of TPH has grown nicely.
TPH has a Gross Margin (23.52%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of TPH has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.54% | ||
| PM (TTM) | 9.85% | ||
| GM | 23.52% |
OM growth 3Y-5.72%
OM growth 5Y7.18%
PM growth 3Y-4.72%
PM growth 5Y8.69%
GM growth 3Y-2.33%
GM growth 5Y2.47%
2. Health
2.1 Basic Checks
TPH has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
TPH has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, TPH has less shares outstanding
Compared to 1 year ago, TPH has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.29 indicates that TPH is not in any danger for bankruptcy at the moment.
TPH has a better Altman-Z score (4.29) than 71.88% of its industry peers.
TPH has a debt to FCF ratio of 1.99. This is a very positive value and a sign of high solvency as it would only need 1.99 years to pay back of all of its debts.
TPH's Debt to FCF ratio of 1.99 is fine compared to the rest of the industry. TPH outperforms 78.13% of its industry peers.
TPH has a Debt/Equity ratio of 0.30. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.30, TPH is in line with its industry, outperforming 53.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 1.99 | ||
| Altman-Z | 4.29 |
ROIC/WACC0.97
WACC9.55%
2.3 Liquidity
A Current Ratio of 8.42 indicates that TPH has no problem at all paying its short term obligations.
With an excellent Current ratio value of 8.42, TPH belongs to the best of the industry, outperforming 89.06% of the companies in the same industry.
A Quick Ratio of 1.89 indicates that TPH should not have too much problems paying its short term obligations.
With an excellent Quick ratio value of 1.89, TPH belongs to the best of the industry, outperforming 81.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 8.42 | ||
| Quick Ratio | 1.89 |
3. Growth
3.1 Past
TPH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 20.00%, which is quite good.
The Earnings Per Share has been growing by 26.86% on average over the past years. This is a very strong growth
Looking at the last year, TPH shows a quite strong growth in Revenue. The Revenue has grown by 10.83% in the last year.
TPH shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.82% yearly.
EPS 1Y (TTM)20%
EPS 3Y5.7%
EPS 5Y26.86%
EPS Q2Q%-32.04%
Revenue 1Y (TTM)10.83%
Revenue growth 3Y4.1%
Revenue growth 5Y7.82%
Sales Q2Q%-22.99%
3.2 Future
The Earnings Per Share is expected to decrease by -16.12% on average over the next years. This is quite bad
The Revenue is expected to decrease by -7.92% on average over the next years.
EPS Next Y-36.73%
EPS Next 2Y-16.12%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-21.32%
Revenue Next 2Y-7.92%
Revenue Next 3YN/A
Revenue Next 5YN/A
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 7.09, the valuation of TPH can be described as very cheap.
TPH's Price/Earnings ratio is rather cheap when compared to the industry. TPH is cheaper than 81.25% of the companies in the same industry.
When comparing the Price/Earnings ratio of TPH to the average of the S&P500 Index (26.65), we can say TPH is valued rather cheaply.
TPH is valuated reasonably with a Price/Forward Earnings ratio of 9.39.
Based on the Price/Forward Earnings ratio, TPH is valued a bit cheaper than 60.94% of the companies in the same industry.
TPH is valuated cheaply when we compare the Price/Forward Earnings ratio to 21.27, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.09 | ||
| Fwd PE | 9.39 |
4.2 Price Multiples
TPH's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. TPH is cheaper than 90.63% of the companies in the same industry.
89.06% of the companies in the same industry are more expensive than TPH, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.84 | ||
| EV/EBITDA | 5.34 |
4.3 Compensation for Growth
The decent profitability rating of TPH may justify a higher PE ratio.
TPH's earnings are expected to decrease with -16.12% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.26
EPS Next 2Y-16.12%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for TPH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
31.89
+0.25 (+0.79%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners100%
Inst Owner Change-3.29%
Ins Owners2.53%
Ins Owner Change3.64%
Market Cap2.89B
Analysts81.82
Price Target39.95 (25.27%)
Short Float %3.94%
Short Ratio3.31
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)23.48%
Min EPS beat(2)5.38%
Max EPS beat(2)41.57%
EPS beat(4)4
Avg EPS beat(4)17.57%
Min EPS beat(4)5.38%
Max EPS beat(4)41.57%
EPS beat(8)8
Avg EPS beat(8)19.14%
EPS beat(12)12
Avg EPS beat(12)23.35%
EPS beat(16)16
Avg EPS beat(16)22.97%
Revenue beat(2)1
Avg Revenue beat(2)-0.21%
Min Revenue beat(2)-0.53%
Max Revenue beat(2)0.1%
Revenue beat(4)3
Avg Revenue beat(4)2.94%
Min Revenue beat(4)-0.53%
Max Revenue beat(4)6.64%
Revenue beat(8)7
Avg Revenue beat(8)5.63%
Revenue beat(12)11
Avg Revenue beat(12)8.57%
Revenue beat(16)15
Avg Revenue beat(16)7.68%
PT rev (1m)0%
PT rev (3m)-2.08%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-10.42%
EPS NY rev (1m)0%
EPS NY rev (3m)-17.79%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-9.15%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-8.24%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.09 | ||
| Fwd PE | 9.39 | ||
| P/S | 0.67 | ||
| P/FCF | 5.84 | ||
| P/OCF | 5.56 | ||
| P/B | 0.87 | ||
| P/tB | 0.91 | ||
| EV/EBITDA | 5.34 |
EPS(TTM)4.5
EY14.11%
EPS(NY)3.4
Fwd EY10.66%
FCF(TTM)5.46
FCFY17.13%
OCF(TTM)5.74
OCFY17.99%
SpS47.36
BVpS36.64
TBVpS34.91
PEG (NY)N/A
PEG (5Y)0.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.77% | ||
| ROE | 12.73% | ||
| ROCE | 12.45% | ||
| ROIC | 9.27% | ||
| ROICexc | 11.42% | ||
| ROICexgc | 12.25% | ||
| OM | 12.54% | ||
| PM (TTM) | 9.85% | ||
| GM | 23.52% | ||
| FCFM | 11.53% |
ROA(3y)9.52%
ROA(5y)9.28%
ROE(3y)15.16%
ROE(5y)15.46%
ROIC(3y)10.2%
ROIC(5y)10.07%
ROICexc(3y)12.93%
ROICexc(5y)12.56%
ROICexgc(3y)13.88%
ROICexgc(5y)13.51%
ROCE(3y)13.7%
ROCE(5y)13.52%
ROICexcg growth 3Y-4.63%
ROICexcg growth 5Y13.56%
ROICexc growth 3Y-4.66%
ROICexc growth 5Y13.81%
OM growth 3Y-5.72%
OM growth 5Y7.18%
PM growth 3Y-4.72%
PM growth 5Y8.69%
GM growth 3Y-2.33%
GM growth 5Y2.47%
F-Score8
Asset Turnover0.89
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 1.99 | ||
| Debt/EBITDA | 1.73 | ||
| Cap/Depr | 80.4% | ||
| Cap/Sales | 0.58% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 91.33% | ||
| Profit Quality | 117.06% | ||
| Current Ratio | 8.42 | ||
| Quick Ratio | 1.89 | ||
| Altman-Z | 4.29 |
F-Score8
WACC9.55%
ROIC/WACC0.97
Cap/Depr(3y)108.44%
Cap/Depr(5y)98.73%
Cap/Sales(3y)0.73%
Cap/Sales(5y)0.73%
Profit Quality(3y)88.62%
Profit Quality(5y)109.85%
High Growth Momentum
Growth
EPS 1Y (TTM)20%
EPS 3Y5.7%
EPS 5Y26.86%
EPS Q2Q%-32.04%
EPS Next Y-36.73%
EPS Next 2Y-16.12%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)10.83%
Revenue growth 3Y4.1%
Revenue growth 5Y7.82%
Sales Q2Q%-22.99%
Revenue Next Year-21.32%
Revenue Next 2Y-7.92%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y20.21%
EBIT growth 3Y-1.86%
EBIT growth 5Y15.56%
EBIT Next Year-17.75%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-24.79%
FCF growth 3Y19.93%
FCF growth 5Y18.68%
OCF growth 1Y-25.26%
OCF growth 3Y18.39%
OCF growth 5Y17.11%