TEMPUR SEALY INTERNATIONAL I (TPX) Stock Fundamental Analysis

NYSE:TPX • US88023U1016

68.78 USD
+0.34 (+0.5%)
At close: Feb 14, 2025
68.78 USD
0 (0%)
After Hours: 2/14/2025, 8:08:37 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

5

Overall TPX gets a fundamental rating of 5 out of 10. We evaluated TPX against 60 industry peers in the Household Durables industry. While TPX has a great profitability rating, there are some minor concerns on its financial health. TPX is valied quite expensively at the moment, while it does show a decent growth rate.


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

  • TPX had positive earnings in the past year.
  • TPX had a positive operating cash flow in the past year.
  • TPX had positive earnings in each of the past 5 years.
  • In the past 5 years TPX always reported a positive cash flow from operatings.
TPX Yearly Net Income VS EBIT VS OCF VS FCFTPX Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 200M 400M 600M 800M

1.2 Ratios

  • TPX has a better Return On Assets (8.53%) than 64.62% of its industry peers.
  • TPX's Return On Equity of 69.00% is amongst the best of the industry. TPX outperforms 98.46% of its industry peers.
  • TPX has a Return On Invested Capital of 13.89%. This is in the better half of the industry: TPX outperforms 78.46% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for TPX is significantly above the industry average of 9.17%.
Industry RankSector Rank
ROA 8.53%
ROE 69%
ROIC 13.89%
ROA(3y)10.99%
ROA(5y)9.94%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)16.57%
ROIC(5y)15.91%
TPX Yearly ROA, ROE, ROICTPX Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 0 -500 -1K -1.5K -2K

1.3 Margins

  • TPX has a better Profit Margin (7.96%) than 64.62% of its industry peers.
  • In the last couple of years the Profit Margin of TPX has grown nicely.
  • Looking at the Operating Margin, with a value of 12.81%, TPX is in the better half of the industry, outperforming 72.31% of the companies in the same industry.
  • In the last couple of years the Operating Margin of TPX has grown nicely.
  • Looking at the Gross Margin, with a value of 44.51%, TPX belongs to the top of the industry, outperforming 84.62% of the companies in the same industry.
  • In the last couple of years the Gross Margin of TPX has remained more or less at the same level.
Industry RankSector Rank
OM 12.81%
PM (TTM) 7.96%
GM 44.51%
OM growth 3Y-4.89%
OM growth 5Y3.81%
PM growth 3Y-7.64%
PM growth 5Y14.98%
GM growth 3Y-0.86%
GM growth 5Y0.37%
TPX Yearly Profit, Operating, Gross MarginsTPX Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 10 20 30 40

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ROAROEROICOperating and Profit MarginShow most profitable peers

4

2. Health

2.1 Basic Checks

  • TPX has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
  • Compared to 1 year ago, TPX has more shares outstanding
  • Compared to 1 year ago, TPX has an improved debt to assets ratio.
TPX Yearly Shares OutstandingTPX Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 50M 100M 150M 200M
TPX Yearly Total Debt VS Total AssetsTPX Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 1B 2B 3B 4B

2.2 Solvency

  • An Altman-Z score of 4.78 indicates that TPX is not in any danger for bankruptcy at the moment.
  • TPX has a Altman-Z score of 4.78. This is in the better half of the industry: TPX outperforms 75.38% of its industry peers.
  • TPX has a debt to FCF ratio of 4.37. This is a neutral value as TPX would need 4.37 years to pay back of all of its debts.
  • TPX has a Debt to FCF ratio of 4.37. This is in the better half of the industry: TPX outperforms 61.54% of its industry peers.
  • A Debt/Equity ratio of 3.95 is on the high side and indicates that TPX has dependencies on debt financing.
  • TPX has a worse Debt to Equity ratio (3.95) than 95.38% of its industry peers.
Industry RankSector Rank
Debt/Equity 3.95
Debt/FCF 4.37
Altman-Z 4.78
ROIC/WACC1.55
WACC8.99%
TPX Yearly LT Debt VS Equity VS FCFTPX Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 0 500M 1B 1.5B 2B 2.5B

2.3 Liquidity

  • A Current Ratio of 1.14 indicates that TPX should not have too much problems paying its short term obligations.
  • The Current ratio of TPX (1.14) is worse than 87.69% of its industry peers.
  • A Quick Ratio of 0.65 indicates that TPX may have some problems paying its short term obligations.
  • Looking at the Quick ratio, with a value of 0.65, TPX is doing worse than 67.69% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.14
Quick Ratio 0.65
TPX Yearly Current Assets VS Current LiabilitesTPX Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 200M 400M 600M 800M 1B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. Growth

3.1 Past

  • The Earnings Per Share has been growing slightly by 2.48% over the past year.
  • The Earnings Per Share has been growing by 27.51% on average over the past years. This is a very strong growth
  • TPX shows a decrease in Revenue. In the last year, the revenue decreased by -0.99%.
  • Measured over the past years, TPX shows a quite strong growth in Revenue. The Revenue has been growing by 12.75% on average per year.
EPS 1Y (TTM)2.48%
EPS 3Y8.06%
EPS 5Y27.51%
EPS Q2Q%6.49%
Revenue 1Y (TTM)-0.99%
Revenue growth 3Y10.24%
Revenue growth 5Y12.75%
Sales Q2Q%1.79%

3.2 Future

  • TPX is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.18% yearly.
  • The Revenue is expected to grow by 3.48% on average over the next years.
EPS Next Y5.53%
EPS Next 2Y9.65%
EPS Next 3Y10.26%
EPS Next 5Y10.18%
Revenue Next Year-0.52%
Revenue Next 2Y1.88%
Revenue Next 3Y2.85%
Revenue Next 5Y3.48%

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.
TPX Yearly Revenue VS EstimatesTPX Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 1B 2B 3B 4B 5B
TPX Yearly EPS VS EstimatesTPX Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 1 2 3

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2

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 27.73 indicates a quite expensive valuation of TPX.
  • TPX's Price/Earnings ratio is a bit more expensive when compared to the industry. TPX is more expensive than 61.54% of the companies in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 27.10, TPX is valued at the same level.
  • Based on the Price/Forward Earnings ratio of 23.74, the valuation of TPX can be described as rather expensive.
  • Based on the Price/Forward Earnings ratio, TPX is valued a bit more expensive than 70.77% of the companies in the same industry.
  • When comparing the Price/Forward Earnings ratio of TPX to the average of the S&P500 Index (28.06), we can say TPX is valued inline with the index average.
Industry RankSector Rank
PE 27.73
Fwd PE 23.74
TPX Price Earnings VS Forward Price EarningsTPX Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TPX indicates a slightly more expensive valuation: TPX is more expensive than 64.62% of the companies listed in the same industry.
  • TPX's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 27.49
EV/EBITDA 20.99
TPX Per share dataTPX EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 -5 10 15 20

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TPX does not grow enough to justify the current Price/Earnings ratio.
  • The excellent profitability rating of TPX may justify a higher PE ratio.
PEG (NY)5.02
PEG (5Y)1.01
EPS Next 2Y9.65%
EPS Next 3Y10.26%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

4

5. Dividend

5.1 Amount

  • TPX has a yearly dividend return of 0.76%, which is pretty low.
  • Compared to an average industry Dividend Yield of 1.16, TPX pays a bit more dividend than its industry peers.
  • With a Dividend Yield of 0.76, TPX pays less dividend than the S&P500 average, which is at 1.80.
Industry RankSector Rank
Dividend Yield 0.76%

5.2 History

  • The dividend of TPX is nicely growing with an annual growth rate of 43.15%!
  • TPX has been paying a dividend for over 5 years, so it has already some track record.
  • TPX has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)43.15%
Div Incr Years3
Div Non Decr Years3
TPX Yearly Dividends per shareTPX Yearly Dividends per shareYearly Dividends per share 2021 2022 2023 2024 0.1 0.2 0.3 0.4 0.5

5.3 Sustainability

  • 22.85% of the earnings are spent on dividend by TPX. This is a low number and sustainable payout ratio.
  • TPX's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP22.85%
EPS Next 2Y9.65%
EPS Next 3Y10.26%
TPX Yearly Income VS Free CF VS DividendTPX Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 200M 400M 600M
TPX Dividend Payout.TPX Dividend Payout, showing the Payout Ratio.TPX Dividend Payout.PayoutRetained Earnings

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TEMPUR SEALY INTERNATIONAL I

NYSE:TPX (2/14/2025, 8:08:37 PM)

After market: 68.78 0 (0%)

68.78

+0.34 (+0.5%)

Chartmill FA Rating
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)02-20
Earnings (Next)08-04
Inst Owners81.34%
Inst Owner Change-4.44%
Ins Owners2.78%
Ins Owner Change0%
Market Cap14.30B
Revenue(TTM)4.89B
Net Income(TTM)389.50M
Analysts78.57
Price Target75.99 (10.48%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 0.76%
Yearly Dividend0.45
Dividend Growth(5Y)43.15%
DP22.85%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.83%
Min EPS beat(2)-2.2%
Max EPS beat(2)0.54%
EPS beat(4)2
Avg EPS beat(4)-0.68%
Min EPS beat(4)-3.54%
Max EPS beat(4)2.49%
EPS beat(8)5
Avg EPS beat(8)-0.12%
EPS beat(12)7
Avg EPS beat(12)0.28%
EPS beat(16)11
Avg EPS beat(16)5.84%
Revenue beat(2)0
Avg Revenue beat(2)-2.26%
Min Revenue beat(2)-4.45%
Max Revenue beat(2)-0.08%
Revenue beat(4)0
Avg Revenue beat(4)-2.17%
Min Revenue beat(4)-4.45%
Max Revenue beat(4)-0.08%
Revenue beat(8)1
Avg Revenue beat(8)-1.99%
Revenue beat(12)2
Avg Revenue beat(12)-2.35%
Revenue beat(16)6
Avg Revenue beat(16)-1.12%
PT rev (1m)20.65%
PT rev (3m)20.65%
EPS NQ rev (1m)0.53%
EPS NQ rev (3m)0.53%
EPS NY rev (1m)0.2%
EPS NY rev (3m)-0.2%
Revenue NQ rev (1m)0.42%
Revenue NQ rev (3m)0.42%
Revenue NY rev (1m)0.06%
Revenue NY rev (3m)-0.9%
Valuation
Industry RankSector Rank
PE 27.73
Fwd PE 23.74
P/S 2.92
P/FCF 27.49
P/OCF 22.75
P/B 25.32
P/tB N/A
EV/EBITDA 20.99
EPS(TTM)2.48
EY3.61%
EPS(NY)2.9
Fwd EY4.21%
FCF(TTM)2.5
FCFY3.64%
OCF(TTM)3.02
OCFY4.4%
SpS23.54
BVpS2.72
TBVpS-6
PEG (NY)5.02
PEG (5Y)1.01
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 8.53%
ROE 69%
ROCE 17.63%
ROIC 13.89%
ROICexc 14.31%
ROICexgc 30.12%
OM 12.81%
PM (TTM) 7.96%
GM 44.51%
FCFM 10.63%
ROA(3y)10.99%
ROA(5y)9.94%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)16.57%
ROIC(5y)15.91%
ROICexc(3y)17.49%
ROICexc(5y)16.63%
ROICexgc(3y)41.15%
ROICexgc(5y)40.69%
ROCE(3y)21.04%
ROCE(5y)20.19%
ROICexgc growth 3Y-17.23%
ROICexgc growth 5Y-4.88%
ROICexc growth 3Y-9.87%
ROICexc growth 5Y4.24%
OM growth 3Y-4.89%
OM growth 5Y3.81%
PM growth 3Y-7.64%
PM growth 5Y14.98%
GM growth 3Y-0.86%
GM growth 5Y0.37%
F-Score6
Asset Turnover1.07
Health
Industry RankSector Rank
Debt/Equity 3.95
Debt/FCF 4.37
Debt/EBITDA 2.84
Cap/Depr 68.85%
Cap/Sales 2.22%
Interest Coverage 4.41
Cash Conversion 80.1%
Profit Quality 133.5%
Current Ratio 1.14
Quick Ratio 0.65
Altman-Z 4.78
F-Score6
WACC8.99%
ROIC/WACC1.55
Cap/Depr(3y)162.37%
Cap/Depr(5y)139.8%
Cap/Sales(3y)4.16%
Cap/Sales(5y)3.67%
Profit Quality(3y)72.09%
Profit Quality(5y)98.13%
High Growth Momentum
Growth
EPS 1Y (TTM)2.48%
EPS 3Y8.06%
EPS 5Y27.51%
EPS Q2Q%6.49%
EPS Next Y5.53%
EPS Next 2Y9.65%
EPS Next 3Y10.26%
EPS Next 5Y10.18%
Revenue 1Y (TTM)-0.99%
Revenue growth 3Y10.24%
Revenue growth 5Y12.75%
Sales Q2Q%1.79%
Revenue Next Year-0.52%
Revenue Next 2Y1.88%
Revenue Next 3Y2.85%
Revenue Next 5Y3.48%
EBIT growth 1Y0.82%
EBIT growth 3Y4.84%
EBIT growth 5Y17.05%
EBIT Next Year30.06%
EBIT Next 3Y15%
EBIT Next 5Y11.43%
FCF growth 1Y244.37%
FCF growth 3Y-10.88%
FCF growth 5Y28.58%
OCF growth 1Y53.97%
OCF growth 3Y-4.51%
OCF growth 5Y25.51%

TEMPUR SEALY INTERNATIONAL I / TPX FAQ

Can you provide the ChartMill fundamental rating for TEMPUR SEALY INTERNATIONAL I?

ChartMill assigns a fundamental rating of 5 / 10 to TPX.


What is the valuation status for TPX stock?

ChartMill assigns a valuation rating of 2 / 10 to TEMPUR SEALY INTERNATIONAL I (TPX). This can be considered as Overvalued.


Can you provide the profitability details for TEMPUR SEALY INTERNATIONAL I?

TEMPUR SEALY INTERNATIONAL I (TPX) has a profitability rating of 8 / 10.


Can you provide the expected EPS growth for TPX stock?

The Earnings per Share (EPS) of TEMPUR SEALY INTERNATIONAL I (TPX) is expected to grow by 5.53% in the next year.


Can you provide the dividend sustainability for TPX stock?

The dividend rating of TEMPUR SEALY INTERNATIONAL I (TPX) is 4 / 10 and the dividend payout ratio is 22.85%.