THOMSON REUTERS CORP (TRI.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:TRI - CA8849038085 - Common Stock
188.16 CAD
-0.55 (-0.29%)
Overall TRI gets a fundamental rating of 6 out of 10. We evaluated TRI against 6 industry peers in the Professional Services industry. TRI scores excellent on profitability, but there are some minor concerns on its financial health. TRI has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year TRI was profitable.
In the past year TRI had a positive cash flow from operations.
TRI had positive earnings in each of the past 5 years.
In the past 5 years TRI always reported a positive cash flow from operatings.
1.2 Ratios
TRI has a Return On Assets of 9.82%. This is in the better half of the industry: TRI outperforms 66.67% of its industry peers.
TRI has a Return On Equity of 14.91%. This is in the better half of the industry: TRI outperforms 66.67% of its industry peers.
TRI has a better Return On Invested Capital (11.73%) than 66.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TRI is in line with the industry average of 8.92%.
The last Return On Invested Capital (11.73%) for TRI is above the 3 year average (9.36%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.82% | ||
| ROE | 14.91% | ||
| ROIC | 11.73% |
ROA(3y)10.84%
ROA(5y)12.89%
ROE(3y)17.97%
ROE(5y)21.25%
ROIC(3y)9.36%
ROIC(5y)7.9%
1.3 Margins
TRI's Profit Margin of 23.77% is amongst the best of the industry. TRI outperforms 83.33% of its industry peers.
In the last couple of years the Profit Margin of TRI has grown nicely.
TRI has a Operating Margin of 29.45%. This is amongst the best in the industry. TRI outperforms 83.33% of its industry peers.
TRI's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.45% | ||
| PM (TTM) | 23.77% | ||
| GM | N/A |
OM growth 3Y14.62%
OM growth 5Y14.34%
PM growth 3Y-30.27%
PM growth 5Y2.82%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TRI is still creating some value.
TRI has less shares outstanding than it did 1 year ago.
TRI has less shares outstanding than it did 5 years ago.
The debt/assets ratio for TRI has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 7.29 indicates that TRI is not in any danger for bankruptcy at the moment.
TRI has a better Altman-Z score (7.29) than 100.00% of its industry peers.
TRI has a debt to FCF ratio of 1.33. This is a very positive value and a sign of high solvency as it would only need 1.33 years to pay back of all of its debts.
TRI has a better Debt to FCF ratio (1.33) than 83.33% of its industry peers.
A Debt/Equity ratio of 0.16 indicates that TRI is not too dependend on debt financing.
The Debt to Equity ratio of TRI (0.16) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.33 | ||
| Altman-Z | 7.29 |
ROIC/WACC1.54
WACC7.63%
2.3 Liquidity
A Current Ratio of 0.61 indicates that TRI may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.61, TRI is doing worse than 83.33% of the companies in the same industry.
A Quick Ratio of 0.61 indicates that TRI may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.61, TRI is doing worse than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
TRI shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 2.94%.
TRI shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 23.92% yearly.
Looking at the last year, TRI shows a small growth in Revenue. The Revenue has grown by 2.96% in the last year.
TRI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.21% yearly.
EPS 1Y (TTM)2.94%
EPS 3Y24.58%
EPS 5Y23.92%
EPS Q2Q%6.25%
Revenue 1Y (TTM)2.96%
Revenue growth 3Y4.57%
Revenue growth 5Y4.21%
Sales Q2Q%3.36%
3.2 Future
The Earnings Per Share is expected to grow by 10.21% on average over the next years. This is quite good.
Based on estimates for the next years, TRI will show a small growth in Revenue. The Revenue will grow by 7.25% on average per year.
EPS Next Y4.05%
EPS Next 2Y8.58%
EPS Next 3Y10.11%
EPS Next 5Y10.21%
Revenue Next Year3.11%
Revenue Next 2Y5.41%
Revenue Next 3Y6.33%
Revenue Next 5Y7.25%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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 34.72, TRI can be considered very expensive at the moment.
TRI's Price/Earnings ratio is a bit cheaper when compared to the industry. TRI is cheaper than 66.67% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.15. TRI is valued slightly more expensive when compared to this.
Based on the Price/Forward Earnings ratio of 30.05, the valuation of TRI can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TRI indicates a somewhat cheap valuation: TRI is cheaper than 66.67% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of TRI to the average of the S&P500 Index (36.12), we can say TRI is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.72 | ||
| Fwd PE | 30.05 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TRI indicates a somewhat cheap valuation: TRI is cheaper than 66.67% of the companies listed in the same industry.
66.67% of the companies in the same industry are more expensive than TRI, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.61 | ||
| EV/EBITDA | 19.82 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
TRI has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)8.57
PEG (5Y)1.45
EPS Next 2Y8.58%
EPS Next 3Y10.11%
5. Dividend
5.1 Amount
TRI has a Yearly Dividend Yield of 1.58%.
The stock price of TRI dropped by -22.86% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 1.53, TRI pays a better dividend. On top of this TRI pays more dividend than 100.00% of the companies listed in the same industry.
TRI's Dividend Yield is slightly below the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.58% |
5.2 History
On average, the dividend of TRI grows each year by 8.41%, which is quite nice.
TRI has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)8.41%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
TRI pays out 58.13% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of TRI is growing, but earnings are growing more, so the dividend growth is sustainable.
DP58.13%
EPS Next 2Y8.58%
EPS Next 3Y10.11%
TSX:TRI (11/26/2025, 7:00:00 PM)
188.16
-0.55 (-0.29%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners27.54%
Inst Owner ChangeN/A
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap83.70B
Revenue(TTM)7.38B
Net Income(TTM)1.75B
Analysts74
Price Target186.37 (-0.95%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.58% |
Yearly Dividend2.96
Dividend Growth(5Y)8.41%
DP58.13%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.61%
Min EPS beat(2)1.96%
Max EPS beat(2)5.25%
EPS beat(4)4
Avg EPS beat(4)4.37%
Min EPS beat(4)1.96%
Max EPS beat(4)6.03%
EPS beat(8)8
Avg EPS beat(8)6.04%
EPS beat(12)12
Avg EPS beat(12)6.89%
EPS beat(16)15
Avg EPS beat(16)6.69%
Revenue beat(2)0
Avg Revenue beat(2)-1.08%
Min Revenue beat(2)-1.33%
Max Revenue beat(2)-0.83%
Revenue beat(4)0
Avg Revenue beat(4)-1.44%
Min Revenue beat(4)-2.71%
Max Revenue beat(4)-0.83%
Revenue beat(8)1
Avg Revenue beat(8)-1.06%
Revenue beat(12)1
Avg Revenue beat(12)-1.12%
Revenue beat(16)2
Avg Revenue beat(16)-0.97%
PT rev (1m)-3.62%
PT rev (3m)-3.37%
EPS NQ rev (1m)-0.57%
EPS NQ rev (3m)-0.67%
EPS NY rev (1m)-0.22%
EPS NY rev (3m)1.26%
Revenue NQ rev (1m)-1.08%
Revenue NQ rev (3m)-1.08%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.72 | ||
| Fwd PE | 30.05 | ||
| P/S | 8.06 | ||
| P/FCF | 32.61 | ||
| P/OCF | 24.16 | ||
| P/B | 5.05 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.82 |
EPS(TTM)5.42
EY2.88%
EPS(NY)6.26
Fwd EY3.33%
FCF(TTM)5.77
FCFY3.07%
OCF(TTM)7.79
OCFY4.14%
SpS23.36
BVpS37.25
TBVpS-3.02
PEG (NY)8.57
PEG (5Y)1.45
Graham Number67.39
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.82% | ||
| ROE | 14.91% | ||
| ROCE | 15.2% | ||
| ROIC | 11.73% | ||
| ROICexc | 12.21% | ||
| ROICexgc | 127.52% | ||
| OM | 29.45% | ||
| PM (TTM) | 23.77% | ||
| GM | N/A | ||
| FCFM | 24.7% |
ROA(3y)10.84%
ROA(5y)12.89%
ROE(3y)17.97%
ROE(5y)21.25%
ROIC(3y)9.36%
ROIC(5y)7.9%
ROICexc(3y)10.43%
ROICexc(5y)8.83%
ROICexgc(3y)71.36%
ROICexgc(5y)52.66%
ROCE(3y)12.07%
ROCE(5y)10.13%
ROICexgc growth 3Y134.34%
ROICexgc growth 5Y38.62%
ROICexc growth 3Y35.26%
ROICexc growth 5Y18.64%
OM growth 3Y14.62%
OM growth 5Y14.34%
PM growth 3Y-30.27%
PM growth 5Y2.82%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.33 | ||
| Debt/EBITDA | 0.6 | ||
| Cap/Depr | 70.94% | ||
| Cap/Sales | 8.64% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 80.1% | ||
| Profit Quality | 103.94% | ||
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.61 | ||
| Altman-Z | 7.29 |
F-Score6
WACC7.63%
ROIC/WACC1.54
Cap/Depr(3y)77.02%
Cap/Depr(5y)71.59%
Cap/Sales(3y)8.45%
Cap/Sales(5y)8.29%
Profit Quality(3y)83.19%
Profit Quality(5y)76.6%
High Growth Momentum
Growth
EPS 1Y (TTM)2.94%
EPS 3Y24.58%
EPS 5Y23.92%
EPS Q2Q%6.25%
EPS Next Y4.05%
EPS Next 2Y8.58%
EPS Next 3Y10.11%
EPS Next 5Y10.21%
Revenue 1Y (TTM)2.96%
Revenue growth 3Y4.57%
Revenue growth 5Y4.21%
Sales Q2Q%3.36%
Revenue Next Year3.11%
Revenue Next 2Y5.41%
Revenue Next 3Y6.33%
Revenue Next 5Y7.25%
EBIT growth 1Y12.77%
EBIT growth 3Y19.85%
EBIT growth 5Y19.16%
EBIT Next Year39.32%
EBIT Next 3Y19.09%
EBIT Next 5Y15.35%
FCF growth 1Y3.23%
FCF growth 3Y12.89%
FCF growth 5Y56.51%
OCF growth 1Y6.36%
OCF growth 3Y11.49%
OCF growth 5Y28.47%
THOMSON REUTERS CORP / TRI.CA FAQ
What is the fundamental rating for TRI stock?
ChartMill assigns a fundamental rating of 6 / 10 to TRI.CA.
Can you provide the valuation status for THOMSON REUTERS CORP?
ChartMill assigns a valuation rating of 4 / 10 to THOMSON REUTERS CORP (TRI.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for THOMSON REUTERS CORP?
THOMSON REUTERS CORP (TRI.CA) has a profitability rating of 7 / 10.
Can you provide the expected EPS growth for TRI stock?
The Earnings per Share (EPS) of THOMSON REUTERS CORP (TRI.CA) is expected to grow by 4.05% in the next year.
How sustainable is the dividend of THOMSON REUTERS CORP (TRI.CA) stock?
The dividend rating of THOMSON REUTERS CORP (TRI.CA) is 5 / 10 and the dividend payout ratio is 58.13%.