THOMSON REUTERS CORP (TRI.CA) Stock Fundamental Analysis
Canada - TSX:TRI - CA8849038085 - Common Stock
227.55 CAD
-1.09 (-0.48%)
TRI gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 5 industry peers in the Professional Services industry. Both the profitability and the financial health of TRI get a neutral evaluation. Nothing too spectacular is happening here. TRI is quite expensive at the moment. It does show a decent growth rate.
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.
TRI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TRI has a Return On Assets of 9.08%. This is comparable to the rest of the industry: TRI outperforms 60.00% of its industry peers.
TRI has a Return On Equity (12.93%) which is in line with its industry peers.
With a Return On Invested Capital value of 11.24%, TRI perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for TRI is in line with the industry average of 8.70%.
The last Return On Invested Capital (11.24%) for TRI is above the 3 year average (9.36%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.08% | ||
| ROE | 12.93% | ||
| ROIC | 11.24% |
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 has a Profit Margin of 22.29%. This is in the better half of the industry: TRI outperforms 80.00% of its industry peers.
In the last couple of years the Profit Margin of TRI has grown nicely.
TRI's Operating Margin of 29.38% is fine compared to the rest of the industry. TRI outperforms 80.00% of its industry peers.
In the last couple of years the Operating Margin of TRI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.38% | ||
| PM (TTM) | 22.29% | ||
| 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), TRI is 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 9.74 indicates that TRI is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 9.74, TRI belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
TRI has a debt to FCF ratio of 1.11. This is a very positive value and a sign of high solvency as it would only need 1.11 years to pay back of all of its debts.
TRI has a Debt to FCF ratio of 1.11. This is in the better half of the industry: TRI outperforms 80.00% of its industry peers.
TRI has a Debt/Equity ratio of 0.12. This is a healthy value indicating a solid balance between debt and equity.
TRI has a Debt to Equity ratio (0.12) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 1.11 | ||
| Altman-Z | 9.74 |
ROIC/WACC1.45
WACC7.75%
2.3 Liquidity
A Current Ratio of 0.79 indicates that TRI may have some problems paying its short term obligations.
TRI's Current ratio of 0.79 is on the low side compared to the rest of the industry. TRI is outperformed by 80.00% of its industry peers.
TRI has a Quick Ratio of 0.79. This is a bad value and indicates that TRI is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.79, TRI is not doing good in the industry: 80.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.79 |
3. Growth
3.1 Past
TRI shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.06%.
TRI shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 23.92% yearly.
The Revenue has been growing slightly by 4.04% in the past 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)1.06%
EPS 3Y24.58%
EPS 5Y23.92%
EPS Q2Q%2.35%
Revenue 1Y (TTM)4.04%
Revenue growth 3Y4.57%
Revenue growth 5Y4.21%
Sales Q2Q%2.59%
3.2 Future
The Earnings Per Share is expected to grow by 10.54% on average over the next years. This is quite good.
TRI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.65% yearly.
EPS Next Y4.28%
EPS Next 2Y8.51%
EPS Next 3Y10.01%
EPS Next 5Y10.54%
Revenue Next Year3.11%
Revenue Next 2Y5.41%
Revenue Next 3Y6.32%
Revenue Next 5Y7.65%
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.
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
TRI is valuated quite expensively with a Price/Earnings ratio of 42.69.
TRI's Price/Earnings ratio is a bit more expensive when compared to the industry. TRI is more expensive than 60.00% of the companies in the same industry.
TRI is valuated expensively when we compare the Price/Earnings ratio to 26.89, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 36.55 indicates a quite expensive valuation of TRI.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TRI is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 22.99. TRI is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.69 | ||
| Fwd PE | 36.55 |
4.2 Price Multiples
TRI's Enterprise Value to EBITDA ratio is in line with the industry average.
TRI's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 38.75 | ||
| EV/EBITDA | 24.72 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of TRI may justify a higher PE ratio.
PEG (NY)9.98
PEG (5Y)1.78
EPS Next 2Y8.51%
EPS Next 3Y10.01%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.28%, TRI has a reasonable but not impressive dividend return.
TRI's Dividend Yield is a higher than the industry average which is at 1.33.
With a Dividend Yield of 1.28, TRI pays less dividend than the S&P500 average, which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.28% |
5.2 History
The dividend of TRI is nicely growing with an annual growth rate of 8.41%!
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 61.01% of its income as dividend. This is not a sustainable payout ratio.
TRI's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP61.01%
EPS Next 2Y8.51%
EPS Next 3Y10.01%
TSX:TRI (10/24/2025, 7:00:00 PM)
227.55
-1.09 (-0.48%)
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 Cap102.55B
Revenue(TTM)7.32B
Net Income(TTM)1.63B
Analysts70
Price Target193.37 (-15.02%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.28% |
Yearly Dividend2.95
Dividend Growth(5Y)8.41%
DP61.01%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.64%
Min EPS beat(2)5.25%
Max EPS beat(2)6.03%
EPS beat(4)4
Avg EPS beat(4)5%
Min EPS beat(4)4.26%
Max EPS beat(4)6.03%
EPS beat(8)8
Avg EPS beat(8)7.66%
EPS beat(12)12
Avg EPS beat(12)7.79%
EPS beat(16)15
Avg EPS beat(16)7.73%
Revenue beat(2)0
Avg Revenue beat(2)-2.02%
Min Revenue beat(2)-2.71%
Max Revenue beat(2)-1.33%
Revenue beat(4)0
Avg Revenue beat(4)-1.32%
Min Revenue beat(4)-2.71%
Max Revenue beat(4)-0.35%
Revenue beat(8)1
Avg Revenue beat(8)-1.21%
Revenue beat(12)1
Avg Revenue beat(12)-1.22%
Revenue beat(16)3
Avg Revenue beat(16)-0.87%
PT rev (1m)0%
PT rev (3m)1.2%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.79%
EPS NY rev (1m)0%
EPS NY rev (3m)1.47%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.11%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.69 | ||
| Fwd PE | 36.55 | ||
| P/S | 9.99 | ||
| P/FCF | 38.75 | ||
| P/OCF | 29.12 | ||
| P/B | 5.8 | ||
| P/tB | 6647.44 | ||
| EV/EBITDA | 24.72 |
EPS(TTM)5.33
EY2.34%
EPS(NY)6.23
Fwd EY2.74%
FCF(TTM)5.87
FCFY2.58%
OCF(TTM)7.81
OCFY3.43%
SpS22.77
BVpS39.26
TBVpS0.03
PEG (NY)9.98
PEG (5Y)1.78
Graham Number68.62
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.08% | ||
| ROE | 12.93% | ||
| ROCE | 14.23% | ||
| ROIC | 11.24% | ||
| ROICexc | 11.71% | ||
| ROICexgc | 89.28% | ||
| OM | 29.38% | ||
| PM (TTM) | 22.29% | ||
| GM | N/A | ||
| FCFM | 25.79% |
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-Score5
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 1.11 | ||
| Debt/EBITDA | 0.51 | ||
| Cap/Depr | 72.06% | ||
| Cap/Sales | 8.53% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 83.26% | ||
| Profit Quality | 115.7% | ||
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.79 | ||
| Altman-Z | 9.74 |
F-Score5
WACC7.75%
ROIC/WACC1.45
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)1.06%
EPS 3Y24.58%
EPS 5Y23.92%
EPS Q2Q%2.35%
EPS Next Y4.28%
EPS Next 2Y8.51%
EPS Next 3Y10.01%
EPS Next 5Y10.54%
Revenue 1Y (TTM)4.04%
Revenue growth 3Y4.57%
Revenue growth 5Y4.21%
Sales Q2Q%2.59%
Revenue Next Year3.11%
Revenue Next 2Y5.41%
Revenue Next 3Y6.32%
Revenue Next 5Y7.65%
EBIT growth 1Y10.48%
EBIT growth 3Y19.85%
EBIT growth 5Y19.16%
EBIT Next Year39.32%
EBIT Next 3Y19.09%
EBIT Next 5Y15.16%
FCF growth 1Y16.84%
FCF growth 3Y12.89%
FCF growth 5Y56.51%
OCF growth 1Y15.77%
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 3 / 10 to THOMSON REUTERS CORP (TRI.CA). This can be considered as Overvalued.
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 4.28% 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 61.01%.