Turquoise Hill Resources Ltd (TRQ) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TRQ - CA9004352071 - Common Stock
31.41 USD
-0.29 (-0.91%)
31.48 USD
+0.07 (+0.22%)
We assign a fundamental rating of 4 out of 10 to TRQ. TRQ was compared to 156 industry peers in the Metals & Mining industry. TRQ has a medium profitability rating, but doesn't score so well on its financial health evaluation. TRQ shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
- In the past year TRQ was profitable.
- TRQ had a positive operating cash flow in the past year.
1.2 Ratios
- TRQ has a Return On Assets of 3.80%. This is comparable to the rest of the industry: TRQ outperforms 59.86% of its industry peers.
- With a decent Return On Equity value of 6.12%, TRQ is doing good in the industry, outperforming 61.22% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 2.66%, TRQ is in line with its industry, outperforming 50.34% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for TRQ is significantly below the industry average of 10.34%.
- The last Return On Invested Capital (2.66%) for TRQ is above the 3 year average (2.58%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.8% | ||
| ROE | 6.12% | ||
| ROIC | 2.66% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)2.58%
ROIC(5y)N/A
1.3 Margins
- TRQ has a Profit Margin of 32.99%. This is amongst the best in the industry. TRQ outperforms 90.48% of its industry peers.
- TRQ's Profit Margin has improved in the last couple of years.
- TRQ has a better Operating Margin (30.81%) than 85.71% of its industry peers.
- In the last couple of years the Operating Margin of TRQ has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.81% | ||
| PM (TTM) | 32.99% | ||
| GM | N/A |
OM growth 3Y54.65%
OM growth 5Y93.75%
PM growth 3Y-8.57%
PM growth 5Y8.76%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- TRQ has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- TRQ has about the same amout of shares outstanding than it did 1 year ago.
- Compared to 1 year ago, TRQ has an improved debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 0.48, we must say that TRQ is in the distress zone and has some risk of bankruptcy.
- TRQ's Altman-Z score of 0.48 is on the low side compared to the rest of the industry. TRQ is outperformed by 79.59% of its industry peers.
- A Debt/Equity ratio of 0.37 indicates that TRQ is not too dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.37, TRQ is doing worse than 72.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.48 |
ROIC/WACC0.27
WACC9.84%
2.3 Liquidity
- TRQ has a Current Ratio of 0.42. This is a bad value and indicates that TRQ is not financially healthy enough and could expect problems in meeting its short term obligations.
- TRQ's Current ratio of 0.42 is on the low side compared to the rest of the industry. TRQ is outperformed by 95.24% of its industry peers.
- TRQ has a Quick Ratio of 0.42. This is a bad value and indicates that TRQ is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 0.24, TRQ is doing worse than 95.24% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.42 | ||
| Quick Ratio | 0.24 |
3. Growth
3.1 Past
- TRQ shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.49%.
- The Earnings Per Share has been growing by 21.15% on average over the past years. This is a very strong growth
- The Revenue for TRQ has decreased by -11.63% in the past year. This is quite bad
- Measured over the past years, TRQ shows a quite strong growth in Revenue. The Revenue has been growing by 10.37% on average per year.
EPS 1Y (TTM)6.49%
EPS 3Y7.52%
EPS 5Y21.15%
EPS Q2Q%35.29%
Revenue 1Y (TTM)-11.63%
Revenue growth 3Y18.65%
Revenue growth 5Y10.37%
Sales Q2Q%-40.94%
3.2 Future
- Based on estimates for the next years, TRQ will show a very strong growth in Earnings Per Share. The EPS will grow by 37.99% on average per year.
- Based on estimates for the next years, TRQ will show a very strong growth in Revenue. The Revenue will grow by 20.56% on average per year.
EPS Next Y-22.59%
EPS Next 2Y-40.66%
EPS Next 3Y7.83%
EPS Next 5Y37.99%
Revenue Next Year-25.18%
Revenue Next 2Y-22.26%
Revenue Next 3Y3.52%
Revenue Next 5Y20.56%
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 accelerating.
- 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
- TRQ is valuated reasonably with a Price/Earnings ratio of 11.26.
- Based on the Price/Earnings ratio, TRQ is valued a bit cheaper than the industry average as 71.43% of the companies are valued more expensively.
- TRQ's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.32.
- TRQ is valuated quite expensively with a Price/Forward Earnings ratio of 34.17.
- TRQ's Price/Forward Earnings ratio is in line with the industry average.
- TRQ's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 24.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.26 | ||
| Fwd PE | 34.17 |
4.2 Price Multiples
- TRQ's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 14.68 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.53
EPS Next 2Y-40.66%
EPS Next 3Y7.83%
5. Dividend
5.1 Amount
- TRQ does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
31.41
-0.29 (-0.91%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)11-14 2022-11-14/bmo
Earnings (Next)02-28 2023-02-28
Inst Owners0%
Inst Owner Change0%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap6.32B
Revenue(TTM)1.70B
Net Income(TTM)560.78M
Analysts75
Price Target31.86 (1.43%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)41.24%
Min EPS beat(2)20.28%
Max EPS beat(2)62.2%
EPS beat(4)4
Avg EPS beat(4)141.2%
Min EPS beat(4)20.28%
Max EPS beat(4)456.83%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)14.94%
Min Revenue beat(2)0.81%
Max Revenue beat(2)29.08%
Revenue beat(4)3
Avg Revenue beat(4)7.5%
Min Revenue beat(4)-2.45%
Max Revenue beat(4)29.08%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)1.71%
PT rev (3m)N/A
EPS NQ rev (1m)-113.69%
EPS NQ rev (3m)N/A
EPS NY rev (1m)14.53%
EPS NY rev (3m)N/A
Revenue NQ rev (1m)-11.02%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)5.26%
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.26 | ||
| Fwd PE | 34.17 | ||
| P/S | 3.72 | ||
| P/FCF | N/A | ||
| P/OCF | 13.53 | ||
| P/B | 0.69 | ||
| P/tB | 0.69 | ||
| EV/EBITDA | 14.68 |
EPS(TTM)2.79
EY8.88%
EPS(NY)0.92
Fwd EY2.93%
FCF(TTM)-2.94
FCFYN/A
OCF(TTM)2.32
OCFY7.39%
SpS8.45
BVpS45.51
TBVpS45.51
PEG (NY)N/A
PEG (5Y)0.53
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.8% | ||
| ROE | 6.12% | ||
| ROCE | N/A | ||
| ROIC | 2.66% | ||
| ROICexc | 2.7% | ||
| ROICexgc | 2.7% | ||
| OM | 30.81% | ||
| PM (TTM) | 32.99% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)2.58%
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y76.41%
ROICexgc growth 5Y107.27%
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y54.65%
OM growth 5Y93.75%
PM growth 3Y-8.57%
PM growth 5Y8.76%
GM growth 3YN/A
GM growth 5YN/A
F-Score3
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.94 | ||
| Cap/Depr | 605.25% | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.42 | ||
| Quick Ratio | 0.24 | ||
| Altman-Z | 0.48 |
F-Score3
WACC9.84%
ROIC/WACC0.27
Cap/Depr(3y)626.59%
Cap/Depr(5y)559.12%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)6.49%
EPS 3Y7.52%
EPS 5Y21.15%
EPS Q2Q%35.29%
EPS Next Y-22.59%
EPS Next 2Y-40.66%
EPS Next 3Y7.83%
EPS Next 5Y37.99%
Revenue 1Y (TTM)-11.63%
Revenue growth 3Y18.65%
Revenue growth 5Y10.37%
Sales Q2Q%-40.94%
Revenue Next Year-25.18%
Revenue Next 2Y-22.26%
Revenue Next 3Y3.52%
Revenue Next 5Y20.56%
EBIT growth 1Y-46.38%
EBIT growth 3Y83.49%
EBIT growth 5Y113.85%
EBIT Next Year-52.47%
EBIT Next 3Y5.72%
EBIT Next 5Y54.94%
FCF growth 1Y55.2%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y356.43%
OCF growth 3Y47.37%
OCF growth 5Y20.1%
Turquoise Hill Resources Ltd / TRQ FAQ
What is the fundamental rating for TRQ stock?
ChartMill assigns a fundamental rating of 3 / 10 to TRQ.
Can you provide the valuation status for Turquoise Hill Resources Ltd?
ChartMill assigns a valuation rating of 6 / 10 to Turquoise Hill Resources Ltd (TRQ). This can be considered as Fairly Valued.
Can you provide the profitability details for Turquoise Hill Resources Ltd?
Turquoise Hill Resources Ltd (TRQ) has a profitability rating of 2 / 10.
What is the financial health of Turquoise Hill Resources Ltd (TRQ) stock?
The financial health rating of Turquoise Hill Resources Ltd (TRQ) is 0 / 10.
What is the expected EPS growth for Turquoise Hill Resources Ltd (TRQ) stock?
The Earnings per Share (EPS) of Turquoise Hill Resources Ltd (TRQ) is expected to decline by -22.59% in the next year.