Triton International Ltd (TRTN) Fundamental Analysis & Valuation

NYSE:TRTN • BMG9078F1077

79.55 USD
-3.4 (-4.1%)
At close: Sep 27, 2023
81.57 USD
+2.02 (+2.54%)
After Hours: 9/27/2023, 8:04:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership News

This TRTN fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

5

Overall TRTN gets a fundamental rating of 5 out of 10. We evaluated TRTN against 46 industry peers in the Trading Companies & Distributors industry. TRTN has only an average score on both its financial health and profitability. TRTN is valued quite cheap, but it does not seem to be growing. TRTN also has an excellent dividend rating. This makes TRTN very considerable for value and dividend investing!


Dividend Valuation Growth Profitability Health

6

1. TRTN Profitability Analysis

1.1 Basic Checks

  • TRTN had positive earnings in the past year.
  • TRTN had a positive operating cash flow in the past year.
TRTN Yearly Net Income VS EBIT VS OCF VS FCFTRTN Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 0 1B -1B -2B

1.2 Ratios

  • TRTN has a Return On Assets (5.08%) which is in line with its industry peers.
  • Looking at the Return On Equity, with a value of 18.18%, TRTN is in the better half of the industry, outperforming 61.11% of the companies in the same industry.
  • TRTN has a Return On Invested Capital (6.77%) which is comparable to the rest of the industry.
  • The Average Return On Invested Capital over the past 3 years for TRTN is below the industry average of 9.05%.
  • The 3 year average ROIC (6.38%) for TRTN is below the current ROIC(6.77%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 5.08%
ROE 18.18%
ROIC 6.77%
ROA(3y)4.18%
ROA(5y)3.89%
ROE(3y)16.24%
ROE(5y)15.6%
ROIC(3y)6.38%
ROIC(5y)6.37%
TRTN Yearly ROA, ROE, ROICTRTN Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 0 5 10 15 20

1.3 Margins

  • TRTN's Profit Margin of 34.24% is amongst the best of the industry. TRTN outperforms 100.00% of its industry peers.
  • In the last couple of years the Profit Margin of TRTN has grown nicely.
  • TRTN has a better Operating Margin (49.59%) than 94.44% of its industry peers.
  • TRTN's Operating Margin has improved in the last couple of years.
  • Looking at the Gross Margin, with a value of 89.66%, TRTN belongs to the top of the industry, outperforming 98.15% of the companies in the same industry.
  • TRTN's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 49.59%
PM (TTM) 34.24%
GM 89.66%
OM growth 3Y2.76%
OM growth 5Y3.52%
PM growth 3Y17.09%
PM growth 5Y5.79%
GM growth 3Y0.31%
GM growth 5Y-0.34%
TRTN Yearly Profit, Operating, Gross MarginsTRTN Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 0 20 40 60 80

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ROAROEROICOperating and Profit MarginShow most profitable peers

5

2. TRTN Health Analysis

2.1 Basic Checks

  • TRTN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
  • Compared to 1 year ago, TRTN has less shares outstanding
  • Compared to 1 year ago, TRTN has an improved debt to assets ratio.
TRTN Yearly Shares OutstandingTRTN Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 20M 40M 60M 80M
TRTN Yearly Total Debt VS Total AssetsTRTN Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2B 4B 6B 8B 10B

2.2 Solvency

  • Based on the Altman-Z score of 1.05, we must say that TRTN is in the distress zone and has some risk of bankruptcy.
  • Looking at the Altman-Z score, with a value of 1.05, TRTN is doing worse than 75.93% of the companies in the same industry.
  • The Debt to FCF ratio of TRTN is 6.67, which is on the high side as it means it would take TRTN, 6.67 years of fcf income to pay off all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 6.67, TRTN is in line with its industry, outperforming 59.26% of the companies in the same industry.
  • A Debt/Equity ratio of 2.33 is on the high side and indicates that TRTN has dependencies on debt financing.
  • The Debt to Equity ratio of TRTN (2.33) is worse than 72.22% of its industry peers.
Industry RankSector Rank
Debt/Equity 2.33
Debt/FCF 6.67
Altman-Z 1.05
ROIC/WACC1
WACC6.77%
TRTN Yearly LT Debt VS Equity VS FCFTRTN Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 0 2B -2B 4B 6B 8B

2.3 Liquidity

  • A Current Ratio of 3.23 indicates that TRTN has no problem at all paying its short term obligations.
  • Looking at the Current ratio, with a value of 3.23, TRTN belongs to the top of the industry, outperforming 87.04% of the companies in the same industry.
  • A Quick Ratio of 3.23 indicates that TRTN has no problem at all paying its short term obligations.
  • Looking at the Quick ratio, with a value of 3.23, TRTN belongs to the top of the industry, outperforming 94.44% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 3.23
Quick Ratio 3.23
TRTN Yearly Current Assets VS Current LiabilitesTRTN Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 100M 200M 300M 400M 500M

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

3

3. TRTN Growth Analysis

3.1 Past

  • The earnings per share for TRTN have decreased by -3.15% in the last year.
  • TRTN shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 32.52% yearly.
  • TRTN shows a decrease in Revenue. In the last year, the revenue decreased by -4.70%.
  • The Revenue has been growing by 8.76% on average over the past years. This is quite good.
EPS 1Y (TTM)-3.15%
EPS 3Y35.7%
EPS 5Y32.52%
EPS Q2Q%-18.49%
Revenue 1Y (TTM)-4.7%
Revenue growth 3Y8.49%
Revenue growth 5Y8.76%
Sales Q2Q%-12.08%

3.2 Future

  • TRTN is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -6.20% yearly.
  • TRTN is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -3.13% yearly.
EPS Next Y-14.94%
EPS Next 2Y-6.2%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-7.68%
Revenue Next 2Y-3.13%
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.
  • 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.
TRTN Yearly Revenue VS EstimatesTRTN Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B
TRTN Yearly EPS VS EstimatesTRTN Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2 4 6 8 10

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Find the best growth stocksShow best growing peers

8

4. TRTN Valuation Analysis

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 7.62 indicates a rather cheap valuation of TRTN.
  • Based on the Price/Earnings ratio, TRTN is valued cheaply inside the industry as 83.33% of the companies are valued more expensively.
  • The average S&P500 Price/Earnings ratio is at 26.45. TRTN is valued rather cheaply when compared to this.
  • A Price/Forward Earnings ratio of 7.99 indicates a rather cheap valuation of TRTN.
  • TRTN's Price/Forward Earnings ratio is rather cheap when compared to the industry. TRTN is cheaper than 83.33% of the companies in the same industry.
  • TRTN is valuated cheaply when we compare the Price/Forward Earnings ratio to 24.65, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 7.62
Fwd PE 7.99
TRTN Price Earnings VS Forward Price EarningsTRTN Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • 61.11% of the companies in the same industry are more expensive than TRTN, based on the Enterprise Value to EBITDA ratio.
  • 90.74% of the companies in the same industry are more expensive than TRTN, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 3.83
EV/EBITDA 8.13
TRTN Per share dataTRTN EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30 40 50

4.3 Compensation for Growth

  • TRTN has a very decent profitability rating, which may justify a higher PE ratio.
  • A cheap valuation may be justified as TRTN's earnings are expected to decrease with -6.20% in the coming years.
PEG (NY)N/A
PEG (5Y)0.23
EPS Next 2Y-6.2%
EPS Next 3YN/A

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

7

5. TRTN Dividend Analysis

5.1 Amount

  • TRTN has a Yearly Dividend Yield of 3.52%.
  • Compared to an average industry Dividend Yield of 1.04, TRTN pays a better dividend. On top of this TRTN pays more dividend than 100.00% of the companies listed in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.82, TRTN pays a better dividend.
Industry RankSector Rank
Dividend Yield 3.52%

5.2 History

  • On average, the dividend of TRTN grows each year by 14.82%, which is quite nice.
  • TRTN has been paying a dividend for over 5 years, so it has already some track record.
  • TRTN has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)14.82%
Div Incr Years6
Div Non Decr Years6
TRTN Yearly Dividends per shareTRTN Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 0.5 1 1.5 2 2.5

5.3 Sustainability

  • TRTN pays out 35.09% of its income as dividend. This is a sustainable payout ratio.
DP35.09%
EPS Next 2Y-6.2%
EPS Next 3YN/A
TRTN Yearly Income VS Free CF VS DividendTRTN Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 0 500M -500M -1B -1.5B -2B
TRTN Dividend Payout.TRTN Dividend Payout, showing the Payout Ratio.TRTN Dividend Payout.PayoutRetained Earnings

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Find the best dividend stocksShow peers with best dividend

TRTN Fundamentals: All Metrics, Ratios and Statistics

Triton International Ltd

NYSE:TRTN (9/27/2023, 8:04:00 PM)

After market: 81.57 +2.02 (+2.54%)

79.55

-3.4 (-4.1%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)08-01
Earnings (Next)10-30
Inst Owners0%
Inst Owner Change0%
Ins Owners49.07%
Ins Owner Change0%
Market Cap4.38B
Revenue(TTM)1.74B
Net Income(TTM)594.51M
Analysts77.78
Price Target81.35 (2.26%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 3.52%
Yearly Dividend3.49
Dividend Growth(5Y)14.82%
DP35.09%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.05%
Min EPS beat(2)-0.23%
Max EPS beat(2)2.32%
EPS beat(4)3
Avg EPS beat(4)1.05%
Min EPS beat(4)-0.23%
Max EPS beat(4)2.32%
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)2.47%
Min Revenue beat(2)2.03%
Max Revenue beat(2)2.91%
Revenue beat(4)4
Avg Revenue beat(4)4.11%
Min Revenue beat(4)1.94%
Max Revenue beat(4)9.56%
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)0%
PT rev (3m)-0.31%
EPS NQ rev (1m)-0.29%
EPS NQ rev (3m)-1.47%
EPS NY rev (1m)0.14%
EPS NY rev (3m)0.17%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.97%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-4%
Valuation
Industry RankSector Rank
PE 7.62
Fwd PE 7.99
P/S 2.52
P/FCF 3.83
P/OCF 3.01
P/B 1.34
P/tB 1.45
EV/EBITDA 8.13
EPS(TTM)10.44
EY13.12%
EPS(NY)9.96
Fwd EY12.52%
FCF(TTM)20.75
FCFY26.08%
OCF(TTM)26.43
OCFY33.22%
SpS31.54
BVpS59.39
TBVpS55.02
PEG (NY)N/A
PEG (5Y)0.23
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 5.08%
ROE 18.18%
ROCE 7.42%
ROIC 6.77%
ROICexc 6.81%
ROICexgc 7.05%
OM 49.59%
PM (TTM) 34.24%
GM 89.66%
FCFM 65.79%
ROA(3y)4.18%
ROA(5y)3.89%
ROE(3y)16.24%
ROE(5y)15.6%
ROIC(3y)6.38%
ROIC(5y)6.37%
ROICexc(3y)6.42%
ROICexc(5y)6.41%
ROICexgc(3y)6.63%
ROICexgc(5y)6.63%
ROCE(3y)6.98%
ROCE(5y)6.97%
ROICexgc growth 3Y2.96%
ROICexgc growth 5Y6.52%
ROICexc growth 3Y3.08%
ROICexc growth 5Y6.88%
OM growth 3Y2.76%
OM growth 5Y3.52%
PM growth 3Y17.09%
PM growth 5Y5.79%
GM growth 3Y0.31%
GM growth 5Y-0.34%
F-Score7
Asset Turnover0.15
Health
Industry RankSector Rank
Debt/Equity 2.33
Debt/FCF 6.67
Debt/EBITDA 5.19
Cap/Depr 51.36%
Cap/Sales 18%
Interest Coverage 3.79
Cash Conversion 99.01%
Profit Quality 192.17%
Current Ratio 3.23
Quick Ratio 3.23
Altman-Z 1.05
F-Score7
WACC6.77%
ROIC/WACC1
Cap/Depr(3y)278.08%
Cap/Depr(5y)234.64%
Cap/Sales(3y)103.27%
Cap/Sales(5y)87.69%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-3.15%
EPS 3Y35.7%
EPS 5Y32.52%
EPS Q2Q%-18.49%
EPS Next Y-14.94%
EPS Next 2Y-6.2%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-4.7%
Revenue growth 3Y8.49%
Revenue growth 5Y8.76%
Sales Q2Q%-12.08%
Revenue Next Year-7.68%
Revenue Next 2Y-3.13%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-5.88%
EBIT growth 3Y11.49%
EBIT growth 5Y12.59%
EBIT Next Year38.12%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y203.71%
FCF growth 3Y4.65%
FCF growth 5YN/A
OCF growth 1Y27.58%
OCF growth 3Y21.08%
OCF growth 5Y16.79%

Triton International Ltd / TRTN FAQ

What is the fundamental rating for TRTN stock?

ChartMill assigns a fundamental rating of 6 / 10 to TRTN.


Can you provide the valuation status for Triton International Ltd?

ChartMill assigns a valuation rating of 8 / 10 to Triton International Ltd (TRTN). This can be considered as Undervalued.


What is the profitability of TRTN stock?

Triton International Ltd (TRTN) has a profitability rating of 7 / 10.


What is the financial health of Triton International Ltd (TRTN) stock?

The financial health rating of Triton International Ltd (TRTN) is 5 / 10.


Can you provide the dividend sustainability for TRTN stock?

The dividend rating of Triton International Ltd (TRTN) is 6 / 10 and the dividend payout ratio is 35.09%.