TENARIS SA-ADR (TS) Stock Fundamental Analysis
USA - NYSE:TS - US88031M1099 - ADR
35.79 USD
-0.9 (-2.45%)
35.79 USD
0 (0%)
TS gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 60 industry peers in the Energy Equipment & Services industry. TS scores excellent points on both the profitability and health parts. This is a solid base for a good stock. TS has a bad growth rate and is valued cheaply. TS also has an excellent dividend rating. This makes TS very considerable for value and dividend investing!
1. Profitability
1.1 Basic Checks
TS had positive earnings in the past year.
TS had a positive operating cash flow in the past year.
Of the past 5 years TS 4 years were profitable.
In the past 5 years TS always reported a positive cash flow from operatings.
1.2 Ratios
TS has a Return On Assets of 9.81%. This is amongst the best in the industry. TS outperforms 90.16% of its industry peers.
TS's Return On Equity of 12.08% is fine compared to the rest of the industry. TS outperforms 72.13% of its industry peers.
Looking at the Return On Invested Capital, with a value of 9.47%, TS is in the better half of the industry, outperforming 73.77% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for TS is significantly above the industry average of 7.87%.
The last Return On Invested Capital (9.47%) for TS is well below the 3 year average (16.25%), which needs to be investigated, but indicates that TS had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.81% | ||
| ROE | 12.08% | ||
| ROIC | 9.47% |
ROA(3y)14.36%
ROA(5y)9.22%
ROE(3y)17.97%
ROE(5y)11.49%
ROIC(3y)16.25%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of TS (17.02%) is better than 95.08% of its industry peers.
TS's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 17.12%, TS is in the better half of the industry, outperforming 77.05% of the companies in the same industry.
TS's Operating Margin has improved in the last couple of years.
TS has a Gross Margin of 33.79%. This is in the better half of the industry: TS outperforms 70.49% of its industry peers.
TS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.12% | ||
| PM (TTM) | 17.02% | ||
| GM | 33.79% |
OM growth 3Y18.67%
OM growth 5Y12.05%
PM growth 3Y-1.22%
PM growth 5Y9.81%
GM growth 3Y5.93%
GM growth 5Y3.17%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), TS is creating value.
The number of shares outstanding for TS has been reduced compared to 1 year ago.
Compared to 5 years ago, TS has less shares outstanding
Compared to 1 year ago, TS has an improved debt to assets ratio.
2.2 Solvency
TS has an Altman-Z score of 5.35. This indicates that TS is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 5.35, TS belongs to the best of the industry, outperforming 95.08% of the companies in the same industry.
The Debt to FCF ratio of TS is 0.25, which is an excellent value as it means it would take TS, only 0.25 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of TS (0.25) is better than 93.44% of its industry peers.
A Debt/Equity ratio of 0.01 indicates that TS is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.01, TS belongs to the top of the industry, outperforming 91.80% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.25 | ||
| Altman-Z | 5.35 |
ROIC/WACC1.25
WACC7.57%
2.3 Liquidity
TS has a Current Ratio of 3.41. This indicates that TS is financially healthy and has no problem in meeting its short term obligations.
TS's Current ratio of 3.41 is amongst the best of the industry. TS outperforms 86.89% of its industry peers.
TS has a Quick Ratio of 2.11. This indicates that TS is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 2.11, TS is in the better half of the industry, outperforming 78.69% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.41 | ||
| Quick Ratio | 2.11 |
3. Growth
3.1 Past
The earnings per share for TS have decreased strongly by -22.13% in the last year.
TS shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 23.23% yearly.
Looking at the last year, TS shows a very negative growth in Revenue. The Revenue has decreased by -12.28% in the last year.
Measured over the past years, TS shows a quite strong growth in Revenue. The Revenue has been growing by 11.42% on average per year.
EPS 1Y (TTM)-22.13%
EPS 3Y25.57%
EPS 5Y23.23%
EPS Q2Q%72.41%
Revenue 1Y (TTM)-12.28%
Revenue growth 3Y24.3%
Revenue growth 5Y11.42%
Sales Q2Q%-7.1%
3.2 Future
TS is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -1.54% yearly.
Based on estimates for the next years, TS will show a small growth in Revenue. The Revenue will grow by 1.09% on average per year.
EPS Next Y10.57%
EPS Next 2Y2.96%
EPS Next 3Y3.84%
EPS Next 5Y-1.54%
Revenue Next Year-4.11%
Revenue Next 2Y-1.71%
Revenue Next 3Y-0.07%
Revenue Next 5Y1.09%
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.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 9.52, the valuation of TS can be described as reasonable.
Based on the Price/Earnings ratio, TS is valued cheaper than 91.80% of the companies in the same industry.
When comparing the Price/Earnings ratio of TS to the average of the S&P500 Index (26.89), we can say TS is valued rather cheaply.
With a Price/Forward Earnings ratio of 9.17, the valuation of TS can be described as very reasonable.
Based on the Price/Forward Earnings ratio, TS is valued cheaply inside the industry as 96.72% of the companies are valued more expensively.
TS's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.99.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.52 | ||
| Fwd PE | 9.17 |
4.2 Price Multiples
TS's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. TS is cheaper than 73.77% of the companies in the same industry.
TS's Price/Free Cash Flow ratio is rather cheap when compared to the industry. TS is cheaper than 80.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.98 | ||
| EV/EBITDA | 5.14 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
TS has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)0.9
PEG (5Y)0.41
EPS Next 2Y2.96%
EPS Next 3Y3.84%
5. Dividend
5.1 Amount
TS has a Yearly Dividend Yield of 4.55%, which is a nice return.
Compared to an average industry Dividend Yield of 3.00, TS pays a better dividend. On top of this TS pays more dividend than 91.80% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.31, TS pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.55% |
5.2 History
The dividend of TS is nicely growing with an annual growth rate of 10.42%!
TS has paid a dividend for at least 10 years, which is a reliable track record.
TS has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)10.42%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
TS pays out 44.92% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP44.92%
EPS Next 2Y2.96%
EPS Next 3Y3.84%
35.79
-0.9 (-2.45%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners13.42%
Inst Owner Change0.18%
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap18.59B
Revenue(TTM)11.77B
Net Income(TTM)2.00B
Analysts74.44
Price Target42.58 (18.97%)
Short Float %3.47%
Short Ratio3.47
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.55% |
Yearly Dividend0.67
Dividend Growth(5Y)10.42%
DP44.92%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-15.42%
Min EPS beat(2)-19.77%
Max EPS beat(2)-11.07%
EPS beat(4)2
Avg EPS beat(4)8.2%
Min EPS beat(4)-19.77%
Max EPS beat(4)45.42%
EPS beat(8)4
Avg EPS beat(8)8.64%
EPS beat(12)6
Avg EPS beat(12)7.55%
EPS beat(16)10
Avg EPS beat(16)11.78%
Revenue beat(2)1
Avg Revenue beat(2)0.5%
Min Revenue beat(2)-1.14%
Max Revenue beat(2)2.14%
Revenue beat(4)3
Avg Revenue beat(4)2.48%
Min Revenue beat(4)-1.14%
Max Revenue beat(4)5.06%
Revenue beat(8)6
Avg Revenue beat(8)2.63%
Revenue beat(12)10
Avg Revenue beat(12)2.76%
Revenue beat(16)14
Avg Revenue beat(16)2.71%
PT rev (1m)-0.47%
PT rev (3m)2.08%
EPS NQ rev (1m)-15.59%
EPS NQ rev (3m)-40.42%
EPS NY rev (1m)0.42%
EPS NY rev (3m)-6.04%
Revenue NQ rev (1m)-0.07%
Revenue NQ rev (3m)-2.07%
Revenue NY rev (1m)0.16%
Revenue NY rev (3m)-1.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.52 | ||
| Fwd PE | 9.17 | ||
| P/S | 1.58 | ||
| P/FCF | 9.98 | ||
| P/OCF | 7.32 | ||
| P/B | 1.12 | ||
| P/tB | 1.22 | ||
| EV/EBITDA | 5.14 |
EPS(TTM)3.76
EY10.51%
EPS(NY)3.9
Fwd EY10.91%
FCF(TTM)3.59
FCFY10.02%
OCF(TTM)4.89
OCFY13.65%
SpS22.66
BVpS31.92
TBVpS29.3
PEG (NY)0.9
PEG (5Y)0.41
Graham Number51.97
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.81% | ||
| ROE | 12.08% | ||
| ROCE | 11.36% | ||
| ROIC | 9.47% | ||
| ROICexc | 11.44% | ||
| ROICexgc | 12.61% | ||
| OM | 17.12% | ||
| PM (TTM) | 17.02% | ||
| GM | 33.79% | ||
| FCFM | 15.83% |
ROA(3y)14.36%
ROA(5y)9.22%
ROE(3y)17.97%
ROE(5y)11.49%
ROIC(3y)16.25%
ROIC(5y)N/A
ROICexc(3y)19.35%
ROICexc(5y)N/A
ROICexgc(3y)21.4%
ROICexgc(5y)N/A
ROCE(3y)19.51%
ROCE(5y)N/A
ROICexgc growth 3Y37.2%
ROICexgc growth 5Y17.07%
ROICexc growth 3Y38.27%
ROICexc growth 5Y18.31%
OM growth 3Y18.67%
OM growth 5Y12.05%
PM growth 3Y-1.22%
PM growth 5Y9.81%
GM growth 3Y5.93%
GM growth 5Y3.17%
F-Score6
Asset Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.25 | ||
| Debt/EBITDA | 0.04 | ||
| Cap/Depr | 109.79% | ||
| Cap/Sales | 5.74% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 96.51% | ||
| Profit Quality | 93.01% | ||
| Current Ratio | 3.41 | ||
| Quick Ratio | 2.11 | ||
| Altman-Z | 5.35 |
F-Score6
WACC7.57%
ROIC/WACC1.25
Cap/Depr(3y)96.54%
Cap/Depr(5y)71.87%
Cap/Sales(3y)4.39%
Cap/Sales(5y)4.14%
Profit Quality(3y)77.56%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-22.13%
EPS 3Y25.57%
EPS 5Y23.23%
EPS Q2Q%72.41%
EPS Next Y10.57%
EPS Next 2Y2.96%
EPS Next 3Y3.84%
EPS Next 5Y-1.54%
Revenue 1Y (TTM)-12.28%
Revenue growth 3Y24.3%
Revenue growth 5Y11.42%
Sales Q2Q%-7.1%
Revenue Next Year-4.11%
Revenue Next 2Y-1.71%
Revenue Next 3Y-0.07%
Revenue Next 5Y1.09%
EBIT growth 1Y-35.93%
EBIT growth 3Y47.51%
EBIT growth 5Y24.84%
EBIT Next Year14.46%
EBIT Next 3Y4.78%
EBIT Next 5Y4.32%
FCF growth 1Y-25.79%
FCF growth 3YN/A
FCF growth 5Y12.92%
OCF growth 1Y-16.19%
OCF growth 3Y188.73%
OCF growth 5Y13.41%
TENARIS SA-ADR / TS FAQ
Can you provide the ChartMill fundamental rating for TENARIS SA-ADR?
ChartMill assigns a fundamental rating of 7 / 10 to TS.
What is the valuation status of TENARIS SA-ADR (TS) stock?
ChartMill assigns a valuation rating of 8 / 10 to TENARIS SA-ADR (TS). This can be considered as Undervalued.
Can you provide the profitability details for TENARIS SA-ADR?
TENARIS SA-ADR (TS) has a profitability rating of 8 / 10.
What is the valuation of TENARIS SA-ADR based on its PE and PB ratios?
The Price/Earnings (PE) ratio for TENARIS SA-ADR (TS) is 9.52 and the Price/Book (PB) ratio is 1.12.
What is the expected EPS growth for TENARIS SA-ADR (TS) stock?
The Earnings per Share (EPS) of TENARIS SA-ADR (TS) is expected to grow by 10.57% in the next year.