SIXTH STREET SPECIALTY LENDI (TSLX) Stock Fundamental Analysis
USA - NYSE:TSLX - US83012A1097 - Common Stock
22.32 USD
-0.32 (-1.41%)
22.3001 USD
-0.02 (-0.09%)
TSLX gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 237 industry peers in the Capital Markets industry. TSLX has only an average score on both its financial health and profitability. TSLX has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year TSLX was profitable.
In the past year TSLX had a positive cash flow from operations.
Each year in the past 5 years TSLX has been profitable.
In multiple years TSLX reported negative operating cash flow during the last 5 years.
1.2 Ratios
TSLX's Return On Assets of 5.49% is fine compared to the rest of the industry. TSLX outperforms 74.26% of its industry peers.
TSLX has a better Return On Equity (11.60%) than 64.14% of its industry peers.
TSLX's Return On Invested Capital of 5.89% is fine compared to the rest of the industry. TSLX outperforms 70.46% of its industry peers.
TSLX had an Average Return On Invested Capital over the past 3 years of 5.34%. This is below the industry average of 7.63%.
The last Return On Invested Capital (5.89%) for TSLX is above the 3 year average (5.34%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.49% | ||
| ROE | 11.6% | ||
| ROIC | 5.89% |
ROA(3y)5.22%
ROA(5y)6.31%
ROE(3y)11.5%
ROE(5y)13.29%
ROIC(3y)5.34%
ROIC(5y)5.16%
1.3 Margins
TSLX's Profit Margin of 39.55% is amongst the best of the industry. TSLX outperforms 82.28% of its industry peers.
In the last couple of years the Profit Margin of TSLX has declined.
TSLX has a Operating Margin of 53.23%. This is amongst the best in the industry. TSLX outperforms 89.03% of its industry peers.
TSLX's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 56.00%, TSLX is in the better half of the industry, outperforming 67.51% of the companies in the same industry.
TSLX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 53.23% | ||
| PM (TTM) | 39.55% | ||
| GM | 56% |
OM growth 3Y1.97%
OM growth 5Y0.68%
PM growth 3Y-20.18%
PM growth 5Y-8.86%
GM growth 3Y0.51%
GM growth 5Y-0.28%
2. Health
2.1 Basic Checks
The number of shares outstanding for TSLX has been increased compared to 1 year ago.
Compared to 5 years ago, TSLX has more shares outstanding
Compared to 1 year ago, TSLX has an improved debt to assets ratio.
2.2 Solvency
TSLX has an Altman-Z score of 1.16. This is a bad value and indicates that TSLX is not financially healthy and even has some risk of bankruptcy.
TSLX has a Altman-Z score of 1.16. This is comparable to the rest of the industry: TSLX outperforms 56.96% of its industry peers.
The Debt to FCF ratio of TSLX is 7.26, which is on the high side as it means it would take TSLX, 7.26 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of TSLX (7.26) is better than 60.76% of its industry peers.
A Debt/Equity ratio of 1.07 is on the high side and indicates that TSLX has dependencies on debt financing.
The Debt to Equity ratio of TSLX (1.07) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 7.26 | ||
| Altman-Z | 1.16 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
TSLX has a Current Ratio of 4.16. This indicates that TSLX is financially healthy and has no problem in meeting its short term obligations.
TSLX has a better Current ratio (4.16) than 86.08% of its industry peers.
TSLX has a Quick Ratio of 4.16. This indicates that TSLX is financially healthy and has no problem in meeting its short term obligations.
TSLX has a better Quick ratio (4.16) than 86.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.16 | ||
| Quick Ratio | 4.16 |
3. Growth
3.1 Past
The earnings per share for TSLX have decreased by -3.80% in the last year.
The Earnings Per Share has been growing slightly by 4.00% on average over the past years.
The Revenue has grown by 10.14% in the past year. This is quite good.
The Revenue has been growing by 13.92% on average over the past years. This is quite good.
EPS 1Y (TTM)-3.8%
EPS 3Y2.84%
EPS 5Y4%
EPS Q2Q%-10.17%
Revenue 1Y (TTM)10.14%
Revenue growth 3Y20.09%
Revenue growth 5Y13.92%
Sales Q2Q%-8.21%
3.2 Future
TSLX is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -5.38% yearly.
TSLX is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -3.28% yearly.
EPS Next Y-6.46%
EPS Next 2Y-6.26%
EPS Next 3Y-5.38%
EPS Next 5YN/A
Revenue Next Year-6.27%
Revenue Next 2Y-4.96%
Revenue Next 3Y-3.28%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
TSLX is valuated reasonably with a Price/Earnings ratio of 9.79.
Based on the Price/Earnings ratio, TSLX is valued a bit cheaper than the industry average as 71.73% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.03. TSLX is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 10.76, which indicates a very decent valuation of TSLX.
63.29% of the companies in the same industry are more expensive than TSLX, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.27. TSLX is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.79 | ||
| Fwd PE | 10.76 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TSLX indicates a somewhat cheap valuation: TSLX is cheaper than 74.26% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.84 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The decent profitability rating of TSLX may justify a higher PE ratio.
TSLX's earnings are expected to decrease with -5.38% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)2.45
EPS Next 2Y-6.26%
EPS Next 3Y-5.38%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 8.24%, TSLX is a good candidate for dividend investing.
TSLX's Dividend Yield is a higher than the industry average which is at 8.50.
TSLX's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.24% |
5.2 History
The dividend of TSLX has a limited annual growth rate of 4.56%.
TSLX has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)4.56%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
90.08% of the earnings are spent on dividend by TSLX. This is not a sustainable payout ratio.
The Dividend Rate of TSLX has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP90.08%
EPS Next 2Y-6.26%
EPS Next 3Y-5.38%
22.32
-0.32 (-1.41%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners53.31%
Inst Owner Change-1.68%
Ins Owners0.35%
Ins Owner Change0%
Market Cap2.10B
Revenue(TTM)482.53M
Net Income(TTM)187.60M
Analysts80
Price Target24.68 (10.57%)
Short Float %2.58%
Short Ratio4.87
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.24% |
Yearly Dividend1.86
Dividend Growth(5Y)4.56%
DP90.08%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.17%
Min EPS beat(2)2.62%
Max EPS beat(2)3.73%
EPS beat(4)4
Avg EPS beat(4)3.17%
Min EPS beat(4)1.14%
Max EPS beat(4)5.19%
EPS beat(8)6
Avg EPS beat(8)1.94%
EPS beat(12)9
Avg EPS beat(12)2.22%
EPS beat(16)11
Avg EPS beat(16)2.04%
Revenue beat(2)1
Avg Revenue beat(2)3.51%
Min Revenue beat(2)-1.99%
Max Revenue beat(2)9.01%
Revenue beat(4)2
Avg Revenue beat(4)1.98%
Min Revenue beat(4)-1.99%
Max Revenue beat(4)9.01%
Revenue beat(8)3
Avg Revenue beat(8)0.94%
Revenue beat(12)7
Avg Revenue beat(12)1.64%
Revenue beat(16)9
Avg Revenue beat(16)1.15%
PT rev (1m)0%
PT rev (3m)3.47%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.07%
EPS NY rev (1m)0.03%
EPS NY rev (3m)0.85%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.23%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.79 | ||
| Fwd PE | 10.76 | ||
| P/S | 4.43 | ||
| P/FCF | 8.84 | ||
| P/OCF | 8.84 | ||
| P/B | 1.3 | ||
| P/tB | 1.3 | ||
| EV/EBITDA | N/A |
EPS(TTM)2.28
EY10.22%
EPS(NY)2.07
Fwd EY9.29%
FCF(TTM)2.52
FCFY11.31%
OCF(TTM)2.52
OCFY11.31%
SpS5.03
BVpS17.17
TBVpS17.17
PEG (NY)N/A
PEG (5Y)2.45
Graham Number29.67
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.49% | ||
| ROE | 11.6% | ||
| ROCE | 7.45% | ||
| ROIC | 5.89% | ||
| ROICexc | 5.96% | ||
| ROICexgc | 5.96% | ||
| OM | 53.23% | ||
| PM (TTM) | 39.55% | ||
| GM | 56% | ||
| FCFM | 50.16% |
ROA(3y)5.22%
ROA(5y)6.31%
ROE(3y)11.5%
ROE(5y)13.29%
ROIC(3y)5.34%
ROIC(5y)5.16%
ROICexc(3y)5.38%
ROICexc(5y)5.2%
ROICexgc(3y)5.38%
ROICexgc(5y)5.2%
ROCE(3y)6.76%
ROCE(5y)6.53%
ROICexgc growth 3Y8.94%
ROICexgc growth 5Y4.59%
ROICexc growth 3Y8.94%
ROICexc growth 5Y4.59%
OM growth 3Y1.97%
OM growth 5Y0.68%
PM growth 3Y-20.18%
PM growth 5Y-8.86%
GM growth 3Y0.51%
GM growth 5Y-0.28%
F-Score6
Asset Turnover0.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 7.26 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 1.9 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 126.81% | ||
| Current Ratio | 4.16 | ||
| Quick Ratio | 4.16 | ||
| Altman-Z | 1.16 |
F-Score6
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
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)-3.8%
EPS 3Y2.84%
EPS 5Y4%
EPS Q2Q%-10.17%
EPS Next Y-6.46%
EPS Next 2Y-6.26%
EPS Next 3Y-5.38%
EPS Next 5YN/A
Revenue 1Y (TTM)10.14%
Revenue growth 3Y20.09%
Revenue growth 5Y13.92%
Sales Q2Q%-8.21%
Revenue Next Year-6.27%
Revenue Next 2Y-4.96%
Revenue Next 3Y-3.28%
Revenue Next 5YN/A
EBIT growth 1Y11.65%
EBIT growth 3Y22.46%
EBIT growth 5Y14.7%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y163.2%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y163.2%
OCF growth 3YN/A
OCF growth 5YN/A
SIXTH STREET SPECIALTY LENDI / TSLX FAQ
Can you provide the ChartMill fundamental rating for SIXTH STREET SPECIALTY LENDI?
ChartMill assigns a fundamental rating of 5 / 10 to TSLX.
Can you provide the valuation status for SIXTH STREET SPECIALTY LENDI?
ChartMill assigns a valuation rating of 5 / 10 to SIXTH STREET SPECIALTY LENDI (TSLX). This can be considered as Fairly Valued.
What is the profitability of TSLX stock?
SIXTH STREET SPECIALTY LENDI (TSLX) has a profitability rating of 6 / 10.
What is the financial health of SIXTH STREET SPECIALTY LENDI (TSLX) stock?
The financial health rating of SIXTH STREET SPECIALTY LENDI (TSLX) is 5 / 10.
Can you provide the dividend sustainability for TSLX stock?
The dividend rating of SIXTH STREET SPECIALTY LENDI (TSLX) is 5 / 10 and the dividend payout ratio is 90.08%.