TSS INC (TSSI) Stock Fundamental Analysis
USA - NASDAQ:TSSI - US87288V1017 - Common Stock
18.23 USD
+1.18 (+6.92%)
18.76 USD
+0.53 (+2.91%)
Taking everything into account, TSSI scores 4 out of 10 in our fundamental rating. TSSI was compared to 85 industry peers in the IT Services industry. Both the profitability and the financial health of TSSI get a neutral evaluation. Nothing too spectacular is happening here. While showing a medium growth rate, TSSI is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
TSSI had positive earnings in the past year.
TSSI had a positive operating cash flow in the past year.
In multiple years TSSI reported negative net income over the last 5 years.
In multiple years TSSI reported negative operating cash flow during the last 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.47%, TSSI is in the better half of the industry, outperforming 75.29% of the companies in the same industry.
With an excellent Return On Equity value of 94.58%, TSSI belongs to the best of the industry, outperforming 98.82% of the companies in the same industry.
TSSI's Return On Invested Capital of 18.85% is amongst the best of the industry. TSSI outperforms 91.76% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TSSI is significantly below the industry average of 21.61%.
The last Return On Invested Capital (18.85%) for TSSI is above the 3 year average (14.85%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.47% | ||
| ROE | 94.58% | ||
| ROIC | 18.85% |
ROA(3y)2.08%
ROA(5y)-0.03%
ROE(3y)27.81%
ROE(5y)5.37%
ROIC(3y)14.85%
ROIC(5y)N/A
1.3 Margins
TSSI has a Profit Margin of 3.43%. This is comparable to the rest of the industry: TSSI outperforms 57.65% of its industry peers.
In the last couple of years the Profit Margin of TSSI has grown nicely.
Looking at the Operating Margin, with a value of 4.90%, TSSI is in line with its industry, outperforming 55.29% of the companies in the same industry.
TSSI's Operating Margin has improved in the last couple of years.
TSSI has a Gross Margin of 12.21%. This is amonst the worse of the industry: TSSI underperforms 92.94% of its industry peers.
TSSI's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.9% | ||
| PM (TTM) | 3.43% | ||
| GM | 12.21% |
OM growth 3YN/A
OM growth 5Y31.42%
PM growth 3YN/A
PM growth 5Y59.03%
GM growth 3Y-13.37%
GM growth 5Y-5.58%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), TSSI is creating value.
Compared to 1 year ago, TSSI has more shares outstanding
The number of shares outstanding for TSSI has been increased compared to 5 years ago.
The debt/assets ratio for TSSI is higher compared to a year ago.
2.2 Solvency
TSSI has an Altman-Z score of 3.78. This indicates that TSSI is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of TSSI (3.78) is better than 62.35% of its industry peers.
TSSI has a debt to FCF ratio of 0.91. This is a very positive value and a sign of high solvency as it would only need 0.91 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.91, TSSI belongs to the top of the industry, outperforming 82.35% of the companies in the same industry.
TSSI has a Debt/Equity ratio of 2.05. This is a high value indicating a heavy dependency on external financing.
TSSI's Debt to Equity ratio of 2.05 is on the low side compared to the rest of the industry. TSSI is outperformed by 78.82% of its industry peers.
Even though the debt/equity ratio score it not favorable for TSSI, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.05 | ||
| Debt/FCF | 0.91 | ||
| Altman-Z | 3.78 |
ROIC/WACC1.99
WACC9.45%
2.3 Liquidity
TSSI has a Current Ratio of 0.81. This is a bad value and indicates that TSSI is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.81, TSSI is not doing good in the industry: 84.71% of the companies in the same industry are doing better.
TSSI has a Quick Ratio of 0.81. This is a bad value and indicates that TSSI is not financially healthy enough and could expect problems in meeting its short term obligations.
TSSI has a worse Quick ratio (0.65) than 89.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.65 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 300.00% over the past year.
The Earnings Per Share has been growing by 88.55% on average over the past years. This is a very strong growth
TSSI shows a strong growth in Revenue. In the last year, the Revenue has grown by 328.80%.
Measured over the past years, TSSI shows a very strong growth in Revenue. The Revenue has been growing by 35.21% on average per year.
EPS 1Y (TTM)300%
EPS 3YN/A
EPS 5Y88.55%
EPS Q2Q%0%
Revenue 1Y (TTM)328.8%
Revenue growth 3Y75.49%
Revenue growth 5Y35.21%
Sales Q2Q%261.6%
3.2 Future
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 50.64, which means the current valuation is very expensive for TSSI.
TSSI's Price/Earnings ratio is in line with the industry average.
TSSI's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.89.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 50.64 | ||
| Fwd PE | N/A |
4.2 Price Multiples
TSSI's Enterprise Value to EBITDA is on the same level as the industry average.
TSSI's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. TSSI is cheaper than 62.35% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.15 | ||
| EV/EBITDA | 33.28 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.57
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
TSSI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
18.23
+1.18 (+6.92%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners36.07%
Inst Owner Change-1.32%
Ins Owners13.06%
Ins Owner Change-1.6%
Market Cap495.67M
Revenue(TTM)263.02M
Net Income(TTM)9.02M
AnalystsN/A
Price TargetN/A
Short Float %17.58%
Short Ratio1.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
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)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
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)N/A
PT rev (3m)N/A
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 50.64 | ||
| Fwd PE | N/A | ||
| P/S | 1.88 | ||
| P/FCF | 23.15 | ||
| P/OCF | 9.19 | ||
| P/B | 51.97 | ||
| P/tB | 56.6 | ||
| EV/EBITDA | 33.28 |
EPS(TTM)0.36
EY1.97%
EPS(NY)N/A
Fwd EYN/A
FCF(TTM)0.79
FCFY4.32%
OCF(TTM)1.98
OCFY10.88%
SpS9.67
BVpS0.35
TBVpS0.32
PEG (NY)N/A
PEG (5Y)0.57
Graham Number1.69
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.47% | ||
| ROE | 94.58% | ||
| ROCE | 24.7% | ||
| ROIC | 18.85% | ||
| ROICexc | 63.97% | ||
| ROICexgc | 67.39% | ||
| OM | 4.9% | ||
| PM (TTM) | 3.43% | ||
| GM | 12.21% | ||
| FCFM | 8.14% |
ROA(3y)2.08%
ROA(5y)-0.03%
ROE(3y)27.81%
ROE(5y)5.37%
ROIC(3y)14.85%
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)19.46%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5Y31.42%
PM growth 3YN/A
PM growth 5Y59.03%
GM growth 3Y-13.37%
GM growth 5Y-5.58%
F-Score4
Asset Turnover1.89
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.05 | ||
| Debt/FCF | 0.91 | ||
| Debt/EBITDA | 1.36 | ||
| Cap/Depr | 2207.67% | ||
| Cap/Sales | 12.37% | ||
| Interest Coverage | 2.94 | ||
| Cash Conversion | 375.36% | ||
| Profit Quality | 237.34% | ||
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.65 | ||
| Altman-Z | 3.78 |
F-Score4
WACC9.45%
ROIC/WACC1.99
Cap/Depr(3y)539.22%
Cap/Depr(5y)340.85%
Cap/Sales(3y)2.65%
Cap/Sales(5y)1.81%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)300%
EPS 3YN/A
EPS 5Y88.55%
EPS Q2Q%0%
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)328.8%
Revenue growth 3Y75.49%
Revenue growth 5Y35.21%
Sales Q2Q%261.6%
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y279.61%
EBIT growth 3YN/A
EBIT growth 5Y77.69%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y21.65%
FCF growth 3YN/A
FCF growth 5Y22.9%
OCF growth 1Y195.95%
OCF growth 3YN/A
OCF growth 5Y38.33%
TSS INC / TSSI FAQ
What is the ChartMill fundamental rating of TSS INC (TSSI) stock?
ChartMill assigns a fundamental rating of 4 / 10 to TSSI.
What is the valuation status of TSS INC (TSSI) stock?
ChartMill assigns a valuation rating of 2 / 10 to TSS INC (TSSI). This can be considered as Overvalued.
Can you provide the profitability details for TSS INC?
TSS INC (TSSI) has a profitability rating of 5 / 10.
What is the valuation of TSS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for TSS INC (TSSI) is 50.64 and the Price/Book (PB) ratio is 51.97.