7.11 USD
-0.35 (-4.69%)
7.113 USD
+0 (+0.04%)
Taking everything into account, TSSI scores 3 out of 10 in our fundamental rating. TSSI was compared to 88 industry peers in the IT Services industry. While TSSI is still in line with the averages on profitability rating, there are concerns on its financial health. While showing a medium growth rate, TSSI is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year TSSI was profitable.
TSSI had a negative 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
With a Return On Assets value of 2.95%, TSSI perfoms like the industry average, outperforming 59.09% of the companies in the same industry.
TSSI has a Return On Equity of 7.69%. This is in the better half of the industry: TSSI outperforms 63.64% of its industry peers.
The Return On Invested Capital of TSSI (6.28%) is better than 64.77% of its industry peers.
TSSI had an Average Return On Invested Capital over the past 3 years of 14.85%. This is significantly below the industry average of 29.60%.
The 3 year average ROIC (14.85%) for TSSI is well above the current ROIC(6.28%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.95% | ||
| ROE | 7.69% | ||
| ROIC | 6.28% |
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 (2.08%) which is in line with 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 3.48%, TSSI is in line with its industry, outperforming 50.00% of the companies in the same industry.
In the last couple of years the Operating Margin of TSSI has grown nicely.
TSSI has a Gross Margin of 12.30%. This is amonst the worse of the industry: TSSI underperforms 89.77% of its industry peers.
TSSI's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.48% | ||
| PM (TTM) | 2.08% | ||
| GM | 12.3% |
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) just above the Cost of Capital (WACC), TSSI is creating some value.
The number of shares outstanding for TSSI has been increased compared to 1 year ago.
Compared to 5 years ago, TSSI has more shares outstanding
Compared to 1 year ago, TSSI has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.55 indicates that TSSI is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.55, TSSI perfoms like the industry average, outperforming 48.86% of the companies in the same industry.
A Debt/Equity ratio of 0.30 indicates that TSSI is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.30, TSSI is in line with its industry, outperforming 52.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.55 |
ROIC/WACC0.63
WACC9.89%
2.3 Liquidity
A Current Ratio of 1.52 indicates that TSSI should not have too much problems paying its short term obligations.
TSSI has a Current ratio (1.52) which is in line with its industry peers.
TSSI has a Quick Ratio of 1.35. This is a normal value and indicates that TSSI is financially healthy and should not expect problems in meeting its short term obligations.
TSSI has a Quick ratio of 1.35. This is in the lower half of the industry: TSSI underperforms 63.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.52 | ||
| Quick Ratio | 1.35 |
3. Growth
3.1 Past
TSSI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.11%, which is quite good.
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 91.66%.
The Revenue has been growing by 35.21% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)11.11%
EPS 3YN/A
EPS 5Y88.55%
EPS Q2Q%-160%
Revenue 1Y (TTM)91.66%
Revenue growth 3Y75.49%
Revenue growth 5Y35.21%
Sales Q2Q%-40.23%
3.2 Future
TSSI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.15% yearly.
Based on estimates for the next years, TSSI will show a decrease in Revenue. The Revenue will decrease by -6.66% on average per year.
EPS Next Y-49%
EPS Next 2Y-7.8%
EPS Next 3Y14.15%
EPS Next 5YN/A
Revenue Next Year54.04%
Revenue Next 2Y8.32%
Revenue Next 3Y-6.66%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
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
TSSI is valuated quite expensively with a Price/Earnings ratio of 35.55.
Compared to the rest of the industry, the Price/Earnings ratio of TSSI is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 26.92. TSSI is valued slightly more expensive when compared to this.
Based on the Price/Forward Earnings ratio of 34.85, the valuation of TSSI can be described as expensive.
The rest of the industry has a similar Price/Forward Earnings ratio as TSSI.
TSSI's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 23.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.55 | ||
| Fwd PE | 34.85 |
4.2 Price Multiples
TSSI's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. TSSI is cheaper than 68.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 14.67 |
4.3 Compensation for Growth
A more expensive valuation may be justified as TSSI's earnings are expected to grow with 14.15% in the coming years.
PEG (NY)N/A
PEG (5Y)0.4
EPS Next 2Y-7.8%
EPS Next 3Y14.15%
5. Dividend
5.1 Amount
TSSI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
7.11
-0.35 (-4.69%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners41.2%
Inst Owner Change27.08%
Ins Owners12.31%
Ins Owner Change-1.06%
Market Cap205.12M
Revenue(TTM)234.84M
Net Income(TTM)4.88M
AnalystsN/A
Price Target15.3 (115.19%)
Short Float %17.92%
Short Ratio2.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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 | 35.55 | ||
| Fwd PE | 34.85 | ||
| P/S | 0.87 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 3.23 | ||
| P/tB | 3.28 | ||
| EV/EBITDA | 14.67 |
EPS(TTM)0.2
EY2.81%
EPS(NY)0.2
Fwd EY2.87%
FCF(TTM)-1.46
FCFYN/A
OCF(TTM)-0.11
OCFYN/A
SpS8.14
BVpS2.2
TBVpS2.17
PEG (NY)N/A
PEG (5Y)0.4
Graham Number3.14
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.95% | ||
| ROE | 7.69% | ||
| ROCE | 8.22% | ||
| ROIC | 6.28% | ||
| ROICexc | 21.73% | ||
| ROICexgc | 22.34% | ||
| OM | 3.48% | ||
| PM (TTM) | 2.08% | ||
| GM | 12.3% | ||
| FCFM | N/A |
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-Score2
Asset Turnover1.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.76 | ||
| Cap/Depr | 1487.16% | ||
| Cap/Sales | 16.57% | ||
| Interest Coverage | 2.39 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.52 | ||
| Quick Ratio | 1.35 | ||
| Altman-Z | 2.55 |
F-Score2
WACC9.89%
ROIC/WACC0.63
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)11.11%
EPS 3YN/A
EPS 5Y88.55%
EPS Q2Q%-160%
EPS Next Y-49%
EPS Next 2Y-7.8%
EPS Next 3Y14.15%
EPS Next 5YN/A
Revenue 1Y (TTM)91.66%
Revenue growth 3Y75.49%
Revenue growth 5Y35.21%
Sales Q2Q%-40.23%
Revenue Next Year54.04%
Revenue Next 2Y8.32%
Revenue Next 3Y-6.66%
Revenue Next 5YN/A
EBIT growth 1Y26.38%
EBIT growth 3YN/A
EBIT growth 5Y77.69%
EBIT Next Year80.32%
EBIT Next 3Y47.39%
EBIT Next 5YN/A
FCF growth 1Y-319.5%
FCF growth 3YN/A
FCF growth 5Y22.9%
OCF growth 1Y-116.01%
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 3 / 10 to TSSI.
What is the valuation status of TSS INC (TSSI) stock?
ChartMill assigns a valuation rating of 1 / 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 4 / 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 35.55 and the Price/Book (PB) ratio is 3.23.