36.97 USD
-0.18 (-0.48%)
36.97 USD
0 (0%)
Overall TTEK gets a fundamental rating of 6 out of 10. We evaluated TTEK against 80 industry peers in the Commercial Services & Supplies industry. While TTEK has a great profitability rating, there are some minor concerns on its financial health. TTEK has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- In the past year TTEK was profitable.
- TTEK had a positive operating cash flow in the past year.
- In the past 5 years TTEK has always been profitable.
- TTEK had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- TTEK has a Return On Assets of 5.79%. This is in the better half of the industry: TTEK outperforms 76.25% of its industry peers.
- Looking at the Return On Equity, with a value of 13.92%, TTEK is in the better half of the industry, outperforming 73.75% of the companies in the same industry.
- With an excellent Return On Invested Capital value of 14.60%, TTEK belongs to the best of the industry, outperforming 88.75% of the companies in the same industry.
- TTEK had an Average Return On Invested Capital over the past 3 years of 12.36%. This is in line with the industry average of 10.58%.
- The 3 year average ROIC (12.36%) for TTEK is below the current ROIC(14.60%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.79% | ||
| ROE | 13.92% | ||
| ROIC | 14.6% |
ROA(3y)6.96%
ROA(5y)7.99%
ROE(3y)17.21%
ROE(5y)18.54%
ROIC(3y)12.36%
ROIC(5y)12.38%
1.3 Margins
- Looking at the Profit Margin, with a value of 5.37%, TTEK is in the better half of the industry, outperforming 67.50% of the companies in the same industry.
- In the last couple of years the Profit Margin of TTEK has declined.
- TTEK has a Operating Margin of 13.34%. This is in the better half of the industry: TTEK outperforms 80.00% of its industry peers.
- TTEK's Operating Margin has improved in the last couple of years.
- With a Gross Margin value of 20.82%, TTEK is not doing good in the industry: 73.75% of the companies in the same industry are doing better.
- TTEK's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.34% | ||
| PM (TTM) | 5.37% | ||
| GM | 20.82% |
OM growth 3Y3.57%
OM growth 5Y4.05%
PM growth 3Y-16.69%
PM growth 5Y-6.24%
GM growth 3Y0.85%
GM growth 5Y1.83%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), TTEK is creating some value.
- Compared to 1 year ago, TTEK has less shares outstanding
- Compared to 5 years ago, TTEK has more shares outstanding
- Compared to 1 year ago, TTEK has an improved debt to assets ratio.
2.2 Solvency
- TTEK has an Altman-Z score of 4.56. This indicates that TTEK is financially healthy and has little risk of bankruptcy at the moment.
- TTEK's Altman-Z score of 4.56 is fine compared to the rest of the industry. TTEK outperforms 77.50% of its industry peers.
- The Debt to FCF ratio of TTEK is 1.74, which is an excellent value as it means it would take TTEK, only 1.74 years of fcf income to pay off all of its debts.
- With an excellent Debt to FCF ratio value of 1.74, TTEK belongs to the best of the industry, outperforming 83.75% of the companies in the same industry.
- TTEK has a Debt/Equity ratio of 0.43. This is a healthy value indicating a solid balance between debt and equity.
- With a Debt to Equity ratio value of 0.43, TTEK perfoms like the industry average, outperforming 56.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 1.74 | ||
| Altman-Z | 4.56 |
ROIC/WACC1.73
WACC8.44%
2.3 Liquidity
- A Current Ratio of 1.18 indicates that TTEK should not have too much problems paying its short term obligations.
- Looking at the Current ratio, with a value of 1.18, TTEK is doing worse than 65.00% of the companies in the same industry.
- A Quick Ratio of 1.18 indicates that TTEK should not have too much problems paying its short term obligations.
- TTEK has a Quick ratio (1.18) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.18 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
- TTEK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 23.61%, which is quite impressive.
- The Earnings Per Share has been growing by 19.06% on average over the past years. This is quite good.
- Looking at the last year, TTEK shows a small growth in Revenue. The Revenue has grown by 6.84% in the last year.
- The Revenue has been growing by 14.48% on average over the past years. This is quite good.
EPS 1Y (TTM)23.61%
EPS 3Y20.03%
EPS 5Y19.06%
EPS Q2Q%18.42%
Revenue 1Y (TTM)6.84%
Revenue growth 3Y17.65%
Revenue growth 5Y14.48%
Sales Q2Q%1.64%
3.2 Future
- Based on estimates for the next years, TTEK will show a small growth in Earnings Per Share. The EPS will grow by 7.35% on average per year.
- TTEK is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.27% yearly.
EPS Next Y-2.55%
EPS Next 2Y5.16%
EPS Next 3Y6.16%
EPS Next 5Y7.35%
Revenue Next Year-7.61%
Revenue Next 2Y-0.71%
Revenue Next 3Y1.96%
Revenue Next 5Y2.27%
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
- A Price/Earnings ratio of 23.70 indicates a rather expensive valuation of TTEK.
- 70.00% of the companies in the same industry are more expensive than TTEK, based on the Price/Earnings ratio.
- TTEK's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.21.
- TTEK is valuated rather expensively with a Price/Forward Earnings ratio of 24.32.
- Based on the Price/Forward Earnings ratio, TTEK is valued a bit cheaper than the industry average as 65.00% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.26, TTEK is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.7 | ||
| Fwd PE | 24.32 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as TTEK.
- 71.25% of the companies in the same industry are more expensive than TTEK, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.96 | ||
| EV/EBITDA | 15.26 |
4.3 Compensation for Growth
- The decent profitability rating of TTEK may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.24
EPS Next 2Y5.16%
EPS Next 3Y6.16%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.70%, TTEK is not a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 0.83, TTEK pays a bit more dividend than its industry peers.
- With a Dividend Yield of 0.70, TTEK pays less dividend than the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.7% |
5.2 History
- The dividend of TTEK decreases each year by -17.42%.
- TTEK has paid a dividend for at least 10 years, which is a reliable track record.
- TTEK has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-17.42%
Div Incr Years10
Div Non Decr Years10
5.3 Sustainability
- TTEK pays out 26.25% of its income as dividend. This is a sustainable payout ratio.
DP26.25%
EPS Next 2Y5.16%
EPS Next 3Y6.16%
TETRA TECH INC / TTEK FAQ
What is the ChartMill fundamental rating of TETRA TECH INC (TTEK) stock?
ChartMill assigns a fundamental rating of 6 / 10 to TTEK.
What is the valuation status for TTEK stock?
ChartMill assigns a valuation rating of 4 / 10 to TETRA TECH INC (TTEK). This can be considered as Fairly Valued.
Can you provide the profitability details for TETRA TECH INC?
TETRA TECH INC (TTEK) has a profitability rating of 7 / 10.
What is the financial health of TETRA TECH INC (TTEK) stock?
The financial health rating of TETRA TECH INC (TTEK) is 6 / 10.
Is the dividend of TETRA TECH INC sustainable?
The dividend rating of TETRA TECH INC (TTEK) is 5 / 10 and the dividend payout ratio is 26.25%.