TITAN INTERNATIONAL INC (TWI)
US88830M1027 - Common Stock
Overall TWI gets a fundamental rating of 4 out of 10. We evaluated TWI against 132 industry peers in the Machinery industry. Both the profitability and the financial health of TWI get a neutral evaluation. Nothing too spectacular is happening here. TWI scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year TWI was profitable.
In the past year TWI had a positive cash flow from operations.
In multiple years TWI reported negative net income over the last 5 years.
TWI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of 1.62%, TWI is not doing good in the industry: 60.47% of the companies in the same industry are doing better.
TWI has a Return On Equity (4.61%) which is comparable to the rest of the industry.
With a Return On Invested Capital value of 6.52%, TWI perfoms like the industry average, outperforming 46.51% of the companies in the same industry.
TWI had an Average Return On Invested Capital over the past 3 years of 14.40%. This is above the industry average of 11.31%.
The last Return On Invested Capital (6.52%) for TWI is well below the 3 year average (14.40%), which needs to be investigated, but indicates that TWI had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.62% | ||
| ROE | 4.61% | ||
| ROIC | 6.52% |
ROA(3y)8.01%
ROA(5y)2.73%
ROE(3y)28.24%
ROE(5y)5.92%
ROIC(3y)14.4%
ROIC(5y)N/A
1.3 Margins
TWI has a Profit Margin of 1.55%. This is in the lower half of the industry: TWI underperforms 61.24% of its industry peers.
In the last couple of years the Profit Margin of TWI has grown nicely.
TWI has a Operating Margin of 5.61%. This is in the lower half of the industry: TWI underperforms 60.47% of its industry peers.
TWI's Operating Margin has improved in the last couple of years.
TWI's Gross Margin of 15.06% is on the low side compared to the rest of the industry. TWI is outperformed by 81.40% of its industry peers.
TWI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.61% | ||
| PM (TTM) | 1.55% | ||
| GM | 15.06% |
OM growth 3YN/A
OM growth 5Y25.39%
PM growth 3YN/A
PM growth 5Y77.79%
GM growth 3Y19.13%
GM growth 5Y6.72%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so TWI is still creating some value.
TWI has less shares outstanding than it did 1 year ago.
The number of shares outstanding for TWI has been increased compared to 5 years ago.
The debt/assets ratio for TWI has been reduced compared to a year ago.
2.2 Solvency
TWI has an Altman-Z score of 2.09. This is not the best score and indicates that TWI is in the grey zone with still only limited risk for bankruptcy at the moment.
TWI has a worse Altman-Z score (2.09) than 65.89% of its industry peers.
The Debt to FCF ratio of TWI is 5.77, which is a neutral value as it means it would take TWI, 5.77 years of fcf income to pay off all of its debts.
TWI has a Debt to FCF ratio (5.77) which is in line with its industry peers.
A Debt/Equity ratio of 0.88 indicates that TWI is somewhat dependend on debt financing.
TWI has a Debt to Equity ratio of 0.88. This is in the lower half of the industry: TWI underperforms 79.84% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.88 | ||
| Debt/FCF | 5.77 | ||
| Altman-Z | 2.09 |
ROIC/WACC0.71
WACC9.25%
2.3 Liquidity
TWI has a Current Ratio of 2.40. This indicates that TWI is financially healthy and has no problem in meeting its short term obligations.
TWI has a Current ratio (2.40) which is comparable to the rest of the industry.
TWI has a Quick Ratio of 1.38. This is a normal value and indicates that TWI is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.38, TWI is in line with its industry, outperforming 58.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.4 | ||
| Quick Ratio | 1.38 |
3. Growth
3.1 Past
The earnings per share for TWI have decreased strongly by -47.42% in the last year.
Measured over the past years, TWI shows a very strong growth in Earnings Per Share. The EPS has been growing by 81.83% on average per year.
TWI shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -12.75%.
Measured over the past years, TWI shows a small growth in Revenue. The Revenue has been growing by 2.60% on average per year.
EPS 1Y (TTM)-47.42%
EPS 3YN/A
EPS 5Y81.83%
EPS Q2Q%-76.74%
Revenue 1Y (TTM)-12.75%
Revenue growth 3Y13.1%
Revenue growth 5Y2.6%
Sales Q2Q%10.6%
3.2 Future
Based on estimates for the next years, TWI will show a very negative growth in Earnings Per Share. The EPS will decrease by -10.46% on average per year.
Based on estimates for the next years, TWI will show a quite strong growth in Revenue. The Revenue will grow by 8.39% on average per year.
EPS Next Y-73.32%
EPS Next 2Y-21.91%
EPS Next 3Y-10.46%
EPS Next 5YN/A
Revenue Next Year5.62%
Revenue Next 2Y7.36%
Revenue Next 3Y8.39%
Revenue Next 5YN/A
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
TWI is valuated cheaply with a Price/Earnings ratio of 7.02.
Compared to the rest of the industry, the Price/Earnings ratio of TWI indicates a rather cheap valuation: TWI is cheaper than 96.12% of the companies listed in the same industry.
TWI's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 31.46.
Based on the Price/Forward Earnings ratio of 7.38, the valuation of TWI can be described as very cheap.
98.45% of the companies in the same industry are more expensive than TWI, based on the Price/Forward Earnings ratio.
TWI is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.63, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.02 | ||
| Fwd PE | 7.38 |
4.2 Price Multiples
TWI's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. TWI is cheaper than 96.12% of the companies in the same industry.
TWI's Price/Free Cash Flow ratio is rather cheap when compared to the industry. TWI is cheaper than 99.22% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.39 | ||
| EV/EBITDA | 5.57 |
4.3 Compensation for Growth
A cheap valuation may be justified as TWI's earnings are expected to decrease with -10.46% in the coming years.
PEG (NY)N/A
PEG (5Y)0.09
EPS Next 2Y-21.91%
EPS Next 3Y-10.46%
5. Dividend
5.1 Amount
No dividends for TWI!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TITAN INTERNATIONAL INC
NYSE:TWI (10/21/2024, 5:05:00 PM)
After market: 7.16 0 (0%)7.16
+0.19 (+2.73%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap516.67M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
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Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.02 | ||
| Fwd PE | 7.38 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.09
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.62% | ||
| ROE | 4.61% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 5.61% | ||
| PM (TTM) | 1.55% | ||
| GM | 15.06% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.88 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.4 | ||
| Quick Ratio | 1.38 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-47.42%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y-73.32%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-12.75%
Revenue growth 3Y13.1%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y