Toromont Industries Ltd
TSX:TIH
Intrinsic Value
Toromont Industries Ltd. engages in the distribution of construction equipment, power systems, and refrigeration systems. [ Read More ]
The intrinsic value of one TIH stock under the Base Case scenario is 95.59 CAD. Compared to the current market price of 129.63 CAD, Toromont Industries Ltd is Overvalued by 26%.
Valuation Backtest
Toromont Industries Ltd
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Fundamental Analysis
Year-end Growth Amidst Strategic Challenges
2023-Q4 Earnings Call
The company reported a successful year with key financial indicators showing positive trends, despite some operational challenges. Operating income grew 12%, driven by a 2% quarterly and 13% annual increase in revenue, with lower selling and administrative expenses. Bookings surged 53% for the quarter and 14% for the year, with notable demand in the construction sector. Even as the backlog decreased by 7%, a robust 90% is anticipated to be delivered in 2024. The firm exhibited prudent financial management, evidenced by an 11.6% dividend increase and share repurchases under the NCIB program. Strong inventory levels and over $1 billion in cash reserves demonstrate preparedness for managing economic uncertainties. With a focused growth strategy, the company remains committed to serving customers and delivering stakeholder value in a complex business environment.
Balance Sheet Decomposition
Toromont Industries Ltd
Current Assets | 2.8B |
Cash & Short-Term Investments | 1B |
Receivables | 627.2m |
Other Current Assets | 1.1B |
Non-Current Assets | 1.8B |
PP&E | 1.2B |
Intangibles | 470.1m |
Other Non-Current Assets | 69.7m |
Current Liabilities | 1.1B |
Accounts Payable | 654.7m |
Other Current Liabilities | 411.4m |
Non-Current Liabilities | 821.9m |
Long-Term Debt | 672.9m |
Other Non-Current Liabilities | 149.1m |
Earnings Waterfall
Toromont Industries Ltd
Revenue
|
4.6B
CAD
|
Cost of Revenue
|
-3.4B
CAD
|
Gross Profit
|
1.2B
CAD
|
Operating Expenses
|
-540.7m
CAD
|
Operating Income
|
704.2m
CAD
|
Other Expenses
|
-169.5m
CAD
|
Net Income
|
534.7m
CAD
|
Free Cash Flow Analysis
Toromont Industries Ltd
What is Free Cash Flow?
TIH Profitability Score
Profitability Due Diligence
Toromont Industries Ltd's profitability score is 59/100. The higher the profitability score, the more profitable the company is.
Score
Toromont Industries Ltd's profitability score is 59/100. The higher the profitability score, the more profitable the company is.
TIH Solvency Score
Solvency Due Diligence
Toromont Industries Ltd's solvency score is 86/100. The higher the solvency score, the more solvent the company is.
Score
Toromont Industries Ltd's solvency score is 86/100. The higher the solvency score, the more solvent the company is.
Wall St
Price Targets
TIH Price Targets Summary
Toromont Industries Ltd
According to Wall Street analysts, the average 1-year price target for TIH is 138.83 CAD with a low forecast of 131.3 CAD and a high forecast of 149.1 CAD.
Shareholder Return
TIH Price
Toromont Industries Ltd
Average Annual Return | 12.48% |
Standard Deviation of Annual Returns | 20.13% |
Max Drawdown | -25% |
Market Capitalization | 10.7B CAD |
Shares Outstanding | 82 297 341 |
Percentage of Shares Shorted | 0.45% |
Company Profile
Country
Industry
Market Cap
Dividend Yield
Description
Toromont Industries Ltd. engages in the distribution of construction equipment, power systems, and refrigeration systems. The company is headquartered in Concord, Ontario and currently employs 6,400 full-time employees. The firm operates in two segments: the Equipment Group and CIMCO. The firm's Equipment Group segment is involved in the supply of specialized mobile equipment and industrial engines. The company consists of businesses, including Toromont Cat, Battlefield-The Cat Rental Store, Toromont Material Handling, AgWest, SITECH and Toromont Energy. Its customer base includes infrastructure-related activities, mining, residential and commercial construction, power generation, aggregates, waste management, steel, forestry and agriculture. The CIMCO segment is involved in the design, engineering, fabrication, installation and product support services for industrial and recreational refrigeration systems.
Contact
IPO
Employees
Officers
The intrinsic value of one TIH stock under the Base Case scenario is 95.59 CAD.
Compared to the current market price of 129.63 CAD, Toromont Industries Ltd is Overvalued by 26%.