TIM S.A.
TIM S.A. Fundamental Analysis
TIM S.A. (TIMB) shows moderate financial fundamentals with a PE ratio of 15.03, profit margin of 16.20%, and ROE of 17.46%. The company generates $26.5B in annual revenue with moderate year-over-year growth of 6.77%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 68.9/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze TIMB's fundamental strength across five key dimensions:
Efficiency Score
WeakTIMB struggles to generate sufficient returns from assets.
Valuation Score
ExcellentTIMB trades at attractive valuation levels.
Growth Score
ExcellentTIMB delivers strong and consistent growth momentum.
Financial Health Score
ModerateTIMB shows balanced financial health with some risks.
Profitability Score
ExcellentTIMB achieves industry-leading margins.
Key Financial Metrics
Is TIMB Expensive or Cheap?
P/E Ratio
TIMB trades at 15.03 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, TIMB's PEG of 0.49 indicates potential undervaluation.
Price to Book
The market values TIM S.A. at 2.70 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.79 times EBITDA. This is generally considered low.
How Well Does TIMB Make Money?
Net Profit Margin
For every $100 in sales, TIM S.A. keeps $16.20 as profit after all expenses.
Operating Margin
Core operations generate 24.10 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $17.46 in profit for every $100 of shareholder equity.
ROA
TIM S.A. generates $7.57 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
TIM S.A. generates strong operating cash flow of $13.39B, reflecting robust business health.
Free Cash Flow
TIM S.A. generates strong free cash flow of $8.87B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $18.56 in free cash annually.
FCF Yield
TIMB converts 13.78% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
15.03
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.49
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.70
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.43
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.69
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.89
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.17
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.15
vs 25 benchmark
How TIMB Stacks Against Its Sector Peers
| Metric | TIMB Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 15.03 | 21.66 | Better (Cheaper) |
| ROE | 17.46% | 1190.00% | Weak |
| Net Margin | 16.20% | -55754.00% (disorted) | Strong |
| Debt/Equity | 0.69 | 1.32 | Strong (Low Leverage) |
| Current Ratio | 0.89 | 1.59 | Weak Liquidity |
| ROA | 7.57% | -202359.00% (disorted) | Weak |
TIMB outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews TIM S.A.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
46.48%
Industry Style: Growth, Technology, Streaming
High GrowthEPS CAGR
-12.90%
Industry Style: Growth, Technology, Streaming
DecliningFCF CAGR
74.60%
Industry Style: Growth, Technology, Streaming
High Growth