Turners Automotive Group Limited
Turners Automotive Group Limited Fundamental Analysis
Turners Automotive Group Limited (TRA.AX) shows moderate financial fundamentals with a PE ratio of 16.90, profit margin of 9.76%, and ROE of 13.61%. The company generates $0.5B in annual revenue with moderate year-over-year growth of 6.54%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 29.6/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze TRA.AX's fundamental strength across five key dimensions:
Efficiency Score
WeakTRA.AX struggles to generate sufficient returns from assets.
Valuation Score
ModerateTRA.AX shows balanced valuation metrics.
Growth Score
ModerateTRA.AX shows steady but slowing expansion.
Financial Health Score
WeakTRA.AX carries high financial risk with limited liquidity.
Profitability Score
WeakTRA.AX struggles to sustain strong margins.
Key Financial Metrics
Is TRA.AX Expensive or Cheap?
P/E Ratio
TRA.AX trades at 16.90 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, TRA.AX's PEG of 3.00 indicates potential overvaluation.
Price to Book
The market values Turners Automotive Group Limited at 2.28 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.11 times EBITDA. This is generally considered low.
How Well Does TRA.AX Make Money?
Net Profit Margin
For every $100 in sales, Turners Automotive Group Limited keeps $9.76 as profit after all expenses.
Operating Margin
Core operations generate 19.99 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $13.61 in profit for every $100 of shareholder equity.
ROA
Turners Automotive Group Limited generates $4.25 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Turners Automotive Group Limited generates limited operating cash flow of $-27.42M, signaling weaker underlying cash strength.
Free Cash Flow
Turners Automotive Group Limited generates weak or negative free cash flow of $-54.31M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.60 in free cash annually.
FCF Yield
TRA.AX converts -5.99% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
16.90
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
3.004
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.28
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.89
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.70
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.00
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.14
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.09
vs 25 benchmark
How TRA.AX Stacks Against Its Sector Peers
| Metric | TRA.AX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 16.90 | 24.23 | Better (Cheaper) |
| ROE | 13.61% | 1121.00% | Weak |
| Net Margin | 9.76% | -640.00% (disorted) | Weak |
| Debt/Equity | 1.70 | 0.82 | Weak (High Leverage) |
| Current Ratio | 0.00 | 2.62 | Weak Liquidity |
| ROA | 4.25% | -8056.00% (disorted) | Weak |
TRA.AX outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Turners Automotive Group Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
24.81%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
43.48%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
295.32%
Industry Style: Cyclical, Growth, Discretionary
High Growth