TETRA Technologies, Inc.
TETRA Technologies, Inc. Fundamental Analysis
TETRA Technologies, Inc. (TTI) shows moderate financial fundamentals with a PE ratio of 12.09, profit margin of 19.75%, and ROE of 43.84%. The company generates $0.6B in annual revenue with weak year-over-year growth of -4.34%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 53.3/100 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 TTI's fundamental strength across five key dimensions:
Efficiency Score
ExcellentTTI demonstrates superior asset utilization.
Valuation Score
ExcellentTTI trades at attractive valuation levels.
Growth Score
WeakTTI faces weak or negative growth trends.
Financial Health Score
ExcellentTTI maintains a strong and stable balance sheet.
Profitability Score
ExcellentTTI achieves industry-leading margins.
Key Financial Metrics
Is TTI Expensive or Cheap?
P/E Ratio
TTI trades at 12.09 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, TTI's PEG of 1.75 indicates fair valuation.
Price to Book
The market values TETRA Technologies, Inc. at 4.98 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 13.93 times EBITDA. This signals the market has high growth expectations.
How Well Does TTI Make Money?
Net Profit Margin
For every $100 in sales, TETRA Technologies, Inc. keeps $19.75 as profit after all expenses.
Operating Margin
Core operations generate 9.84 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $43.84 in profit for every $100 of shareholder equity.
ROA
TETRA Technologies, Inc. generates $18.66 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
TETRA Technologies, Inc. produces operating cash flow of $74.45M, showing steady but balanced cash generation.
Free Cash Flow
TETRA Technologies, Inc. generates weak or negative free cash flow of $6.21M, restricting financial flexibility.
FCF Per Share
Each share generates $0.05 in free cash annually.
FCF Yield
TTI converts 0.42% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
12.09
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
1.75
vs 25 benchmark
P/B Ratio
Price to book value ratio
4.98
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.39
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.72
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.35
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.44
vs 25 benchmark
ROA
Return on assets percentage
0.19
vs 25 benchmark
ROCE
Return on capital employed
0.12
vs 25 benchmark
How TTI Stacks Against Its Sector Peers
| Metric | TTI Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 12.09 | 20.19 | Better (Cheaper) |
| ROE | 43.84% | 1019.00% | Weak |
| Net Margin | 19.75% | -44017.00% (disorted) | Strong |
| Debt/Equity | 0.72 | -0.65 (disorted) | Distorted |
| Current Ratio | 2.35 | 4.60 | Strong Liquidity |
| ROA | 18.66% | -11655350.00% (disorted) | Strong |
TTI outperforms its industry in 4 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews TETRA Technologies, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
2.13%
Industry Style: Cyclical, Value, Commodity
GrowingEPS CAGR
174.05%
Industry Style: Cyclical, Value, Commodity
High GrowthFCF CAGR
-61.28%
Industry Style: Cyclical, Value, Commodity
Declining