Toro Stock Analysis, Valuation (NYSE:TTC)
Toro Stock Analysis
Take a look at Amigobulls Toro stock analysis video. This is our analyst opinion covering the buy and sell arguments for TTC stock.
Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.
Toro Co Stock Rating 2.8/5
Amigobulls TTC stock analysis uses latest quarter 2017 Q4 financial data like Toro revenue growth, profit margins and cash flows. We also use relative valuation metrics like PE ratio and price to sales ratio for Toro valuation analysis. Our Toro stock rating is based on company's fundamentals like balance sheet risk and cash flow position.
Should you buy TTC stock?
- Toro's average operating margin of 14.2% was exceptional.
- Net margins came in at average 9.7% for Toro over the last twelve months.
- The LTM ROE of 40.9% for Toro is attractive.
Should you sell TTC stock?
- Cash flow from operations is low at 0.4 times the net income.
- The TTC stock currently trades at a PE of 31.2, which is expensive, compared to the industry average of 21.6.
- The company is trading at a price to sales multiple of 2.7, which is higher in comparison to the Tools-Hand Held industry average of 1.6, making TTC stock expensive.
- The company has negative Free Cash Flows (FCF), with a negative FCF margin of -0.5%.
Amigobulls Toro stock analysis helps investors in understanding how the company's fundamentals have performed in the last few quarters. Fundamentals of a company give detailed information which helps in making invesment decisions.
While doing a study of the company financials, Toro revenue growth and profit or net income are two main metrics which help in identifying whether TTC stock is overvalued or undervalued. One can also combine technical analysis and fundamental analysis to get a holistic picture about TTC stock.