Time Warner Stock Analysis (NYSE:TWX)
Time Warner Analysis Video
View Time Warner stock analysis video. This is our TWX analyst opinion covering the buy and sell arguments for TWX stock.
Time Warner Inc Stock Rating (3.2/5)
Our Time Warner stock opinion is based on fundamentals of the company. This Time Warner stock analysis is based on latest Q4 earnings for 2016. The stock price analysis takes into account a company's valuation metrics.
Should you buy TWX stock?
- Time Warner had a healthy average operating margin of 25.7% over the last 4 quarters.
- Net margins stood at a healthy 13.4% (average) for Time Warner in the Trailing Twelve Months.
- The company has an operating cash flow which is 3.9 times the net income.
- The Time Warner stock currently trades at a price to earnings ratio of 17. We rate this as a positive, compared to the industry average of 21.2.
- Time Warner has an attractive ROIC (Return on Invested Capital) of 10.9%
- Time Warner has a good Return On Equity (ROE) of 16.4%.
Should you sell TWX stock?
- With a debt/equity ratio of 1, Time Warner is highly leveraged in comparison to Consumer Discretionary peers.
- The company is trading at a price to sales multiple of 2.6, which is higher in comparison to the Media Conglomerates industry average of 1.5, making TWX stock expensive.