THS Valuation

TreeHouse Foods Inc

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18.390

+0.24(1.322%)1D

Overview
Forecast
Valuation
Earnings

THS Relative Valuation

THS's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, THS is overvalued; if below, it's undervalued.

Historical Valuation

TreeHouse Foods Inc (THS) is now in the Undervalued zone, suggesting that its current forward PE ratio of 9.67 is considered Undervalued compared with the five-year average of 19.42. The fair price of TreeHouse Foods Inc (THS) is between 25.09 to 47.78 according to relative valuation methord. Compared to the current price of 18.39 USD , TreeHouse Foods Inc is Undervalued By 26.7%.

Relative Value

Fair Zone

25.09-47.78

Current Price：18.39

26.7%

Undervalued

9.67

Trailing

Forward

6.95

EV/EBITDA

TreeHouse Foods Inc. (THS) has a current EV/EBITDA of 6.95. The 5-year average EV/EBITDA is 10.18. The thresholds are as follows: Strongly Undervalued below 6.05, Undervalued between 6.05 and 8.11, Fairly Valued between 12.25 and 8.11, Overvalued between 12.25 and 14.32, and Strongly Overvalued above 14.32. The current Forward EV/EBITDA of 6.95 falls within the Undervalued range.

11.75

EV/EBIT

TreeHouse Foods Inc. (THS) has a current EV/EBIT of 11.75. The 5-year average EV/EBIT is 18.58. The thresholds are as follows: Strongly Undervalued below 7.54, Undervalued between 7.54 and 13.06, Fairly Valued between 24.11 and 13.06, Overvalued between 24.11 and 29.63, and Strongly Overvalued above 29.63. The current Forward EV/EBIT of 11.75 falls within the Undervalued range.

0.28

TreeHouse Foods Inc. (THS) has a current PS of 0.28. The 5-year average PS is 0.57. The thresholds are as follows: Strongly Undervalued below 0.32, Undervalued between 0.32 and 0.45, Fairly Valued between 0.70 and 0.45, Overvalued between 0.70 and 0.82, and Strongly Overvalued above 0.82. The current Forward PS of 0.28 falls within the Strongly Undervalued range.

0.00

P/OCF

TreeHouse Foods Inc. (THS) has a current P/OCF of 0.00. The 5-year average P/OCF is 16.51. The thresholds are as follows: Strongly Undervalued below -58.94, Undervalued between -58.94 and -21.21, Fairly Valued between 54.23 and -21.21, Overvalued between 54.23 and 91.95, and Strongly Overvalued above 91.95. The current Forward P/OCF of 0.00 falls within the Historic Trend Line -Fairly Valued range.

5.05

P/FCF

TreeHouse Foods Inc. (THS) has a current P/FCF of 5.05. The 5-year average P/FCF is 18.70. The thresholds are as follows: Strongly Undervalued below -30.46, Undervalued between -30.46 and -5.88, Fairly Valued between 43.27 and -5.88, Overvalued between 43.27 and 67.85, and Strongly Overvalued above 67.85. The current Forward P/FCF of 5.05 falls within the Historic Trend Line -Fairly Valued range.

TreeHouse Foods Inc (THS) has a current Price-to-Book (P/B) ratio of 0.60. Compared to its 3-year average P/B ratio of 1.30 , the current P/B ratio is approximately -53.81% higher. Relative to its 5-year average P/B ratio of 1.29, the current P/B ratio is about -53.32% higher. TreeHouse Foods Inc (THS) has a Forward Free Cash Flow (FCF) yield of approximately 9.74%. Compared to its 3-year average FCF yield of -0.29%, the current FCF yield is approximately -3412.24% lower. Relative to its 5-year average FCF yield of 4.30% , the current FCF yield is about 126.55% lower.

0.60

P/B

Median3y

1.30

Median5y

1.29

9.74

FCF Yield

Median3y

-0.29

Median5y

4.30

Competitors Valuation Multiple

The average P/S ratio for THS's competitors is 0.57, providing a benchmark for relative valuation. TreeHouse Foods Inc Corp (THS) exhibits a P/S ratio of 0.28, which is -50.16% above the industry average. Given its robust revenue growth of 1.61%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

John B Sanfilippo & Son Inc

Performance Decomposition

Market capitalization of THS decreased by 55.83% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 36.03 to 45.24.

The secondary factor is the Revenue Growth, contributed 1.61%to the performance.

Overall, the performance of THS in the past 1 year is driven by P/E Change. Which is more unsustainable.

1.61%

788.50M → 801.20M

Revenue Growth

-83.02%

-2.12 → -0.36

Margin Expansion

25.58%

36.03 → 45.24

P/E Change

-55.83%