TNC Valuation

Tennant Co

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81.550

-1.22(-1.474%)1D

Overview
Forecast
Valuation
Earnings

TNC Relative Valuation

TNC'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, TNC is overvalued; if below, it's undervalued.

Historical Valuation

Tennant Co (TNC) is now in the Undervalued zone, suggesting that its current forward PE ratio of 13.57 is considered Undervalued compared with the five-year average of 16.60. The fair price of Tennant Co (TNC) is between 99.65 to 134.71 according to relative valuation methord. Compared to the current price of 82.58 USD , Tennant Co is Undervalued By 17.13%.

Relative Value

Fair Zone

99.65-134.71

Current Price：82.58

17.13%

Undervalued

13.57

Trailing

Forward

8.36

EV/EBITDA

Tennant Co. (TNC) has a current EV/EBITDA of 8.36. The 5-year average EV/EBITDA is 10.14. The thresholds are as follows: Strongly Undervalued below 6.74, Undervalued between 6.74 and 8.44, Fairly Valued between 11.84 and 8.44, Overvalued between 11.84 and 13.54, and Strongly Overvalued above 13.54. The current Forward EV/EBITDA of 8.36 falls within the Undervalued range.

13.41

EV/EBIT

Tennant Co. (TNC) has a current EV/EBIT of 13.41. The 5-year average EV/EBIT is 15.50. The thresholds are as follows: Strongly Undervalued below 8.26, Undervalued between 8.26 and 11.88, Fairly Valued between 19.12 and 11.88, Overvalued between 19.12 and 22.75, and Strongly Overvalued above 22.75. The current Forward EV/EBIT of 13.41 falls within the Historic Trend Line -Fairly Valued range.

1.23

Tennant Co. (TNC) has a current PS of 1.23. The 5-year average PS is 1.23. The thresholds are as follows: Strongly Undervalued below 0.89, Undervalued between 0.89 and 1.06, Fairly Valued between 1.41 and 1.06, Overvalued between 1.41 and 1.58, and Strongly Overvalued above 1.58. The current Forward PS of 1.23 falls within the Historic Trend Line -Fairly Valued range.

11.35

P/OCF

Tennant Co. (TNC) has a current P/OCF of 11.35. The 5-year average P/OCF is 41.64. The thresholds are as follows: Strongly Undervalued below -161.84, Undervalued between -161.84 and -60.10, Fairly Valued between 143.37 and -60.10, Overvalued between 143.37 and 245.11, and Strongly Overvalued above 245.11. The current Forward P/OCF of 11.35 falls within the Historic Trend Line -Fairly Valued range.

13.69

P/FCF

Tennant Co. (TNC) has a current P/FCF of 13.69. The 5-year average P/FCF is 11.87. The thresholds are as follows: Strongly Undervalued below -23.13, Undervalued between -23.13 and -5.63, Fairly Valued between 29.38 and -5.63, Overvalued between 29.38 and 46.88, and Strongly Overvalued above 46.88. The current Forward P/FCF of 13.69 falls within the Historic Trend Line -Fairly Valued range.

Tennant Co (TNC) has a current Price-to-Book (P/B) ratio of 2.48. Compared to its 3-year average P/B ratio of 2.79 , the current P/B ratio is approximately -11.22% higher. Relative to its 5-year average P/B ratio of 2.97, the current P/B ratio is about -16.67% higher. Tennant Co (TNC) has a Forward Free Cash Flow (FCF) yield of approximately 3.96%. Compared to its 3-year average FCF yield of 3.09%, the current FCF yield is approximately 28.17% lower. Relative to its 5-year average FCF yield of 4.05% , the current FCF yield is about -2.21% lower.

2.48

P/B

Median3y

2.79

Median5y

2.97

3.96

FCF Yield

Median3y

3.09

Median5y

4.05

Competitors Valuation Multiple

The average P/S ratio for TNC's competitors is 1.60, providing a benchmark for relative valuation. Tennant Co Corp (TNC) exhibits a P/S ratio of 1.23, which is -23.29% above the industry average. Given its robust revenue growth of -6.75%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Kulicke and Soffa Industries Inc

Helios Technologies Inc

CECO Environmental Corp

Performance Decomposition

Market capitalization of TNC decreased by 22.92% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 17.19 to 23.09.

The secondary factor is the Revenue Growth, contributed -6.75%to the performance.

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

-6.75%

311.00M → 290.00M

Revenue Growth

-50.49%

9.13 → 4.52

Margin Expansion

34.32%

17.19 → 23.09

P/E Change

-22.92%