TNL Valuation

Travel + Leisure Co

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62.780

+0.06(0.096%)1D

TNL Relative Valuation

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

Historical Valuation

Travel + Leisure Co (TNL) is now in the Undervalued zone, suggesting that its current forward PE ratio of 8.76 is considered Undervalued compared with the five-year average of 9.78. The fair price of Travel + Leisure Co (TNL) is between 63.11 to 99.64 according to relative valuation methord. Compared to the current price of 62.78 USD , Travel + Leisure Co is Undervalued By 0.53%.

Relative Value

Fair Zone

63.11-99.64

Current Price：62.78

0.53%

Undervalued

8.76

Trailing

Forward

9.37

EV/EBITDA

Travel + Leisure Co. (TNL) has a current EV/EBITDA of 9.37. The 5-year average EV/EBITDA is 10.26. The thresholds are as follows: Strongly Undervalued below 6.73, Undervalued between 6.73 and 8.49, Fairly Valued between 12.02 and 8.49, Overvalued between 12.02 and 13.78, and Strongly Overvalued above 13.78. The current Forward EV/EBITDA of 9.37 falls within the Historic Trend Line -Fairly Valued range.

11.04

EV/EBIT

Travel + Leisure Co. (TNL) has a current EV/EBIT of 11.04. The 5-year average EV/EBIT is 12.44. The thresholds are as follows: Strongly Undervalued below 7.37, Undervalued between 7.37 and 9.90, Fairly Valued between 14.97 and 9.90, Overvalued between 14.97 and 17.51, and Strongly Overvalued above 17.51. The current Forward EV/EBIT of 11.04 falls within the Historic Trend Line -Fairly Valued range.

62.78

Travel + Leisure Co. (TNL) has a current PS of 62.78. The 5-year average PS is 1.22. The thresholds are as follows: Strongly Undervalued below -5.94, Undervalued between -5.94 and -2.36, Fairly Valued between 4.80 and -2.36, Overvalued between 4.80 and 8.39, and Strongly Overvalued above 8.39. The current Forward PS of 62.78 falls within the Strongly Overvalued range.

-26.40

P/OCF

Travel + Leisure Co. (TNL) has a current P/OCF of -26.40. The 5-year average P/OCF is 14.51. The thresholds are as follows: Strongly Undervalued below -7.30, Undervalued between -7.30 and 3.60, Fairly Valued between 25.42 and 3.60, Overvalued between 25.42 and 36.32, and Strongly Overvalued above 36.32. The current Forward P/OCF of -26.40 falls within the Strongly Undervalued range.

7.46

P/FCF

Travel + Leisure Co. (TNL) has a current P/FCF of 7.46. The 5-year average P/FCF is 9.60. The thresholds are as follows: Strongly Undervalued below -6.07, Undervalued between -6.07 and 1.76, Fairly Valued between 17.43 and 1.76, Overvalued between 17.43 and 25.27, and Strongly Overvalued above 25.27. The current Forward P/FCF of 7.46 falls within the Historic Trend Line -Fairly Valued range.

Travel + Leisure Co (TNL) has a current Price-to-Book (P/B) ratio of -4.92. Compared to its 3-year average P/B ratio of -3.55 , the current P/B ratio is approximately 38.72% higher. Relative to its 5-year average P/B ratio of -4.12, the current P/B ratio is about 19.51% higher. Travel + Leisure Co (TNL) has a Forward Free Cash Flow (FCF) yield of approximately 12.53%. Compared to its 3-year average FCF yield of 11.22%, the current FCF yield is approximately 11.67% lower. Relative to its 5-year average FCF yield of 10.75% , the current FCF yield is about 16.59% lower.

-4.92

P/B

Median3y

-3.55

Median5y

-4.12

12.53

FCF Yield

Median3y

11.22

Median5y

10.75

Competitors Valuation Multiple

The average P/S ratio for TNL's competitors is 110.50, providing a benchmark for relative valuation. Travel + Leisure Co Corp (TNL) exhibits a P/S ratio of 62.78, which is -43.18% above the industry average. Given its robust revenue growth of 5.14%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Choice Hotels International Inc

Melco Resorts & Entertainment Ltd

Atour Lifestyle Holdings Ltd

Wyndham Hotels & Resorts Inc

73.43

-3.05%

5.55B

Performance Decomposition

Market capitalization of TNL increased by 12.37% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 9.77 to 10.63.

The secondary factor is the Revenue Growth, contributed 5.14%to the performance.

Overall, the performance of TNL in the past 1 year is driven by Margin Expansion. Which is more sustainable.

5.14%

993.00M → 1.04B

Revenue Growth

8.80%

9.77 → 10.63

Margin Expansion

-1.57%

10.54 → 10.37

P/E Change

12.37%