BIT:TEN

Stock Analysis Report

Executive Summary

Tenaris S.A., through its subsidiaries, produces and sells seamless and welded steel tubular products; and provides related services for the oil and gas industry, and other industrial applications.

Snowflake

Fundamentals

Flawless balance sheet, good value and pays a dividend.

Risks

  • Tenaris has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

How has Tenaris's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

3.4%

BIT:TEN

2.6%

IT Energy Services

3.4%

IT Market


1 Year Return

-33.4%

BIT:TEN

-33.8%

IT Energy Services

-1.9%

IT Market

TEN matched the Energy Services industry (-33.5%) over the past year.

TEN underperformed the Market in Italy which returned -3.6% over the past year.


Share holder returns

TENIndustryMarket
7 Day3.4%2.6%3.4%
30 Day-13.6%-11.8%-3.7%
90 Day-15.4%-11.2%1.6%
1 Year-31.4%-33.4%-32.4%-33.8%2.3%-1.9%
3 Year-17.1%-23.3%-26.4%-39.3%21.1%4.3%
5 Year-33.4%-42.2%-69.1%-85.5%7.9%-35.6%

Price Volatility Vs. Market

How volatile is Tenaris's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Tenaris undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Tenaris's share price is below the future cash flow value, and at a moderate discount (> 20%).

Tenaris's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Tenaris is good value based on earnings compared to the Europe Energy Services industry average.

Tenaris is good value based on earnings compared to the Italy market.


Price Based on Expected Growth

Tenaris is poor value based on expected growth next year.


Price Based on Value of Assets

Tenaris is overvalued based on assets compared to the Europe Energy Services industry average.


Next Steps

Future Growth

How is Tenaris expected to perform in the next 1 to 3 years based on estimates from 22 analysts?

12.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Tenaris's revenue is expected to grow by 7.2% yearly, however this is not considered high growth (20% yearly).

Tenaris's earnings are expected to grow by 12.2% yearly, however this is not considered high growth (20% yearly).

Tenaris's revenue growth is expected to exceed the Italy market average.

Tenaris's earnings growth is expected to exceed the Italy market average.

Tenaris's earnings growth is expected to exceed the low risk savings rate of 2.9%.


Earnings per Share Growth Estimates


Future Return on Equity

Tenaris is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Tenaris performed over the past 5 years?

-4.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Tenaris's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.

Tenaris's 1-year earnings growth exceeds its 5-year average (43.2% vs -4.8%)

Tenaris's earnings growth has exceeded the Europe Energy Services industry average in the past year (43.2% vs 10.9%).


Return on Equity

Tenaris has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Tenaris used its assets more efficiently than the Europe Energy Services industry average last year based on Return on Assets.


Return on Capital Employed

Tenaris has become profitable over the past 3 years. This is considered to be a significant improvement in its use of capital (Return on Capital Employed).


Next Steps

Financial Health

How is Tenaris's financial position?


Financial Position Analysis

Tenaris is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Tenaris's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Tenaris's level of debt (7.4%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (8.4% vs 7.4% today).

Debt is well covered by operating cash flow (131.8%, greater than 20% of total debt).

Tenaris earns more interest than it pays, coverage of interest payments is not a concern.


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 6.4x debt.


Next Steps

Dividend

What is Tenaris's current dividend yield, its reliability and sustainability?

4.47%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Tenaris's pays a higher dividend yield than the bottom 25% of dividend payers in Italy (2.06%).

Tenaris's dividend is below the markets top 25% of dividend payers in Italy (4.52%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (2.9x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (2.3x coverage).


Next Steps

Management

What is the CEO of Tenaris's salary, the management and board of directors tenure and is there insider trading?

9.2yrs

Average management tenure


CEO

Paolo Rocca (66yo)

16.8yrs

Tenure

0

Mr. Paolo Rocca serves the Chief Executive Officer of Tubos de Acero de México S.A. Mr. Rocca serves as Chief Executive Officer of Techint. Mr. Rocca serves as Honorary President of Techint at Ternium Side ...


Management Age and Tenure

9.2yrs

Average Tenure

54yo

Average Age

The average tenure for the Tenaris management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

16.3yrs

Average Tenure

68yo

Average Age

The average tenure for the Tenaris board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Paolo Rocca (66yo)

    Chairman & CEO

    • Tenure: 16.8yrs
  • Renato Catallini (53yo)

    President of Brazil

    • Tenure: 6.8yrs
  • Alejandro Lammertyn (54yo)

    Chief Digital & Planning Officer

    • Tenure: 6.3yrs
  • Marcelo Ramos (56yo)

    Chief Technology Officer

    • Tenure: 9.3yrs
  • Sergio de la Maza (63yo)

    President of Mexico

    • Tenure: 13.6yrs
  • Giovanni Sardagna

    Investor Relations Director

    • Tenure: 0.0yrs
  • Guillermo Moreno (54yo)

    President of Canada Operations

    • Tenure: 0.0yrs
  • Javier Alvarez (52yo)

    President of Southern Cone

    • Tenure: 9.2yrs
  • Paola Mazzoleni (42yo)

    Chief Human Resources Officer

    • Tenure: 3.6yrs
  • Alicia Mondolo

    Chief Financial Officer

    • Tenure: 0.0yrs

Board Members

  • Roberto Luis Monti (80yo)

    Independent Director

    • Tenure: 14.6yrs
  • Paolo Rocca (66yo)

    Chairman & CEO

    • Tenure: 16.8yrs
  • Guillermo Francisco Vogel Hinojosa (68yo)

    Vice Chairman of the Board

    • Tenure: 0.0yrs
  • Jaime José Serra Puche (68yo)

    Independent Director

    • Tenure: 16.6yrs
  • Roberto Bonatti (69yo)

    Director

    • Tenure: 16.6yrs
  • Carlos Alberto Condorelli (67yo)

    Director

    • Tenure: 12.2yrs
  • Amadeo Vázquez Vázquez (77yo)

    Independent Director

    • Tenure: 16.6yrs
  • Gianfelice Mario Rocca (71yo)

    Director

    • Tenure: 16.6yrs
  • Germán Curá (57yo)

    Vice Chairman of the Board

    • Tenure: 0.0yrs
  • Yves Speeckaert (58yo)

    Director

    • Tenure: 2.3yrs

Company Information

Tenaris S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Tenaris S.A.
  • Ticker: TEN
  • Exchange: BIT
  • Founded: 2001
  • Industry: Oil and Gas Equipment and Services
  • Sector: Energy
  • Market Cap: €11.522b
  • Shares outstanding: 1.18b
  • Website: https://www.tenaris.com

Number of Employees


Location

  • Tenaris S.A.
  • 29 Avenue de la Porte-Neuve
  • 3rd Floor
  • Luxembourg City
  • 2227
  • Luxembourg

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TSNYSE (New York Stock Exchange)SPONS ADR EACH REP 2 ORD SHSUSUSDDec 2002
TW1DB (Deutsche Boerse AG)SPONS ADR EACH REP 2 ORD SHSDEEURDec 2002
TNRS.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDDec 2002
TSBASE (Buenos Aires Stock Exchange)YesOrdinary SharesARARSDec 2002
TS *BMV (Bolsa Mexicana de Valores)YesOrdinary SharesMXMXNDec 2002
TENBIT (Borsa Italiana)YesOrdinary SharesITEURDec 2002
TW11DB (Deutsche Boerse AG)YesOrdinary SharesDEEURDec 2002
0HXBLSE (London Stock Exchange)YesOrdinary SharesGBEURDec 2002
TENMBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURDec 2002
TENWBAG (Wiener Boerse AG)YesOrdinary SharesATEURDec 2002

Biography

Tenaris S.A., through its subsidiaries, produces and sells seamless and welded steel tubular products; and provides related services for the oil and gas industry, and other industrial applications. The com ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/21 20:50
End of Day Share Price2019/08/21 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.