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TITN

Titan Machinery NasdaqGS:TITN Stock Report

Last Price

US$22.72

Market Cap

US$505.7m

7D

-4.4%

1Y

-26.0%

Updated

03 Jul, 2022

Data

Company Financials +
TITN fundamental analysis
Snowflake Score
Valuation5/6
Future Growth0/6
Past Performance5/6
Financial Health6/6
Dividends0/6

TITN Stock Overview

Titan Machinery Inc. owns and operates a network of full-service agricultural and construction equipment stores in the United States and Europe.

Rewards

Trading at 21.1% below our estimate of its fair value

Earnings grew by 165.1% over the past year

Risk Analysis

No risks detected for TITN from our risk checks.

Titan Machinery Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Titan Machinery
Historical stock prices
Current Share PriceUS$22.72
52 Week HighUS$38.58
52 Week LowUS$21.94
Beta1.64
1 Month Change-16.65%
3 Month Change-18.42%
1 Year Change-25.99%
3 Year Change17.29%
5 Year Change27.43%
Change since IPO139.66%

Recent News & Updates

Jun 14
Do Titan Machinery's (NASDAQ:TITN) Earnings Warrant Your Attention?

Do Titan Machinery's (NASDAQ:TITN) Earnings Warrant Your Attention?

It's only natural that many investors, especially those who are new to the game, prefer to buy shares in 'sexy' stocks...

May 27
Titan Machinery (NASDAQ:TITN) Is Doing The Right Things To Multiply Its Share Price

Titan Machinery (NASDAQ:TITN) Is Doing The Right Things To Multiply Its Share Price

There are a few key trends to look for if we want to identify the next multi-bagger. Firstly, we'll want to see a...

Shareholder Returns

TITNUS Trade DistributorsUS Market
7D-4.4%-1.1%-2.5%
1Y-26.0%-10.0%-21.2%

Return vs Industry: TITN underperformed the US Trade Distributors industry which returned -10% over the past year.

Return vs Market: TITN underperformed the US Market which returned -21.2% over the past year.

Price Volatility

Is TITN's price volatile compared to industry and market?
TITN volatility
TITN Average Weekly Movement6.9%
Trade Distributors Industry Average Movement7.1%
Market Average Movement8.1%
10% most volatile stocks in US Market16.8%
10% least volatile stocks in US Market3.3%

Stable Share Price: TITN is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: TITN's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19802,362David Meyerhttps://www.titanmachinery.com

Titan Machinery Inc. owns and operates a network of full-service agricultural and construction equipment stores in the United States and Europe. It operates through three segments: Agriculture, Construction, and International. The company sells new and used equipment, including agricultural and construction equipment manufactured under the CNH Industrial family of brands, as well as equipment from various other manufacturers.

Titan Machinery Fundamentals Summary

How do Titan Machinery's earnings and revenue compare to its market cap?
TITN fundamental statistics
Market CapUS$505.75m
Earnings (TTM)US$72.03m
Revenue (TTM)US$1.80b

7.0x

P/E Ratio

0.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TITN income statement (TTM)
RevenueUS$1.80b
Cost of RevenueUS$1.45b
Gross ProfitUS$350.44m
Other ExpensesUS$278.41m
EarningsUS$72.03m

Last Reported Earnings

Apr 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)3.24
Gross Margin19.47%
Net Profit Margin4.00%
Debt/Equity Ratio58.7%

How did TITN perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is TITN undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for TITN?

Other financial metrics that can be useful for relative valuation.

TITN key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.4x
Enterprise Value/EBITDA5.7x
PEG Ratio4.1x

Price to Earnings Ratio vs Peers

How does TITN's PE Ratio compare to its peers?

TITN PE Ratio vs Peers
The above table shows the PE ratio for TITN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average16.3x
TRNS Transcat
37.6x10.5%US$427.5m
BXC BlueLinx Holdings
1.8x-30.2%US$669.2m
HDSN Hudson Technologies
5.3x-22.0%US$332.8m
DXPE DXP Enterprises
20.3x37.5%US$583.0m
TITN Titan Machinery
7x1.7%US$505.7m

Price-To-Earnings vs Peers: TITN is good value based on its Price-To-Earnings Ratio (7x) compared to the peer average (16.3x).


Price to Earnings Ratio vs Industry

How does TITN's PE Ratio compare vs other companies in the US Trade Distributors Industry?

Price-To-Earnings vs Industry: TITN is good value based on its Price-To-Earnings Ratio (7x) compared to the US Trade Distributors industry average (12.1x)


Price to Earnings Ratio vs Fair Ratio

What is TITN's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

TITN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio7x
Fair PE Ratio13x

Price-To-Earnings vs Fair Ratio: TITN is good value based on its Price-To-Earnings Ratio (7x) compared to the estimated Fair Price-To-Earnings Ratio (13x).


Share Price vs Fair Value

What is the Fair Price of TITN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: TITN ($22.72) is trading below our estimate of fair value ($28.8)

Significantly Below Fair Value: TITN is trading below fair value by more than 20%.


Price to Earnings Growth Ratio

PEG Ratio: TITN is poor value based on its PEG Ratio (4.1x)


Discover undervalued companies

Future Growth

How is Titan Machinery forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


1.7%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TITN's forecast earnings growth (1.7% per year) is below the savings rate (1.9%).

Earnings vs Market: TITN's earnings (1.7% per year) are forecast to grow slower than the US market (13.6% per year).

High Growth Earnings: TITN's earnings are forecast to grow, but not significantly.

Revenue vs Market: TITN's revenue (7.2% per year) is forecast to grow slower than the US market (8.2% per year).

High Growth Revenue: TITN's revenue (7.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if TITN's Return on Equity is forecast to be high in 3 years time


Discover growth companies

Past Performance

How has Titan Machinery performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


63.2%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: TITN has high quality earnings.

Growing Profit Margin: TITN's current net profit margins (4%) are higher than last year (1.8%).


Past Earnings Growth Analysis

Earnings Trend: TITN has become profitable over the past 5 years, growing earnings by 63.2% per year.

Accelerating Growth: TITN's earnings growth over the past year (165.1%) exceeds its 5-year average (63.2% per year).

Earnings vs Industry: TITN earnings growth over the past year (165.1%) exceeded the Trade Distributors industry 80.4%.


Return on Equity

High ROE: TITN's Return on Equity (16.2%) is considered low.


Discover strong past performing companies

Financial Health

How is Titan Machinery's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: TITN's short term assets ($748.4M) exceed its short term liabilities ($417.5M).

Long Term Liabilities: TITN's short term assets ($748.4M) exceed its long term liabilities ($141.2M).


Debt to Equity History and Analysis

Debt Level: TITN's net debt to equity ratio (26.1%) is considered satisfactory.

Reducing Debt: TITN's debt to equity ratio has reduced from 122.3% to 58.7% over the past 5 years.

Debt Coverage: TITN's debt is well covered by operating cash flow (51.8%).

Interest Coverage: TITN's interest payments on its debt are well covered by EBIT (17.8x coverage).


Balance Sheet


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Dividend

What is Titan Machinery current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate TITN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate TITN's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if TITN's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if TITN's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as TITN has not reported any payouts.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

7.0yrs

Average management tenure


CEO

David Meyer (69 yo)

42.5yrs

Tenure

US$483,700

Compensation

Mr. David Joseph Meyer Co-Founded Titan Machinery, Inc. in 1980 and has been its Chairman and Director since 1980 and serves as its Chief Executive Officer. From 1976 to 1980, he served as a Partner in a C...


CEO Compensation Analysis

Compensation vs Market: David's total compensation ($USD483.70K) is below average for companies of similar size in the US market ($USD2.92M).

Compensation vs Earnings: David's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: TITN's management team is seasoned and experienced (7 years average tenure).


Board Members

Experienced Board: TITN's board of directors are considered experienced (6.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Titan Machinery Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Titan Machinery Inc.
  • Ticker: TITN
  • Exchange: NasdaqGS
  • Founded: 1980
  • Industry: Trading Companies and Distributors
  • Sector: Capital Goods
  • Implied Market Cap: US$505.746m
  • Shares outstanding: 22.26m
  • Website: https://www.titanmachinery.com

Number of Employees


Location

  • Titan Machinery Inc.
  • 644 East Beaton Drive
  • West Fargo
  • North Dakota
  • 58078-2648
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/07/03 00:00
End of Day Share Price2022/07/01 00:00
Earnings2022/04/30
Annual Earnings2022/01/31


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.