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TEX

TerexNYSE:TEX Stock Report

Market Cap

US$3.3b

7D

7.0%

1Y

81.0%

Updated

25 Oct, 2021

Data

Company Financials +
TEX fundamental analysis
Snowflake Score
Valuation3/6
Future Growth3/6
Past Performance5/6
Financial Health5/6
Dividends2/6

TEX Overview

Terex Corporation manufactures and sells aerial work platforms and materials processing machinery worldwide.

Terex Competitors

Caterpillar

NYSE:CAT

US$110.7b

Cummins

NYSE:CMI

US$34.7b

Federal Signal

NYSE:FSS

US$2.6b

Astec Industries

NasdaqGS:ASTE

US$1.2b

Price History & Performance

Summary of all time highs, changes and price drops for Terex
Historical stock prices
Current Share PriceUS$46.62
52 Week HighUS$23.68
52 Week LowUS$55.60
Beta1.73
1 Month Change7.20%
3 Month Change0.22%
1 Year Change81.05%
3 Year Change50.97%
5 Year Change95.23%
Change since IPO380.62%

Recent News & Updates

Oct 25
Terex (NYSE:TEX) Seems To Use Debt Quite Sensibly

Terex (NYSE:TEX) Seems To Use Debt Quite Sensibly

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Oct 12
Terex (NYSE:TEX) Is Looking To Continue Growing Its Returns On Capital

Terex (NYSE:TEX) Is Looking To Continue Growing Its Returns On Capital

To find a multi-bagger stock, what are the underlying trends we should look for in a business? Amongst other things...

Oct 05

Terex Corporation: Risks Remain But The Stock Makes For A Solid Prospect

Terex Corporation has not generally been a robust play due to some volatility. However, the overall trend for the company has been positive, and the near-term outlook is encouraging. On the whole, shares also look attractively priced, making it a solid prospect for investors to entertain.

Sep 15
Is Terex Corporation (NYSE:TEX) Trading At A 33% Discount?

Is Terex Corporation (NYSE:TEX) Trading At A 33% Discount?

How far off is Terex Corporation ( NYSE:TEX ) from its intrinsic value? Using the most recent financial data, we'll...

Shareholder Returns

TEXUS MachineryUS Market
7D7.0%2.8%1.9%
1Y81.0%30.9%33.4%

Return vs Industry: TEX exceeded the US Machinery industry which returned 25.9% over the past year.

Return vs Market: TEX exceeded the US Market which returned 30.3% over the past year.

Price Volatility

Is TEX's price volatile compared to industry and market?
TEX volatility
TEX Beta1.73
Industry Beta1.26
Market Beta1

Stable Share Price: TEX is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: TEX's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19868,200John Garrisonhttps://www.terex.com

Terex Corporation manufactures and sells aerial work platforms and materials processing machinery worldwide. The company operates in two segments, Aerial Work Platforms (AWP) and Materials Processing (MP). The AWP segment designs, manufactures, services, and markets aerial work platform equipment, utility equipment, and telehandlers principally under the Terex and Genie brand names.

Terex Fundamentals Summary

How do Terex's earnings and revenue compare to its market cap?
TEX fundamental statistics
Market CapUS$3.25b
Earnings (TTM)US$148.90m
Revenue (TTM)US$3.46b

21.9x

P/E Ratio

0.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TEX income statement (TTM)
RevenueUS$3.46b
Cost of RevenueUS$2.75b
Gross ProfitUS$702.50m
ExpensesUS$553.60m
EarningsUS$148.90m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Oct 28, 2021

Earnings per share (EPS)2.13
Gross Margin20.33%
Net Profit Margin4.31%
Debt/Equity Ratio86.6%

How did TEX perform over the long term?

See historical performance and comparison

Dividends

1.0%

Current Dividend Yield

11%

Payout Ratio

Does TEX pay a reliable dividends?

See TEX dividend history and benchmarks
When do you need to buy TEX by to receive an upcoming dividend?
Terex dividend dates
Ex Dividend DateNov 08 2021
Dividend Pay DateDec 17 2021
Days until Ex dividend13 days
Days until Dividend pay date52 days

Does TEX pay a reliable dividends?

See TEX dividend history and benchmarks

Valuation

Is Terex undervalued compared to its fair value and its price relative to the market?

34.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: TEX ($46.62) is trading below our estimate of fair value ($70.96)

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


Price To Earnings Ratio

PE vs Industry: TEX is good value based on its PE Ratio (21.9x) compared to the US Machinery industry average (29.9x).

PE vs Market: TEX is poor value based on its PE Ratio (21.9x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: TEX is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: TEX is overvalued based on its PB Ratio (3.1x) compared to the US Machinery industry average (2.8x).


Future Growth

How is Terex forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

16.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TEX's forecast earnings growth (16.7% per year) is above the savings rate (2%).

Earnings vs Market: TEX's earnings (16.7% per year) are forecast to grow faster than the US market (14.7% per year).

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

Revenue vs Market: TEX's revenue (8.1% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: TEX's revenue (8.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TEX's Return on Equity is forecast to be high in 3 years time (20.7%)


Past Performance

How has Terex performed over the past 5 years?

22.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TEX has high quality earnings.

Growing Profit Margin: TEX's current net profit margins (4.3%) are higher than last year (1.3%).


Past Earnings Growth Analysis

Earnings Trend: TEX's earnings have grown significantly by 22% per year over the past 5 years.

Accelerating Growth: TEX's earnings growth over the past year (246.3%) exceeds its 5-year average (22% per year).

Earnings vs Industry: TEX earnings growth over the past year (246.3%) exceeded the Machinery industry 17.3%.


Return on Equity

High ROE: TEX's Return on Equity (14.4%) is considered low.


Financial Health

How is Terex's financial position?


Financial Position Analysis

Short Term Liabilities: TEX's short term assets ($2.0B) exceed its short term liabilities ($945.0M).

Long Term Liabilities: TEX's short term assets ($2.0B) exceed its long term liabilities ($1.1B).


Debt to Equity History and Analysis

Debt Level: TEX's debt to equity ratio (86.6%) is considered high.

Reducing Debt: TEX's debt to equity ratio has reduced from 89.2% to 86.6% over the past 5 years.

Debt Coverage: TEX's debt is well covered by operating cash flow (53.9%).

Interest Coverage: TEX's interest payments on its debt are well covered by EBIT (4.6x coverage).


Balance Sheet


Dividend

What is Terex current dividend yield, its reliability and sustainability?

1.03%

Current Dividend Yield


Upcoming Dividend Payment

TodayOct 26 2021Ex Dividend DateNov 08 2021Dividend Pay DateDec 17 202139 days from Ex DividendBuy in the next 13 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: TEX's dividend (1.03%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.28%).

High Dividend: TEX's dividend (1.03%) is low compared to the top 25% of dividend payers in the US market (3.48%).


Stability and Growth of Payments

Stable Dividend: TEX has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: TEX's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (11.2%), TEX's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: TEX's dividends in 3 years are forecast to be thoroughly covered by earnings (12.4% payout ratio).


Next Steps

Management

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

4.8yrs

Average management tenure


CEO

John Garrison (60 yo)

5.92yrs

Tenure

US$7,439,350

Compensation

Mr. John L. Garrison, Jr. serves as President of Terex Aerial Work Platforms at Terex Corporation since June 8, 2020. He has been Chief Executive Officer and President of Terex Corporation since November 2...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD7.44M) is above average for companies of similar size in the US market ($USD5.18M).

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


Leadership Team

Experienced Management: TEX's management team is considered experienced (4.8 years average tenure).


Board Members

Experienced Board: TEX's board of directors are considered experienced (4.8 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: TEX insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Terex Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: Terex Corporation
  • Ticker: TEX
  • Exchange: NYSE
  • Founded: 1986
  • Industry: Construction Machinery and Heavy Trucks
  • Sector: Capital Goods
  • Market Cap: US$3.254b
  • Shares outstanding: 69.80m
  • Website: https://www.terex.com

Number of Employees


Location

  • Terex Corporation
  • 45 Glover Avenue
  • 4th Floor
  • Norwalk
  • Connecticut
  • 6850
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/25 23:11
End of Day Share Price2021/10/25 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.