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TGH

Textainer Group Holdings NYSE:TGH Stock Report

Last Price

US$27.79

Market Cap

US$1.3b

7D

-1.8%

1Y

-16.5%

Updated

28 Jun, 2022

Data

Company Financials +
TGH fundamental analysis
Snowflake Score
Valuation3/6
Future Growth0/6
Past Performance4/6
Financial Health1/6
Dividends2/6

TGH Stock Overview

Textainer Group Holdings Limited, through its subsidiaries, purchases, owns, manages, leases, and disposes a fleet of intermodal containers worldwide.

Textainer Group Holdings Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Textainer Group Holdings
Historical stock prices
Current Share PriceUS$27.79
52 Week HighUS$41.89
52 Week LowUS$26.97
Beta1.24
1 Month Change-15.04%
3 Month Change-27.95%
1 Year Change-16.55%
3 Year Change174.61%
5 Year Change90.34%
Change since IPO63.47%

Recent News & Updates

Jun 10
Textainer Group Holdings (NYSE:TGH) Is Looking To Continue Growing Its Returns On Capital

Textainer Group Holdings (NYSE:TGH) Is Looking To Continue Growing Its Returns On Capital

Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key...

May 26
Is Now An Opportune Moment To Examine Textainer Group Holdings Limited (NYSE:TGH)?

Is Now An Opportune Moment To Examine Textainer Group Holdings Limited (NYSE:TGH)?

Textainer Group Holdings Limited ( NYSE:TGH ), might not be a large cap stock, but it saw significant share price...

Shareholder Returns

TGHUS Trade DistributorsUS Market
7D-1.8%4.9%6.3%
1Y-16.5%-7.8%-18.8%

Return vs Industry: TGH underperformed the US Trade Distributors industry which returned -7.8% over the past year.

Return vs Market: TGH exceeded the US Market which returned -18.8% over the past year.

Price Volatility

Is TGH's price volatile compared to industry and market?
TGH volatility
TGH Average Weekly Movement5.9%
Trade Distributors Industry Average Movement7.4%
Market Average Movement8.1%
10% most volatile stocks in US Market16.7%
10% least volatile stocks in US Market3.2%

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

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

About the Company

FoundedEmployeesCEOWebsite
1979164Olivier Ghesquierehttps://www.textainer.com

Textainer Group Holdings Limited, through its subsidiaries, purchases, owns, manages, leases, and disposes a fleet of intermodal containers worldwide. It operates through three segments: Container Ownership, Container Management, and Container Resale. The company’s containers include standard and specialized dry freight, and refrigerated containers, as well as other special-purpose containers, which include tank, 45', pallet-wide, and other types of containers.

Textainer Group Holdings Fundamentals Summary

How do Textainer Group Holdings's earnings and revenue compare to its market cap?
TGH fundamental statistics
Market CapUS$1.33b
Earnings (TTM)US$284.11m
Revenue (TTM)US$885.90m

4.7x

P/E Ratio

1.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TGH income statement (TTM)
RevenueUS$885.90m
Cost of RevenueUS$92.74m
Gross ProfitUS$793.16m
Other ExpensesUS$509.04m
EarningsUS$284.11m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)5.92
Gross Margin89.53%
Net Profit Margin32.07%
Debt/Equity Ratio303.0%

How did TGH perform over the long term?

See historical performance and comparison

Dividends

3.6%

Current Dividend Yield

13%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

3/6

Valuation Score 3/6

  • 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 TGH?

Other financial metrics that can be useful for relative valuation.

TGH 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/Revenue8.1x
Enterprise Value/EBITDA9.6x
PEG Ratio3.1x

Price to Earnings Ratio vs Peers

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

TGH PE Ratio vs Peers
The above table shows the PE ratio for TGH vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average12.4x
GIC Global Industrial
14.5x8.4%US$1.3b
MGRC McGrath RentCorp
20.1x13.3%US$1.9b
GMS GMS
7x0.8%US$1.9b
VRTV Veritiv
8.2x0.8%US$1.6b
TGH Textainer Group Holdings
4.7x1.5%US$1.3b

Price-To-Earnings vs Peers: TGH is good value based on its Price-To-Earnings Ratio (4.7x) compared to the peer average (12.4x).


Price to Earnings Ratio vs Industry

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

Price-To-Earnings vs Industry: TGH is good value based on its Price-To-Earnings Ratio (4.7x) compared to the US Trade Distributors industry average (12.2x)


Price to Earnings Ratio vs Fair Ratio

What is TGH'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.

TGH PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio4.7x
Fair PE Ratio14x

Price-To-Earnings vs Fair Ratio: TGH is good value based on its Price-To-Earnings Ratio (4.7x) compared to the estimated Fair Price-To-Earnings Ratio (14x).


Share Price vs Fair Value

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

Below Fair Value: TGH ($27.79) is trading above our estimate of fair value ($14.72)

Significantly Below Fair Value: TGH is trading above our estimate of fair value.


Price to Earnings Growth Ratio

PEG Ratio: TGH is poor value based on its PEG Ratio (3.1x)


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Future Growth

How is Textainer Group Holdings forecast to perform in the next 1 to 3 years based on estimates from 2 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


1.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TGH's forecast earnings growth (1.5% per year) is below the savings rate (1.9%).

Earnings vs Market: TGH's earnings (1.5% per year) are forecast to grow slower than the US market (13.8% per year).

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

Revenue vs Market: TGH's revenue is expected to decline over the next 3 years (-1.1% per year).

High Growth Revenue: TGH's revenue is forecast to decline over the next 3 years (-1.1% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

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


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Past Performance

How has Textainer Group Holdings performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


58.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: TGH has a high level of non-cash earnings.

Growing Profit Margin: TGH's current net profit margins (32.1%) are higher than last year (20.1%).


Past Earnings Growth Analysis

Earnings Trend: TGH has become profitable over the past 5 years, growing earnings by 58.7% per year.

Accelerating Growth: TGH's earnings growth over the past year (104%) exceeds its 5-year average (58.7% per year).

Earnings vs Industry: TGH earnings growth over the past year (104%) exceeded the Trade Distributors industry 80.4%.


Return on Equity

High ROE: TGH's Return on Equity (16%) is considered low.


Discover strong past performing companies

Financial Health

How is Textainer Group Holdings's financial position?

Financial Health Score

1/6

Financial Health Score 1/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: TGH's short term assets ($531.9M) do not cover its short term liabilities ($561.7M).

Long Term Liabilities: TGH's short term assets ($531.9M) do not cover its long term liabilities ($5.3B).


Debt to Equity History and Analysis

Debt Level: TGH's net debt to equity ratio (292.4%) is considered high.

Reducing Debt: TGH's debt to equity ratio has increased from 252.6% to 303% over the past 5 years.

Debt Coverage: TGH's debt is not well covered by operating cash flow (11.7%).

Interest Coverage: TGH's interest payments on its debt are well covered by EBIT (3.4x coverage).


Balance Sheet


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Dividend

What is Textainer Group Holdings's current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


3.60%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: TGH's dividend (3.6%) is higher than the bottom 25% of dividend payers in the US market (1.57%).

High Dividend: TGH's dividend (3.6%) is low compared to the top 25% of dividend payers in the US market (4.25%).


Stability and Growth of Payments

Stable Dividend: TGH's dividend payments have been volatile in the past 10 years.

Growing Dividend: TGH's dividend payments have fallen over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (13%), TGH's dividend payments are thoroughly covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: TGH is paying a dividend but the company has no free cash flows.


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Management

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

3.8yrs

Average management tenure


CEO

Olivier Ghesquiere (54 yo)

3.83yrs

Tenure

US$2,425,704

Compensation

Mr. Olivier Ghesquiere has been the President, Chief Executive Officer and Director of Textainer Group Holdings Limited since August 13, 2018 and served as its Executive Vice President of Leasing since Jan...


CEO Compensation Analysis

Compensation vs Market: Olivier's total compensation ($USD2.43M) is below average for companies of similar size in the US market ($USD5.48M).

Compensation vs Earnings: Olivier's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: TGH's management team is considered experienced (3.8 years average tenure).


Board Members

Experienced Board: TGH's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.


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

Textainer Group Holdings Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Textainer Group Holdings Limited
  • Ticker: TGH
  • Exchange: NYSE
  • Founded: 1979
  • Industry: Trading Companies and Distributors
  • Sector: Capital Goods
  • Implied Market Cap: US$1.334b
  • Shares outstanding: 48.02m
  • Website: https://www.textainer.com

Number of Employees


Location

  • Textainer Group Holdings Limited
  • Century House
  • 16 Par-la-Ville Road
  • Hamilton
  • HM 08
  • Bermuda

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/28 00:00
End of Day Share Price2022/06/28 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.