Market Cap
US$12.2b
Last Updated
2021/05/12 22:32 UTC
Data Sources
Company Financials +
Executive Summary
The Toro Company designs, manufactures, and markets professional and residential equipment worldwide. More Details
Snowflake Analysis
Outstanding track record with excellent balance sheet and pays a dividend.
Similar Companies
Share Price & News
How has Toro's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: TTC is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: TTC's weekly volatility (3%) has been stable over the past year.
Market Performance
7 Day Return
-4.9%
TTC
-1.6%
US Machinery
-2.8%
US Market
1 Year Return
84.0%
TTC
96.2%
US Machinery
49.4%
US Market
Return vs Industry: TTC underperformed the US Machinery industry which returned 95.3% over the past year.
Return vs Market: TTC exceeded the US Market which returned 48.6% over the past year.
Shareholder returns
| TTC | Industry | Market | |
|---|---|---|---|
| 7 Day | -4.9% | -1.6% | -2.8% |
| 30 Day | 3.7% | 0.3% | -2.3% |
| 90 Day | 9.8% | 9.8% | -1.3% |
| 1 Year | 86.3%84.0% | 100.7%96.2% | 51.8%49.4% |
| 3 Year | 93.5%86.0% | 63.9%54.1% | 57.5%47.6% |
| 5 Year | 168.4%151.8% | 162.9%136.4% | 121.7%97.1% |
Long-Term Price Volatility Vs. Market
How volatile is Toro's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 days ago | Simply Wall St
The Toro Company's (NYSE:TTC) Stock Is Going Strong: Is the Market Following Fundamentals?1 month ago | Simply Wall St
Should You Review Recent Insider Transactions At The Toro Company (NYSE:TTC)?1 month ago | Simply Wall St
Is It Smart To Buy The Toro Company (NYSE:TTC) Before It Goes Ex-Dividend?Valuation
Is Toro undervalued compared to its fair value and its price relative to the market?
32.09x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: TTC ($110.37) is trading above our estimate of fair value ($85.07)
Significantly Below Fair Value: TTC is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: TTC is good value based on its PE Ratio (32.1x) compared to the US Machinery industry average (35x).
PE vs Market: TTC is poor value based on its PE Ratio (32.1x) compared to the US market (19.9x).
Price to Earnings Growth Ratio
PEG Ratio: TTC is poor value based on its PEG Ratio (3.7x)
Price to Book Ratio
PB vs Industry: TTC is overvalued based on its PB Ratio (10.1x) compared to the US Machinery industry average (3.3x).
Future Growth
How is Toro forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
8.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: TTC's forecast earnings growth (8.6% per year) is above the savings rate (2%).
Earnings vs Market: TTC's earnings (8.6% per year) are forecast to grow slower than the US market (15.4% per year).
High Growth Earnings: TTC's earnings are forecast to grow, but not significantly.
Revenue vs Market: TTC's revenue (5.1% per year) is forecast to grow slower than the US market (8.8% per year).
High Growth Revenue: TTC's revenue (5.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: TTC's Return on Equity is forecast to be high in 3 years time (29.3%)
Past Performance
How has Toro performed over the past 5 years?
7.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: TTC has high quality earnings.
Growing Profit Margin: TTC's current net profit margins (10.6%) are higher than last year (8.6%).
Past Earnings Growth Analysis
Earnings Trend: TTC's earnings have grown by 7.9% per year over the past 5 years.
Accelerating Growth: TTC's earnings growth over the past year (30.4%) exceeds its 5-year average (7.9% per year).
Earnings vs Industry: TTC earnings growth over the past year (30.4%) exceeded the Machinery industry -7.3%.
Return on Equity
High ROE: TTC's Return on Equity (31.4%) is considered high.
Financial Health
How is Toro's financial position?
Financial Position Analysis
Short Term Liabilities: TTC's short term assets ($1.5B) exceed its short term liabilities ($819.5M).
Long Term Liabilities: TTC's short term assets ($1.5B) exceed its long term liabilities ($875.9M).
Debt to Equity History and Analysis
Debt Level: TTC's debt to equity ratio (59.5%) is considered high.
Reducing Debt: TTC's debt to equity ratio has reduced from 90.1% to 59.5% over the past 5 years.
Debt Coverage: TTC's debt is well covered by operating cash flow (93.8%).
Interest Coverage: TTC's interest payments on its debt are well covered by EBIT (14.8x coverage).
Balance Sheet
Dividend
What is Toro current dividend yield, its reliability and sustainability?
0.95%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: TTC's dividend (0.95%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.25%).
High Dividend: TTC's dividend (0.95%) is low compared to the top 25% of dividend payers in the US market (3.43%).
Stability and Growth of Payments
Stable Dividend: TTC's dividends per share have been stable in the past 10 years.
Growing Dividend: TTC's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (29.4%), TTC's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: TTC's dividends in 3 years are forecast to be well covered by earnings (23.3% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
6.1yrs
Average management tenure
CEO
Rick Olson (56 yo)
4.5yrs
Tenure
US$5,997,357
Compensation
Mr. Richard M. Olson, also known as Rick, has been the Chief Executive Officer of The Toro Company since November 1, 2016 and has been its President since September 1, 2015. Mr. Olson has been the Chairman...
CEO Compensation Analysis
Compensation vs Market: Rick's total compensation ($USD6.00M) is below average for companies of similar size in the US market ($USD11.16M).
Compensation vs Earnings: Rick's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: TTC's management team is seasoned and experienced (6.1 years average tenure).
Board Members
Experienced Board: TTC's board of directors are considered experienced (4.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: TTC 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
The Toro Company's company bio, employee growth, exchange listings and data sources
Key Information
- Name: The Toro Company
- Ticker: TTC
- Exchange: NYSE
- Founded: 1914
- Industry: Agricultural and Farm Machinery
- Sector: Capital Goods
- Market Cap: US$12.225b
- Shares outstanding: 107.62m
- Website: https://www.thetorocompany.com
Number of Employees
Location
- The Toro Company
- 8111 Lyndale Avenue South
- Bloomington
- Minnesota
- 55420
- United States
Listings
Biography
The Toro Company designs, manufactures, and markets professional and residential equipment worldwide. The company’s Professional segment offers turf and landscape equipment products, including sports field...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/05/12 22:32 |
| End of Day Share Price | 2021/05/12 00:00 |
| Earnings | 2021/01/29 |
| Annual Earnings | 2020/10/31 |
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.