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TMX

Terminix Global Holdings NYSE:TMX Stock Report

Last Price

US$41.89

Market Cap

US$5.1b

7D

8.9%

1Y

-12.8%

Updated

27 Jun, 2022

Data

Company Financials +
TMX fundamental analysis
Snowflake Score
Valuation2/6
Future Growth3/6
Past Performance4/6
Financial Health5/6
Dividends0/6

TMX Stock Overview

Terminix Global Holdings, Inc. provides residential and commercial termite and pest management services.

Terminix Global Holdings Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Terminix Global Holdings
Historical stock prices
Current Share PriceUS$41.89
52 Week HighUS$53.33
52 Week LowUS$36.30
Beta0.93
1 Month Change-5.27%
3 Month Change-9.62%
1 Year Change-12.77%
3 Year Change-20.13%
5 Year Change6.65%
Change since IPO133.37%

Recent News & Updates

Shareholder Returns

TMXUS Consumer ServicesUS Market
7D8.9%4.1%6.6%
1Y-12.8%-48.8%-18.4%

Return vs Industry: TMX exceeded the US Consumer Services industry which returned -48.8% over the past year.

Return vs Market: TMX exceeded the US Market which returned -18.4% over the past year.

Price Volatility

Is TMX's price volatile compared to industry and market?
TMX volatility
TMX Average Weekly Movement4.2%
Consumer Services Industry Average Movement9.5%
Market Average Movement8.1%
10% most volatile stocks in US Market16.6%
10% least volatile stocks in US Market3.2%

Stable Share Price: TMX is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: TMX's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
192911,700Brett Pontonhttps://www.terminix.com

Terminix Global Holdings, Inc. provides residential and commercial termite and pest management services. The company offers termite and pest control services, including termite remediation, annual termite inspection, and prevention treatments with termite damage repair guarantees, periodic pest management services, insulation services, crawlspace encapsulation, wildlife exclusion, and disinfection services. Its services protect against termite damage, rodents, insects and other pests, including cockroaches, spiders, wood-destroying ants, ticks, fleas, mosquitos, and bed bugs.

Terminix Global Holdings Fundamentals Summary

How do Terminix Global Holdings's earnings and revenue compare to its market cap?
TMX fundamental statistics
Market CapUS$5.09b
Earnings (TTM)US$118.00m
Revenue (TTM)US$2.07b

43.1x

P/E Ratio

2.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TMX income statement (TTM)
RevenueUS$2.07b
Cost of RevenueUS$1.22b
Gross ProfitUS$851.00m
Other ExpensesUS$733.00m
EarningsUS$118.00m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.97
Gross Margin41.11%
Net Profit Margin5.70%
Debt/Equity Ratio33.4%

How did TMX perform over the long term?

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

Valuation

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

Valuation Score

2/6

Valuation Score 2/6

  • 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 TMX?

Other financial metrics that can be useful for relative valuation.

TMX 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/Revenue2.9x
Enterprise Value/EBITDA16.6x
PEG Ratio2.2x

Price to Earnings Ratio vs Peers

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

TMX PE Ratio vs Peers
The above table shows the PE ratio for TMX vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average34.9x
HRB H&R Block
13.2x6.2%US$5.7b
SCI Service Corporation International
13.8x-2.0%US$10.9b
FTDR Frontdoor
14.7x19.2%US$1.8b
EWCZ European Wax Center
97.8x34.6%US$1.3b
TMX Terminix Global Holdings
43.1x20.0%US$5.1b

Price-To-Earnings vs Peers: TMX is expensive based on its Price-To-Earnings Ratio (43.1x) compared to the peer average (34.9x).


Price to Earnings Ratio vs Industry

How does TMX's PE Ratio compare vs other companies in the US Consumer Services Industry?

Price-To-Earnings vs Industry: TMX is expensive based on its Price-To-Earnings Ratio (43.1x) compared to the US Consumer Services industry average (19.5x)


Price to Earnings Ratio vs Fair Ratio

What is TMX'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.

TMX PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio43.1x
Fair PE Ratio30.1x

Price-To-Earnings vs Fair Ratio: TMX is expensive based on its Price-To-Earnings Ratio (43.1x) compared to the estimated Fair Price-To-Earnings Ratio (30.1x).


Share Price vs Fair Value

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

Below Fair Value: TMX ($41.89) is trading below our estimate of fair value ($72.38)

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


Price to Earnings Growth Ratio

PEG Ratio: TMX is poor value based on its PEG Ratio (2.2x)


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Future Growth

How is Terminix Global Holdings forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

Future Growth Score

3/6

Future Growth Score 3/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


20.0%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TMX's forecast earnings growth (20% per year) is above the savings rate (1.9%).

Earnings vs Market: TMX's earnings (20% per year) are forecast to grow faster than the US market (13.9% per year).

High Growth Earnings: TMX's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: TMX's revenue (5.1% per year) is forecast to grow slower than the US market (8.4% per year).

High Growth Revenue: TMX'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: TMX's Return on Equity is forecast to be low in 3 years time (7.8%).


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Past Performance

How has Terminix Global 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


-25.4%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: TMX has high quality earnings.

Growing Profit Margin: TMX's current net profit margins (5.7%) are higher than last year (2.3%).


Past Earnings Growth Analysis

Earnings Trend: TMX's earnings have declined by 25.4% per year over the past 5 years.

Accelerating Growth: TMX's earnings growth over the past year (156.5%) exceeds its 5-year average (-25.4% per year).

Earnings vs Industry: TMX earnings growth over the past year (156.5%) exceeded the Consumer Services industry -10.4%.


Return on Equity

High ROE: TMX's Return on Equity (4.9%) is considered low.


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Financial Health

How is Terminix Global Holdings's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: TMX's short term assets ($573.0M) exceed its short term liabilities ($547.0M).

Long Term Liabilities: TMX's short term assets ($573.0M) do not cover its long term liabilities ($1.5B).


Debt to Equity History and Analysis

Debt Level: TMX's net debt to equity ratio (26.4%) is considered satisfactory.

Reducing Debt: TMX's debt to equity ratio has reduced from 412.9% to 33.4% over the past 5 years.

Debt Coverage: TMX's debt is well covered by operating cash flow (32%).

Interest Coverage: TMX's interest payments on its debt are well covered by EBIT (5.8x coverage).


Balance Sheet


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Dividend

What is Terminix Global Holdings's 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 TMX's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate TMX'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 TMX's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if TMX'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 TMX has not reported any payouts.


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Management

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

1.5yrs

Average management tenure


CEO

Brett Ponton (51 yo)

1.75yrs

Tenure

US$4,998,107

Compensation

Mr. Brett T. Ponton has been Chief Executive Officer and Director of Terminix Global Holdings, Inc. (formerly known as ServiceMaster Global Holdings, Inc.)., since September 15, 2020. He served as the Pres...


CEO Compensation Analysis

Compensation vs Market: Brett's total compensation ($USD5.00M) is below average for companies of similar size in the US market ($USD8.23M).

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


Leadership Team

Experienced Management: TMX's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.


Board Members

Experienced Board: TMX's board of directors are not considered experienced ( 2.9 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: TMX 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

Terminix Global Holdings, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Terminix Global Holdings, Inc.
  • Ticker: TMX
  • Exchange: NYSE
  • Founded: 1929
  • Industry: Specialized Consumer Services
  • Sector: Consumer Services
  • Implied Market Cap: US$5.090b
  • Shares outstanding: 121.50m
  • Website: https://www.terminix.com

Number of Employees


Location

  • Terminix Global Holdings, Inc.
  • 150 Peabody Place
  • Memphis
  • Tennessee
  • 38103
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/27 00:00
End of Day Share Price2022/06/27 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.