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TR

Tootsie Roll IndustriesNYSE:TR Stock Report

Market Cap

US$2.1b

7D

-4.7%

1Y

4.4%

Updated

30 Nov, 2021

Data

Company Financials
TR fundamental analysis
Snowflake Score
Valuation0/6
Future Growth0/6
Past Performance2/6
Financial Health6/6
Dividends3/6

TR Stock Overview

Tootsie Roll Industries, Inc., together with its subsidiaries, manufactures and sells confectionery products primarily in the United States, Canada, Mexico, and internationally.

Tootsie Roll Industries Competitors

Lamb Weston Holdings

NYSE:LW

US$7.6b

Lancaster Colony

NasdaqGS:LANC

US$4.0b

J & J Snack Foods

NasdaqGS:JJSF

US$2.6b

Hostess Brands

NasdaqCM:TWNK

US$2.4b

Price History & Performance

Summary of all time highs, changes and price drops for Tootsie Roll Industries
Historical stock prices
Current Share PriceUS$31.45
52 Week HighUS$57.26
52 Week LowUS$28.31
Beta-0.069
1 Month Change-0.63%
3 Month Change-0.88%
1 Year Change4.36%
3 Year Change0.16%
5 Year Change-5.91%
Change since IPO799.85%

Recent News & Updates

Nov 08
Tootsie Roll Industries (NYSE:TR) Has Some Difficulty Using Its Capital Effectively

Tootsie Roll Industries (NYSE:TR) Has Some Difficulty Using Its Capital Effectively

What underlying fundamental trends can indicate that a company might be in decline? More often than not, we'll see a...

Oct 21
Does Tootsie Roll Industries (NYSE:TR) Have A Healthy Balance Sheet?

Does Tootsie Roll Industries (NYSE:TR) Have A Healthy Balance Sheet?

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Sep 08

Tootsie Roll: Once Again, The Good News Is Priced In

I think Tootsie Roll is a wonderful business for a host of reasons. It's a steady cash flow generator with a very solid balance sheet. My history with this stock offers further evidence that our returns are a function of the price paid for a given stock. The price is currently not attractive. Just because I don't want to buy now, I'm willing to own the stock at a 20% discount to the current price. Therefore, I think short puts make sense here.

Shareholder Returns

TRUS FoodUS Market
7D-4.7%-4.4%-2.8%
1Y4.4%2.2%20.0%

Return vs Industry: TR exceeded the US Food industry which returned 2.2% over the past year.

Return vs Market: TR underperformed the US Market which returned 20% over the past year.

Price Volatility

Is TR's price volatile compared to industry and market?
TR volatility
TR Average Weekly Movement3.0%
Food Industry Average Movement5.2%
Market Average Movement6.0%
10% most volatile stocks in US Market15.0%
10% least volatile stocks in US Market2.3%

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

Volatility Over Time: TR's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
18962,000Ellen Gordonhttps://www.tootsie.com

Tootsie Roll Industries, Inc., together with its subsidiaries, manufactures and sells confectionery products primarily in the United States, Canada, Mexico, and internationally. The company sells its products under the Tootsie Roll, Tootsie Pops, Child’s Play, Caramel Apple Pops, Charms, Blow-Pop, Charms Mini Pops, Cella’s, Dots, Junior Mints, Charleston Chew, Sugar Daddy, Sugar Babies, Andes, Fluffy Stuff, Dubble Bubble, Razzles, Cry Baby, Nik-L-Nip, and Tutsi Pop trademarks. It sells its products directly to wholesale distributors of candy, food and groceries, supermarkets, variety stores, dollar stores, chain grocers, drug chains, discount chains, cooperative grocery associations, mass merchandisers, warehouse and membership club stores, vending machine operators, the United States military, and fund-raising charitable organizations, as well as through food and grocery brokers.

Tootsie Roll Industries Fundamentals Summary

How do Tootsie Roll Industries's earnings and revenue compare to its market cap?
TR fundamental statistics
Market CapUS$2.11b
Earnings (TTM)US$60.25m
Revenue (TTM)US$531.72m

35.0x

P/E Ratio

4.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TR income statement (TTM)
RevenueUS$531.72m
Cost of RevenueUS$344.93m
Gross ProfitUS$186.78m
ExpensesUS$126.54m
EarningsUS$60.25m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.90
Gross Margin35.13%
Net Profit Margin11.33%
Debt/Equity Ratio1.1%

How did TR perform over the long term?

See historical performance and comparison

Dividends

1.1%

Current Dividend Yield

40%

Payout Ratio

Valuation

Is Tootsie Roll Industries undervalued compared to its fair value and its price relative to the market?

35.05x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: TR ($31.45) is trading above our estimate of fair value ($19.1)

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


Price To Earnings Ratio

PE vs Industry: TR is poor value based on its PE Ratio (35x) compared to the US Food industry average (20.6x).

PE vs Market: TR is poor value based on its PE Ratio (35x) compared to the US market (16.8x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate TR's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: TR is overvalued based on its PB Ratio (2.8x) compared to the US Food industry average (2.4x).


Future Growth

How is Tootsie Roll Industries forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

10.8%

Forecasted Food, Beverage & Tobacco industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Tootsie Roll Industries has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Past Performance

How has Tootsie Roll Industries performed over the past 5 years?

-4.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TR has high quality earnings.

Growing Profit Margin: TR's current net profit margins (11.3%) are lower than last year (12.3%).


Past Earnings Growth Analysis

Earnings Trend: TR's earnings have declined by 4.3% per year over the past 5 years.

Accelerating Growth: TR's earnings growth over the past year (2.8%) exceeds its 5-year average (-4.3% per year).

Earnings vs Industry: TR earnings growth over the past year (2.8%) underperformed the Food industry 21.9%.


Return on Equity

High ROE: TR's Return on Equity (8%) is considered low.


Financial Health

How is Tootsie Roll Industries's financial position?


Financial Position Analysis

Short Term Liabilities: TR's short term assets ($277.9M) exceed its short term liabilities ($94.6M).

Long Term Liabilities: TR's short term assets ($277.9M) exceed its long term liabilities ($164.3M).


Debt to Equity History and Analysis

Debt Level: TR has more cash than its total debt.

Reducing Debt: TR's debt to equity ratio has reduced from 1.1% to 1.1% over the past 5 years.

Debt Coverage: TR's debt is well covered by operating cash flow (978.9%).

Interest Coverage: TR earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Tootsie Roll Industries's current dividend yield, its reliability and sustainability?

1.14%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: TR's dividend (1.14%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.35%).

High Dividend: TR's dividend (1.14%) is low compared to the top 25% of dividend payers in the US market (3.63%).


Stability and Growth of Payments

Stable Dividend: TR's dividends per share have been stable in the past 10 years.

Growing Dividend: TR's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (40.5%), TR's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

6.8yrs

Average management tenure


CEO

Ellen Gordon (89 yo)

6.83yrs

Tenure

US$4,882,302

Compensation

Ms. Ellen R. Gordon has been the Chairperson of the Board and Chief Executive Officer of Tootsie Roll Industries, Inc. since January 20, 2015 and has been its Director since 1969. Ms. Gordon serves as the...


CEO Compensation Analysis

Compensation vs Market: Ellen's total compensation ($USD4.88M) is above average for companies of similar size in the US market ($USD3.71M).

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


Leadership Team

Experienced Management: TR's management team is seasoned and experienced (6.8 years average tenure).


Board Members

Experienced Board: TR's board of directors are considered experienced (6.8 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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Tootsie Roll Industries, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Tootsie Roll Industries, Inc.
  • Ticker: TR
  • Exchange: NYSE
  • Founded: 1896
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Market Cap: US$2.114b
  • Shares outstanding: 67.14m
  • Website: https://www.tootsie.com

Number of Employees


Location

  • Tootsie Roll Industries, Inc.
  • 7401 South Cicero Avenue
  • Chicago
  • Illinois
  • 60629
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/11/30 23:56
End of Day Share Price2021/11/30 00:00
Earnings2021/09/30
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.