NasdaqGS:TRMB

Stock Analysis Report

Executive Summary

Trimble Inc. provides technology solutions that enable professionals and field mobile workers to enhance or transform their work processes worldwide.


Snowflake Analysis

Solid track record with mediocre balance sheet.


Similar Companies

Share Price & News

How has Trimble's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: TRMB's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

12.5%

TRMB

10.0%

US Electronic

12.5%

US Market


1 Year Return

-27.2%

TRMB

-21.6%

US Electronic

-12.7%

US Market

Return vs Industry: TRMB underperformed the US Electronic industry which returned -20.1% over the past year.

Return vs Market: TRMB underperformed the US Market which returned -11.9% over the past year.


Shareholder returns

TRMBIndustryMarket
7 Day12.5%10.0%12.5%
30 Day-24.4%-18.7%-14.7%
90 Day-28.4%-29.8%-21.5%
1 Year-27.2%-27.2%-20.8%-21.6%-10.9%-12.7%
3 Year-6.0%-6.0%-0.8%-3.6%12.6%5.4%
5 Year20.6%20.6%22.2%16.1%31.9%17.5%

Price Volatility Vs. Market

How volatile is Trimble's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

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

40.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: TRMB ($29.85) is trading below our estimate of fair value ($50.34)

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


Price To Earnings Ratio

PE vs Industry: TRMB is poor value based on its PE Ratio (14.6x) compared to the Electronic industry average (14.4x).

PE vs Market: TRMB is poor value based on its PE Ratio (14.6x) compared to the US market (13x).


Price to Earnings Growth Ratio

PEG Ratio: TRMB's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: TRMB is overvalued based on its PB Ratio (2.4x) compared to the US Electronic industry average (1.5x).


Next Steps

Future Growth

How is Trimble forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

-18.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TRMB's earnings are forecast to decline over the next 3 years (-16.5% per year).

Earnings vs Market: TRMB's earnings are forecast to decline over the next 3 years (-16.5% per year).

High Growth Earnings: TRMB's earnings are forecast to decline over the next 3 years.

Revenue vs Market: TRMB's revenue (3.5% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: TRMB's revenue (3.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TRMB's Return on Equity is forecast to be low in 3 years time (15.7%).


Next Steps

Past Performance

How has Trimble performed over the past 5 years?

21.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TRMB has high quality earnings.

Growing Profit Margin: TRMB's current net profit margins (15.8%) are higher than last year (9.1%).


Past Earnings Growth Analysis

Earnings Trend: TRMB's earnings have grown significantly by 21.8% per year over the past 5 years.

Accelerating Growth: TRMB's earnings growth over the past year (81.7%) exceeds its 5-year average (21.8% per year).

Earnings vs Industry: TRMB earnings growth over the past year (81.7%) exceeded the Electronic industry 3.2%.


Return on Equity

High ROE: TRMB's Return on Equity (16.5%) is considered low.


Next Steps

Financial Health

How is Trimble's financial position?


Financial Position Analysis

Short Term Liabilities: TRMB's short term assets ($1.2B) exceed its short term liabilities ($1.2B).

Long Term Liabilities: TRMB's short term assets ($1.2B) do not cover its long term liabilities ($2.3B).


Debt to Equity History and Analysis

Debt Level: TRMB's debt to equity ratio (59.1%) is considered high.

Reducing Debt: TRMB's debt to equity ratio has increased from 31.2% to 59.1% over the past 5 years.

Debt Coverage: TRMB's debt is well covered by operating cash flow (31.7%).

Interest Coverage: TRMB's interest payments on its debt are well covered by EBIT (5.1x coverage).


Balance Sheet

Inventory Level: TRMB has a low level of unsold assets or inventory.

Debt Coverage by Assets: TRMB's debt is not covered by short term assets (assets are 0.7x debt).


Next Steps

Dividend

What is Trimble's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate TRMB's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate TRMB's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if TRMB's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if TRMB's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of TRMB's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

3.0yrs

Average management tenure


CEO

Rob Painter (47yo)

0.17

Tenure

US$2,934,996

Compensation

Mr. Robert G. Painter, also known as Rob, is the Chief Executive Officer, President and Director of Trimble Inc. since January 4, 2020. He served as the Chief Financial Officer at Trimble Inc. (also know a ...


CEO Compensation Analysis

Compensation vs Market: Rob's total compensation ($USD2.93M) is below average for companies of similar size in the US market ($USD7.34M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Robert Painter
CEO, President & Director0.17yrUS$2.93m0.031% $2.3m
James Kirkland
Senior VP11.67yrsUS$2.03m0.024% $1.8m
Bryn Fosburgh
Senior Vice Presidentno dataUS$2.60m0.029% $2.1m
Darryl Matthews
Senior Vice President4.5yrsUS$2.12m0.0096% $714.6k
David Barnes
Chief Financial Officer0.17yrno datano data
Leah Lambertson
Senior VP of Operations & Chief Information Officer3yrsno datano data
Julie Shepard
VP of Finance & Chief Accounting Officer12.83yrsUS$968.58k0.0077% $575.0k
Thomas Fansler
Senior VP & Chief Technology Officer0.50yrno data0.0049% $366.7k
Michael Leyba
Director of Investor Relationsno datano datano data
Michael Lesyna
Senior Vice President of Strategy & Corporate Development3yrsUS$242.74kno data

3.0yrs

Average Tenure

57.5yo

Average Age

Experienced Management: TRMB's management team is considered experienced (3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Robert Painter
CEO, President & Director0.17yrUS$2.93m0.031% $2.3m
E. Ekholm
Independent Director0.17yrUS$30.00k0.013% $1.0m
Steven Berglund
Executive Chairman0.17yrUS$11.18m0.23% $16.8m
Ronald Nersesian
Independent Director8.33yrsUS$337.01k0.013% $970.8k
Mark Peek
Independent Director10yrsUS$337.01k0.022% $1.7m
Kaigham Gabriel
Independent Director5.17yrsUS$337.01k0.0035% $264.3k
Merit Janow
Independent Director12yrsUS$337.01k0.012% $906.5k
Johan Wibergh
Independent Director2yrsUS$337.01k0.0033% $244.9k
Meaghan Lloyd
Independent Director4.17yrsUS$337.01k0.011% $818.4k
Sandra Macquillan
Independent Director1.42yrsUS$176.58k0.0015% $115.7k

3.1yrs

Average Tenure

58yo

Average Age

Experienced Board: TRMB's board of directors are considered experienced (3.1 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: TRMB 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

Trimble Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Trimble Inc.
  • Ticker: TRMB
  • Exchange: NasdaqGS
  • Founded: 1978
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: US$7.467b
  • Shares outstanding: 250.17m
  • Website: https://www.trimble.com

Number of Employees


Location

  • Trimble Inc.
  • 935 Stewart Drive
  • Sunnyvale
  • California
  • 94085
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TRMBNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJul 1990
TB5DB (Deutsche Boerse AG)YesCommon StockDEEURJul 1990
TRMB *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJul 1990
TB5BRSE (Berne Stock Exchange)YesCommon StockCHCHFJul 1990

Biography

Trimble Inc. provides technology solutions that enable professionals and field mobile workers to enhance or transform their work processes worldwide. The company operates in four segments: Buildings and Infrastructure, Geospatial, Resources and Utilities, and Transportation. The Buildings and Infrastructure segment offers field and office software for route selection and design; systems to guide and control construction equipment; systems to monitor, track, and manage assets, equipment, and workers; software to share and communicate data; 3D conceptual design and modeling software; building information modeling software; integrated site layout and measurement systems; applications for sub-contractors and trades; and integrated workplace management services software. This segment serves architects, engineers, contractors, owners, and operators. The Geospatial segment provides surveying and geospatial products and services to the construction, engineering, mining, oil and gas, energy and utilities, government, and land management sectors; and geographic information systems. The Resources and Utilities segment offers precision agriculture products and services that consist of guidance and positioning systems, automated and variable-rate application and technology systems, and information management solutions primarily to customers working in agriculture, forestry, and utilities. The Transportation segment offers a suite of solutions under the Trimble, PeopleNet, GEOTrac, TMW, ISE, Punch, Veltec, and Trimble MAPS brands to customers working in long haul trucking, field service management, rail, and military aviation. The company was formerly known as Trimble Navigation Limited and changed its name to Trimble Inc. in October 2016. Trimble Inc. was founded in 1978 and is headquartered in Sunnyvale, California. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/30 01:41
End of Day Share Price2020/03/27 00:00
Earnings2020/01/03
Annual Earnings2020/01/03


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.