Education
About Us
Working with TipRanks
Follow Us
Techtronic Industries (TTNDY)
OTHER OTC:TTNDY
Top Page
Techtronic Industries
(OTC:TTNDY)
Rating:81Outperform
Price Target:
$66.00
▲(18.71%Upside)
Techtronic Industries (TTNDY) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$20.26B
Dividend Yield2.73%
Average Volume (3M)61.53K
Price to Earnings (P/E)18.1
Beta (1Y)1.00
Revenue Growth6.44%
EPS Growth15.21%
CountryUS
Employees46,580
SectorIndustrials
Sector Strength87
IndustryManufacturing - Tools & Accessories
Share Statistics
EPS (TTM)1.55
Shares Outstanding366,319,000
10 Day Avg. Volume61,057
30 Day Avg. Volume61,532
Financial Highlights & Ratios
PEG Ratio-2.17
Price to Book (P/B)3.74
Price to Sales (P/S)0.00
P/FCF Ratio17.48
Enterprise Value/Market Cap5.40
Enterprise Value/Revenue1.97
Enterprise Value/Gross Profit18.55
Enterprise Value/Ebitda18.75
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
Techtronic Industries Business Overview & Revenue Model
Company DescriptionTechtronic Industries Company Limited engages in the design, manufacture, and marketing of power tools, outdoor power equipment, and floorcare and cleaning products worldwide. It offers power tools, power tool accessories, outdoor products, and outdoor product accessories for consumer, trade, professional, and industrial users under the MILWAUKEE, EMPIRE, AEG, RYOBI, HOMELITE, and HART brands, as well as to original equipment manufacturer (OEM) customers. The company provides floorcare products and accessories under the HOOVER, DIRT DEVIL, VAX, and ORECK brands, as well as to OEM customers. It serves Do-It-Yourself, professional, and industrial users in the home improvement, repair, maintenance, construction, and infrastructure industries. The company was founded in 1985 and is based in Kwai Chung, Hong Kong.
How the Company Makes MoneyTechtronic Industries generates revenue primarily through the sale of its diverse portfolio of power tools, outdoor power equipment, and floor care products. The company's products are distributed through major retail channels, including home improvement stores, online platforms, and direct sales to professionals and contractors. Key revenue streams include its flagship brands like Milwaukee and Ryobi, which are highly regarded in the construction and home improvement sectors. The company also benefits from strategic partnerships and licensing agreements that enhance its market reach and brand visibility. Continuous investment in innovation and product development further drives sales and maintains competitive advantage, contributing significantly to its earnings.
Techtronic Industries Earnings Call Summary
Earnings Call Date:Mar 04, 2025
(Q4-2024)
| % Change Since: -20.88%|
Next Earnings Date:Aug 06, 2025
Earnings Call Sentiment Positive
The earnings call presented a strongly positive outlook with significant revenue and profit growth, major debt reduction, and strategic investments in innovation and market leadership, particularly in the Milwaukee brand. However, challenges remain in the Floorcare & Cleaning division and in managing inventory and tax rates.Q4-2024 Updates
Positive Updates
Record Revenue and Profit Growth
Revenue increased by 6.5% to $14.6 billion with net profit up 14.9% to $1.12 billion. Gross profits also rose by $476 million to $5.9 billion.
Strong Free Cash Flow
Generated $1.6 billion in free cash flow, a 23% increase from 2023, with a conversion of 142% of net profits.
Milwaukee's Market Leadership
Milwaukee sales grew by 11.6% in local currencies, further extending its market leadership.
Dividend Increase
Final dividend recommended at HK$1.18 per share, a 20.4% increase from 2023, with total dividend for 2024 increasing by 17.1%.
Strategic Focus on Innovation
Continued significant investment in R&D, increasing by over 40 basis points to 4.4% of sales.
Geographic Growth
All regions delivered growth, with Europe up over 10% and the rest of the world, led by Australia, up 12.5% in local currencies.
Reduction in Net Debt
Total net debt reduced by over 95% to $45 million at year-end.
Negative Updates
Floorcare & Cleaning Division Revenue Decline
Revenue for the Floorcare & Cleaning division was down 4.5% in local currency due to a focus on improving profitability and exiting non-performing SKUs.
Increased Effective Tax Rates
Effective tax rates increased by 30 basis points to 7.8%.
Inventory and Receivables Management
Trade receivables increased by 2 days due to higher Q4 sales, with inventory levels remaining comparable to 2023 despite sales growth.
Company Guidance
In the TTI Group's 2024 Annual Result Announcement, the company reported impressive financial metrics, showcasing a robust performance. Revenue increased by 6.5% to $14.6 billion, with Milwaukee Power Tools achieving a sales growth of 11.6% in local currencies, while RYOBI Power Tools grew by 6.7%. The company's net profit rose by 14.9% to $1.12 billion, with a net profit margin of 7.7%. Gross profits reached $5.9 billion, reflecting an increase in gross margin to 40.3%. The company's free cash flow surged to $1.6 billion, a 23% increase over the previous year, representing a 142% conversion of net profits. TTI's earnings per share rose by 15.1% to $0.6143, and the board recommended a final dividend of HK$1.18 per share, marking a 20.4% increase. The Power Equipment division accounted for 94% of total revenue, growing 7.3% to $13.7 billion. Despite challenges in the Floorcare & Cleaning division, operating profits increased by 4.73%, with margins improving to 3.2%. The company maintained a strong balance sheet with shareholders' equity at $6.4 billion, and a significant reduction in net debt by over 95% to $45 million. TTI's global expansion and strategic investments have positioned it well for future growth, with plans for continued innovation and market leadership.Techtronic Industries Financial Statement Overview
Summary
Techtronic Industries demonstrates strong financial health with consistent revenue growth and robust profit margins. The company's balance sheet reflects a solid equity position, though a decreasing cash position is a minor concern. Cash flow performance is strong, with significant free cash flow growth.Income Statement
Techtronic Industries shows a strong income statement with consistent revenue growth and robust gross and net profit margins. The revenue grew by 6.5% from 2023 to 2024, and the net profit margin stands at 7.7% in 2024. However, the absence of EBIT in the latest year slightly affects the overall assessment.85
Very Positive
Balance Sheet
The company's balance sheet reflects a solid equity position with a debt-to-equity ratio of 0.33 as of 2024, signaling a manageable level of leverage. The equity ratio is healthy at 49.4%, indicating strong asset backing. However, a decreasing cash position over the years could be a concern if this trend continues.78
Positive
Cash Flow
Techtronic Industries demonstrates a positive cash flow performance, with free cash flow growing by 28.6% from 2023 to 2024. Operating cash flow to net income ratio is strong at 2.0, indicating efficient cash generation relative to income. The company maintains a healthy free cash flow to net income ratio of 1.4, reinforcing its ability to manage expenses and investments.82
Very Positive
| Breakdown | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 14.62B | 13.73B | 13.25B | 13.20B | 9.81B |
| Gross Profit | 5.90B | 5.42B | 5.21B | 5.12B | 3.75B |
| EBITDA | 2.00B | 1.78B | 1.44B | 1.38B | 1.03B |
| Net Income | 1.12B | 976.34M | 1.08B | 1.10B | 800.76M |
Balance Sheet | |||||
| Total Assets | 12.89B | 12.40B | 13.32B | 13.01B | 9.39B |
| Cash, Cash Equivalents and Short-Term Investments | 1.25B | 1.17B | 1.67B | 2.04B | 1.69B |
| Total Debt | 2.11B | 2.84B | 3.86B | 3.84B | 1.70B |
| Total Liabilities | 6.53B | 6.65B | 8.11B | 8.29B | 5.49B |
| Stockholders Equity | 6.36B | 5.75B | 5.21B | 4.72B | 3.90B |
Cash Flow | |||||
| Free Cash Flow | 1.58B | 1.23B | 652.11M | -847.48M | 700.14M |
| Operating Cash Flow | 2.27B | 2.10B | 1.23B | -100.94M | 1.16B |
| Investing Cash Flow | -606.24M | -778.78M | -919.23M | -1.02B | -580.27M |
| Financing Cash Flow | -1.33B | -1.80B | -712.74M | 1.47B | -498.09M |
Techtronic Industries Technical Analysis
Negative
55.60
Price Trends
55.03
Positive
58.29
Negative
63.67
Negative
Market Momentum
-0.40
Positive
47.26
Neutral
46.79
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TTNDY, the sentiment is Negative. The current price of 55.6 is below the 20-day moving average (MA) of 56.75, above the 50-day MA of 55.03, and below the 200-day MA of 63.67, indicating a neutral trend. The MACD of -0.40 indicates Positive momentum. The RSI at 47.26 is Neutral, neither overbought nor oversold. The STOCH value of 46.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TTNDY.
Techtronic Industries Peers Comparison
Overall Rating
UnderperformOutperform
Sector (67)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
81 Outperform | $20.26B | 18.10 | 18.50% | 2.73% | 6.44% | 15.21% | |
77 Outperform | $11.68B | 25.83 | 34.83% | 1.43% | -2.29% | -14.49% | |
77 Outperform | $12.00B | 49.65 | 8.51% | ― | 4.87% | 19.66% | |
74 Outperform | $16.26B | 16.28 | 19.15% | 2.75% | -0.88% | 0.04% | |
74 Outperform | $5.12B | 15.80 | 11.85% | 1.91% | -3.69% | -11.76% | |
68 Neutral | $10.47B | 28.73 | 4.03% | 4.85% | -3.04% | ― | |
67 Neutral | €8.43B | 18.51 | 6.19% | 2.64% | 2.33% | -39.06% |
* Industrials Sector Average
Performance Comparison
TTNDY
Techtronic Industries
55.60
-0.41
-0.73%
LECO
Lincoln Electric Holdings
209.27
26.91
14.76%
RBC
RBC Bearings
381.36
113.38
42.31%
SNA
Snap-on
311.01
60.61
24.21%
SWK
Stanley Black & Decker
67.65
-7.06
-9.45%
TKR
Timken Company
73.21
-4.40
-5.67%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.