Titan Machinery Intrinsic Value Calculator – TITAN MACHINERY Announces Third Quarter FY2024 Earnings Results for November 30 2023
December 18, 2023
🌥️Earnings Overview
On October 31, 2023, TITAN MACHINERY ($NASDAQ:TITN) reported their third quarter FY2024 results, which ended on November 30, 2023. The total revenue for the quarter was USD 694.1 million, representing a 3.8% increase compared to the same period the previous year. Nevertheless, net income decreased year-over-year by 26.8%, dropping to USD 30.2 million.
Share Price
On Thursday, TITAN MACHINERY announced its third quarter earnings results for the fiscal year ending November 30, 2023. The stock opened at $22.7 and closed at $22.9, a dip of 10.3% from its prior closing price of 25.5. The company reported a total revenue of $2 billion for the quarter, up 4% from the same period last year. Despite strong performance on the top line, the company’s margins were slightly lower than expected due to higher expenses associated with larger sales volumes and increased investments into product development.
Overall, TITAN MACHINERY delivered a solid performance in the third quarter of FY2024 that exceeded expectations. Looking ahead, the company is well-positioned to continue to drive growth and profitability with its diverse portfolio of products and investments into research and development. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Titan Machinery. More…
| Total Revenues | Net Income | Net Margin |
| 2.49k | 107.63 | 4.3% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Titan Machinery. More…
| Operations | Investing | Financing |
| -64.11 | -74.15 | 157.89 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Titan Machinery. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 1.65k | 1.02k | 27.37 |
Key Ratios Snapshot
Some of the financial key ratios for Titan Machinery are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 23.4% | 64.6% | 6.2% |
| FCF Margin | ROE | ROA |
| -4.7% | 15.9% | 5.9% |
Analysis – Titan Machinery Intrinsic Value Calculator
At GoodWhale, we recently analyzed the financials of TITAN MACHINERY, a leading producer and distributor of agriculture and construction equipment. After running our proprietary Valuation Line model, we found that the intrinsic value of TITAN MACHINERY stock is approximately $37.8. This means that currently, the stock is trading at $22.9; a 39.5% discount to its intrinsic value. This implies that there is a great investment opportunity for potential investors. To take advantage of this opportunity, we recommend that investors buy the stock while it is undervalued and hold it until it reaches its intrinsic value. More…
Peers
Its main competitors are Narasaki Sangyo Co Ltd, Finning International Inc, and Ferronordic AB. These companies are all leaders in the heavy equipment industry, and they all compete for market share.
– Narasaki Sangyo Co Ltd ($TSE:8085)
Narasaki Sangyo Co Ltd is a Japanese company that manufactures and sells chemicals, plastics, and other industrial products. The company has a market cap of 8.44B as of 2022 and a Return on Equity of 8.36%. Narasaki Sangyo Co Ltd is a diversified company that operates in a number of different industries. The company’s products are used in a wide variety of applications, including the automotive, electronics, and construction industries.
– Finning International Inc ($TSX:FTT)
Finning International Inc is a world leader in the sale, service and rental of Caterpillar equipment for the construction, forestry, mining and energy sectors. With more than 15,000 employees, Finning operates in locations across Canada, South America, the UK and Ireland.
– Ferronordic AB ($LTS:0RVG)
Ferronordic AB is a Swedish company that sells, rents, and services construction equipment in the Nordic and Russian regions. The company has a market capitalization of 478.12 million as of 2022 and a return on equity of 19.37%. Ferronordic is the exclusive dealer for Volvo Construction Equipment, Terex Trucks, and Dressta in the Nordic region, and the company also has a joint venture with Volvo Construction Equipment in Russia. Ferronordic’s main competitors include Volvo Construction Equipment, Caterpillar, and Komatsu.
Summary
TITAN MACHINERY reported their earnings results for the third quarter of FY2024, which showed that total revenue had increased by 3.8%, but net income had decreased by 26.8%. On October 31 2023, when the results were announced, investors reacted negatively and the stock price dropped. Thus, investing in TITAN MACHINERY carries a certain degree of risk, and investors should proceed with caution. Analysts should carefully evaluate the company’s fundamentals in order to assess its potential upside and downside before deciding to invest.
