Analyzing Tenneco (TEN) & The Competition
Tenneco (NYSE: TEN) is one of 32 public companies in the “Auto, Truck & Motorcycle Parts” industry, but how does it weigh in compared to its peers? We will compare Tenneco to similar businesses based on the strength of its risk, analyst recommendations, valuation, dividends, institutional ownership, earnings and profitability.
Tenneco pays an annual dividend of $1.00 per share and has a dividend yield of 1.6%. Tenneco pays out 19.7% of its earnings in the form of a dividend. As a group, “Auto, Truck & Motorcycle Parts” companies pay a dividend yield of 1.4% and pay out 21.6% of their earnings in the form of a dividend. Tenneco is clearly a better dividend stock than its peers, given its higher yield and lower payout ratio.
This is a breakdown of recent ratings and target prices for Tenneco and its peers, as reported by MarketBeat.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
Tenneco currently has a consensus price target of $66.63, indicating a potential upside of 6.23%. As a group, “Auto, Truck & Motorcycle Parts” companies have a potential upside of 3.32%. Given Tenneco’s higher probable upside, equities research analysts plainly believe Tenneco is more favorable than its peers.
Institutional and Insider Ownership
94.2% of Tenneco shares are owned by institutional investors. Comparatively, 67.9% of shares of all “Auto, Truck & Motorcycle Parts” companies are owned by institutional investors. 2.7% of Tenneco shares are owned by company insiders. Comparatively, 15.2% of shares of all “Auto, Truck & Motorcycle Parts” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.
Risk and Volatility
Tenneco has a beta of 1.85, suggesting that its share price is 85% more volatile than the S&P 500. Comparatively, Tenneco’s peers have a beta of 1.40, suggesting that their average share price is 40% more volatile than the S&P 500.
This table compares Tenneco and its peers’ net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
Earnings and Valuation
This table compares Tenneco and its peers top-line revenue, earnings per share and valuation.
|Gross Revenue||EBITDA||Price/Earnings Ratio|
|Tenneco||$8.86 billion||$630.00 million||12.37|
|Tenneco Competitors||$5.85 billion||$698.05 million||15.59|
Tenneco has higher revenue, but lower earnings than its peers. Tenneco is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.
Tenneco beats its peers on 9 of the 15 factors compared.
Tenneco Inc. is a producer of clean air and ride performance products and systems for light vehicle, commercial truck, off-highway and other vehicle applications. The Company designs, manufactures and distributes highly engineered products for both original equipment vehicle manufacturers (OEMs) and the repair and replacement markets, or aftermarket, across the world. The Company operates through six segments: North America Clean Air; North America Ride Performance; Europe, South America and India Clean Air; Europe, South America and India Ride Performance; Asia Pacific Clean Air, and Asia Pacific Ride Performance. The Company serves both original equipment (OE) vehicle designers and manufacturers and the repair and replacement markets, or aftermarket, globally through brands, including Monroe, Rancho, Clevite Elastomers, Axios, Kinetic and Fric-Rot ride performance products and Walker, XNOx, Fonos, DynoMax and Thrush clean air products.
Receive News & Stock Ratings for Tenneco Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Tenneco Inc. and related stocks with our FREE daily email newsletter.