Hot Topics for Teck Resources Investors

Teck Resources logged a 2.8% change during today's afternoon session, and is now trading at a price of $50.91 per share.

Teck Resources returned gains of 15.9% last year, with its stock price reaching a high of $55.13 and a low of $34.38. Over the same period, the stock underperformed the S&P 500 index by -8.8%. The company's 50-day average price was $49.22. Teck Resources Limited engages in exploring for, acquiring, developing, and producing natural resources in Asia, Europe, and North America. Based in Vancouver, Canada, the Large-Cap Industrials company has 12,600 full time employees. Teck Resources has offered a 1.0% dividend yield over the last 12 months.

Generally Positive Cash Flows but a Declining EPS Growth Trend:

2018 2019 2020 2021 2022 2023
Revenue (M) $12,564 $11,934 $8,948 $12,766 $17,316 $15,011
Gross Margins 37% 28% 15% 41% 49% 34%
Net Margins 25% -5% -11% 23% 19% 15%
Net Income (M) $3,145 -$588 -$944 $2,915 $3,298 $2,308
Earnings Per Share $5.34 -$1.08 -$1.62 $5.31 $6.19 $4.59
EPS Growth n/a -120.22% -50.0% 427.78% 16.57% -25.85%
Free Cash Flow (M) $4,438 $3,484 $1,563 $4,738 $7,983 $4,084
Total Debt (M) $5,181 $4,133 $6,140 $7,161 $6,551 $6,019
Net Debt / EBITDA 0.55 2.12 9.48 0.89 0.54 0.84
Current Ratio 2.11 1.62 1.23 1.62 1.41 1.1

Teck Resources's Earnings and Assets May Be Undervalued:

Teck Resources has a trailing twelve month P/E ratio of 22.0, compared to an average of 25.4 for the Industrials sector. Based on its EPS guidance of $2.1, the company has a forward P/E ratio of 23.4. The -12.5% compound average growth rate of Teck Resources's historical and projected earnings per share yields a PEG ratio of -1.76. This indicates that its shares are overvalued.In contrast, the market is likely undervaluing Teck Resources in terms of its equity because its P/B ratio is 1.01 while the sector average is 3.23.

There's an Analyst Consensus of Some Upside Potential for Teck Resources:

The 10 analysts following Teck Resources have set target prices ranging from $52.64 to $67.26 per share, for an average of $57.04 with a buy rating. The company is trading -10.7% away from its average target price, indicating that there is an analyst consensus of some upside potential.

The largest shareholder is Royal Bank of Canada, whose 4% stake in the company is worth $1,065,220,136.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.