TQN
CyclicalsValuation Breakdown
Cyclical companies (chemicals, oil & gas, basic resources) have earnings that swing dramatically with commodity prices and economic cycles. Valuing them on a single year's earnings is misleading: they look cheap at peaks and expensive at troughs. This model uses 7-year median EBITDA ("mid-cycle" earnings) and a 7-year median EV/EBITDA multiple to estimate what the firm is worth at a normal point in the cycle.
Valuation Track Record
Retroactive intrinsic value vs actual close price — TQN
Earnings Quality
Fiscal year 2025
Financial Forensics
Beneish M-Score · 2025
TQN exhibits a Beneish M-Score of -2.8385, indicating a low likelihood of earnings manipulation, as it is significantly below the manipulation threshold of -1.78. However, the earnings quality metrics reveal concerning signs, particularly the low receivables and revenue scores, which suggest potential issues in revenue recognition and cash flow management.
- Earnings Quality Score of 57.5/100 indicates moderate quality, with eq_receivables at only 12.7/100, suggesting potential issues in managing accounts receivable.
- The eq_margin and eq_revenue scores are both at 0.0/100, indicating no margin or revenue quality, which raises concerns about the sustainability of earnings.
- The DSRI of 0.8847 suggests that inventory growth is lower than sales growth, which is generally a positive signal for operational efficiency.
- The eq_accrual score of 98.1/100 indicates strong accrual quality, suggesting that reported earnings are backed by actual cash flows.
The ownership structure is concentrated among a few individuals, with the top five shareholders holding a combined 70.5% of shares. This concentration may lead to governance risks and potential conflicts of interest.
Investors should closely monitor TQN's revenue recognition practices and cash flow management. It may be prudent to conduct further due diligence on the company's operational efficiency and governance structure before making investment decisions.
Generated by AI based on quantitative data. Not financial advice.
Quantitative Scores
Key Ratios
Company Overview
// OWNERSHIP_NETWORK
> mapping common ownership for TQN — hover nodes for intel, click to navigate