TSA
ConstructionValuation Breakdown
Construction and industrial firms have characteristics of both cyclical businesses (lumpy project-based revenue) and growth companies (expanding order books). This model blends two approaches 50/50: EV/EBITDA valuation (captures current earning power relative to peers) and FCF-based DCF (captures future cash generation potential). If EV/EBITDA produces a negative value (debt exceeds enterprise value), only DCF is used.
Valuation Track Record
Retroactive intrinsic value vs actual close price — TSA
Earnings Quality
Fiscal year 2025
Financial Forensics
Beneish M-Score · 2025
TSA exhibits a Beneish M-Score of -2.4218, indicating a low likelihood of earnings manipulation, as it is below the threshold of -1.78. However, the company's earnings quality metrics reveal concerning aspects, particularly a zero score in revenue quality, which could signal potential issues in revenue recognition.
- Earnings Quality Score of 76.9/100 is decent, but a revenue quality score of 0.0/100 raises concerns about the reliability of reported revenues.
- The DSRI of 1.0399 is slightly above 1, suggesting a potential increase in receivables relative to sales, which could indicate aggressive revenue recognition practices.
- The cash conversion score of 100.0/100 indicates strong cash flow generation relative to earnings, suggesting that the company is effectively converting its profits into cash.
- The GMI of 0.9567 indicates a decrease in gross margin, which, while a red flag in some contexts, may reflect a competitive pricing strategy rather than manipulation.
The top shareholders are individuals with significant stakes, with the largest holding at 20%. This concentrated ownership could lead to governance risks, particularly if decisions favor personal interests over minority shareholders.
Investors should closely monitor TSA's revenue recognition practices and consider the implications of its ownership structure. A thorough review of financial statements and potential engagement with management may be warranted to address concerns over revenue quality.
Generated by AI based on quantitative data. Not financial advice.
Quantitative Scores
Key Ratios
Company Overview
// OWNERSHIP_NETWORK
> mapping common ownership for TSA — hover nodes for intel, click to navigate