TFI International Inc. (NYSE: TFII)

Sector: Industrials Industry: Trucking CIK: 0001588823
Market Cap 10.05 Bn
P/B 3.75
P/E 32.37
P/S 1.27
ROIC (Qtr) 7.83
Div Yield % 0.74
Rev 1y % (Qtr) -7.84
Total Debt (Qtr) 3.33 Bn
Debt/Equity (Qtr) 1.25
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About

Investment thesis

Bull case

  • Operating cash flow of 977.79M provides strong 64.55x coverage of stock compensation 15.15M, indicating sustainable incentive practices.
  • Robust free cash flow of 763.35M exceeds capital expenditure of 214.44M by 3.56x, indicating strong organic growth funding capability.
  • Operating cash flow of 977.79M fully covers other non-current liabilities 735.32M by 1.33x, showing strong long-term stability.
  • Robust tangible asset base of 4.64B provides 120.07x coverage of working capital 38.69M, indicating strong operational backing.
  • Operating cash flow of 977.79M provides strong 50.07x coverage of inventory 19.53M, indicating efficient inventory management.

Bear case

  • Operating cash flow of 977.79M barely covers its investment activities of (361.88M), with a coverage ratio of -2.70, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Operating cash flow of 977.79M provides thin coverage of dividend payments of (151.09M) with a -6.47 ratio, suggesting potential dividend sustainability issues if operational performance deteriorates.
  • Cash reserves of 210.19M provide limited coverage of acquisition spending of (132.32M), which is -1.59x, suggesting aggressive expansion might strain liquidity if market conditions deteriorate.
  • High receivables of 881.43M relative to inventory of 19.53M (45.13 ratio) suggests aggressive credit terms or collection difficulties, potentially masking revenue quality issues.
  • Operating earnings of 567.63M show weak coverage of depreciation charges of 610.50M, with a 0.93 ratio indicating high capital intensity and potential reinvestment needs.

Segments [axis] Breakdown of Revenue (2025)

Segments [axis] Breakdown of Revenue (2025)

Peer comparison

Companies in the Trucking
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 ODFL Old Dominion Freight Line, Inc. 48.73 Bn 782.67 33.27 0.08 Bn
2 XPO XPO, Inc. 23.75 Bn 75.14 2.91 4.09 Bn
3 SAIA Saia Inc 10.38 Bn 36.60 3.21 0.35 Bn
4 TFII TFI International Inc. 10.05 Bn 32.37 1.27 3.33 Bn
5 KNX Knight-Swift Transportation Holdings Inc. 9.89 Bn 11.13 1.36 3.22 Bn
6 SNDR Schneider National, Inc. 4.98 Bn 12.00 1.10 0.52 Bn
7 ARCB Arcbest Corp /De/ 2.70 Bn 45.25 0.96 0.46 Bn
8 RXO RXO, Inc. 2.51 Bn -25.14 0.44 0.67 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 1.74 1.82
EV to Cash from Ops. EV/CFO 13.33 30.89
EV to Debt EV to Debt 3.91 334.88
EV to EBIT EV/EBIT 22.96 41.39
EV to EBITDA EV/EBITDA 11.08 30.41
EV to Free Cash Flow [EV/FCF] EV/FCF 17.07 8.80
EV to Market Cap EV to Market Cap 1.30 1.18
EV to Revenue EV/Rev 1.65 3.58
Price to Book Value [P/B] P/B 3.75 8.76
Price to Earnings [P/E] P/E 32.37 71.24
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Div Coverage (Qtr) 2.06 1.04
Dividend Payout Ratio % Div Payout % (Qtr) 24.10 27.17
Dividend per Basic Share Div per Share (Qtr) 0.90 0.34
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 9.70 16.21
Interest Coverage Int. cover (Qtr) 3.50 2,509.13
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) 34.51 -384.47
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 0.00 6.65
Dividend Growth (1y) % Div 1y % (Qtr) -56.10 -0.53
EBIAT Growth (1y) % EBIAT 1y % (Qtr) -21.23 -139.40
EBITDA Growth (1y) % EBITDA 1y % (Qtr) -9.62 -265.30
EBIT Growth (1y) % EBIT 1y % (Qtr) -22.53 -150.93
EBT Growth (1y) % EBT 1y % (Qtr) -27.71 -53,829.57
EPS Growth (1y) % EPS 1y % (Qtr) -25.20 -170.98
FCF Growth (1y) % FCF 1y % (Qtr) 3.83 59.93
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) -5.64 -3.53
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 1.05 1.07
Cash Payout Ratio Cash Payout (Qtr) 0.13 0.05
Cash Ratio Cash Ratio (Qtr) 0.18 0.23
Current Ratio Curr Ratio (Qtr) 1.03 1.44
Debt to Equity Ratio Debt/Equity (Qtr) 1.25 0.64
Interest Cover Ratio Int Coverage (Qtr) 3.50 2,509.13
Times Interest Earned Times Interest Earned (Qtr) 3.50 2,509.13
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) 14.90 10.72
EBIT Margin % EBIT Margin % (Qtr) 7.20 1.50
EBT Margin % EBT Margin % (Qtr) 5.14 0.13
Gross Margin % Gross Margin % (Qtr) 50.60 46.24
Net Profit Margin % Net Margin % (Qtr) 3.90 -0.55