QualityDipStocks / Consumer Discretionary · Marine Transportation
TORM TRMD
Outside our quality screen, so we don’t track its dips. It’s 7% below its 52-week high.
Outside our quality screen. No fair value estimate for now: a capital-spending surge is squeezing its free cash flow.
- Fair value est.
- n/a
- Market Value
- —
- Off 52-wk high
- −7%
- Risk vs market
- Lowbeta 0.43
5 bullish · 5 bearish See why
Repriced or dip?
Near its high
The price is 7% below its 52-week high (Oct 29), but the business held up: net cash (cash minus debt) 0.0% of market cap since the high, operating margin 0.0 pts, free cash flow 0.0%.
Some numbers held up (net cash (cash minus debt) 0.0% of market cap since the high, operating margin 0.0 pts, free cash flow 0.0%), others slipped. The price is 7% below its 52-week high.
The price is 7% below its 52-week high, and the business changed too.
Within 10% of its 52-week high, so there is no dip to judge yet.
Data-based read, not advice.
Priced in
How much growth the market assumed at the 52-week high, the low and today (a reverse DCF).
At the high ($43.04, Oct 29) the price assumed about 9%/yr free-cash-flow growth; today about 8%. The last 3 years delivered −21%/yr (free cash flow).
Dashed line: what the last 3 years delivered, −21%/yr (free cash flow)
| High | Now | |
|---|---|---|
| Price | $43.04Oct 29 | $39.82 |
| Implied growth | +9% | +8% |
| P/E | 15.1× | 14.4× |
| P/FCF | 22.6× | 21.5× |
| EV/Sales | 3.3× | 3.2× |
What this means: the higher the implied growth, the more the price already counts on. If today's number sits well below what the business has delivered, the market expects less than its track record.
How it’s computed
Reverse DCF: the same 10-year free-cash-flow model as our fair value estimate (9.5% discount rate, growth for years 1–5 fading to 3% by year 10, 3% after), solved for the growth that makes it equal the market value at each price. For the high and the low we use only the filings that were public on that day, so nothing from a later report leaks back. Market value = that close × diluted shares. P/E = market value / 12-month net income; Price / FCF = market value / 12-month free cash flow; EV / Sales = (market value + debt − cash) / 12-month revenue. Hidden when the share count moved over 20% (split, merger), free cash flow is negative, or the company reports in another currency.
Valuation
What we estimate it's worth, and how it ranks on value vs every stock we cover.
Fair value estimate
Estimate unreliable for TRMD: free cash flow is squeezed by a capital-spending surge (capex is 62% of operating cash flow over the last 12 months, vs 24% in FY2022), so a DCF on today's free cash flow would understate the business. We’d rather show nothing than a made-up number.
Risk vs market
How risk vs market is measured
One year of daily returns (Oct 31 to Nov 2, 252 sessions). Beta = how much TRMD moved for each 1% move in the S&P 500 (SPY); 1.0 moves with the market. Volatility is the yearly standard deviation of daily returns. Past behavior, not a forecast.
Moves much less than the market, but its own price swings are 3.1× the S&P 500’s (it moves on its own news).
- Beta vs S&P 500
- 0.43
- Volatility
- 40% vs 13% SPY
- Correlation SPY
- 0.14
- Correlation QQQ
- 0.11
How it ranks
Where TRMD stands vs every one of the 1,996 stocks we cover that has the number. Longer bar = better.
Top quarter on 1 of 5 measures
- Free cash flow yield4.6% · free cash flow vs market capTop 43%of 1,391
- Dividends + buybacks yield4.9% · cash paid out or used to retire shares, vs market capTop 28%of 1,836
- Revenue growth, last 12 months−14% · vs the 12 months beforeLowest 2%of 1,814
- Operating margin27% · of sales kept as operating profitTop 15%of 1,288
- Return on invested capital15% · profit per dollar of capitalTop 34%of 838
From SEC filings and our fair value estimate model. A ranking, not advice.
Valuation details
Fundamentals
The business itself: sales, profits, cash and debt, from SEC filings.
Bull vs bear
Rule-based from the data on this page, strongest first. Not advice.
Top bullish points 5 of 5
Cash returnsDividend yield of 4.9% ($200M paid over 12 months, 70% of earnings).
ValuationP/E of 14.4× vs a 20.7× median for the 341 Consumer Discretionary companies we cover.
ProfitabilityOperating margin of 27% over the last 12 months.
ValuationFree-cash-flow yield of 4.6% (price / FCF 21.5×): $190M of free cash in the last 12 months.
ValuationEV/EBITDA of 7.4×: modest for what the business earns before interest, tax and depreciation.
Top bearish points 5 of 5
ProfitabilityOperating margin narrowed to 26.6% in FY2025 from 45.9% in FY2023 (SEC filings).
GrowthDiluted EPS fell 55% to $2.85 in FY2025.
ProfitabilityReturn on equity fell 26 points in two fiscal years, to 13% in FY2025.
GrowthSales fell 14% over the last 12 months vs the 12 months before (SEC filings).
Cash returnsFree cash flow fell 22% over the last 12 months vs the 12 months before.
All fundamentals
P/E 14.4 · FCF yield 4.6% · ROE 13%
Valuation
- P/E
- 14.4×Consumer Discretionary median 20.7×
- Price / FCF
- 21.5×
- FCF yield
- 4.6%
- EV / EBITDA
- 7.4×
- Price / sales
- 3.06×
- Price / book
- 1.86×
- Market cap
- $4.1Blisted
- Enterprise value
- $4.2B
Growth
- Revenue, 12 months
- $1.3B
- Sales growth, 12 months
- −14.1%vs the 12 months before
- Sales growth, 3 yrs
- −2.5%/yrfrom FY2022
- Diluted EPS, 12 months
- $2.85
- EPS growth, last FY
- −55.2%
- Net income, 12 months
- $285M
- Net income growth
- −53%12 months vs before
Profitability
- Gross margin
- n/agross profit isn't reported (common for service and financial companies)
- Operating margin
- 26.6%
- Net margin
- 21.3%
- FCF margin
- 14.2%
- Return on equity
- 13%
- Return on invested capital
- 15%
Balance sheet
- Cash & short-term inv.
- $158M
- Total debt
- $289M
- Net cash
- −$131M
- Debt / equity
- 0.13×
- Interest coverage
- 4.8×operating income / interest
Cash flow & returns
- Free cash flow, 12 months
- $190M
- FCF growth, 12 months
- −22%
- Dividend yield
- 4.87%$200M paid
- Payout ratio
- 70%
- Buybacks, 12 months
- n/anot reported in its SEC filings
- Share count, 1 year
- n/ano quarterly diluted share count
- Stock-based comp
- n/anot reported in its SEC filings
Trailing 12 months to Dec 31, 2025; balance sheet at Dec 31, 2025. From TORM’s SEC filings. Sparklines show up to six fiscal years. n/a means we don’t hold that number, with the reason. How each is computed.
The business
FCF $0.0B · Sales +110%
- Free cash flow, 12 months$0.0B
- Free-cash-flow yield4.6%
- Free-cash-flow margin1%
- Gross margin58%
- Operating margin54%
- Return on invested capital23%
- Return on equity27%
- Sales growth (latest quarter vs year-ago quarter)+110%
- Net debt / EBITDA0.8×
Chart & levels
Where the price is vs its key levels and trends.
Key levels
Every level vs today’s $39.82
- 52-wk lowlowest close, 1 year$19.39−51.3%
- PriceMon Nov 2 close$39.82you are here
- 52-wk highhighest close, 1 year$43.04+8.1%
Momentum & 52-week range
RSI 52 · 5 days −3.0%
Signals
Reversal signal setups, the public ledger and the next earnings date.
Setup & signals
No setup armed
No setup armed, so there’s no trigger or stop to track yet. Reversal signal rules only run on companies that pass our quality screen.
Next report
Nov 4
- DateWed Nov 4, before the open
- Year-ago EPS$0.77
- QuarterSep/2026
From Nasdaq’s earnings calendar. A report resets Market Value.
TRMD is outside our quality screen
One text when a published rule fires on one of the 332 quality companies we track: the ticker, the price, the stop and a link to the numbers. Nothing else.
Voices & buzz
Who is talking about it, and how it compares with peers.
Who’s talking about it
Notable investors, executives, analysts and public figures on TORM in the last 48 hours. Headlines as published, each linked. Their words, not ours.
No notable mentions in the last 48 hours. Checked Nov 3, 1:01 PM ET.
Compare with peers
Closest in size in Marine Transportation
Information only, not investment advice. Fair value estimates and talking points are rule-based model output from public data and can be wrong; stop levels are reference points, not orders. How every number is computed.