Trina Solar Co Ltd (TSL): A Deep Dive into Its Performance Potential
Long-established in the Semiconductors industry, Trina Solar Co Ltd (NYSE:TSL) has enjoyed a stellar reputation. However, it has recently witnessed a decline of 5.23%, juxtaposed with a three-month change of 19.46%. Fresh insights from the GuruFocus Score Rating hint at potential headwinds. Notably, its diminished rankings in financial strength, growth, and valuation suggest that the company might not live up to its historical performance. Join us as we dive deep into these pivotal metrics to unravel the evolving narrative of Trina Solar Co Ltd.
Understanding the GF Score
The GF Score is a stock performance ranking system developed by GuruFocus using five aspects of valuation, which has been found to be closely correlated to the long-term performances of stocks by backtesting from 2006 to 2021. The stocks with a higher GF Score generally generate higher returns than those with a lower GF Score. Therefore, when picking stocks, investors should invest in companies with high GF Scores. The GF Score ranges from 0 to 100, with 100 as the highest rank.
1. Financial strength rank: 6/10
2. Profitability rank: 7/10
3. Growth rank: 9/10
4. GF Value rank: 4/10
5. Momentum rank: 0/10
Based on the above method, GuruFocus assigned Trina Solar Co Ltd the GF Score of 66 out of 100, which signals poor future outperformance potential.
Trina Solar Co Ltd: A Snapshot of Its Business
With a market cap of $1.65 billion and sales of $14.07 billion, Trina Solar Co Ltd is a significant player in the Semiconductors industry. The company, which has an operating margin of 7.93%, is engaged in manufacturing photovoltaic products, photovoltaic systems, and smart energy. Its business operations span from research and development, manufacture and sales of monocrystalline silicon-based photovoltaic modules to the construction and management of photovoltaic power station projects, among others.
Looking Ahead
Despite Trina Solar Co Ltd's strong financial strength, profitability, and growth metrics, the GuruFocus Score Rating highlights the firm's unparalleled position for potential underperformance. The company's diminished rankings in these key areas suggest that it might not live up to its historical performance. As such, investors should tread carefully when considering this stock.
GuruFocus Premium members can find more companies with strong GF Scores using the following screener link: GF Score Screen
This article first appeared on GuruFocus.
