Is the business good?
How good a business is TPB?
Turning Point Brands, Inc. earns 12% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
12%
Return on invested capital · cost of capital 9.0% · 3.4 points above what the capital costs: growth creates value
- Operating margin
- 15%
Operating margin · Consumer Defensive median 9.0% · 12 months to Q2 2026
- Cash conversion
- 0.44×
Cash conversion · 1.20× a year ago · some of the reported profit has not turned into cash yet
- Share count, year on year
- +10%
Share count, year on year · shareholders own a smaller slice than a year ago
| Year | Operating margin |
|---|---|
| FY2020 | 16% |
| FY2021 | 20% |
| FY2022 | 23% |
| FY2023 | 26% |
| FY2024 | 22% |
| FY2025 | 21% |
Details›
- Gross margin12 months to Q2 2026
- 59%
- Operating margin12 months to Q2 2026
- 15%
- Net margin12 months to Q2 2026
- 8.8%
- Free cash flow margin
- 3.9%
- Revenue, trailing twelve months
- $507M
- Free cash flow, trailing twelve months
- $20M
- Net income, trailing twelve months
- $45M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 12%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.