Stock fact sheet · data as of
Tennant Company (TNC): fair value, margin of safety and Wheel Score
Industrials · Industrial - Machinery · United States · Blend
Is TNC undervalued?
Tennant Company (TNC) closed at 65.66 on 16 Oct 2026, 117% above the GLS average fair value of 30.28. 7 of the 8 models that produced a number value the shares below the current price. A gap this wide usually means the market is paying for growth or a story the trailing numbers do not show yet; the models work from filed results, not forecasts, so they are conservative by design.
There is a wide gap between 10 Cap (10.98) and DCF (81.98). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
The nightly engine files TNC under Blend.
Nine valuation models for TNC
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 81.98 | +25% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 27.73 | -58% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 37.44 | -43% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 14.54 | -78% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 39.28 | -40% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 10.98 | -83% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | - | - | Eight years of compounded free cash flow: the price at which the business pays for itself; no value tonight |
| DDM | 18.25 | -72% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 12.03 | -82% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -3.86 | -106% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 140.00 | +113% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Tennant Company scores only 4 of 9 on the Piotroski F-score, which fails the Sunday Scan's "6 or more" rule. A reading this low means several of the basic tests - positive earnings, positive operating cash flow, falling debt, no new share issuance - are not met. A GLS Moat score of 3.0/10 is a weak reading: the ten-year history the score grades (revenue, EPS, book value, margins, cash flow, share count, ROIC) has not been steady, so the Moat part of the Wheel Score contributes little.
Returns on capital are thin or negative - ROIC 4.7%, ROE 7.3%, ROA 3.5% - with debt at 0.55 times equity and negative free cash flow.
The dividend yield is 1.89% at a payout ratio of 119%; for a wheel trader holding assigned shares the dividend adds to the covered-call premium, and the ex-dividend date is worth knowing before a call is sold. Revenue comes mainly from Equipment Sales 60%, Parts and Consumables 21%, Service and Other 19% (quarter Q2 FY2026).
Institutional ownership scores 10/10, insider activity 7/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 4 / 9 | ROIC | 4.7% |
|---|---|---|---|
| GLS Moat | 3.0 / 10 | ROE | 7.3% |
| Debt / equity | 0.55 | ROA | 3.5% |
| Free-cash-flow yield | -0.3% | Payout ratio | 119% |
| Institutions | 10 / 10 | Insiders · Congress | 7 · 5 / 10 |
Wheel Score 43: Weak
With a Wheel Score of 43 Tennant Company sits in the Weak band. The parts - Value 0/25, Health 9/20, Moat 5/15, Premium 20/20, Stability 10/20 - show where: Value (0/25) scores lowest.
Implied volatility is 44% on the near-the-money contracts 20-60 days out - inside the 35-60% range the Wheel Score pays full marks for: enough premium to be worth selling, not so much that the risk is unpaid. Chain open interest is thin - 232 contracts across every expiry - so fills at a fair price are not guaranteed; a 30-45-day put may not exist at a usable strike.
Volume runs at 178k shares a day on a market cap of $1.1B, with a beta of 1.14; the Stability part of the Wheel Score gives that 10 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 0 / 25 | -117% margin of safety | |
| Health | 9 / 20 | Piotroski 4/9 | |
| Moat | 5 / 15 | moat 3.0/10 | |
| Premium | 20 / 20 | implied volatility 44% | |
| Stability | 10 / 20 | 178k shares/day, $1.1B cap, beta 1.14 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 2 Nov 2026 (after the close), 17 days away; a 30-45-day put sold today would expire after it, which is worth weighing against the premium.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Industrial - Machinery
The 12 companies below are the closest to Tennant Company by market cap within the Industrial - Machinery industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| PSIX Power Solutions International, Inc. | 46.61 | 85.18 | +45% | 66Good | $1.1B |
| PLOW Douglas Dynamics, Inc. | 39.87 | 32.08 | -24% | 60Fair | $920M |
| ASTE Astec Industries, Inc. | 38.92 | 27.27 | -43% | 40Weak | $895M |
| KODK Eastman Kodak Company | 8.97 | 57.11 | +84% | 45Weak | $878M |
| GHM Graham Corporation | 71.15 | 37.13 | -92% | 44Weak | $835M |
| MTW The Manitowoc Company, Inc. | 22.43 | 16.36 | -37% | 47Weak | $809M |
| BW Babcock & Wilcox Enterprises, Inc. | 4.96 | - | - | 45Weak | $739M |
| KRNT Kornit Digital Ltd. | 17.17 | 7.04 | -144% | 43Weak | $738M |
| ATS ATS Corporation | 18.09 | 17.64 | -3% | 67Good | $1.8B |
| EPAC Enerpac Tool Group Corp. | 35.07 | 47.54 | +26% | 86Prime | $1.8B |
| PKOH Park-Ohio Holdings Corp. | 47.30 | 52.99 | +11% | 58Fair | $685M |
| MFP Midera Food Processing, Inc. | 40.59 | 13.58 | -199% | 35Weak | $1.8B |
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Start free See the Sunday ScanQuestions about TNC
Is TNC undervalued right now?
No: at 65.66 the stock trades 117% above the GLS average fair value of 30.28 (data as of 16 Oct 2026), well beyond what trailing earnings, cash flow and book value support.
What is the Wheel Score of TNC and what does it mean?
TNC scores 43 out of 100 (Weak). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for TNC?
30.28 per share as of 16 Oct 2026 - the simple average of the 8 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Tennant Company report earnings next?
The next earnings report is due on 2 Nov 2026 (after the close), 17 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does TNC have listed options, and how liquid are they?
Yes. The nightly snapshot found 158 listed contracts with 232 open interest across all expiries and implied volatility of 44% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.