TIC Solutions, Inc.

Where It Passes

Where It Falls Short

• Valuation0% pass✓ 5✗ 23▾

  No clean pass — all 13 investors flag at least one valuation criterion

  Price / Book Value per Share1.1x

  ✓Dreman< 1.2x✓Templeton< 1.5x✗SchlossP/B <= 0.80x (app cutoff)

  Price / 3-yr avg EPS

  ✗Graham<= 15x

  Price-to-Book Ratio1.1x

  ✓Graham<= 1.5x

  P/E x P/B

  ✗Graham<= 22.5

  Basic earnings-growth PEG (dividends excluded)

  ✗Lynch< 1.0 (ideally < 0.5)

  EBIT / Enterprise Value-0.6%

  ✗Greenblatt> 10%

  Earnings Yield + ROC AssessmentEY=-0.6%, ROC=-3.6%

  ✗GreenblattBoth EY > 10% and ROC > 25%

  Price / EPS

  ✗Dreman< 12x✗Templeton< 12x (fixed ceiling; proxy for the market's cheapest 40%)

  Price / (CFO / Shares)24.7x

  ✗Dreman< 8x

  Valuation ReasonablenessOE Yield=2.4%

  ✗MungerP/E < 25 or Owner Earnings Yield > 5%

  P/E or FCF YieldFCF Yield=2.6%

  ✗PabraiP/E < 15 or FCF Yield > 10%

  P/B or P/E vs. Historical AverageP/B=1.1x

  ✓MarksP/E < 15 or P/B < 2.0

  Discount to Intrinsic Value

  ✗Marks>= 20% below intrinsic value

  Price / FCF per Share38.3x

  ✗Ackman<= 25

  Price vs. Trailing Low161% of trailing low ($6.58)

  ✗Templeton<= 120% of trailing low (certified split-adjusted live window)

  Net income / market capitalization-4.88%; #3863/6340 (top 60.9%)

  ✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-section

  Positive book equity / market capitalization+0.9097; #1661/6449 (top 25.8%)

  ✓AsnessTop 30% of eligible cross-section

  Price / Diluted EPS

  ✗NeffP/E <= 15x (app proxy for a P/E 40%-60% below the market)

  (EPS CAGR % + Dividend Yield %) / P/E

  ✗Neff> 0.7 (Neff's published traditional edge)

  Price / Tangible Book Value per ShareN/A (non-positive TBVPS)

  ✗SchlossP/TBV <= 1.00x (app cutoff)

  Book Value per Share Change

  ✗SchlossLatest BVPS >= earliest BVPS over >= 3 years (app rule)

  Revenue / market capitalization+0.9580; #1813/5247 (top 34.6%)

  ✗OshaughnessyTop 10% of eligible cross-section

  (Operating cash flow - capex) / market capitalization+1.48%; #2327/4519 (top 51.5%)

  ✗OshaughnessyTop 10% of eligible cross-section

  Trailing six-month price return through the evaluation date+29.99%; #1020/6202 (top 16.4%)

  ✗OshaughnessyTop 10% of eligible cross-section
• Growth0% pass✓ 3✗ 10▾

  No clean pass — all 8 investors flag at least one growth criterion

  EPS Growth (3-yr avg, 10-yr window)

  ✗Graham>= 33% growth

  Basic earnings-growth PEG (dividends excluded)

  ✗Lynch< 1.0 (ideally < 0.5)

  3-5 Year EPS CAGR

  ✗Lynch15-30% (Fast Grower); > 0% to pass

  Inventory Growth vs Revenue GrowthN/A (no inventory)

  ✓LynchInventory growth < Revenue growth

  EPS Growth Direction

  ✗DremanPositive over recent years

  EPS CAGR

  ✗Dreman> 5% annualized

  Positive Net Income Frequency0/1 years positive

  ✗MarksPositive net income in >= 7 of last 10 years

  3yr Median Revenue Growth20.7%

  ✓Ackman>= 5%

  Positive EPS Growth Frequency

  ✗AckmanPositive EPS growth in >= 3 of last 5 years

  5-Year EPS CAGR

  ✗Templeton> 0% (5-year EPS CAGR)

  Revenue growth vs. gross and operating margin trend

  ✗SleepRevenue rising; gross margin flat or falling; operating margin holding

  5-year Revenue CAGR20.7%

  ✓SleepCAGR > 7%

  3-5 Year Diluted EPS CAGR

  ✗Neff7%-20% annualized
• Valuation models0% pass✗ 4▾

  TIC overvalued: all 4 models price fair value below $10.62 (median $4.65)

  Buffett fair value$3.07

  ✗Buffett-245.9% margin vs $10.62

  Munger fair value$5.05

  ✗Munger-110.3% margin vs $10.62

  Pabrai fair value$4.25

  ✗Pabrai-149.9% margin vs $10.62

  Ackman fair value$9.92

  ✗Ackman-7.1% margin vs $10.62
• Profitability6% pass✓ 2✗ 33▾

  15 of 16 flag TIC's profitability — Graham, Buffett, Lynch +12 more

  Positive EPS (10 years)0/3 years positive

  ✗GrahamPositive EPS every year for 10 years

  EPS Growth (3-yr avg, 10-yr window)

  ✗Graham>= 33% growth

  Net Income Positive (10+ years)0/3 years positive

  ✗BuffettPositive every year for 10+ years

  ROE (up to 5-year arithmetic mean)-4.0%

  ✗Buffett> 15% arithmetic mean (app rule)

  Operating Margin (10-yr trend)

  ✗BuffettStable or rising over 10 years

  Free Cash Flow Proxy$57.5M

  ✗BuffettPositive and growing

  Earnings Variance (10-yr CoV)

  ✗BuffettCoV < 0.3

  Retained Earnings Effectiveness

  ✗Buffett$1 retained -> > $1 market value created

  Basic earnings-growth PEG (dividends excluded)

  ✗Lynch< 1.0 (ideally < 0.5)

  3-5 Year EPS CAGR

  ✗Lynch15-30% (Fast Grower); > 0% to pass

  ROE-5.4%

  ✗Lynch> 15%

  EBIT / Enterprise Value-0.6%

  ✗Greenblatt> 10%

  Earnings Yield + ROC AssessmentEY=-0.6%, ROC=-3.6%

  ✗GreenblattBoth EY > 10% and ROC > 25%

  Net Income / Total Assets-1.98%

  ✗PiotroskiROA > 0

  ROA Change YoY

  ✗PiotroskiCurrent ROA > Prior ROA

  (CFO / Total Assets) vs ROACFO/Assets=2.16%, ROA=-1.98%

  ✓PiotroskiCFO/Assets > ROA

  Gross Margin Change YoY

  ✗PiotroskiImproved YoY

  Pre-Tax Income / Revenue-6.0%

  ✗Dreman>= 8%

  Net Income / Shareholders' Equity-5.4%

  ✗Dreman> 12%

  Margin of SafetyP/B=1.1x

  ✓PabraiP/B < 1.5 or P/E < 15

  Return on Equity-4.0% (3-yr avg)

  ✗AkreROE > 20% (3-year avg)

  Discount to Intrinsic Value

  ✗Marks>= 20% below intrinsic value

  Positive Net Income Frequency0/1 years positive

  ✗MarksPositive net income in >= 7 of last 10 years

  Operating Income / Revenue-1.0%

  ✗Ackman>= 15%

  Net Income / Shareholders Equity-5.4%

  ✗Ackman>= 15%

  5-Year EPS CAGR

  ✗Templeton> 0% (5-year EPS CAGR)

  Operating Margin Trend

  ✗TempletonNon-negative operating-margin trend over 3 years

  Revenue growth vs. gross and operating margin trend

  ✗SleepRevenue rising; gross margin flat or falling; operating margin holding

  Net income / market capitalization-4.88%; #3863/6340 (top 60.9%)

  ✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-section

  Gross profit / total assets+17.51%; #2236/3702 (top 60.4%)

  ✗AsnessTop 30% of eligible cross-section

  Net income / positive book equity-5.37%; #3225/5226 (top 61.7%)

  ✗AsnessTop 30% of eligible cross-section

  Negative 5-year standard deviation of ROA

  ✗AsnessTop 30% of eligible cross-section

  3-5 Year Diluted EPS CAGR

  ✗Neff7%-20% annualized

  Positive Diluted-EPS Years

  ✗Schloss>= 70% positive over 5-10 observed years (app rule)
• Verdicts7% pass✓ 1✗ 14▾

  Split decision: 13 FAIL · 2 NEUTRAL · 1 PASS

  Overall verdict

  ✗GrahamFAIL (3/9)✗BuffettFAIL (0/9)✗LynchFAIL (1/7)✗GreenblattRank #1882✗PiotroskiFAIL (F-Score 2)✗DremanFAIL (4/11)✗MungerFAIL (0/4)✗PabraiFAIL (1/3)✗AkreFAIL (1/6)✗MarksFAIL (2/5)✗AckmanFAIL (3/9)✗TempletonFAIL (3/8)✓SleepPASS (3/6)•AsnessNEUTRAL (Not ranked)✗NeffFAIL (1/6)✗SchlossFAIL (2/7)•OshaughnessyNEUTRAL (Not ranked)
• Efficiency25% pass✓ 2✗ 9▾

  6 of 8 flag TIC's efficiency — Buffett, Greenblatt, Piotroski +3 more

  Current Ratio2.23

  ✓Graham>= 2.0

  ROIC (3-5 yr avg)-0.4%

  ✗Buffett> 10%

  ROIC - WACC-10.4%

  ✗BuffettPositive (WACC = 10%)

  EBIT / (NWC + Net Fixed Assets)-3.6%

  ✗Greenblatt> 25%

  Current Ratio Change YoY3.71 -> 3.20

  ✗PiotroskiIncreased YoY

  Revenue / Total Assets Change YoY

  ✗PiotroskiImproved YoY

  Current Assets / Current Liabilities2.23

  ✓Dreman> 1.5

  Return on Invested Capital-0.5%

  ✗Munger> 15%

  ROIC (high and growing)FY2023: ROIC=unavailable; FY2024: ROIC=unavailable; FY2025: ROIC=-0.4%

  ✗AkreLatest 3 consecutive FYs: ROIC > 15% in each

  Reinvestment Rate x ROICN/A (non-positive net income)

  ✗AkreReinvestment Rate * ROIC > 10%

  ROIC (5-year)0/1 years above 12% (latest -0.4%)

  ✗SleepROIC > 12% in a majority of years
• Debt & Leverage33% pass✓ 6✗ 9▾

  8 of 12 flag TIC's debt & leverage — Graham, Buffett, Lynch +5 more

  LT Debt vs Net Current AssetsLT Debt $1.6B vs NCA $522.2M

  ✗GrahamLT Debt <= Net Current Assets

  Debt/Equity & Interest CoverageD/E: 0.74, IC: -0.2x

  ✗BuffettD/E < 0.5 AND Interest Coverage > 5x

  Total Debt / Equity0.76

  ✗Lynch< 0.33

  Cash - Long-term Debt$-1.4B

  ✗LynchPositive preferred

  LT Debt / Total Assets Change33.84% -> 36.11%

  ✗PiotroskiDecreased YoY

  Current Assets / Current Liabilities2.23

  ✓Dreman> 1.5✓SchlossCurrent ratio >= 1.50x (app cutoff)

  Total Debt / Shareholders' Equity0.76

  ✓Dreman< 0.8✓Templeton< 1.0 (fixed cap; proxy for below-sector-median leverage)✓SchlossD/E < 1.00x

  Debt Levels0.76

  ✗MungerDebt/Equity < 0.5✗AkreDebt/Equity < 0.3

  Interest Coverage & Debt/EBITDAIC=-0.2x, D/EBITDA=10.0x

  ✗MarksInterest Coverage > 3x; Debt/EBITDA < 4x

  Total Debt / Shareholders Equity0.76

  ✓Ackman<= 1.0

  Negative debt-to-equity (higher means less debt)-0.7634; #2940/4210 (top 69.8%)

  ✗AsnessTop 30% of eligible cross-section
• Cash Flow40% pass✓ 5✗ 7▾

  6 of 10 flag TIC's cash flow — Buffett, Lynch, Dreman +3 more

  Free Cash Flow Proxy$57.5M

  ✗BuffettPositive and growing

  FCF Positive and Growing$61.3M

  ✗LynchPositive and growing

  Operating Cash Flow$95.0M

  ✓PiotroskiCFO > 0

  (CFO / Total Assets) vs ROACFO/Assets=2.16%, ROA=-1.98%

  ✓PiotroskiCFO/Assets > ROA

  Price / (CFO / Shares)24.7x

  ✗Dreman< 8x

  P/E or FCF YieldFCF Yield=2.6%

  ✗PabraiP/E < 15 or FCF Yield > 10%

  FCF Positive1/1 years FCF positive

  ✓MarksPositive FCF in majority of recent years

  (OCF - CapEx) / Market Cap1.5%

  ✗Ackman>= 4%

  Price / FCF per Share38.3x

  ✗Ackman<= 25

  Positive Operating Cash Flow frequency1/1 years positive

  ✓SleepPositive OCF in >= 70% of available years

  Operating Cash Flow - Capital Expenditures$34.2M

  ✓Neff> $0 (app proxy for a strong fundamental case)

  (Operating cash flow - capex) / market capitalization+1.48%; #2327/4519 (top 51.5%)

  ✗OshaughnessyTop 10% of eligible cross-section