CUSHMAN & WAKEFIELD PLC (CWK) Stock Fundamental Analysis
NYSE:CWK - New York Stock Exchange, Inc. - GB00BFZ4N465 - Common Stock
Taking everything into account, CWK scores 4 out of 10 in our fundamental rating. CWK was compared to 65 industry peers in the Real Estate Management & Development industry. While CWK is still in line with the averages on profitability rating, there are concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on CWK.
1. Profitability
1.1 Basic Checks
CWK had positive earnings in the past year.
In the past year CWK had a positive cash flow from operations.
In multiple years CWK reported negative net income over the last 5 years.
CWK had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.17%, CWK is in the better half of the industry, outperforming 70.49% of the companies in the same industry.
CWK's Return On Equity of 5.18% is fine compared to the rest of the industry. CWK outperforms 75.41% of its industry peers.
The Return On Invested Capital of CWK (4.86%) is better than 80.33% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CWK is in line with the industry average of 4.84%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.17% | ||
| ROE | 5.18% | ||
| ROIC | 4.86% |
ROA(3y)1.73%
ROA(5y)0.43%
ROE(3y)8.99%
ROE(5y)1.35%
ROIC(3y)6.39%
ROIC(5y)4.49%
1.3 Margins
Looking at the Profit Margin, with a value of 0.94%, CWK is in the better half of the industry, outperforming 62.30% of the companies in the same industry.
CWK has a Operating Margin of 3.48%. This is in the better half of the industry: CWK outperforms 63.93% of its industry peers.
In the last couple of years the Operating Margin of CWK has grown nicely.
CWK's Gross Margin of 17.89% is on the low side compared to the rest of the industry. CWK is outperformed by 62.30% of its industry peers.
In the last couple of years the Gross Margin of CWK has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.48% | ||
| PM (TTM) | 0.94% | ||
| GM | 17.89% |
OM growth 3Y269.23%
OM growth 5Y55.78%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.55%
GM growth 5Y-1.94%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CWK is destroying value.
CWK has more shares outstanding than it did 1 year ago.
CWK has more shares outstanding than it did 5 years ago.
The debt/assets ratio for CWK is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.57, we must say that CWK is in the distress zone and has some risk of bankruptcy.
CWK has a Altman-Z score (1.57) which is comparable to the rest of the industry.
The Debt to FCF ratio of CWK is 12.51, which is on the high side as it means it would take CWK, 12.51 years of fcf income to pay off all of its debts.
CWK's Debt to FCF ratio of 12.51 is fine compared to the rest of the industry. CWK outperforms 72.13% of its industry peers.
A Debt/Equity ratio of 1.76 is on the high side and indicates that CWK has dependencies on debt financing.
With a Debt to Equity ratio value of 1.76, CWK is not doing good in the industry: 75.41% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.76 | ||
| Debt/FCF | 12.51 | ||
| Altman-Z | 1.57 |
ROIC/WACC0.66
WACC7.33%
2.3 Liquidity
A Current Ratio of 1.18 indicates that CWK should not have too much problems paying its short term obligations.
CWK has a Current ratio of 1.18. This is in the lower half of the industry: CWK underperforms 62.30% of its industry peers.
CWK has a Quick Ratio of 1.18. This is a normal value and indicates that CWK is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.18, CWK is in line with its industry, outperforming 44.26% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.18 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
CWK shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.53%.
Measured over the past 5 years, CWK shows a small growth in Earnings Per Share. The EPS has been growing by 1.22% on average per year.
Looking at the last year, CWK shows a decrease in Revenue. The Revenue has decreased by -2.28% in the last year.
Measured over the past years, CWK shows a small growth in Revenue. The Revenue has been growing by 2.92% on average per year.
EPS 1Y (TTM)3.53%
EPS 3Y1.22%
EPS 5YN/A
EPS Q2Q%9.52%
Revenue 1Y (TTM)-2.28%
Revenue growth 3Y6.57%
Revenue growth 5Y2.92%
Sales Q2Q%47.61%
3.2 Future
CWK is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.04% yearly.
CWK is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.87% yearly.
EPS Next Y9.42%
EPS Next 2Y19.24%
EPS Next 3Y19.31%
EPS Next 5Y16.04%
Revenue Next Year1.5%
Revenue Next 2Y3.91%
Revenue Next 3Y4.45%
Revenue Next 5Y4.87%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 15.53, which indicates a correct valuation of CWK.
Compared to the rest of the industry, the Price/Earnings ratio of CWK indicates a rather cheap valuation: CWK is cheaper than 80.33% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 28.29. CWK is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 11.45, the valuation of CWK can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CWK indicates a rather cheap valuation: CWK is cheaper than 93.44% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.44, CWK is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.53 | ||
| Fwd PE | 11.45 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CWK indicates a rather cheap valuation: CWK is cheaper than 88.52% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CWK indicates a rather cheap valuation: CWK is cheaper than 90.16% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.69 | ||
| EV/EBITDA | 11.99 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as CWK's earnings are expected to grow with 19.31% in the coming years.
PEG (NY)1.65
PEG (5Y)N/A
EPS Next 2Y19.24%
EPS Next 3Y19.31%
5. Dividend
5.1 Amount
No dividends for CWK!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
CUSHMAN & WAKEFIELD PLC
NYSE:CWK (1/21/2025, 8:04:00 PM)
After market: 13.67 0 (0%)13.67
+0.35 (+2.63%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners96.25%
Inst Owner Change-0.01%
Ins Owners1.12%
Ins Owner Change0.03%
Market Cap3.14B
Analysts73.85
Price Target15.66 (14.56%)
Short Float %6.12%
Short Ratio8.32
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.12%
Min EPS beat(2)5.89%
Max EPS beat(2)10.34%
EPS beat(4)4
Avg EPS beat(4)32.07%
Min EPS beat(4)5.89%
Max EPS beat(4)100%
EPS beat(8)6
Avg EPS beat(8)4.44%
EPS beat(12)9
Avg EPS beat(12)15.54%
EPS beat(16)13
Avg EPS beat(16)172.68%
Revenue beat(2)0
Avg Revenue beat(2)-3.78%
Min Revenue beat(2)-4.55%
Max Revenue beat(2)-3.01%
Revenue beat(4)1
Avg Revenue beat(4)-1.09%
Min Revenue beat(4)-4.55%
Max Revenue beat(4)3.88%
Revenue beat(8)2
Avg Revenue beat(8)0.76%
Revenue beat(12)6
Avg Revenue beat(12)16.63%
Revenue beat(16)10
Avg Revenue beat(16)23.94%
PT rev (1m)4.47%
PT rev (3m)9.69%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-8.78%
EPS NY rev (1m)0%
EPS NY rev (3m)0.72%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.34%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.53 | ||
| Fwd PE | 11.45 | ||
| P/S | 0.33 | ||
| P/FCF | 12.69 | ||
| P/OCF | 10.63 | ||
| P/B | 1.84 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.99 |
EPS(TTM)0.88
EY6.44%
EPS(NY)1.19
Fwd EY8.74%
FCF(TTM)1.08
FCFY7.88%
OCF(TTM)1.29
OCFY9.41%
SpS40.83
BVpS7.42
TBVpS-4.58
PEG (NY)1.65
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.17% | ||
| ROE | 5.18% | ||
| ROCE | 6.15% | ||
| ROIC | 4.86% | ||
| ROICexc | 5.69% | ||
| ROICexgc | 14.57% | ||
| OM | 3.48% | ||
| PM (TTM) | 0.94% | ||
| GM | 17.89% | ||
| FCFM | 2.64% |
ROA(3y)1.73%
ROA(5y)0.43%
ROE(3y)8.99%
ROE(5y)1.35%
ROIC(3y)6.39%
ROIC(5y)4.49%
ROICexc(3y)7.35%
ROICexc(5y)5.21%
ROICexgc(3y)19.47%
ROICexgc(5y)14.9%
ROCE(3y)8.08%
ROCE(5y)5.69%
ROICexcg growth 3Y239.73%
ROICexcg growth 5Y34.12%
ROICexc growth 3Y281.41%
ROICexc growth 5Y52.7%
OM growth 3Y269.23%
OM growth 5Y55.78%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.55%
GM growth 5Y-1.94%
F-Score7
Asset Turnover1.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.76 | ||
| Debt/FCF | 12.51 | ||
| Debt/EBITDA | 6.59 | ||
| Cap/Depr | 37.02% | ||
| Cap/Sales | 0.51% | ||
| Interest Coverage | 1.22 | ||
| Cash Conversion | 64.88% | ||
| Profit Quality | 280.39% | ||
| Current Ratio | 1.18 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | 1.57 |
F-Score7
WACC7.33%
ROIC/WACC0.66
Cap/Depr(3y)33.6%
Cap/Depr(5y)28.68%
Cap/Sales(3y)0.54%
Cap/Sales(5y)0.61%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)3.53%
EPS 3Y1.22%
EPS 5YN/A
EPS Q2Q%9.52%
EPS Next Y9.42%
EPS Next 2Y19.24%
EPS Next 3Y19.31%
EPS Next 5Y16.04%
Revenue 1Y (TTM)-2.28%
Revenue growth 3Y6.57%
Revenue growth 5Y2.92%
Sales Q2Q%47.61%
Revenue Next Year1.5%
Revenue Next 2Y3.91%
Revenue Next 3Y4.45%
Revenue Next 5Y4.87%
EBIT growth 1Y38.02%
EBIT growth 3Y293.49%
EBIT growth 5Y60.33%
EBIT Next Year65.6%
EBIT Next 3Y28.93%
EBIT Next 5Y20.07%
FCF growth 1Y547.38%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y182.22%
OCF growth 3YN/A
OCF growth 5YN/A