CUSHMAN & WAKEFIELD PLC (CWK) Stock Fundamental Analysis
USA - NYSE:CWK - GB00BFZ4N465 - Common Stock
16.65 USD
+0.01 (+0.06%)
16.65 USD
0 (0%)
CWK gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 63 industry peers in the Real Estate Management & Development industry. CWK has a medium profitability rating, but doesn't score so well on its financial health evaluation. CWK is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year CWK was profitable.
CWK had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: CWK reported negative net income in multiple years.
Of the past 5 years CWK 4 years had a positive operating cash flow.
1.2 Ratios
CWK has a better Return On Assets (2.72%) than 76.19% of its industry peers.
CWK's Return On Equity of 10.81% is amongst the best of the industry. CWK outperforms 88.89% of its industry peers.
CWK has a Return On Invested Capital of 6.33%. This is amongst the best in the industry. CWK outperforms 84.13% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CWK is in line with the industry average of 6.57%.
The last Return On Invested Capital (6.33%) for CWK is above the 3 year average (5.38%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.72% | ||
| ROE | 10.81% | ||
| ROIC | 6.33% |
ROA(3y)1.25%
ROA(5y)0.78%
ROE(3y)5.72%
ROE(5y)2.85%
ROIC(3y)5.38%
ROIC(5y)4.72%
1.3 Margins
With a decent Profit Margin value of 2.11%, CWK is doing good in the industry, outperforming 60.32% of the companies in the same industry.
CWK's Profit Margin has declined in the last couple of years.
CWK has a better Operating Margin (4.55%) than 63.49% of its industry peers.
CWK's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 18.60%, CWK is in line with its industry, outperforming 42.86% of the companies in the same industry.
CWK's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.55% | ||
| PM (TTM) | 2.11% | ||
| GM | 18.6% |
OM growth 3Y-11.34%
OM growth 5Y12.08%
PM growth 3Y-19.48%
PM growth 5YN/A
GM growth 3Y-4.01%
GM growth 5Y-2%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CWK is destroying value.
CWK has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, CWK has more shares outstanding
The debt/assets ratio for CWK has been reduced compared to a year ago.
2.2 Solvency
CWK has an Altman-Z score of 1.77. This is a bad value and indicates that CWK is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of CWK (1.77) is comparable to the rest of the industry.
The Debt to FCF ratio of CWK is 23.71, which is on the high side as it means it would take CWK, 23.71 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 23.71, CWK is in the better half of the industry, outperforming 63.49% of the companies in the same industry.
A Debt/Equity ratio of 1.48 is on the high side and indicates that CWK has dependencies on debt financing.
CWK's Debt to Equity ratio of 1.48 is on the low side compared to the rest of the industry. CWK is outperformed by 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.48 | ||
| Debt/FCF | 23.72 | ||
| Altman-Z | 1.77 |
ROIC/WACC0.8
WACC7.9%
2.3 Liquidity
CWK has a Current Ratio of 1.13. This is a normal value and indicates that CWK is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.13, CWK is not doing good in the industry: 61.90% of the companies in the same industry are doing better.
CWK has a Quick Ratio of 1.13. This is a normal value and indicates that CWK is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.13, CWK is not doing good in the industry: 61.90% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.13 | ||
| Quick Ratio | 1.13 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 27.91% over the past year.
Measured over the past years, CWK shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -11.11% on average per year.
The Revenue has been growing slightly by 4.63% in the past year.
The Revenue has been growing slightly by 1.54% on average over the past years.
EPS 1Y (TTM)27.91%
EPS 3Y-23.47%
EPS 5Y-11.11%
EPS Q2Q%50%
Revenue 1Y (TTM)4.63%
Revenue growth 3Y0.2%
Revenue growth 5Y1.54%
Sales Q2Q%8.56%
3.2 Future
Based on estimates for the next years, CWK will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.72% on average per year.
CWK is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.21% yearly.
EPS Next Y35.35%
EPS Next 2Y26.21%
EPS Next 3Y22.86%
EPS Next 5Y14.72%
Revenue Next Year5.59%
Revenue Next 2Y5.66%
Revenue Next 3Y5.65%
Revenue Next 5Y5.21%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 15.14 indicates a correct valuation of CWK.
Based on the Price/Earnings ratio, CWK is valued cheaper than 84.13% of the companies in the same industry.
CWK is valuated rather cheaply when we compare the Price/Earnings ratio to 27.27, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 11.49, which indicates a very decent valuation of CWK.
Based on the Price/Forward Earnings ratio, CWK is valued cheaply inside the industry as 95.24% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.77. CWK is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.14 | ||
| Fwd PE | 11.49 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CWK is valued cheaper than 92.06% of the companies in the same industry.
CWK's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. CWK is cheaper than 76.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.52 | ||
| EV/EBITDA | 11.24 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
CWK has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as CWK's earnings are expected to grow with 22.86% in the coming years.
PEG (NY)0.43
PEG (5Y)N/A
EPS Next 2Y26.21%
EPS Next 3Y22.86%
5. Dividend
5.1 Amount
No dividends for CWK!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
16.65
+0.01 (+0.06%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners98.85%
Inst Owner Change-0.19%
Ins Owners0.49%
Ins Owner Change0.35%
Market Cap3.85B
Analysts74.29
Price Target15.66 (-5.95%)
Short Float %5.18%
Short Ratio5.26
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)226.59%
Min EPS beat(2)35.7%
Max EPS beat(2)417.47%
EPS beat(4)4
Avg EPS beat(4)116.25%
Min EPS beat(4)1.47%
Max EPS beat(4)417.47%
EPS beat(8)7
Avg EPS beat(8)72.73%
EPS beat(12)9
Avg EPS beat(12)39.1%
EPS beat(16)13
Avg EPS beat(16)44.27%
Revenue beat(2)2
Avg Revenue beat(2)1.87%
Min Revenue beat(2)0.29%
Max Revenue beat(2)3.45%
Revenue beat(4)2
Avg Revenue beat(4)-0.44%
Min Revenue beat(4)-3.01%
Max Revenue beat(4)3.45%
Revenue beat(8)4
Avg Revenue beat(8)-0.86%
Revenue beat(12)6
Avg Revenue beat(12)4.08%
Revenue beat(16)10
Avg Revenue beat(16)15.75%
PT rev (1m)19.11%
PT rev (3m)28.87%
EPS NQ rev (1m)1.9%
EPS NQ rev (3m)3.06%
EPS NY rev (1m)8.5%
EPS NY rev (3m)10.74%
Revenue NQ rev (1m)-0.29%
Revenue NQ rev (3m)-4.96%
Revenue NY rev (1m)1.58%
Revenue NY rev (3m)1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.14 | ||
| Fwd PE | 11.49 | ||
| P/S | 0.4 | ||
| P/FCF | 30.52 | ||
| P/OCF | 24.26 | ||
| P/B | 2.03 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.24 |
EPS(TTM)1.1
EY6.61%
EPS(NY)1.45
Fwd EY8.71%
FCF(TTM)0.55
FCFY3.28%
OCF(TTM)0.69
OCFY4.12%
SpS42.08
BVpS8.22
TBVpS-3.59
PEG (NY)0.43
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.72% | ||
| ROE | 10.81% | ||
| ROCE | 8.47% | ||
| ROIC | 6.33% | ||
| ROICexc | 7.17% | ||
| ROICexgc | 17.62% | ||
| OM | 4.55% | ||
| PM (TTM) | 2.11% | ||
| GM | 18.6% | ||
| FCFM | 1.3% |
ROA(3y)1.25%
ROA(5y)0.78%
ROE(3y)5.72%
ROE(5y)2.85%
ROIC(3y)5.38%
ROIC(5y)4.72%
ROICexc(3y)6.21%
ROICexc(5y)5.47%
ROICexgc(3y)15.83%
ROICexgc(5y)14.37%
ROCE(3y)7.2%
ROCE(5y)6.32%
ROICexcg growth 3Y-12.14%
ROICexcg growth 5Y1.82%
ROICexc growth 3Y-9.46%
ROICexc growth 5Y11.68%
OM growth 3Y-11.34%
OM growth 5Y12.08%
PM growth 3Y-19.48%
PM growth 5YN/A
GM growth 3Y-4.01%
GM growth 5Y-2%
F-Score6
Asset Turnover1.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.48 | ||
| Debt/FCF | 23.72 | ||
| Debt/EBITDA | 5.09 | ||
| Cap/Depr | 29.26% | ||
| Cap/Sales | 0.33% | ||
| Interest Coverage | 1.85 | ||
| Cash Conversion | 28.66% | ||
| Profit Quality | 61.37% | ||
| Current Ratio | 1.13 | ||
| Quick Ratio | 1.13 | ||
| Altman-Z | 1.77 |
F-Score6
WACC7.9%
ROIC/WACC0.8
Cap/Depr(3y)34.36%
Cap/Depr(5y)29.98%
Cap/Sales(3y)0.49%
Cap/Sales(5y)0.51%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)27.91%
EPS 3Y-23.47%
EPS 5Y-11.11%
EPS Q2Q%50%
EPS Next Y35.35%
EPS Next 2Y26.21%
EPS Next 3Y22.86%
EPS Next 5Y14.72%
Revenue 1Y (TTM)4.63%
Revenue growth 3Y0.2%
Revenue growth 5Y1.54%
Sales Q2Q%8.56%
Revenue Next Year5.59%
Revenue Next 2Y5.66%
Revenue Next 3Y5.65%
Revenue Next 5Y5.21%
EBIT growth 1Y46.16%
EBIT growth 3Y-11.16%
EBIT growth 5Y13.81%
EBIT Next Year49.81%
EBIT Next 3Y21.47%
EBIT Next 5Y17.31%
FCF growth 1Y674.85%
FCF growth 3Y-30.42%
FCF growth 5Y-2.44%
OCF growth 1Y178.28%
OCF growth 3Y-27.66%
OCF growth 5Y-5.03%