WALLENIUS WILHELMSEN ASA (WAWI.OL) Stock Fundamental Analysis
Europe - Euronext Oslo - OSL:WAWI - NO0010571680 - Common Stock
103.3 NOK
+0.6 (+0.58%)
Overall WAWI gets a fundamental rating of 7 out of 10. We evaluated WAWI against 17 industry peers in the Marine Transportation industry. WAWI scores excellent on profitability, but there are some minor concerns on its financial health. WAWI is cheap, but on the other hand it scores bad on growth. These ratings would make WAWI suitable for value investing!
1. Profitability
1.1 Basic Checks
- WAWI had positive earnings in the past year.
- WAWI had a positive operating cash flow in the past year.
- WAWI had positive earnings in 4 of the past 5 years.
- In the past 5 years WAWI always reported a positive cash flow from operatings.
1.2 Ratios
- Looking at the Return On Assets, with a value of 14.42%, WAWI belongs to the top of the industry, outperforming 88.24% of the companies in the same industry.
- Looking at the Return On Equity, with a value of 35.85%, WAWI belongs to the top of the industry, outperforming 88.24% of the companies in the same industry.
- WAWI has a better Return On Invested Capital (17.53%) than 88.24% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for WAWI is significantly above the industry average of 8.74%.
- The last Return On Invested Capital (17.53%) for WAWI is above the 3 year average (13.95%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.42% | ||
| ROE | 35.85% | ||
| ROIC | 17.53% |
ROA(3y)9.89%
ROA(5y)5.52%
ROE(3y)26.29%
ROE(5y)14.43%
ROIC(3y)13.95%
ROIC(5y)9.48%
1.3 Margins
- The Profit Margin of WAWI (21.15%) is better than 70.59% of its industry peers.
- In the last couple of years the Profit Margin of WAWI has grown nicely.
- The Operating Margin of WAWI (23.44%) is better than 76.47% of its industry peers.
- WAWI's Operating Margin has improved in the last couple of years.
- WAWI has a Gross Margin of 59.62%. This is in the better half of the industry: WAWI outperforms 64.71% of its industry peers.
- In the last couple of years the Gross Margin of WAWI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.44% | ||
| PM (TTM) | 21.15% | ||
| GM | 59.62% |
OM growth 3Y32.8%
OM growth 5Y21.55%
PM growth 3Y74.93%
PM growth 5Y50.44%
GM growth 3Y10.45%
GM growth 5Y5.26%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), WAWI is creating value.
- Compared to 1 year ago, WAWI has about the same amount of shares outstanding.
- WAWI has about the same amout of shares outstanding than it did 5 years ago.
- The debt/assets ratio for WAWI has been reduced compared to a year ago.
2.2 Solvency
- WAWI has an Altman-Z score of 2.09. This is not the best score and indicates that WAWI is in the grey zone with still only limited risk for bankruptcy at the moment.
- With a Altman-Z score value of 2.09, WAWI perfoms like the industry average, outperforming 47.06% of the companies in the same industry.
- WAWI has a debt to FCF ratio of 1.90. This is a very positive value and a sign of high solvency as it would only need 1.90 years to pay back of all of its debts.
- WAWI has a better Debt to FCF ratio (1.90) than 100.00% of its industry peers.
- A Debt/Equity ratio of 0.71 indicates that WAWI is somewhat dependend on debt financing.
- WAWI has a Debt to Equity ratio of 0.71. This is comparable to the rest of the industry: WAWI outperforms 41.18% of its industry peers.
- Even though the debt/equity ratio score it not favorable for WAWI, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 1.9 | ||
| Altman-Z | 2.09 |
ROIC/WACC2.11
WACC8.32%
2.3 Liquidity
- WAWI has a Current Ratio of 0.87. This is a bad value and indicates that WAWI is not financially healthy enough and could expect problems in meeting its short term obligations.
- WAWI has a Current ratio of 0.87. This is amonst the worse of the industry: WAWI underperforms 82.35% of its industry peers.
- A Quick Ratio of 0.87 indicates that WAWI may have some problems paying its short term obligations.
- WAWI has a Quick ratio of 0.87. This is amonst the worse of the industry: WAWI underperforms 82.35% of its industry peers.
- WAWI does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.87 | ||
| Quick Ratio | 0.87 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 41.49% over the past year.
- Measured over the past years, WAWI shows a very strong growth in Earnings Per Share. The EPS has been growing by 54.11% on average per year.
- WAWI shows a small growth in Revenue. In the last year, the Revenue has grown by 1.35%.
- The Revenue has been growing slightly by 6.31% on average over the past years.
EPS 1Y (TTM)41.49%
EPS 3Y91.86%
EPS 5Y54.11%
EPS Q2Q%9.09%
Revenue 1Y (TTM)1.35%
Revenue growth 3Y10.97%
Revenue growth 5Y6.31%
Sales Q2Q%-1.63%
3.2 Future
- Based on estimates for the next years, WAWI will show a very negative growth in Earnings Per Share. The EPS will decrease by -20.16% on average per year.
- The Revenue is expected to decrease by -4.30% on average over the next years.
EPS Next Y7.81%
EPS Next 2Y-11%
EPS Next 3Y-19.44%
EPS Next 5Y-20.16%
Revenue Next Year0.13%
Revenue Next 2Y-2.48%
Revenue Next 3Y-2.83%
Revenue Next 5Y-4.3%
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 decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 3.93, the valuation of WAWI can be described as very cheap.
- 88.24% of the companies in the same industry are more expensive than WAWI, based on the Price/Earnings ratio.
- WAWI is valuated cheaply when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 5.84 indicates a rather cheap valuation of WAWI.
- WAWI's Price/Forward Earnings ratio is rather cheap when compared to the industry. WAWI is cheaper than 82.35% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of WAWI to the average of the S&P500 Index (24.26), we can say WAWI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.93 | ||
| Fwd PE | 5.84 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of WAWI indicates a rather cheap valuation: WAWI is cheaper than 100.00% of the companies listed in the same industry.
- WAWI's Price/Free Cash Flow ratio is rather cheap when compared to the industry. WAWI is cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.81 | ||
| EV/EBITDA | 3.36 |
4.3 Compensation for Growth
- WAWI's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- WAWI has an outstanding profitability rating, which may justify a higher PE ratio.
- A cheap valuation may be justified as WAWI's earnings are expected to decrease with -19.44% in the coming years.
PEG (NY)0.5
PEG (5Y)0.07
EPS Next 2Y-11%
EPS Next 3Y-19.44%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 17.32%, WAWI is a good candidate for dividend investing.
- WAWI's Dividend Yield is rather good when compared to the industry average which is at 8.38. WAWI pays more dividend than 88.24% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, WAWI pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 17.32% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 128.00% of the earnings are spent on dividend by WAWI. This is not a sustainable payout ratio.
DP128%
EPS Next 2Y-11%
EPS Next 3Y-19.44%
WALLENIUS WILHELMSEN ASA / WAWI.OL FAQ
What is the fundamental rating for WAWI stock?
ChartMill assigns a fundamental rating of 7 / 10 to WAWI.OL.
What is the valuation status of WALLENIUS WILHELMSEN ASA (WAWI.OL) stock?
ChartMill assigns a valuation rating of 9 / 10 to WALLENIUS WILHELMSEN ASA (WAWI.OL). This can be considered as Undervalued.
What is the profitability of WAWI stock?
WALLENIUS WILHELMSEN ASA (WAWI.OL) has a profitability rating of 9 / 10.
Can you provide the PE and PB ratios for WAWI stock?
The Price/Earnings (PE) ratio for WALLENIUS WILHELMSEN ASA (WAWI.OL) is 3.93 and the Price/Book (PB) ratio is 1.41.
How sustainable is the dividend of WALLENIUS WILHELMSEN ASA (WAWI.OL) stock?
The dividend rating of WALLENIUS WILHELMSEN ASA (WAWI.OL) is 5 / 10 and the dividend payout ratio is 128%.