WERELDHAVE BELGIUM NV (WEHB.BR) Stock Fundamental Analysis
Europe - Euronext Brussels - EBR:WEHB - BE0003724383 - REIT
54.2 EUR
-0.2 (-0.37%)
Taking everything into account, WEHB scores 5 out of 10 in our fundamental rating. WEHB was compared to 41 industry peers in the Diversified REITs industry. While WEHB is still in line with the averages on profitability rating, there are concerns on its financial health. WEHB is not valued too expensively and it also shows a decent growth rate. WEHB also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- In the past year WEHB was profitable.
- WEHB had a positive operating cash flow in the past year.
- Of the past 5 years WEHB 4 years were profitable.
- Each year in the past 5 years WEHB had a positive operating cash flow.
1.2 Ratios
- With a decent Return On Assets value of 3.00%, WEHB is doing good in the industry, outperforming 63.41% of the companies in the same industry.
- WEHB has a Return On Equity (4.72%) which is in line with its industry peers.
- WEHB has a better Return On Invested Capital (4.16%) than 70.73% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for WEHB is in line with the industry average of 3.37%.
- The last Return On Invested Capital (4.16%) for WEHB is above the 3 year average (3.99%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3% | ||
| ROE | 4.72% | ||
| ROIC | 4.16% |
ROA(3y)5.1%
ROA(5y)3.4%
ROE(3y)7.31%
ROE(5y)4.85%
ROIC(3y)3.99%
ROIC(5y)3.87%
1.3 Margins
- WEHB has a Profit Margin (41.95%) which is in line with its industry peers.
- In the last couple of years the Profit Margin of WEHB has grown nicely.
- WEHB has a Operating Margin (68.91%) which is comparable to the rest of the industry.
- WEHB's Operating Margin has been stable in the last couple of years.
- WEHB's Gross Margin of 78.63% is fine compared to the rest of the industry. WEHB outperforms 70.73% of its industry peers.
- WEHB's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 68.91% | ||
| PM (TTM) | 41.95% | ||
| GM | 78.63% |
OM growth 3Y-0.46%
OM growth 5Y-0.55%
PM growth 3Y15.43%
PM growth 5Y17.46%
GM growth 3Y-0.38%
GM growth 5Y-0.35%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so WEHB is destroying value.
- The number of shares outstanding for WEHB remains at a similar level compared to 1 year ago.
- WEHB has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, WEHB has an improved debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 1.33, we must say that WEHB is in the distress zone and has some risk of bankruptcy.
- WEHB has a Altman-Z score of 1.33. This is amongst the best in the industry. WEHB outperforms 87.80% of its industry peers.
- WEHB has a Debt/Equity ratio of 0.38. This is a healthy value indicating a solid balance between debt and equity.
- The Debt to Equity ratio of WEHB (0.38) is better than 92.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.33 |
ROIC/WACC0.64
WACC6.46%
2.3 Liquidity
- WEHB has a Current Ratio of 0.33. This is a bad value and indicates that WEHB is not financially healthy enough and could expect problems in meeting its short term obligations.
- WEHB has a worse Current ratio (0.33) than 60.98% of its industry peers.
- A Quick Ratio of 0.33 indicates that WEHB may have some problems paying its short term obligations.
- The Quick ratio of WEHB (0.33) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.33 | ||
| Quick Ratio | 0.33 |
3. Growth
3.1 Past
- The earnings per share for WEHB have decreased strongly by -55.83% in the last year.
- The Earnings Per Share has been growing by 15.62% on average over the past years. This is quite good.
- The Revenue has grown by 13.17% in the past year. This is quite good.
- WEHB shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.12% yearly.
EPS 1Y (TTM)-55.83%
EPS 3Y20.24%
EPS 5Y15.62%
EPS Q2Q%-61.65%
Revenue 1Y (TTM)13.17%
Revenue growth 3Y6.97%
Revenue growth 5Y2.12%
Sales Q2Q%20.29%
3.2 Future
- Based on estimates for the next years, WEHB will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.62% on average per year.
- Based on estimates for the next years, WEHB will show a small growth in Revenue. The Revenue will grow by 5.97% on average per year.
EPS Next Y21.21%
EPS Next 2Y13.97%
EPS Next 3Y12.62%
EPS Next 5YN/A
Revenue Next Year14.33%
Revenue Next 2Y8.01%
Revenue Next 3Y5.97%
Revenue Next 5YN/A
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 stable.
- 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
- With a Price/Earnings ratio of 14.45, WEHB is valued correctly.
- WEHB's Price/Earnings ratio is in line with the industry average.
- WEHB's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.82.
- Based on the Price/Forward Earnings ratio of 8.61, the valuation of WEHB can be described as reasonable.
- WEHB's Price/Forward Earnings ratio is rather cheap when compared to the industry. WEHB is cheaper than 90.24% of the companies in the same industry.
- WEHB is valuated cheaply when we compare the Price/Forward Earnings ratio to 25.95, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.45 | ||
| Fwd PE | 8.61 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of WEHB is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 17.15 |
4.3 Compensation for Growth
- WEHB's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- WEHB has a very decent profitability rating, which may justify a higher PE ratio.
- WEHB's earnings are expected to grow with 12.62% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.68
PEG (5Y)0.93
EPS Next 2Y13.97%
EPS Next 3Y12.62%
5. Dividend
5.1 Amount
- WEHB has a Yearly Dividend Yield of 5.55%, which is a nice return.
- WEHB's Dividend Yield is comparable with the industry average which is at 5.41.
- WEHB's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.55% |
5.2 History
- On average, the dividend of WEHB grows each year by 11.19%, which is quite nice.
Dividend Growth(5Y)11.19%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- WEHB pays out 48.97% of its income as dividend. This is a bit on the high side, but may be sustainable.
- WEHB's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP48.97%
EPS Next 2Y13.97%
EPS Next 3Y12.62%
WERELDHAVE BELGIUM NV / WEHB.BR FAQ
Can you provide the ChartMill fundamental rating for WERELDHAVE BELGIUM NV?
ChartMill assigns a fundamental rating of 5 / 10 to WEHB.BR.
Can you provide the valuation status for WERELDHAVE BELGIUM NV?
ChartMill assigns a valuation rating of 5 / 10 to WERELDHAVE BELGIUM NV (WEHB.BR). This can be considered as Fairly Valued.
What is the profitability of WEHB stock?
WERELDHAVE BELGIUM NV (WEHB.BR) has a profitability rating of 6 / 10.
Can you provide the financial health for WEHB stock?
The financial health rating of WERELDHAVE BELGIUM NV (WEHB.BR) is 3 / 10.
What is the expected EPS growth for WERELDHAVE BELGIUM NV (WEHB.BR) stock?
The Earnings per Share (EPS) of WERELDHAVE BELGIUM NV (WEHB.BR) is expected to grow by 21.21% in the next year.