WEYCO GROUP INC (WEYS) Stock Fundamental Analysis
NASDAQ:WEYS - Nasdaq - US9621491003 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to WEYS. WEYS was compared to 15 industry peers in the Distributors industry. Both the health and profitability get an excellent rating, making WEYS a very profitable company, without any liquidiy or solvency issues. WEYS has a valuation in line with the averages, but it does not seem to be growing. WEYS also has an excellent dividend rating. These ratings could make WEYS a good candidate for dividend investing.
1. Profitability
1.1 Basic Checks
WEYS had positive earnings in the past year.
In the past year WEYS had a positive cash flow from operations.
WEYS had positive earnings in 4 of the past 5 years.
WEYS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 9.17%, WEYS is doing good in the industry, outperforming 78.57% of the companies in the same industry.
WEYS has a Return On Equity of 11.18%. This is comparable to the rest of the industry: WEYS outperforms 57.14% of its industry peers.
With a decent Return On Invested Capital value of 9.29%, WEYS is doing good in the industry, outperforming 64.29% of the companies in the same industry.
WEYS had an Average Return On Invested Capital over the past 3 years of 9.78%. This is significantly below the industry average of 18.73%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.17% | ||
| ROE | 11.18% | ||
| ROIC | 9.29% |
ROA(3y)8.74%
ROA(5y)5.99%
ROE(3y)11.92%
ROE(5y)8.24%
ROIC(3y)9.78%
ROIC(5y)N/A
1.3 Margins
WEYS has a better Profit Margin (9.94%) than 85.71% of its industry peers.
In the last couple of years the Profit Margin of WEYS has grown nicely.
Looking at the Operating Margin, with a value of 12.60%, WEYS belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
WEYS's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 45.99%, WEYS belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
In the last couple of years the Gross Margin of WEYS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.6% | ||
| PM (TTM) | 9.94% | ||
| GM | 45.99% |
OM growth 3YN/A
OM growth 5Y8.58%
PM growth 3YN/A
PM growth 5Y6.68%
GM growth 3Y3.75%
GM growth 5Y2.22%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so WEYS is destroying value.
Compared to 1 year ago, WEYS has less shares outstanding
The number of shares outstanding for WEYS has been reduced compared to 5 years ago.
WEYS has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
WEYS has an Altman-Z score of 6.55. This indicates that WEYS is financially healthy and has little risk of bankruptcy at the moment.
WEYS has a Altman-Z score of 6.55. This is in the better half of the industry: WEYS outperforms 71.43% of its industry peers.
There is no outstanding debt for WEYS. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.55 |
ROIC/WACC0.76
WACC12.17%
2.3 Liquidity
A Current Ratio of 8.62 indicates that WEYS has no problem at all paying its short term obligations.
WEYS has a Current ratio of 8.62. This is amongst the best in the industry. WEYS outperforms 92.86% of its industry peers.
A Quick Ratio of 5.47 indicates that WEYS has no problem at all paying its short term obligations.
WEYS has a Quick ratio of 5.47. This is amongst the best in the industry. WEYS outperforms 92.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 8.62 | ||
| Quick Ratio | 5.47 |
3. Growth
3.1 Past
The earnings per share for WEYS have decreased by -9.04% in the last year.
The Earnings Per Share has been growing by 9.95% on average over the past years. This is quite good.
The Revenue for WEYS has decreased by -13.70% in the past year. This is quite bad
Measured over the past years, WEYS shows a small growth in Revenue. The Revenue has been growing by 1.28% on average per year.
EPS 1Y (TTM)-9.04%
EPS 3YN/A
EPS 5Y9.95%
EPS Q2Q%-14.29%
Revenue 1Y (TTM)-13.7%
Revenue growth 3Y17.63%
Revenue growth 5Y1.28%
Sales Q2Q%-11.67%
3.2 Future
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 11.89, the valuation of WEYS can be described as reasonable.
Based on the Price/Earnings ratio, WEYS is valued a bit cheaper than the industry average as 71.43% of the companies are valued more expensively.
WEYS is valuated cheaply when we compare the Price/Earnings ratio to 29.63, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.89 | ||
| Fwd PE | N/A |
4.2 Price Multiples
WEYS's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. WEYS is cheaper than 85.71% of the companies in the same industry.
71.43% of the companies in the same industry are more expensive than WEYS, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.69 | ||
| EV/EBITDA | 6.96 |
4.3 Compensation for Growth
WEYS has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.19
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
WEYS has a Yearly Dividend Yield of 2.87%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.61, WEYS pays a better dividend. On top of this WEYS pays more dividend than 85.71% of the companies listed in the same industry.
WEYS's Dividend Yield is a higher than the S&P500 average which is at 2.29.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.87% |
5.2 History
The dividend of WEYS has a limited annual growth rate of 1.40%.
WEYS has paid a dividend for at least 10 years, which is a reliable track record.
WEYS has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)1.4%
Div Incr Years2
Div Non Decr Years11
5.3 Sustainability
WEYS pays out 33.30% of its income as dividend. This is a sustainable payout ratio.
The dividend of WEYS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP33.3%
EPS Next 2YN/A
EPS Next 3YN/A
35.92
-0.71 (-1.94%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryDistributors
Earnings (Last)
Earnings (Next)
Inst Owners24.63%
Inst Owner Change5.42%
Ins Owners38.28%
Ins Owner Change6.24%
Market Cap343.40M
Analysts43.33
Price TargetN/A
Short Float %0.74%
Short Ratio2.97
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.87% |
Yearly Dividend0.97
Dividend Growth(5Y)1.4%
DP33.3%
Div Incr Years2
Div Non Decr Years11
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.89 | ||
| Fwd PE | N/A | ||
| P/S | 1.18 | ||
| P/FCF | 6.69 | ||
| P/OCF | 6.48 | ||
| P/B | 1.33 | ||
| P/tB | 1.62 | ||
| EV/EBITDA | 6.96 |
EPS(TTM)3.02
EY8.41%
EPS(NY)N/A
Fwd EYN/A
FCF(TTM)5.37
FCFY14.95%
OCF(TTM)5.54
OCFY15.43%
SpS30.38
BVpS27
TBVpS22.21
PEG (NY)N/A
PEG (5Y)1.19
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.17% | ||
| ROE | 11.18% | ||
| ROCE | 12.54% | ||
| ROIC | 9.29% | ||
| ROICexc | 12.55% | ||
| ROICexgc | 15.93% | ||
| OM | 12.6% | ||
| PM (TTM) | 9.94% | ||
| GM | 45.99% | ||
| FCFM | 17.68% |
ROA(3y)8.74%
ROA(5y)5.99%
ROE(3y)11.92%
ROE(5y)8.24%
ROIC(3y)9.78%
ROIC(5y)N/A
ROICexc(3y)11.57%
ROICexc(5y)N/A
ROICexgc(3y)14.56%
ROICexgc(5y)N/A
ROCE(3y)13.76%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y10.69%
ROICexc growth 3YN/A
ROICexc growth 5Y10.5%
OM growth 3YN/A
OM growth 5Y8.58%
PM growth 3YN/A
PM growth 5Y6.68%
GM growth 3Y3.75%
GM growth 5Y2.22%
F-Score7
Asset Turnover0.92
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 59.23% | ||
| Cap/Sales | 0.56% | ||
| Interest Coverage | 1662.73 | ||
| Cash Conversion | 134.66% | ||
| Profit Quality | 177.9% | ||
| Current Ratio | 8.62 | ||
| Quick Ratio | 5.47 | ||
| Altman-Z | 6.55 |
F-Score7
WACC12.17%
ROIC/WACC0.76
Cap/Depr(3y)78.88%
Cap/Depr(5y)110.73%
Cap/Sales(3y)0.69%
Cap/Sales(5y)1.25%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-9.04%
EPS 3YN/A
EPS 5Y9.95%
EPS Q2Q%-14.29%
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-13.7%
Revenue growth 3Y17.63%
Revenue growth 5Y1.28%
Sales Q2Q%-11.67%
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-17.98%
EBIT growth 3YN/A
EBIT growth 5Y9.98%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y208.74%
FCF growth 3Y37.57%
FCF growth 5Y52.28%
OCF growth 1Y216.81%
OCF growth 3Y35.12%
OCF growth 5Y49.86%