WEATHERFORD INTERNATIONAL PL (WFRD) Stock Fundamental Analysis
USA - NASDAQ:WFRD - IE00BLNN3691 - Common Stock
63.78 USD
-0.36 (-0.56%)
63.78 USD
0 (0%)
WFRD gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 61 industry peers in the Energy Equipment & Services industry. While WFRD belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. WFRD is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year WFRD was profitable.
WFRD had a positive operating cash flow in the past year.
In multiple years WFRD reported negative net income over the last 5 years.
In the past 5 years WFRD always reported a positive cash flow from operatings.
1.2 Ratios
WFRD's Return On Assets of 9.36% is amongst the best of the industry. WFRD outperforms 86.89% of its industry peers.
WFRD's Return On Equity of 31.85% is amongst the best of the industry. WFRD outperforms 93.44% of its industry peers.
The Return On Invested Capital of WFRD (18.50%) is better than 98.36% of its industry peers.
WFRD had an Average Return On Invested Capital over the past 3 years of 18.48%. This is significantly above the industry average of 8.01%.
The 3 year average ROIC (18.48%) for WFRD is below the current ROIC(18.50%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.36% | ||
| ROE | 31.85% | ||
| ROIC | 18.5% |
ROA(3y)6.2%
ROA(5y)-5.24%
ROE(3y)29.79%
ROE(5y)-43.55%
ROIC(3y)18.48%
ROIC(5y)N/A
1.3 Margins
WFRD's Profit Margin of 9.35% is fine compared to the rest of the industry. WFRD outperforms 75.41% of its industry peers.
In the last couple of years the Profit Margin of WFRD has declined.
With a decent Operating Margin value of 16.03%, WFRD is doing good in the industry, outperforming 75.41% of the companies in the same industry.
WFRD's Operating Margin has improved in the last couple of years.
WFRD has a Gross Margin of 32.43%. This is in the better half of the industry: WFRD outperforms 63.93% of its industry peers.
WFRD's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.03% | ||
| PM (TTM) | 9.35% | ||
| GM | 32.43% |
OM growth 3Y83.71%
OM growth 5Y67.65%
PM growth 3YN/A
PM growth 5Y-33.33%
GM growth 3Y10.74%
GM growth 5Y9.36%
2. Health
2.1 Basic Checks
WFRD has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for WFRD remains at a similar level compared to 1 year ago.
Compared to 5 years ago, WFRD has more shares outstanding
Compared to 1 year ago, WFRD has an improved debt to assets ratio.
2.2 Solvency
WFRD has an Altman-Z score of 2.36. This is not the best score and indicates that WFRD is in the grey zone with still only limited risk for bankruptcy at the moment.
WFRD has a better Altman-Z score (2.36) than 67.21% of its industry peers.
The Debt to FCF ratio of WFRD is 3.37, which is a good value as it means it would take WFRD, 3.37 years of fcf income to pay off all of its debts.
WFRD's Debt to FCF ratio of 3.37 is fine compared to the rest of the industry. WFRD outperforms 60.66% of its industry peers.
WFRD has a Debt/Equity ratio of 1.04. This is a high value indicating a heavy dependency on external financing.
WFRD has a worse Debt to Equity ratio (1.04) than 77.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.04 | ||
| Debt/FCF | 3.37 | ||
| Altman-Z | 2.36 |
ROIC/WACC2
WACC9.27%
2.3 Liquidity
WFRD has a Current Ratio of 2.21. This indicates that WFRD is financially healthy and has no problem in meeting its short term obligations.
WFRD has a better Current ratio (2.21) than 67.21% of its industry peers.
WFRD has a Quick Ratio of 1.63. This is a normal value and indicates that WFRD is financially healthy and should not expect problems in meeting its short term obligations.
WFRD has a Quick ratio of 1.63. This is in the better half of the industry: WFRD outperforms 60.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.21 | ||
| Quick Ratio | 1.63 |
3. Growth
3.1 Past
WFRD shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -18.15%.
Measured over the past years, WFRD shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -33.50% on average per year.
WFRD shows a decrease in Revenue. In the last year, the revenue decreased by -5.35%.
The Revenue has been growing slightly by 1.12% on average over the past years.
EPS 1Y (TTM)-18.15%
EPS 3YN/A
EPS 5Y-33.5%
EPS Q2Q%-45.18%
Revenue 1Y (TTM)-5.35%
Revenue growth 3Y14.79%
Revenue growth 5Y1.12%
Sales Q2Q%-14.31%
3.2 Future
Based on estimates for the next years, WFRD will show a small growth in Earnings Per Share. The EPS will grow by 1.93% on average per year.
Based on estimates for the next years, WFRD will show a decrease in Revenue. The Revenue will decrease by -0.84% on average per year.
EPS Next Y-26.1%
EPS Next 2Y-6.74%
EPS Next 3Y2.57%
EPS Next 5Y1.93%
Revenue Next Year-13.97%
Revenue Next 2Y-7.3%
Revenue Next 3Y-3.67%
Revenue Next 5Y-0.84%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
WFRD is valuated reasonably with a Price/Earnings ratio of 11.60.
Compared to the rest of the industry, the Price/Earnings ratio of WFRD indicates a somewhat cheap valuation: WFRD is cheaper than 78.69% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.20. WFRD is valued rather cheaply when compared to this.
WFRD is valuated reasonably with a Price/Forward Earnings ratio of 10.91.
Based on the Price/Forward Earnings ratio, WFRD is valued cheaper than 85.25% of the companies in the same industry.
WFRD is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.70, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.6 | ||
| Fwd PE | 10.91 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of WFRD indicates a somewhat cheap valuation: WFRD is cheaper than 73.77% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, WFRD is valued a bit cheaper than the industry average as 73.77% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.71 | ||
| EV/EBITDA | 4.68 |
4.3 Compensation for Growth
WFRD has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-6.74%
EPS Next 3Y2.57%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.60%, WFRD has a reasonable but not impressive dividend return.
WFRD's Dividend Yield is a higher than the industry average which is at 3.34.
WFRD's Dividend Yield is slightly below the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.6% |
5.2 History
WFRD does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
WFRD pays out 14.97% of its income as dividend. This is a sustainable payout ratio.
DP14.97%
EPS Next 2Y-6.74%
EPS Next 3Y2.57%
63.78
-0.36 (-0.56%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners99.93%
Inst Owner Change-0.41%
Ins Owners2.04%
Ins Owner Change0%
Market Cap4.58B
Analysts83.08
Price Target70.09 (9.89%)
Short Float %4.62%
Short Ratio3.58
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.6% |
Yearly Dividend0.5
Dividend Growth(5Y)N/A
DP14.97%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)5.38%
Min EPS beat(2)-7.26%
Max EPS beat(2)18.02%
EPS beat(4)3
Avg EPS beat(4)10.57%
Min EPS beat(4)-7.26%
Max EPS beat(4)18.03%
EPS beat(8)6
Avg EPS beat(8)13.46%
EPS beat(12)9
Avg EPS beat(12)17.81%
EPS beat(16)11
Avg EPS beat(16)7.46%
Revenue beat(2)1
Avg Revenue beat(2)-0.36%
Min Revenue beat(2)-1.65%
Max Revenue beat(2)0.92%
Revenue beat(4)1
Avg Revenue beat(4)-1.7%
Min Revenue beat(4)-3.04%
Max Revenue beat(4)0.92%
Revenue beat(8)2
Avg Revenue beat(8)-1.21%
Revenue beat(12)5
Avg Revenue beat(12)-0.2%
Revenue beat(16)6
Avg Revenue beat(16)-0.24%
PT rev (1m)0.42%
PT rev (3m)-6.24%
EPS NQ rev (1m)2.99%
EPS NQ rev (3m)-38.9%
EPS NY rev (1m)0.85%
EPS NY rev (3m)-1.74%
Revenue NQ rev (1m)0.84%
Revenue NQ rev (3m)-13.38%
Revenue NY rev (1m)2.38%
Revenue NY rev (3m)0.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.6 | ||
| Fwd PE | 10.91 | ||
| P/S | 0.89 | ||
| P/FCF | 9.71 | ||
| P/OCF | 5.87 | ||
| P/B | 3.03 | ||
| P/tB | 3.8 | ||
| EV/EBITDA | 4.68 |
EPS(TTM)5.5
EY8.62%
EPS(NY)5.85
Fwd EY9.16%
FCF(TTM)6.57
FCFY10.3%
OCF(TTM)10.87
OCFY17.05%
SpS71.65
BVpS21.02
TBVpS16.77
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.36% | ||
| ROE | 31.85% | ||
| ROCE | 22.68% | ||
| ROIC | 18.5% | ||
| ROICexc | 24.97% | ||
| ROICexgc | 28.16% | ||
| OM | 16.03% | ||
| PM (TTM) | 9.35% | ||
| GM | 32.43% | ||
| FCFM | 9.17% |
ROA(3y)6.2%
ROA(5y)-5.24%
ROE(3y)29.79%
ROE(5y)-43.55%
ROIC(3y)18.48%
ROIC(5y)N/A
ROICexc(3y)22.89%
ROICexc(5y)N/A
ROICexgc(3y)27.08%
ROICexgc(5y)N/A
ROCE(3y)22.65%
ROCE(5y)N/A
ROICexcg growth 3Y76.31%
ROICexcg growth 5Y74.75%
ROICexc growth 3Y88.94%
ROICexc growth 5Y82.49%
OM growth 3Y83.71%
OM growth 5Y67.65%
PM growth 3YN/A
PM growth 5Y-33.33%
GM growth 3Y10.74%
GM growth 5Y9.36%
F-Score5
Asset Turnover1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.04 | ||
| Debt/FCF | 3.37 | ||
| Debt/EBITDA | 1.39 | ||
| Cap/Depr | 103.69% | ||
| Cap/Sales | 6% | ||
| Interest Coverage | 5.81 | ||
| Cash Conversion | 69.55% | ||
| Profit Quality | 98.13% | ||
| Current Ratio | 2.21 | ||
| Quick Ratio | 1.63 | ||
| Altman-Z | 2.36 |
F-Score5
WACC9.27%
ROIC/WACC2
Cap/Depr(3y)62.97%
Cap/Depr(5y)47.93%
Cap/Sales(3y)4.18%
Cap/Sales(5y)3.83%
Profit Quality(3y)360.48%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-18.15%
EPS 3YN/A
EPS 5Y-33.5%
EPS Q2Q%-45.18%
EPS Next Y-26.1%
EPS Next 2Y-6.74%
EPS Next 3Y2.57%
EPS Next 5Y1.93%
Revenue 1Y (TTM)-5.35%
Revenue growth 3Y14.79%
Revenue growth 5Y1.12%
Sales Q2Q%-14.31%
Revenue Next Year-13.97%
Revenue Next 2Y-7.3%
Revenue Next 3Y-3.67%
Revenue Next 5Y-0.84%
EBIT growth 1Y-11.67%
EBIT growth 3Y110.88%
EBIT growth 5Y69.52%
EBIT Next Year2.27%
EBIT Next 3Y5.04%
EBIT Next 5Y2.16%
FCF growth 1Y4.89%
FCF growth 3Y27.65%
FCF growth 5YN/A
OCF growth 1Y22.41%
OCF growth 3Y34.99%
OCF growth 5YN/A