WINMARK CORP (WINA) Stock Fundamental Analysis
USA - NASDAQ:WINA - US9742501029 - Common Stock
507.31 USD
+9.06 (+1.82%)
507.31 USD
0 (0%)
Taking everything into account, WINA scores 6 out of 10 in our fundamental rating. WINA was compared to 121 industry peers in the Specialty Retail industry. WINA scores excellent points on both the profitability and health parts. This is a solid base for a good stock. WINA has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year WINA was profitable.
WINA had a positive operating cash flow in the past year.
In the past 5 years WINA has always been profitable.
Each year in the past 5 years WINA had a positive operating cash flow.
1.2 Ratios
WINA's Return On Assets of 95.57% is amongst the best of the industry. WINA outperforms 99.17% of its industry peers.
WINA's Return On Invested Capital of 117.39% is amongst the best of the industry. WINA outperforms 100.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for WINA is significantly above the industry average of 12.11%.
The 3 year average ROIC (208.58%) for WINA is well above the current ROIC(117.39%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 95.57% | ||
| ROE | N/A | ||
| ROIC | 117.39% |
ROA(3y)138.96%
ROA(5y)132.06%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)208.58%
ROIC(5y)203.98%
1.3 Margins
WINA has a better Profit Margin (49.48%) than 100.00% of its industry peers.
In the last couple of years the Profit Margin of WINA has grown nicely.
WINA's Operating Margin of 65.17% is amongst the best of the industry. WINA outperforms 100.00% of its industry peers.
WINA's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 96.24%, WINA belongs to the top of the industry, outperforming 99.17% of the companies in the same industry.
WINA's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 65.17% | ||
| PM (TTM) | 49.48% | ||
| GM | 96.24% |
OM growth 3Y-0.25%
OM growth 5Y2.06%
PM growth 3Y-1.24%
PM growth 5Y2.34%
GM growth 3Y-0.16%
GM growth 5Y-0.16%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), WINA is creating value.
WINA has more shares outstanding than it did 1 year ago.
WINA has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, WINA has an improved debt to assets ratio.
2.2 Solvency
WINA has an Altman-Z score of 18.37. This indicates that WINA is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 18.37, WINA belongs to the best of the industry, outperforming 98.35% of the companies in the same industry.
WINA has a debt to FCF ratio of 1.34. This is a very positive value and a sign of high solvency as it would only need 1.34 years to pay back of all of its debts.
WINA's Debt to FCF ratio of 1.34 is fine compared to the rest of the industry. WINA outperforms 79.34% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 1.34 | ||
| Altman-Z | 18.37 |
ROIC/WACC12.29
WACC9.55%
2.3 Liquidity
A Current Ratio of 4.60 indicates that WINA has no problem at all paying its short term obligations.
WINA's Current ratio of 4.60 is amongst the best of the industry. WINA outperforms 98.35% of its industry peers.
A Quick Ratio of 4.54 indicates that WINA has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 4.54, WINA belongs to the top of the industry, outperforming 99.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.6 | ||
| Quick Ratio | 4.54 |
3. Growth
3.1 Past
WINA shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -15.88%.
The Earnings Per Share has been growing slightly by 6.80% on average over the past years.
Looking at the last year, WINA shows a very negative growth in Revenue. The Revenue has decreased by -18.80% in the last year.
WINA shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.09% yearly.
EPS 1Y (TTM)-15.88%
EPS 3Y1.3%
EPS 5Y6.8%
EPS Q2Q%1.4%
Revenue 1Y (TTM)-18.8%
Revenue growth 3Y1.3%
Revenue growth 5Y2.09%
Sales Q2Q%1.47%
3.2 Future
Based on estimates for the next years, WINA will show a small growth in Earnings Per Share. The EPS will grow by 7.77% on average per year.
The Revenue is expected to grow by 3.59% on average over the next years.
EPS Next Y8.18%
EPS Next 2Y7.77%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year3.57%
Revenue Next 2Y3.59%
Revenue Next 3YN/A
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
WINA is valuated quite expensively with a Price/Earnings ratio of 45.17.
WINA's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of WINA to the average of the S&P500 Index (27.20), we can say WINA is valued expensively.
The Price/Forward Earnings ratio is 40.11, which means the current valuation is very expensive for WINA.
The rest of the industry has a similar Price/Forward Earnings ratio as WINA.
WINA's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 22.71.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.17 | ||
| Fwd PE | 40.11 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, WINA is valued a bit more expensive than the industry average as 61.16% of the companies are valued more cheaply.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of WINA indicates a somewhat cheap valuation: WINA is cheaper than 60.33% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 40.39 | ||
| EV/EBITDA | 32.37 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates WINA does not grow enough to justify the current Price/Earnings ratio.
WINA has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)5.52
PEG (5Y)6.64
EPS Next 2Y7.77%
EPS Next 3YN/A
5. Dividend
5.1 Amount
WINA has a yearly dividend return of 0.80%, which is pretty low.
Compared to an average industry Dividend Yield of 5.21, WINA pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.80, WINA pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.8% |
5.2 History
The dividend of WINA is nicely growing with an annual growth rate of 65.94%!
WINA has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)65.94%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
WINA pays out 95.70% of its income as dividend. This is not a sustainable payout ratio.
WINA's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP95.7%
EPS Next 2Y7.77%
EPS Next 3YN/A
507.31
+9.06 (+1.82%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners76.76%
Inst Owner Change6.12%
Ins Owners5.58%
Ins Owner Change2.13%
Market Cap1.80B
Analysts82.86
Price Target453.9 (-10.53%)
Short Float %6.52%
Short Ratio2.69
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.8% |
Yearly Dividend11.05
Dividend Growth(5Y)65.94%
DP95.7%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-2.33%
Min EPS beat(2)-3.03%
Max EPS beat(2)-1.62%
EPS beat(4)0
Avg EPS beat(4)-3.61%
Min EPS beat(4)-5.99%
Max EPS beat(4)-1.62%
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)1
Avg Revenue beat(2)0.66%
Min Revenue beat(2)-1.45%
Max Revenue beat(2)2.78%
Revenue beat(4)1
Avg Revenue beat(4)-2.4%
Min Revenue beat(4)-5.53%
Max Revenue beat(4)2.78%
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)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-6.67%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.36%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.17 | ||
| Fwd PE | 40.11 | ||
| P/S | 21.6 | ||
| P/FCF | 40.39 | ||
| P/OCF | 40.29 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 32.37 |
EPS(TTM)11.23
EY2.21%
EPS(NY)12.65
Fwd EY2.49%
FCF(TTM)12.56
FCFY2.48%
OCF(TTM)12.59
OCFY2.48%
SpS23.49
BVpS-10.38
TBVpS-11.24
PEG (NY)5.52
PEG (5Y)6.64
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 95.57% | ||
| ROE | N/A | ||
| ROCE | 150.29% | ||
| ROIC | 117.39% | ||
| ROICexc | 573.71% | ||
| ROICexgc | 980.63% | ||
| OM | 65.17% | ||
| PM (TTM) | 49.48% | ||
| GM | 96.24% | ||
| FCFM | 53.46% |
ROA(3y)138.96%
ROA(5y)132.06%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)208.58%
ROIC(5y)203.98%
ROICexc(3y)654.26%
ROICexc(5y)834.68%
ROICexgc(3y)1882.71%
ROICexgc(5y)1685.36%
ROCE(3y)267.03%
ROCE(5y)261.14%
ROICexcg growth 3Y-31.02%
ROICexcg growth 5Y17.18%
ROICexc growth 3Y-34.38%
ROICexc growth 5Y8.99%
OM growth 3Y-0.25%
OM growth 5Y2.06%
PM growth 3Y-1.24%
PM growth 5Y2.34%
GM growth 3Y-0.16%
GM growth 5Y-0.16%
F-Score6
Asset Turnover1.93
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 1.34 | ||
| Debt/EBITDA | 1.08 | ||
| Cap/Depr | 8.78% | ||
| Cap/Sales | 0.13% | ||
| Interest Coverage | 20.82 | ||
| Cash Conversion | 80.38% | ||
| Profit Quality | 108.06% | ||
| Current Ratio | 4.6 | ||
| Quick Ratio | 4.54 | ||
| Altman-Z | 18.37 |
F-Score6
WACC9.55%
ROIC/WACC12.29
Cap/Depr(3y)25.64%
Cap/Depr(5y)201.74%
Cap/Sales(3y)0.29%
Cap/Sales(5y)1.5%
Profit Quality(3y)108.12%
Profit Quality(5y)115.18%
High Growth Momentum
Growth
EPS 1Y (TTM)-15.88%
EPS 3Y1.3%
EPS 5Y6.8%
EPS Q2Q%1.4%
EPS Next Y8.18%
EPS Next 2Y7.77%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-18.8%
Revenue growth 3Y1.3%
Revenue growth 5Y2.09%
Sales Q2Q%1.47%
Revenue Next Year3.57%
Revenue Next 2Y3.59%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-16.5%
EBIT growth 3Y1.05%
EBIT growth 5Y4.19%
EBIT Next Year8.07%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y0.48%
FCF growth 3Y-4.43%
FCF growth 5Y0.24%
OCF growth 1Y0.28%
OCF growth 3Y-4.47%
OCF growth 5Y-3.6%