WORLD KINECT CORP (WKC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:WKC - US9814751064 - Common Stock
24.21 USD
+0.18 (+0.75%)
24.21 USD
0 (0%)
Overall WKC gets a fundamental rating of 4 out of 10. We evaluated WKC against 209 industry peers in the Oil, Gas & Consumable Fuels industry. WKC scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. WKC is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year WKC was profitable.
WKC had a positive operating cash flow in the past year.
In the past 5 years WKC has always been profitable.
Each year in the past 5 years WKC had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of -7.21%, WKC is doing worse than 79.43% of the companies in the same industry.
WKC's Return On Equity of -27.00% is on the low side compared to the rest of the industry. WKC is outperformed by 80.38% of its industry peers.
Looking at the Return On Invested Capital, with a value of 6.19%, WKC is in line with its industry, outperforming 55.02% of the companies in the same industry.
WKC had an Average Return On Invested Capital over the past 3 years of 5.64%. This is significantly below the industry average of 20.88%.
The last Return On Invested Capital (6.19%) for WKC is above the 3 year average (5.64%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -7.21% | ||
| ROE | -27% | ||
| ROIC | 6.19% |
ROA(3y)1.04%
ROA(5y)1.36%
ROE(3y)3.98%
ROE(5y)4.31%
ROIC(3y)5.64%
ROIC(5y)5.14%
1.3 Margins
WKC's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 0.63%, WKC is doing worse than 74.16% of the companies in the same industry.
In the last couple of years the Operating Margin of WKC has declined.
The Gross Margin of WKC (2.58%) is worse than 77.51% of its industry peers.
WKC's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.63% | ||
| PM (TTM) | N/A | ||
| GM | 2.58% |
OM growth 3Y5.98%
OM growth 5Y-7.61%
PM growth 3Y-12.2%
PM growth 5Y-19.95%
GM growth 3Y-1.08%
GM growth 5Y-4.22%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), WKC is destroying value.
WKC has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, WKC has less shares outstanding
The debt/assets ratio for WKC is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 7.00 indicates that WKC is not in any danger for bankruptcy at the moment.
WKC has a Altman-Z score of 7.00. This is amongst the best in the industry. WKC outperforms 92.34% of its industry peers.
WKC has a debt to FCF ratio of 2.51. This is a good value and a sign of high solvency as WKC would need 2.51 years to pay back of all of its debts.
The Debt to FCF ratio of WKC (2.51) is better than 79.43% of its industry peers.
A Debt/Equity ratio of 0.47 indicates that WKC is not too dependend on debt financing.
WKC's Debt to Equity ratio of 0.47 is in line compared to the rest of the industry. WKC outperforms 49.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 2.51 | ||
| Altman-Z | 7 |
ROIC/WACC0.6
WACC10.3%
2.3 Liquidity
WKC has a Current Ratio of 1.15. This is a normal value and indicates that WKC is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.15, WKC is in line with its industry, outperforming 50.72% of the companies in the same industry.
WKC has a Quick Ratio of 1.15. This is a bad value and indicates that WKC is not financially healthy enough and could expect problems in meeting its short term obligations.
WKC has a Quick ratio (0.99) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 0.99 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.69% over the past year.
WKC shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -5.33% yearly.
WKC shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -15.23%.
The Revenue has been growing slightly by 2.75% on average over the past years.
EPS 1Y (TTM)5.69%
EPS 3Y17.21%
EPS 5Y-5.33%
EPS Q2Q%-12.9%
Revenue 1Y (TTM)-15.23%
Revenue growth 3Y10.4%
Revenue growth 5Y2.75%
Sales Q2Q%-10.48%
3.2 Future
Based on estimates for the next years, WKC will show a decrease in Earnings Per Share. The EPS will decrease by -0.90% on average per year.
Based on estimates for the next years, WKC will show a decrease in Revenue. The Revenue will decrease by -6.18% on average per year.
EPS Next Y-4.07%
EPS Next 2Y5.35%
EPS Next 3Y-0.9%
EPS Next 5YN/A
Revenue Next Year-13.22%
Revenue Next 2Y-6.32%
Revenue Next 3Y-6.18%
Revenue Next 5YN/A
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
Based on the Price/Earnings ratio of 10.86, the valuation of WKC can be described as reasonable.
76.56% of the companies in the same industry are more expensive than WKC, based on the Price/Earnings ratio.
WKC is valuated cheaply when we compare the Price/Earnings ratio to 26.49, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 9.96, the valuation of WKC can be described as reasonable.
Based on the Price/Forward Earnings ratio, WKC is valued a bit cheaper than the industry average as 76.56% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of WKC to the average of the S&P500 Index (23.69), we can say WKC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.86 | ||
| Fwd PE | 9.96 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, WKC is valued a bit cheaper than 77.03% of the companies in the same industry.
WKC's Price/Free Cash Flow ratio is rather cheap when compared to the industry. WKC is cheaper than 93.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.25 | ||
| EV/EBITDA | 4.89 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y5.35%
EPS Next 3Y-0.9%
5. Dividend
5.1 Amount
WKC has a Yearly Dividend Yield of 3.09%. Purely for dividend investing, there may be better candidates out there.
WKC's Dividend Yield is comparable with the industry average which is at 5.71.
Compared to an average S&P500 Dividend Yield of 2.31, WKC pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.09% |
5.2 History
On average, the dividend of WKC grows each year by 15.67%, which is quite nice.
WKC has paid a dividend for at least 10 years, which is a reliable track record.
WKC has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)15.67%
Div Incr Years6
Div Non Decr Years23
5.3 Sustainability
WKC has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-9.23%
EPS Next 2Y5.35%
EPS Next 3Y-0.9%
24.21
+0.18 (+0.75%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners110.17%
Inst Owner ChangeN/A
Ins Owners3.85%
Ins Owner Change0.16%
Market Cap1.35B
Revenue(TTM)37.65B
Net Income(TTM)-436.80M
Analysts46
Price Target29.24 (20.78%)
Short Float %8.31%
Short Ratio7.24
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.09% |
Yearly Dividend0.66
Dividend Growth(5Y)15.67%
DP-9.23%
Div Incr Years6
Div Non Decr Years23
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.5%
Min EPS beat(2)-11.87%
Max EPS beat(2)20.86%
EPS beat(4)3
Avg EPS beat(4)9.46%
Min EPS beat(4)-11.87%
Max EPS beat(4)22.77%
EPS beat(8)4
Avg EPS beat(8)4.98%
EPS beat(12)7
Avg EPS beat(12)4.33%
EPS beat(16)11
Avg EPS beat(16)8.95%
Revenue beat(2)0
Avg Revenue beat(2)-2.42%
Min Revenue beat(2)-3.98%
Max Revenue beat(2)-0.86%
Revenue beat(4)0
Avg Revenue beat(4)-5.47%
Min Revenue beat(4)-10.63%
Max Revenue beat(4)-0.86%
Revenue beat(8)0
Avg Revenue beat(8)-6.6%
Revenue beat(12)1
Avg Revenue beat(12)-6.42%
Revenue beat(16)4
Avg Revenue beat(16)-0.34%
PT rev (1m)0%
PT rev (3m)1.18%
EPS NQ rev (1m)1.08%
EPS NQ rev (3m)-17.54%
EPS NY rev (1m)0.24%
EPS NY rev (3m)-7.56%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.05%
Revenue NY rev (1m)-0.45%
Revenue NY rev (3m)-0.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.86 | ||
| Fwd PE | 9.96 | ||
| P/S | 0.04 | ||
| P/FCF | 4.25 | ||
| P/OCF | 3.55 | ||
| P/B | 0.83 | ||
| P/tB | 2.43 | ||
| EV/EBITDA | 4.89 |
EPS(TTM)2.23
EY9.21%
EPS(NY)2.43
Fwd EY10.04%
FCF(TTM)5.7
FCFY23.53%
OCF(TTM)6.82
OCFY28.15%
SpS677.61
BVpS29.12
TBVpS9.96
PEG (NY)N/A
PEG (5Y)N/A
Graham Number38.22
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -7.21% | ||
| ROE | -27% | ||
| ROCE | 8.16% | ||
| ROIC | 6.19% | ||
| ROICexc | 7.39% | ||
| ROICexgc | 13.13% | ||
| OM | 0.63% | ||
| PM (TTM) | N/A | ||
| GM | 2.58% | ||
| FCFM | 0.84% |
ROA(3y)1.04%
ROA(5y)1.36%
ROE(3y)3.98%
ROE(5y)4.31%
ROIC(3y)5.64%
ROIC(5y)5.14%
ROICexc(3y)6.25%
ROICexc(5y)6.04%
ROICexgc(3y)12.39%
ROICexgc(5y)15.33%
ROCE(3y)7.44%
ROCE(5y)6.78%
ROICexgc growth 3Y-12.23%
ROICexgc growth 5Y-9.09%
ROICexc growth 3Y6.47%
ROICexc growth 5Y-6.88%
OM growth 3Y5.98%
OM growth 5Y-7.61%
PM growth 3Y-12.2%
PM growth 5Y-19.95%
GM growth 3Y-1.08%
GM growth 5Y-4.22%
F-Score4
Asset Turnover6.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 2.51 | ||
| Debt/EBITDA | 2.25 | ||
| Cap/Depr | 59.81% | ||
| Cap/Sales | 0.17% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 110.99% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.15 | ||
| Quick Ratio | 0.99 | ||
| Altman-Z | 7 |
F-Score4
WACC10.3%
ROIC/WACC0.6
Cap/Depr(3y)73.61%
Cap/Depr(5y)65.8%
Cap/Sales(3y)0.16%
Cap/Sales(5y)0.17%
Profit Quality(3y)228.19%
Profit Quality(5y)273.61%
High Growth Momentum
Growth
EPS 1Y (TTM)5.69%
EPS 3Y17.21%
EPS 5Y-5.33%
EPS Q2Q%-12.9%
EPS Next Y-4.07%
EPS Next 2Y5.35%
EPS Next 3Y-0.9%
EPS Next 5YN/A
Revenue 1Y (TTM)-15.23%
Revenue growth 3Y10.4%
Revenue growth 5Y2.75%
Sales Q2Q%-10.48%
Revenue Next Year-13.22%
Revenue Next 2Y-6.32%
Revenue Next 3Y-6.18%
Revenue Next 5YN/A
EBIT growth 1Y10.69%
EBIT growth 3Y17.01%
EBIT growth 5Y-5.07%
EBIT Next Year38.41%
EBIT Next 3Y16.02%
EBIT Next 5YN/A
FCF growth 1Y269.31%
FCF growth 3Y12.73%
FCF growth 5Y5.34%
OCF growth 1Y115.17%
OCF growth 3Y14.52%
OCF growth 5Y2.59%
WORLD KINECT CORP / WKC FAQ
Can you provide the ChartMill fundamental rating for WORLD KINECT CORP?
ChartMill assigns a fundamental rating of 4 / 10 to WKC.
What is the valuation status of WORLD KINECT CORP (WKC) stock?
ChartMill assigns a valuation rating of 6 / 10 to WORLD KINECT CORP (WKC). This can be considered as Fairly Valued.
What is the profitability of WKC stock?
WORLD KINECT CORP (WKC) has a profitability rating of 3 / 10.
What is the financial health of WORLD KINECT CORP (WKC) stock?
The financial health rating of WORLD KINECT CORP (WKC) is 5 / 10.
How sustainable is the dividend of WORLD KINECT CORP (WKC) stock?
The dividend rating of WORLD KINECT CORP (WKC) is 5 / 10 and the dividend payout ratio is -9.23%.